Investment help

MercMan

I have an endowment policy that has matured and I have about £55K to invest, I'm going to spread some across a cash ISA and shares ISA up to this years limit, but I don't know what to do with rest . I'd like a monthly income, even if its small. Anyone care to suggest suitable accounts? I've been told the stock market is to risky at the the moment to invest in shares. As you can see I'm a novice at this!

xylophone

Have you a wife/husband who can also take advantage of the isa allowance?
http://www.thisismoney.co.uk/money/saving/article-1583868/Best-savings-rates-Monthly-income-saving-accounts.html

As you can see, rates are very low on deposit.

jimjames

MercMan wrote: »

I've been told the stock market is to risky at the the moment to invest in shares. As you can see I'm a novice at this!

Not sure who told you the stock market is too risky at the moment. It is no riskier than at any other time and on many measures is still very good value. You also say you are using a S&S ISA as well as the statement it is too risky - is this what you meant?

Now if they were referring to bonds then you may be right as many people see them as being at very historically high levels that are more likely to drop than rise.

Buying into a balanced portfolio of funds could give you an income of 4% or so plus any capital growth long term although prices will fluctuate in the short term. As a couple you could put over £20k into S&S ISAs this year and the same next year but it depends what needs you have for the cash over the next 5-10 years.

BLB53

The stockmarket is only risky if you don't know what you're doing (Warren Buffett).

atush

Do you have a pension? If not, that could be home to some of the money (or if you do you could top it up and get some tax relief).

What rate of tax do you pay?

MercMan

Hi All I'm single coming up to 60. I have a fully paid up state pension plus a civil service pension that I paid into for 10 years. I guess I could put some into the CS pension?

I'm in the standard income tax bracket.

I only thought of the S&S ISA as way of using up my ISA allowance this year. I'm probably being daft to think like that! I'm looking at locking some of it it away until I retire at 65.

The balanced portfolio idea is something I've not thought of. I could put some into that and some into a bond?

xylophone

Are you still contributing to your Civil Service pension?
http://www.civilservice.gov.uk/pensions/scheme-guides/classic-plus/boosting

You have a wide choice of investments in a s&s isa and also outside it.
http://www.hl.co.uk You could have a look at various types of fund here.

Perhaps you could contribute to your pension, open a cash and stocks and shares isa and put the rest into the best paying account you can find while considering your options?

MercMan

xylophone wrote: »

Are you still contributing to your Civil Service pension?
http://www.civilservice.gov.uk/pensions/scheme-guides/classic-plus/boosting

You have a wide choice of investments in a s&s isa and also outside it.
http://www.hl.co.uk You could have a look at various types of fund here.

Perhaps you could contribute to your pension, open a cash and stocks and shares isa and put the rest into the best paying account you can find while considering your options?

That is the conclusion I've come to. Thanks.