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Advice Needed. Novice Investment with Regular Investment Account

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  • 28-05-2019 11:47pm
    #1
    JMU7
    Registered Users Posts: 1 ✭


    The book 'I will teach you to be reach' has spurred me to try and get my finances in order. I can afford to save roughly 150e a month, maybe 200 and I am considering putting this into the AIB regular invest account. I have seen some threads discuss this when talking about large lump sums and how much of a rip off it is however, with only 150-200e a month to invest, I would like to see passive growth than have my savings waste away in a credut union / savings account.

    Does anybody have advice as to whether the AIB or any banks 'regular invest accounts' are decent for the novice investor? Im really trying but the jargon and the tax confuse the bejaysus out of me.
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    #2
    The J Stands for Jay
    Registered Users Posts: 5,651 ✭✭✭The J Stands for Jay


    JMU7 wrote: »
    The book 'I will teach you to be reach' has spurred me to try and get my finances in order. I can afford to save roughly 150e a month, maybe 200 and I am considering putting this into the AIB regular invest account. I have seen some threads discuss this when talking about large lump sums and how much of a rip off it is however, with only 150-200e a month to invest, I would like to see passive growth than have my savings waste away in a credut union / savings account.

    Does anybody have advice as to whether the AIB or any banks 'regular invest accounts' are decent for the novice investor? Im really trying but the jargon and the tax confuse the bejaysus out of me.

    Stay away from all the banks.


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    #3
    Jim2007
    Moderators, Business & Finance Moderators Posts: 9,989 Mod ✭✭✭✭Jim2007


    JMU7 wrote: »
    I would like to see passive growth than have my savings waste away in a credut union / savings account.

    First of all, your money is not wasting any in a bank account. This is only marketing BS coming from the banks and sundry investment organisations. It is true that interest rates are low or non existent, but so in inflation, so your purchasing power is not in anyway being dramatically reduced.

    The second thing to understand that banks are just about the same as car dealerships, they'll sell you whatever is on their lot, but that is it. So their so called advisers are basically car salesmen.
    JMU7 wrote: »
    Does anybody have advice as to whether the AIB or any banks 'regular invest accounts' are decent for the novice investor?

    These kind of account are from the banks point of view intended to hover up fees from people they would not normally get fees from. I doubt very much the are of benefit from anyone but the banks...
    JMU7 wrote: »
    I can afford to save roughly 150e a month, maybe 200

    This is simple too small an amount to try and pump into investments on a monthly basis. You would be much better of accumulating it until you have say 3k or so and then make a single investment as it will keep fees low.


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    #4
    Jaspoon12
    Registered Users Posts: 23 ✭Jaspoon12


    Thanks Jim. I realise the book I'm reading and alot of advice k come across is from an American perspective and does as easily translate across the pond.

    As foolish as I may be, the idea of compound interest adding to monthly investments with the advice of the later you start the more you will regret has just spurred me to look into this more.

    Can you offer any advice or company to go say when I do manage to save up a couple of k to invest in a lump sum then?


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    #5
    Condatis
    Registered Users Posts: 651 ✭✭✭Condatis


    KBC will pay 2% for regular investment of €100 or more.


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