Where to invest money in a crisis

Glen_Clark

Jacob Rees-Mogg's dad literally wrote the book
Has anyone read it?
I guess his son must have done as he has put his money in the EU

Before he and his Brextremist chums push us into a 'no deal' Brexit and tank the economy?

worried_jim

I moved all of my investments out of the U.K. straight after the Brexit vote (wish I'd done it the day before, never in my wildest dreams....) and doing all right so far. I have a review every November and will probably leave alone this year, may see what the landscape looks like Nov 2019, but with the added threat of Corbyn I don't think the U.K. will be seeing a return of my hard earned savings for a while. Sadly.

GooeyBlob

Do you mean during a crisis or are you looking to protect yourself against losses before the crisis hits?

Who knows what the future holds? Your best defence is diversification. I hold a good percentage in US funds with some global index trackers and Japanese and European funds. I also spread my UK investments across a broad range of sectors among FTSE 350, AIM and small cap companies.

Another important thing to remember is not to panic. The day after the Brexit vote UK stocks fell sharply. Shocking, but I held on and started buying shares in a few well-run companies at the new bargain prices, some of the dividends were amazing. Markets slowly recovered in time so in the end I made a little money from those purchases when the market was low.

If the UK and EU negotiate a good deal there'll probably be a small boost to the economy. A hard Brexit and Corbyn would be quite a double whammy though. If it's a hard Brexit that may lead to new investment opportunities in time but I'm afraid Corbyn would force me to sell most of my UK investments and instead buy US or global-excluding-UK funds.

pearl123

There would be no Brexit if it hadn’t been for Cameron’s ego.

A_T

If you'd invested £1000 in an accumulating FTSE All Share Index tracker the day after the Brexit vote it would now be worth about £1300. Not a bad return at all for
2 years and a few months.

bostonerimus

You were lucky! T'crash of 87 were nowt....I live through t'crash of 2007/2008.

I have no idea about the contents of the book, but I'm not that impressed by some of William Rees Mogg's other "productions". If you want to survive a crash have a strict budget and keep to it and the just rebalance your portfolio. I think my investments lost a third of their value back in 2008, but I kept buying broad index equity funds and sold bonds to buy more cheap equity funds. The shares in those funds bought when the DOW was below 10k look like a great buy now that DOW is 26k

Glen_Clark

GooeyBlob wrote: »

I'm afraid Corbyn would force me to sell most of my UK investments and instead buy US or global-excluding-UK funds.

Billionaire 'newspaper' owners domiciled in Her Majesty's Tax Havens have 2 serious threats to their tax-free status.
1) The EU (through an EU wide tax treaty)
2) Corbyn.(has promised to make the top 1% pay more tax)
Not surprisingly they have printed scare stories about both
As Mandy Rice Davis said - 'Well they would say that wouldn't they'.
But how much truth is there in it?

Filo25

Glen_Clark wrote: »

Billionaire 'newspaper' owners domiciled in Her Majesty's Tax Havens have 2 serious threats to their tax-free status.
1) The EU (through an EU wide tax treaty)
2) Corbyn.(has promised to make the top 1% pay more tax)
Not surprisingly they have printed scare stories about both
As Mandy Rice Davis said - 'Well they would say that wouldn't they'.
But how much truth is there in it?

I honestly couldn't care less what the tabloids have to say about Corbyn, my concern is more that I don't think Corbyn has ever found an economic issue for which his answer wasn't tax more and spend more, along with more state and union involvement that is unlikely to be a positive backdrop for UK company earnings

Thrugelmir

worried_jim wrote: »

I moved all of my investments out of the U.K. straight after the Brexit vote (wish I'd done it the day before, never in my wildest dreams....) and doing all right so far.

Falling rates of exchange have lulled people into a false sense of security. Very easily this could reverse.

FatherAbraham

Glen_Clark wrote: »

Jacob Rees-Mogg's dad literally wrote the book
Has anyone read it?
I guess his son must have done as he has put his money in the EU

Before he and his Brextremist chums push us into a 'no deal' Brexit and tank the economy?

Did you have an investment question for us to chew on?

talexuser

As I understand it, a simplified precis of the book was that too much debt would lead to a crisis in confidence and depression, it was true but also very fortunate in its timing. Of all the serial predictions of disaster it's the one just before the crash that gets the status of prophet. Unfortunately the same or worse global debt is here today.