Savings plans

Enigmaman

I have about £15-20 per month to invest in a regular savings plan. I understand that with profits-type endowment policies are a poor bet, so what would be an alternative? I would be looking to invest a regular sum every month and collect the money at the end of a 5 or 10 year period.

Any suggestions - either savings account or equity?

Lazy_Runner

With that timescale you could look at stock market based investments.

Normally the question would be, what level of risk can you stomach? ie. How much would your investment have to go down before you pulled out?

But you may also be limited by the amount you can save. I am fairly certain most equity savings plans need you to save £50 / month. I have seen one mentioned on these boards where the saving could be £25/month, but I can't remember under what context (e.g. child trust fund saving).

I am sure more knowledgeable people will be along soon.

dunstonh

There are a few regular contribution unit trusts (unwrapped or in ISA) available at £20pm minimum but £50pm is the most common amount.

Mr_Mumble

M&G have a minimum monthly investment of £10 on their range of investment funds.

While most of the M&G funds have an initial charge when bought direct there are a few notable expections. The UK and European trackers have no initial charge and are very similar to the tracker products from better known providers such as L&G and Virgin (indeed M&G's UK tracker has outperformed both over 1, 3 and 5 years).