Investments which give a monthly return

agnes_johnstone

Just retired and need to top up my income with interest from my savings. Can anyone guide me with the best companies

dunstonh

You have a choice of around 20,000-50,000 options with an unlimited combination based on that criteria.

You are going to need to give more information to help narrow it down. You also need to be aware that investing is mostly about opinion, research and luck. You could have 100 different answers from 100 different people and all could be with merit. There will clearly be some very wrong things to do but there is no "best" option.

gadgetmind

agnes_johnstone wrote: »

Just retired and need to top up my income with interest from my savings. Can anyone guide me with the best companies

Do you want interest (which is taxed as income) or do you want dividends? The latter are very tax efficient for a basic rate tax payer. You should also consider drip-feeding your money into ISAs, which solves the problem.

What to invest in (either "unwrapped" or in an ISA) depends on your time scale and attitude to risk.

bigfreddiel

gadgetmind wrote: »

Do you want interest (which is taxed as income) or do you want dividends? The latter are very tax efficient for a basic rate tax payer. You should also consider drip-feeding your money into ISAs, which solves the problem.

What to invest in (either "unwrapped" or in an ISA) depends on your time scale and attitude to risk.

How about an example of a dividend based ISA?

And lets just tie this down a bit by starting of the example with £100k in an ISA and it's target is 7% return pa with some growth - say 1 to 5% if possible.

Where would you be invested?

gadgetmind

bigfreddiel wrote: »

And lets just tie this down a bit by starting of the example with £100k in an ISA and it's target is 7% return pa with some growth - say 1 to 5% if possible.

Not possible without high risk or erosion of capital.

Very few equities yield that, only very high risk bonds, only very high discount property funds, and only a smattering of infrastructure funds.

OTOH, £100k means that dealing costs will melt away, and you can take a risk with some of it, so there are ways to get fairly close if (and only if) the investor is prepared to get involved in the process.

I could tell you want I'd do as I'm already doing it, but I have my own attitude to risk, my own asset balance, and my own cash buffers.