30K to invest

Kernel_Sanders

Ryan_Futuristics wrote: »

^ It's not a terrible idea - I do know people who live off high dividend paying shares and just use dips (like Tescos at the moment) to buy more

So how do you know that isn't going to be a Woolworths-style dip?

Ryan_Futuristics

Kernel_Sanders wrote: »

So how do you know that isn't going to be a Woolworths-style dip?

Well it's more older-generation investors I know who hunt for dividend stocks (and I'm pretty sure would've been buying more Tescos recently)

At a guess, they follow the companies they're invested in more closely than we tend to these days - generally more concentrated portfolios - and they'd probably have a bad news threshold

If I was going to do it, I'd probably use a system like Jim Slater's - first rating every company by its PEG ratio (price/earnings divided by growth forecast), so you're always buying cheap relative to prospects, then narrow those down to a certain dividend level, and make sure the dividend's actually coming from profits (and not a sign a desperation)

omgpop1

wel tbh i dont think tesco is a buy now any corruption stuff (like afren down 36%) jus says more down side, maybe if it bottoms out and the actual earnings are known then you can dip in but theres better things to buy,
i bought back shire (shp) at 42.7 and continue to buy, looking at 30% revenue growth and increasing income then looking at new yr (most stocks go up then last 5 yrs) its a safe bet buying shp. plus unlike most uk stocks u dont play stamo duty as its domiciled outside uk.

if u want to buy a fund its safer, but the gains wont be as high as individual stocks that are good, if u want high growth/risk, look at this fund (The Biotech Growth Trust Plc- biog or ibt) its buys usa pharma companies the gains are literally mind blowing
1 yr-54% 2-137% 3-250% 4-319% (better than any uk stock)
only thing is for some reason uk gov charges stamp duty on investment trust (so dumb) they used to charge for when u sell aswel

i also buy usa stocks and the fact that u pay any stamp duty to buy stocks is a joke (no other major country IN THE WORLD does it) u risk ur money and u stil pay tax really, thats why hardly any money gets through ukexchange comp to other counties

stocks without tax that are biggish that i bought/looking at
shp,pfc,flg,rgu there are others like expn and wpp but i dont like

i gonna move most money in usa with charles schwab part from shares isa (no cap gains) s&p500- 37% up ftse 100- 8% last 2 yrs
says it all, ftse is awful

ScoobyZ

I would pay of your loan:

http://forums.moneysavingexpert.com/showthread.php?t=5009987&highlight=

jimjames

plaistow wrote: »

Hi

I'm sure there are many experts on this site to advice me on if there is any investment or saving account around where I can generate at atleast £400-£500 a month by putting 30K which I really don't need for 2 years I believe.

I look into buy to rent car scheme listening ad on the radio who promise to payback £250 a month on £14k investment but I searched a bit and find out its not regulate by Fsa and not considered as a safe investment.

Please advice me on this.

Thanks

Get rich quick schemes are invariably scams.

Get rich slowly by investing in the stock market long term and reinvesting dividends. Not exciting as you're waiting 10-20 years but far more reliable.

omgpop1

jimjames wrote: »

Get rich quick schemes are invariably scams.

Get rich slowly by investing in the stock market long term and reinvesting dividends. Not exciting as you're waiting 10-20 years but far more reliable.

wel it depends on what you buy more risky stuff u can get 100% returns in a few months or less,
if u look at biopharm usa companies
if u got ANY of these u have 30% or more in 1 yr and some 180% in 2
e.g; ALKS ALXN SHPG CELG MYL BIIB BMY ABBV AMGN GILD

Ryan_Futuristics

Have to remember if you'd invested in Warren Buffett's Berkshire Hathaway fund at any point over the last 50 years, you'd have returned an average 20% annually

Puts into perspective just what an achievement that's been

But there are plenty of people turning over £400-500/month selling things on ebay with much less than a £30k initial investment ... It's not fundamentally any different from investing - you're buying stock cheap and trying to sell it more expensive ... Tiny bit more grunt work (packing parcels) but it's a better way to build money early on than stocks & shares

Only way you'll turn £300 into £3,000 in a few months (short of pure luck on the markets)

But you get to a point with small business where you either need to expand or just keep coasting making the same figures - and THAT's really where investing comes in (it's whether you want to employ people or money)