Any thoughts on long term investment

valoren

You could invest it long term in AT&T.
6%+ dividend yield and a very low Beta.
Reinvest the dividend every 3 months.
Like having cash in the bank effectively and an inflation beater.

https://seekingalpha.com/article/4199375-young-investors-need-stock-like-and-t

Squozen

Skelet0n wrote: »

12 months is much too short for an ETF I would say.

Tax is due at 8 years or upon realisation of gains.

I agree about the length of time but I had the money for a deposit back in January and the banks refused to talk to me as I’m working on a rolling contract and they insist I do it for three years before they’ll lend me money, despite the mortgage payment being only 60% of my monthly rent. So I figured ‘sod ‘em’ and put half of my savings into stocks for a year and it’s working out so far. I’m far enough ahead to have stop limit orders set to protect my profit.

In the wind

LunAtlFringe wrote: »

Would suggest it might be worth looking at some UK Investment Trusts due to the more favourable tax treatment if it is going to be a long term investment (33% CGT at sale rather than 41% exit tax with 8y deemed disposal, no offsetting losses). There are a lot to choose from with different flavours of investments. They cost a bit more than an ETF but they can also provide more protection in a bad market depending on what they are investing in.

http://tools.morningstar.co.uk/uk/cefscreener/results.aspx?LanguageId=en-GB&Universe=CEEXG%24XLON&CurrencyId=GBP&URLKey=t92wz0sj7c&Site=UK

Regarding the 8 year deemed disposal mentioned above...let's say I become tax resident in Ireland on 05Jun2019 & I bought my OEIC holdings 3 years ago. Does the 8 year clock start ticking from the date of purchase when i was tax resident elsewhere or does the clock start ticking from the day I became tax resident in Ireland? As if it's not complex enough already. :rolleyes:

Appreciate expertise here.

In the wind

Actually come to think of it the clock could be reset to zero by selling & repurchasing immediately before becoming tax resident.

Dual wheels

Shai wrote: »

Couple of things:

- this fund is a massive rip-off. It's a passively managed fund with a 1.67% expense ratio if held for 7 years and 7.61% expense ratio if held for 1 year. These numbers are insanely bad. The VTI etf has a flat expense ratio of 0.04% per year.

- VTI is an ETF that invests into the total US Stock Market. Unfortunately because of legislation that became active at the start of this year, it is no longer being offered by DeGiro. Although it is possible to get an account with a US stock broker (like firstrade.com) and buy VTI shares through that. Keep in mind that you will incur wire transfer fees when dealing with US brokers ($25 per transfer), so you would want to transfer sufficiently large amounts so as to keep the number of transfers down. Furthermore, there is a $50 charge for withdrawing money from this broker, so this would very much be for long-term investments only.

- the closest thing that DeGiro has to a VTI replacement is the VUSD etf. Both VTI and VUSD are owned by the same company (Vanguard) which has a very very solid reputation. Having said that, VUSD has a 0.07% expense ratio, and unlike VTI - which invests in the total US market - it only invests in the S&P500 (which really isn't that big of a difference).

Now, VUSD is what's called a UCITS etf, which means it is compliant with certain aspects of EU legislation that non-UCITS etfs aren't. This is also the reason why the expense ratio is slightly higher, as well as why DeGiro can offer it. However, UCITS etfs are taxed less favourably than non-UCITS etfs. A thread about this can be found at https://www.boards.ie/vbulletin/showthread.php?t=2057822332.

Anyways, sorry for the info dump, but that's a bit of background you might find handy when you find yourself trying to figure out what a lot of EU investors have been talking about the last few months. Best of luck!

As a long term option say putting 10k into this and leaving it for 15/20 years ballpark what would it be worth then?