Investment

[motorbiking]

I would choose VWRP over VWRL in an ISA as the divies are automatically reinvested and Rachel wants to tax cash in S&S ISAs. Plus there is no ERI to worry about

 

[motorbiking]

Don’t include me in with that. I know one thing and one thing only about investing in stocks and shares and that’s all I need to know and that is that with EVERY stocks and shares investment offer, they ALWAYS say something like "The value of investments can fall as well as rise so you may get back less than you invest". That’s not good enough of a guarantee for me and reading your posts, I would hazard a guess that it’s not what you are looking for either but if it is, I wish you luck.

It’s fine if you are retired with enough money. But if you haven’t then you need it to work harder and that takes some risk.

 

[Justin Passing]

If I gave you 5k and 100 a month and said invest that for me and I'll see you in 2046 what would you do?

If you mean one fund, forever, I wouldn't do that, as I said. If I had to gamble on it I'd say go global which is mostly usa, plus something to catch growth in the Far East. Tech would be a justifiable bias, but who knows what will happen in 20yrs.
If biotechnology goes the way we hope, that could balloon.

 

[Justin Passing]

Don’t include me in with that. I know one thing and one thing only about investing in stocks and shares and that’s all I need to know and that is that with EVERY stocks and shares investment offer, they ALWAYS say something like "The value of investments can fall as well as rise so you may get back less than you invest". That’s not good enough of a guarantee for me and reading your posts, I would hazard a guess that it’s not what you are looking for either but if it is, I wish you luck.

AH, edumification shortfall.
That statement doesn't apply, if you invest in fixed interest and inflation index linked things. I have mentioned a few, like TN28.
Individual company or bond funds can go downhill, but if you pick coca cola or tescos, they aren't likely to evaporate, are they?
Timing can go against you in the short term, but you can mitigate against that significantly.
So as I indicated. If your fixed interest stuff is going to win you X, and you put less than X in something likely but not guaranteed to grow you are likely to significantly increase your growth, but, if it collapses you can't lose overall.

 

[Justin Passing]

I would choose VWRP over VWRL in an ISA as the divies are automatically reinvested and Rachel wants to tax cash in S&S ISAs. Plus there is no ERI to worry about

Fair comment, but the divvies are still likely to be treated as cash, as they are ERI, so taxable if that's the way Healey goes. Tax free still, under our Rachel's changes, inside an Isa.

 

[Justin Passing]

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.

View attachment 423992
Neither did I.

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?

Why jump to a snotty tosser judgement?
I hadn't seen him for years. I went when I heard his wife was dying.
By then they'd sold her Isa.

 

[Justin Passing]

I just got a table of returns over the last 20 yrs
1000 starting, became
1782 inflation adjusted
1Money market est 1640
1 year fixed rate bank/BS savings accounts, compounded, 1653
Index liked gilt 1704
Global share estimate 4661
Treasury gilts, short dated, in a "ladder" as time goes toy, £2108. Clear winner. And it's almost tax free. You'd need 6.33% from a bldg soc
This I counted as a stocks and shares fund, because that's where you'd normally get it.

 

[Justin Passing]

Is it wise to save £250 per week into my savings account instead?

£250 a month at 5% for 10 years £38820
£250 a month in S&P500, around £64000

£250 a week at 5% for 10 years £159000 taxed at 20% 168000 if tax free (isa)
£250 a week in treasury gilt yields £162000 estimated TAX FREE
£250 a week in S&P500 , , average about £285000 ,Taxable outside an isa, Divis reinvested, but fees not accounted for.
£250 a week into the NASDAQ 348000 approx, taxable outside an isa That one is volatile though.

If you'd used an OEIC (which is a managed fund), which you can get at HL, AJBell, Interactive investor but not Trading212,
You would have done better.
You can find the best funds in the last 1-3 months and more at AJ Bell. They tend to carry on for a good while
Over the last year you could have doubled the S%P return

If you could have repeated that doubling over the last 10 years your pot would be £685,000.
That's why I don't pick one fund and forget about it.
Beats the hell out of 168,000.
I could run through the funds I've used - Jupiter India was one, 54% in a year.

NB Mottie, the figures are AIs estimates, but that treasury gilt fund beats the building society, especially if you pay tax. And no it cannot disappear. You know what you're going to get when you buy it.

 

[Dereekoo]

Understood entirely,. These days things are all so much easier than when I were a lad ,though.
Yes your company pension is probably a very good safe option.
Do otherwise use ISAs.
Tell you wot, open a stocks ISA at Trading 212, and stick a grand in VWRL (the classic global tracker) or split it with VDPG which is Asia pacific, which is predicted to do well.

From google -Over the last 3 years, the Vanguard FTSE All-World UCITS ETF (VWRL.L) has delivered a cumulative total return of approximately +65.2% (or about +49.1% after UK CPIH inflation), with an annualised 3-year return of roughly 18.44%. Sounds better than Motties 5%

 

[motorbiking]

It's a buy and almost forget tracker.

 

[Dereekoo]

It's a buy and almost forget tracker.

Think I may get into that next April when I access an existing pension, take out 25% and give to the kids and then do something with the rest, not quite sure what or what all the ins and outs are of trying to reinvest the remainder elsewhere, perhaps I need to speak to a financial advisor

 

[JohnD]

From google -Over the last 3 years, the Vanguard FTSE All-World UCITS ETF (VWRL.L) has delivered a cumulative total return of approximately +65.2% (or about +49.1% after UK CPIH inflation), with an annualised 3-year return of roughly 18.44%. Sounds better than Motties 5%

It's done particularly well since 2024, longer term it has been satisfactory, but not so exceptional.

I recently sold some because I was not comfortable with its five biggest holdings.

Opinions naturally differ.

 

[Highway Man]

It appears that in order to do stock markets, you really need to know your stuff and take action at the appropriate tmes, to me this is too much info required and seems very risky. I prefer to have less of a return in order to garantee not to lose any money. My savings account pays me a % that makes money rather than losing it. It is easy for those who understand the stock market to trade but for me it would be disastrous. I will be looking at ISA's and Premium bonds though.

 

[fillyboy]

It appears that in order to do stock markets, you really need to know your stuff and take action at the appropriate tmes, to me this is too much info required and seems very risky. I prefer to have less of a return in order to garantee not to lose any money. My savings account pays me a % that makes money rather than losing it. It is easy for those who understand the stock market to trade but for me it would be disastrous. I will be looking at ISA's and Premium bonds though.

I hope you never think about buying a van.

 

[JohnD]

It appears that in order to do stock markets, you really need to know your stuff and take action at the appropriate tmes,

Not if you buy a passive tracker fund, they are generally considered ideal for the person who wants the advantages of stock market returns without the effort, expertise, and especially the luck, to manage a successful portfolio themselves.

Perhaps you are that person.