ravedave

I've got money to put in now and I can also drip some in too. My main aim at the minute is to get some money out of a poorly performing saving account and an onto an investment platform. I like the look of the LS80. I like the auto rebalancing, spread of funds and the lowish fees. Performance represents the return. I don't know if I should be happy with it. On the face of it paying £2,500 for a gain of £43,000 seems a fair cost. But is it? Initially I thought fees of 0.75% were fine, but once I digested compund interest I realised they were not. Yip, I've read it and am going through it again. It is a good site, if a bit poorly presented. I think I'll get some IFA help to set things up initially and manage it myself. I've got approx £80k in ISAs which could be moved over and an S&S ISA which needs moving on top of the investment sum. Yes, that is the medium term plan. However, I'm thinking about getting advice on how to set this up and choose funds which I would then manage myself. I'm not sure if this is the correct way to go, but my procrastinating is stopping me from starting this!

Okay, I've been doing some more reading on these. On the Hargreaves Lansdown website, for each of the LifeStrategy 60 and 80 funds there is the following text under the HL Research tab: 1. If these Vanguard LifeStrategy funds (and the funds/ETFs that make this up) are not in the Hargreaves Lansdown top funds, then why is LifeStratergy considered a good investment? I've seen them recommended in a few places. 2. The LifeStrategy fund is basically a portfolio of various Vanguard ETF's and funds. Are there additionally changes for each of these funds placed on top of the 0.24% OCF? 3. How do I know what sectors I should be picking from? Is that why I should use the LifeStrategy? 4. Looking at the Hargreaves Lansdown website they charge 0.45% OCF - which would be on top of the individual funds. Is the below analysis of this account correct: Hargreaves Lansdown Fund Total Fund Total Pre Charge Fund Total (omitting Charge) Performance (%) OCF £75,000.00 £75,000.00 £75,000.00 0.7 0.45% £75,185.14 £75,525.00 £75,525.00 7.4 0.45% £80,385.47 £80,748.84 £81,113.85 27.3 0.45% £101,870.21 £102,330.70 £103,257.93 2.8 0.45% £104,251.33 £104,722.58 £106,149.15 13.8 0.45% £118,104.14 £118,638.01 £120,797.74 n/a 0.45% Gain: £43,104.14 Charges: £2,693.60 It would seem to me that 2.2% of the total for a £43k return is a fair charge? Unfortunately, there is so much choice it is confusing me.

Hi, I've looked at that investment account (SWDA) you linkd to. Am I correct in calculating the returns on £75k invested in 2011 as follows: Year Capital Total Return (%) 0 £75,000.00 -5.88 1 £70,590.00 15.53 2 £81,552.63 26.68 3 £103,310.87 5.05 4 £108,528.07 -0.77 5 £107,692.40 n/a Gain £32,692.40 Surely that can't be correct for only five years investment? In relation to reply 5. The fee for LS80 (Accumulation) is 0.24%. However, going through a broker who incur another change on top of this - correct? Comparing the SWDA with LS80: iShares Core MSCI World UCITS ETF Year Capital Total Return (%) 0 - - - 1 £75,000.00 15.53 1.1553 2 £86,647.50 26.68 1.2668 3 £109,765.05 5.05 1.0505 4 £115,308.19 -0.77 0.9923 5 £114,420.32 n/a Gain £39,420.32 VANGUARD LifeStrategy80 Year Capital Total Return (%) 0 - - - 1 £75,000.00 12.91 1.1291 2 £84,682.50 7.58 1.0758 3 £91,101.43 14.19 1.1419 4 £104,028.73 -1.21 0.9879 5 £102,769.98 n/a Gain £27,769.98 Is this correct? Sorry - I'll put up a more detailed reply later when I get more time!

Is something like this from Hargreaves Lansdown what I should be aiming at. The HL managed portfolios are approx twice as expensive as the fund I was looking at:http://www.hl.co.uk/funds/help-choosing-funds/master-portfolios I was going to start dabbling myself in this. Why would I choose a LifeStrategy Fund over an ETF or an Index Fund?I presume that accummulation funds roll any gains back into the fund whereas the income fund transfers gains out into a nominated account?The Lifestrategy funds require a minimum of £100,000 investment. What about S&P 500 UCITS ETF?There does not seem to be any penalties for early withdrawal or indeed minimum investment times. This means I could remove the money if/when needed for a property purchase, correct?Is there any recommended percentage splits for cash/shares/funds/ISA/etc? i.e. is there any notional breakdowns as to how an individual should have their funds split across a number of platforms?I'm currently leaning towards investing in a managed portfolio for up to 10 years with approx £50k. I'd then put between £20k - £50k myself into something and when I'm up and confident I could then assume full control of the funds. There is no charge for removing the portfolio manager - they stop receiving a fee from the funds. I am planning to purchase a house in the near future. I could buy cash, but I think I might be able to outperform the interest charges by means of investing.

I thought that interest rates are staying low for the immediate future? Also, in regards to BTL are there not too many of our policy makers, both here and in England, that are heavily involved in this market for there to be any type of meaningful changes?

Are people expecting a new dip in prices this year or continued growth? I've been out of the loop since I was made redundant last year and hopefully will get back into employment sometime in the upcoming months. I've had a few aborted attempts at purchasing - a few years ago I tried but foreseen issues at work and backed out of viewings. A possibly lucky escape. Hopefully, the EA's won't treat me like a timewaster!

I've already invested some money in premium bonds. I'm looking to spread my capital across some different platforms. Would it be worth even getting an IFA to help me set this up initially? I'm planning to attend some courses on investment, but at the minute I just want to get this money in somewhere and earning.

The thing is I know nothing about investing and I'd rather not do it with such a ledger amount. I'm happy to learn and try with smaller amounts and then take control in ten years when in up to speed and wise to what I need to do. The way I look at it is that they will be able to get me a n much better than what I'm currently getting. I'm aware of the effect of 0.75% compounded over ten years. However, noone has so far recommended a managed fund with less charges. It's all to much of a hassle for me at the minute.

Hi, I've got approx £75k sitting in a bank savings account which is earning me minimal interest. I want to make this money earn more for me than it is currently doing. I spoke with a family friend who is an IFA off the record and he recommended to me that I get a management company to invest the funds for me. I've done some digging about and found a fund manager that will set up a portfolio for me and for a management fee of 0.75% will distribute the investment across a number of funds. They will send me a quarterly review of the portfolio and any recommendations that they think I should take. They will also ensure that the risk profile remains as planned by redistributing the investments across the funds if some get off plan. They will also use wrappers such as an ISA. I know very little about investing. I've asked across a few platforms about whether this management company is a wise choice, but I get regularly told I could do this myself. I realise that by asking on sites where there would be by default a large number of financially aware individuals, that the answers would be biased towards self investment. I would be interested in trying this with a small amount at a later stage when I get some feedback and watch what happens with this investment. What I'm really asking is that is 0.75% management fee of the portfolio a reasonable price? I'm aware that the funds invested in will also have their own fees and that if there is a loss in the short term then I still have to pay the fee. However, I don't know that I'd want to do this myself in the short term. I've not read up on investing. I am planning to undertake a course later in the year (or next year) but I want to know if the above is a reasonable sounding setup for a first time invester? If I do invest this, I will have sufficient near cash (also in a savings account and some in ISAs) to allow me to invest the funds for 10+ years. Any advice on this portfolio management and its fees would be appreciated. Thanks.

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Looks like I've missed the boat again by the looks of it. Is everyone expecting increased stock coming onto the market in the near future? If so, will prices then level out (a dip would be too much to ask).

How do I go about finding a good IFA to get some professional help on this? Am I correct in thinking that it would cost a lot to get them to set up some sort of plan for my finances? Outside of savings accounts (which have a poor return) I know too little to start dabbling in Stocks & Shares and other types of investments. Thanks.

Problem I'm seeing is a lack of volume coming onto the market making increased competition for the preferred areas and thus increasing the prices.

Thanks - altough with the rate the prices are rising I might need a mortgage after all now

This is what I'm trying to avoid. However, I think that I'd have around £75k left over if I go for a £150k property and either put £150k into an offset or put down a deposit of £50 and offsret £100k. I'm in a verty fortunate position at the minute and I want to make the most as I feel that this is a one time only position.

Sorry - that was a typo and should have said 'buy'. Corrected now. Thanks for the reply.

Hi, Now that my personal circumstances have taken an upturn, I'm now willing to give property ownership another lash. I'm in a fortunate position whereby I can buy the property in my desired area for cash. However, I've been wondering if this is a wise move and sensible usage of the money. I would still have a sufficient buffer if I did go down this road. However, I did notice another thread on the main forum here were someone in a similar situation was given an option of taking out an offset mortgage and putting the equivalent amount into the associated savings account to in effect get a 0% mortage (I think that is correct recollection). This would still allow the cash to be ready for a disaster if necessary as the assets would be in near cash as opposed to bricks & mortar. Do banks accept 100% against the mortgage? I know Danske require a minimum purchase price in excess of £200kish - way beyond where I'm looking. Are there any other options to consider which would make better use of my current cash? I know I'll need to go to an IFA some time, but I want to get some preparation done prior to going there. Mod: I posted here because I read this forum most and recognise/follow the contributors. However, if you feel it would be better placed in the "All about buying, selling and mortgages" subforum then feel free to move it. Thanks.

Are you tracking against the for sale price or the agreed price? If the latter, how are you obtaining this figure? I'm looking at South and East Belfast currently. Is there much competition out there for properties?

I've been out of the country for a while. With all the forthcoming cuts how do people foresee 2015 panning out? There doesn't seem to be must good news in the press recently.

I might have missed the boat, but the truth is that there has been little on the market worth purchasing in the area I've been looking that met my criteria. I'm saving up and hopefully will find something suitable soon - but I'll only buy if I find something suitable that fits (or can be refurbished to fit) my needs.

Nolan show discussing the Belfast price rises this morning.

I'd like to think so. However, I have heard about bidding wars returning :-(

Still looking here in BT7/8/9 and have noticed a sharp increase in asking prices. TBH - I'm thinking about parking it again. Anything decent for a 3 bed semi is coming on at £175k+. Very average stuff is floating around £150k - £170k. It does seem like Belfast is booming once again. Also got an email from Hampton via PropertyNews(?) looking for 3 bed houses for FTB demand. Just like the good old days again!

Seeing the same too. Unfortuately there seems to be demand for houses in these areas. Although, the ones I've viewed have have mostly had negative points which were not offset by the price. They still seem to be a bit high for what they are.

Congratulations - wish I was in a similar position!