Investment in shares and other options

  bumpkin 16:25 30 May 2013

Hi all, I would value your comments and views on the various current investment options. I have just had a 3yr fixed bond @ 3.3% come to the end of its term. Seems to be nothing like that available anymore. I have my full ISA allowance for myself and wife. Not looking to get rich quick just a reasonable return so am now considering the Stock Market but not something I am familiar with so any guidance would be helpful. Thanks.

  Woolwell 17:04 30 May 2013

You should seek an independent financial advisor. Any other advice will come from unqualified people and could be illegal as only people and companies authorised by the FSA are allowed to provide advice on financial products.

  bumpkin 18:13 30 May 2013

Woolwell thanks, I just wanted peoples general opinions, I would of course use a proffessional should I decide to to try this.

  OTT_B 19:44 30 May 2013


Looking at this a few weeks ago (and a lot can change in that time), if you're investing more than a ~£1200 then your options are pretty limited for good rates, unless you are prepared to manage the investment yourself (only you will know if you are, which by the sounds of things you are heading that way.).

At the moment, for short to mid term managed investments, around 2 - 2.5% is a fair target figure. For stock markets, it's a tough one to predict, but what I will say is this:

If you manage it yourself then try and invest in areas that you have a personal or professional interest in

Be aware of trading fees. They can rack up pretty quickly if you are doing smaller trades

The returns on self managed funds can be great - or they can be a total loss. Be careful.

Create a strategy for your investments (when and what to buy, and when to sell). Stick with your strategy unless you have a very good reason to change.

I make around 12% per year on my self managed fund. It's a relatively complex set-up and has a lot of risk mitigation built in, meaning that returns are not as high as they could be (n the other hand of course, a net loss of cash over 12 months has never happened over the 3 years I've been doing it)

  john bunyan 20:03 30 May 2013

I am trying to find a hidden snag in the Santander 123 bank account where they offer 3% interest on a current account subject to a few conditions.

Santander 123

The government , from time to time, issue bonds with a 1% over inflation return, but there is no offer at the moment.

It is very difficult to safely get more than inflation (about 3%) after tax - even ISA's are poor.

As OTT_B says, the only way to get better than inflation is to look at bonds, stocks property or shares, and then there are downside risks. Long term a managed fund, or even a tracker fund should beat inflation, but there are risks as the stock market has risen quite a lot recently. NEVER invest in a single place or company - just remember the councils who put a lot into Icelandic institutions.

  flycatcher1 20:13 30 May 2013

I have made, and lost, money on the Stock Market but I am now making reasonable returns. If you have your wits about you and read the financial columns I am not sure that you need an Advisor if the investment is not too big. If you cannot afford to lose any put the cash in a box under your bed. Active trading is not for inexperienced investors.

There are some shares, utilities, food, fuel and the like that produce a steady income. People will always use electricity and petrol and need food and water.

There is one company which has done me proud but all I can say is always keep on the right side of the Law particularly if you are a Deb.

  bumpkin 23:35 30 May 2013

Hi, we meet again "I am trying to find a hidden snag in the Santander 123 bank account where they offer 3% interest on a current account"

I have a Santander 123 account and the only snags I can see is that it only pays 3% up to a max of £20,000 and you must pay in at least £500.00 per month from a non Santander account.

  bumpkin 23:47 30 May 2013

Thanks all, interesting suggestions so far. I am concerned about trading fees and the best way to go about this on a small time basis. I don't know where to go to buy or sell. No point in making a profit if is is taken in fees, even less if I make a loss.

  OTT_B 00:06 31 May 2013


There are a lot of online trading outfits - Google is your friend. Some give access to markets and trade types that others don't, as well as things like mobile trading platforms. It depends what you are interested in as to which you go with. Some you may have heard of (run by very big name banks), others you may not have. In any case, research any company that you think of using.

Some companies also offer a limited time period of reduced trading fees (for example the first month only carries a £1 trading fee).

Please also be aware, that if you are not trading in share ISAs, then profits are taxable - you have to pay this, usually through self assessment at the end of the year.

  Forum Editor 07:16 31 May 2013

I'm afraid we have a very strict rule about questions on financial investments. We don't encourage them.

This isn't because we're a bunch of wet blankets, it's because nobody here is qualified to offer advice on investments in a web forum.

You've posted your thread now, and several people have responded, so I'm not going to spoil the fun at this stage. Just remember that you should consult an independent financial adviser before making any investment decisions, and that we accept no liability for the consequences of you acting on anything that anyone says here.

  fourm member 07:26 31 May 2013

"Do you remember Horace Batchelor?"

Maybe I was born with a sceptic gene but I always thought that, if his system was so good, he should use it to make his fortune and retire instead of trying to get other people to buy it from him.

My point is that I'm wary of the various financial 'gurus' who make their money running websites telling people how to make money rather than just applying their own advice.

This thread is now locked and can not be replied to.

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