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  • FIRST POST
    • soomagoo
    • By soomagoo 14th Mar 18, 9:22 PM
    • 31Posts
    • 6Thanks
    soomagoo
    Advice needed - cash sum to invest?
    • #1
    • 14th Mar 18, 9:22 PM
    Advice needed - cash sum to invest? 14th Mar 18 at 9:22 PM
    Hi all,


    My Dad has recently - and ridiculously generously - passed on some inheritance and I'm looking for some advice as to where to put it. I am looking for somewhere longer term (more than 1 year) to put 50k, and somewhere instant access to put 25k. Premium bonds? Savings accounts?! An alternative I haven't heard of?!


    Any advice gratefully received, thanks!
Page 1
    • ValiantSon
    • By ValiantSon 14th Mar 18, 10:51 PM
    • 1,892 Posts
    • 1,754 Thanks
    ValiantSon
    • #2
    • 14th Mar 18, 10:51 PM
    • #2
    • 14th Mar 18, 10:51 PM
    If your maximum timeframe is around a year or so, then you don't want to invest the money as you stand a good chance of losing value. You want savings accounts.

    A 1 year fixed rate savings bond paying 1.9% is available from Investec (for the 50,000). The remaining 25,000 could be split between interest paying current accounts and regular savers to get the best interest rate possible. Alternatively if you want a very easy life then open the best paying easy access saver.

    Premium bonds offer no guaranteed return and make little sense unless you are feeling incredibly lucky.
    • Zandy_23
    • By Zandy_23 14th Mar 18, 11:49 PM
    • 59 Posts
    • 22 Thanks
    Zandy_23
    • #3
    • 14th Mar 18, 11:49 PM
    • #3
    • 14th Mar 18, 11:49 PM
    Put it in stocks or mutual funds. Get advice from a real finance manager so you would know everything you need to know.
    • cloud_dog
    • By cloud_dog 14th Mar 18, 11:52 PM
    • 3,698 Posts
    • 2,192 Thanks
    cloud_dog
    • #4
    • 14th Mar 18, 11:52 PM
    • #4
    • 14th Mar 18, 11:52 PM
    Put it in stocks or mutual funds. Get advice from a real finance manager so you would know everything you need to know.
    Originally posted by Zandy_23
    Please don't follow this advise to put it in to stocks/funds unless your time frame is significantly longer, i.e. at least 5 years.
    Personal Responsibility - Sad but True

    Sometimes.... I am like a dog with a bone
    • ValiantSon
    • By ValiantSon 15th Mar 18, 9:38 PM
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    ValiantSon
    • #5
    • 15th Mar 18, 9:38 PM
    • #5
    • 15th Mar 18, 9:38 PM
    Put it in stocks or mutual funds. Get advice from a real finance manager so you would know everything you need to know.
    Originally posted by Zandy_23
    On a one year timeframe???

    Ludicrous advice. As I had already said, such a short time is not suitable to consider investments as they stand a very good chance of losing value.
    • xylophone
    • By xylophone 15th Mar 18, 10:20 PM
    • 25,374 Posts
    • 14,970 Thanks
    xylophone
    • #6
    • 15th Mar 18, 10:20 PM
    • #6
    • 15th Mar 18, 10:20 PM
    You mention dividing the cash into "more than one year" and "instant access".

    What is your ultimate intention for the larger sum? For example, is it a deposit for a home of your own?

    Do you intend to spend the 25,000 over the year?

    http://www.thisismoney.co.uk/money/article-1583859/Best-savings-rates-General-savings-Internet-branch.html
    • soomagoo
    • By soomagoo 17th Mar 18, 1:34 PM
    • 31 Posts
    • 6 Thanks
    soomagoo
    • #7
    • 17th Mar 18, 1:34 PM
    • #7
    • 17th Mar 18, 1:34 PM
    Thanks all for the info so far.


    Xylophone - the 25k is to make an overpayment on our mortgage next year with the remainder being put into the mortgage the year after when we are able to remortgage. So essentially, both sums are going to sit waiting to be paid into the mortgage!
    • username12345678
    • By username12345678 17th Mar 18, 1:41 PM
    • 212 Posts
    • 108 Thanks
    username12345678
    • #8
    • 17th Mar 18, 1:41 PM
    • #8
    • 17th Mar 18, 1:41 PM
    I'd be surprised if anyone advised you to invest the money on those time scales.

    Check out the best paying current accounts would be my suggestion.
    • ValiantSon
    • By ValiantSon 17th Mar 18, 2:16 PM
    • 1,892 Posts
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    ValiantSon
    • #9
    • 17th Mar 18, 2:16 PM
    • #9
    • 17th Mar 18, 2:16 PM
    I'd be surprised if anyone advised you to invest the money on those time scales.
    Originally posted by username12345678
    You might well be surprised, but like every village, there is always one! See post #3.
    • pip895
    • By pip895 17th Mar 18, 2:59 PM
    • 576 Posts
    • 321 Thanks
    pip895
    The OP didn't actually say he needed the cash in a year - he said long term (more than one year)

    I would suggest he thought hard and considered whether a proportion of that could be put aside, or potentially put aside, for actual long term i.e >5years. If that is the case I would suggest using 20k in a S&S isa perhaps into a fund such as LS60. He should also look at pension options etc.

    I don't think going to a IFA is necessary for such a sum but to get the most of advice on here he would need to post a lot more detail about his circumstances, age - other assets etc.
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