Investing ~£70k of cash

[Business Man]

How much risk are you willing to take?
I'd stick half of it on red at a casino - double your money

 

[southernorth]

Electroneum

Shh don't tell him such secrets

 

[Tefal]

Asking on an internet forum which has nothing to do with investing and where most people won't earn that in 5 years, just so you get to look cool.

Great thing about hobbies is they pretty much transcend class and income.

There is a spread on here of pretty much every income bracket as a broke teenager wants the best out of his cobbled together computer as some rich dude wants the best computer and everything in between.

Gender aside this is a pretty diverse forum

 

[Azza]

Such bad advice to give to someone without knowing their investment technical knowledge. Clearly OP is looking for basic methodology advice as to how to manage the £70k, but you're telling them to stick it in a highly risky asset with no caveats.

Sorry, how about Dash or OmiseGo?

 

[DarrenM343]

most decent IFA's won't be interested in less than 100k minimum.

Not only that but you can DYOR. It's not too difficult to work out your own tolerance to risk and then form a strategy with some research, rather than handing over a load of £ to someone who may actually say the same stuff you can come up with yourself. The really good ones will of course charge a lot and be more interested in those with huge ££. One obvious thing to remember is that the greater the potential return, the higher the risk. And of course, investing should always be for the long term, as the value will fluctuate along the way and perfect timing is not possible.
BTL as someone has mentioned is fine but like I have just found - trying to offload a property when the market is a bit **** can mean 12months+ being on the market. BTL is not as easy as many who have never done it seem to believe either (void periods, dodgy tenants, non-paying tenants, repairs etc).BTL mortgage rates can get very high too once the fixed rate ends and worth noting that tax relief on mortgages for BTL'ers is disappearing. I'd personally not recommend someone borrow more to fund BTL than they have in available capital either, for a fairly low risk approach, which rules OP out really.
Personally, I prefer easily tradable investments and of course tax free. As well as vanguard funds there are thousands of other funds. To OP, have a look at HL.co.uk. Somewhere on their site is a link to the Wealth 150+ funds. (their recommended funds)

Global assets could be in a bit of a bubble at the moment hence why I personally don't like the idea of dumping 70k straight into the markets and instead using it to reduce any debt first, especially as interest rates are expected to continue rising, before then using money saved each month from servicing debt on investing. I think many an investor would recommend clearing debt first. It's also quite psychologically pleasing to know you have no debt.

 

[Deus Ex]

As others have said, S&S ISA invested in a low cost tracker fund. This is great if you wont need the cash for 10 + years and you want to let it compound into something sizeable. Dropping £20k now could mean £80k in real terms in 24 years assuming 5% annual growth.

 

[GinG]

Shh don't tell him such secrets

Could have made around £7k in last 24hrs

 

[DarrenM343]

Could have made around £7k in last 24hrs

And back down again by nearly 7% today, so far .
Hopefully OP not taking any of the crypto talk seriously. Unless prepared to lose the lot, don't touch.

 

[booyaka]

most decent IFA's won't be interested in less than 100k minimum.

what a load of garbage....Maybe some of the big multi national IFA firms won't but there are loads of IFA's that would be more than happy to advise a client on £70k investment.

 

[DarrenM343]

I just searched my local area for an IFA that actually lists their charges on their website. Even in a fairly rough part of town they want £500 initial fee for consultation then once report done, you'll need to pay more, the amount of which they don't disclose, but lets assume the total fee is closer to £1000. I consider that quit a chunk of £70k although of course there is always a chance that the advice could save the client more than their fee. Depending on OP's circumstances I don't think £70k is enough to be considering more complex investment vehicles ,which may make seeing an IFA more worthwhile, and if they want to take a safe approach, they really don't need to be paying that kind of fee to an IFA to find out the fairly obvious. if they really don't know what to do with it then of course, it might be worth it.

All IMO of course .

 

[Ayahuasca]

70K could be used to either get a BTL almost outright, or big enough deposit to get a couple of BTL's

Depends where you live, if your willing to have propoerty far away, obviously some tax to pay of the returns, and depending on your situition you probably need a managing agent.

Or just buy some land - they're not making any more of it, so can be a good investment

Don't suggest this in here, you'll get hung out to dry.

 

[martin363]

what a load of garbage....Maybe some of the big multi national IFA firms won't but there are loads of IFA's that would be more than happy to advise a client on £70k investment.

not rubbish, most DECENT ones won't be interested in less than 100k.

 

[booyaka]

not rubbish, most DECENT ones won't be interested in less than 100k.

I'd happily welcome £70k investment from a brand new client any day.........Guess that makes me less than decent. Shame - thought I was doing fairly well for myself.

 

[martin363]

I'd happily welcome £70k investment from a brand new client any day.........Guess that makes me less than decent. Shame - thought I was doing fairly well for myself.

Most decent. only u know if you are or not, and can make sufficient profit on such an amount to make it worth your while (and your clients). i know many IFA's and fund mangers who say 100k is the minimum amount now, for both the client and the manager to make the fees justifiable.

 

[tom_nieto]

BTL is a royal PITA. Unless you know the market inside out and are willing to accept that your return is all based upon capital gain on the property, then the tax on any earnings and the maintenance just isn’t justifiable. You’d need a considerable number of properties to make a living off the rental income alone.

 

[Psycho Sonny]

70K could be used to either get a BTL almost outright, or big enough deposit to get a couple of BTL's

Depends where you live, if your willing to have propoerty far away, obviously some tax to pay of the returns, and depending on your situition you probably need a managing agent.

Or just buy some land - they're not making any more of it, so can be a good investment

where can you buy a decent flat for 70K? a 2 bed apartment near me just sold for 320K and that was with the price reduced.

 

[BongoHunter]

where can you buy a decent flat for 70K? a 2 bed apartment near me just sold for 320K and that was with the price reduced.

East Mids / Lincolnshire - or the north I would think

 

[tom_nieto]

where can you buy a decent flat for 70K? a 2 bed apartment near me just sold for 320K and that was with the price reduced.

You’d use the £70k as a deposit and gamble on capital gain.

 

[jrwagh333]

Bitcoin

 

[Psycho Sonny]

You’d use the £70k as a deposit and gamble on capital gain.

he says "70K could be used to either get a BTL almost outright" not as a small deposit

East Mids / Lincolnshire - or the north I would think

not in a decent area. which is where you want a buy to let for it to increase in value and not be inhabited by scum who won't pay you. but a cheap one in a bad area and it won't increase in value, you also then run the risk of scum wanting it who never pay and damage the property.