To invest or not?

sombaht

Recently been made redundant and am looking at investing some of the redundancy payment. After clearing existing debts, I have appoximately €20,000 to invest. My bank (Halifax) is pushing their own saver accounts as a means of investing the cash but I was wondering would it be better to invest in some funds similar to those on offer from Quinn or Rabo, either as one lump sum or say €100 a month. I was also interested in an investment on offer from Greenwood Management http://www.greenwood-management.com/eucalyptus_ebrochure.htm

I know that to see any decent return on either funds or investment opportunities like the above I would be looking at 8/10+ years.

Would it be better to just stick with a savings a/c where I have access to the cash as and when I need it?

Thanks for any advice,
sombaht

Mort5000

sombaht wrote: »

Recently been made redundant ...

For me, this would entirely depend on whether you have another source of income now.
If you have a new job, invest away, otherwise I'd keep that money rather liquid until your income settles down.

sombaht

Mort,
Well other than JSB and what my wife is earning part-time at the moment, there is no other source of income. Mortgage is relatively small (€600) and there are no car loans or CC debts.

Regards,
sombaht

Mort5000

Hi Sombaht,

I'm the cautious type, so I'd keep it as close to cash as possible.
7 day call account would be fine (for me).

I'd consider the 'being redundant' phase of my life to be a temporary stage, and as such, would not be trying to make decisions on long term aspects.
I'd wait until I was working again. Then review my expenses and income and then decide where to invest the excess capital.

That is, however, just cautious me

Lexus1976

Mort5000 wrote: »

Hi Sombaht,

I'm the cautious type, so I'd keep it as close to cash as possible.
7 day call account would be fine (for me).

I'd consider the 'being redundant' phase of my life to be a temporary stage, and as such, would not be trying to make decisions on long term aspects.
I'd wait until I was working again. Then review my expenses and income and then decide where to invest the excess capital.

That is, however, just cautious me

Great post!

displaced dub

wait till you situation settles and you have a new income stream.

€20k, although nice to have is not a massive amount of money, in your case 2 years mortgage at present rates and you can be sure they will rise again soon as recovery picks up pace.

I know you don't seem to have any real debts outside your mortgage but when you think of ESB, Gas TV etc they all add up big time.

So hang on and keep the €20k somewhere that it can be accessed reasonably quickly... a 7 day account sounds good to me.

Also redundancy is an opportunity... i know it sounds crazy but you will come back stronger from it.

tolkarovers

put 15k into eSaver plus account with ulster bank and keep the balance in halifax flexisaver. You'd be surprised how tempting a new xbox or ps3 will get

Andymfinancial

as a cautious investment the BCP Split Deposit Bond has an excellent track record. You can download a brochure from their website. They specialise in guaranteed investments. They deal exclusively with brokers. The brochure states 6% return, however you can obtain 8%. Message me if you require more details.

Speculator

Andymfinancial wrote: »

as a cautious investment the BCP Split Deposit Bond has an excellent track record. You can download a brochure from their website. They specialise in guaranteed investments. They deal exclusively with brokers. The brochure states 6% return, however you can obtain 8%. Message me if you require more details.

I dont think you should be spamming this board with your sales pitch, looking for clients.

Raskolnikov

With regards to Quinn/Rabo and all the other "mutual funds", I had this to say about them in another thread.

I have no idea why people love the Quinn Life funds so much. I looked at the performance of their US, Irish, European and Japanese funds and they've ALL underperformed the indexes over the long-term.

It's disgusting that clowns like Quinn are raking in fees with such awful performance.

To me at least, it sounds like your best bet is to stick with a simple deposit account. Irish Nationwide are giving a guaranteed 3.75% gross here. Considering we're in a deflationary environment, you could be looking at a ~5% real return a year. Not too shoddy for sitting on your arse and sleeping easy at night.