New Share Dealer?!!?

carnet

dunstonh wrote:

Personally, I do both individual shares and collectives.

Yes, so do I.

But must say that, over many years, have done far better with funds - although I do all my own fund research - and some of the funds I've seen "experts" recommend make me glad I do .

EdInvestor

dunstonh wrote:

You shouldnt rule out unit trusts when looking for variety and lower risk - investors may well prefer to buy unit trust funds across the sectors. I mean, would you want to buy individual shares in a latin american company?

IMHO unit trusts can be useful in areas of higher risk, eg small caps.

But I see little point in paying often high charges for holding large cap shares in unit trusts.

My main piece of advice for newbies would be

[gigantic font] SIZE MATTERS[/gigantic font]

aka BIG IS BEAUTIFUL

If you're just starting out, buy a bunch of large household name shares with enormous market caps, that pay big dividends - and just watch what happens.Don't waste your hardearned punting on small risky shares that you hear about on BBs until you have more experience, because you're almost certain to lose.

TAKE YOUR TIME.

Jeppo

A unit trust is just a collection of assets focusing on a certain area. So its wrong to say that a unit trust has underperformed. Its where and how the unit trusts are invested that matters.

mmmmm.......while I don't disagree about the 'where and how' it makes sense to compare the performance of managed funds to the market average, doesn't it? My unit trust is invested in the UK stock market, not Latin America. The point I was trying to make was that actively managed funds eat into an investor's profits by making hefty charges and fees.

Although some managed funds do beat the market average, they are sadly few & far between.

dunstonh

The point I was trying to make was that actively managed funds eat into an investor's profits by making hefty charges and fees.

Depends on where you buy them from as to the cost. Single shares will be cheaper for larger holdings or long term holdings. However, unit trusts in overseas funds or property etc are quite desirable. I do have china, latin america and emerging asia funds in my portfolio and they are significantly outperforming the single shares. So charges are not really an issue.

Most of my unit trust funds are emerging markets, foreign stockmarket based or property. My shares are UK. I wouldnt feel comfortable at this time having overseas shares. In addition to the tax hassle (ok, its not much hassle but i still dont want it).

cghadley

have any of you come accross a non-uk regulated company tana corum?

cheerfulcat

cghadley wrote:

have any of you come accross a non-uk regulated company tana corum?

No, but a quick Google throws up an awful lot of warning signs! It looks like a boiler room scam.

cghadley

yes that is what i was worried about - so i have ditched them - i was just wondering if anyone had dealt with them personally?

timesphere

I repeat what I said earlier

1 A few hours study each week
2 Not being afraid to take a risk

when I first started I bought Marconi shares,
I've still got em (really expensive toilet decorations)

Lesson 1, Get rid of your losers quickly
Lesson 2, Don't try catching falling knives (I bought on the way down)

I still invest in shares but I spread the risk and study, study, study !