Reply to: ISA virgin advice

[lukemg]

Yes, although the investments are a bit more liquid than with housing. But it IS gambling, even if more than one horse can win and you decide when the race stops....Hence you don't bet the farm or chase the latest fad or use money you will really need soon.
In terms of timing, really regret not investing in 09 when everything was heading south, that would be at least a 50% return by now - blood on the streets and all that...
Hold your nerve, keep investing, get rich slowly. You might find you really enjoy the process and finding out more and it's a low maintenence plan B.

[PAH]

I suppose the stock market is like the housing market. If you happen to get in at the top of a bubble be prepared to wait a long time for you to get your money back. Which is fine if you don't need the money while waiting.

At least with the stock market you can drip feed your money in via an index tracker as Luke suggested, to minimise losses in the troughs.

Everything you do as an investment with money is a gamble after all.

[Ignis Fatuus]

Would you say the market is at or near a peak at the moment so higher risk of losing out over a shorter term, so better if money can be tied up for longer to ride out any imminent troughs?

If I knew that ......

[lukemg]

Be careful trying to time the market - even a dip can turn into a slide. Short-term (1-2 years) I can see the growth kicking in and most of the corporate news is positive but not reflected in valuations. I wouldn't even dare to say what will actually happen and anyone who says they can is a liar.
Some people say look at a HYP strategy, focussed on dividends so the money is generating return regardless of price. This would probably yield more than a cash ISA with a potential increase in value too (and a potential decrease of course !)

[PAH]

If you can stash for min of 5 years you HAVE TO be looking to get it in the market.

Would you say the market is at or near a peak at the moment so higher risk of losing out over a shorter term, so better if money can be tied up for longer to ride out any imminent troughs?

[lukemg]

Cash ISA ????? ONLY if you are likely to need the money in the next few years. If you can stash for min of 5 years you HAVE TO be looking to get it in the market.
First investment - get the lowest charging index tracker you can find (HSBC through HL would be a good start). Drip-feed in if you prefer (pound-cost averaging).
Fire and forget and don't under any circumstances bottle it at the first dip and cash it in (compound interest)
Some of my funds show a return of 10%+ (average annual return) for 14 years and thats 2 recessions and a dotcom crash.
DONT buy individual shares (you don't have a clue)
DONT buy what bloke in the pub says (He doesnt have a clue)
When you have got a stable foundation of trackers (which can be international), think about risking a small amount (up to 10% of total) on more exotic fare.

[Old Greg]

The face is still in the timeshare scheme right? I lend it to you for one year, then Brad Pitt give's me his. Right? Right!

The details remain commercially sensitive.

On a related note, I had my first client today for my professional contractor services (see sig).

[MarillionFan]

You know the score. Keep up the monthly payments and you keep your face.

The face is still in the timeshare scheme right? I lend it to you for one year, then Brad Pitt give's me his. Right? Right!

[MaryPoppins]

Mainly the peeling.

Pass the salt, would you?

[Old Greg]

Still into the cutting?

Mainly the peeling.

[MaryPoppins]

You know the score. Keep up the monthly payments and you keep your face.

Still into the cutting?

[Old Greg]

I'll double that 5K for you. Just let me have your account number and sort code and I'll do the rest.

Money back guarantee

Old Greg

You know the score. Keep up the monthly payments and you keep your face.

[hyperD]

I would say put your cash into physical assets such as bricks 'n' mortar or Ann Summer's Windmill Powered Rabbits, as everything else seems to be depreciating more than the so called 4% inflation rate.

[singhr]

Is fixing over a year or few a good idea if there's a chance interest rates could rise significantly during the period?

I see that the monthly BOE interest rate review is gradually getting more backers for a rate rise, so if that carries on we could see some movement upwards soon, which would be great for savers on variable rates.

Thanks for all the advice. I was really tempted by the double your money offer but in the end went for fixed rate 1 year cash isa (just finished clicking the buttons online). I'll report back in a years time.

[Dearnla]

I wouldn't recommend longer than a year in a cash ISA, as interest rates are bound to rise and there will be better offers this time next year. Or, go for the one that tracks base rate -
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