mogish
Member of DD Central
Posts: 1,018
Likes: 500
|
Post by mogish on Jan 4, 2022 13:19:21 GMT
With potential returns on bonds diminishing , what are the alternatives (not p2p please!) I have a small holding with aegon investment gracde bond in my sipp and its lost 1.5% recently.
Not sure if equities are the way forward as they seem , but if so what recomendations would forum members make?
|
|
|
|
Post by Deleted on Jan 4, 2022 13:39:27 GMT
there are a series of threads on stocks on shares on this site which might be worth reading as many of us will be merely repeating what we have written there.
If you want to go into Stocks and Shares you do need to come to an understanding of your own relationship with money. If you lost 10% of your investment one day and recovered it the next would it cause you distress? If it does then emotionally it might be a dangerous place for you.
You might also look at what are called high risk bonds. Sites like trustnet.com and morningstar offer you information on these products as well as individual funds/ETFs/Trusts and there are also Index trackers etc etc.
Good luck, all I can say is that, from my point of view, P2P is very high risk and poor return compared to stocks and shares, it just appears to be kinder.
There are some good books which cover much of the basics, Naked Trader does a good one for general information and stockopedia.com offers paid for information but with the first 2 to 4 weeks free if you want to look at loads of details.
|
|
dead-money
Rocket to the Moon
Posts: 739
Likes: 647
|
Post by dead-money on Jan 4, 2022 15:49:34 GMT
With potential returns on bonds diminishing , what are the alternatives (not p2p please!) I have a small holding with aegon investment gracde bond in my sipp and its lost 1.5% recently. Not sure if equities are the way forward as they seem , but if so what recomendations would forum members make?
Fixed Term or Notice Cash Savings Accounts, would be one alternative. FSCS protected and no capital risk.
Bond funds are giving negative returns at the moment due to poor yields, plus fund costs and platform costs.
NB Don't go chasing high yield bonds and investing in individual corporate bonds, very high risk of capital loss there.
|
|
|
|
Post by gramsky on Jan 4, 2022 16:14:00 GMT
I think 2022 is going to be a very risky year for all types of investments.
Share prices are artificially high and due for a correction.
China is facing financial difficulties especially in the property market with Evergrande.
Turkey is about to go bust, the Lira has crashed and it has a 115%/year inflation rate.
Any one of which could cause a global financial crash.
For this reason I would not touch shares or bonds at present.
I am also reducing my exposure to P2P lending (all property backed) for the above reasons.
I will be investing in precious metals and commodities (wheat & natural gas) via ETFs and bullion allocation.
China has hoarded over 50% of the worlds wheat (why, what do they know) and if there is trouble in Europe natural gas prices will rise.
Also taken out a put option on Wall Street.
If what I am predicting happens I will make a profit, if nothing happens I will not have lost my money.
This is not financial advice!
|
|
