ISA Millionaires

Eco_Miser

bostonerimus wrote: »

Like I said "£4000 to go in an S&S ISA".....I didn't bother to say the rest into cash ISA.

You missed the "up to £3000, meaning the whole £7k could go into S&S, and for me, it did.

bostonerimus

Thrugelmir wrote: »

Why did miselling of Endowment polcies become such an issue in the UK then? If investment returns of 9% were that easy to achieve. Many investors over estimate their own abilities rather than accepting it's down to luck alone.

Such abuses and "irrational exuberance" have made it harder work for the UK investor than necessary. I've had a self managed 60/40ish US based dumb index portfolio for 30 years. I've followed simple principles of indexing and rebalancing and saved aggressively. My average annual return over that time has been 8.5%, it is literally nothing special because all I did was invest in indexes. I passed the 1M (dollors or pounds) portfolio value a long time ago because I started saving a large percentage of my income early on and have had access to good pension plans.

bostonerimus

Eco_Miser wrote: »

You missed the "up to £3000, meaning the whole £7k could go into S&S, and for me, it did.

Sorry, yes

pafpcg

For the past year or so, there's been a short-cut for individuals to achieve £1M in ISAs, albeit only in sad circumstances: spouses can now inherit the value of a deceased partner's ISA holdings for re-investment in their own ISA. So my widow could be well over half-way to the target even though we didn't invest the full annual allowance for S&S ISAs for a couple of decades.

bigadaj

pafpcg wrote: »

For the past year or so, there's been a short-cut for individuals to achieve £1M in ISAs, albeit only in sad circumstances: spouses can now inherit the value of a deceased partner's ISA holdings for re-investment in their own ISA. So my widow could be well over half-way to the target even though we didn't invest the full annual allowance for S&S ISAs for a couple of decades.

Well, sad for some maybe......

grandst

It's only a matter of time before a lifetime cap is placed on ISA's.

Superscrooge

capital0ne wrote: »

You read about the odd few people who have £1M plus in an ISA, but how many are there? Reading this forum there seem to be fair few contributors with quite a few thousands in s stocks and shares ISA, it would be useful to share with us your approach and how you did it.

According to the below article there are fewer than 1,000 ISA millionaires

http://www.telegraph.co.uk/news/2017/05/19/record-number-savers-become-isa-millionaires-brexit-stock-market/

The link to the Govt ISA stats posted earlier indicates there are around 15 million ISA account holders so by my reckoning the percentage of ISA account holders who have achieved £1million is less than 1 in 15,000 or 0.007%

Sadly I am one of the 99.993% that hasn't yet become an ISA millionaire

TheTracker

Superscrooge wrote: »

According to the below article there are fewer than 1,000 ISA millionaires

http://www.telegraph.co.uk/news/2017/05/19/record-number-savers-become-isa-millionaires-brexit-stock-market/

The link to the Govt ISA stats posted earlier indicates there are around 15 million ISA account holders so by my reckoning the percentage of ISA account holders who have achieved £1million is less than 1 in 15,000 or 0.00007%

Sadly I am one of the 99.99993% that hasn't yet become an ISA millionaire

x 100 = 0.007%

Superscrooge

Sorry, my mistake - now corrected. I should have known not to attempt maths at 4am!

qwert_yuiop

Thrugelmir wrote: »

Why did miselling of Endowment polcies become such an issue in the UK then? If investment returns of 9% were that easy to achieve. Many investors over estimate their own abilities rather than accepting it's down to luck alone.

I got a 25 year Scottish widows endowment policy back when I started off in 1992, paying just over £68 a month (the extravagance). They wrote to me ten years later to say it wasn't doing very well, and was worth a lot less than I had put in. I complained, wanting to know how I could be losing money in a period where the stock market had trebled, the only possible reason being they'd paid themselves far too much, pointing out the salesman who'd got me this was cruising around in a jaguar with private number plates. They eventually gave me £500 consolation.

Now, after paying £20,484, I've just been told I'm getting a transfer next week for just over £41,000. I don't understand it either.