Isa to 123

banksofthe_mersey

i done same mate, i got 2 123 accounts 1 joint 1 mine, i was getting absolute peanuts in my isa with around 50k in it..

banksofthe_mersey

stocks and shares isas? their risky as hell are they not?

Eco_Miser

banksofthe_mersey wrote: »

stocks and shares isas? their risky as hell are they not?

Depends what you put in them.

You could just buy Gilts (loans to HM Treasury) and know from day one exactly what you will get, and when, presuming you hold them for the full term. They are considered risk-free.

Or you could buy shares in a single company with little track record, engaged in an inherently risky venture. You could lose the lot, or make a fortune. That would be as risky as hell.

Most people don't do either of those things; they buy a wide selection of shares, either directly, or via a collective investment pooling the money from thousands of similar investors. That way, any losses from failing companies are more than balanced by the gains from successful ones.
Yes, there are risks, but unlike a bookie or casino, the odds are not stacked against you, and you can reasonably expect to comfortably beat bank accounts in the long term.

jimjames

banksofthe_mersey wrote: »

stocks and shares isas? their risky as hell are they not?

A S&S ISA is just a wrapper so can contain lots of things. Saying it's risky is much the same as saying sport is risky without specifying if you're talking about tiddlywinks or base jumping.

But you don't seem to have a lot of idea of investing if you think it's all risky. Of course the value will rise and fall at different times but longer term it should easily beat cash and if income is most important then you can get around 3x the income you'd get from a cash ISA.

You can find out more at https://www.Monevator.com