Discussion
no way gold! Its peaked already, emerging markets is aa good bet It all depends how long he wants to tie it up for and how risk averse he is.
Some of my long term investment fund investments stuff has been doing well and I am a four out of five investor on the risk scale.
Its fun too as you can chose/discuss the blend according to risk 15% FTSE, 10% Private equity etc etc..
Some of my long term investment fund investments stuff has been doing well and I am a four out of five investor on the risk scale.
Its fun too as you can chose/discuss the blend according to risk 15% FTSE, 10% Private equity etc etc..
If you (friend) fancies a little risk, there plenty of opportunities out there. Depends when he's likely to need the money back. Below are just ideas, not recommendations. My recommendation is for your friend to do his own reasearch, speak to a specialist and discuss reward / risk goals / preferences.. There may also be a good case for paying off existing debt before investing money.
£5340 in cash isa if not already done. Keeping ISA topped up every year should pay off down the lines once interest rates are more healthy.
Proportion into India (fund like Jupiter India). I'm just back from a work trip there and see massive potential for growth in banking & utility firms - my target is 20% gain over 2 years.
Proportion into US Dow Jones tracker (It always seems to finish strongly on pre-election year with politicians trying to win the capatalist vote*). I have a short term target of 5% by year end.
Small proportion into UK small companies. Higher risk here, but strong upside. Something like Close Asset Management special situations fund looks quite attractive to me at the moment.
Small proportion into AIM oil exploration companies. The AIM has had a hard time of late but seems to have left several stocks IMO undervalued. Do your own reasearch and take your pick(s). There's potential for 50% gain over 18 months if you get lucky / reasearch well. Whilst a lot can go wrong, many of these companies are sitting on £2bn of oil, and current prices are a fraction (10 - 15%) of the net present value of their (potential) reserves.
FTSE tracker*. I could see FTSE closing on 6300ish by year end. That's potential for 5% in half a year, though could easily fall by that much too.
RBS - I made a small purchase when they were a little under 41p last week. Whilst I think rickybouy's prediction of doubling in 3 years is a little ambitious, I do think there's strong potential for the government selling out at 45- 48p this year, so maybe 10% gain in the short term. If they do get back towards healty profit for Q2 results, 41p will look a bargain.
7.1% on the Zopa A36 market looks attractive, but actual return could work out much (much) lower if there's another big dip.
£5340 in cash isa if not already done. Keeping ISA topped up every year should pay off down the lines once interest rates are more healthy.
Proportion into India (fund like Jupiter India). I'm just back from a work trip there and see massive potential for growth in banking & utility firms - my target is 20% gain over 2 years.
Proportion into US Dow Jones tracker (It always seems to finish strongly on pre-election year with politicians trying to win the capatalist vote*). I have a short term target of 5% by year end.
Small proportion into UK small companies. Higher risk here, but strong upside. Something like Close Asset Management special situations fund looks quite attractive to me at the moment.
Small proportion into AIM oil exploration companies. The AIM has had a hard time of late but seems to have left several stocks IMO undervalued. Do your own reasearch and take your pick(s). There's potential for 50% gain over 18 months if you get lucky / reasearch well. Whilst a lot can go wrong, many of these companies are sitting on £2bn of oil, and current prices are a fraction (10 - 15%) of the net present value of their (potential) reserves.
FTSE tracker*. I could see FTSE closing on 6300ish by year end. That's potential for 5% in half a year, though could easily fall by that much too.
RBS - I made a small purchase when they were a little under 41p last week. Whilst I think rickybouy's prediction of doubling in 3 years is a little ambitious, I do think there's strong potential for the government selling out at 45- 48p this year, so maybe 10% gain in the short term. If they do get back towards healty profit for Q2 results, 41p will look a bargain.
7.1% on the Zopa A36 market looks attractive, but actual return could work out much (much) lower if there's another big dip.
- please don't quote me on 31/12!!!
Thanks for the replies.
What makes you think gold has peaked? What about Silver?
He is not too with the idea of stock markets because of a 'bad experience' whatever that means
Maybe a fraction of it.
Shall I say he won't need a penny for 3 years at the earliest. But he's very open minded with this.
He's also looking at Flats ect.
Thanks again
What makes you think gold has peaked? What about Silver?
He is not too with the idea of stock markets because of a 'bad experience' whatever that means
Maybe a fraction of it.Shall I say he won't need a penny for 3 years at the earliest. But he's very open minded with this.
He's also looking at Flats ect.
Thanks again
rickybouy said:
RBS shares will be double what they are in three years!
Or they might not. The fact "profits" are still so weak is probably an indication that things were rather worse than they let on when they were bailed out. It's amazing that the amount that was needed to bail out RBS stopped just short of the amount that would have triggered nationalisation ?!?!? Or is it that they didn't want to nationalise it so they held some losses back ? I wonder......The Lukas said:
Thanks for the replies.
What makes you think gold has peaked? What about Silver?
Because governments have paid off their debts and central bankers aren't manipulating currencies to give their unproductive economies an easy ride.What makes you think gold has peaked? What about Silver?
For me it's a case of following demographic trends.
Fittster said:
The Lukas said:
Thanks for the replies.
What makes you think gold has peaked? What about Silver?
Because governments have paid off their debts and central bankers aren't manipulating currencies to give their unproductive economies an easy ride.What makes you think gold has peaked? What about Silver?
For me it's a case of following demographic trends.
fid said:
Fittster said:
The Lukas said:
Thanks for the replies.
What makes you think gold has peaked? What about Silver?
Because governments have paid off their debts and central bankers aren't manipulating currencies to give their unproductive economies an easy ride.What makes you think gold has peaked? What about Silver?
For me it's a case of following demographic trends.
The Lukas said:
Thanks for the replies.
What makes you think gold has peaked? What about Silver?
He is not too with the idea of stock markets because of a 'bad experience' whatever that means Maybe a fraction of it.
Shall I say he won't need a penny for 3 years at the earliest. But he's very open minded with this.
He's also looking at Flats ect.
Thanks again
Property will not be a good investment over 3 years, you could well see capital losses in that period. You need at least a 10 year view for property imo.What makes you think gold has peaked? What about Silver?
He is not too with the idea of stock markets because of a 'bad experience' whatever that means
Maybe a fraction of it.Shall I say he won't need a penny for 3 years at the earliest. But he's very open minded with this.
He's also looking at Flats ect.
Thanks again
98elise said:
The Lukas said:
Thanks for the replies.
What makes you think gold has peaked? What about Silver?
He is not too with the idea of stock markets because of a 'bad experience' whatever that means Maybe a fraction of it.
Shall I say he won't need a penny for 3 years at the earliest. But he's very open minded with this.
He's also looking at Flats ect.
Thanks again
Property will not be a good investment over 3 years, you could well see capital losses in that period. You need at least a 10 year view for property imo.What makes you think gold has peaked? What about Silver?
He is not too with the idea of stock markets because of a 'bad experience' whatever that means
Maybe a fraction of it.Shall I say he won't need a penny for 3 years at the earliest. But he's very open minded with this.
He's also looking at Flats ect.
Thanks again
As noel said, if he is looking at property then he will be looking well beyond 3 years, however if he buys outright then he could have a nice income throughout the time he waits for the property to increase in value.
Also my advice would be against flats, better to go with a stand alone property if possible. You won't have ground rent to pay etc... However that's only from my experience and others may say otherwise. If I was buying again I probably wouldn't go for a flat this time around.
Also my advice would be against flats, better to go with a stand alone property if possible. You won't have ground rent to pay etc... However that's only from my experience and others may say otherwise. If I was buying again I probably wouldn't go for a flat this time around.
Adjusted for inflation the last two peaks in the FTSE were over 7000 (2007) and over 9000 (1999). Looked at like that current levels seem tempting.
Property is expensive to buy, requires constant maintenance, expensive to sell, and spent half of the last twenty years going nowhere against inflation (91-01). With FTBs frozen out by high prices and massive deposits I can't see any rises soon. However if you are prepared to wait just think about the supply and demand. More restrictions on what and where you can build plus increasing longevity, declining family life and immigration. How long before house prices soar? They have to. One day. Probably not long after lending eases up, whenever that is....
Emerging markets sound very exciting but also sound like a minefield. I know they'll make someone rich but I wouldn't have a clue what a good buy looked like in India or Africa. I wouldn't have a clue who did either. I suppose that a big fund could be expected to have done the groundwork for you but I'd still be timid.
Judging by the new supermarkets being built everywhere I go they would seem to be a fairly good bet.
Property is expensive to buy, requires constant maintenance, expensive to sell, and spent half of the last twenty years going nowhere against inflation (91-01). With FTBs frozen out by high prices and massive deposits I can't see any rises soon. However if you are prepared to wait just think about the supply and demand. More restrictions on what and where you can build plus increasing longevity, declining family life and immigration. How long before house prices soar? They have to. One day. Probably not long after lending eases up, whenever that is....
Emerging markets sound very exciting but also sound like a minefield. I know they'll make someone rich but I wouldn't have a clue what a good buy looked like in India or Africa. I wouldn't have a clue who did either. I suppose that a big fund could be expected to have done the groundwork for you but I'd still be timid.
Judging by the new supermarkets being built everywhere I go they would seem to be a fairly good bet.
Gassing Station | Finance | Top of Page | What's New | My Stuff