where to invest .?

where to invest .?

Author
Discussion

crankedup

Original Poster:

25,764 posts

244 months

Saturday 11th February 2017
quotequote all
We have received an inheritance, not huge but certainly needs to find a good investment home(s).
My wife requires safety and not consider any risky investments, although I could convince her that a % of the money could be invested into moderate risk investments.
I am reluctant to invest into the stock market at the moment with the FTSE 100 so strong / high. I guess we could drip some money in over the next 12 months or so.
Safe investments with the Nationwide and such like will see us lose money in real terms.
Maybe some unit trust funds, but which may fit the bill?

The sum is not large enough to invest into wine, race horse syndicates, or other such like investments. advise and comments appreciated.

Edited by crankedup on Saturday 11th February 16:50

DonkeyApple

55,801 posts

170 months

Saturday 11th February 2017
quotequote all
Give it to charity? Invest in the less fortunate?

GT03ROB

13,332 posts

222 months

Saturday 11th February 2017
quotequote all
Without a timeframe, ultimate use for the money, it would be hard to offer any sort of opinion.

Maybe you could offer some thoughts on this to help.

trickywoo

11,925 posts

231 months

Saturday 11th February 2017
quotequote all
An IFA could easily pay for themselves. If you haven't used your combined ISA allowance for this year do so before April.

Roger Irrelevant

2,969 posts

114 months

Saturday 11th February 2017
quotequote all
I know the answer to this one - you want to start a business. From PH I know that a business is something into which you can put any amount of money, at any time, and get massive returns (i.e. triple digits) in a couple of years. Don't pay any attention to statistics that suggest that a very large proportion of businesses go bust within three years of being set up without making a profit, that doesn't happen to PHers.

GT03ROB

13,332 posts

222 months

Saturday 11th February 2017
quotequote all
Nobody mentioned BTL yet?

crankedup

Original Poster:

25,764 posts

244 months

Saturday 11th February 2017
quotequote all
GT03ROB said:
Without a timeframe, ultimate use for the money, it would be hard to offer any sort of opinion.

Maybe you could offer some thoughts on this to help.
I make an assumption that I will shuffle off this mortal coil before my wife. Although she will be reasonably financially comfortable I want to ensure that our children and grandchild will have some benefit from our efforts. Looking at the investment potential from.the.various ponds fills me with trepidation, hence the initial request. In the good old days investing hard earnt in most circumstances was relatively stress free, not now.

Long term growth is perhaps what we need over a twenty year period.
Thanks for any comment and advise.

crankedup

Original Poster:

25,764 posts

244 months

Saturday 11th February 2017
quotequote all
Roger Irrelevant said:
I know the answer to this one - you want to start a business. From PH I know that a business is something into which you can put any amount of money, at any time, and get massive returns (i.e. triple digits) in a couple of years. Don't pay any attention to statistics that suggest that a very large proportion of businesses go bust within three years of being set up without making a profit, that doesn't happen to PHers.
haha, if only life were so simple. I am at the end game of life, although I did start a hobby business a couple or few years back. Packed it on though as I realised that 'I'm done' with all that.
We could blow the money, its not a huge amount, it prefer to think our siblings will spend it on far better choices then us. Don't get me wrong, we had real tough times when our kids were little more than pink blobs of love.
Just trying to ensure the suits and taxman don't get thier claws into the inheritances

crankedup

Original Poster:

25,764 posts

244 months

Sunday 12th February 2017
quotequote all
GT03ROB said:
Nobody mentioned BTL yet?
Unfortunately the tax man has far to much interest in this area now, bloody stamp duty and meanness on tax reclaim for repairs and maintenance. Few years back it would have been a much better option than it is now.

trickywoo

11,925 posts

231 months

Sunday 12th February 2017
quotequote all
crankedup said:
I am reluctant to invest into the stock market at the moment with the FTSE 100 so strong / high.
I don't think you can read too much into the current high as it was at 6800 in mid-2013 and 7100 in early 2015.

IMO we are still coming out of the mid-2015 correction which ultimately fell to 5600 in early 2016.

That being said a drip feed approach is always sensible.

GT03ROB

13,332 posts

222 months

Sunday 12th February 2017
quotequote all
crankedup said:
I make an assumption that I will shuffle off this mortal coil before my wife. Although she will be reasonably financially comfortable I want to ensure that our children and grandchild will have some benefit from our efforts. Looking at the investment potential from.the.various ponds fills me with trepidation, hence the initial request. In the good old days investing hard earnt in most circumstances was relatively stress free, not now.

Long term growth is perhaps what we need over a twenty year period.
Thanks for any comment and advise.
On that timeframe if you are not using your ISA allowance personally I'd drip feed into a stock & shares ISA using both your & your wife's allowance. I know where I would put it but thats a function of my appetite for risk & other financial holding I have. I did see the figure you were talking about before you deleted it. For this amount it is probably worth taking good professional advice rather than listen to us bunch!


crankedup

Original Poster:

25,764 posts

244 months

Sunday 12th February 2017
quotequote all
trickywoo said:
crankedup said:
I am reluctant to invest into the stock market at the moment with the FTSE 100 so strong / high.
I don't think you can read too much into the current high as it was at 6800 in mid-2013 and 7100 in early 2015.

IMO we are still coming out of the mid-2015 correction which ultimately fell to 5600 in early 2016.

That being said a drip feed approach is always sensible.
Thank you for your considerations, as always interesting and informative.

crankedup

Original Poster:

25,764 posts

244 months

Sunday 12th February 2017
quotequote all
GT03ROB said:
crankedup said:
I make an assumption that I will shuffle off this mortal coil before my wife. Although she will be reasonably financially comfortable I want to ensure that our children and grandchild will have some benefit from our efforts. Looking at the investment potential from.the.various ponds fills me with trepidation, hence the initial request. In the good old days investing hard earnt in most circumstances was relatively stress free, not now.

Long term growth is perhaps what we need over a twenty year period.
Thanks for any comment and advise.
On that timeframe if you are not using your ISA allowance personally I'd drip feed into a stock & shares ISA using both your & your wife's allowance. I know where I would put it but thats a function of my appetite for risk & other financial holding I have. I did see the figure you were talking about before you deleted it. For this amount it is probably worth taking good professional advice rather than listen to us bunch!
Ah, yes I did mention a number but then thought it's not for a public forum perhaps. Thanks for your input and discretion, I will be taking up your advise.

Craikeybaby

10,451 posts

226 months

Tuesday 14th February 2017
quotequote all
trickywoo said:
An IFA could easily pay for themselves. If you haven't used your combined ISA allowance for this year do so before April.
This would also be my suggestion for the wrapper, then funds to suit you appetite for risk. If you've got a 20 year view, you can afford a riskier investment now, then maybe move it into something less risky nearer the time you plan to cash it in.

Ginge R

4,761 posts

220 months

Tuesday 14th February 2017
quotequote all
crankedup said:
We have received an inheritance, not huge but certainly needs to find a good investment home(s).
My wife requires safety and not consider any risky investments, although I could convince her that a % of the money could be invested into moderate risk investments.
I am reluctant to invest into the stock market at the moment with the FTSE 100 so strong / high. I guess we could drip some money in over the next 12 months or so.
Safe investments with the Nationwide and such like will see us lose money in real terms.
Maybe some unit trust funds, but which may fit the bill?

The sum is not large enough to invest into wine, race horse syndicates, or other such like investments. advise and comments appreciated.

Edited by crankedup on Saturday 11th February 16:50
Based on what you've offered, it's impossible for anyone to say. You imply you're getting on a bit and don't refer to any other income streams or needs. With inflation nudging ever upwards, you need to do something with it, and volatility would be the biggest issue, especially if you are going to heavily rely on your inheritance and have no other real income to supplement it. Read up on sequential risk - it's especially important if you're about to start decumulating. You don't win a race on the first bend, but you can lose it there. If sequence of returns *is* going to be important, look for funds (if funds *are* the way to go) which are low on risk, low on volatility. That may mean you broaden your search to active funds - you should probably take a little financial advice.

Link: http://www.investopedia.com/advisor-network/articl...


Edited by Ginge R on Tuesday 14th February 13:38

jeff m2

2,060 posts

152 months

Tuesday 14th February 2017
quotequote all
One thing I would add to the already sound advice given is to make sure you and your wife are on the same page before going to get advice.
If not, the task of the advisor would be quite difficult at best.

I would approach the spousal alignment by asking her what she thinks would be the best way to maintain the value of the sum.

There is no rush, markets are high.

My only investment advice would be to think beyond the FTSE 100.

crankedup

Original Poster:

25,764 posts

244 months

Wednesday 15th February 2017
quotequote all
Thank you ginge and jeff for time and trouble posting, looks good advise. My wife is very risk averse and simply wants to plonk it into premium bonds. It's a windfall that has come our way so separate to our pensions, fortunate indeed.
I take a view of going into trust funds of various risk/reward alongside isa stocks shares.
Again thank you to all posters for advise and comments, appreciated.