Where Should I Put My Savings?

[Dowser]

Yeah, it seems Smart Investor is the service.

It also seems that I'll need a minimum of 10k to start...
Can anyone confirm this?

Also, is your money insured with IG, cbrads?
If things go tits up for them that is...

I don't think you need £10K to start, where have you seen that?

...and yes, your money's safe with IG 👍

 

[Nowler]

I don't think you need £10K to start, where have you seen that?

...and yes, your money's safe with IG 👍

I was fooling around with the calculator on their site and the first increment it would let me go up in was 10k.
I just assumed that meant it was the minimum...
Also, the annual fees involved would be quite a large % of say a 1k account. Far more than the 1-4% I am used to risking on my trading account.

 

[Dowser]

There's so many ways to invest your money inside an ISA, I think you need to decide how you'd like to do it and then you can compare different providers. For example, one of the simplest and cheapest ways to save long term is to trickle money into an Index Tracker

 

[Nowler]

There's so many ways to invest your money inside an ISA, I think you need to decide how you'd like to do it and then you can compare different providers. For example, one of the simplest and cheapest ways to save long term is to trickle money into an Index Tracker

Cheers buddy!
I will look more into that on my next day off.

I'm currently looking at HSBC's World Selection ISA.
I quote " A professionally managed, ready-made portfolio".
I can set my level of risk and then let them do their thing... sounds good to me.

Fees are just over 1%...which as far as I can see are annual but I need to look more into that.

 

[Dowser]

In the words of Jim Bowen; 'Super, Smashin, Great...' 👍

 

[mpups]

..

Fees are just over 1%...which as far as I can see are annual but I need to look more into that.

yes, typically this charge would be taken monthly so for a £10,000 account there would be £8.33 charged per month but im not sure how hsbc do it, maybe only account fee portion would be explicit in your transactions and the rest is within the fund as with ETFs etc, either way its the same effect

 

[Signalcalc]

Hey hey folks!
Just got my first partial wage and I feel flush! 😆
I'm imaging how I'll feel when I get a full month's wage next month plus the overtime 🙂

My plan is to save like hell and then use my money to trade, but... I've been wondering... where should I put my money in the meantime? Where would I get the best returns?

Should I just go with a savings account and avoid risk, or should I put money into some investment fund that takes small money (I get paid minimum wage, so savings will be modest)?

Perhaps I could open up a trading account with a broker where my money is insured and just deposit the money there each month?? Attempting to grow it myself...

Any opinions or advice?

Thanks in advance

Check it out:

https://www.moneysavingexpert.com/banking/

 

[Nowler]

yes, typically this charge would be taken monthly so for a £10,000 account there would be £8.33 charged per month but im not sure how hsbc do it, maybe only account fee portion would be explicit in your transactions and the rest is within the fund as with ETFs etc, either way its the same effect

I'll look more into it before committing to anything.

 

[Nowler]

Check it out:

https://www.moneysavingexpert.com/banking/

Thanks very much!
Very helpful!

 

[Nowler]

So...After reading through some of the Investment information in the link SignalCalc provided (https://www.moneysavingexpert.com/banking/) I find myself wondering...

1) Do it with me platforms?
Or
2) Do it for me platforms?

While I would like to be competent enough to go with the "Do it myself" platform, I just don't know enough to not be eaten by the big fish.

Anyone care to offer an opinion or a suggestion on the matter?

I reckon i'd be comfortable with medium to higher risk, if that helps you to form a suggestion.
I would also prefer to inform myself better on my investments and potential options, so that is leaning me a little more toward the "do it with me" platform... i think 🙂

It's not just about making money for me (though it is crucial), it's also about understanding the puzzle and being challenged.

 

[malaguti]

So...After reading through some of the Investment information in the link SignalCalc provided (https://www.moneysavingexpert.com/banking/) I find myself wondering...

1) Do it with me platforms?
Or
2) Do it for me platforms?

While I would like to be competent enough to go with the "Do it myself" platform, I just don't know enough to not be eaten by the big fish.

Anyone care to offer an opinion or a suggestion on the matter?

I reckon i'd be comfortable with medium to higher risk, if that helps you to form a suggestion.
I would also prefer to inform myself better on my investments and potential options, so that is leaning me a little more toward the "do it with me" platform... i think 🙂

It's not just about making money for me (though it is crucial), it's also about understanding the puzzle and being challenged.

why not both? why not put some money into a Vanguard fund, which are accessible to most people
www.vanguardinvestor.co.uk and then they choose the best option based on your risk profile and at the same time, put some into your own sharedealing/trading account. if you think you can beat their returns, give it a go whilst at least you know part of your investments are being managed by one of the worlds largest fund managers

some companies offer both options. AJBell are one of the better ones for this, they have funds they manage and also you have the option of your own. with Vanguard you only choose vanguard, but $4trillion funds you can't go far wrong

 

[Nowler]

why not both? why not put some money into a Vanguard fund, which are accessible to most people
www.vanguardinvestor.co.uk and then they choose the best option based on your risk profile and at the same time, put some into your own sharedealing/trading account. if you think you can beat their returns, give it a go whilst at least you know part of your investments are being managed by one of the worlds largest fund managers

some companies offer both options. AJBell are one of the better ones for this, they have funds they manage and also you have the option of your own. with Vanguard you only choose vanguard, but $4trillion funds you can't go far wrong

Thanks for the input mate.
I appreciate it 👍

However, would I be significantly handicapping myself by only being able choose Vanguard?

 

[malaguti]

Thanks for the input mate.
I appreciate it 👍

However, would I be significantly handicapping myself by only being able choose Vanguard?

Blackrock, who produce the ISHARES range of ETFs are my personal favourite and you can track these yourself through a half decent broker. you can then determine when to enter or exit which significantly reduces the risk of individual equities. thats DIY but based on a risk profile again that suits your own. I see you have a poll on equity vs bonds. thats great, but its your risk profile!


If i was going to let someone else manage my money, id want choice, but not too much choice. Vanguard like Blackrock, also offer a number of ETFs, but they are managing it for you. so you have the best of both worlds. you can dabble and feel king of your cash and someone else (vanguard is just a suggestion, Fidelity also do similar) could look after another portion of your savings.

the thing with vanguard, (and please im not trying to sell you their range, I dont work for Vanguard and i couldn't give a rats **** whether you listen or not) is that you clearly have an issue in not knowing what you're looking for.
so do you want a range of hundreds to choose from, and i see another thread starting, or do you want a good number of diverse structures that are more easily narrowed down?
now getting to the original question are you being handicapped. they manage $4trillion how much do you manage? no i dont think the second largest fund manager in the world is a handicap.

 

[Nowler]

Blackrock, who produce the ISHARES range of ETFs are my personal favourite and you can track these yourself through a half decent broker. you can then determine when to enter or exit which significantly reduces the risk of individual equities. thats DIY but based on a risk profile again that suits your own. I see you have a poll on equity vs bonds. thats great, but its your risk profile!


If i was going to let someone else manage my money, id want choice, but not too much choice. Vanguard like Blackrock, also offer a number of ETFs, but they are managing it for you. so you have the best of both worlds. you can dabble and feel king of your cash and someone else (vanguard is just a suggestion, Fidelity also do similar) could look after another portion of your savings.

the thing with vanguard, (and please im not trying to sell you their range, I dont work for Vanguard and i couldn't give a rats **** whether you listen or not) is that you clearly have an issue in not knowing what you're looking for.
so do you want a range of hundreds to choose from, and i see another thread starting, or do you want a good number of diverse structures that are more easily narrowed down?
now getting to the original question are you being handicapped. they manage $4trillion how much do you manage? no i dont think the second largest fund manager in the world is a handicap.

Thanks very much for the elaboration mate.
You have a good point about having choice, but not too much choice.

Realistically I don't have that much savings anyway. So I could drip feed into something like vanguard, or whatever, and get a feel for things over the next 9 months. All well and good... if I learn enough to be able to take more control into my own hands, then so be it. Otherwise, I can sit back and let the professionals do their thing until I get to where I need to be at to do it without their help.

Thanks for the help 🙂

 

[Merk Porter]

Many investment sectors have been established where people can employ their savings and earn extra money from their savings. And stock market, bond market, forex market and derivative market, etc. are various fields where a trader can make investment of their savings. I personally favor forex to invest my hard earned money. Forex traders can earn money by trading from anywhere around the world since it is a decentralized market.

 

[NVP]

hey N

hope the rental situation is looking brighter .....meanwhile responding on investments etc etc ....

first of all i would say think hard about using Tax wrappers ........not sure how old you are but also pension considerations as well.......its hard enough to make money theses days without giving it back needlessly to the government.so use these vehicles and plan for the future

also given your residential status the sooner you can secure a property the better .....so any cash you have would be better used for this based on your current lifestyle

most of the bigger firms are ok ....i use Hargreaves Lansdown for some of my investments and a couple of the other bigger outfits ...........no banks for investment though aside from First direct where we have our liquidity .....FD are excellent .....ive had a few run ins on mortgages as they are VERY rigid re terms and conditions of self employed.....but everything else is rock solid

im always looking at where half decent returns are for passive money.....dont pay for someone to lose your money ...take responsibility ........tracker funds and automated robots will do as well as overfed fund managers

IFAs dont have a clue generally (who does).......so dont believe the hype .....exams mean nothing .........just that they can pass exams ......sure a little legality on how to invest the money but any organisation will tell you what to do if you want to invest in them ....

just read and research about opportunities and apply this to you risk preferences and liquidity needs over next 5-10 years .....all about lifestyle choices

moneyweek was always a decent read for me ....a little like a comic in many areas but good overview......take a look at the tugboat approach here .....interesting but costs to join it ......

https://www.saltydoginvestor.com/

also i would say P2P lending is a half decent area to consider ...its maturing now and more and more organisations are accepting it as established funds ...but do your homework....like everything else its up to you

have fun
N

 

[NVP]

Thanks very much for the elaboration mate.
You have a good point about having choice, but not too much choice.

Realistically I don't have that much savings anyway. So I could drip feed into something like vanguard, or whatever, and get a feel for things over the next 9 months. All well and good... if I learn enough to be able to take more control into my own hands, then so be it. Otherwise, I can sit back and let the professionals do their thing until I get to where I need to be at to do it without their help.

Thanks for the help 🙂

dont believe the hype ......most of them are chucking darts in a board like traders.. a suit and an education doent make a sucessful investor ! (in my opinion)

 

[FXX]

I have gained tremendous growth by investing in property funds.

 

[Nowler]

hey N

hope the rental situation is looking brighter .....meanwhile responding on investments etc etc ....

first of all i would say think hard about using Tax wrappers ........not sure how old you are but also pension considerations as well.......its hard enough to make money theses days without giving it back needlessly to the government.so use these vehicles and plan for the future

also given your residential status the sooner you can secure a property the better .....so any cash you have would be better used for this based on your current lifestyle

most of the bigger firms are ok ....i use Hargreaves Lansdown for some of my investments and a couple of the other bigger outfits ...........no banks for investment though aside from First direct where we have our liquidity .....FD are excellent .....ive had a few run ins on mortgages as they are VERY rigid re terms and conditions of self employed.....but everything else is rock solid

im always looking at where half decent returns are for passive money.....dont pay for someone to lose your money ...take responsibility ........tracker funds and automated robots will do as well as overfed fund managers

IFAs dont have a clue generally (who does).......so dont believe the hype .....exams mean nothing .........just that they can pass exams ......sure a little legality on how to invest the money but any organisation will tell you what to do if you want to invest in them ....

just read and research about opportunities and apply this to you risk preferences and liquidity needs over next 5-10 years .....all about lifestyle choices

moneyweek was always a decent read for me ....a little like a comic in many areas but good overview......take a look at the tugboat approach here .....interesting but costs to join it ......

https://www.saltydoginvestor.com/

also i would say P2P lending is a half decent area to consider ...its maturing now and more and more organisations are accepting it as established funds ...but do your homework....like everything else its up to you

have fun
N

Hey mate,
I move into the new place on Sunday. Hopefully I can feel relaxed there and can start setting up better for my trading.

In regards to the rest of your post, I am 31 and have set up a Stocks and Shares ISA with Vanguard so that I can delay the paying of tax until I take the money out. With this, as im sure you know, I can invest the defered tax. Unfortunately, I did have to take the money I had in it out to help with this move, but once I'm in the new place, I'm back to looking at it as a long term investment (Index funds/Bonds).

I also have my pension set up for work, not a great pension but nonetheless, it's a pension. Between that and my ISA portfolio, I'm thinking long term.

I also save a little in a bank savings account. They are giving me 3% on my savings up to 5k. That savings account is for immediate access needs that pop up, and is also what I intend to use to fund my trading account when I upgrade from a micro account.

Between the long term view (pension and Stocks and Shares ISA), and the short to mid term (bank savings account) I think i am "ok". I just need to develop more as an investor to make better use of my ISA over the long-term and get better at trading to increase my near term non-employment income. Finding a better paying job is on the cards, so that will help on the pension front.

I do prefer to be in total control of managing my investing. I have come on a bit since I started my investment portfolio, but I have a lot more work to do. Vanguard aren't really doing much managing of it anyway as up until now it was tracking Indicies. When they went up, so did my portfolio, and when they went down...
It's passive, not actively managed. (They charge me .22%)

After reading Smith's book "how I trade for a living", I have a strong desire to trade stocks. I will still set money aside in passive index funds for the longterm, but i also want to trade stocks short term. Not given up on FX either.

Let's see where I'm at in 6-12 months when more of the dust settles 🙂

I'm going to check out that link you posted in a few mins. If it's a reasonable cost then I will sign up.

 

[Nowler]

I have gained tremendous growth by investing in property funds.

Good stuff mate!
I thought you were solely in the FX world.

I don't know much about property.
All I know is that new house permits is an important indicator for how an economy is doing.

In terms of economic cycles, I, in my very limit knowledge reckon we are closer to the decline of this cycle than we are to the beginning. So for that reason, I will hold off on investing in property funds. It will however be a part of my basket when it becomes cheaper to buy.