29 year old needs advice for investing

jimm88

Hi Folks ,


I am in dire need of starting to set up an i investment account, i have looked all over the place and can't seem to find any product that relates to my situation.


I need to start investing asap and realize i may have left it late in regards to benefiting from compound interest but i'm willing to get started right away, but unfortunately i can't seem to find any company that will allow me to set up a managed investment account that allows me to invest on a monthly basis they're all looking for lump sums and I'm hoping someone on here can point me in the right direction.


I would have no problem investing a lump sum but i used it to buy property 3 years ago and now i don't have any impressive savings.


My aim is to invest roughly 500e per month into a fund/product for the next 5 years then re assess in 2020 , i will be willing to invest more provided what my salary and living expenses are then. I have a pension from work which was started 6 years ago but i want to go my own way and invest my own money each month ,not expecting huge gains but over time i would like to see some return obviously i am starting a bit late and should've got the ball rolling a decade ago but hey better late than never, just hope one of you guru's can steer me down the right path or just post a link

Any help would be much appreciated




Thanks in advance

Frogdog

Well if it's a small regular amount each month you want to invest, and you're looking at funds, then maybe the Rabo funds might be the way to go? I think Rabodirect.ie is the website. They have a huge range of funds to choose from, just be wary of the fees - entry fees, exit fees and the funds' management fees.

arrowloopboy

Your pension should be flying if it was started 6yrs ago in 09 ,have a look a Davy select,might suite you ,I havn't ,so do know much about it.

Cyclonius

I had a look at the Rabo funds recently, and they didn't look too bad. I haven't looked at Davy recently, but remember that the fees didn't look fantastic the last time I checked. From the general tone of responses in various threads I get the impression that not much has changed.

You could also decide to go down the route of choosing your own shares to purchase; I find the Motley Fool to be an excellent source of stock recommendations. You can view most of their materials for free, including introductory guides to buying shares, company news and informaion, etc.; they also have premium services, such as their Stock Advisor newsletter, which gives a number of recommendations each month.

In terms of brokers, I personally use Saxo in the UK, and find them good. Their trading fees are decent, and they have good customer service. There might be a couple of issues though: they currently have inactivity fees per quarter (£25) if you don't place a trade within that quarter, and charge €5 per month in account maintenance fees. You also need £6,000 or £6,500 to open an account with them (though someone in this thread was let open an account with €2,000). Other people here have been using TD Direct Investing; people have had quite a few problems in opening accounts with them, but they require less capital to open an account with, and I believe they don't have inactivity fees once you have €4,000 to €5,000 with them.

elgriff

Go with Rabo and invest only in Index funds. Google why index funds are better than managed funds

deputy_major

the exit fee for those rabbo funds is 1.5% and the anual mangment fees are usually around the same

the same returns should be achieved from an etf which tracks the likes of the S+P , vanguard offer those in dollars for 0.05% per anum ( no exit fee ) and you can buy them euro denominated with fees of 0.09 % per anum

no matter how i look at it , i cant see how the rabbo funds are a more attractive bet ?

hfallada

deputy_major wrote: »

the exit fee for those rabbo funds is 1.5% and the anual mangment fees are usually around the same

the same returns should be achieved from an etf which tracks the likes of the S+P , vanguard offer those in dollars for 0.05% per anum ( no exit fee ) and you can buy them euro denominated with fees of 0.09 % per anum

no matter how i look at it , i cant see how the rabbo funds are a more attractive bet ?

Vanguard are considered the best. They offer the most solid return over time

topper_harley2

I thought you needed 100K to invest with Vanguard? Or is that to deal with them directly?

robp

topper_harley2 wrote: »

I thought you needed 100K to invest with Vanguard? Or is that to deal with them directly?

Its very straight forward to buy Vanguard through a broker with more average sums. The problem is many of their products are traded in the US and in dollars which creates some tax complications and currency expenses and secondly in Ireland funds are taxed under a pretty difficult tax regime.

Blacktie.

Don't forget the exit fee of 41% (I think) on any profits when you withdraw for ETFs

Lombardo86

So is the concensus for a casual monthly sum investor to go via rabo/irish life with one of their funds?

Quite hard for me to decide where to start.

phantom_lord

Is there any PRSA's that will allow you to use Vanguard?

Ace2007

If you are saving for your retirement the most tax efficient way to do it would be the max out your AVC's. I assume your in a DC scheme since you started it 6 years ago - and therefore you control how you want it invested - i.e. high risk/low risk etc.

Frogdog

phantom_lord wrote: »

Is there any PRSA's that will allow you to use Vanguard?

Merrion Stockbrokers do a self directed PRSA which allows you to invest in Vanguard. Total fees, including Vanguard's portion, comes to around 0.5% a year. You'll have to go through certain financial advisors to get that rate though.

lcwill

Vanguard also do many index based etfs which you can buy through any broker and which also have very low fees (0.1 to 0.25%). This is the best way to start investing outside your pension. Make sure your broker fees are minimal too and avoid any that charge annual account fees which are a percentage of your portfolio.

plasmin

Keytrade seems to offer Vanguard ETFs that are domiciled in Ireland.
Keytrade have low fee structure and I am currently trying demo account.
I am not sure of tax implications on these ETFs

topper_harley2

cais wrote: »

Keytrade seems to offer Vanguard ETFs that are domiciled in Ireland.
Keytrade have low fee structure and I am currently trying demo account.
I am not sure of tax implications on these ETFs

I had a thread on this last week, and askaboutmoney has similar, easy to find the tax info if you search