NS&I Index-linked Certificates v S&S ISA

[bitchstewie]

I have around £25K that mature in August and I believe that any option to renew will be at CPI not RPI which these still are.

I already have a S&S ISA and I don't especially need the "cash".

Appreciate these decisions are always quite specific to the individual but would you renew or cash-in and add to the S&S ISA?

[xeny]

Look at your your assets holistically.

I hold some as I'm out of easy tax efficient options and want them as last ditch cash if I retire early. If I didn't have retirement in mind and held some other cash as a "roof fund" I'd be more likely to cash them in.

[colin79666]

I’m in a similar boat with mine up in August. Debated with myself the last time round (5 years ago) and decided to reinvest. Not so sure this time, CPI not RPI and if you cash them in early I think you lose more interest than it used to be.

[Simpo Two]

I think it would depend entirely on your risk profile and the contents of said S&S ISA. You can stay on the bus, or get into the sports car, but the sports car might go wrong.

[bitchstewie]

colin79666 said:

I’m in a similar boat with mine up in August. Debated with myself the last time round (5 years ago) and decided to reinvest. Not so sure this time, CPI not RPI and if you cash them in early I think you lose more interest than it used to be.

Yes the CPI thing is what has me thinking are they actually doing that much better than actual cash.

Plus CPI seems based on sort of arbitrary things so doesn't seem to reflect real inflation.

If this lot went in the ISA it would likely be across wealth preservers and Fundsmith/Lindsell Train type stuff.