| Investing for beginners 15:54 - Jun 30 with 4527 views | Zx1988 |
I've downloaded Trading 212 to take advantage of their interest rate on uninvested cash, and am interested in dabbling with the stock market.
The money would be coming from round-ups on card payments, so I could happily lose it all if it all goes to pot.
Would the 'dummies' guides to investing and investing in shares (the UK editions) be decent jumping-off points in terms of learning what I'm doing? Or are there better beginner-level resources out there? |  |
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| Investing for beginners on 16:03 - Jun 30 with 3642 views | Leaky |
Sorry you come across on this forum as anti capitalist I apologise if I've read you wrong. So why you wanting deal in shares. |  | | |
| Investing for beginners on 16:30 - Jun 30 with 3559 views | Kropotkin123 |
In your situation I would
1. Pay off debts, like credit cards, first. More often than not, this will give me a better return than the stock market.
2. Build an emergency fund. If I lose my job, how long would it take me to get a new one in challenging times? 3-6 months? That's how big my emergency fund should be. This fund should be in liquid assets. High interest savings accounts or staggered short-term ISAs, depending on rates.
When I had this sorted, I wouldn't need to worry about having to exit my investments at the wrong time.
I don't know what I'm doing at this point, and that isn't meant to be a criticism of myself.
1. Start off with broad ETFs. Boring, I know, but this spreads your risk. Something like VEQT - https://www.vanguard.ca/en/advisor/products/products-group/etfs/VEQT. I check out the fact sheets, so I know what the ETF is investing in.
2. What areas of the market do I see outperforming others in the next 1-5 years. I will focus on an ETF that gives me more coverage there. I choose an ETF that focuses on NASDAQ or Tech companies.
3. I also want a boring ETF of recession proof companies. I pick a high-yield dividend ETF.
4. Now I have a firm base, the excitement has worn off. I over "timing the market", I'm not tempted to sell out of positions due to days to day, month to month fluctuations, I decide to invest in a few individual companies that I think are undervalued or will put perform the market. I don't do anything outrageous. They may only make up x% of my overall holdings.
Other notes, if I'm saving for another asset, like a house, and I need to access this money, I would start exiting positions well in advance, when I know I'm up and not at the whim of the market. Ideally though, I would have this for longer term finances, like my own retirement savings account.
This is not financial advice, just my opinions. Your capital and your investments are your own. |  |
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| Investing for beginners on 16:37 - Jun 30 with 3496 views | J2BLUE |
| Investing for beginners on 16:30 - Jun 30 by Kropotkin123 |
In your situation I would
1. Pay off debts, like credit cards, first. More often than not, this will give me a better return than the stock market.
2. Build an emergency fund. If I lose my job, how long would it take me to get a new one in challenging times? 3-6 months? That's how big my emergency fund should be. This fund should be in liquid assets. High interest savings accounts or staggered short-term ISAs, depending on rates.
When I had this sorted, I wouldn't need to worry about having to exit my investments at the wrong time.
I don't know what I'm doing at this point, and that isn't meant to be a criticism of myself.
1. Start off with broad ETFs. Boring, I know, but this spreads your risk. Something like VEQT - https://www.vanguard.ca/en/advisor/products/products-group/etfs/VEQT. I check out the fact sheets, so I know what the ETF is investing in.
2. What areas of the market do I see outperforming others in the next 1-5 years. I will focus on an ETF that gives me more coverage there. I choose an ETF that focuses on NASDAQ or Tech companies.
3. I also want a boring ETF of recession proof companies. I pick a high-yield dividend ETF.
4. Now I have a firm base, the excitement has worn off. I over "timing the market", I'm not tempted to sell out of positions due to days to day, month to month fluctuations, I decide to invest in a few individual companies that I think are undervalued or will put perform the market. I don't do anything outrageous. They may only make up x% of my overall holdings.
Other notes, if I'm saving for another asset, like a house, and I need to access this money, I would start exiting positions well in advance, when I know I'm up and not at the whim of the market. Ideally though, I would have this for longer term finances, like my own retirement savings account.
This is not financial advice, just my opinions. Your capital and your investments are your own. |
Definitely agree on the emergency fund, especially when you can get interest rates of 4.5%+ easy access.
If you have a mortgage it might be worth looking at overpaying depending on your interest rate.
Don't invest in anything you don't understand. |  |
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| Investing for beginners on 16:43 - Jun 30 with 3465 views | bluelagos |
Stick it in your pension. You'll get tax relief so pay in £4 and £5 hits your pension if you're a basic tax payer.
Or set up an ISA and get in the habit of saving/investing in shares.
Good unbiased info on investing on the Daily Mail online site. Dealing charges can add up so I wouldn't be buying anything in too small chunks. If you say pay £5 a trade, buying in £20 blocks isn't going to be sensible. |  |
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| Investing for beginners on 16:43 - Jun 30 with 3465 views | Kropotkin123 |
| Investing for beginners on 16:37 - Jun 30 by J2BLUE |
Definitely agree on the emergency fund, especially when you can get interest rates of 4.5%+ easy access.
If you have a mortgage it might be worth looking at overpaying depending on your interest rate.
Don't invest in anything you don't understand. |
I agree with the mortgage addendum. | |
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| Investing for beginners on 17:13 - Jun 30 with 3380 views | SuperKieranMcKenna |
| Investing for beginners on 16:30 - Jun 30 by Kropotkin123 |
In your situation I would
1. Pay off debts, like credit cards, first. More often than not, this will give me a better return than the stock market.
2. Build an emergency fund. If I lose my job, how long would it take me to get a new one in challenging times? 3-6 months? That's how big my emergency fund should be. This fund should be in liquid assets. High interest savings accounts or staggered short-term ISAs, depending on rates.
When I had this sorted, I wouldn't need to worry about having to exit my investments at the wrong time.
I don't know what I'm doing at this point, and that isn't meant to be a criticism of myself.
1. Start off with broad ETFs. Boring, I know, but this spreads your risk. Something like VEQT - https://www.vanguard.ca/en/advisor/products/products-group/etfs/VEQT. I check out the fact sheets, so I know what the ETF is investing in.
2. What areas of the market do I see outperforming others in the next 1-5 years. I will focus on an ETF that gives me more coverage there. I choose an ETF that focuses on NASDAQ or Tech companies.
3. I also want a boring ETF of recession proof companies. I pick a high-yield dividend ETF.
4. Now I have a firm base, the excitement has worn off. I over "timing the market", I'm not tempted to sell out of positions due to days to day, month to month fluctuations, I decide to invest in a few individual companies that I think are undervalued or will put perform the market. I don't do anything outrageous. They may only make up x% of my overall holdings.
Other notes, if I'm saving for another asset, like a house, and I need to access this money, I would start exiting positions well in advance, when I know I'm up and not at the whim of the market. Ideally though, I would have this for longer term finances, like my own retirement savings account.
This is not financial advice, just my opinions. Your capital and your investments are your own. |
Personally I prefer funds as they spread your risk. If you can hold your nerve, the greatest gains are to be made after ‘shock events’. I’ve had returns of over 40 pc on units bought at the outset of COVID.
I’d add that now is a very bad time to start investing in equities or trackers - many indexes are at, or near record highs. I’d wait it out,it’s largely being driven by the strong dollar and healthy profits from energy and commodity firms. FTSE 100 has historically performed much worse than peers in terms of growth (but doing well presently due to most of the firms earning their revenues in USD which boosts profit when converting to Sterling). worth noting the yields tend to be pretty good. I prefer various non-UK trackers which have grown faster.
All the above is of course just my opinion, not advice! | | | |
| Investing for beginners on 22:53 - Jun 30 with 3236 views | mikeybloo88 |
Hard to make specific suggestions without knowing your age, circumstances and objectives but suggestions already about pension, mortgage and cash buffer are good ones. If you still have some money and want to invest in the markets, the best thing to do if you want to keep it simple is set up regular payments into a global index fund which exposes you to all the world markets and not just niche areas like tech or pharma or China etc. I recommend two OEIC funds, HSBC Ftse All World Index C or Fidelity Index World P, so pick one as they’re virtually the same. Fees are low on these. Don’t use Trading 212 so maybe you can only buy etfs on there? If so I’d go for one called VWRP, Vanguard World. |  | | |
| Investing for beginners on 23:13 - Jun 30 with 3183 views | ipswichtillidie |
How old are you? What’s your risk appetite? Lots of good suggestions already on here but essentially the younger you are the less risk you actually need to take. I use trading 212, it’s a great platform and cheap. I also would recommend Vanguard for ETFs. Trading 212 have a cashless account so you can play around with free money so to speak and get a feel for how the market works. I’d recommend this for beginners. Especially if you would like to individual stock pick some or all of your portfolio. Do lots of your own research, don’t rush, and as mentioned only invest money you won’t need, other wise your wasting your time. Have a plan, stick to it and know what you’re investing in. (Understand the business). If you stock pick a portfolio and don’t have the appetite to ever see your investment cut in half or more then stick to ETFs. Having the stomach and patience will be the key and that’s even if you can pick great companies. Statistically you’re always better off with an ETF but if you understand an industry or have an edge then use it and pick some stocks.
Not financial advice. |  |
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| Investing for beginners on 23:21 - Jun 30 with 3162 views | MVBlue |
Index funds are good investments. The funds are worked by traders who can offer a consistent return over long term of over 1 year. I've use iweb for 8 years now, and put 1/3 in
Invesco Asian Equity Income (UK) Z Acc
which is considered a high risk fund but has done 18% over that time now. My personal choices have been really mixed, but I recently have become more interested in dividend paying funds and remarkablt Google is now one. |  |
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| Investing for beginners on 07:08 - Jul 1 with 2932 views | mikeybloo88 |
| Investing for beginners on 23:13 - Jun 30 by ipswichtillidie |
How old are you? What’s your risk appetite? Lots of good suggestions already on here but essentially the younger you are the less risk you actually need to take. I use trading 212, it’s a great platform and cheap. I also would recommend Vanguard for ETFs. Trading 212 have a cashless account so you can play around with free money so to speak and get a feel for how the market works. I’d recommend this for beginners. Especially if you would like to individual stock pick some or all of your portfolio. Do lots of your own research, don’t rush, and as mentioned only invest money you won’t need, other wise your wasting your time. Have a plan, stick to it and know what you’re investing in. (Understand the business). If you stock pick a portfolio and don’t have the appetite to ever see your investment cut in half or more then stick to ETFs. Having the stomach and patience will be the key and that’s even if you can pick great companies. Statistically you’re always better off with an ETF but if you understand an industry or have an edge then use it and pick some stocks.
Not financial advice. |
I’d say the younger you are the MORE risk you can take.... but it depends what you’re investing for. If it’s for a something like a house deposit in the next 5-10 years then be more risk aware. If it’s for later in life, such as retirement, or you don’t want to access the money for 10-20 years at least, I’d say go all in with equities and you can even have a larger portion in higher risk higher growth funds. But a few things I absolutely would do is
1. Make sure you buy your investments in an ISA using your annual allowance
2. Don’t sign up with a financial adviser who isn’t genuinely independent or who charges you regular fees to manage your money. Advice is fine as a one off to discuss your goals and even design an initial plan but once you have a basic idea about investing, you’ll save a lot of money managing your own investments. You can always pay for ad hoc advice as and when you need it at times through your life.
3. Watch a few investing videos on YouTube by people like Pensioncraft (Ramin) or Damien Talks Money...sensible introductory videos for those new (and even not new as I watch all of them to keep up to date) to investing | | | |
| Investing for beginners on 07:11 - Jul 1 with 2935 views | ThisIsMyUsername |
VWRP and chill. DCA every month.
(Not financial advice.) |  |
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| Investing for beginners on 16:17 - Mar 19 with 1909 views | J2BLUE |
Anyone ever invested in anything like this?
https://secure.songvest.com/search?offerings=1
I have no idea if it's worth it and will obviously look into it first but if anyone has invested in similar it would be good to get some feedback. | |
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| Investing for beginners on 16:32 - Mar 19 with 1821 views | bluelagos |
| Investing for beginners on 16:17 - Mar 19 by J2BLUE |
Anyone ever invested in anything like this?
https://secure.songvest.com/search?offerings=1
I have no idea if it's worth it and will obviously look into it first but if anyone has invested in similar it would be good to get some feedback. |
Interesting one.
The cynic in me would say if these songs were providing a half decent return (in terms of royalties) then why would the owner of them be selling them?
Is there are any verifiable history of the past royalties that have been paid? That would give you a starter of the likely returns at least to be able to make an informed decision.
And I guess the big winner would be when you invest in a song which then gets popular again (a popular advert or a film uses it) and you could cash in...but fiik how you'd be able to spot that ahead of the game. | |
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| Investing for beginners on 16:36 - Mar 19 with 1786 views | J2BLUE |
| Investing for beginners on 16:32 - Mar 19 by bluelagos |
Interesting one.
The cynic in me would say if these songs were providing a half decent return (in terms of royalties) then why would the owner of them be selling them?
Is there are any verifiable history of the past royalties that have been paid? That would give you a starter of the likely returns at least to be able to make an informed decision.
And I guess the big winner would be when you invest in a song which then gets popular again (a popular advert or a film uses it) and you could cash in...but fiik how you'd be able to spot that ahead of the game. |
Agree with that.
I also have no idea if those songs are going to be regularly streamed in years to come.
They have some figures on there for last 12 months and previous years.
On another site they have the rights to two Coldplay tracks if you have a spare £80k. | |
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| Investing for beginners on 16:52 - Mar 19 with 1727 views | Bluecoin |
Unless you pick a real diamond stock (some are out there), you won't make any serious returns. Inflation, debasement, fees, CGT etc will eat up most of the gains, even long term. It's just not worth it.
My advice, (feel free to ignore) is to buy Bitcoin. DCA, and enjoy the ride baby. | | | |
| Investing for beginners on 17:03 - Mar 19 with 1651 views | SuperKieranMcKenna |
| Investing for beginners on 16:52 - Mar 19 by Bluecoin |
Unless you pick a real diamond stock (some are out there), you won't make any serious returns. Inflation, debasement, fees, CGT etc will eat up most of the gains, even long term. It's just not worth it.
My advice, (feel free to ignore) is to buy Bitcoin. DCA, and enjoy the ride baby. |
All your portfolio in one incredibly volitile, intangible, unregulated asset which is openly manipulated by big players on social media?
Okay Elon. | | | |
| Investing for beginners on 17:04 - Mar 19 with 1638 views | J2BLUE |
| Investing for beginners on 16:52 - Mar 19 by Bluecoin |
Unless you pick a real diamond stock (some are out there), you won't make any serious returns. Inflation, debasement, fees, CGT etc will eat up most of the gains, even long term. It's just not worth it.
My advice, (feel free to ignore) is to buy Bitcoin. DCA, and enjoy the ride baby. |
S&P 500 has averaged 10% or so for the last century.
Gambling on Bitcoin has a place but it can soon fall dramatically for a number of reasons.
Not financial advice. | |
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| Investing for beginners on 17:05 - Mar 19 with 1631 views | Bluecoin |
| Investing for beginners on 17:03 - Mar 19 by SuperKieranMcKenna |
All your portfolio in one incredibly volitile, intangible, unregulated asset which is openly manipulated by big players on social media?
Okay Elon. |
Who said all of your portfolio? | | | |
| Investing for beginners on 17:26 - Mar 19 with 1530 views | Bluecoin |
| Investing for beginners on 17:04 - Mar 19 by J2BLUE |
S&P 500 has averaged 10% or so for the last century.
Gambling on Bitcoin has a place but it can soon fall dramatically for a number of reasons.
Not financial advice. |
After allowing for inflation, debasement, tax, fees, etc, you're probably looking at 4% or less.
The volatility of Bitcoin is fine if you're in it for the long term, you have to zoom out and ignore the noise. The big swings down mean big swings up, or so far any way !
The market cycle is fairly well understood now. There is a clear 4 year cycle linked with the halving event. It's fascinating and I urge people to do a bit of research. | | | |
| Investing for beginners on 17:32 - Mar 19 with 1496 views | Swansea_Blue |
Invest in some whisky. If it doesn’t go as well as you expected and least you can drink it to forget!
In all seriousness, I quite fancy getting some whiskey stock just for the novelty of it. I’ve no idea if it provides a decent return, but that wouldn’t bother me if it was just for a bit of fun.
Edit - that doesn’t answer you question and wouldn’t be the place to start. I’d be paying off any debts/mortgage and putting a lump sum aside first. And then go down a biting managed fund. That’s very hands off though, so doesn’t sound like what you’re after. [Post edited 19 Mar 17:33]
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| Investing for beginners on 18:43 - Mar 19 with 1387 views | Simonds92 |
| Investing for beginners on 16:36 - Mar 19 by J2BLUE |
Agree with that.
I also have no idea if those songs are going to be regularly streamed in years to come.
They have some figures on there for last 12 months and previous years.
On another site they have the rights to two Coldplay tracks if you have a spare £80k. |
Terrible investment! I've never heard a single person say they like / love / listen to Coldplay! | | | |
| Investing for beginners on 19:13 - Mar 19 with 1307 views | J2BLUE |
| Investing for beginners on 17:26 - Mar 19 by Bluecoin |
After allowing for inflation, debasement, tax, fees, etc, you're probably looking at 4% or less.
The volatility of Bitcoin is fine if you're in it for the long term, you have to zoom out and ignore the noise. The big swings down mean big swings up, or so far any way !
The market cycle is fairly well understood now. There is a clear 4 year cycle linked with the halving event. It's fascinating and I urge people to do a bit of research. |
I own some (not very much) Bitcoin and Ethereum so not trying to talk it down but it can be decimated with the stroke of a pen.
Each to their own and I hope it works out for you but I wouldn't want to be holding more than 5-10% crypto and even then it would be with the knowledge it was gambling, not investing. | |
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| Investing for beginners on 19:16 - Mar 19 with 1298 views | MVBlue |
| Investing for beginners on 17:32 - Mar 19 by Swansea_Blue |
Invest in some whisky. If it doesn’t go as well as you expected and least you can drink it to forget!
In all seriousness, I quite fancy getting some whiskey stock just for the novelty of it. I’ve no idea if it provides a decent return, but that wouldn’t bother me if it was just for a bit of fun.
Edit - that doesn’t answer you question and wouldn’t be the place to start. I’d be paying off any debts/mortgage and putting a lump sum aside first. And then go down a biting managed fund. That’s very hands off though, so doesn’t sound like what you’re after. [Post edited 19 Mar 17:33]
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Whiskey and Bitcoin to the moon | |
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| Investing for beginners on 19:21 - Mar 19 with 1273 views | djgooder |
| Investing for beginners on 17:04 - Mar 19 by J2BLUE |
S&P 500 has averaged 10% or so for the last century.
Gambling on Bitcoin has a place but it can soon fall dramatically for a number of reasons.
Not financial advice. |
Not advice but…..
Crypto should be kept to something like 5 - 10 % of your portfolio if you are risk averse like me. |  | | |
| Investing for beginners on 19:23 - Mar 19 with 1267 views | TractorWood |
I've been doing it for years through share dealing and stocks and shares ISA and have been in finance for ages.
However, I live and breath it and absolutely love it beyond anything. I don't do social media or the news. Instead, every working day I'm on the markets, I'm endlessly trawling earnings, LSE forums, movements on foreign indices, M&A impact etc etc.
I've had some nice results in the last few years. My honest advice would be do your own research and invest with confidence or don't do it at all. Don't punt.
If you can't do the research with the required skills, as others have suggested, perhaps play it safe and stick it in your pension for the tax relief, take it off the mortgage or put in a ready made fund etc.
As always, do your own research (DYOR). [Post edited 19 Mar 19:57]
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