Guest The_Oldie Posted March 7, 2007 Share Posted March 7, 2007 Stocks and Shares? Property? At least the money is SAFE in a savings account whatever the outcome. Not quite safe as inflation is a worry, 70s style infalation could reduce the spending power by 70% odd . However, cash in savings accounts is my choice at the moment. Quote Link to comment Share on other sites More sharing options...
nohpc Posted March 7, 2007 Share Posted March 7, 2007 Agree except work is not an issue for everyone on this site ,some can relocate and retire with money the MPC has printed for them on their assets over the last ten years.So what do you do stay he in a house complete with hooded feral Jafaken children complete with knives(courtesy of Tony's education,education,education policy).Or move to a place in France for a quarter of the price complete with vineyard.Better move quick the pound is sinking like a stone,foreign investors have cottoned on to the fact the pound buys you s**t.Even RB is 4% up this month on his dollars. The pound is sinking like a stone? Not from where I am standing! I want it to dip so I can get a better exchange rate when I move back to the UK in October. I check the rates every month and they have hardly shifted enough to say the pound is sinking. In fact the pound is stronger than I can ever remember it being in my lifetime to date. Quote Link to comment Share on other sites More sharing options...
crashmonitor Posted March 7, 2007 Share Posted March 7, 2007 (edited) It is not so simple. The China effect relies on Britain, Europe and America buying their cheap goods. If they ramp their prices up there will be no more China effect but the next country will step in and take it's place (loads in south america, africa etc). The China effect will always be present until there are no cheap countries left in the world.Also, you say that inflation should be at 1%. This would be very bad. Merv would have to write a letter to Gordon Brown if this happened. 2% is the target and CPI should not wander more than 1% either side of that. 1% is just as bad as 3% The inflation rate should be at 1% if all the factors are deflationary such as oil and an over-valued currency.If you are at 2% inspite of these factors then inflation will over-shoot the 3% when the deflators drop out of the rolling stats one year on.Ideally you want to be at 3% during exteme inflators and 1% during extreme deflators if you have any chance of keeping within the boundaries.Unfortunately the uber Doves will contrive a 2% figure during extreme deflators. Funny how the 3% figure was alright when oil went up. Edited March 7, 2007 by crashmonitor Quote Link to comment Share on other sites More sharing options...
Guest mattsta1964 Posted March 7, 2007 Share Posted March 7, 2007 Meow , i wouldn't worry where you are cos the earth's gonna be struck by a huge meteor next week so it won't matter if your in the UK or France , it'll be all over , seriously good luck in France then .Bearback , if you do your ISA next tax year have a look at NSI { post office } 5.8% tax free with rate guarantees. And for information.......I never definitively stated I'd be moving to France Quote Link to comment Share on other sites More sharing options...
Kuma Posted March 7, 2007 Share Posted March 7, 2007 The pound is sinking like a stone? Not from where I am standing! I want it to dip so I can get a better exchange rate when I move back to the UK in October. I check the rates every month and they have hardly shifted enough to say the pound is sinking. In fact the pound is stronger than I can ever remember it being in my lifetime to date. http://newsvote.bbc.co.uk/1/shared/fds/hi/...welve_month.stm Hey, at least it's better now than it was 6 months ago. If you don't mind me asking, can you tell me what you thought of New Zealand as a country? Would you ever consider emmigrating there. Appologies for thread highjack Quote Link to comment Share on other sites More sharing options...
Guest mattsta1964 Posted March 7, 2007 Share Posted March 7, 2007 Agree except work is not an issue for everyone on this site ,some can relocate and retire with money the MPC has printed for them on their assets over the last ten years.So what do you do stay he in a house complete with hooded feral Jafaken children complete with knives(courtesy of Tony's education,education,education policy).Or move to a place in France for a quarter of the price complete with vineyard.Better move quick the pound is sinking like a stone,foreign investors have cottoned on to the fact the pound buys you s**t.Even RB is 4% up this month on his dollars. It's a no brainer. I'd rather chew my own testicles off than face another 30 years in Skankton Putridsby, Great Festering Quote Link to comment Share on other sites More sharing options...
Daft Boy Posted March 7, 2007 Share Posted March 7, 2007 The real trick is to be diversified , a good multi manager income and growth fund is recommended with low charges , buy in when theres a dip in the market or at least drip feed the money in . In my own experience I found the top funds over the last 15 years only produced an average of 4% per annum over that period after doing exactly what you suggest, albeit tax free. The period around 2000/2001 caused massive losses in most funds that have still to be recovered. It should be borne in mind though that the top bank saving accounts were only paying around 2.5% during much of that period. My advice for private investors at the moment is to avoid the markets worldwide. Quote Link to comment Share on other sites More sharing options...
nohpc Posted March 7, 2007 Share Posted March 7, 2007 http://newsvote.bbc.co.uk/1/shared/fds/hi/...welve_month.stmHey, at least it's better now than it was 6 months ago. If you don't mind me asking, can you tell me what you thought of New Zealand as a country? Would you ever consider emmigrating there. Appologies for thread highjack Cool place, I am definately considering emmigrating partly due to not wanting to work as a doctor in the NHS again. The only draw back to new zealand is it is 1000s of miles away from your family in the UK. If you don't mind that then go for it. Quote Link to comment Share on other sites More sharing options...
grey shark Posted March 7, 2007 Share Posted March 7, 2007 (edited) In my own experience I found the top funds over the last 15 years only produced an average of 4% per annum over that period after doing exactly what you suggest, albeit tax free. The period around 2000/2001 caused massive losses in most funds that have still to be recovered. It should be borne in mind though that the top bank saving accounts were only paying around 2.5% during much of that period. My advice for private investors at the moment is to avoid the markets worldwide. Read my earlier post , i said buy on the DIPS , many many funds have produced better than a average 4% annualy over 15 years , although i wouldn't buy any funds at the mo , buy on the DIPS , also if you buy from a discount broker , you are charged ONLY HALF A % , and management charges are only 1% this gives you a great head start , there are quality funds out there you just have to find them and understand what your buying . Fidelity Special situations is a excellent fund , although now split into 2 this has returnend me nearly 200% . If the market tanks , be brave and buy . EDIT , just reading your post again , thats rubbish about ..... " It should be borne in mind though that the top bank saving accounts were only paying around 2.5% during much of that period. " If you shopped around you could get almost double that or MORE depending when in the last 15 years . Only a mug would of taken 2.5% AT ANY POINT in the last 15 years , but there are quite a lot of mugs around . Edited March 7, 2007 by grey shark Quote Link to comment Share on other sites More sharing options...
Daft Boy Posted March 7, 2007 Share Posted March 7, 2007 Read my earlier post , i said buy on the DIPS , i wouldn't buy any funds at the mo , also if you buy from a discount broker , you are charged ONLY HALF A % , and management charges are only 1% this gives you a great head start , there are quality funds out there you just have to find them and understand what your buying . Fidelity Special situations is a excellent fund , although now split into 2 this has returnend me nearly 200% . If the market tanks , be brave and buy . As I said this is exactly what I did over the last 15 years bought in the dips. All through a discount broker. Fidelity Special Situations was one my best performing funds because it returned 300% for me. . Because of the fund splitting and Bolton about to leave I jumped ship on December 15th. Most of Fidelitys top US funds and all their other funds are still in negative after 8 years. As you say you need a spread in your portfolio. Like me you were lucky with one fund that saved me over the last 15 years and provided only 4% across the portfolio (and this is the top performing funds remember) . I cashed in all my twenty two funds on december 16th. and would have lost this week about £28K had I remained in the markets. At the moment I would say be daft and buy. Out of interest what do you think the next quality fund will be for the future ? Quote Link to comment Share on other sites More sharing options...
Daft Boy Posted March 7, 2007 Share Posted March 7, 2007 .EDIT , just reading your post again , thats rubbish about ..... " It should be borne in mind though that the top bank saving accounts were only paying around 2.5% during much of that period. " If you shopped around you could get almost double that or MORE depending when in the last 15 years . Only a mug would of taken 2.5% AT ANY POINT in the last 15 years , but there are quite a lot of mugs around . Being an active investor for the last 32 years I would love to know ewhere you get your figures from . I suspect you are one of those no hoper clueless financial advisors who still has to work for a living. I managed to retire at the age of 47 over 14 years ago on private income from my investments and hope you can manage the same. Its only mugs who keep financial advisors in work. Quote Link to comment Share on other sites More sharing options...
drminky Posted March 7, 2007 Share Posted March 7, 2007 Why didn't you move your cash to New Zealand? You would get 7.5% here (what I am getting) tax free. I have to pay tax on it because I am earning here though. For UK savers, the currency risk on $Australian, and Particularly $NZ is HUGE, IMO. Neither currency is trading on fundamentals anymore (although that could be said for the pound as well). As two of the three highest yielding currencies in the western world (I believe Iceland is the other), these currencies are majorly propped up by the carry trade, and that 7% return could be wiped out very quickly by just a small unwinding of the carry trade. (Remember, althought the japanese interest rates are only .5%, this is the highest they've been since 98 or so) At least Australia is sitting on tons of exportable gold, coal and uranium which could gonna help prop up the dollar.. New Zealand is looking mighty precarious right now.. Also, remember it is only tax free if you never repatriate the interest back to the uk, so unless you are planning on taking lots of holidays, emigrating, or smuggling loads of cash through airports, you'll not be able to enjoy the tax-free status anyway.. Lovely place to live, but! Quote Link to comment Share on other sites More sharing options...
Orbital Posted March 7, 2007 Share Posted March 7, 2007 I believe your likely better off not adopting the habit of saving, but spending from your income instead sorry dude, you lost me. So im better off spending all my cash on things I dont really want or need and having nothing in the bank? Sorry, can you explain exactly how that makes me better off? So in scenario A, I spend all my money and have some possessions that wont really make me happy and will be instantly devalued massively. In scenario B, I keep my savings account stocked up, but its losing value due to inflation. OK, now I understand scenario B isnt ideal, but you seem to be saying that scenario A is better for me financially! You loon! Surely both situations suck, but B is still more secure than A! Quote Link to comment Share on other sites More sharing options...
grey shark Posted March 7, 2007 Share Posted March 7, 2007 Being an active investor for the last 32 years I would love to know ewhere you get your figures from . I suspect you are one of those no hoper clueless financial advisors who still has to work for a living. I managed to retire at the age of 47 over 14 years ago on private income from my investments and hope you can manage the same. Its only mugs who keep financial advisors in work. "I suspect you are one of those no hoper clueless financial advisors who still has to work for a living. " Totally wrong , i look forward to your apology , i am qualified in sweet F all , have another pop if you want , i educated myself on finance . Perhaps you should also look at Fidelty's European fund as well , almost as good as Fidelity SS , there are plenty of other top funds over the years , also as many on here will know too , there have been loads of instant saving accounts paying over your alleged 2.5% , we have recently had 3 rate rises and as you have said earlier in the thread you are now getting 5.5% take those 3 rises away and we go back to the low point in the 15 year cycle and your 5.5% goes back to roughly 4.75% . If you've been getting 2.5% average over the last 15 years you've been done sunshine . Well done on your retirement at 47 , i was part time in my early 30's so i think i beat you there Hargreaves Lansdowne is it ? Quote Link to comment Share on other sites More sharing options...
Gtr London FTB Posted March 7, 2007 Share Posted March 7, 2007 Why didn't you move your cash to New Zealand? You would get 7.5% here (what I am getting) tax free. I have to pay tax on it because I am earning here though. Because I believe the NZD has a far greater downside risk than the AUD. Quote Link to comment Share on other sites More sharing options...
Kuma Posted March 7, 2007 Share Posted March 7, 2007 Cool place, I am definately considering emmigrating partly due to not wanting to work as a doctor in the NHS again. The only draw back to new zealand is it is 1000s of miles away from your family in the UK. If you don't mind that then go for it. thanks Quote Link to comment Share on other sites More sharing options...
Guest mattsta1964 Posted March 7, 2007 Share Posted March 7, 2007 "I suspect you are one of those no hoper clueless financial advisors who still has to work for a living. "Totally wrong , i look forward to your apology , i am qualified in sweet F all , have another pop if you want , i educated myself on finance . Perhaps you should also look at Fidelty's European fund as well , almost as good as Fidelity SS , there are plenty of other top funds over the years , also as many on here will know too , there have been loads of instant saving accounts paying over your alleged 2.5% , we have recently had 3 rate rises and as you have said earlier in the thread you are now getting 5.5% take those 3 rises away and we go back to the low point in the 15 year cycle and your 5.5% goes back to roughly 4.75% . If you've been getting 2.5% average over the last 15 years you've been done sunshine . Well done on your retirement at 47 , i was part time in my early 30's so i think i beat you there Hargreaves Lansdowne is it ? 'Smug git' mode fully engaged Quote Link to comment Share on other sites More sharing options...
grey shark Posted March 7, 2007 Share Posted March 7, 2007 'Smug git' mode fully engaged Yeah ain't i just , but i earnt it , no rich daddy here Quote Link to comment Share on other sites More sharing options...
AvidFan Posted March 7, 2007 Share Posted March 7, 2007 Why didn't you move your cash to New Zealand? You would get 7.5% here (what I am getting) tax free. I have to pay tax on it because I am earning here though. How do you open an account with this interest rate from the UK??? Can anyone tell me? Or do I have to go to New Zealand to open one? All of the high street bank foreign currency rates are cr@p... And, how come a previous poster said he got interest paid without being taxed. As far as I know, you HAVE TO pay UK tax on savings interest no matter what country it's earned in (if you usually pay tax), right? All contributions welcome... AF. Quote Link to comment Share on other sites More sharing options...
Daft Boy Posted March 7, 2007 Share Posted March 7, 2007 "I suspect you are one of those no hoper clueless financial advisors who still has to work for a living. "Totally wrong , i look forward to your apology Hargreaves Lansdowne is it ? Grey Shark. I do apologise to you. I was taking my stress out on you this morning following a bad start to the day. No excuse really I know. Sorry. Quote Link to comment Share on other sites More sharing options...
grey shark Posted March 7, 2007 Share Posted March 7, 2007 Grey Shark. I do apologise to you. I was taking my stress out on you this morning following a bad start to the day. No excuse really I know. Sorry. I was only joking about it , no skin off my nose m8 , you are wrong though about the average 2.5% savings account in 15 years . Have a happy day Quote Link to comment Share on other sites More sharing options...
mattpascoe Posted March 7, 2007 Share Posted March 7, 2007 Grey Shark. I do apologise to you. I was taking my stress out on you this morning following a bad start to the day. No excuse really I know. Sorry. Even so, his crystal ball has given up the ghost until after the best investment is known. Quote Link to comment Share on other sites More sharing options...
Daft Boy Posted March 7, 2007 Share Posted March 7, 2007 Even so, his crystal ball has given up the ghost until after the best investment is known. Thank you for reminding me mattpascoe. I guess we will have to wait for grey shark to let us in on the next great shining star fund to invest in at the moment. Quote Link to comment Share on other sites More sharing options...
It is different this time Posted March 7, 2007 Share Posted March 7, 2007 Saving - Is It Worth It? Silly question, of course it is worth saving there will always come the time the cash will be the king but of course in boom/bust economy it takes a bit longer to see the benefit of cash & savings. Booming economy devalues your saving & cash but when the miracle economy runs out of steam suddenly not only the house of cards but also any other expensive investment & cost will fall as you can't have a booming economy without a bust then if you have the cash you'll have options. Interesting times ahead £1.3M Trillion is a lot of money to owe but in 3 to 5 years time there is big possibility your cash will afford much more than today. Quote Link to comment Share on other sites More sharing options...
Guest Charlie The Tramp Posted March 7, 2007 Share Posted March 7, 2007 Is this a good deal ? I thought it was. You pay £25 per month for 30 years and £125 per month for 25 years paying in a total of £46.50k. Pays out £225k tax free, if the stock market had not fallen that total pay out would have been a £1/4 million, taking into consideration that during the term of the investment a massive life cover was in force from day 1. Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.