Should I Cash In Savings

stattyal

I have recently received a notification that my savings plan with AXA/Sunlife is due to mature (£5200), I have invested £25 per month for the last 25 years, but released part of the money (£2500) 10 years ago. It is tied up in certain funds within the UK/Europe/Far East, and has recently under performed due to the current climate. I am now able to make a number of choices - cash it in, re-invest the whole amount with or without a monthly contribution or take an annual amount from the value. I was thinking that the units that I already have are probably at their lowest and to hope for the best for another 10 years and re-invest, any thoughts/advice appreciated.:beer:

atush

I would invest, but not in that plan.

I'd invest thru an ISA if I paid tax, or direct if not, and into several Investment trusts.

Rafter

That is a pretty dreadful return over that period of time - you have paid in £7,500 and taken out £7,700!

Looks like the management charges have sucked out a huge amount of the returns. Even with the dismal markets in the last 5 years you should still have made a better return than that.

If it was me, I would withdraw the funds and look at putting them in a stocks and shares ISA if you really think markets are going to rebound.

If you still want to make regular savings, again you can look at an ISA, although you won't have much headroom this tax year unless you have no cash ISA in 2012/2013.

Good luck

R.

redmalc

That is a terrible return,i received a letter yesterday from Aegon advising me my investment plan will mature on the 14th June.
I have paid £22 per month for 25 years and the maturity value is £16,900,i have to say i am pleased with that