Strategy versus inflation based luck

[BlasterBates]

Thanks for the long post. It's well known stocks pay 8% yield long term. So you might as well buy the index and save a lot of admin.

Where are the excess returns now? The airbnb trade is still on isn't it? Long wine trading into the new Russian expats on the med? Arbitrage on car purchase prices across UK and ex-colony European countries (via leasing to avoid import duty)? Go long the importers?

Yes you can buy the Index but actually that involves more admin as you would have to buy 100 stocks if you do it yourself. To do it properly you also have to calculate the weighting and you have to buy and sell stocks as the FTSE changes so incurring more transactional costs. If you buy an index based fund you lose 2% a year so you only make 6%.

[Fronttoback]

The best returns are on the stock market, difficult though.

I first invested in the late 1990's, first thing that happened was I lost half my investment, but kept it, and by mid 2000's I had very healthy profit. Rough calculations showed I made about 8% on average, so I shoved whole lot more on in the mid 2000's, the 2008 crash came along and my portfolio halved. Having experienced this before I increased my investment in 2008, because I invested more I was back in profit by 2009. Since then I've made selected investments and more recently a sizeable wadge into various companies during the 2015 stock market wobble.

My calculations are divis plus capital appreciation give me 8% over the long term. In my portfolio around 7 or 8 stocks have become effectively worthless. Always invest in different stocks. On average you make 8% so when you buy a stock, buy others so that when one goes bad the others will compensate.

If the stock market crashes like it did in 2001 or 2008 then wade in big time.

Currently stock markets are fairly or possible overvalued, I think you can invest but not too much and I would be holding money back for the next wobble or crash. It's coming as it always does

Thanks for the long post. It's well known stocks pay 8% yield long term. So you might as well buy the index and save a lot of admin.

Where are the excess returns now? The airbnb trade is still on isn't it? Long wine trading into the new Russian expats on the med? Arbitrage on car purchase prices across UK and ex-colony European countries (via leasing to avoid import duty)? Go long the importers?

[scooterscot]

I invested heavily last week.



Boomed!

Looks like you're hedging your bets...

[Fronttoback]

Having your property gaining value big time is not an investment if you need that investment as somewhere to live. There's no pile of cash for as long as he's not willing to live somewhere else. Bit like folks spending thousands a year on transport to commute into the city for a bigger income. False economy.

Exactly, you sit on the inflation until you pull the trigger on your retirement trade. You're hedged by your location flexibility. Nice, like your thinking.

I note you have been long the airbnb BTL trade. Not a bad game to be in, 10% yield where I am focused.

I'm pretty sure the euro BTL trade is worth getting into for 5 years , short sterling through the long end repatriation trade.

[DimPrawn]

I invested heavily last week.



Boomed!

[scooterscot]

Currently stock markets are fairly or possible overvalued, I think you can invest but not too much and I would be holding money back for the next wobble or crash. It's coming as it always does

I'd 2nd that. My IFA told me as much, hold back. Overvalued and then some.

[BlasterBates]

The best returns are on the stock market, difficult though.

I first invested in the late 1990's, first thing that happened was I lost half my investment, but kept it, and by mid 2000's I had very healthy profit. Rough calculations showed I made about 8% on average, so I shoved whole lot more on in the mid 2000's, the 2008 crash came along and my portfolio halved. Having experienced this before I increased my investment in 2008, because I invested more I was back in profit by 2009. Since then I've made selected investments and more recently a sizeable wadge into various companies during the 2015 stock market wobble.

My calculations are divis plus capital appreciation give me 8% over the long term. In my portfolio around 7 or 8 stocks have become effectively worthless. Always invest in different stocks. On average you make 8% so when you buy a stock, buy others so that when one goes bad the others will compensate.

If the stock market crashes like it did in 2001 or 2008 then wade in big time.

Currently stock markets are fairly or possible overvalued, I think you can invest but not too much and I would be holding money back for the next wobble or crash. It's coming as it always does

[scooterscot]

Who has an investment strategy here for the next 5 years?

Do your own research. Ask yourself, what's happening in the world? There's some obvious bets just answering that question alone.

[scooterscot]

Many people like assguru simply lived in London at the right time (ie. the time they had to buy, coincided with a boom) and have ended up with a pile - through luck.

Having your property gaining value big time is not an investment if you need that investment as somewhere to live. There's no pile of cash for as long as he's not willing to live somewhere else. Bit like folks spending thousands a year on transport to commute into the city for a bigger income. False economy.

[greenlake]

Or you could put it all on red.

Errrr....

[BigRed]

I have a sure fire strategy that you can can follow, it works so well that I have to charge you £1,000 pa. to receive the tips to keep from swamping the market so this is a limited time offer only open to the first few (thousand) subscribers. My selections have been made by a small team of monkeys (literally) who have been shown to beat most of the available funds over a selected period.

Or you could put it all on red.

More seriously, I believe in investing in a good spread of shares and sectors from the FTSE 100/250 with companies who show a good track record of paying dividends and holding for the long term.

[greenlake]

I'm interested in people who have targeted specific markets in a contrarian way and profited again and again.

What is your strategy for the next 5 years?

Mmmmm....boobs....

[Fronttoback]

Who has an investment strategy here for the next 5 years?

Many people like assguru simply lived in London at the right time (ie. the time they had to buy, coincided with a boom) and have ended up with a pile - through luck.

I'm interested in people who have targeted specific markets in a contrarian way and profited again and again.

What is your strategy for the next 5 years?