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Post by dan1 on Jan 9, 2018 13:56:29 GMT
... it could even be close to 3%, my estimates are always on a low side  . Yes, I'm happy with majority of my cash staying within FSCS and a smaller proportion in P2P for gamble/bit of fun and some compensation for low interest rates I get from banks. The only trouble is - having 34 cash accounts and 17 p2p platforms and constantly shifting funds from one to another it is very difficult to calculate the % of my overall annual return. You must calculate your annual return for your tax statement. I'm not sure I should share the following but what the h***.... Here are my nominal and real (CPI adjusted) trailing returns for my Cash ISAs. Time weight is unitised, money weighted is XIRR. Risk free rate are 3-months GBP denominated T-bills. I dread to think of my hourly rate in terms of interest earned / hours spent compiling the data. Basically folks, don't do it. And yes, I'm currently losing money against CPI.  
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Post by carol167 on Jan 12, 2018 11:42:47 GMT
Regarding Premium Bonds and their potential effectiveness as a method of investment I thought it would be useful to share my history.
I've been collecting stats (because I'm a sad bunny who likes spreadsheets :-) ever since I maxed out at what was then the max back in 2007 of £30,000.
I then increased, when it was allowed, to the max of 40k in June 2014 (so I based the percentage for 2014 on 35k for that year) and subsequently 50k in June 2015 (so I based the percentage on 45k for that year) .
Here are my percentages for each year for winnings - I win something usually about 10 months out of 12 of varying amounts.
2007 4.00%
2008 2.83%
2009 1.00%
2010 1.08%
2011 1.42%
2012 1.92%
2013 1.33%
2014 0.93%
2015 1.89%
2016 1.25%
2017 0.85%
I would certainly not recommend them if that is all the money you have - but as a small part of a diverse portfolio, then I think it is an option.
In 2017 they had cut back the winnings amount allowed so understandably that year was a bit poor, but now they've increased the winnings amount again I am hopeful that this year will be better.
I am a borderline tax payer and of course Premium bond winnings are tax free.
Hope this helps for those who don't know whether to dive in or not.
[Edited to add: Averaged overall percentage for the 11 years then is 1.68%/yr ]
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. Yes, I'm happy with majority of my cash staying within FSCS and a smaller proportion in P2P for gamble/bit of fun and some compensation for low interest rates I get from banks. The only trouble is - having 34 cash accounts and 17 p2p platforms and constantly shifting funds from one to another it is very difficult to calculate the % of my overall annual return. 
