My very ambitious way to get £60k in 48 months…

Contro1

Investment strategy for 23/24

Majority of this plan to gain at least another 60k in savings is self managed. I need help to see what the best way moving forward to gain my goal.

Mg appetite to risk is huge, a guy who works in financing does not want me as a client as

- what he is doing I’m doing already.

- his fees outweighs the gains I want.

tldr; I’m planning for my future at 30 year old. 

I am an electrician by trade, I earn £45/hour however when my current college is finished I will be raising to £50/hour. I am literally throwing everything i have in this to get what I need to do. 

This is my yearly investment strategy. This will help keep me motivated, as I’m going through this will be edited to give better understanding how the year will progress. 

I have an appetite that suites very risky investment portfolio and will continue on this tune. This portfolio consists on mainly less risky investments. 

Cryptocurrency 

Bitcoin will be the most riskiest investment that I’ll be involved in.

Currently, as of 01/04/23 I have in Bitcoin and the crypto market £1530. My aim is to increase this with monetary deposits or if market conditions allow to at least £2,000.

For withdrawing the crypto money. I will continue to hold $Nodl and $Shib so my current investment that I can take out now is £1,002. Which means I am required to add £998 of my own funds or as the market rises to get my £2,000 target. 

Fixed rate savings

Fixed rate savings account which is coming to an end on 23rd June 2023 currently has £42,000 locked in with the interest on this investment earning £695 over 6 months. *

When my fixed rate savings account comes to an end I will fix the £42,000 again for 9 months which will give me currently at Atom 3.93% or £1,243.60 (as of 01/04/23).

— will search for a better or more deals when it comes up to renew —

Pension pot(s)

I have a pension pot that I am planning to add at least £50 per month for the foreseeable while getting topped up 25% on each deposit I make to PensionBee. I am now in control of my own pension(s)  

I currently have two pots, one worth £26,600 and the second unknown currently as it’s being transferred in.

• loan repayments from friend. 

she is paying back per month £40, of a £2,500 loan that I lent her. She currently has £2460 to pay back. This will fund the S&S isa 

- I will add an additional £40 from my working wages to make it up to £80. I have completed this by 05/04/2023.

I will split £200 (at least) per month and split between Pension, S&S and the crypto market in a three way split of approx £66 each way. 

John’s FX plan.

John had discussed a little plan with me where he’ll take 20% of profits earned on his currency trading platform. He says that he “might” - market depending be able to earn £300 per year on £1000 investment. As long as long as I pay him £60 per year.

However on £4,000 he can cash out 4 times a year and John will earn £240 per year in additional income where I will earn just shy of £960 per year with £4000 investments.

The reason why I want to put money into my friend as his trying to go fully self sustainable and have trust in him. As much money I can shove into this account to support my friend I will do it. 

My friend won’t be able to withdraw any money but only trade with money, my risk appetite supports this motive.

Now on FXCM minimum deposits are £500. So I will need to work a little bit more to generate this income so I can deposit. John said that the smallest amount he might be able to make money on is $500. 

Future plans and thoughts 

• No 25% top up as I’m not a first time buyer anymore. The only top up I will get is into my own pension fund.

• Potentially keep £42,000 in fixed savings account take out interest and invest in S&S isa. (Potentially.)

• Potentially a rise in 6.74% on my year in my investments - market conditions allowing. 

So this years goal alone is to have the following in savings. 

• £480 from Friend. 
• £695 from fixed savings 
• £2000 from crypto / market investments 
• Left overs from working wages that I can afford to lose to more than likely to go into cryptocurrency or ISA. 

Total guaranteed 

• £3175

Which will give me a working capital of £45,175.

Providers 

Atom bank - £42,000

Wealthily - S&S - £80 (just started this tax year) 

Kraken - £1,002 in withdraw-able cryptocurrency - if anyone wants to earn an additional $10 when they deposit $10 let me know, works for both of us 

PensionBee - known balance - £26,600 from one pension. Two pensions will be added to the pot unknown balance from the second pot. 

Liveable expenditures that I cannot ignore in this equation

My living expenses are nominal, they include only basic items to live, I am in care of two additional people but recently have scaled back my “investment” into them. I do general food shopping on a by-weekly basis.

• food - £100 every 14 days (give or take)
• Fuel - £100 per month 
• Insurances - £48 per month (for van)
• Vehicle tax - £25 per month 
• Vaping supplies £20 per week 
• Breakdown and repair fund - £35 per week (savings). 
• Phone bill - £10 per month 
• Internet £45 per month - just started moving providers now so will be cheaper 

My average monthly spending is £648 per month.

End goals

Of course this is on the lower end of my investment strategy for now my goal is to have a potential eye watering £130,000 within the next few years. I will need to gain at least another £58,500. 

Which in one year from April to March is not doable at £4875 required per month. 

However; at 48 months with £1,218 invested per month is more than doable this calculation includes investing into my pension pot.

This works out to be £304 per week. 

With finishing college in approx 7 weeks I should be able to “ramp up” my earnings as I am currently splitting my time for college three days a week and work four days a week, bringing me in a total of £500 per week in wages. 

Smaller goals to keep me focused and working life.

Smaller goals will help me keep motivated as this is a huge ask to manage to save this amount of money per year. 

My first goal will probably be the most easiest to reach.

In 23/24 tax year I will do the following. 

I will rise my capital by at least 6.74% within one year. This is excluding risky investments because they are not 100% in hand.

Current: £42,000    

Goal: £8,000

6.74% rise 

Total £50,000 

Can anyone else give me some more pointers? I’m literally splitting my spread as much as I can and as often as I can… 

francoghezzi

Very nice. You forgot to go outside, and watch a cloud, breathe and enjoy what this life is truly about ...

Contro1

francoghezzi said:

Very nice. You forgot to go outside, and watch a cloud, breathe and enjoy what this life is truly about ...

That’ll pay off later on when I don’t have to worry about life like I do now. 

LHW99

When (many years ago) I had to save enough quickly for a 10% deposit to get a mortgage, I gave up eating lunch and didn't go out for 12 months. Think that was probably less risky on the whole.

eskbanker

Contro1 said:

tldr; I’m planning for my future at 30 year old. 

Unless I missed it in there somewhere, you don't really say what your plans are, i.e. what the money's ultimately for?

Contro1 said:

Future plans and thoughts 

• No 25% top up as I’m not a first time buyer anymore.
  

Do you own a property with or without a mortgage?  Are you aiming for something larger/better/elsewhere perhaps?

Contro1 said:

Pension pot(s)

I have a pension pot that I am planning to add at least £50 per month for the foreseeable while getting topped up 25% on each deposit I make to PensionBee. I am now in control of my own pension(s)  

I currently have two pots, one worth £26,600 and the second unknown currently as it’s being transferred in.

Always worth investing in pensions from as early as possible, but obviously that's genuinely long term money, i.e. 57/58+ not 30.  It's always a fine balance to get right between short and long term needs, but £50 per month isn't a generous contribution, and existing pots of that scale have presumably stemmed from higher contributions previously?

dealyboy

Welcome to the forums @Contro1 ... I'm sure you anticipated a degree of cynicism or sarcasm, but money making is the other side of the coin to money saving and I admire your ambition.

Alan Sugar and Richard Branson didn't get to where they are without taking a risk, not to mention Elon Musk. It is your response when things go wrong which will make you a winner, as all three will testify.

thegreenone

Unless John is extremely good at FX trading - don't. And don't believe what he tells you either.

My son took it up when he had a long period of (physical) ill-health and, four years later, it still doesn't pay enough to live on.  He's got an additional job in a pub now.

"I am in care of two additional people but recently have scaled back my “investment” into them."
Does this mean you live with your parents and have stopped paying rent or you have children with a partner and no longer paying maintenance?   You don't mention housing costs at all.

Contro1

eskbanker said:

Contro1 said:

tldr; I’m planning for my future at 30 year old. 

Unless I missed it in there somewhere, you don't really say what your plans are, i.e. what the money's ultimately for?

Contro1 said:

Future plans and thoughts 

• No 25% top up as I’m not a first time buyer anymore.
  

Do you own a property with or without a mortgage?  Are you aiming for something larger/better/elsewhere perhaps?

Contro1 said:

Pension pot(s)

I have a pension pot that I am planning to add at least £50 per month for the foreseeable while getting topped up 25% on each deposit I make to PensionBee. I am now in control of my own pension(s)  

I currently have two pots, one worth £26,600 and the second unknown currently as it’s being transferred in.

Always worth investing in pensions from as early as possible, but obviously that's genuinely long term money, i.e. 57/58+ not 30.  It's always a fine balance to get right between short and long term needs, but £50 per month isn't a generous contribution, and existing pots of that scale have presumably stemmed from higher contributions previously?

Sorry, money is for a house. I figured for myself I need to start knuckling. My expenses are very low at the moment because I am scrimping on absolutely everything. I do care for two others but part and part. 

My friend John. His been doing this for over ten years. Has worked for firms just trying to do it him self at the moment. 

My other friend who I invested in her driving school is making regular monthly payments now so that will be put into that isa. I will be moving money around as and when I need to go get to where I need. 

Albermarle

My friend John. His been doing this for over ten years. Has worked for firms just trying to do it him self at the moment.

You probably need to be prepared that John and the driving instructor, could  probably be an ex friends at some point. Money schemes with family and friends can often end in tears.

If you are looking to buy a house in the next few years it is a good idea, to keep most of the money in cash, as you are doing. However if it is likely to be longer than that, then some more invested in mainstream funds in a S&S ISA could be a good idea, as cash savings tend to get eaten by inflation.

mooneysaver

Agree with the posters above. Your allocation to crypto and fx trading needs to be a lot higher to make the returns you want.

I'd stop the pension contributions and funnel those into John's fx trading scheme and dump half the full lump sum into crypto when it matures.

eskbanker

mooneysaver said:

Agree with the posters above. Your allocation to crypto and fx trading needs to be a lot higher to make the returns you want.

I'd stop the pension contributions and funnel those into John's fx trading scheme and dump half the full lump sum into crypto when it matures.

Just to be clear, none of the above posters are saying that!