£100 per Month to invest- Where to start?

Mothman

I have never invested before other than pensions and have all my savings either in cash ISA's or current accounts, very safe but not much in the way of return.

As a first foray into the world of investments I was thinking of investing an inital £1000 lump sum plus a further £100 per month. However as a novice I'm not sure what type of product I should be looking for. I would obviously like something managed, preferably with low charges. Looking to invest for a period of around 5-6 years if this is not too short term.

Apologies if this was a dumb question, but any suggestions on where to start would be appreciated.

Cheers

kidmugsy

visit

https://forums.moneysavingexpert.com/discussion/5243457

and read #11

Pincher

I am getting 6% for a Regular Saver with First Direct.
You can save up to £300 a month.


If you start one now, the interest will be paid in 2016, when the first £1,000 is tax free.


If you drip feed into a S&S ISA, what return do you expect?
Even if it was fee free?

N1AK

Mothman wrote: »

I have never invested before other than pensions and have all my savings either in cash ISA's or current accounts, very safe but not much in the way of return.

As a first foray into the world of investments I was thinking of investing an inital £1000 lump sum plus a further £100 per month. However as a novice I'm not sure what type of product I should be looking for. I would obviously like something managed, preferably with low charges. Looking to invest for a period of around 5-6 years if this is not too short term.

There isn't a single right answer. It depends a lot on how long you intend to invest, how much risk you're willing to take, and your objective.

Someone who wants minimal risk, and safe returns over 5 years shouldn't invest in the same products as someone who wants a chance to make a massive return over 20 years and is completely comfortable with huge risk.

What is your objective? If you're likely to want to use the money in 5-6 years and want to maximise return then there are probably more reliable options than investments.

Mothman

Thanks for all the replies.

Currently have £60K in cash-isa's and have recently opened a Santander 123 account which will become the main mode of saving but this is likely to be maxd out within 12 months and so was therefore thinking of putting some elsewhere at more risk but at the hope of a greater return.

The figures I gave were an amount I would feel comfortable taking a risk with but would prefer something with medium risk rather than high risk and I would hope for a return equating to 5% per annum at the end of the 5-6 year period. I am not sure whether this is realistic given the length of time I can invest for and whether something such as peer-peer lending my be a better option given my objectives?

atush

If you have a pension, and it is large enough, then I would look at S&S isas. And I would not suggest you start with single shares, but look at collective investments

Pincher

You can transfer the cash from a cash ISA into a S&S ISA.


Get 1.6% from the HSBC Loyalty cash ISA, and transfer out to a S&S ISA when you feel like buying something.