# People who are too dumb to know how to invest 10's of thousands of pounds



## nudda (Oct 28, 2008)

That is me.

I am not sure what to do with some savings in my account. Watching Bloomberg today and thinking there has got to be somewhere I should be investing this than just leaving in my current account.

Ideas from the top of my head:-

Buy and sell second hand cars (not very professional)
Stocks and shars (risky ... maybe too risk)
Property (long term commitment)
Start a business (no idea what though or where)
etc ..........

So, some of you may know or have been in a similar position to me. What did you do?


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## S63 (Jan 5, 2007)

Very much depends if you are prepared to take risks for a higher return or place safe for a small long term profit.


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## Monkeyboy (Nov 19, 2006)

I Spunked some of it up against a wall and the rest up my nose and on cheap women.

Not very professional either but I had THE BEST time ever along the way !!!

Can highly recommend it !! :thumbup:


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## fulcrumer (Feb 25, 2012)

Well you have 4 days to use this years ISA allowance - that is the first thing you should do. Then use next years. But that only gets rid of £11k of your problem.


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## ianrobbo1 (Feb 13, 2007)

I see on TV that on-line gambling can get you £30 for a tenner, open LOADS of different bingo accounts and!!!!:lol:


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## Goldbug (Sep 23, 2011)

Another saver here. My savings represent money saved from almost a decade of work. My situation is:

- £??? k banked
- recession-proof very well paid job; salary will not rise any time soon
- don't own a house

I don't have a bloody clue what to do. Houses are still too expensive in my opinion, and I'm getting a good deal renting.:thumb:

The only houuuses that represent any value relative to rent are at the bottom end of the market; so do I just buy 3 of them on BTL mortgages, get into as much debt as I can, and then when the currency is devalued at least ill own 3 houses?

They're just gonna kKeep on devaluing the currency and propping the market up aren't they - I feel like my hand's being forced here... 

BBut I'd do anything to make sure not one penny of my cash goes towards saving the idiots that got us into this mess!:thumb:


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## rinns (May 24, 2008)

Houses in crap areas represent better value than good areas, i have a buy to let in a good Area and the yield is not so good, the plan is to sell and get some cheaper houses which should yield 5%


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## kh904 (Dec 18, 2006)

I am in a similar situation as yours goldbug. I had 10 years of savings, and in the last 6 months I decided to invest half of it in physical gold and silver (in my possession). 

My savings were for a deposit for a house but it's still way too overpriced, and we have real negative interest rates so leaving it in a bank is losing money. 

They keep devaluing the currency so I'm going to get more gold and silver as imo they will go up in the long term when there's a global currency collapse. If and when that happens, interests rates will go up, so those with mortgages will be wiped out, and banks will collapse, so depositors will also lose their money ie like cyprus are going through now.

Stocks can be good, but I don't have much knowledge on specific companies but imo stocks in general are overvalued. 

I personally would stay away from anything that has counterparty risk at the moment as I feel you could lose all you investment.

If you can find a business to start up, that could be good.

Stay well away from government bonds- they are in a massive bubble which will burst!


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## Mattodl (Sep 13, 2012)

I myself am in a similar situation, with property and interest so low I'm about to invest in 2 buy to let properties which will be rented to family members. Can only see properties rising in value.


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## johnnyc (Nov 18, 2008)

Yup same here. Already maxed out my isa so stuck the rest in a 6 month fixed rate save getting something like 1% interest. WOOHOO. 

My friends have told me to put it in bonds. No idea where to go for bonds but you dont loose anything and they regulary win £25 every month or two.


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## Method Man (Aug 28, 2009)

Buy to lets or Premium Bonds


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## PaulN (Jan 17, 2008)

Bricks and Mortar, it was good enough for my parents and theirs before 

I guess on a foot loose and fancy free side enjoy the knowledge you can do anything you like with little notice...


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## TooFunny (Sep 18, 2012)

kh904 said:


> I am in a similar situation as yours goldbug. I had 10 years of savings, and in the last 6 months I decided to invest half of it in physical gold and silver (in my possession).
> 
> !


I'm not too sure gold was necessarily the best investment, yes it has risen steeply over the past 10 years but in the last 6 months gold has dropped 100GBP an ounce...


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## kh904 (Dec 18, 2006)

TooFunny said:


> I'm not too sure gold was necessarily the best investment, yes it has risen steeply over the past 10 years but in the last 6 months gold has dropped 100GBP an ounce...


True, but I feel in the long term it will go up. All the major central banks around the world are debasing their currencies which will lead to higher inflation. Now the bank of England have a new mandate to be loser on inflation to increase employment.

All fiat currencies eventually collapse and it looks like it's happening soon - history repeats itself! Gold has been money for 5000 years, where as paper money comes and goes.


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## The Cueball (Feb 8, 2007)

gold is good....

or is that greed??? can't remember....

anyway, all the tax I don't pay for being willing to work to get money goes into gold...


GOLDFINGAAAAAAAAAAAAAAA

:lol:

:thumb:


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## Tricky Red (Mar 3, 2007)

Sensible investing in blue chip stocks should see you a decent rate of growth and good dividend yields. Pack them in an ISA and you are safe from tax on the dividends too. Play the game. I did a 6 week in and out investment in a stock recently and yielded a 29% ROI. 

Just don't get emotionally attached to your investment and with sensible picks you should yield profits.

I have been in BP recently, IAG, Vodafone, National Grid and got out with decent returns.


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## majcas84 (Aug 24, 2012)

Stay diversified to avoid too much risk and volatility.

A mix of cash, stocks, bonds (not premium bonds) and property is likely produce decent long term returns. Unless you have some specialist knowledge in one particular area, you'd be taking a big bet by going all-in on one investment class only.

There are lots of things that affect the price of gold. It's quite a specialist market IMO. Most wealth managers only advise a portfolio allocation of approx 10% for gold. In a currency debasement/inflationary environment most physical assets will retain value, including property, so it's not the only option for that scenario.


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## TooFunny (Sep 18, 2012)

TooFunny said:


> I'm not too sure gold was necessarily the best investment, yes it has risen steeply over the past 10 years but in the last 6 months gold has dropped 100GBP an ounce...


No what was it I was saying about gold??....

http://www.washingtonpost.com/busin...87b4d6-a5e4-11e2-9e1c-bb0fb0c2edd9_story.html


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## MEH4N (Mar 15, 2012)

Buy to let property ??


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## kh904 (Dec 18, 2006)

TooFunny said:


> No what was it I was saying about gold??....
> 
> http://www.washingtonpost.com/busin...87b4d6-a5e4-11e2-9e1c-bb0fb0c2edd9_story.html


Gold has been going down from last september iirc, but the recent drop admitingly scary. 
However i maintain that in the long run it will go up as all the main central banks are debasing their currencies. 
There are short term factors that are causing the price to plunge:

The fed reserve giving an indication that it's looking to slow down it's bond purchasing program - i don't think it will though as they are propping up the US stock market etc. If they stopped, everything their economy will start to contract again.

Cyprus announcing they may sell off their gold reserves - the possible increase in supply is driving down the gold price.
There's the possibility that Italy, Spain, Portugal etc will be forced to do the same.

A lot of the speculation in gold is ETF's (paper gold) - there isn't the gold to back it up if everyone comes for their claim!

Goldman Sacs perfectly timed their announcement to short gold 
They are big players who are manipulating the markets - goldman sachs are one of them.
No doubt they are buying it up at discounted prices!

I still believe the fundamentals are good for gold & silver in the long term!
It will be interesting to see how much gold china has bought when they next announce it! They want to be the worlds reserve currency & kill off the US$


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## The Cueball (Feb 8, 2007)

I've increased my gold buying while the numbers are low....

:thumb:


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## kh904 (Dec 18, 2006)

The Cueball said:


> I've increased my gold buying while the numbers are low....
> 
> :thumb:


I haven't bought any in 2013 (luckily), but i think i'll look into buying some more soon too! :thumb:


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## TooFunny (Sep 18, 2012)

Cyprus announcing they may sell off their gold reserves - the possible increase in supply is driving down the gold price.
There's the possibility that Italy, Spain, Portugal etc will be forced to do the same.

This will drive the price down even more, I'd say 6-8 months time gold will be a good investment again....


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## Keir (Aug 31, 2010)

Where does one start investing in gold then?


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## danwel (Feb 18, 2007)

Keir said:


> Where does one start investing in gold then?


Interested too


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## The Cueball (Feb 8, 2007)

I use this website... been using it for years.... you don't get to hold the physical gold though.... so look somewhere else if you want to gold in your house, or around your neck BA Baracus styleeeee...

http://www.bullionvault.com/

:thumb:










it is a good look mind you..... :lol:


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## Kap01 (Aug 12, 2007)

Pay off your mortgage? The saving in interest alone is worth it!!

Id rather be dept free then have saving, investments and a mortgage? Doesn't make sense

I'm hoping to clear mine by 40, I am currently 29. Then enjoy the rest of my life.

http://www.creditmarket.co.uk/mortgage-overpayment-calculator/

Lifes to short... cant take it with is....


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## TelTel (Aug 21, 2010)

nudda said:


> That is me.
> 
> I am not sure what to do with some savings in my account. Watching Bloomberg today and thinking there has got to be somewhere I should be investing this than just leaving in my current account.
> 
> ...


What you should do is put money into a high interest savings account/cash ISA. With a Cash ISA you want to have the facility to be able to move funds to another ISA if competetors interest rates go higher than your existing one.

Another thing you could do is look at buying shares at LOWWW prices, this can be as little as £1 a share.

A friend of mine read a book on a guy who never earnt more than £25,000 all his working life but was a MILLIONAIRE by the time he retired at something like 55-60 years old. What he found worked was a little method like this

£200 a month x 12months = £2400 x 5years = £12,000 + the interest rate!! so over 40years that would be £96,000 + interest rates and keeping up with inflation, so its alot of money. Also what he done is where he could save more, he managed to look at buying & selling stocks and shares which done well and then just continued to generate return.

There are methods out there of saving and making money it just depends if you can save money you wont miss and if your not a very materialistict person who seeks spending money on things you feel make you happy.


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## Keir (Aug 31, 2010)

The Cueball said:


> I use this website... been using it for years.... you don't get to hold the physical gold though.... so look somewhere else if you want to gold in your house, or around your neck BA Baracus styleeeee...
> 
> http://www.bullionvault.com/
> 
> ...


Thanks. I checked that site out after reading this thread last night, as long as it's legit that's cool.

Whats the average return like?

e.g £100 in a month?


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## kh904 (Dec 18, 2006)

Keir said:


> Thanks. I checked that site out after reading this thread last night, as long as it's legit that's cool.
> 
> Whats the average return like?
> 
> e.g £100 in a month?


You shouldn't view gold and silver like stocks and shares - it doesn't pay any dividend. It's a commodity that is considered real money. 
It's price goes up and down depending on lots of factors.

Before investing in it do your research. Look at mike Maloney' s videos on YouTube which is an excellent overview on why to go into gold/silver.


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## robertdon777 (Nov 3, 2005)

Buy lots of high quality watches. Rolex etc. They always seem to go up in value and you could look like a lucky lucky man and wear them all at once.


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