500,000 GBP to invest

[topt]

Could somebody advise me which banks pay 3% in the UK or alternatively offshore accounts paying a similar amount in GBP? The best I can manage is 1.95% with Barclays, but for 12 months only. It then reverts to 0.5%!

Edit - GBP offshore accounts are worse then onshore.

UK Fixed rate deposit accounts

http://www.moneysupermarket.com/savings/search/results/?goal=SAV_FIXEDRATEBONDS

You set your limit too low (£1000). You can get 3.6% from Agri bank - over 10k and over 5 years however or Tesco even at 2.95% for over 2k.

There are a number but all are for 3 years plus at that level. Depends on how you think inflation will develop and when.......

The best 1 year appears to be Brittania at 2.03% (no internet) or The Post Office at 1.99%.with internet access.

Edited September 1, 2013 by topt

[Chicken George]

Buy a couple more buy to lets in the UK. You will always get the rental income.. plenty of good buys ti be had.. good luck..

[cheeryble]

High yield dividend stocks/ bonds spread across different sectors. Not an FA, but did a stint as an structured/risk arb trader for an inv bank for a few years. By all means p.m me if any cares. Good luck with whatever you decide.

I am also not an FA but I really think FA about your advice. I think the exacy opposite to what you suggest would be appropriate. The Op is looking for where to invest in the near term. High Yield dividend stocks will get crushed as inflation takes off and interest rates rise. Only a very few companies will benefit from rises in interest rates and inflation. If you leave bonds alone for the time being until after the rout in the bond markets you may be able to get in at a half decent yield without losing your shirt as bond prices tumble.

Den

Agreed the OP is investing his life's assets is not looking for high earnings and risk he is looking for modest return/holding up against inflation and low risk.

One thing I'd say first is you want to decide your probable future home.

If it's Thailand, then you need to GRADUALLY currency-proof yourself and sorry to say that will mean acquiring baht assets or....maybe better....baht proxies. (You have one of the main ones....a home)

I have done exactly this the last decade and now am over 50% baht based and it has served me well. Thing is even if the baht goes down you still have more or less the same spending power. Don't ever listen to anyone who "knows" what currencies will do....they generally do the opposite (I bought my second largest currency, US$, when Time magazine had someone lighting a cigar with a $ bill on the cover...at 1.896 to the GBP!

Have only held about 10% in GBP). Just allocate between currencies sensibly.

Edited September 1, 2013 by cheeryble

[DannyDubai]

You might consider the Thai govt. banks fixed rate accounts. They have some that have no taxes(15%),and vary from 13 months to 18 months. They are insured and some have no limit. It is safe and secure and we are getting 3.3% and 3.6% not taxed. Being you are starting middle age, i would search for a significant other as 2 people are much better in combining goals, assets and skills. Life is much better in love anyways. Good luck!

Don't want to invest in Thailand and Ive been married for 17 years :-)

[intravox]

Don't put your money where your mouth is. Buy gold rather than chance it with the sharks in Thai waters...any dude who is a former financial advisor is usually former for very good reasons and a few of my less well informed acquaintances here have been roundly ripped off for thousands of pounds by the many scam artists here posing as financial advisors. All the markets will crash again soon - bonds included - so go against the grain and buy gold now...before the shit hits the fan. Do not buy a bar, a business of any kind, or invest in the stock market. And keep the fact that you have money to burn to yourself...if it is not already too late. Sharks love the smell of warm blood.

[Naam]

I am in line with a Small Capital Programs that has been returning 25% weekly for over 3 years now Minimum investment is 100k U.S.D.. You open an account in your name and the funds are blocked and cannot be touched by anyone, so they are safe. You can take out your weekly returns. P.M. me if you would like to pursue this. You would fill out a Customer Information Sheet and submit it. Upon approval you will be in contact with the Program Coordinator.

25% weekly

that is quite possible if... the "program coordinator" is a Jinn who was released from a bottle and therefore has to fulfill once a week a wish.

[robertson468]

I agree with others that you are too young to retire. Doing simple maths, you have about 10.5M in baht. You will be spending about 1M baht per annum (assuming about 80K expenditure per month), even with a low rate of inflation - so-o-o-o-o-o, you need to make the money work so that you still have an income after 10 years, particularly as you are still relatively young and have a child that will need educating beyond 14 years of age. I came to Thailand nearly eight years ago, had bought land and then built houses for let. The business is incredibly successful and I have an annual income of 1.2M baht and have just achieved my return on my investment, which means everything from now is sheer profit, particularly if I choose to sell. On top of which, like most humans, I am very much in to making a decent living, with the minimum effort on my part and I have achieved that. Even as a "youthfull" 68 year old, I am factoring in that I will probably be around for the next twenty years or more so am seriously thinking of selling and moving up a gear. With all the advantages Thailand has to offer (others can red card me if they like as am not interested in negativity, but love the place) and our Eastern European Cousins flocking to Koh Samui, one has to be doing something terribly wrong not to succeed. From December through to June each year, I am turning people away as I am completely booked out, many of the bookings having been made a year in advance. .

[Briggsy]

Discount broker like Hargreaves Lansdown, Selftrade or BestInvest.

All controlled by you through the internet. Buy a range of diverse funds. You will beat your 3% a year over the long term.

[DannyDubai]

My question - how would you invest the booty? I had a FA once in Kuwait but the dodgy little git gave me crap advise

So you've decided to move up to the high quality advice available here at TV?

Preservation of capital ought to be your main objective in these uncertain times. You ought to be comfortable with what you have and not look for anything aside from the most conservative investments. Seek advice from an established firm back in the UK and ignore any suggestions or offers from this forum (aside from me of course ) or anywhere else on the Internet.

Although I do have a bridge available in Brooklyn if you're interested.

There is a big difference between asking for advice being told what to do (and doing it). I have a wee bit of money so, by definition, its more than possible that I am not a complete fuktard.

[MrWorldwide]

Cmon dunque - we're ALL experts, otherwise why would anyone be silly enough to come here and ask for our investment advice ??

[DannyDubai]

I agree with others that you are too young to retire. Doing simple maths, you have about 10.5M in baht. You will be spending about 1M baht per annum (assuming about 80K expenditure per month), even with a low rate of inflation - so-o-o-o-o-o, you need to make the money work so that you still have an income after 10 years, particularly as you are still relatively young and have a child that will need educating beyond 14 years of age. I came to Thailand nearly eight years ago, had bought land and then built houses for let. The business is incredibly successful and I have an annual income of 1.2M baht and have just achieved my return on my investment, which means everything from now is sheer profit, particularly if I choose to sell. On top of which, like most humans, I am very much in to making a decent living, with the minimum effort on my part and I have achieved that. Even as a "youthfull" 68 year old, I am factoring in that I will probably be around for the next twenty years or more so am seriously thinking of selling and moving up a gear. With all the advantages Thailand has to offer (others can red card me if they like as am not interested in negativity, but love the place) and our Eastern European Cousins flocking to Koh Samui, one has to be doing something terribly wrong not to succeed. From December through to June each year, I am turning people away as I am completely booked out, many of the bookings having been made a year in advance. .

As do I. I have no intention of retiring. Best to read the opening posts matey.

[BarryM]

Whatever you do, do not invest it in Thailand

[intravox]

"You might consider the Thai govt. banks fixed rate accounts. They have some that have no taxes(15%),and vary from 13 months to 18 months. They are insured and some have no limit. It is safe and secure and we are getting 3.3% and 3.6% not taxed."

Best option posted so far...

[DannyDubai]

Cmon dunque - we're ALL experts, otherwise why would anyone be silly enough to come here and ask for our investment advice ??

Exactly! Asking for input and gathering info not asking to be told what to do.

Get a grip man, do you honestly think so Cat would come on here, read a few posts and run off to the nearesr merchant bank with a print out of said post?

LOL

[stickylies]

invest 300.000 in poland or ex-yugoslavia or any other growing country in that area. sleep on the 200.000 and do jack shit like i do (except for studying, cycling and watching the ocean).

(or check out burma if you wanna stay in a highly risky SE-asia environment)

Edited September 1, 2013 by stickylies

[SPIKECM]

Sit on it how exactly?

I should add that I am 39 also and don't really need an income from it yet.

principally depends on two things... what rate the mortgage is.. obvious thing is to pay it off... second is whether you are non resident.. probably you are.. you still have to pay UK tax on rental income.. but that is net after mortgage...more if you pay the BTL mortage off.... any more income from UK investments and it is all taxable as I am sure you know.

[salapau]

Well done with your savings. I've lived in Thailand for several years now. My advice is don't invest it in Thailand, somewhere along the line you'll be ripped off. More property in the UK is a better option.

[StevenWayneSimpson]

Wait for the Thai economy to crash and send it over when the rate is back at 70 and you will have another 10mil bht to play with.

[SPIKECM]

I've done jack shit for 13 years here and I wouldn't recommend it.... I am destined for an early grave if I stay in this wonderful and crazy country...so I am heading back next April to the UK...

invest 300.000 in poland or ex-yugoslavia or any other growing country in that area. sleep on the 200.000 and do jack shit like i do (except for studying, cycling and watching the ocean).

(or check out burma if you wanna stay in a highly risky SE-asia environment)

[stickylies]

I've done jack shit for 13 years here and I wouldn't recommend it.... I am destined for an early grave if I stay in this wonderful and crazy country...so I am heading back next April to the UK...

invest 300.000 in poland or ex-yugoslavia or any other growing country in that area. sleep on the 200.000 and do jack shit like i do (except for studying, cycling and watching the ocean).

(or check out burma if you wanna stay in a highly risky SE-asia environment)

who said i'm doing jack shit in thailand only? i stay there 6-9 months a year. when it gets on my nerves (infantile sanouk versus rain) i leave. early grave isn't the end when you have worked a third of what "normal" people do in their life.

[Hedghog]

It is strange,people say don't invest in Thailand,when most, have,houses, wives,families.

I personally invested,in a small business in Thailand,I recouped my investment in 4 yrs,plus it helped me to stay here,before retirement extension could be obtained.

I have rental properties in the UK,giving me a regular income.

If push came to shove I could be employed as and when I returned home,presently I choose not to take the option.

I would advise the Op to buy another property in the Uk to let.

Bearing in mind he isn't retiring just yet.

Good luck on your endeavours

Sent from my GT-P7500 using Thaivisa Connect Thailand mobile app

Edited September 1, 2013 by Hedghog

[rosswlkr]

Get over to www.MotleyFool.com and devise a conservative plan for high growth and long term income

[bkk_mike]

1. What's the interest rate on the mortgage? (Admittedly you get to offset the interest against your tax bill, but you should do the sums as the tax saving will be less useful if you're not earning in the UK any more - i.e. not paying 40-45% tax, so it may make sense to pay off the mortgage).

2. Hold an emergency fund in cash in a Thai bank. (If your wife is Thai, this could include the 400K for your visa, although you should old a bit more so that only a REAL emergency risks your seasoning.) With the way Thai banks work, I would NOT have this be in an account with an ATM card. The account with the ATM card should only hold money you intend to use...

3. Interest rates in the US and UK are at historic lows, so buying long term bonds is probably not a good idea. Short term ones you intend to hold to maturity would be fine though. However at your age, you should really be more into stocks than bonds. There might be an exception for bonds that adjust for LIBOR or adjust for inflation, but that's getting into FA territory.

4. If buying stocks I'm a great believer in doing your own analysis. Put some of it into regular index tracker funds (so the that part of the money will basically follow the market, so that your not heavily dependent on a single sector or company. But any stock picking should be in areas you understand. If you work in oil, you'll understand the service companies and people that do thngs like ROVs and wireline testing, etc. so you should choose a few companies that you already know that you think are doing the right things to grow.

5. One thing, you have a 4yo. You will have the added expense of schooling to deal with... For that reason alone, I'm not sure you've got enough to avoid working. School Fees for proper International schools aren't cheap.

Oil is one area where you can probably get a job doing 4-on/4-off in places like Angola, Myanmar, Australia, or, if you're desperate, Nigeria. So you could carry on working while rates are high, but still move to Thailand. (Thailand doesn't tax offshore income if you're in the country less than 180 days of the year, so is basically a tax haven for oil workers - i.e. you'd pay a lot less tax than if you're still living in the UK..)

My two cents worth.

P.S. My position is virtually the opposite. I'm part-way through moving back to the UK so that my kids are eligible for student loans. But I've paid the International school fees here over the years (moved here in 2001) so that they can drop into school there easily. But I've worked the whole time I've been here (just never employed in Thailand - pay is better in Hong Kong, Tokyo, Sydney...)

[robertson468]

I agree with others that you are too young to retire. Doing simple maths, you have about 10.5M in baht. You will be spending about 1M baht per annum (assuming about 80K expenditure per month), even with a low rate of inflation - so-o-o-o-o-o, you need to make the money work so that you still have an income after 10 years, particularly as you are still relatively young and have a child that will need educating beyond 14 years of age. I came to Thailand nearly eight years ago, had bought land and then built houses for let. The business is incredibly successful and I have an annual income of 1.2M baht and have just achieved my return on my investment, which means everything from now is sheer profit, particularly if I choose to sell. On top of which, like most humans, I am very much in to making a decent living, with the minimum effort on my part and I have achieved that. Even as a "youthfull" 68 year old, I am factoring in that I will probably be around for the next twenty years or more so am seriously thinking of selling and moving up a gear. With all the advantages Thailand has to offer (others can red card me if they like as am not interested in negativity, but love the place) and our Eastern European Cousins flocking to Koh Samui, one has to be doing something terribly wrong not to succeed. From December through to June each year, I am turning people away as I am completely booked out, many of the bookings having been made a year in advance. .

As do I. I have no intention of retiring. Best to read the opening posts matey.

Thank you MATEY!! Was only repeating what others had already said MATEY! Good luck with whatever you do MATEY.

[bkk_mike]

I am in line with a Small Capital Programs that has been returning 25% weekly for over 3 years now Minimum investment is 100k U.S.D.. You open an account in your name and the funds are blocked and cannot be touched by anyone, so they are safe. You can take out your weekly returns. P.M. me if you would like to pursue this. You would fill out a Customer Information Sheet and submit it. Upon approval you will be in contact with the Program Coordinator.

BULLSHIT (or you've missed a decimal point somewhere)

If it's returning 25% a week, that's more than 100% each month.

If you're doubling your money every month, and reinvesting it, and start with 100K, after one year, you'd have over $400m, and after 2 years, you;d be the richest person on the planet.

[KittenKong]

All you losers with your bonds and stocks really make me laugh.

There's only one good investment in Thailand and that's Jomtien condos. When my units are built and once I've found a few tenants I'll be sitting pretty on 12% guaranteed rental return.

Now, can someone lend me 20B for some noodles?

[timewilltell]

Property - likely to stagnate and a short term crash is also on the cards

Stock Market - a crash imminent IMHO - imminent being in the next 24 months

Bonds - not a great idea as they will fall as Internet rates rise

Banks - your money is certainly not safe there anymore after Cyprus - least not in large amounts

Basically whatever you do the banks will grab it back eventually - that is heir game and governments sponser them. Best idea is to give it to me :-)

[Oliver Reed]

Hi Danny..my advice would be to carry on doing what youre doing for a little longer, whilst all this market uncertainty prevails...don't give up entirely on the advice offered by a FA, just ask around and find one who comes with strong recommendation, and take the time to talk to him, voicing your concerns about the level of risk..like so many others I would avoid investment in Thailand other than your quality of life there..to get to the position youre in today, youre clearly no mug, so trust your own instincts..i wish you well

[BlackJack]

I am in line with a Small Capital Programs that has been returning 25% weekly for over 3 years now Minimum investment is 100k U.S.D.. You open an account in your name and the funds are blocked and cannot be touched by anyone, so they are safe. You can take out your weekly returns. P.M. me if you would like to pursue this. You would fill out a Customer Information Sheet and submit it. Upon approval you will be in contact with the Program Coordinator.

BULLSHIT (or you've missed a decimal point somewhere)

If it's returning 25% a week, that's more than 100% each month.

If you're doubling your money every month, and reinvesting it, and start with 100K, after one year, you'd have over $400m, and after 2 years, you;d be the richest person on the planet.

if you have to PM someone about investment then its suspect otherwise we would all be making 25%

If you havent read about the massive debt the UK has then I suggest you should as their debt makes Greece look like a cashed up bank.

The USA is worse still with its to many zero's to count QE.

Theres not to many AAA banks in the World now - Australia has some - term deposits at around 5% and 10% of that is with holding tax - be careful of the exchange rate though as the Aust Gov is trying to get the dollar down - so you might take a hit there - but be safe at least.

Some gold ETF's might help.

If you buy land and farms for income make sure you lease and its in your name and not wifey's.

In fact if you buy house land condo make sure its in your name.

37 years old with money in Thailand - mmmm - be careful!

Chok Di

[djhotsox]

Congratulations on doing so well at such a young age.

I think that at your age you will find that you are not completely "retired" and may find something enjoyable to do in the future that may provide you some source of income? Who knows.

But first, before you do anything, I would say sit on it for a year....don't rush into anything, find out where the markets are heading, where currencies are going, whether or not to buy/sell gold, the various property sectors etc. etc. and see what it costs you to live for a year in Thailand. Realistically.

Then factor in schooling for your child. From 5 years old to Y13 at an International school in Thailand will likely run you about 8 million baht. Then there is university. That's a big chunk of your money right there.

I would suggest finding a FA that you can trust. Ask around, maybe a friend has a great one? There are some good ones. Or, spend a year educating yourself on the markets and become your own money manager.

Then, start a retirement fund. One that will mature in say 15 years when you are 55 years old and pay into it monthly. Make it your first payment every month. Then you have a "fall back" and extra income if all else fails....or when your child is ready for university?

I agree with some previous posts but not all. I think rental income is a great way to go as long as it is the right property. I think gold is a "buy"?

I'm not an investor at all or involved in the financial sector but I did retire at 45 and do live in Thailand and do send my kid to an International School here....and I think Thailand is the best place to be or I wouldn't be here!

Best of luck with everything......