How do I invest £1000 per month?

John-MD

Hi all

I'm new to investing and would really appreciate your advice.

I'm 44 and in a secure job with final salary pension scheme (27 years in the scheme so far). The mortgage is fully offset with savings (may downsize and release some of that in future but don't want to bank on it) and I separately have savings to cover 6 months expenses in a cash ISA. I have no other debt. I have at least £1000 each month now which I am looking to invest.

My goal is to be independent when I reach age 50 so I am able to work very part time or not at all. I am not looking to take the work pension until I'm in my mid to late 50's to avoid the actuarial reduction.

What would you advise me to do with the £1000 a month?

(Sorry if this has been answered before but I'm new to the site and couldn't find what I was looking for) John

Lokolo

If you want to be able to have access to the money at around 50 then your best best is to use your ISA allowance.

You have £11,280 allowance. Up to half can be in a Cash ISA and the rest in a S&S.

You can either choose to see an IFA to sort it out and make all the investment decisions (it will cost you to do this), or choose to do it yourself DIY style.

Mr_Thrifty

u sound so rich, how do u do it

Totton

As you have the cash ISA sorted then it may be worthwhile taking a look at one of the Vanguard Life Strategy funds. They haven't been going long enough in the UK to properly evaluate but as a started investment into equities then they look a decent offering. Alternatively you could go into a global growth investment trust or perhaps a mix of IT's etc.

Vanguard are at - https://www.vanguard.co.uk/adviser/adv/investments/investments-overview--lifestrategy-funds.jsp

HTH,
Mickey

jimjames

Share based ISA sounds like a good idea, use a discount broker so you don't pay any initial charges. You will need to choose the funds to put in it - don't go to your bank as they have very limited choices with expensive charges and generally poor performance.