Newbie looking at ISA stocks and Shares

ApolloHubble

I'm one of the many people who will be affected by the changes of ISA savings amounts for saving in April 2027. I therefore thought I would invest £500 this year as a trial run. I have put the rest into a Trading 212 cash ISA this April 2026. I have never invested in Stocks and Shares so am not sure where to start. I did watch Martin's S&S programme after the announcement of the changes to ISAs for under 65s. I have seen that I can either do the donkey work myself (and this is less of a fee) or I can have a 'money manager' ( this may be the wrong terminology but hopefully you understand what I mean). I think having a manager is my preference. I have done quite a bit of research but it is quite daunting. Any advice is gratefully received as to where to start. Thank you.

friolento

You could read up about passive investing and select one of two passive funds which will cost a lot less than a 'money manager' and probably deliver better long term results

Nurse2047

do watch https://youtube.com/%40damientalksmoney?si=roU9N24Rs-z9UQfS

and also https://youtube.com/%40thehumblepenny?si=k7cxGIl-dvrUwHP4

To start with they have some videos talking you through the different providers and how to set it up and leave and let compounding do the rest.

Set up in a global low cost fund and set direct debit for monthly and leave it alone.

Nurse2047

other great content is

https://youtube.com/%40makingmoneypodcast?si=BdfeuTpFbg212tKh

https://youtube.com/%40nischa?si=7PhSq7LffnXJRCnT

https://youtube.com/%40makingmoneysimple?si=1KWT6Ep7hrfkr2U8

https://youtube.com/%40tobynewbatt?si=TVMTv3qQ_MzS-ua_

https://youtube.com/%40jamesshack?si=zzQzHAjVYQswqODC

https://youtube.com/%40chrisbourne-retirementplanner?si=8G4wCw6nzq3gIONL

https://youtube.com/%40pensioncraft?si=KIwVlssCyt1YjkgG

Worried_fool

You could also use a "robo investor" so that a computer programme does 'the donkey work' for you. One example much discussed on this forum was called Nutmeg, now rebranded as J P Morgan.(I also have about £500 with them.)

friolento

https://forums.moneysavingexpert.com/discussion/comment/81978361#Comment_81978361

Nutmeg / JP Morgan Personal Investing would be the last of the robo investors I would choose as they are quite expensive. InvestEngine or Wealthify would probably be better choices - but choosing a zero fee platform (e.g. Freetrade) and a global ETF will cost substantially less, potentially saving thousands over the years

dunstonh

I therefore thought I would invest £500 this year as a trial run. 

As an economic cycle is around 15 years, that is the ideal minimum term to invest. 5 years is the absolute minimum with 10+ being better.

So, how long are you going to run this trial?

 have seen that I can either do the donkey work myself (and this is less of a fee) or I can have a 'money manager' ( this may be the wrong terminology but hopefully you understand what I mean). 

You are referring to robo providers. They are more expensive and offer very little compared to buying a multi-asset fund yourself. If you were stopping at around the £500-£5,000 mark, then its not really an issue but you are going to be doing more than that in the near future, then you should consider a platform with a multi-asset fund as that achieves a similar outcome but at lower cost.

Be wary of DIY investors giving you "advice" on investments without knowing your risk profile. Several on this thread have already indicated high risk options. For someone with no investment knowledge and history, diving in at the deep end with a global ETF is unlikely to be the right option. You may build up to that in time but going into an option that could fall 50% within 12 months needs to be understood and acceptable to you.

ApolloHubble

https://forums.moneysavingexpert.com/discussion/comment/81978603#Comment_81978603

My trial run means that this year I will use the £500 to learn how to invest. The money can stay invested for over 10 years easily.

dunstonh

https://forums.moneysavingexpert.com/discussion/comment/81984645#Comment_81984645

What happens if it halves in value over this year, which is a distinct possibility?

InvesterJones

https://forums.moneysavingexpert.com/discussion/comment/81984645#Comment_81984645

You'll be able to learn how to invest on various platforms no problem. What you won't be able to do is see how your investment plans out as, per above, one year is too short to access that. That's fine, but it means you need to think ahead and seriously assess what your risk tolerance/appetite is (this can be done by projecting how you would feel if the investment dropped by 50% in a year for example). Once you have, make a plan, and then stick too it - perhaps don't even look at the investment afterwards for some time (years).

ApolloHubble

https://forums.moneysavingexpert.com/discussion/comment/81984883#Comment_81984883

My saying that I want to use this £500 as a trial means I wish to use this money to get to know how platforms work. I am fully aware that funds go up and down - that is not a concern to me. My main thing is that I have never invested before so wanted to get some advice as to how to start.