Investing..

I currently have 5000 in an account, but i would like anyone to tell me or give me exactly what i need to know or a tutorial on how to invest appropriate Eg in shares.. Bank accounts... ISAs

Starting from the new year i will be saving roughly £500-600 a month but i would like a run down on what would be the best thing to do with it.

How does interest work is it paid yearly?

Im fucking clueless if there is any financial experts out there on sythe please give me a tutorial haha

 

If you barely know anything about economics and shares you should obviously NOT do that.
I know you barely get anything on the bank (approx 1-4%) but that is better than throwing around 5.000$ in wild speculations :/

Perhaps there are other alternatives such as investments in companies or projects that give a higher compensation rate for you?

 

its ok rambling on, about something i dont have a clue what u mean lol, give me some more information

 

The clue is: don't invest in stuff you don't know a thing about. You'll lose.

 

so you dont know nothing about investing?

 

There's a big difference between randomly throwing your money at stuff and following a good investing plan, even if you don't understand it.

OP, you should find an online discount brokerage in your country and open an account. Then put the money you want to invest in a Vanguard Target Retirement fund with the date closest to your anticipated retirement. If you're in your early 20s, the 2055 fund is probably best. Its ticker symbol is VFFVX.

There will be ups and downs, but in the long run, this is probably the best way for someone who has no idea what they are doing to invest.

 

Thanks for the information i may consider doing this when my constant income is coming in, also thanks for not just posting shit you aint got a clue about.

- could you give me an introduction to stocks and shares or would that take you too long?

 

No problem. Hopefully it helps.

I can go over the basics really quick. If you want more information about this sort of stuff, check investopedia.com. It's a great resource and has tons of information about finance.

In a nutshell, owning a stock means you own part of a company. The price of that partial ownership in the company changes based on what people are willing to pay for it. What people are willing to pay for it is based on how much profit the company makes and how profitable people think it will be in the future.

 

ok thanks.

So in the uk there is this market called FTSE or whatever ..

And certain companies have '' shares'' i think on there, is that the price of each share? for example..

Fuckface. Day high : 79. Day low: 76. 78

Does that mean that the value of that share is roughly £78 ?
Or am i completely wrong in what im saying.

 

I've invested quite a few times, with succes in fact.
I was just warning you that you should really inform yourself and that you should learn a firm basis to start with. It was just a warning to protect you. If you don't know anything about investing in shares you could end up bad.

But apparently you are rather arrogant.
And Pockets, seriously? Why on earth would you invest in an investing plan when you don't know anything about it or don't get the basics of it? :s

Best of luck nevertheless. Just inform yourself! The more you know, the better.

 

It looks like that would mean the highest it was traded at for the day was 79, the lowest was 76, and the most recent was 78.

The price you see when you look up a company is the price of each share. You can't compare share prices from different companies directly to each other though, because different companies have different numbers of shares.

Obviously one should understand the very basics. The suggestion is a fund comprised of index funds. Index funds attempt replicate the movement of whatever assets the index is based on. For example, an index might have proportionate holdings to all the shares in the FTSE 100 that youcantseeme mentioned. It's results then will be similar to the index it is tracking. Fees on index funds are extremely low.
The fund of these funds creates a mix of these investments that maximize return for a given risk level (based on the retirement year), and automatically rebalances so that the investor does not have to worry about that.

He doesn't need to learn the portfolio theory or nitty gritty details beyond that.

If he wants advanced, personalized advice that takes into account local tax law and such, he should go to a financial planner in the UK. I'd suggest he do this, but be clear that he doesn't want to buy any other services aside from the planning. An hour will probably be about £200.

 

ok pockets, so if a share is on that for 79, is that the equivalent in pounds?

so does that mean its £79 per share roughly guiding on what the price was recently sold at.

If so i have seen a very good share on the market that has started and only rises gradually over the years, it started about 25- its now up to 75, obviously it can drop but its quite a reputable company, which id be preparing to risk shares in that company if how it works above like i said.

 

cant do much with $5000 but try playing around with stocks, also invest small amounts in penny stocks if they skyrocket youll make bank.

 

The most recent price something is sold at is usually very close to what you would be paying for it or receiving for it were you to buy or sell it.

Don't buy individual shares. You're unnecessarily increasing risk by doing that and you're not finding any opportunities that institutional investors with thousands of people with years of training missed.

This is horrible advice.

 

would you recommend buying a range of different shares, and investing a similar amount in ?

share the price around abit?

 

An index fund takes care of that for you by buying a properly proportioned amount of all the shares in the index.