nutmeg.com is appealing but other options?

j.r.a

I'm looking to invest approximately £30,000 in a managed investment portfolio and I could need to withdraw the majority of these funds in the next 12 months or it could possibly be 2-3 years+.

I don't have the time or knowledge to be personally manage the fund but I can see that the fees that I would be charged for using nutmeg.com for example appear to be quite high.

What other managed investment portfolios exist that are relatively straight forward to set-up and maintain?

I would be prepared to take a little risk on this investment.

It's my first post and would appreciate as much advice as possible.

Thank you

innovate

Investing for just 12 months, or even 2-3 years, is immensely high risk. Not compatible with you saying "I would be prepared to take a little risk on this investment", I am afraid. With investments, you need to be able to tolerate temporary losses, which normally will not matter over a longer period, say, 10 years.

You would assume a lot less risk if you were saving. You would have to adjust your expectations about returns accordingly, to very moderate.

But if you are highly risk tolerant and if luck and the markets are on your side, you might make a killing within 12 months with investments, even after the charges and any taxes have been taken off.

innovate

MSE posts regarding nutmeg: https://www.google.com/search?as_q=&as_epq=nutmeg&as_oq=&as_eq=&as_nlo=&as_nhi=&lr=&cr=&as_qdr=all&as_sitesearch=forums.moneysavingexoert.com&as_occt=any&safe=images&tbs=&as_filetype=&as_rights=#as_qdr=all&lr=&q=%22nutmeg%22+site:forums.moneysavingexpert.com


lots of other reviews of nutmeg: https://www.google.co.uk/search?q=nutmeg+investment&rlz=1C1CHFX_en-GBGB533GB533&oq=nutmeg+&aqs=chrome.2.69i57j0l5.6829j0j4&sourceid=chrome&es_sm=93&ie=UTF-8#q=nutmeg+investment+review


Very few, if any, MSE regulars have chosen nutmeg. Or if they have, they are keeping is rather quiet.

j.r.a

Thank you Innovate for your response. I should add that the £30,000 is currently sat in a Nationwide instant access esavings account with £2500 of it just used to start two new ISAs (April 15th) for me and my wife.

In addition to the £30,000 I currently save £1000 per month for the long term so a managed investment portfolio is still something that I need to setup asap.

So in short what do I do with £30,000 between now and 12 months when it will be spent on a house deposit?

And £5,000 savings that can be used to kick start a managed investment portfolio. I can add £1,000 to each month for the foreseeable future and this can be left for 10+ years. Nutmeg.com was my idea for this but other options will be greatfully received.

Thank you, J

[Deleted User]

There was a similar thread to this (with a much larger amount) a few days ago and bowlhead99 wrote a lengthy reply explaining low risk investments, if you have a few minutes this will provide you a lot of valuable insight into what you're asking: https://forums.moneysavingexpert.com/discussion/4957291

If you're looking at £30k you could put £15k into a Santander 123 account and your wife could do the same, this would guarantee you ~3% and if you're a basic rate tax payer you'd end up with a ~£800 gain the first year without any risk.

System

If you want the money in 12 months for a house deposit, definitely don't invest.

You could play around with current accounts as criticsquid has mentioned with the Santander 123 which is a good option.

Premium bonds potentially another option for the very short term?

jimjames

I'm pretty shocked that the nutmeg site has given you the impression that investing for 12 months is suitable but maybe that is the same on all platforms.

As a couple you could get £13k into accounts paying 5% for the next 12 months. The remainder could go into Santander. I guess the ISAs you've opened pay far less than that.

dunstonh

jimjames wrote: »

I'm pretty shocked that the nutmeg site has given you the impression that investing for 12 months is suitable but maybe that is the same on all platforms.

As a couple you could get £13k into accounts paying 5% for the next 12 months. The remainder could go into Santander. I guess the ISAs you've opened pay far less than that.

The FCA is carrying out a thematic review into DIY providers this year over concerns about how information is laid out, how accurate it is and if the limitations are being fully disclosed. I suspect we will see a number of DIY sites change their information based on that review.

Nutmeg do contain biased and inaccurate information on their site which makes alternatives look worse than they actually are.

j.r.a

jimjames wrote: »

I'm pretty shocked that the nutmeg site has given you the impression that investing for 12 months is suitable but maybe that is the same on all platforms.

As a couple you could get £13k into accounts paying 5% for the next 12 months. The remainder could go into Santander. I guess the ISAs you've opened pay far less than that.

The two ISAs I opened have a Gross interest rate of 2.57%

Which account pays 5%, Santander 123* pays 3% on £3,000-£20,000?

I also wanted to ask if anyone has any knowledge of other managed investment companies as I would like to start with £5,000 adding an additional £1,000 each month. I plan to maintain this investment over the next 10-15 years. I have little experience in this or time and I'm prepared to take a slight risk with this but what would you recommend?

Thank you

j.r.a

Recommendations of managed investment companies that are straight forward in terms of creating a portfolio would be helpful.

I have little experience so ease of set-up is vital and the option to exercise my view on risk in relation to the portfolio.

I appreciate these companies charge additional fees bur I don't have the time or experience to be selecting and buying myself.

Thanks again