What To Invest In ?

[stumck219]

Hi all

I currently have about 80k pounds sitting in a savings account that i am not going to need for about a year. Does anyone have any recomendations as to what i could invest this in for a year that will see a better return than a savings account.

I would be looking for low risk investment.

any advice or recomendations would be appreciated,

[BangkokGuru]

Hi all

I currently have about 80k pounds sitting in a savings account that i am not going to need for about a year. Does anyone have any recomendations as to what i could invest this in for a year that will see a better return than a savings account.

I would be looking for low risk investment.

any advice or recomendations would be appreciated,

Don't forget about diversification. 80K is a serious investment.

[tingtong]

low risk?

stick to your account for 6%, that is reasonable return and very low risk.

[ChangMaiSausage]

I thought you would be better keeping the money in a high interest account (Offshore) 6% upwards.

[AmericanGuy1066]

Hi all

I currently have about 80k pounds sitting in a savings account that i am not going to need for about a year. Does anyone have any recomendations as to what i could invest this in for a year that will see a better return than a savings account.

I would be looking for low risk investment.

any advice or recomendations would be appreciated,

Don't forget about diversification. 80K is a serious investment.

Depends what you mean about low risk. How much are you prepared to lose? By definition risk implies some form of possible loss. In looking for a higher return it's likely you'll be looking at a higher risk too = higher chance of loss, even if low. Once you identify your comfort level and how much youare prepared to lose, then you can measure your risk, and then look at your returns.

BTW For diversification, in the current environment especially, you might want to at least consider why you haven't already divided it between 2 or more banks/building societies.

Edited September 19, 2007 by AmericanGuy1066

[Firefan]

If you need them already in a year leave them in a high interest cash account! Cheers!

[johnh101]

One year term deposit.

[blizzard]

rubber tree futures!

[Lil_Jon]

rubber tree futures!

Why Not Real Estate , i guess they are more stable than Rubber Futures with TERRIFIC ROI

[stumck219]

Thanks for the replys guys

I was thinking along the lines of leaving 40k in the high interest savings account

The other 40k i was thinking of maybe managed funds or something like that.

As far as risk goes i don't want to lose it all but i don't mind the possibility of losing 10k if there is a greater chance of making more than that.

If anybody has any experience or recommendations on funds or something similar i would be glad to hear it.

Thanks

[JimmyCA]

Thanks for the replys guys

I was thinking along the lines of leaving 40k in the high interest savings account

The other 40k i was thinking of maybe managed funds or something like that.

As far as risk goes i don't want to lose it all but i don't mind the possibility of losing 10k if there is a greater chance of making more than that.

If anybody has any experience or recommendations on funds or something similar i would be glad to hear it.

Thanks

That would depend on what country you are from. I would not look for fund investment advice here if I were you.

That said, About 2 years ago I read on nanapong, a dirtbag forum, some guys lost alot of money in ELN a drug company. It dropped from 30 to 7. I watched it for a few months and it went to $3. I bought in at $3.50. Has inched its way up month by month to $20 range and climbing. I also got a tip from a guy in Thailand on NAVR which I bought at $17. That went from $17 to $3. So it is a crapshoot and after many losses I do not invest in tips anymore.

[blizzard]

this guy needs sum lessons on investing.

one yr time frame. low risk.

but dont mind losing 10k if potential gain is probable. something not add up as it usually doesnt here......lol.

sir given yr circumstances you leave munny in bank and be happy with whatever they give you.

[fletchsmile]

Thanks for the replys guys

I was thinking along the lines of leaving 40k in the high interest savings account

The other 40k i was thinking of maybe managed funds or something like that.

As far as risk goes i don't want to lose it all but i don't mind the possibility of losing 10k if there is a greater chance of making more than that.

If anybody has any experience or recommendations on funds or something similar i would be glad to hear it.

Thanks

Leaving 40k in the bank is reasonably low risk for that part. Also covers you to an extent if something happens so that the bank fails - The first 35k or so is reasonably protected for compensation. On 80k in a UK bank that's around 55k "unprotected" if the bank fails.

Personally I'd say accepting 10k loss on 80k is high risk (12.5%). On a remaining 40k, 10k loss is definitely high risk (25%). If you're comfortable with that though, a mutual fund is reasonable. Even a single country mutual fund like Thailand as we're on Thai Visa. Many people think the Thai stockmarket is undervalued at the moment relative to other markets. Particularly if you adjust for the political risk. eg One year from now there should be a democratically elected govt which will be a boost, removing some of the uncertainty/discount factored in the market.

Again personally, I just increased my Thai mutual fund weighting, but that is not advice to anyway else.

[Taggart]

First of all stumck219 says:

I currently have about 80k pounds sitting in a savings account that i am not going to need for about a year. Does anyone have any recomendations as to what i could invest this in for a year that will see a better return than a savings account.

I would be looking for low risk investment.

Then in another post stumck219 says:

I was thinking along the lines of leaving 40k in the high interest savings account

The other 40k i was thinking of maybe managed funds or something like that.

As far as risk goes i don't want to lose it all but i don't mind the possibility of losing 10k if there is a greater chance of making more than that.

----------------------------------------------------------

Sometimes I don't think I'm too swift, but when someone says they're looking for a low risk investment, and then turn around and say they don't mind losing 25% of their 40,000 pounds, then I get really confused.

edit: changed $40,000 to 40,000 pounds.

Edited September 20, 2007 by Taggart

[Edonista]

there are stock on SET showing a dividend yeld of 15% , like JTS and TRUBB. Of course they are far from being a "low risk" investment, as there is no guarantee the previous dividend will be paid also next year(s), and stock price may go down, but perhaps they are worth a try.

[stumck219]

Thanks for the replys

Yes you guys are right i know nothing about investing, i just thought i would post on here and see what recomendations i would get.

I have been reading some investment websites and i am considering putting some money in to a tracker and maybe a few managed funds. I need to read more for sure but it seems there is an awful lot of information out there it is just a case of finding time to read and digest it.

Anyhow for sure i will leave 40k in a high interest account and the other 40k i will look to invest in trackers or managed funds and try to spread it about in different markets.

[fletchsmile]

there are stock on SET showing a dividend yeld of 15% , like JTS and TRUBB. Of course they are far from being a "low risk" investment, as there is no guarantee the previous dividend will be paid also next year(s), and stock price may go down, but perhaps they are worth a try.

Single company stock in Thailand? Now we're really getting away from definitions on low risk, and towards let's take a punt.

Just curious when you make the suggestion. Do you know much about TRUBB - Thai Rubber Latex Corp, aside from a couple of headline ratios? e.g something to suggest it wouldn't lose over 25%

Dangerous to suggest just based on a historic div yield. To be honest I don't know that much about this particular stock, but I suspect there's a few reasons it has such a high div yield. I do know the company has been struggling in Q2 on volumes, margins and prices. Given the downturn in numbers there's a strong chance of div cut, and share price moving down, i.e capital loss.

Definitely a chance of losing over 25%, compared to a managed fund the OP asks about

[PCA]

Thanks for the replys

Yes you guys are right i know nothing about investing, i just thought i would post on here and see what recomendations i would get.

I have been reading some investment websites and i am considering putting some money in to a tracker and maybe a few managed funds. I need to read more for sure but it seems there is an awful lot of information out there it is just a case of finding time to read and digest it.

Anyhow for sure i will leave 40k in a high interest account and the other 40k i will look to invest in trackers or managed funds and try to spread it about in different markets.

You dont need to read anything about investment websites as they all claim to be the best. Dont get yourself confused and let an IFA help you. About managed funds the guys who know what they are doing and make good returns in trading change their seats faster than you might think and end up either with Goldman Sachs or doing their own thing (in both cases they wont work with your kind of money). I know quite a few failed private traders who are trading managed funds for clients now in financial institutions, bearing in mind that they are/were not able to trade profitable on their own. Anyway dont read much or at least dont believe anyone but yourself and an Independent Financial Advisors who can consult you along with your aimed returns and clearing risk and reward profiles accurately otherwise you might face a lot of emotional unrest beside losing some dosh.

Edited September 21, 2007 by PCA

[fletchsmile]

there are stock on SET showing a dividend yeld of 15% , like JTS and TRUBB. Of course they are far from being a "low risk" investment, as there is no guarantee the previous dividend will be paid also next year(s), and stock price may go down, but perhaps they are worth a try.

You spiked my interest on this one, so I looked it up on SET. Hardly something I'd be suggesting to a novice investor...even if they can't do much more than see the swings in share prices in last 5 years. For someone looking for high risk, high reward, with a view on rubber prices, and and looking for a bit of excitement... maybe

Edited: as posting the financial highlights tables from SET website didn't work. Have left the year-end prices though...

TRUBB : THAI RUBBER LATEX CORPORATION (THAILAND) PUBLIC CO.,LTD. (M.Baht)

http://www.set.or.th/set/companyinfo.do?ty...&country=US

30/06/2007 2006

31/12/2006 2005

31/12/2005 2004

31/12/2004 2003

31/12/2003

Last Price(Baht)20.00; 16.10; 7.10; 13.40; 16.50 (each of last day in last 5 years)

Edited September 21, 2007 by fletchthai68

[fletchsmile]

Thanks for the replys

....

Anyhow for sure i will leave 40k in a high interest account and the other 40k i will look to invest in trackers or managed funds and try to spread it about in different markets.

You dont need to read anything about investment websites as they all claim to be the best. Dont get yourself confused and let an IFA help you. About managed funds the guys who know what they are doing and make good returns in trading change their seats faster than you might think and end up either with Goldman Sachs or doing their own thing (in both cases they wont work with your kind of money). I know quite a few failed private traders who are trading managed funds for clients now in financial institutions, bearing in mind that they are/were not able to trade profitable on their own. Anyway dont read much or at least dont believe anyone but yourself and an Independent Financial Advisors who can consult you along with your aimed returns and clearing risk and reward profiles accurately otherwise you might face a lot of emotional unrest beside losing some dosh.

40k in cash, and 10k in each of say 4 mutual funds would be a reasonable way of getting you started, and fit quite a few risk profiles including your own. Very unlikely to lose more than 10k over 1 year with that sort of mix.

If going for an IFA be careful of the charges. They have a habit of recommending nice funds with 6% up front charges and "dazzling returns" in double digits which incidentally exclude charges.

Personally I think your better off researching yourself and picking low front end charge funds, including say 1 or 2 tracker funds, which have low charges. Then learning for yourself. eg Aberdeen Growth Thailand has 1% initial charge. That would be at higher end of risk scale as a single country mutual fund, but unlikely to lose more than 25% with its current basket of shares. When combined with say 3 other funds you'd be OK.

[Taggart]

Thanks for the replys

Yes you guys are right i know nothing about investing, i just thought i would post on here and see what recomendations i would get.

I have been reading some investment websites and i am considering putting some money in to a tracker and maybe a few managed funds. I need to read more for sure but it seems there is an awful lot of information out there it is just a case of finding time to read and digest it.

Anyhow for sure i will leave 40k in a high interest account and the other 40k i will look to invest in trackers or managed funds and try to spread it about in different markets.

stumck219:

You originally said the following quote:

"I currently have about 80k pounds sitting in a savings account that i am not going to need for about a year."

-------------------------------------------------------

Now all is well and good what you say above, especially regarding using tracker funds, or index funds depending on what country an investor is in. Nothing wrong with managed funds either, except over the long term the majority of them can't beat a simple tracker fund, and you can't judge their future by past performance. The problem is you say you don't need the money for a year. However, these investment vehicles are designed for investors with at least a five to ten year horizon. Personally, and from what I've read, they are too risky for one year only. Better to take earlier advice and just invest in a high interest savings account for that one year.

[stumck219]

Thanks for the replys, some good advice there very much appreciated

I am sorry my post was not really clear

I know i will need to access some of that money next year but i hope not all of it.

That was my reasoning behind leaving 40k in a high interest account and putting the rest in to trackers/funds.

I hope to be able to leave the money in the trackers/funds for a longer period but need to be able to access it just in case i need the money.

[cmsally]

Bank of Scotland offshore fixed rate (6 month) is almost 7% - looks tempting

BOS rates

[Taggart]

Thanks for the replys, some good advice there very much appreciated

I am sorry my post was not really clear

I know i will need to access some of that money next year but i hope not all of it.

That was my reasoning behind leaving 40k in a high interest account and putting the rest in to trackers/funds.

I hope to be able to leave the money in the trackers/funds for a longer period but need to be able to access it just in case i need the money.

Hi stumck219:

Since you're intent on taking risk with at least part of your savings, and you mention tracker funds, at least look for those with the lowest expense ratios. If you want a simple world index by market capitalization, you can just buy a U.S. index and combine it with an EAFE (Europe, Australasia, and Far East) fund. You now have a portfolio that covers most of the developed markets around the globe. You've also now in addition to stock market risk, have taken on foreign currency risk. None of this precludes the fact that you may lose a percentage of your investment. Markets don't only go up. I'm in Canada, so you'll have to find out for yourself what's available in your home country. My portfolio is quite a bit more complex than the above, but then again I know what I'm doing, I think.