Where to invest a pot to retire on?

[lrdisco]

I’m looking at suggestions on where to invest £400,000 that I want to start drawing down immediately to live on.
I have a rental that brings in £20,000 nett and want to invest the £400k and draw down £20k a year giving me £40k a year to live on.
No mortgage.
I know I will run out of money at some point but I’ll then sell my rental plus state pension.
Open to suggestions.

[bitchstewie]

Could be as simple as a global tracker or a suitable multi-asset fund.

Do you have an idea of your appetite for volatility?

[dingg]

Age
Health
Appetite for risk
Any dependents


All need to be answered first

[Ashfordian]

Must be EU based investments as the OP hates the UK and would be a hypocrite if he was making money from UK Plc.

[Simpo Two]

Ashfordian said:

Must be EU based investments as the OP hates the UK and would be a hypocrite if he was making money from UK Plc.

Hmm you're right:

Irdisco said:

Well it effected me hugely as my job was no longer viable due to Brexit. Visas cost a fortune and take months.
It’s near on impossible for my children to do a ski season etc and it’s hugely expensive and complicated for me to retire to Spain.

So it’s affected huge parts of my life. And I’m angry that backward looking little Englanders have succeeded in removing many of my rights.
Brexit is also harming our economy in many ways. Damaging many sectors and is one of the main causes of inflation that we are now experiencing.
That’s why I am very angry. I’ll never stop being angry about Brexit and the madness that brought it on. Daily Mail and Daily Telegraph reading racists who believed the lies.

Personally I’m telling my children to leave the UK as soon as possible when they graduate.
Australia/New Zealand or the EU.
I used to be so proud of being British but now it’s embarrassingly.

I voted to leave, but then, I don't have children to take on a ski season...

Let's hope his investment strategy is not based on emotion and and playground insults.

[Pablo Escobar]

£

[lrdisco]

Simpo Two said:

I voted to leave, but then, I don't have children to take on a ski season...

Let's hope his investment strategy is not based on emotion and and playground insults.

Wow your a big hard keyboard warrior

[bitchstewie]

Oh for fks sakes.

There are plenty of people on here I may not agree with on Brexit or politics but I don't bring it into other forums.

[lrdisco]

dingg said:

Age 55
Health Not great.
Appetite for risk. Medium
Any dependents. Wife

We will also be able to sell our home in Europe.


All need to be answered first

[eyebeebe]

Without having a view on the past battles that have been dragged into this thread, with that level of wealth the OP can retire to Spain without any major issues. Yes, you can’t fly under the tax radar anymore (and frankly shouldn’t have been pre-Brexit).

[Car bon]

lrdisco said:

I’m looking at suggestions on where to invest £400,000 that I want to start drawing down immediately to live on.

Where is it now ?

Several different places is likely the answer.
I'd put chunks into different fixed term deposits for the next 3 years. Use something like Flagstone or Resin to make life a little easier. So you have money maturing every 6 months or so.

The rest I'd have invested in different things - the 3-6 year money in something lower risk - the 6+ year money likely in global equities. Put what you can each year into ISA's to do that.

Normally, I'd look to stuff the max into any existing pension - including prior years allowance, both you & your wife. May be less relevant given its only 4 months into the tax year & you're looking to quit straight away, but worth a look.

[hodjie]

Prufund through hsbc

[dingg]

If you have any room in your pension, you can go back the last 3 years and bump it right up making up any shortfall , almost straight away you can withdraw the 25% tfls after gaining the associated tax relief.

Chuck a lump in a high interest account, safe.

Consider an annuity

Look for a low cost fees tracker

Sponsor of intelligent money thread may be worth a chat with...

[Somebody]

dingg said:

If you have any room in your pension, you can go back the last 3 years and bump it right up making up any shortfall

Only if he’s got enough earnings in current tax year to cover

[Panamax]

lrdisco said:

I’m looking at suggestions on where to invest £400,000 that I want to start drawing down immediately to live on.

Brilliant.

Are you married or single, and
a) 15 years old
b) 25 years old
c) 35 years old
d) 45 years old
e) 55 years old
f) 65 years old
or
g) hadn't realised it made any difference?

[Armitage.Shanks]

Panamax said:

lrdisco said:

I’m looking at suggestions on where to invest £400,000 that I want to start drawing down immediately to live on.

Brilliant.

Are you married or single, and
a) 15 years old
b) 25 years old
c) 35 years old
d) 45 years old
e) 55 years old
f) 65 years old
or
g) hadn't realised it made any difference?

He’s answered that above but any draw down on that lump will be subject to tax until it’s eventually in a tax free wrap.

It seems an ill thought out knee jerk request to me as there are other factors in play. Personally I’d flog the UK house and move abroad into the foreign property as you meet the wealth criteria.

[Car bon]

Armitage.Shanks said:

He’s answered that above but any draw down on that lump will be subject to tax until it’s eventually in a tax free wrap.

How do you know where the 400k is now ? I didn't think that had been answered ? It may not be subject to tax if it's something like an inheritance or a lottery win....

[Armitage.Shanks]

Car bon said:

Armitage.Shanks said:

He’s answered that above but any draw down on that lump will be subject to tax until it’s eventually in a tax free wrap.

How do you know where the 400k is now ? I didn't think that had been answered ? It may not be subject to tax if it's something like an inheritance or a lottery win....

If he had it somewhere he wouldn’t be asking the question? He could have it under the bed and take £20k every year, it’ll last 20yrs but I suspect he wants the ‘best’ place to get some growth as a buffer to inflation pressures.

He’s mentioned his age/health/marital status in another ‘quoted’ post.

[tighnamara]

dingg said:

If you have any room in your pension, you can go back the last 3 years and bump it right up making up any shortfall , almost straight away you can withdraw the 25% tfls after gaining the associated tax relief.

Chuck a lump in a high interest account, safe.

Consider an annuity

Look for a low cost fees tracker

Sponsor of intelligent money thread may be worth a chat with...

You also are restricted on what you can backdate based on salary for the current tax year and you have to have a pension already in place.
OP may have a pension but hasn’t confirmed where £400k is invested currently.

[BoRED S2upid]

At the moment you can get 3% from a bank account.