How To Invest About 300,000 Aussie Dollars - There Or Here?

[jamescollister]

OP if you are a smart business man and willing to take a risk in today's crazy world, I need an investor with brains. Already up and running asset rich [sort off ] but capital poor, you can Google me, name and Thailand.

Best be very careful here, many come with money most leave poor. Jim

this sounds like a way to become POOR................hahaha!

I make a good living here, but am no business man. Have a license issued by the rubber board for the district and as I understand it no more open rubber licenses are to be issued in Thailand, ASEAN opening outside competition. There is a lot of money to be made if you have the cash and the smarts.

Not a greedy man and have no incentive to take risks now, but a greedy man with go could make me a rich lazy man. Jim

[mccw]

OP if you are a smart business man and willing to take a risk in today's crazy world, I need an investor with brains. Already up and running asset rich [sort off ] but capital poor, you can Google me, name and Thailand.

Best be very careful here, many come with money most leave poor. Jim

this sounds like a way to become POOR................hahaha!

I make a good living here, but am no business man. Have a license issued by the rubber board for the district and as I understand it no more open rubber licenses are to be issued in Thailand, ASEAN opening outside competition. There is a lot of money to be made if you have the cash and the smarts.

Not a greedy man and have no incentive to take risks now, but a greedy man with go could make me a rich lazy man. Jim

Please explain; How would this rubber licence and my cash could make me filthy rich? It allows a foreigner to be a rubber farmer like a Thai? Or it's an export permit of sorts? ie of value to both Thai and foreigner?

What kind of numbers are you talking?

Cheers

[SlyAnimal]

@ OP

I think that your best option is to invest in 1-2 apartment in Aus/NZ/UK:

1/ Money in the bank has low interest returns and suffers from inflation. So your 4.5% in the bank is actually more like 2% after you take into account an average inflation of 2.5%, which essentially decreases the value of your money.

2/ Investing in a business can give high returns, but it can also give you large losses, low returns or low losses. You don't have any real idea on what it's going to do unless you're at the helm yourself (or trust someone else's expertise a lotttt)

3/ Investing in the sharemarket can give high returns, if you're an active investor and know your stuff (or if you get lucky). However as you've said, you don't have much financial expertise, so you'd likely end up with an average to poor return, since you'd probably gravitate towards low risk stock options to avoid potential losses.

4/ Investing in commodities or bonds often provide low returns, or high risk, although I'll admit I don't know a huge amount about either.

5/ Investing in houses can give high capital gains, but they can also go down in value (unlikely, but it can happen) or not go up by as much as what you think. Also because of the time value of money, capital gains often aren't really as big as what people think (Although depending on the country, can be tax free). Rental returns will keep you afloat but often the rental returns on houses aren't as high as apartments, and at the end of the day you want consistency.

However, if you invest in rental apartments:

1/ You can generally find apartments which are making 6 - 8% or higher net returns (so after body corporates / management fees / rates etc) per year from the rent alone. This is higher than most of the above options.

2/ You can get a property manager to look after your apartment, this means you don't need to do anything except collect money. A good manager can get you a higher rental than what you could otherwise get, which should pay for their fee.

3/ Your property should also go up in value, so if you do decide to sell in the future, you'll also reap some capital gains

4/ You may even have enough money to buy 2x apartments, rather than just 1, or 1 + shares or similar, and diversifying is always good.

5/ Property is a non movable asset, which means that you have to pay your tax on it in the country where the property is (If you buy it outside the country you live/work in). This means that you'll be in the lowest tax bracket for that country, because you won't be adding your income from your job to the tax bracket. Not all investment assets fall into this category, but property definitely does.

Obviously, you would still need to decide which country you want to invest in, and then find an appropriate apartment with a high return and decent potential. In general, don't buy leasehold and try to find somewhere that you could imagine people actually living in (e.g. don't buy small windowless boxes). Also when you're buying, look at all of the yearly costs vs rental assessments, and work out your return on investment ( ((annual rent - management fees) - (body corporate fees + rates)) / Cost of property )

With the net income from $300,000 (Probably at least 50,000+ THB a month after tax), try and invest it into another apartment, at present their annual returns are higher than interest rates, so it's essentially win win (Although of course, this situation might not necessarily last).

Anywho, that's my 2c.

* I'm from NZ, so don't know much about Aus/UK property markets, interest rates, tax etc, however assume that they're pretty similar to NZ, being that we're all in the commonwealth. As a result, I can't really comment on which country is the best to buy in, personally I think if you're from the UK, but living in Thailand, the UK would be best as it'd be more familiar to you than the other countries. Also investment in Thailand can have very high returns, however it's also high risk because the country is politically/economically unstable, particularly towards foreign investment, because they have a lot of protectionist policies, if they ever opened up these policies, the price of land etc in Thailand would skyrocket (Good for your wife, not you tho lol). Even buying rice farms for the yearly income could earn you a lot of money in Thailand (again, for your wife lol), as from what I have been told, they have high returns (Maybe 50 - 100k per Rai of average land far from the main road, which should still produce 8 - 10k net profit each per year)

Anyway, good luck

[jamescollister]

OP if you are a smart business man and willing to take a risk in today's crazy world, I need an investor with brains. Already up and running asset rich [sort off ] but capital poor, you can Google me, name and Thailand.

Best be very careful here, many come with money most leave poor. Jim

this sounds like a way to become POOR................hahaha!

I make a good living here, but am no business man. Have a license issued by the rubber board for the district and as I understand it no more open rubber licenses are to be issued in Thailand, ASEAN opening outside competition. There is a lot of money to be made if you have the cash and the smarts.

Not a greedy man and have no incentive to take risks now, but a greedy man with go could make me a rich lazy man. Jim

Please explain; How would this rubber licence and my cash could make me filthy rich? It allows a foreigner to be a rubber farmer like a Thai? Or it's an export permit of sorts? ie of value to both Thai and foreigner?

What kind of numbers are you talking?

Cheers

Think that is more of a PM thing, you can Googlle Collister rubber company and have a look. {Limited Partnership] and when I say limited it means very limited. Yes the company can export direct and process rubber to anyones standards. Have people from China, Vietnam and Lao wanting to buy direct, but don't have the cash or machinary to supply. Jim

[Michael Caine]

Another option is to stick the cash offshore in a tax free AUD denominated bond and get it managed professionally by a proven and regulated fund manager. My adviser recently showed me a decent looking product through a bank that guarantees your deposit if the markets are down after 3.5 years or 7% p.a. if they are not.

[mccw]

Another option is to stick the cash offshore in a tax free AUD denominated bond and get it managed professionally by a proven and regulated fund manager. My adviser recently showed me a decent looking product through a bank that guarantees your deposit if the markets are down after 3.5 years or 7% p.a. if they are not.

And how about the fees and charges on that?

+ if Living in Thailand how is aus dollar likely to fair going forward. Big drops I think.

Another recommendation to OP -

Have fun with 50grand

Buy 50grand gold and 200grand silver- all physical.

Most shares and currencies will get panned. If your not bothered with income producing property then both much else worth considering or risking it for. At least physical PM can not disappear; a "garrantee" is only as good as the company making it and in this world right now who is really safe? I wouldn't trust any of them, companies, banks or governments with such a seizable amount!

[Michael Caine]

Another option is to stick the cash offshore in a tax free AUD denominated bond and get it managed professionally by a proven and regulated fund manager. My adviser recently showed me a decent looking product through a bank that guarantees your deposit if the markets are down after 3.5 years or 7% p.a. if they are not.

And how about the fees and charges on that?

+ if Living in Thailand how is aus dollar likely to fair going forward. Big drops I think.

Another recommendation to OP -

Have fun with 50grand

Buy 50grand gold and 200grand silver- all physical.

Most shares and currencies will get panned. If your not bothered with income producing property then both much else worth considering or risking it for. At least physical PM can not disappear; a "garrantee" is only as good as the company making it and in this world right now who is really safe? I wouldn't trust any of them, companies, banks or governments with such a seizable amount!

A bond costs around 1% a year, plus another 1% for professional management. Guaranteed/7% a year product has no charges.

Don't trust banks or governments? You best find a cave and stock up on tinned food.

[Naam]

Another option is to stick the cash offshore in a tax free AUD denominated bond and get it managed professionally by a proven and regulated fund manager. My adviser recently showed me a decent looking product through a bank that guarantees your deposit if the markets are down after 3.5 years or 7% p.a. if they are not.

"if the markets are down" is a ridiculous statement that can be interpreted in different ways.

[Michael Caine]

Another option is to stick the cash offshore in a tax free AUD denominated bond and get it managed professionally by a proven and regulated fund manager. My adviser recently showed me a decent looking product through a bank that guarantees your deposit if the markets are down after 3.5 years or 7% p.a. if they are not.

"if the markets are down" is a ridiculous statement that can be interpreted in different ways.

Ridiculous? No. Simple? Yes

Markets being down means that they are at a lower level at the end of the investment than the level they were at when the investment started.

Pretty unequivocal. I typed this slowly. Hope it helped.

[Naam]

Another option is to stick the cash offshore in a tax free AUD denominated bond and get it managed professionally by a proven and regulated fund manager. My adviser recently showed me a decent looking product through a bank that guarantees your deposit if the markets are down after 3.5 years or 7% p.a. if they are not.

"if the markets are down" is a ridiculous statement that can be interpreted in different ways.

Ridiculous? No. Simple? Yes

Markets being down means that they are at a lower level at the end of the investment than the level they were at when the investment started.

Pretty unequivocal. I typed this slowly. Hope it helped.

i repeat that using the expression "markets" is ridiculous. what markets? the guano (birdshit) market in Ecuador for orchid growers in Japan? the shrinkhead market frequented by headhunters in Papua New Guinea? the hashish and opium market in southern Waziristan? the som tam market in Nakhon Nowhere?

i used normal typing speed and limited my examples. but i can list many more if it did not help.

[Michael Caine]

Another option is to stick the cash offshore in a tax free AUD denominated bond and get it managed professionally by a proven and regulated fund manager. My adviser recently showed me a decent looking product through a bank that guarantees your deposit if the markets are down after 3.5 years or 7% p.a. if they are not.

"if the markets are down" is a ridiculous statement that can be interpreted in different ways.

Ridiculous? No. Simple? Yes

Markets being down means that they are at a lower level at the end of the investment than the level they were at when the investment started.

Pretty unequivocal. I typed this slowly. Hope it helped.

i repeat that using the expression "markets" is ridiculous. what markets? the guano (birdshit) market in Ecuador for orchid growers in Japan? the shrinkhead market frequented by headhunters in Papua New Guinea? the hashish and opium market in southern Waziristan? the som tam market in Nakhon Nowhere?

i used normal typing speed and limited my examples. but i can list many more if it did not help.

Oh dear.

Unsurprising to most, the market would be the one related to the currency. In this instance the ASX200.

[Naam]

Oh dear.

Unsurprising to most, the market would be the one related to the currency. In this instance the ASX200.

oh dear!

the ASX it not necessarily relevant for AUD as a currency, for AUD interest rates, for AUD bonds, for individual sectors of AUD shares or for the profit/loss of any other investment denominated in AUD. one of the many sectors, e.g. commodities might skyrocket whereas the "market" index might lose and vice versa.

but let's leave it because, unsurprising to most, your answer is typical for somebody who is using an "adviser"

Michael Caine, on 2012-11-28 22:27:38, said:

My adviser recently showed me a decent looking product...

for the record: there is no shame in and no harm done by using an adviser. nobody can be an expert in all fields. even though i'm sometimes itching to tell an old surgeon friend of my various ideas how to remove gall bladders and warts, i keep quiet

morale: one should refrain rendering own advice especially if the advice is "guaranteed return... if market... 7% no charges"

[Michael Caine]

Oh dear.

Unsurprising to most, the market would be the one related to the currency. In this instance the ASX200.

oh dear!

the ASX it not necessarily relevant for AUD as a currency, for AUD interest rates, for AUD bonds, for individual sectors of AUD shares or for the profit/loss of any other investment denominated in AUD. one of the many sectors, e.g. commodities might skyrocket whereas the "market" index might lose and vice versa.

but let's leave it because, unsurprising to most, your answer is typical for somebody who is using an "adviser"

Michael Caine, on 2012-11-28 22:27:38, said:

My adviser recently showed me a decent looking product...

for the record: there is no shame in and no harm done by using an adviser. nobody can be an expert in all fields. even though i'm sometimes itching to tell an old surgeon friend of my various ideas how to remove gall bladders and warts, i keep quiet

morale: one should refrain rendering own advice especially if the advice is "guaranteed return... if market... 7% no charges"

Let me be clear - I did not say relevant, I said related. I did not provide advice, I pointed out an alternative option/s. I said there is a product available that offers 7% per annum if the markets do not decrease, there is. I stated that there is no charge for this product (as they doubtless make their profit by realising a greater return), and there is not.

Those are the facts. If you want to spend your day and the next 20,000 (???) posts attempting to ridicule others by twisting what they say then kindly do it with someone else.

[vibz]

I've bn getting 5.10% at NAB, but is CBA a better (at custmr service) and safer bank?

[mccw]

Another option is to stick the cash offshore in a tax free AUD denominated bond and get it managed professionally by a proven and regulated fund manager. My adviser recently showed me a decent looking product through a bank that guarantees your deposit if the markets are down after 3.5 years or 7% p.a. if they are not.

And how about the fees and charges on that?

+ if Living in Thailand how is aus dollar likely to fair going forward. Big drops I think.

Another recommendation to OP -

Have fun with 50grand

Buy 50grand gold and 200grand silver- all physical.

Most shares and currencies will get panned. If your not bothered with income producing property then both much else worth considering or risking it for. At least physical PM can not disappear; a "garrantee" is only as good as the company making it and in this world right now who is really safe? I wouldn't trust any of them, companies, banks or governments with such a seizable amount!

A bond costs around 1% a year, plus another 1% for professional management. Guaranteed/7% a year product has no charges.

Don't trust banks or governments? You best find a cave and stock up on tinned food.

Seriously; everyone needs a back up of tinned food, gas hob and plenty drinking water, for economic or weather related incidents. Even more so in the west with the "just in time" supply chains.

[Naam]

Seriously; everyone needs a back up of tinned food, gas hob and plenty drinking water, for economic or weather related incidents. Even more so in the west with the "just in time" supply chains.

not to forget a few crates of Portwine!

[Naam]

Let me be clear - I did not say relevant, I said related. I did not provide advice, I pointed out an alternative option/s. I said there is a product available that offers 7% per annum if the markets do not decrease, there is. I stated that there is no charge for this product (as they doubtless make their profit by realising a greater return), and there is not.

Those are the facts. If you want to spend your day and the next 20,000 (???) posts attempting to ridicule others by twisting what they say then kindly do it with someone else.

let me be clear. if a layman asks the question

How To Invest About 300,000 Aussie Dollars - There Or Here?

and another layman comes up with "yield = x, if the market..."

then i add my two Satangs worth with (perhaps) too harsh words.

but if the second layman argues "related and relevant are two pairs of shoes" then i...

[Michael Caine]

Let me be clear - I did not say relevant, I said related. I did not provide advice, I pointed out an alternative option/s. I said there is a product available that offers 7% per annum if the markets do not decrease, there is. I stated that there is no charge for this product (as they doubtless make their profit by realising a greater return), and there is not.

Those are the facts. If you want to spend your day and the next 20,000 (???) posts attempting to ridicule others by twisting what they say then kindly do it with someone else.

let me be clear. if a layman asks the question

How To Invest About 300,000 Aussie Dollars - There Or Here?

and another layman comes up with "yield = x, if the market..."

then i add my two Satangs worth with (perhaps) too harsh words.

but if the second layman argues "related and relevant are two pairs of shoes" then i...

My providing information on something that exists is not 'coming up' with something.

Related and relevant are two completely different words with very different meanings - much as moral when you used morale.

But hey. Why let the facts get in the way of your puerile attempts to belittle people, eh?

Edited November 29, 2012 by Michael Caine

[mccw]

Seriously; everyone needs a back up of tinned food, gas hob and plenty drinking water, for economic or weather related incidents. Even more so in the west with the "just in time" supply chains.

not to forget a few crates of Portwine!

Mmm ; and cheese in wax keeps very well under the right conditions, can be quite a civilised time after Armageddon with a little planning.

Also ; Vodka is very useful

Edited November 29, 2012 by mccw

[london]

Femi fan,

it sounds to me as though you just don't want any hassle with these funds.

You have a happy and settled life in CM and really would just prefer a touch more security.

My opinion is that you should just sit on the funds for a while. Leave them in the bank(s) whilst being aware of the limit of guarantee for the funds you have on deposit. (ie, if the bank goes bust, how much of your deposits are guaranteed by the government)

There's no need to rush into anything.

After say 6 months, then reassess things. In this period, economies can change very quickly. Sit back and observe.

Finally, don't seek advice on these forums. You would need to know a lot more about the backgrounds of those people advising you about your money....and that includes me as much as anyone else !

[jingjoe8]

Im not sure if the tax implications have been mentioned here,but as of july this year as a non resident(lived outside oz for two years)and have not lived in the house in last six years you will be up for 32.5% tax on the capital gain

http://www.bantacs.com.au/booklets/Overseas_Booklet.pdf

[waza]

I've bn getting 5.10% at NAB, but is CBA a better (at custmr service) and safer bank?

yep but that and all rates are decreasing,

[yoshiwara]

Oh dear.

Unsurprising to most, the market would be the one related to the currency. In this instance the ASX200.

oh dear!

the ASX it not necessarily relevant for AUD as a currency, for AUD interest rates, for AUD bonds, for individual sectors of AUD shares or for the profit/loss of any other investment denominated in AUD. one of the many sectors, e.g. commodities might skyrocket whereas the "market" index might lose and vice versa.

but let's leave it because, unsurprising to most, your answer is typical for somebody who is using an "adviser"

Michael Caine, on 2012-11-28 22:27:38, said:

My adviser recently showed me a decent looking product...

for the record: there is no shame in and no harm done by using an adviser. nobody can be an expert in all fields. even though i'm sometimes itching to tell an old surgeon friend of my various ideas how to remove gall bladders and warts, i keep quiet

morale: one should refrain rendering own advice especially if the advice is "guaranteed return... if market... 7% no charges"

Let me be clear - I did not say relevant, I said related. I did not provide advice, I pointed out an alternative option/s. I said there is a product available that offers 7% per annum if the markets do not decrease, there is. I stated that there is no charge for this product (as they doubtless make their profit by realising a greater return), and there is not.

Those are the facts. If you want to spend your day and the next 20,000 (???) posts attempting to ridicule others by twisting what they say then kindly do it with someone else.

The best advice one can have if using no-name falang financial advisors based in Thailand is to first check see if he (assuming a he) is sporting a stubby pony tail or a rug. You might want to be a little careful. The second piece of advice is.............................

[Humbugged]

Do you like to gamble ?

I have a situation that would cost you 20k, but could return you 60k within 6 months...but it is risky, each way bet.

You even get a contract.

Edited December 5, 2012 by Humbugged

[Naam]

MOSCOW, Dec 6 (Reuters) - VTB, Russia's second biggest bank by assets, priced five-year Eurobond worth 500 million Australian dollars ($523 million), a banking source told Reuters on Thursday.

The source added that coupon was set at 7.50 percent for the deal.

[Naam]

MOSCOW, Dec 6 (Reuters) - VTB, Russia's second biggest bank by assets, priced five-year Eurobond worth 500 million Australian dollars ($523 million), a banking source told Reuters on Thursday.

The source added that coupon was set at 7.50 percent for the deal.

[Shaktam]

Stable bank, Ubank in aus. No term deposit, transfer to Tland when you need it. Approx 5.25% per annum. Or have a dabble on the asx.

[davidst01]

Further to my last - I've just read through everyone elses posts, so sorry that i covered some things that have already been mentioned.

What I would like to highlight is the folly in investing in residential real estate.

I currently own 9 investment properties - and now have to sell off the majority, as the yield is so poor. Property is a good tool for tax purposes, and also for very long term capital growth.

But if you want cash flow, then property is generally not a good idea - the holding costs are too prohibitive.

and 'Land Tax' is the worst thing in oz. They introduce a tax that has negative effects on property investments.

[davidst01]

Several issues to discuss here....

- if you sell your 'bricks' you lost potential capital growth. If you hold onto it another 20 yrs and sell later it could fund your retirement

- The online saver rates in oz are good but going down at the moment. I was earning 5.25% now down to 4.60%. Rates could go up in the coming yrs so all this is not an issue

- Inflation will eventually eat away at your lump sum savings- and so will the tax that you have to pay

- I would not bring to the LOS. having it the bank with 250k govt guarantee is worth a lot

- Your whole issue is whether or not you need a source of income from this money. If your able to survive on the teacher salary and not reliant on the income from your bricks then I would leave it there.

- Put the rent up to cover the escalating expenses

- if the bricks are not your principle residence will you have to pay CGT?

[yoshiwara]

Finally, don't seek advice on these forums. You would need to know a lot more about the backgrounds of those people advising you about your money....and that includes me as much as anyone else !

Re 'backgrounds' FYI I am a Leo who drinks Chang. Edited May 10, 2013 by yoshiwara