Just been made redundant!

Spud Smith

Just been made redundant and given a 20,000 pay off any ideas on a safe investment with high returns??

RoadKillTs

Just been made redundant and given a 20,000 pay off any ideas on a safe investment with high returns??

Well it depends. Will you need access to the money in the near future?

My advice would be to put it into a savings account.
Have a read here for the best lump sum deposit accounts.

Bringthethunder

Go to Vegas and put it all on red........

pirelli

Spud Smith wrote: »

Just been made redundant and given a 20,000 pay off any ideas on a safe investment with high returns??

Wow, how many years did you have with your employer.?

That's pretty good now a days. The last crowd I worked with only gave you 6 weeks up front and 2 weeks for every year at the company.

As for investing the most likely answer you will find will be to find a top performing ETF or mutual fund. In fact (TV) Bloombergs 'Stock Take' discussed which funds were the best performing. I could get the names of the ones they picked if you like.

A Fund will track a portfolio of the best performing companies. Some of the best performing stocks are highly expensive over $100,000 a share and one important advantage of a fund is they can afford the very best stocks.


You could build your own portfolio or you could day trade. Day trading can make you alot of money but can also be very risky.But if your disciplined and follow your own set of rules rigidly then you should perhaps avoid some mistakes and make some money.

Day Trading entails getting a broker account, you must have $25,000 dollars to day trade. You can trade with less but its more restricted. The minimum is $2000.

You can buy and sell during market hours and depending on the account after also and you also get a Margin. If say you have 12,000 in your account and you buy 12,000 dollars of Apple shares for earnings week and you also want to buy 12,000 google shares at during that time. You can use your margin to do that. Basically your broker will acknowledge the equity you have on your portfolio as money. This allows you to have twice the buying power and this can be very lucrative if you have two good trades. Also say Apple drops a $1 and you don't want to take the loss, you can wait and trade with your margin until apple recovers and your happy to sell.

Margin calls have an annual interest rate but its relatively moderate.

Spud Smith

RoadKillTs wrote: »

Well it depends. Will you need access to the money in the near future?

No, but thanks for the link RoadKillTs.

Spud Smith

pirelli wrote: »

Wow, how many years did you have with your employer.?

That's pretty good now a days. The last crowd I worked with only gave you 6 weeks up front and 2 weeks for every year at the company.

12 Years and it was very much similar to your 2 weeks and notice period pay off.
Still i feel its not a secure amount to feel confident in sitting back for a while, so its my intention to make it work. Your information has got me thinking and i might raise my risk to medium and look into playing the markets, thanks pirelli.

Raskolnikov

If you're not 100% sure you want to expose your capital to risk, would you consider an ordinary savings account?

http://www.askaboutmoney.com/showthread.php?t=101813

damnyanks

If you are looking for high returns I am sure you are aware of the possibility of high losses. Managed funds have been pulled constantly all year. They don't really perform. Portolio management in total never passes the same gains you'd make on an S&P index.

IF I were clueless I'd really be looking to talk to someone who you can build a relationship up with.

Ideally though, if you are ignorant about your options I'd be investing in med - long term bonds. Return isnt as much but its guaranteed.

Spud Smith

Raskolnikov wrote: »

If you're not 100% sure you want to expose your capital to risk, would you consider an ordinary savings account?

Thanks Raskolnikov i think i might take Damnyanks advice and speak to someone, as ignorant as i maybe in relation to investment, i get the impression ordinary savings accounts these days are not safe.

However i may put a precentage into shares as i have been reading about Dunquin gas and oil prospect and may look to buy shares in one of the exploration or production companys that have shares in the license as a commitment to a second phase of exploration has been stated. I will start a thread on direction/ info separately on this.

Raskolnikov

Spud Smith wrote: »

Thanks Raskolnikov i think i might take Damnyanks advice and speak to someone, as ignorant as i maybe in relation to investment, i get the impression ordinary savings accounts these days are not safe.

Be extremely careful. If you walk into most financial institutions looking for financial advice, you'll be passed on to the first salesperson they find. Instead of selling you a product that most suits your needs; they're more likely to sell you something that'll get them the biggest commission.

As for the safety of deposits; all deposits are guaranteed by the Irish government. The day that the Irish government is unable to guarantee your deposits is the day that the financial system completely collapses and your money and investments are probably worthless anyway.

In this deflationary environment, I think the guaranteed ~4% is an excellent return for even a seasoned investor.

waza123

..

pirelli wrote: »

Wow, how many years did you have with your employer.?

That's pretty good now a days. The last crowd I worked with only gave you 6 weeks up front and 2 weeks for every year at the company.

As for investing the most likely answer you will find will be to find a top performing ETF or mutual fund. In fact (TV) Bloombergs 'Stock Take' discussed which funds were the best performing. I could get the names of the ones they picked if you like.

A Fund will track a portfolio of the best performing companies. Some of the best performing stocks are highly expensive over $100,000 a share and one important advantage of a fund is they can afford the very best stocks.


You could build your own portfolio or you could day trade. Day trading can make you alot of money but can also be very risky.But if your disciplined and follow your own set of rules rigidly then you should perhaps avoid some mistakes and make some money.

Day Trading entails getting a broker account, you must have $25,000 dollars to day trade. You can trade with less but its more restricted. The minimum is $2000.

You can buy and sell during market hours and depending on the account after also and you also get a Margin. If say you have 12,000 in your account and you buy 12,000 dollars of Apple shares for earnings week and you also want to buy 12,000 google shares at during that time. You can use your margin to do that. Basically your broker will acknowledge the equity you have on your portfolio as money. This allows you to have twice the buying power and this can be very lucrative if you have two good trades. Also say Apple drops a $1 and you don't want to take the loss, you can wait and trade with your margin until apple recovers and your happy to sell.

Margin calls have an annual interest rate but its relatively moderate.

damnyanks

You should be going to an indepentent financial adviser not a broker or bank. Oil and gas exploration companies are risky. If it pays off great, if not then bye bye.

Your money is safe in a savings account. Especially if its 20k.

Raskolnikov

damnyanks wrote: »

You should be going to an indepentent financial adviser not a broker or bank.

If you're willing to do your own research, you can save yourself several hundred Euro.

damnyanks

Yes but the original poster has done some research and its very much wrong. THerefore he could save a couple of thousand euro by going to one

Spud Smith

Thanks , some very sound advice. I think in this climate the deposit account is the safest and most positive advice, thanks again.