Use up savings allowances vs risk

stphnstevey

Have £5+£1k savings allowances

P2P used to pay 7-10%, but defaults are more common and overall return has fallen

Attempt to reduce risk with Assetz Capital QAA and Mintos buyback loans

Maxed high interest bank accounts

Any other ideas?

Thrugelmir

Change your strategy. The higher the return on offer the higher the possibility of capital loss. First rule of investing is don't lose capital. Second rule is don't forget rule number one.

Albermarle

Most posters on this forum are advocates of investing in the stock markets , although a lot of different views on the best way to do it and what risks to take .
Have you considered this rather than more 'alternative' ways like P2P ?

stphnstevey

Albermarle wrote: »

Most posters on this forum are advocates of investing in the stock markets , although a lot of different views on the best way to do it and what risks to take .
Have you considered this rather than more 'alternative' ways like P2P ?

Yes, of course, for the bulk of my investments, but I still have savings allowance and I have sought out P2P that has, I believe, the minimum risk and maximum liquidity (all that can change quickly I know, but I am happy with risking this amount)

Wildsound

stphnstevey wrote: »

I have sought out P2P that has, I believe, the minimum risk and maximum liquidity

I think you need to revisit this statement. P2P is far from "minimum risk" and as for "liquidity", i hear endless cases of people having their believed "easy access capital" returned to them in a matter of weeks, sometimes months and usually with penalties so their original invested capital is not returned 100%.

If you find yourself in a 2008 scenario, then the term "maximum liquidity" will seem like a fairy tale moment you're never going to experience.

Not to say P2P isn't a legitimate investment, but to batch it as low risk and highly liquid is a dangerously misleading statement. When you start mentioning it (as you did in your other post) in a discussion about emergency funds, then people need to be made aware that P2P is NOT something that should be considered.