premium bonds

Author
Discussion

tony wright

Original Poster:

1,009 posts

257 months

Saturday 25th October 2003
quotequote all
Mate told me today the best thing for the £55,000 I've got in the bank at the moment was to get premium bonds for me and the wife?

I don't need any cars as the money has been made from them in first place, trouble is now the euro is to strong so looking for something else to do with it.

UpTheIron

4,017 posts

275 months

Saturday 25th October 2003
quotequote all
Well it's safe, but statistically the returns are pretty poor - unless you are feeling lucky that is.

Sometimes boring and safe can be good, and I've got the max allocation, but only as part of a balanced portfolio.

Stock market is more likely to give better returns, but with greater risk.

Wacky Racer

38,982 posts

254 months

Saturday 25th October 2003
quotequote all
tony wright said:
Mate told me today the best thing for the £55,000 I've got in the bank at the moment was to get premium bonds for me and the wife?

I don't need any cars as the money has been made from them in first place, trouble is now the euro is to strong so looking for something else to do with it.


You could send it me for safe keeping....


Address, Wacky Racer,
England.

sparkyjohn

1,198 posts

253 months

Saturday 25th October 2003
quotequote all
The fund rate has just dropped to 2.1% There are better places for your money, although few are safer

tony wright

Original Poster:

1,009 posts

257 months

Saturday 25th October 2003
quotequote all
I still don't own property and would like to invest there, but unsure whether the housing market has peaked. (Stung last time with negative equity)

As of July next year cash available would rise to around the 150k mark (selling cars, except the Caterham) any ideas what would be best investment? No ideas about the stock market just know it's a big gamble.

UpTheIron

4,017 posts

275 months

Saturday 25th October 2003
quotequote all
With £55k or £150k IMHO the sensible places to stick it are property or the stock market, providing you don't need to get at it for 5 yrs+

Depending on what you buy £150k should give you a pretty big buffer against -ve equity should you need to cash in

Davel

8,982 posts

265 months

Thursday 30th October 2003
quotequote all
Land is a diminishing asset, so it souldn't really devalue so long as you buy prudently.

We're currently selling a brownfield site 'subject to planning approval' and if it goes through, we'll probably re-invest in land (and maybe a new toy for me).

We're just waiting for the outcome of the appeal.

suffolkfox

458 posts

260 months

Wednesday 5th November 2003
quotequote all
As far as property is concerned it depends where in the UK (I am assuming UK although you are in Germany) you are looking to purchase. Property in the South has slowed recently but that in the North has continued to rise, partly due to the North/South price differential that still exists. A number of industry commentators envisage that growth in prices will be low or negative over the next five years in most Southern areas, whereas the North could be 5-25% increase. I own property in Suffolk, Sheffield & Lancaster so I play this game personally. Also don't forget, the ratio of income (if you choose to rent out) to any funding costs can generate a return on capital with even zero increase in property value.

steviebee

13,570 posts

262 months

Thursday 6th November 2003
quotequote all
If you had bought £1000.00 worth of Nortel stock one year ago, it would now
be worth £49.00.

With Enron, you would have £16.50 of the original
£1,000.00.

With Worldcom, you would have less than £5.00 left.

If you had bought £1,000.00 worth of Stella one year ago, drank all the beer, then turned in the bottles for a 5p deposit, you would now have £107.00.

Based on the above, current investment advice is to drink heavily and recycle.

x5x3

2,424 posts

260 months

Friday 7th November 2003
quotequote all
stevie,

you're not an IFA are you?