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tommyboy

Where To Stash The Cash

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wanted bit of advice

have £160k from inheritance

can anyone suggest a good savings account or similar to keep the money

We have not decided on what to do with this money yet so want to just put it in a n account where i can earn the highest intrest with complete security

To put it another way if i gave you £160k where would you put it so it benefited you the most

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One of the worries I would have is a recession and redundancy.

Anyone with savings of that size will not be eligible for state benefits (for what they're worth)

Then your cash will get eaten away by inflation, taxes and living expenses.

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Guest KingCharles1st

I' m in a similar position, and will be again in a few years time.

I don't know the answers at the mo, but I do believe one must look at a combination of areas where it makes sense. I would tend to take a reasonably high risk with a third, but play extremely boringly safe with another third- what would I do with the middle bit...?

You do have enough money with the middle third to buy a property somewhere- Bradford, Accrington, East Midlands.. that you can rent, and that will probably increase ovr the next few years because it is so cheap in comparison to the national average.

My target for the "safe" 66% would be 10-15% growth per year, and 50% + for the high risk. The first two parts are easy management- the last part is very much "keep your eye on the ball," and "act- dont react"

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that the problem just sitting on it , inflation will eat it away

was thinking of a guarenteed equity bond for a portion of the money, has any one had experience of these ?

Ideally would like to buy to let in about 5 year time, to risky and not enough return at the moment.

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One of the worries I would have is a recession and redundancy.

Anyone with savings of that size will not be eligible for state benefits (for what they're worth)

Then your cash will get eaten away by inflation, taxes and living expenses.

It looks like someone’s handed you a poised chalice, so you’d better pass it to me.

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I' m in a similar position, and will be again in a few years time.

I don't know the answers at the mo, but I do believe one must look at a combination of areas where it makes sense.  I would tend to take a reasonably high risk with a third, but play extremely boringly safe with another third- what would I do with the middle bit...?

You do have enough money with the middle third to buy a property somewhere- Bradford, Accrington, East Midlands.. that you can rent, and that will probably increase ovr the next few years because it is so cheap in comparison to the national average.

My target for the "safe" 66% would be 10-15% growth per year, and 50% + for the high risk. The first two parts are easy management- the last part is very much "keep your eye on the ball," and "act- dont react"

You can't get 10-15% growth from safe investments. With base rates at 4.5%, you'll be doing well to beat 5% before tax from something safe like gilts. 10-15% return is more in the realm of "extremely risky". If you want 50%+, take it to Las Vegas and put it all on red -- you'll have a 47.3% chance of a 100% return.

Edited by zorn

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Guest Bart of Darkness
Ideally would like to buy to let in about 5 year time, to risky and not enough return at the moment.

Get him!!!

:lol:

Edited by Bart of Darkness

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Guest KingCharles1st
You can't get 10-15% growth from safe investments. With base rates at 4.5%, you'll be doing well to beat 5% before tax from something safe like gilts. 10-15% return is more in the realm of "extremely risky". If you want 50%+, take it to Las Vegas and put it all on red -- you'll have a 47.3% chance of a 100% return.

Ok- knock out the difference for inflation- we all might as well go and shoot ourselves in the head.

If the investor is not prepared to put in the work- like it seems you dont wish to, then you will only ever get what the VI's ordain themselves to deal out- your call...

Go to Las Vegas- splash out 50K and win first time- bingo- then walk away- but it's your choice...

But the pattern emerging here is- common sense must prevail, but if you never take a risk, you will be just another sheep in the herd, and will be reimbursed accordingly

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Tommyboy, you’re trying to wind us up, surely

To come on to a single issue forum called House Price Crash and ask where you can invest your inheritance of £160,000 which would realise highest interest with complete security(something we’d all like to know) amazes me.

A lot of the people on this site have worked their b******s off just to muster a mere semblance of deposit in this market and you expect us to advise you on your windfall.

Why don’t you spend a portion of it on a profession financial adviser.

I could tell you where to stick your £160,000 where it’s safe and nobody can get there hands on it and it would CREATE a lot of interest too.

I'm editing well this morning

Edited by wheresmyfoxhole

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What would I do?

Definitely speak to an advisor and probably put £100k in a decent savings scheme but where I can touch it in 2007 (when I buy).

The remaining 60k would go on shares, again I would get advice on this.

Come 2007, buy a 300k flat but put down 200k as a deposit. Clear the mortgge in 5 years.

Then have a mental breakdown.

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Wager the entire amount on my "boys" Chelsea Football Club to win the Premiership unbeaten.

It's like buying money

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What's wrong with corporate bonds ? They are a fraction up on the risk scale than just holding cash deposits but i have never heard of corporate bonds going negative. I think annual returns of around 7% per annum are typical.

If you have no existing cash deposits i would stick 50K in cash and the rest in corporate bonds.

If you are almost certain not to need some of the money within 10 years you should seriously think about stock market index trackers for part of it, say 20K

Edited by penbat1

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What's wrong with corporate bonds ? They are a fraction up on the risk scale than just holding cash deposits but i have never heard of corporate bonds going negative. I think annual returns of around 7% per annum are typical.

If you have no existing cash deposits i would stick 50K in cash and the rest in corporate bonds.

If you are almost certain not to need some of the money within 10 years you should seriously think about stock market index trackers for part of it, say 20K

so your'e gonna invest in bonds that pay a fixed amount of interest, when interest rates are likely to rise?

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so your'e gonna invest in bonds that pay a fixed amount of interest, when interest rates are likely to rise?

I was thinking of a basket of corporate bonds via a unit trust so the bonds would be continually changed by the trust manager as required.

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Tommyboy, you’re trying to wind us up, surely

To come on to a single issue forum called House Price Crash and ask where you can invest your inheritance of  £160,000 which would realise highest interest with complete security(something we’d all like to know) amazes me.

A lot of the people on this site have worked their b******s off just to muster a mere semblance of deposit in this market and you expect us to advise you on your windfall.

Why don’t you spend a portion of it on a profession financial adviser.

I could tell you where to stick your £160,000 where it’s safe and nobody can get there hands on it and it would CREATE a lot of interest too.

I'm editing well this morning

to be honest it is not my money is my parents, i just wanted to get as much info as poss to pass on to them

i am in the same position as many as i do not have much money and what i have has been saved over the last 8 years,

no need to be harsh about it, the fact that i hear scum? for mentioning btl, come on in 5 years time if the market is right why would i be scum for doing this,

just coz i am as pissed as you lot that btl have ruined my chances of getting a property doesnt mean that i am going to dismiss it

i had hoped for some info and help, i am not here to boast about any winfall

with us not being in this situation before i was simply asking for advice that i can pass on

to be honest i have only just convinced them that btl is a bad idea at the moment so when they asked for advice i though the guys at hpc will helpfull

didnt expect these replies tho

Edited by tommyboy

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“to be honest it is not my money is my parents, i just wanted to get as much info as poss to pass on to them

i am in the same position as many as i do not have much money and what i have has been saved over the last 8 years,”

Well, why didn’t you say that in the first place, you’re going to get the wrong replys for the wrong reasons. Never mind, mate best wishes to your mum and dad. Tell `em to split it up over several long term building society accounts. Safest in my view.

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