stevio
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Post by stevio on Sept 17, 2018 6:50:17 GMT
fatbritabroad I'm 36 and reading your investment thoughts dovetail very closely with mine. Approx 20% in P2P diversified across 9 platforms. 50% in equities almost entirely in Vanguard trackers. The remainder is currently split across company shares, BTL on PropertyPartner, REITS (which I've currently chosen to hold over Bonds which offer pitiful returns) and a cash element. Low ongoing workload is a driving factor in my current choices! I'm sure you've done your research and all that good stuff but I would question the use of REITS as a proxy for bonds, if I've read you correctly. I'm a bit of a hypocrite here because I'm a Monevator convert but I don't hold bonds myself because of course I know better and believe I can achieve a higher return from tarting FSCS protected cash around, the "water" element of my portfolio, i.e. lower risk lower return. I hold REITS too but they form part of my allocation to "whisky", i.e. higher risk higher return like equities. Thanks to Tim Hale for the "whisky" & "water". Historically, REITS are more highly correlated with equities than bonds. I failed to find a UK based correlation comparison but a nice looking one (2007-2016) can be seen here.... www.guggenheiminvestments.com/mf/resources/interactive-tools/asset-class-correlation-mapInvestment Grade Bonds to International Equities (I assume ex-US) = 0.13 Investment Grade Bonds to S&P 500 = 0.02 compare that to.... REITs to International Equities (I assume ex-US) = 0.69 REITs to S&P 500 = 0.76 [1 = perfect correlation] I tend to think of REITs as sitting somewhere between equities and bonds, lower risk and lower return than equities but higher risk and higher return than bonds. Do you manage to get a large enough amount of cash "tarted" in proportion to your other investments or does the higher rewards and recycling mean a smaller cash amount is needed for a similar return to bonds? It sounds more fun than bonds! Although probably a bit more work
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Post by dan1 on Sept 17, 2018 7:54:39 GMT
I'm sure you've done your research and all that good stuff but I would question the use of REITS as a proxy for bonds, if I've read you correctly. I'm a bit of a hypocrite here because I'm a Monevator convert but I don't hold bonds myself because of course I know better and believe I can achieve a higher return from tarting FSCS protected cash around, the "water" element of my portfolio, i.e. lower risk lower return. I hold REITS too but they form part of my allocation to "whisky", i.e. higher risk higher return like equities. Thanks to Tim Hale for the "whisky" & "water". Historically, REITS are more highly correlated with equities than bonds. I failed to find a UK based correlation comparison but a nice looking one (2007-2016) can be seen here.... www.guggenheiminvestments.com/mf/resources/interactive-tools/asset-class-correlation-mapInvestment Grade Bonds to International Equities (I assume ex-US) = 0.13 Investment Grade Bonds to S&P 500 = 0.02 compare that to.... REITs to International Equities (I assume ex-US) = 0.69 REITs to S&P 500 = 0.76 [1 = perfect correlation] I tend to think of REITs as sitting somewhere between equities and bonds, lower risk and lower return than equities but higher risk and higher return than bonds. Do you manage to get a large enough amount of cash "tarted" in proportion to your other investments or does the higher rewards and recycling mean a smaller cash amount is needed for a similar return to bonds? It sounds more fun than bonds! Although probably a bit more work I squirrel away cash in current accounts, regular savers, fixed term accounts, deals (recent ones that come to mind are Raisin, Octopus Cash, Ford Money), and traditional "tarting" of 0% credit cards. I currently won't touch anything below 2%. If you're looking for a certain minimum income floor then perhaps you could use a smaller cash amount but I look at the riskier stuff and think how would I react if they halved in value overnight? If I _think_ I can't handle it then I shift the balance accordingly. I'm not sure I'd use the word fun because to 99% of people it would seem a chore but as long as I don't see it that way then I'll continue. Oh, another reason for resisting bonds is that I don't fully understand the interactions of interest rates and I'm hesitant to invest in something I can't fully grasp. I perceive linkers as a bit of a basket case in the UK because of the distortion due to pension funds buying them in large quantities (satisfying inflation linked liabilities).
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stevio
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Post by stevio on Sept 17, 2018 8:12:36 GMT
Do you manage to get a large enough amount of cash "tarted" in proportion to your other investments or does the higher rewards and recycling mean a smaller cash amount is needed for a similar return to bonds? It sounds more fun than bonds! Although probably a bit more work I squirrel away cash in current accounts, regular savers, fixed term accounts, deals (recent ones that come to mind are Raisin, Octopus Cash, Ford Money), and traditional "tarting" of 0% credit cards. I currently won't touch anything below 2%. If you're looking for a certain minimum income floor then perhaps you could use a smaller cash amount but I look at the riskier stuff and think how would I react if they halved in value overnight? If I _think_ I can't handle it then I shift the balance accordingly. I'm not sure I'd use the word fun because to 99% of people it would seem a chore but as long as I don't see it that way then I'll continue. Oh, another reason for resisting bonds is that I don't fully understand the interactions of interest rates and I'm hesitant to invest in something I can't fully grasp. I perceive linkers as a bit of a basket case in the UK because of the distortion due to pension funds buying them in large quantities (satisfying inflation linked liabilities). Obviously there is a limit to the number of accounts and therefore the amount you can keep as cash and still have an inflation beating return Once exhausted, an relatively unlimited amounts in bonds might be the next consideration as the traditional "airbag" in a stock market crash. Alternatively a fund that proportions bonds and equities to a degree you like The "fun" element I guess comes from the deal lovers, like me, who get a kick from getting something with limited supply or better than the norm, to every normal person this is a chore, yes 
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Post by dan1 on Sept 17, 2018 8:21:57 GMT
I squirrel away cash in current accounts, regular savers, fixed term accounts, deals (recent ones that come to mind are Raisin, Octopus Cash, Ford Money), and traditional "tarting" of 0% credit cards. I currently won't touch anything below 2%. If you're looking for a certain minimum income floor then perhaps you could use a smaller cash amount but I look at the riskier stuff and think how would I react if they halved in value overnight? If I _think_ I can't handle it then I shift the balance accordingly. I'm not sure I'd use the word fun because to 99% of people it would seem a chore but as long as I don't see it that way then I'll continue. Oh, another reason for resisting bonds is that I don't fully understand the interactions of interest rates and I'm hesitant to invest in something I can't fully grasp. I perceive linkers as a bit of a basket case in the UK because of the distortion due to pension funds buying them in large quantities (satisfying inflation linked liabilities). Obviously there is a limit to the number of accounts and therefore the amount you can keep as cash and still have an inflation beating return Once exhausted, an relatively unlimited amounts in bonds might be the next consideration as the traditional "airbag" in a stock market crash. Alternatively a fund that proportions bonds and equities to a degree you like The "fun" element I guess comes from the deal lovers, like me, who get a kick from getting something with limited supply or better than the norm, to every normal person this is a chore, yes Yup, it's the satisfaction from acquiring the loss leaders. TBH I don't worry about beating inflation. I have little control over my personal inflation rate but I can choose where to invest. It's a slippery slope when you chase yield to try and beat inflation.... when inflation falls people tend not to de-risk (they like the extra income) but will up their risk inadvertently when inflation rises. I accept that I'm missing out on the negative correlation of equities and bonds, so when stocks crash bonds should rise in value - I'm almost at the stage where I would welcome a crash, call it a morbid fascination but I want to see whether I have what it takes to invest in the middle of an (according to the media) apocalyptic scenario!
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Post by fatbritabroad on Sept 17, 2018 11:25:44 GMT
jester have you considered ablrate? Definitely at the higher end of risk and you need to understand the links on some of the borrowers as they are often the same people behind them so not somewhere for a huge amount but their service seems good their communication is OK and other than one loan they have recovered well in default scenarios. 13% to 15% returns
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Post by df on Sept 17, 2018 20:11:08 GMT
I've used Landbay for about 15 months (mainly driven by £50 bonus offer), but withdrawn because the rates were too low. Lower than the advertised rate. From the memory, my investments were at approx 3.5%, but I only got 2.8% after 1 year. I don't like when the figures don't match up, but bonus made it worthwhile. Good thing about Lindsay is that the risk of loosing your capital is very low. I know they do cashback on queued money but is uninvested money why the lower then advertised rate? As they say no defaults or late payments yet wondering/worried how you missed the rates Not sure. In my understanding uninvested funds (it took about 6 months to get invested) should be receiving the advertised rate.
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Post by Deleted on Sept 17, 2018 20:32:20 GMT
dan1 done my research yes, but I'm very much an investment amateur and welcome any input! Also hazellend I suppose I do hold REITs and not bonds but not strictly because I see them as a proxy for bonds. At my age I'm happy to hold 100% equities and I understood it's a rough time to buy bonds anyway with current low rates in a potentially rate rising environment. My equities are in worldwide trackers closely split according to global market values, so I'm actually not hugely exposed to the UK markets. I decided I'd like some diversifying exposure to UK property in it's various guises so use PropertyPartner for residential exposure and a range of REITs for other areas. I see them as more of an income product similar to bonds but not necessarily as a smoothing counterbalance to equities as I don't feel I need that, yet. IFISAcava a very well made point about GOJI bonds, I still like the diversification they offer me within P2P but you've definitely made me consider how much I should hold with them going forward. fatbritabroad I know ABLrate are hugely popular here at the moment but for the large part I'm moving away from self-select to automated accounts and I don't as of yet fully understand their portfolio model!
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zlb
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Post by zlb on Oct 24, 2018 12:07:53 GMT
anyone used London Stone, or any other of those bond providers which insist on phone calls and registering interest ... if they have that practice is that indication to avoid? They have some products which are fscs protected - which I presume might have no value, as the contents of the bond might go wrong.
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bigfoot12
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Post by bigfoot12 on Oct 24, 2018 12:35:10 GMT
anyone used London Stone, or any other of those bond providers which insist on phone calls and registering interest ... if they have that practice is that indication to avoid? They have some products which are fscs protected - which I presume might have no value, as the contents of the bond might go wrong. - I wish I could get FSCS protection for my patio, all the cement is coming out of the gaps!
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zlb
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Post by zlb on Oct 24, 2018 19:34:31 GMT
anyone used London Stone, or any other of those bond providers which insist on phone calls and registering interest ... if they have that practice is that indication to avoid? They have some products which are fscs protected - which I presume might have no value, as the contents of the bond might go wrong. - I wish I could get FSCS protection for my patio, all the cement is coming out of the gaps!  www.londonstonesecurities.co.uk/our-services/safety-of-funds/
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macq
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Post by macq on Oct 25, 2018 7:34:18 GMT
anyone used London Stone, or any other of those bond providers which insist on phone calls and registering interest ... if they have that practice is that indication to avoid? They have some products which are fscs protected - which I presume might have no value, as the contents of the bond might go wrong. a very quick goggle search of a couple of pages seems not to bring any bad reviews but it could be worth a search of the MSE investment forum as people tend to mention firms in One way or another but they seem to be a high end stock broker.Notice from their FAQ's page that they say they don't cold call so assume you contacted them if not that's a pause for thought.With a minimum of £50,000 per account you may want to make sure your happy with them over using DIY with some of the more well known names & i am no expert but would assume the FSCS protection only covers fraud,bad advice etc not the product
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zlb
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Post by zlb on Oct 25, 2018 9:06:44 GMT
anyone used London Stone, or any other of those bond providers which insist on phone calls and registering interest ... if they have that practice is that indication to avoid? They have some products which are fscs protected - which I presume might have no value, as the contents of the bond might go wrong. a very quick goggle search of a couple of pages seems not to bring any bad reviews but it could be worth a search of the MSE investment forum as people tend to mention firms in One way or another but they seem to be a high end stock broker.Notice from their FAQ's page that they say they don't cold call so assume you contacted them if not that's a pause for thought.With a minimum of £50,000 per account you may want to make sure your happy with them over using DIY with some of the more well known names & i am no expert but would assume the FSCS protection only covers fraud,bad advice etc not the product thanks, much appreciated. No cold call, but I prefer it when I can avoid speaking to sales type interactions. So I tend not to trust firms which force those interested, to give them contact details in order to find out about the products.
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aju
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Post by aju on Oct 25, 2018 9:22:45 GMT
a very quick goggle search of a couple of pages seems not to bring any bad reviews but it could be worth a search of the MSE investment forum as people tend to mention firms in One way or another but they seem to be a high end stock broker.Notice from their FAQ's page that they say they don't cold call so assume you contacted them if not that's a pause for thought.With a minimum of £50,000 per account you may want to make sure your happy with them over using DIY with some of the more well known names & i am no expert but would assume the FSCS protection only covers fraud,bad advice etc not the product thanks, much appreciated. No cold call, but I prefer it when I can avoid speaking to sales type interactions. So I tend not to trust firms which force those interested, to give them contact details in order to find out about the products. Its quite interesting sometimes comparing a cold call with a company that hides its real process behind an email such as you say. It's not quite the same I'm sure but a lot of free books or this type of information request requires email to get access. In fact many times one can get the relevant reports etc by just faking the email. In many cases after pressing the click button to get report many just supply a link to said report rather than through the email assuming the email passes minimal criteria. I'm sure this is not the same in this scenario as firms such as these eventually become aware of the high number of fake emails etc they then force the connection through the email address but its always worth a try in first instance.
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Post by freedommmm on Dec 10, 2018 11:07:03 GMT
www.saferegulatedinvestments.co.uk/This place claims to be fully protected by FSCS for upto £85,000 and claims to give from 10% to 29% return. Even its name make me worry. Is this a scam?
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Mike
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Post by Mike on Dec 10, 2018 11:33:38 GMT
This place claims to be fully protected by FSCS for upto £85,000 and claims to give from 10% to 29% return. Even its name make me worry. Is this a scam? Where did you come across this? I wouldn't go near it - there is nothing that even identifies who they are let alone their ridiculous claims and lack of proper information unless you give them your phone number. . .
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