Small Investment

[Eski1991]

So after a small pay rise and a few bonuses I've managed to save a few thousand £. I've thought about paying it off our current mortgage but at 2.6% interest I'm hoping to gain a better return than the interest rate on the loan. Looking for something low risk that I can top up and would be accessible should it be required. I've thought about topping it up a bit more and taking out a BTL mortgage on a newish flat in a Yorkshire city as the LTV near me would be pathetic but obviously this is the opposite of accessible.

Anyone have any decent recommendations for what I can do to make a bit more interest than my current account?

[Eski1991]

I'd be more than happy at around 5 percent. I will now go away and research some tracker options.

[Eski1991]

Looking at a lot of trackers they seem to yield less than my daughters junior isa. Either that or they want a minimum investment far above the funds I have available.

Do you any of you chaps know of a tracker offering 4ish percent? I'm looking through ft market data and they all seem to be 2-3%.

[Eski1991]

Walm that's exactly what I'm worried about with tracker accounts.

Looking at that sort of figure what would you consider long term. The money would like be invested for around 15 years. With regular dripfeeding of bonuses and any other spare amounts. Would you think that 6 or 7 percent be fairly likely over that period?

[Eski1991]

gibbon said:

Also worth noting, that if you are thinking 15 yrs + view, then have you considering putting some of this money into a SIP? Stick it in a ftse tracker in a pension rapper and receive an extra 20, 40 or 45% straight back from the government. Hard to beat that option whilst its there, however you wont be able to access the money until you are 55, and the rules can change.

If it was me, i would split my cash between a stock and shares isa and a pension stocks and shares account depending on access needs.

Fortunately 55 is some way off for me yet and I've not thought of any plans for investing in a personal pension (Although I probably should) besides I'm sure the rules will change drastically in the next 3 decades, I'm only in my early 20s. The money would be for when my daughter is looking to pay for a degree or first home so I will be adding to it over time. I think as you and others have suggested I will bolster her Junior ISA which is a dependable 3.25% and also open a tracker account with low fee.

Thank you all for your help as I was really lost on this before.