Investment question

[hornet]

Don't know if we have investment gurus on PH?

What is the general opinion about a FTSE tracker as part of a mini stocks & shares ISA? I've got a cash mini that will be used to the full this year, and previously have just been sticking any surplus in a high interest savings account, but I'd like to branch out a bit. I'm pretty cautious financially, but we're not talking stellar amounts here, just small, regular payments. From reading the various financial "best buy" and advice websites, trackers seem to be quite popular?

Anyone have any thoughts?

[popov123]

hornet said:

Anyone have any thoughts?

I have a mate whos been saving in ISAs etc which have near enough earned him nothing, he went for a slightly more adventurous fund which ultimately did not bring decent returns (a matter of pence over a year). He's now going to wack his cash in premium bonds and hope for the best from Ernie!

Good luck

[NorthernBoy]

hornet said:

Don't know if we have investment gurus on PH? What is the general opinion about a FTSE tracker as part of a mini stocks & shares ISA? I've got a cash mini that will be used to the full this year, and previously have just been sticking any surplus in a high interest savings account, but I'd like to branch out a bit. I'm pretty cautious financially, but we're not talking stellar amounts here, just small, regular payments. From reading the various financial "best buy" and advice websites, trackers seem to be quite popular? Anyone have any thoughts?

All of my stock market money is in trackers. Most of it in the FTSE all share.

If you do decide to go that route, then low fees is the first thing to look out for. M&G charge less than 1% a year, with nothing up front.

One thing thackers have in their favour is that they generallly follow the wealth of the nation. If you have a decent amount in a widely based index (like the all-share, not the FTSE 100), then you can't find yourself getting left too far behind if the rest of the country gets rich.

One downside of trackers is the mechanism by which they have to match teh index. they cannot buy shares until they have become expensive enough to reach the FTSE, and cannot sell them until they have become cheap enough to drop out. buying expensive and selling cheap is not good. That is why I'd go for the all share over the 100.

Remember, thoough, that you should treat the money that you put into stocks as money that you can afford to lose.

[john75]

Better return than the Building Soc 4% per annum

[sparkythecat]

hornet said:

Don't know if we have investment gurus on PH?

BEANO!