Best Investment Products for Large Cash Sums.

alembicbassman

Is it best to invest large sums in one product or split them across several banks' saving schemes?
Do banks allow you to open multiple accounts that will probably never earn them any money?

I have all my cash with 1 provider, although still within the FSA coverage limit.

It's barely earning any interest.

I still want low risk, so no pier to pier or stocks and shares.

I thought about opening a dozen bank accounts and investing in their regular saving accounts which pay a higher rate.

verybigchris

Yes, if you absolutely must keep a lot of money in cash, you'll have to do a bit of work for the best return. There are some MSErs with 20+ regular savings accounts.

OldMusicGuy

Or use fixed rate, fixed term savings bonds that offer higher interest rates than the 1.5% you can get at Marcus (see thread on that). The longer the term, the higher the rate of interest. Not spectacular but better than many and less hassle than multiple saver accounts, see here: https://www.moneysavingexpert.com/savings/savings-accounts-best-interest/

Do not get confused by unregulated savings bonds offering high rates of interest (8% or more). These involve more risk than you would want to take on.

PS Nice bass btw, although I stick with Fender myself....

ColdIron

OldMusicGuy wrote: »

PS Nice bass btw, although I stick with Fender myself....

Now you're being bassist?

25_Years_On

A bond ladder is a good option for cash investors as long as your willing to lock some cash away for up to five years although you could do a three year ladder. It involves investing the highest earning one, two, three, and if you want to go the whole hog four and five year bonds.

This is a good explanation from 2015

https://www.telegraph.co.uk/finance/investor/11789970/The-Bond-Ladder-The-pros-trick-to-turn-your-savings-into-a-reliable-low-risk-income.html