How much to invest in index funds?

bostonerimus

Collyflower1 said:

So , reading with interest as im retired, 60, paying £2880 into my dc pension and have just over £26000 in VLS60 which i opened at the end of january 2022 and planned to hold for 10 years.My VLS is c.4.5% down. With the finances i have i could potentially up the vls to £40k maximum and then just leave it. But because i'm slightly nervous i'm just considering putting my £14k into a cash isa. I already have £45k in a fixed rate bond of 5.1% for 5 years and also have a fixed rate bond with £40 maturing in june. I'm forecast to get full state pension in c.7 years.

    Obviously i want what would give the best outcome. It made sense to go for vls60 from my risk profile and it may be best just to leave it like that. But then part of me saying forget the bonds and maybe some type of savings ladder?

Forget about the "best outcome"! and define what you need to achieve. If a fixed savings bond ladder will meet your financial goals do that because it has almost zero risk. Too many people see personal finance as an open ended race to the biggest pot rather than taking the path of least risk to their financial goals.

P933alilli

Hi dealyboy,

     yes the VLS60 is a S&S isa and i'm using cash savings for the dc pension contributions!   I hadnt considered my fixed rate cash bonds as similar to bonds in the lifestrategy investment fund but i suppose they are!

   

  

dealyboy

Hello again @Collyflower1 ...

Collyflower1 said:

Hi dealyboy,

     yes the VLS60 is a S&S isa and i'm using cash savings for the dc pension contributions!   I hadnt considered my fixed rate cash bonds as similar to bonds in the lifestrategy investment fund but i suppose they are!

   

  

Well the thing obviously is to put it in an ISA before the end of the tax year. If in a S&S ISA you can decide later if you want to put it in your VLS60 or something else. If you put it in a cash ISA you can transfer it to your S&S ISA at a later date, next year if you want.

https://www.moneysavingexpert.com/savings/best-cash-isa/

I'm an OAP BTW. 

Savingforahouse123

OP here. Revisiting this. 

I’ve now got: 
LISA which £4k goes into each tax year. Investing in the global all cap.

My S&S ISA was invested in the LS100 but I’ve now decided to invest in the global all cap too in my S&S ISA. 

How much do you think I should be putting into the S&S ISA? Or put a different way, how much should I leave as easy access (non invested) money?

I have £11k currently in easy access. 

I spend around £1k a month. Save £700 a month.