Good Timing for a Lump Sum investment?
Discussion
I have not used up my ISA allowance this year so wondered is now a good time to put my allowance into a S&S ISA?
I'm only concerned because markets are high - so would I be better-off using a cash ISA before April and then drip feeding next year into a S&S one?
I'm thinking a Vanguard LifeStrategy 60% Equity Fund or the 80% one as it's a nice simple and I really don't want the bother of managing a portfolio yourself.
I'm 55 but don't foresee needing the money for at least 5 (probably 10) years.
All suggestions gratefully received!
I'm only concerned because markets are high - so would I be better-off using a cash ISA before April and then drip feeding next year into a S&S one?
I'm thinking a Vanguard LifeStrategy 60% Equity Fund or the 80% one as it's a nice simple and I really don't want the bother of managing a portfolio yourself.
I'm 55 but don't foresee needing the money for at least 5 (probably 10) years.
All suggestions gratefully received!
Badda said:
Why not put it in the ISA now but buy the investments you're interested in over time?
I didn't realise that you could hold cash in a S&S ISA as you outline. Thanks for the education!If I understand this correctly, and assuming that I'm looking at the Vanguard one in this instance, I could then drip feed the £20k as and when I feel into the relevant fund(s)? And just to be doubly clear, as long as the cash goes in this FY I can buy the funds in the next FY but they are part of my allowance for 2018/19? Hence I could add another £20k after April 5th and do the same?
garyhun said:
I have not used up my ISA allowance this year so wondered is now a good time to put my allowance into a S&S ISA?
I'm only concerned because markets are high - so would I be better-off using a cash ISA before April and then drip feeding next year into a S&S one?
I'm thinking a Vanguard LifeStrategy 60% Equity Fund or the 80% one as it's a nice simple and I really don't want the bother of managing a portfolio yourself.
I'm 55 but don't foresee needing the money for at least 5 (probably 10) years.
All suggestions gratefully received!
I've got some cash in the 80% Vanguard, it's my worst performing fund. I'm only concerned because markets are high - so would I be better-off using a cash ISA before April and then drip feeding next year into a S&S one?
I'm thinking a Vanguard LifeStrategy 60% Equity Fund or the 80% one as it's a nice simple and I really don't want the bother of managing a portfolio yourself.
I'm 55 but don't foresee needing the money for at least 5 (probably 10) years.
All suggestions gratefully received!
rustyuk said:
I've got some cash in the 80% Vanguard, it's my worst performing fund.
Aside from the fact that most funds look pretty appalling for 2018.....which are your best performing ones?I started drip feeding an amount into Vanguard 100% for 'the kids' a year ago....the goal really will be for that to be untouched for a good decade (not that anyone has a crystal ball, eh!)
12 months in, after dipping below the money paid in, they now are up a shade (+1.69%), which given how things have gone, is what I call a result!
I think if we knew where to invest in advance we would all be rich and retired by now 
I would pay the money in now while you can and hold it as cash, you may even get a bit of interest on it depending on your stocks n shares ISA provider.
One of my US based vanguard funds has done well in the last year. Fundsmith is up well, and Polar tech fund, my UK Vanguard 80% lifestrategy is down at the moment.
Thats pretty much all I hold in funds. You could always go for some dividend paying stocks like Shell. they seem well priced at the moment, I bought £10k of those recently in my ISA.
I would pay the money in now while you can and hold it as cash, you may even get a bit of interest on it depending on your stocks n shares ISA provider.
One of my US based vanguard funds has done well in the last year. Fundsmith is up well, and Polar tech fund, my UK Vanguard 80% lifestrategy is down at the moment.
Thats pretty much all I hold in funds. You could always go for some dividend paying stocks like Shell. they seem well priced at the moment, I bought £10k of those recently in my ISA.
garyhun said:
Happy to hear other opinions of where I should invest.
I've said it before on here but I've gone BIG on Terry Smith and Fundsmith. It's done me very well thus far and I'm putting more and more in it over time. Cautious IFA's will blanch at putting so much percentage-wise in one single place but it's working well for me.
Put the cash in but worry about deploying it at your leisure.
Statistically a lump sum does better.
On Market Timing, read this https://www.thisismoney.co.uk/money/diyinvesting/a...
Statistically a lump sum does better.
On Market Timing, read this https://www.thisismoney.co.uk/money/diyinvesting/a...
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hstewie said:
hstewie said: Statistically a lump sum does better.
Statistically, maybe yes. Me - this year, and for the first time in 8 years, I stopped my monthly (£1000) Direct-Debit (May 2018) in favour of putting a lump sum (£15-20k) in at the end of the 2018/19 subscription year. I thought I'd try and be clever. Unfortunately I have missed the months the FTSE / markets were down, so am now looking at the idea of still putting the £15+k in, but holding it as cash (within my S+S ISA). It's knowing when to put that lump sum in 
Coming up to the time I could top up my S&S ISA as I've plenty of my allowance left. Bit twitchy about dropping that amount in ahead of the Brexit stuff that's going on and any affect it might have on the stock market. No clue what to do other than tempted to open a Cash ISA instead.
toastyhamster said:
Coming up to the time I could top up my S&S ISA as I've plenty of my allowance left. Bit twitchy about dropping that amount in ahead of the Brexit stuff that's going on and any affect it might have on the stock market. No clue what to do other than tempted to open a Cash ISA instead.
You can hold cash in a stocks n shares ISA just the same as a cash one. You can have both so long as you dont exceed £20k a year into them combined.Some stocks n shares may pay interest on cash balances ...best check with your provider
garyhun said:
What’s a really flexible platform in terms of funds available and low cost?
Possibly more information than you want:https://www.flipsnack.com/langcat/the-lang-cat-gui...
https://www.flipsnack.com/langcat/the-lang-cat-gui...
bhstewie said:
hstewie said: HL and II have a massive range available.
Cost isn't as simple as there are lots of factors such as type, frequency, and amount invested.
Cheers! Yes, I need to research a bit more regarding costs. It’s a bit of a moving target not being sure of what/how many transactions I might make in the course of a yearCost isn't as simple as there are lots of factors such as type, frequency, and amount invested.
You can do some rough modelling of charges using these:
http://www.comparefundplatforms.com/
https://monevator.com/compare-the-brokers/
http://www.comparefundplatforms.com/
https://monevator.com/compare-the-brokers/
garyhun said:
bhstewie said:
hstewie said: HL and II have a massive range available.
Cost isn't as simple as there are lots of factors such as type, frequency, and amount invested.
Cheers! Yes, I need to research a bit more regarding costs. It’s a bit of a moving target not being sure of what/how many transactions I might make in the course of a yearCost isn't as simple as there are lots of factors such as type, frequency, and amount invested.
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