Transferring my cash Isa to a Halifax share dealing account.Suggestions on which fund to invest in.

Wrexham68guns

My Halifax Cash Isa ends after five years (£17,000) and due to low interest rates I will be transferring it into my Halifax share dealing account and then investing in a stocks and shares isa.
Any suggestions on Investment funds etc as I do not have much idea on this I would like a medium risk and looking to invest for at least 10 years. I am using the Halifax platform as I already have a share dealing account with them.

El_Torro

Since you already have a share dealing account with them what are you currently invested in? Something similar (or identical) for your ISA might make sense.

Halifax charge a lot for trading so I would suggest a fund that you can put money into and then forget about for 10 years. A global tracker (relatively high volatility) or a multi asset fund (less volatility, depending on which fund you choose) fits the bill. It's a pretty stock answer round these parts, but that's because it's suitable for many people. 

Since you say you are looking at a medium risk fund (medium risk means different things to different people) then I would say you wouldn't go far wrong with Vanguard LifeStrategy 60 or HSBC Global Strategy Balanced or Fidelity Multi Asset Allocator Growth. These are 3 multi asset funds which I'm familiar with, there are other choices out there too. 

Actually I've just checked, Halifax don't seem to offer the Fidelity fund I mentioned. It does offer the other two though.

Wrexham68guns

Thank you El Torro that was just the kind of answer I wanted as I mentioned I do not have much idea on funds.I started investing a few months back mainly in shares that give me a high divedend M&G,Legal general,Evraz,Direct line averaging over 6%.See how I go with these but doing nicely at the moment.

dunstonh

Any suggestions on Investment funds etc as I do not have much idea on this I would like a medium risk and looking to invest for at least 10 years. 

What do you define as a medium risk?     
And for reference, one of the three funds mentioned by El Torro is not medium risk but moderately cautious (i.e. a notch below).  So, there is a risk of getting mismatches if you don't clearly define your risk level.

El_Torro

Most people on this forum (myself included) would strongly suggest that you don't invest in individual shares, especially if you're starting out and not very sure on what you're doing. Investing in individual shares takes a lot of time researching to get right, and requires pretty much constant attention. It's good that the shares you've picked are doing well, though the chances of you having a nasty surprise are a lot higher than if you go with a well diversified fund (like the ones I mentioned). 

There's plenty of material out there on the internet about how to invest, including on this MSE forum. Passive investing in trackers is very much the trendy thing at the moment, for good reason. If you want to get rich quick in individual shares then I'm of the view that it's almost like gambling. Passive investing won't get you rich quickly but over a long enough timeline your money is pretty secure and you should expect a good return, much better return than having the money in cash anyway.

Wrexham68guns

Thankyou,I think with the shares I have chosen I have checked share and dividend history and just feel that I can make more money with the high yields and re investing dividends than getting 0.3% in the building society.I do realise dividends could change in the future.But for my isa I want something different.El Torro what kind of percentages of growth would you be happy with over a five year period.

Albermarle

 what kind of percentages of growth would you be happy with over a five year period.

I think most people would be happy with 5% pa above inflation for a higher risk fund . Say 2or 3 % for a medium risk and 1% for a more conservative fund . Of course the actual returns need to be higher to take account of inflation and the higher risk funds will see more volatility than the lower risk ones,

Worth noting though that the last 10 years have been good for investors and returns well above those have been achievable.

The next ten years could be harder work and achieving the above figures could well be a good result.

C_Mababejive

I'm not an "expert" but maybe look at 60/40 funds and keep an eye on charges?

Baillie Gifford managed acc

HSBC Global strategy balanced Acc

etc

Once you have the money in your Halifax s and s ISA you can just deal it by setting up a deal in the regular investment option and pay £2.

etienneg

Wrexham68guns said:

My Halifax Cash Isa ends after five years (£17,000) and due to low interest rates I will be transferring it into my Halifax share dealing account and then investing in a stocks and shares isa.

You do know there's a difference between a share dealing account and a stocks and shares ISA, I hope!

dunstonh

Baillie Gifford managed acc
HSBC Global strategy balanced Acc

Those funds have very different risk profiles.

Wrexham68guns

etienneg said:

Wrexham68guns said:

My Halifax Cash Isa ends after five years (£17,000) and due to low interest rates I will be transferring it into my Halifax share dealing account and then investing in a stocks and shares isa.

You do know there's a difference between a share dealing account and a stocks and shares ISA, I hope!

Yes clever boy!!