Where to invest 100k for 3 years?

Where to invest 100k for 3 years?

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Discussion

anonymous-user

54 months

Tuesday 21st August 2018
quotequote all
sidicks said:
rofl
Limited edition Macallan for example was in retail at £325 in April 2018.

Now at auction it will fetch anything between £2,000 to £2,500

Yes I would be smiling too.

Each to there own.

sidicks

25,218 posts

221 months

Tuesday 21st August 2018
quotequote all
ELUSIVEJIM said:
You may mock but I know how my investments in this area has given fantastic returns.

And yes you can definitely make a profit if you buy right.

It's not hard with a bit of knowledge.

I presume would would invest in shares??
Of course you ‘could’ make a profit, but it’s very risky and entirely the wrong thing for the OP’s circumstances.

If it really isn’t hard ‘with a bit of knowledge’, why don’t you do whisky trading as a full time career?

sidicks

25,218 posts

221 months

Tuesday 21st August 2018
quotequote all
otherman said:
Peer to peer lending might do it. You're capital is at risk, [¥b]but not that much of it[/b], and you can spread accross lots of loans.
The housecrowd looks a good bet at the moment, their auto invest product is all backed by property and pays 7%. You can't get the money out for 12 months then two months notice after that.
Or maybe thin cats. £1000 minimum investment so you can spread wide with that, but it keeps out the small players.
Normally 100% of your capital is at risk, why do you think otherwise?

audidoody

8,597 posts

256 months

Tuesday 21st August 2018
quotequote all
I sold a property three years ago and spread a load of cash around several P2P's.

I won't tell you who the crap ones were with bad debt on A-rated loans and/or high fees that hindered the raise of my fund. But Zopa was the best. No losses. Easy to withdraw reinvest.

cashmax

1,106 posts

240 months

Tuesday 21st August 2018
quotequote all
Perhaps worth looking at the kick out plan FTSE based structured products from the likes of Investec or Morgan Stanley.

6-8% annual growth is normal, pretty low risk, but capital can be reduced if you get unlucky.

sidicks

25,218 posts

221 months

Tuesday 21st August 2018
quotequote all
cashmax said:
Perhaps worth looking at the kick out plan FTSE based structured products from the likes of Investec or Morgan Stanley.

6-8% annual growth is normal, pretty low risk, but capital can be reduced if you get unlucky.
Normally these have high fees built in making them relatively poor value.

anonymous-user

54 months

Tuesday 21st August 2018
quotequote all
James_B said:
You seem to be taking what has happened in the past and making the mistake of assuming that it must also happen in the future. You may as well say that you should always bet your house on Brighton bearing Manchester United. That works well if you go by recent history, but it’s not likely to be a winning bet for long.

As I said, there is a reason that financial advice is regulated in the U.K., and posts like yours show why. You have no way of knowing what the future holds for such a niche invest,net, yet are happy to outright promise that a profit will be made, without even a hint of a warning about the risk.

And yes, I do invest in shares. I am in the fortunate position of being a trader in an investment bank, and know enough that I would never, ever pretend that a speculative investment was a guaranteed winner.

Apologies if this seems a bit harsh, but your advice was ill-considered, and foolish, and I wouldn’t want anyone blowing money on it without understanding that it is no better than a tip on a horse.
It was wrong of me to state you are guaranteed a profit in 3 years.

Not all Whisky products are like that so that was misleading.

As you say things can change and nothing is certain.

Good luck to the OP and yourself.

Hopefully you both make nice sums in your preferred areas of investments.

If what I am doing goes wrong my liver at least will have some fun.

beer

anonymous-user

54 months

Tuesday 21st August 2018
quotequote all
sidicks said:
Of course you ‘could’ make a profit, but it’s very risky and entirely the wrong thing for the OP’s circumstances.

If it really isn’t hard ‘with a bit of knowledge’, why don’t you do whisky trading as a full time career?
I actually do biggrin

No I agree that my post was misleading hence I removed it.

You do have to know what your doing and you can still purchase something which is just not that popular.

As we all can agree on is if we knew exactly what was going to happen we would all be very rich.

Good luck to you in your investments smile

trowelhead

1,867 posts

121 months

Tuesday 21st August 2018
quotequote all
Sheets Tabuer said:
Nothing really but with it burning a hole I keep eyeing up things like m2s, also my daughter would be 7 so I'm thinking Disney world, Lapland that kind of thing.
Buy a property with it outright. (or 4 x 25k deposits) Then save the rent for 3 years. Then pay for your daughters holidays, or use the income to finance an M2


sidicks

25,218 posts

221 months

Tuesday 21st August 2018
quotequote all
ELUSIVEJIM said:
I actually do biggrin

No I agree that my post was misleading hence I removed it.

You do have to know what your doing and you can still purchase something which is just not that popular.

As we all can agree on is if we knew exactly what was going to happen we would all be very rich.

Good luck to you in your investments smile
beer

trowelhead

1,867 posts

121 months

Tuesday 21st August 2018
quotequote all
otherman said:
Peer to peer lending might do it. You're capital is at risk, but not that much of it, and you can spread accross lots of loans.
The housecrowd looks a good bet at the moment, their auto invest product is all backed by property and pays 7%. You can't get the money out for 12 months then two months notice after that.
Or maybe thin cats. £1000 minimum investment so you can spread wide with that, but it keeps out the small players.
Nah, defaults are rising across the sector. Disaster waiting to happen. Multiple platforms have disappeared etc.

https://moneyfortherestofus.com/216-avoid-this-inv...

Consumer credit is at all time highs, when we move into recession, p2p could be hit very hard!

Read the P2P forums, lots of funny business with property loans LTV being wildly inflated so your money may well be far more at risk than you thought.

To be honest, if you have a sound property investment and a decent deposit, banks are lining up to offer loans at low rates (well under 5%) - the projects that are funded via P2P at 12% pa illustrate the level of risk involved.


gibbon

2,182 posts

207 months

Tuesday 21st August 2018
quotequote all
I have on occasion thought about p2p lending, the thing is I simply don't understand why anyone with the claimed credit worthiness of the users would actually use the service.

Why would you borrow at over 10% when mortgage borrowing is easily under 2% and small loans etc under 5%?

The answer can only be that you fail mainstream credit criteria. That sets of alarm bells to me.

Sheets Tabuer

Original Poster:

18,949 posts

215 months

Tuesday 21st August 2018
quotequote all
trowelhead said:
Sheets Tabuer said:
Nothing really but with it burning a hole I keep eyeing up things like m2s, also my daughter would be 7 so I'm thinking Disney world, Lapland that kind of thing.
Buy a property with it outright. (or 4 x 25k deposits) Then save the rent for 3 years. Then pay for your daughters holidays, or use the income to finance an M2
Isn't that a ballache now? I thought of buying something around here but I'd need a 120k mortgage minimum so that's at least 570 mortgage a month and I'm likely to only be able to charge 750 so after insurance and the new tax rules I'd probably owe money each month not make it unless and it's quite a possibility that's I'm wrong.

James_B

12,642 posts

257 months

Tuesday 21st August 2018
quotequote all
ELUSIVEJIM said:
It was wrong of me to state you are guaranteed a profit in 3 years.

Not all Whisky products are like that so that was misleading.

As you say things can change and nothing is certain.

Good luck to the OP and yourself.

Hopefully you both make nice sums in your preferred areas of investments.

If what I am doing goes wrong my liver at least will have some fun.

beer
Good, I’m glad that you enjoy it, and that you are doing well. It’s especially good that if you call it wrong you’ll still have a very nice bottle to drink.

I’m like quite a few people in finance with my investments, far too heavily invested in financial stocks, but with no choice in the matter, and with the rest mainly in diversified funds That I buy and forget.

trowelhead

1,867 posts

121 months

Wednesday 22nd August 2018
quotequote all
gibbon said:
I have on occasion thought about p2p lending, the thing is I simply don't understand why anyone with the claimed credit worthiness of the users would actually use the service.

Why would you borrow at over 10% when mortgage borrowing is easily under 2% and small loans etc under 5%?

The answer can only be that you fail mainstream credit criteria. That sets of alarm bells to me.
Exactly. Lender of last resort in a way

trowelhead

1,867 posts

121 months

Wednesday 22nd August 2018
quotequote all
Sheets Tabuer said:
trowelhead said:
Sheets Tabuer said:
Nothing really but with it burning a hole I keep eyeing up things like m2s, also my daughter would be 7 so I'm thinking Disney world, Lapland that kind of thing.
Buy a property with it outright. (or 4 x 25k deposits) Then save the rent for 3 years. Then pay for your daughters holidays, or use the income to finance an M2
Isn't that a ballache now? I thought of buying something around here but I'd need a 120k mortgage minimum so that's at least 570 mortgage a month and I'm likely to only be able to charge 750 so after insurance and the new tax rules I'd probably owe money each month not make it unless and it's quite a possibility that's I'm wrong.
Not really a ballache no - and you'd need to buy up north, manchester, leeds, liverpool - 100k will buy you a 2 bed flat or small house that will rent for £650 pcm easily. Or buy 4 x 100k houses with 75% mortgages, and make roughly £250pcm net on each

otherman

2,191 posts

165 months

Wednesday 22nd August 2018
quotequote all
sidicks said:
Normally 100% of your capital is at risk, why do you think otherwise?
Not that much risk. People think 'capital at risk' means a binary result, win or lose it all. In this case, no fails yet. All paid upk, or else legal charge on the property got the return but a bit late.

otherman

2,191 posts

165 months

Wednesday 22nd August 2018
quotequote all
trowelhead said:
Nah, defaults are rising across the sector. Disaster waiting to happen. Multiple platforms have disappeared etc.
You missed the part about 'secured by first legal charge over the property' with typically 70% LTV.
Tell me a significant platform that disspeared.

trowelhead

1,867 posts

121 months

Wednesday 22nd August 2018
quotequote all
otherman said:
trowelhead said:
Nah, defaults are rising across the sector. Disaster waiting to happen. Multiple platforms have disappeared etc.
You missed the part about 'secured by first legal charge over the property' with typically 70% LTV.
Tell me a significant platform that disspeared.
LTV means nothing if the "value" of the property has been overstated:
https://www.telegraph.co.uk/business/2017/10/08/le...

telegraph said:
Lendy had agreed the loan based on a valuation of £4.9m but it is understood that property agents have valued it at as little as £2m, exposing investors to a potential loss.
And as for the platform closures:
https://www.ft.com/content/75e75628-8b27-11e8-bf9e...

sidicks

25,218 posts

221 months

Wednesday 22nd August 2018
quotequote all
otherman said:
Not that much risk. People think 'capital at risk' means a binary result, win or lose it all. In this case, no fails yet. All paid upk, or else legal charge on the property got the return but a bit late.
I certainly don’t think that!

But the point has been made already - given where current borrowing rates are, those using P2P are not the best quality credit risk by any means, and with defaults expected to pick up in the next few years, it is not clear that you’re adequately rewarded for the risks being taken.