£30000 to invest

bigmex

Can you help please - I have £30000 to invest - I have covered all the ISA limits and I am willing to lock away the capital for a couple of years - any idea please

Jhzaeth

I received a similarly large amount of money as part of a will a few years back. Since I was not yet even 18, I wasn't in control of it. The guarantors met with financial advisors at Anderson and Charnley and devised plan of investing for short medium and long term. What you're looking for sounds like medium-long term. Have a think about how badly you could need the money - if you choose to invest long term, you may not make gains if you withdraw early. To clarify (having just found the document), for investments of 5+ years they chose to place the money in:

UK Equities (12.06% total sum)
European Equities (7.16% total sum)
US Equities (16.57% total sum)
Emerging Markets (6.13% total sum)
Liquid Property (15.13% total sum)
Bonds (11.45% total sum)
Hedge Funds (9.20% total sum).

Each of these sectors was split between 1 and 3 ways, to different investment companies and the like.

They know what they're doing, it's their job; and 30k is a big figure. I wouldn't make any rash decisions on that.

Hope you found this helpful

xylophone

A couple of years seems to me to be too short a time frame for equity investments particularly if you are concerned about security of capital.

You may feel that you will only be happy with deposit based savings - the risk here is inflation eating away at buying power.

You will be able to open a new ISA next tax year. Individuals will be able to invest up to £11,280 into an investment ISA in the next tax year. Alternatively, they can invest up to £5,640 into a cash ISA with the remainder up to the total allowance of £11,280 available to invest in an investment ISA.

http://www.moneysupermarket.com/savings/fixed-rate-bonds/?source=GOO-13176020&p=0&keywords=two+year+bondsPhrase&ef_id=zg29z9B6MjYAADLkFkwAAAAP:20120117000856:s might be of interest.

Batchy

Jhzaeth wrote: »

I received a similarly large amount of money as part of a will a few years back. Since I was not yet even 18, I wasn't in control of it. The guarantors met with financial advisors at Anderson and Charnley and devised plan of investing for short medium and long term. What you're looking for sounds like medium-long term. Have a think about how badly you could need the money - if you choose to invest long term, you may not make gains if you withdraw early. To clarify (having just found the document), for investments of 5+ years they chose to place the money in:

UK Equities (12.06% total sum)
European Equities (7.16% total sum)
US Equities (16.57% total sum)
Emerging Markets (6.13% total sum)
Liquid Property (15.13% total sum)
Bonds (11.45% total sum)
Hedge Funds (9.20% total sum).

Each of these sectors was split between 1 and 3 ways, to different investment companies and the like.

They know what they're doing, it's their job; and 30k is a big figure. I wouldn't make any rash decisions on that.

Hope you found this helpful

What did they do with the other 22.3% ... or was that their commission?

;-)

dunstonh

They know what they're doing, it's their job; and 30k is a big figure. I wouldn't make any rash decisions on that.

I dont want to sound crude but in investing terms and advice terms, 30k is peanuts. I know it can be a lot to some people and most would be happy to have £30k available like that. However for adviser terms, it is at the bottom end of the scale. Indeed, some would not offer services or restrict their offering to amount of that size.

jamesd

For investing without advice take a look at the Jupiter Merlin fund range. The global types are likely to be best. Pay attention to the volatility - short term up and down movements - and pick a mixture that won't cause you to sell during a dip in value.

This doesn't lock the money away but there may be a cost of reduced value if you time taking it out during a dip. I'm assuming that you do not need the money in two years but are instead saying you want no more than a two year window blocking getting access to it and are happy to invest it longer term. If you will predictably need access in less than five years then for that part you should use either just savings accounts or a mixture of savings accounts and investments.

gadgetmind

bigmex wrote: »

Can you help please - I have £30000 to invest - I have covered all the ISA limits and I am willing to lock away the capital for a couple of years - any idea please

For just a couple of years, stick the money into the highest interest instant access account you can find and hope that NS&I Index Linked certificates are back on sale this summer.

Jhzaeth

Batchy wrote: »

What did they do with the other 22.3% ... or was that their commission?

;-)

That would be a hell of a lot of commission! It was invested in savings, as far as I am aware. That bit was the 'short-term' side of things. Away from my spreadsheet so will edit this and clarify later.