Low risk good return investment

dmo84

Hi all. Is there anything worthy at the moment In terms of low risk good return investment if I either contribute monthly or lock some money away? Wouldn't be a huge amount at this stage.

Im currently holding in premium bonds until I can find something to place in once I decide time is right.

jaybeetoo

Define what you mean by “good return”?

Thrugelmir

What's your longer term objective for the money?

dmo84

Well after a small house purchase last year with mortgage. I'm balancing building up savings (with trying to do bits on house)

It was sparked purely as I have money in premium bonds not really returning much other than the odd £25 win..

Long term objective for money is when I hit a certain target store some away which will give some form of return or invest in something which won't be risky.

Also in addition looking at ways I can utilise my property or the property market for investment

Long term goal to look after a retirement fund

AnotherJoe

There is no such thing as something that isn't "risky"
If you put money in PB's for example you may think that's not risky because you can get your money back but to give an extreme but real example a poster on another thread mentioned a PB that had been held since 1954 and had never won. But £1 in 1954 was worth £25 in today's money. So, the poster had pretty much lost all their money, 95% of it So, they lost out to inflation risk. Had that money been invested then it would have been worth around £250 now, maybe double. Had it been in a savings account I dare say it woudl be worth £100 or so. (Obviously you can't invest a single pound but its the principle). So as well as losing out to inflation, they also lost out on that gain of savings or investments . Basically a different risk.

There are numerous ways you can use your property or the property market for investment. They all involve risk. There's nothing that doesn't.

Albermarle

What is your employment status ? Normally a pension is the best way forward if you are earning, due to the tax relief available.

tacpot12

All the evidence I have seen points to equities being the least risky form of investment.

While equities are certainly volatile, over the longer term they outperform everything else. You can buy them via a collective investment so that your investment is highly diversified, rather than purchasing one residential property to let out and having the risk of a bad tenant who wrecks the place.You can buy them in small quanties so that you only need a few hundred pounds, and can drip feed money into the market, a technique that is know to be advantageous.

There is plenty of choice of what to invest in equity-wise, but a broad global equity fund would be my recommendation.