Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@. Skimlinks & other affiliated links are turned on

Search
  • FIRST POST
    • treecol
    • By treecol 6th Mar 18, 5:40 PM
    • 266Posts
    • 31Thanks
    treecol
    Where should we invest?
    • #1
    • 6th Mar 18, 5:40 PM
    Where should we invest? 6th Mar 18 at 5:40 PM
    We have an inheritance of 150k & although we are toying with the idea of adding to it to become 1st-time landlords, we want to do some research about that first. So what would give is the best return in the meantime, as we have never invested before? We are not "gamblers" so would want our investment to be 100% safe. Don't mind our capital being tied up long term, just want it to be safe with a good return. We are self-employed, in case you wonder if we may be retired non-taxpayers.
    Thank you in advance.
Page 1
    • Economic
    • By Economic 6th Mar 18, 5:53 PM
    • 251 Posts
    • 231 Thanks
    Economic
    • #2
    • 6th Mar 18, 5:53 PM
    • #2
    • 6th Mar 18, 5:53 PM
    100% Safe = NS&I
    https://www.nsandi.com/direct-saver
    • MallyGirl
    • By MallyGirl 6th Mar 18, 6:05 PM
    • 2,740 Posts
    • 7,746 Thanks
    MallyGirl
    • #3
    • 6th Mar 18, 6:05 PM
    • #3
    • 6th Mar 18, 6:05 PM
    If you want 100% safe then you are thinking about saving not investing, and you won't find rates that even keep pace with inflation unfortunatel
    • eskbanker
    • By eskbanker 6th Mar 18, 7:24 PM
    • 7,441 Posts
    • 8,009 Thanks
    eskbanker
    • #4
    • 6th Mar 18, 7:24 PM
    • #4
    • 6th Mar 18, 7:24 PM
    We are not "gamblers" so would want our investment to be 100% safe.
    Originally posted by treecol
    we are toying with the idea of adding to it to become 1st-time landlords
    Originally posted by treecol
    These two sentences are mutually exclusive - a Buy To Let ties up substantial equity in a single illiquid asset with no guarantee of capital protection, never mind growth. Not saying it's a bad idea as such but you should make your minds up about what your attitudes to risk really are!
    • Audaxer
    • By Audaxer 6th Mar 18, 9:09 PM
    • 1,080 Posts
    • 634 Thanks
    Audaxer
    • #5
    • 6th Mar 18, 9:09 PM
    • #5
    • 6th Mar 18, 9:09 PM
    We are not "gamblers" so would want our investment to be 100% safe.
    Originally posted by treecol
    Investments have different levels of risks, so are not 100% safe in that the value of your capital can go up and down. However if you invest in for example, a good globally diversified multi asset fund for the long term, i.e. if you don't need access to the capital for at least 10 years, it is likely to produce much better returns than you would get from a savings account.

    By leaving the capital in savings accounts long term, you will be guaranteed to get the capital and some interest back, but it will lose part of its value due to inflation, so I would consider that as more of a risk than sensible investments over the long term.
    • treecol
    • By treecol 7th Mar 18, 11:19 AM
    • 266 Posts
    • 31 Thanks
    treecol
    • #6
    • 7th Mar 18, 11:19 AM
    • #6
    • 7th Mar 18, 11:19 AM
    Thank you all. I can see your point about being landlords. That is why we want to do some research first. What worries us is having a nightmare tenant who doesn't pay the rent.
    So we may be better to see a financial advisor by the sound of it. So how do we chose one who will give honest advice?
    • ChopperST
    • By ChopperST 7th Mar 18, 11:24 AM
    • 1,111 Posts
    • 743 Thanks
    ChopperST
    • #7
    • 7th Mar 18, 11:24 AM
    • #7
    • 7th Mar 18, 11:24 AM
    Thank you all. I can see your point about being landlords. That is why we want to do some research first. What worries us is having a nightmare tenant who doesn't pay the rent.
    So we may be better to see a financial advisor by the sound of it. So how do we chose one who will give honest advice?
    Originally posted by treecol
    https://www.unbiased.co.uk/
    • Credit-Crunched
    • By Credit-Crunched 7th Mar 18, 11:52 AM
    • 2,106 Posts
    • 4,132 Thanks
    Credit-Crunched
    • #8
    • 7th Mar 18, 11:52 AM
    • #8
    • 7th Mar 18, 11:52 AM
    Thank you all. I can see your point about being landlords. That is why we want to do some research first. What worries us is having a nightmare tenant who doesn't pay the rent.
    So we may be better to see a financial advisor by the sound of it. So how do we chose one who will give honest advice?
    Originally posted by treecol
    Plus fees, costs, running maintenance, potential damage to property, house price crash, increasing punitive taxation on BTL's, capital gains the list is ever growing as to why BTL is not a good idea!
    • jimjames
    • By jimjames 7th Mar 18, 1:30 PM
    • 12,650 Posts
    • 11,313 Thanks
    jimjames
    • #9
    • 7th Mar 18, 1:30 PM
    • #9
    • 7th Mar 18, 1:30 PM
    As above you really need to understand risk. Saying you're considering BTL but want 100% safe investment shows you don't currently so definitely worth doing some reading about risk. Investing in the stock market isn't gambling and you can set risk levels but need to realise that setting too low a level will impact your return long term.
    Remember the saying: if it looks too good to be true it almost certainly is.
    • Audaxer
    • By Audaxer 7th Mar 18, 5:04 PM
    • 1,080 Posts
    • 634 Thanks
    Audaxer
    So how do we chose one who will give honest advice?
    Originally posted by treecol
    Before seeing an Independent Financial Adviser, it might be a good idea to learn a bit more about risk and investing first. There is a lot of information on this forum and sites like Monevator that will give you a good grounding. You might then decide you want to handle the investments yourself, in what is called DIY investing, or you may decide you still want to consult an IFA. If you do decide to go to an IFA you will have gained some useful knowledge so you are able to ask the right questions and better understand what you are being advised.
    • treecol
    • By treecol 3rd Apr 18, 1:14 PM
    • 266 Posts
    • 31 Thanks
    treecol
    Thank you all so much. Time to do a lot of home work!
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

3,100Posts Today

7,669Users online

Martin's Twitter
  • RT @LaraLewington: ...and mine suggested I'd achieved a lifelong ambition of being sawn in half by a magician - at our wedding. Wasn't. Don?

  • We are working on it - I think BA has behaved awfully on this. Those flight were no obviously a glitch. It should? https://t.co/8pvtXtUEqi

  • RT @thenicolabryant: Absolutely. We need mental health and financial health as advocated my @MartinSLewis , to be taught in schools. So muc?

  • Follow Martin