Savings account/money in shares. What’s the best option?

Blu3m00n91 said:
Looking to put some money into shares or savings account but not really clued up much on this and don’t just want to look at random articles on google. Any advice from anyone who does it?
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An ISA for shares is really a minimum 5 years for a reasonable return. The returns long-term, a decade plus, will shit all over a savings account though.
 
If buying shares and funds the Usa is a must at the moment instead of Uk.

£1000 in the ftse last year is worth £840
£1000 in the S&P last yaer is worth £1160
Not likely to change when all the Usa is doing is injecting money into the economy because of the virus.
 
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I have a bit of spare cash that I don't know what to do with.
I shouldn't need it anytime soon unless something happens where I lose my job but don't want to tie it up just in case.
I'm pretty risk averse and not really interested in making money on it but would like to get inflation level of interest on it so that I don't lose relative spending power on it.
Was going to shove it all in a vanguard account but might put into premium bonds instead seeing as that's been mentioned a few times.
 
117 M34 said:
I have a bit of spare cash that I don't know what to do with.
I shouldn't need it anytime soon unless something happens where I lose my job but don't want to tie it up just in case.
I'm pretty risk averse and not really interested in making money on it but would like to get inflation level of interest on it so that I don't lose relative spending power on it.
Was going to shove it all in a vanguard account but might put into premium bonds instead seeing as that's been mentioned a few times.
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The thing with PB is the 1% it purports include the big prizes, so unless you are lucky and win a major prize, you are unlikely to get the 1%, on the the other hand if you do get lucky you win many times more than 1%, but the majority of people will not get the 1%.
 
JASR said:
Yes, but it’s the best rate you’ll get on savings/current
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Only up to £1000 in a year if it’s Nat West and you need to have a current account with the bank.
 
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zerox said:
If buying shares and funds the Usa is a must at the moment instead of Uk.

£1000 in the ftse last year is worth £840
£1000 in the S&P last yaer is worth £1160
Not likely to change when all the Usa is doing is injecting money into the economy because of the virus.
Click to expand...

With the FED printing money they’re also devaluing the dollar. The dollar is down 17% against vs the pound since March. That’ll soon wipe out a chunk of those gains if you’re a UK investor.

As another poster mentioned, it depends on how long the funds are to be tied up and your appetite for risk.

The advice about cost averaging into a low cost tracker fund was good advice if you’re not too sure what you’re doing.

The FTSE thread has had a few decent tips in there and is not just about the FTSE.

There is also a cryptocurrency thread on here if you don’t mind a lot of volatility. Bitcoin is roughly up 3x in the last few months.
 
Don't leave money in the bank, get into stocks, crypto etc
Only invest what you're prepared to lose

You need to know what your aversion to risk is, if you're just after low risk, put your money into an ETF something like the S&P500 which tracks the best 500 stocks on the American markets, this alone can give decent returns, averaging around 12% per year
Do your own DD and good luck
 
Blu3m00n91 said:
Looking to put some money into shares or savings account but not really clued up much on this and don’t just want to look at random articles on google. Any advice from anyone who does it?
Click to expand...
Go for bonds, at least you know what you're getting
 
Bentheblue said:
Does anyone know if buying digigold bars from the Royal Mint is a good idea?
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Depends what you plan to do with it? I’d more like inclined to look at a gold ETF. I don’t know if you’re familiar with ETF’s - If not, it’s an Exchange Traded Fund, so is basically like buying gold on the stock market as you would when you purchase shares. I imagine an ETF to be more convenient with cheaper fees than digigold from the mint.
 
For anyone on low income or certain benefits this govt saving scheme is a no brainier.
Called help to save you can put in up to £50 a month for 4 years and after 2 years you get 50% added by HMG and a further 50% after another 2 years when the account closes.

www.gov.uk

Get help with savings if you’re on a low income (Help to Save)

Get help with savings if you're on a low income (Help to Save) - how it works, what you'll get, eligibility, how it affects your benefits and how to apply online.
www.gov.uk www.gov.uk
 
117 M34 said:
I have a bit of spare cash that I don't know what to do with.
I shouldn't need it anytime soon unless something happens where I lose my job but don't want to tie it up just in case.
I'm pretty risk averse and not really interested in making money on it but would like to get inflation level of interest on it so that I don't lose relative spending power on it.
Was going to shove it all in a vanguard account but might put into premium bonds instead seeing as that's been mentioned a few times.
Click to expand...
Returns on risk-free investments are paltry, therefore premium bonds have to be worth consideration. Yes, the odds are long but, if you win nothing, you’re barely worse off.
 
zerox said:
If buying shares and funds the Usa is a must at the moment instead of Uk.

£1000 in the ftse last year is worth £840
£1000 in the S&P last yaer is worth £1160
Not likely to change when all the Usa is doing is injecting money into the economy because of the virus.
Click to expand...
Any investments in foreign denominated currencies need to take into consideration the effects of foreign exchange transactions back to your home currency upon sale. The USD is widely touted cy all the investment banks to have a difficult year this year against the major currencies (euro expected to outperform all other majors).

Personally I would look at Euro denominated stocks as the U.S markets closed up too high for what occurred globally last year and there is a risk that if Biden implements much tougher measures with lockdowns this will have a short term impact on operational profits - Flip side even more stimulus from the fed/government to stave off job losses there with Biden at the wheel.
 
Blu3m00n91 said:
Looking to put some money into shares or savings account but not really clued up much on this and don’t just want to look at random articles on google. Any advice from anyone who does it?
Click to expand...
Dividend generating stocks are expected to one of the plays for 2021 with the institutions this year by up to 18% - look at the blue chip shares on the ftse 100 as some are yielding 4-6% - So income and potential for capital growth my BP is already up 12% in 2 weeks, mine are :-

BAE Systems
BP
Legal and General
Glaxo

Some companies are withholding or reducing divs in 2021 re covid but these are looking to plough through and have good earnings cover. Good to put these in an ISA - assuming they are still tax free on div income and capital gains - been a while since I had an ISA...

Cap growth - I've got

Bushfield Minings (re Bovril - I know where he lives if it goes wrong :-) )
Fonix Mobile - Interesting sector and positioned well to take advantage of this growing market - also will pay divs

It's good to have exposure in higher risk stops as they are more fun, however the well trodden phrase of don't invest any money into these riskier stocks that you are not prepared to write off when you buy.
 
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