How would you invest £750 per month?
Discussion
BoRED S2upid said:
Isn’t the LISA the one you can’t touch? Like a pension. I wouldn’t fancy that personally I’d max out a S&S Isa at your age you never know when you might need access to it LISA doesn’t give you that option.
You're half right - It can either be used to purchase your first home (which applies to me) or used as an additional pension fund.I am just having a heated debate on the Cryptocurrency thread, it depends how much of it you know. I think I joined in round about page 36. https://www.pistonheads.com/gassing/topic.asp?h=0&...
The currencies themselves return more than modest returns. This month alone I have made 25% in Bitcoin, and an average of 18% among a consolidated amount of other currencies.
Initial Coin Offerings (ICOs) return crazy returns (the average this year has been around the 1000% mark, although this will reduce as more come into the market) but the trick is investing in an ICO that will actually have a good viable product/service.
Based on todays XE of GBP to Bitcoin £6141. £500 would get you 0.08 XBT, just sit on for a while. I can analyse the markets for other coins except Bitcoin for some reason its doing whatever it wants and its not crazy to think one day at this rate a Bitcoin could be £15K. As I mentioned in the thread above, I managed to sell some Bitcoins at $12K when I bought them at $4K to some brokers in Zimbabwe last week.
I didn't get into early enough but if people were willing to buy at $12K, whats to say they won't buy at $20K?
. But look into the other coins and take time to learn, 30mins a day is all you need.
The currencies themselves return more than modest returns. This month alone I have made 25% in Bitcoin, and an average of 18% among a consolidated amount of other currencies.
Initial Coin Offerings (ICOs) return crazy returns (the average this year has been around the 1000% mark, although this will reduce as more come into the market) but the trick is investing in an ICO that will actually have a good viable product/service.
Based on todays XE of GBP to Bitcoin £6141. £500 would get you 0.08 XBT, just sit on for a while. I can analyse the markets for other coins except Bitcoin for some reason its doing whatever it wants and its not crazy to think one day at this rate a Bitcoin could be £15K. As I mentioned in the thread above, I managed to sell some Bitcoins at $12K when I bought them at $4K to some brokers in Zimbabwe last week.
I didn't get into early enough but if people were willing to buy at $12K, whats to say they won't buy at $20K?
. But look into the other coins and take time to learn, 30mins a day is all you need.
S9JTO said:
jeff m2 said:
22 years old.....Equity ir really your only choice, no telling what a Pound will be worth down the road.
Sub 2% return with inflation starting to elevate etc etc.
But you don't need to go "all in".
Three 250s, one to a UK 250 index fund, next 250 to a global fund, last 250 , cash set aside for opportunity.
I'm not a contributing investor anymore, but I would always look at value when I was funding something.
I would look at the exchange rate on the day I was making a contribution, if the Dollar was strong I would stick that money in a foreign fund.
Dollar weak.... money would go into a US domestic fund. On the day it would perhaps only save me a few Dollars but over the years I'm sure it helped.
You could set maybe the Dollar Pound ratio of 1.315 as your "decision" for an investment on that day. Should you choose to invest manually.
Whatever you decide to do you will probably prosper in the long term. As starting when you still live at home is one of the two times you can amass some money. (the other being when the mortgage is paid off)
However you have chosen a time at which things are flying high to begin.
Emerging markets up 40% YTD as are many Asian funds (mostly on the back of tencent
) The US is doing very well and should consolidate those gains once the corp tax part of the new tax legislation is in.
Brexit and UK are really the unknowns. UK debt on the personal side is far too high and there is uncertainty as to how this will play out as int rates increase. It will undoubtedly squeeze overextended people and severely affect consumer spending. All you can do is, be aware of what will or could happen.
Thanks for your response Jeff, some interesting points in there that I will definitely consider. I have contemplated the 3 or 4 x £250 option or simply 2 x £500 for example. Sub 2% return with inflation starting to elevate etc etc.
But you don't need to go "all in".
Three 250s, one to a UK 250 index fund, next 250 to a global fund, last 250 , cash set aside for opportunity.
I'm not a contributing investor anymore, but I would always look at value when I was funding something.
I would look at the exchange rate on the day I was making a contribution, if the Dollar was strong I would stick that money in a foreign fund.
Dollar weak.... money would go into a US domestic fund. On the day it would perhaps only save me a few Dollars but over the years I'm sure it helped.
You could set maybe the Dollar Pound ratio of 1.315 as your "decision" for an investment on that day. Should you choose to invest manually.
Whatever you decide to do you will probably prosper in the long term. As starting when you still live at home is one of the two times you can amass some money. (the other being when the mortgage is paid off)
However you have chosen a time at which things are flying high to begin.
Emerging markets up 40% YTD as are many Asian funds (mostly on the back of tencent
) The US is doing very well and should consolidate those gains once the corp tax part of the new tax legislation is in.Brexit and UK are really the unknowns. UK debt on the personal side is far too high and there is uncertainty as to how this will play out as int rates increase. It will undoubtedly squeeze overextended people and severely affect consumer spending. All you can do is, be aware of what will or could happen.
I have never thought about the exchange rate before making an investment... It does make sense however.
I know what you mean re: Brexit/UK uncertainty as I have witnessed my SIPP's UK Smaller Companies fund fluctuate hugely!
Small caps will generally lag the major indexs on the way up, but can produce good returns over longer periods with the right manager. One problem a manager can have if his fund has an upper limit on holdings, thus forcing him to sell a company that he may otherwise wish to keep. (Read the prospectus)
Were I in your position in UK today I would almost certainly be looking a Vanguard UK, I'm not a great fan of Indexing I believe that one day Index funds could acually become the index (scary thought) and I baulk at the thought of paying a guy .3% to intentionally follow the market down, but all things considered Mr Bogle does a good job at an excellent price.
I'm not with Vanguard in the US BTW (Switching would cost me in cap gains tax)
Using Vanguard would mitigate some of the early redemption worries as there is no upfront sales charge. You are still at the mercy of the markets, but that is something we have to accept to play the game..
Edited by jeff m2 on Friday 24th November 12:39
@OP, what are your intending on doing with your savings? (Buys house in next few years ?)
If you plan on using/needing the money in the next few years keep it in cash in a savings acc (maybe the 123 acc and switch ur daily banking to another acc ) , if. U won’t need it for at least 5 years then invest it in funds/trackers in the stock market.
If you plan on using/needing the money in the next few years keep it in cash in a savings acc (maybe the 123 acc and switch ur daily banking to another acc ) , if. U won’t need it for at least 5 years then invest it in funds/trackers in the stock market.
M511 said:
I am just having a heated debate on the Cryptocurrency thread, it depends how much of it you know. I think I joined in round about page 36. https://www.pistonheads.com/gassing/topic.asp?h=0&...
The currencies themselves return more than modest returns. This month alone I have made 25% in Bitcoin, and an average of 18% among a consolidated amount of other currencies.
Initial Coin Offerings (ICOs) return crazy returns (the average this year has been around the 1000% mark, although this will reduce as more come into the market) but the trick is investing in an ICO that will actually have a good viable product/service.
Based on todays XE of GBP to Bitcoin £6141. £500 would get you 0.08 XBT, just sit on for a while. I can analyse the markets for other coins except Bitcoin for some reason its doing whatever it wants and its not crazy to think one day at this rate a Bitcoin could be £15K. As I mentioned in the thread above, I managed to sell some Bitcoins at $12K when I bought them at $4K to some brokers in Zimbabwe last week.
I didn't get into early enough but if people were willing to buy at $12K, whats to say they won't buy at $20K?
. But look into the other coins and take time to learn, 30mins a day is all you need.
The OP is looking for somewhere to put his 9k lifesavings, do u really think it’s advisable to putting it into crypto ? The currencies themselves return more than modest returns. This month alone I have made 25% in Bitcoin, and an average of 18% among a consolidated amount of other currencies.
Initial Coin Offerings (ICOs) return crazy returns (the average this year has been around the 1000% mark, although this will reduce as more come into the market) but the trick is investing in an ICO that will actually have a good viable product/service.
Based on todays XE of GBP to Bitcoin £6141. £500 would get you 0.08 XBT, just sit on for a while. I can analyse the markets for other coins except Bitcoin for some reason its doing whatever it wants and its not crazy to think one day at this rate a Bitcoin could be £15K. As I mentioned in the thread above, I managed to sell some Bitcoins at $12K when I bought them at $4K to some brokers in Zimbabwe last week.
I didn't get into early enough but if people were willing to buy at $12K, whats to say they won't buy at $20K?
. But look into the other coins and take time to learn, 30mins a day is all you need.
Putting money into crypto is not investing, its speculation (most people buying crypto is anticipation of the value going up and up and isn’t really backed by anything ) where as investing( let’s say in the stock market ) your money goes into companies that makes products and services that in turn make aprofit and have actual assets that generate earnings and revenue.
jonny70 said:
@OP, what are your intending on doing with your savings? (Buys house in next few years ?)
If you plan on using/needing the money in the next few years keep it in cash in a savings acc (maybe the 123 acc and switch ur daily banking to another acc ) , if. U won’t need it for at least 5 years then invest it in funds/trackers in the stock market.
As mentioned above, I'll probably be looking to buy a house within the next 5 years as well as incrementally upgrading my car every couple of years (or less) - I am also already with the 123 account, made that switch a few months ago, good decision!If you plan on using/needing the money in the next few years keep it in cash in a savings acc (maybe the 123 acc and switch ur daily banking to another acc ) , if. U won’t need it for at least 5 years then invest it in funds/trackers in the stock market.
S9JTO said:
As mentioned above, I'll probably be looking to buy a house within the next 5 years as well as incrementally upgrading my car every couple of years (or less) - I am also already with the 123 account, made that switch a few months ago, good decision!
So keep the Santander 123 acc as your savings paying in 750 a month and move your current acc that your wages and bill go from to Nationwide etc jonny70 said:
The OP is looking for somewhere to put his 9k lifesavings, do u really think it’s advisable to putting it into crypto ?
Putting money into crypto is not investing, its speculation (most people buying crypto is anticipation of the value going up and up and isn’t really backed by anything ) where as investing( let’s say in the stock market ) your money goes into companies that makes products and services that in turn make aprofit and have actual assets that generate earnings and revenue.
I think its advisable to put your money into a market that profitable. The OP didn't stipulate the level he is willing to take. Considering he wants his money out quickly too then Crypto would be my way to go. Like I mentioned earlier, even if he invests one month of his expendable income into one of the safer cryptos and sits on it, he will make more in a month than he would in a year. Still living him with £9.6k to put into safer things. So even if put 10/20% into risky ventures he would be diversifying his portfolio.Putting money into crypto is not investing, its speculation (most people buying crypto is anticipation of the value going up and up and isn’t really backed by anything ) where as investing( let’s say in the stock market ) your money goes into companies that makes products and services that in turn make aprofit and have actual assets that generate earnings and revenue.
That's a fairly nice starting point for investments. I feel like a lot of people are into investing these days. I am glad to hear that you did something great with yourself. I have recently came into some money and I have been thinking what should I use it for. There are a few companies that I would like to invest into but I am also thinking about how-to-invest-in-real-estate just because i know that the market in my area has been on the rise and I feel like it might be a good idea to have something that I will always be able to sell or rent out. I am not sure though. Any advice?
Edited by seb345 on Sunday 1st March 23:10
seb345 said:
That's a fairly nice starting point for investments. I feel like a lot of people are into investing these days.
OP here - Yeah, I ended up maxing out my S&S Lifetime ISA contributions for almost 3 tax years and I saw a healthy return over that time. I bought my first house with my girlfriend with the LISA pot late last year.I also upgraded my car and subsequently paid the finance off it, so yeah it worked out well!
Gassing Station | Finance | Top of Page | What's New | My Stuff