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Savings and Investments thread

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    Rob7Lee said:
    Another green day for Ftse100… told ya it was the local bottom 
    But mate, it fell about another 3% after you called it! 😆 That may not sound like much for a cryptobro of course😉 
    I actually did dip in and buy yesterday, bundle of five equities with good income prospects, and just for once I timed it nicely. But I’m old enough to know that this time next week they can be back in red numbers - more idiocy from Truss, Putin dropping something nasty, Credit Suisse rumours having legs….
    How's DLG doing  ;)
    Stellar start, in profit in 24 hours even after fees and stamp duty. But has of course given up a bit so far this morning as have the main UK indices. Clown shows are not good for stocks ;) 
    I bought some L&G at the same time. As a biz I feel more comfortable with it than DLG, but it is more exposed to the pension issue, so it will be interesting to compare how they do. Currently L&G has given up more this morning. Clearly the teenage traders dont have the benefit of @Dippenhall wise counsel 😉
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    edited October 2022
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    Another green day for Ftse100… told ya it was the local bottom 
    I hope all those that pulled out of the market last week aren't still sitting on the sidelines. FTSE100 up 2.5% and the main European markets up around 4%. Dow Jones currently up 2.4% and the S&P500 up 2.7%.

    As I've said before, it's very hard to time the markets. Best just to ride it out & wait for the gains to come along again. 
    I timed it very nicely, thanks :-)

    The Jackson Hole announcement was the time to dip out of the market, as I said at the time.  And last week was the time to get back in, for a short while.

    But you're right, not generally a good idea to time markets.  

    But this is a bear market and if I were looking to enter the market, I would be drip feeding in.
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    Jon_CAFC_ said:
    Why does the solicitor have to sell the shares?
    Can't you sign an indemnity or some such and instruct him not to sell the shares?
    You could then deal with this at your leisure?
    I was under the impression that unless specifically identified within the Will, like family watch or House etc, all Assets are liquidated. As bank accounts closed, insurances claimed and investments moved to cash. Found this on Web

    Do you have to sell shares when someone dies?
    If someone owned shares at the time that they died, then these will be included as part of their estate and they will need to be sold or transferred as part of the estate administration.

    However, this should not hold up the estate being paid out. Whilst issues remain outstanding, interim payments can be made. 
    Thanks Ralph, they passed without a will and the solicitor has made interim payments over a period of nearly three years from the date of probate with the remaining seemingly hinging on this final sale after they gathered the certificates and other proofs.

    they seem to want to conclude the sale of this holding to close the estate fully and have prepared accounts 

    the info I’ve been given has been wholly patchy so just trying to help move things along as seems a weird situation to get stuck on for the last 6 months or so
    I don't understand why he has been having difficulty selling them if he has the cetificate and probate. Bank of Ireland is a quoted company in both London and Dublin. Shouldn't be a problem
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    Jon_CAFC_ if the shareholding holds so little value, what actually is the value?
    How many shares are there to sell?
    Would the proceeds be swallowed up by the cost of sale?
    If it's a trifling amount, as I said earlier, can't the beneficiaries sign a disclaimer or indemnity or such like?
    Ask the solicitor how to get round this, there must be an answer, you can't wait "forever".
    This is what I do and they've always had a solution, just never offered it until I asked/prompted them.
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    Rob7Lee said:
    Another green day for Ftse100… told ya it was the local bottom 
    But mate, it fell about another 3% after you called it! 😆 That may not sound like much for a cryptobro of course😉 
    I actually did dip in and buy yesterday, bundle of five equities with good income prospects, and just for once I timed it nicely. But I’m old enough to know that this time next week they can be back in red numbers - more idiocy from Truss, Putin dropping something nasty, Credit Suisse rumours having legs….
    How's DLG doing  ;)
    Stellar start, in profit in 24 hours even after fees and stamp duty. But has of course given up a bit so far this morning as have the main UK indices. Clown shows are not good for stocks ;) 
    I bought some L&G at the same time. As a biz I feel more comfortable with it than DLG, but it is more exposed to the pension issue, so it will be interesting to compare how they do. Currently L&G has given up more this morning. Clearly the teenage traders dont have the benefit of @Dippenhall wise counsel 😉
    L&G are the main players as counter-party to pension funds wanting to hedge against interest rate volatility.  They caused the panic themselves by calling for pension funds to cough up immediately with additional collateral to cover the sudden exposure L&G had as the gilt price rapidly fell and went screaming to the B of E fearing pension funds might not immediately have the cash they needed.  With hindsight, and what they seem now to be doing, going by their messages, is to give some breathing space to allow an orderly sale by pension funds of the surplus assets they hold or re-arrange the collateral terms, there was never a risk pension funds didn't have the assets to pay.  They are strong enough in capital reserves to cover short term cash needed to cover their positions in the market rather than make pension funds forced sellers and worsen the position for L&G, the biggest players in the gilt market. 

    A small pension fund I know well that hedged 80% of interest rate volatility saw its assets fall in value from £50m to £35m.  Its liabilities also fell by £35m so nothing changed, and is still 100% funded - such is the smoke and mirrors of pension funding.


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    FTSE 100 back below 7000…..
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    FTSE 100 back below 7000…..
    DLG Stil climbing though  ;)
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    FTSE 100 back below 7000…..
    It’s not looking good bruv 
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    It's got a couple more weeks of BOE intervention to go before we can see if things have stabilised. Once the BOE stop their QE we can then see where we stand. Imho lenders base rates don't reflect the true situation & if the BOE raise interest rates in line with their stated policy then hopefully mortgage rates will begin to fall back a bit next year. A 2 year fixed at 5% is not a true reflection on overall lending - esp when the base rate is 2.25%. 

    Hopefully this will then settle the market & growth can begin (again). 
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    Mortgage Update.

    The Halifax (one of the biggets & well know lenders in the UK) have just released their new rates starting Monday

    2 year fixed START at 6.19% (up to 60% LTV) and go up to 6.59% (for 90%)
    5 year fixed are lower at 5.74% and go up to 6.15%.

    just remind me what the BOE base rate is.........oh that's right, 2.25%.

    Anyone not securing a mortgage deal/offer before the start of this month is now royally screwed. 
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    1 x £100 and 1 x £50 on the PBs this month. Think that’s the first time I’ve managed a £100 ☺️
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    My two year fixed rate but no has just ended and I’m looking for a one or two year one with monthly interest paid. Having trouble finding one ! Any ideas?
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    My two year fixed rate but no has just ended and I’m looking for a one or two year one with monthly interest paid. Having trouble finding one ! Any ideas?
    Nationwide has just issued some very good rates. I got 4% for 1 year fixed. However I don't think there was option of monthly interest. 
    The other option for year is to keep back enough for interest. Example. Lets say you had £10,000 to invest, at 4% invest interest would be £400. So invest £9,600 instead at the 4% and you could use the £400 for your monthly needs. 
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    Rising interest rates will bring about in new problem for many people. since 6/4/16 interest has not been deducted at source. A basic rate tax payer can earn £1,000 interest before they start paying tax, £500 for higher rate payer. When interest rates were measley this wasn't an issue for many. As interest rates rise it becomes more so. To earn £1,000 at 4% you only have to invest £25,000; compared to £100,000 at 1%. The onus is on the taxpayer to declare it and complete a tax return. Penalties could arise for non compliance. 
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    My two year fixed rate but no has just ended and I’m looking for a one or two year one with monthly interest paid. Having trouble finding one ! Any ideas?
    Not quite sure what you mean by 'monthly interest paid'? Lots of 1 & 2 year mortgages out there.
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    Rob7Lee said:
    My two year fixed rate but no has just ended and I’m looking for a one or two year one with monthly interest paid. Having trouble finding one ! Any ideas?
    Not quite sure what you mean by 'monthly interest paid'? Lots of 1 & 2 year mortgages out there.
    This is a question about savings and not mortgage rates
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    The 4.2% one year bond rate offered by @bobmunro Secure Trust has already been withdrawn. Pity, nice clean and simple website. Might move some easy access cash there in the meantime, they offer 2% compared with Chase 1.5% and NSI 1.2%
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    wwaddick said:
    Thanks, I had a look at the reviews for Charter and they don’t seem great. Not a bad rate though!
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    Rob7Lee said:
    My two year fixed rate but no has just ended and I’m looking for a one or two year one with monthly interest paid. Having trouble finding one ! Any ideas?
    Not quite sure what you mean by 'monthly interest paid'? Lots of 1 & 2 year mortgages out there.
    I’m after savings bonds. I need as much as poss from savings I have as I live off them.
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    Rob7Lee said:
    My two year fixed rate but no has just ended and I’m looking for a one or two year one with monthly interest paid. Having trouble finding one ! Any ideas?
    Not quite sure what you mean by 'monthly interest paid'? Lots of 1 & 2 year mortgages out there.
    I’m after savings bonds. I need as much as poss from savings I have as I live off them.
    It doesn't matter if there is monthly interest paid. If not just make monthly withdrawals in any case if the account allows unlimited withdrawals. 
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    Rob7Lee said:
    My two year fixed rate but no has just ended and I’m looking for a one or two year one with monthly interest paid. Having trouble finding one ! Any ideas?
    Not quite sure what you mean by 'monthly interest paid'? Lots of 1 & 2 year mortgages out there.
    I’m after savings bonds. I need as much as poss from savings I have as I live off them.
    It doesn't matter if there is monthly interest paid. If not just make monthly withdrawals in any case if the account allows unlimited withdrawals. 
    Sure, but I’m hoping to get better interest rates by tying it up for a year or two. 
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    edited October 2022
    Rob7Lee said:
    My two year fixed rate but no has just ended and I’m looking for a one or two year one with monthly interest paid. Having trouble finding one ! Any ideas?
    Not quite sure what you mean by 'monthly interest paid'? Lots of 1 & 2 year mortgages out there.
    I’m after savings bonds. I need as much as poss from savings I have as I live off them.
    There are other ways of securing monthly income. Might mean investing the money but there are investments that have guarantees built in or with-profit Bonds that can give you 4%-5% return and cam be taken monthly. This could also be tax free if you are not a 40% tax payer. 
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    Rob7Lee said:
    My two year fixed rate but no has just ended and I’m looking for a one or two year one with monthly interest paid. Having trouble finding one ! Any ideas?
    Not quite sure what you mean by 'monthly interest paid'? Lots of 1 & 2 year mortgages out there.
    I’m after savings bonds. I need as much as poss from savings I have as I live off them.
    There are other ways of securing monthly income. Might mean investing the money but there are investments that have guarantees built in or with-profit Bonds that can give you 4%-5% return. This could also be tax free if you are not a 40% tax payer. 

    thanks , i already have a reasonable amount of my total money in investments so like to mix it up
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    wwaddick said:
    Thanks, I had a look at the reviews for Charter and they don’t seem great. Not a bad rate though!
    I have had money with them for several years. Their web system is a bit clunky, but I can’t think of much else to criticise them for. 
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    Mortgage Update.

    The Halifax (one of the biggets & well know lenders in the UK) have just released their new rates starting Monday

    2 year fixed START at 6.19% (up to 60% LTV) and go up to 6.59% (for 90%)
    5 year fixed are lower at 5.74% and go up to 6.15%.

    just remind me what the BOE base rate is.........oh that's right, 2.25%.

    Anyone not securing a mortgage deal/offer before the start of this month is now royally screwed. 

    A fixed rate mortgage would surely be correlated with the forward looking SWAP market and not the point in time BoE Base Rate market.  2 yr SWAP is about 5.5% so a mortgage of 6.19% is not a huge margin to a lender.

    Given the market expects rates to peak and fall back then the 5yr rate is cheaper in line with the inverted curve of the swap market.


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    Pensions crisis - What crisis?

    From Reuters:

    The BoE has so far offered to buy up to 40 billion pounds' worth of gilts but has only bought about 5 billion pounds.

    So much for "bailing out" pension funds to the tune of £65bn
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    Pensions crisis - What crisis?

    From Reuters:

    The BoE has so far offered to buy up to 40 billion pounds' worth of gilts but has only bought about 5 billion pounds.

    So much for "bailing out" pension funds to the tune of £65bn
    Again I dont remotely challenge your overall superior knowledge of the underlying issues, but again the noise from the BoE this morning doesnt sound reassuring to me. After establishing that Amol Rajan was not presenting I listened to the Today prog who offered several knowledgeable commentators, including an ex BoE board member. The consensus seems to be that 1) the markets dont buy the KamiKwazi package, and will not until full workings are provided- and that ińcludes specifics on exactly where the inevitable budget savings will be found. 2) the markets didnt like the time limit the BoE put on the initial support package, hence its panic button pressing this morning.

    I don’t like the look of Bailey at all. I would sack him and bring in another “foreign coach”. The most obvious candidate would be Mario -whatever it takes - Draghi😉
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    i agree re Bailey. 
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