Investment ISA guide?

picklekin

Hello,

I'm looking for a little help as to what to do with some money and I'm really lost ATM! We have filled all out cash ISAs for the year and still have a reasonable sum floating about, nothing like others on here just 30k or so but its going up all the time now we are both working. We have also have two regular savings accounts that earn about 3.5% I think (from Barclay's as we already bank with them!).

I'd like a bit of help with what to do with the rest... Its currently sitting in a instant access savings account which, as I'm sure you know, earns less than inflation

I have been reading a bit about investment ISA but tbh it really starts to scare me with talks of the cost of buying and selling shares etc, I'd like a beginners version if such a thing exists! Any other ideas are welcome but treat me like the idiot I am and explain it slowly!:rotfl:

talexuser

If you are going to start with the stock market, then a low cost tracker in the funds part of your ISA might be the best way to get your feet wet, as long as you realise there could be a crash tomorrow seeing your money go down 10, 20, 30%, but in the long term, nowadays more than 5 years and maybe up to 10, it should do better than savings particularly with dividends reinvested. A tracker fund is a basket of shares run by a management company, so you are not buying individual shares, just paying a management fee of maybe 0.25% or so a year. Have a read here:
http://www.thisismoney.co.uk/money/investing/article-1583915/A-guide-cheapest-index-tracker-funds.html

Before you do that, there is pension to think about, paying off mortgage perhaps, any credit card debts etc. Since you already have cash savings, emergency fund should be taken care of.