£50000 to invest

HiToAll

Please correct me if i am wrong in my thinking.
I am looking to invest 50000 i have just come into and thought the best thing to do would be for me and my partner to put the full ISA limit of 11,520 each and then do the same in April.
So that would be 23000 invested now, with the remainder in as high an easy access account as I can find until April, then doing the same in the new ISA year.
Then probably spending the remaining 4000 on something nice, do up the house a bit.

Is this the most sensible thing to do as wouldn't want to use it until we retire in 20+ years?

Thanks in advance.

zabi89

ISA interest rates are terribly low and I wouldn't waste my time but it's better than having your money sat in a current account, if you have any knowledge of investment I would put it into something else such as Shares etc, but If you don't know about anything like that, I wouldn't do it especially with a large amount such as £50k.

HiToAll

thanks for the reply. I know nothing about investments other than what i have read about ISA's, and even that doesn't go much above reading best buy tables.

zabi89

HiToAll wrote: »

thanks for the reply. I know nothing about investments other than what i have read about ISA's, and even that doesn't go much above reading best buy tables.

You can put it in an ISA for now. I know the best ones are locked for 5 years and you won't be able to get your money out without paying a fee, but if you don't need the money and have plenty of money to fall back on it case of emergency then go ahead, but there are also ISA's which aren't locked but have lower interest rates. I'm sure there's an article on MSE by Martin Lewis. He's always talking about them.

MEM62

To use your full allowance at least half of this would need to be in S&S ISA's anyway. (As you can only put half your annual allowance in a cash ISA)

Consider putting the lot in S&S ISA's, particularly as you say you don't need it for a number of years.

zabi89

MEM62 wrote: »

To use your full allowance at least half of this would need to be in S&S ISA's anyway. (As you can only put half your annual allowance in a cash ISA)


I would put the lot in S&S ISA's, particularly as you say you don't need it for a number of years.

Agreed Looks like you have your answer!

jimjames

HiToAll wrote: »

Please correct me if i am wrong in my thinking.
I am looking to invest 50000 i have just come into and thought the best thing to do would be for me and my partner to put the full ISA limit of 11,520 each and then do the same in April.
So that would be 23000 invested now, with the remainder in as high an easy access account as I can find until April, then doing the same in the new ISA year.
Then probably spending the remaining 4000 on something nice, do up the house a bit.

Is this the most sensible thing to do as wouldn't want to use it until we retire in 20+ years?

Thanks in advance.

You can put £11520 each into ISAs so that is £23k now and £23k in APril, total £46k not £23k.

Investing is more appropriate than cash for a 20+ year timescale but pension may also be an option.

eskbanker

jimjames wrote: »

You can put £11520 each into ISAs so that is £23k now and £23k in APril, total £46k not £23k.

Which is exactly what OP said! (hence "the remaining 4000" from the original £50K)

HiToAll

"So that would be 23000 invested now, with the remainder in as high an easy access account as I can find until April, then doing the same in the new ISA year"

I thought this was clear that i had the thoughts of investing 23K before April 2014, and 23K after April 2014 and putting some of the money into a savings account until April 2014/15 ISA year.

Maybe was the way I wrote it.

Thanks for the replies all, much appreciated.

ColdIron

HiToAll wrote: »

thanks for the reply. I know nothing about investments other than what i have read about ISA's, and even that doesn't go much above reading best buy tables.

Do you mean cash ISAs or S&S ISAs?

Given you know nothing about investments and refer to 'best buy tables' I am guessing you mean cash ISAs. If so you can only put half the annual limit into a cash ISA so that would be £5,760 + £5,760 each = £11,520 this tax year and £5,940 + £5,940 each next year = £23,400 total

If you do mean S&S ISAs your figures are correct so ignore the above but you have some work to do researching investments before you commit any money to them

jimjames

HiToAll wrote: »

"So that would be 23000 invested now, with the remainder in as high an easy access account as I can find until April, then doing the same in the new ISA year"

I thought this was clear that i had the thoughts of investing 23K before April 2014, and 23K after April 2014 and putting some of the money into a savings account until April 2014/15 ISA year.

Maybe was the way I wrote it.

Thanks for the replies all, much appreciated.

Apologies, while skimming quickly I'd misread based on the comment about not knowing investments but obviously re-reading your OP you were intending to invest the whole ISA amount.

You can find more info on here www.hl.co.uk but be aware their pricing is changing very soon. Although HL are not the cheapest they are very user friendly for new investors.

PS
MC-cwm reported as spam so hopefully post won't be on here long. 5% pm is not a viable guaranteed monthly return for genuine investments