Best time to invest lump sum in ISA
Best time to invest lump sum in ISA
Author
Discussion

hast2

Original Poster:

174 posts

242 months

Thursday 7th March 2019
quotequote all
This might be a stupid question.........

I have recently received some inheritance and was going to put it in an ISA fund. The thing that's bothering me is should I put it all in as a lump sum now, or should I drip feed it over a period of months to smooth out any market fluctuations, especially with the whole brexit carry on.

Would appreciate other peoples thoughts on the matter.

Edible Roadkill

2,228 posts

207 months

Thursday 7th March 2019
quotequote all
How much exactly?

20k this month and 20k after April 1st would maximise your isa allowance

hast2

Original Poster:

174 posts

242 months

Thursday 7th March 2019
quotequote all
Would be just over £20k, but can split it between me and the wife, therefore tax year timing isn't a problem.

silentbrown

10,883 posts

146 months

Thursday 7th March 2019
quotequote all
Depends on your appetite for risk, and what proportion of your assets the amount represents.

Drip-feeding reduces some potential risk, while also reducing the potential gain, so it's swings and roundabouts.

If you're worried about Brexit, note that an exchange rate drop typically leads to a FTSE rise, because FTSE companies are typically large internationals that do the majority of their business outside the UK.

https://www.schroders.com/en/us/insights/equities/...

hast2

Original Poster:

174 posts

242 months

Thursday 7th March 2019
quotequote all
I was also thinking that if I went for some form of managed fund, then the fund manager would mange the portfolio to maximise brexit, from the investments point of view (if such a thing is possible)

Derek Chevalier

4,661 posts

203 months

Thursday 7th March 2019
quotequote all
hast2 said:
I was also thinking that if I went for some form of managed fund, then the fund manager would mange the portfolio to maximise brexit, from the investments point of view (if such a thing is possible)
It's very unlikely.

xeny

5,477 posts

108 months

Thursday 7th March 2019
quotequote all
hast2 said:
The thing that's bothering me is should I put it all in as a lump sum now, or should I drip feed it over a period of months to smooth out any market fluctuations, especially with the whole brexit carry on.
If you think the pound will weaken, put it all in now. If you think the pound will strengthen, put it in after. If you've got no idea then put in half now, half later?