Investment

[Justin Passing]

Yes yes yes.
Lots of people do and they are very happy with that arrangement. If I was happier with something else, I’d do it. All the money in the world can’t bring you health or happiness but there’s plenty that think it’s the be all and end all. It isn’t.

Ignorance may be bliss but for the sake of a little education and clicking different buttons, you very likely get more than 50% extra.
The arrangement I mentioned is very low "risk", and you can't lose money.

Nobody is suggesting that getting most of what you can is "the be all....". You made that up, it's silly. Why, it doesn't work as a defence!
You're bothering to get an extra 0.2% on your bldg soc account, and using loads of accounts for security. Stocks and funds bought through a broker are less exposed too, than funds at a BS.

It sounds like you can't run the numbers/understand, so you're obdurately sitting up on a high horse throwing accusations, withoutthe knowledge. Quite a low horse, really! Plenty of people can do the sums so if I'm not clear, ask another man who can.
Remember your wife is likely to outlive you. If she goes on until 95+, you may need a pot around £3m, depending. Care home costs will outrun even an indexed pension - at least they have done for years now. The annual returns matter.

 

[Justin Passing]

Even then, if you're asking whether you'd be guaranteed to make a ton of money by investing in Doodah Plc then they can't/won't answer that.

They can advise on the facts and the risks, they can't decide for you or take away the risk.

That (plus your other post) is not really right.
Obviously nobody talks about Doodahs, but
they should be able to protect you completely for a certain amount, then go through risks and benefits of using a portion of your pot for this or that.
They should make it clear that a goal of zero risk, is unachievable, and unnecessarily exposes you to the risk of not having enough money.
They should be able to explain how long it has taken for the market to recover from a drop, and how that squares with your age.
Then, what makes sense tax-wise.
Then, explain how you must set things up such that you do not have to sell when prices drop (there are options there).
And more.

Some of them are truly incompetent. I visited an old workmate whose wife had terminal cancer. The IFA had made her take all the money from her 250k ISA to transfer it to her husband, outside the ISA wrapper, before she died. Isas transfer under normal circumstances, to a spouse, wrapper intact. The IFA cited long drawn out legal battles. These guys had no kids, no exes, nothing. That idiot cost my mate at least 2500 a year.
If anyone can suggest a valid reason for him doing that, please let me know!

 

[Justin Passing]

Gold - no do not hold the metal, theres absolutely no point.
You can hold ETFs and single shares.
A few Sovereigns have collector value, - depends -..
The price of gold is mostly driven by sentiment and momentum, and whether some government is dumping it like silly Gordon Brown.

 

[Justin Passing]

So what you are saying is that a savings account could perform better than shares and nobody could guarantee otherwise. That’s always been my belief.

That's a bit like walking because if you use a car it might break down.
Also, depending on the tax situation, the belief can be flat wrong. You may be able to guarantee to do better in the SM than a savings account.
If you're paying tax at 40%, use TN28. You'd need 7.225% to beat it. And it's far safer than some tinpot Bldg Soc, and no limit.

The savings account can only do better for a short time.
Sometimes the SM falls for a long time. OK so then you don't put the money in, or you take the money out!

This guy is quite good. You can skip to 2 minutes 50. He drifts about a bit. It's long, Use the search bar.

Here

As I've said many times,
"Just buy the S&P500" is easily beaten. It depends how much time you want to spend on it. It also depends what freedoms and resources you have like data analysers, or AI powered bots.
"Use an index fund" - well that depends which index. Index funds like the S&P500 are also pretty volatile. In the last few years that one has become dominated by very few companies, and it's likely to get even more concentrated.
"Managed funds do no better than the index": Fund managers have restrictions, like they aren't allowed to use more than a certain % of a stock. Funds all copy each because they have to ride each others coat tails so they tend too produce similar results.
Too many of these wise sounding, bowler hat and stripey suit epithets posit on a single stock or portfolio being fixed, for an extended time. That doesn't have to be true at all.
All to say, don't take everything he says as gospel. It's right for him, but not everyone.

 

[Mottie]

The arrangement I mentioned is very low "risk", and you can't lose money.

Low "risk" and "can’t lose" are how many people have lost fortunes. When the banks and investment companies start guaranteeing that I won’t lose my original stake money, let alone make a profit, I’ll put my money where it won’t be lost. Thankyouverymuch (TM).

If you can guarantee that investors will make a guaranteed profit without risking any of their money, you’re wasting you time spouting off on a plumbers forum - you should be running your own investment company, you’d make a fortune with a guarantee like that. Even those controlling billions of pounds with more knowledge than you are unable to guarantee that. Have you been in touch with them to share your wisdom?

 

[Mottie]

I visited an old workmate whose wife had terminal cancer. The IFA had made her take all the money from her 250k ISA to transfer it to her husband, outside the ISA wrapper, before she died. Isas transfer under normal circumstances, to a spouse, wrapper intact. The IFA cited long drawn out legal battles. These guys had no kids, no exes, nothing. That idiot cost my mate at least 2500 a year.

Sorry, I just can’t believe that. Even I know about ISA's being able to be passed to a spouse after death and I’ve never used a financial advisor in my life. In fact, and I’ve said this before, the only people I know that use a 'financial advisor' are pìss poor or financial simpletons or both. Your old workmate is proof of that. Financial advisors are either tied to one company so can only sell their products or they are independent and work on commission so I wouldn’t trust them to do what’s best for me and not for them. Again, that’s what appears to have happened to your workmate.

If anyone can suggest a valid reason for him doing that, please let me know!

Despite you coming on here giving strangers investment advice, you appear to have not passed on your investment knowledge to those that you know, maybe?

You're bothering to get an extra 0.2% on your bldg soc account, and using loads of accounts for security.

Yes, we are using different accounts for security because before last year only £85k was protected under the FCSC. It’s now £120k but the different accounts have different maturity dates and as we go for one year fixes, we fix again at whatever is best (within reason) at the time of maturity.

At the end of the day, we are happy with our financial situation and that’s what counts. You don’t seem to do anything with your money apart from trying to make more of it. I’m sure I remember you saying you don’t know what will happen to your money when you die so what has been the point of all your investing? Has it bought you health and happiness? Those things are more important than money, at least to us they are.

 

[motorbiking]

Gold - no do not hold the metal, theres absolutely no point.
You can hold ETFs and single shares.
A few Sovereigns have collector value, - depends -..
The price of gold is mostly driven by sentiment and momentum, and whether some government is dumping it like silly Gordon Brown.

There is one advantage of holding real gold under the bed. It's reasonably untraceable.

 

[Odds]

There is one advantage of holding real gold under the bed. It's reasonably untraceable.

Vittorio Pozzo kept the World Cup safe under his bed during WWII.

True story.

 

[Highway Man]

Reading these posts it is apparent that some are a lot more savvy with investments in stocks and shares etc. I have picked up some great advice and some caviats to investing, my take on it is that stocks and shares can be great for those that understand them but they who hold them can probably afford to lose their money more than I could. I imagine most see the stock markets as a bit of a flutter and a hobby and if they win then they feel good but if they lose it is a case of oh well onto the next investment. a rich mans hobby. I fit into the category of being comfortable and hold enough money to sustain a good life style but not enough to lose investing.

 

[Dec27]

Reading these posts it is apparent that some are a lot more savvy with investments in stocks and shares etc. I have picked up some great advice and some caviats to investing, my take on it is that stocks and shares can be great for those that understand them but they who hold them can probably afford to lose their money more than I could. I imagine most see the stock markets as a bit of a flutter and a hobby and if they win then they feel good but if they lose it is a case of oh well onto the next investment. a rich mans hobby. I fit into the category of being comfortable and hold enough money to sustain a good life style but not enough to lose investing.

If you put it into an isa you will do well over a few years. They spread your money over their fund.

You can draw it out if you ever need to. Just put in £100+ a month and watch it grow

 

[Highway Man]

If you put it into an isa you will do well over a few years. They spread your money over their fund.

You can draw it out if you ever need to. Just put in £100+ a month and watch it grow

I will look into this as at the moment, my money is doing very little other than sat in the bank and a savings account.

 

[Dec27]

I will look into this as at the moment, my money is doing very little other than sat in the bank and a savings account.

Get an account with H and L or similar and pop a few quid in. It’s up and down, but I’m up overall and I keep putting money in when I can.

On average they have grown 10% per year. Ask @motorbiking he knows his way around a steady investment

 

[Highway Man]

Get an account with H and L or similar and pop a few quid in. It’s up and down, but I’m up overall and I keep putting money in when I can.

On average they have grown 10% per year. Ask @motorbiking he knows his way around a steady investment

H&L ?

 

[Dec27]

H&L ?

Hargreaves landsdown. They have a good track record,

 

[Dereekoo]

I am going to leave my money in the bank, I don't want to risk losing any of it. I dont mind spending it but to lose it I would be gutted.

Time to go on a cruise then