novice investing £1000

inflationbuster

redux wrote: »

If he or she was such a share picking genius, those Barclays shares would have been bought in the summers of 2011 or 2012 for about £1.50, instead of boasting about now about a gain in 2 months from £2.30 or £2.40.

How do you know l didn't trade these at less than 60p? Easily proven, just need to log into IG Markets account.

You just come across rude here, possibly frustrated?

Gadfium

inflationbuster wrote: »

I'm sure no reputable advisor would suggest investing the lot in one fund either.

Why do you think that investing into a single fund is risky or not otherwise recommended?

JohnRo

inflationbuster wrote: »

I'm sure no reputable advisor would suggest investing the lot in one fund either.

"the lot" is £1000

It seems a perfectly reasonable recommendation for such an amount to be invested a single multi asset fund such as a lifestrategy type collective investment, given the OP's other requirements..

InvestInPoker

inflationbuster's post in another thread, where someone was asking what to do with 2k and was willing to take a risk with it

inflationbuster wrote: »

To be honest you won't get very far with it investing in shares unless you invest the lot into a speculative stock and get lucky. I don't ever advise something like that.

If £2K is allot of money to you then leave the markets alone and stick it into a high interest account. .

Crag30

In trying not to hijack the thread but keeping inline with the OP.

So a £1000 split between two Funds (ie 50% VSL ?, & 50% BlackRock ? as examples), would be a recommendation, assuming they are not investing in identical markets?

noggin1980

inflationbuster wrote: »

I'm sure no reputable advisor would suggest investing the lot in one fund either.

Of course they would thats pretty much the entire point of the vanguard lifestrategy funds, they are a single product solution to owning a large, varied, diverse portfolio.

ColdIron

Crag30 wrote: »

So a £1000 split between two Funds (ie 50% VSL ?, & 50% BlackRock ? as examples), would be a recommendation, assuming they are not investing in identical markets?

Splitting just £1,000 between 2 multi asset funds is unnecessary, though pretty harmless, and just one would suffice at that level of investment

bowlhead99

Crag30 wrote: »

So a £1000 split between two Funds (ie 50% VSL ?, & 50% BlackRock ? as examples), would be a recommendation, assuming they are not investing in identical markets?

With £1000 it is not really worth investing in more than one multi-asset fund, IMHO.

The returns will be what they will be, if you pick two and take the average you will get a more averaged return. But just investing one of them, if you pick one with a reasonable exposure to different things, should be fine. It is already investing in lots of things and averaging them. If one is investing in a really important market that the other is missing just see if you can find one all-in-one fund that has that market too, rather than going out and buying two funds.

If you only have £1000 then let's say one fund is delivering 6.6% a year while the other fund is delivering 6%. So the size of the profits of one, is one-and-a-tenth times the profits from the other. If you are not sure which of the two funds is going to be the one that comes out on top, you could maybe just buy both of them and get the average. But the best is only 0.6% better than the worst. On £1000, £6 a year or 50p a month. But basically they are both fit for purpose, there is no point wasting your time trying to split the difference and get a blended average between the two that's 25p a month higher than one and 25p lower than the other.

So, if you find a fund that has a decent track record and holds a mix of assets you're happy with, you don't need to overthink it and keep adding more funds in. If you have £10,000 and eventually £100,000 then the analysis is different because the difference in returns is £50 a month. So put more thought into it when you have more money.

When you have less money don't put a lot of thought into it because anything that delivers broad general returns is fine, the only thing to avoid is buying single stocks whose returns will be very far from broad and general because they could be +100% or -100% in a year.

inflationbuster

InvestInPoker wrote: »

inflationbuster's post in another thread, where someone was asking what to do with 2k and was willing to take a risk with it

If you want to go back through my history, why not put the OP post that l was responding to?

I have about 2k that I would like to invest. I have an adventurous attitude to risk for this money. I would like to see it grow as much as possible to pay off more of my mortgage, but I could also afford to lose it.


My suggestion makes sense now yes?

How does one pay off a mortgage with £2K in the stock market without going into speculative stocks that are high risk?

Should l go through your post history and pick on your suggestions? Not worth it.

ColdIron

inflationbuster Give it up mate, your needle's stuck