Call it what you will. "Taking a punt" on an aul share or two. I love taking a punt on a share (or a fund or whatevs) and on lots of other things.
Case study Money Makeover: Pimp My Money!
- Thread starter masterboy123
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Steven Barrett
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Investing is the opposite of gambling. With gambling, you have a higher chance of winning in the short term and losing all your money in the long term. With investing, the longer you hold your money, the lower the chance of you losing.
Of course, you can always speculate on shares, which isn't investing.
Already did, couldn't find anything near 2.5% with instant access. That's why I asked for a link.
Took me approximately 4.5 seconds to find the link below through google.
1st rate on the list is 2.55%
Happy depositing!
Deposit accounts for Irish savers: up to 3.50% AER | Raisin Bank
Compare deposit accounts ► High interest rates ► Savings up to €100,000 protected ✅ Open a free European savings account with Raisin Bank today!
www.raisin.ie
They're all fixed term rather than instant access/demand deposit accounts.Took me approximately 4.5 seconds to find the link below through google.
1st rate on the list is 2.55%
Happy depositing!
Deposit accounts for Irish savers: up to 3.50% AER | Raisin Bank
Compare deposit accounts ► High interest rates ► Savings up to €100,000 protected ✅ Open a free European savings account with Raisin Bank today!
As NoRegrets says serious illness cover.
After that its all about the next house. Both as a home and as a good use of your money.
With a 5 year timeframe the best way to position yourself for that is to pay down the mortgage. 5 years is too short a period to invest in shares IF you are risk adverse. Very probably a 5 year investment in shares would pay off handsomely, but you say you are risk adverse.
After that its all about the next house. Both as a home and as a good use of your money.
With a 5 year timeframe the best way to position yourself for that is to pay down the mortgage. 5 years is too short a period to invest in shares IF you are risk adverse. Very probably a 5 year investment in shares would pay off handsomely, but you say you are risk adverse.
Theyre a mix of fixed term from 6 minth out to 5 yrs or so and they also have easy access at good rates where, if you w/d before the term, you lose the interest.
Again, just highlighting this as an option for people.
So not 2.5% with instant access
More like completely misleading people.
losttheplot
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You can get 2.83% for 5yrs with Easy Access. Easy access means you can withdraw the money before the 5yr term ends, but you forfeit the interest. 3.15% for 5yrs without Easy access.
There are options for terms of 6months upwards.
www.raisin.ie
There are options for terms of 6months upwards.
www.raisin.ie
3.02% as of today if left in for 3 yrs.
I went for a 1 yr easy access at 2.55%. Of course i take my cash out i dont get the interest but i plan to leave it there for the yr.
A good risk free return for the time being imo.
Inflation is c. 9%+. Just saying.
Your risk free option is losing you c. 7% p.a.
By that measure, global equities are down by c. 18% YTD in euro terms. Growth assets are equally impacted by inflation.
Is this correct? It seems low for your profession and marital status. What is the gross figure? Are you jointly assessed?
These statements are at odds with each other. If you are risk averse then why do you have any crypto at all?
You need to sit down and really think about this. What kind of emergency do you foresee that requires €100k at the drop of a hat? Keeping this amount in cash probably only makes sense if you plan to trade up your PPR in the very near future but you've mentioned that this is probably unlikely until you have settled in a more permanent role and know your location. It's also worth noting that from January the central bank rules on LTI are changing so you only need 10% as a second time buyer.
You should be able to knock €60-70k off your mortgage tomorrow and then rebuild your cash fund with a plan in place to buy your next property in 3-5 years. Personally I think this is the best zero risk return that you are looking for and would allow you to buy a new PPR and move in before selling your current PPR.
This is probably your best approach but ensure that you find a fee based advisor and not a commission based advisor
Realistically you are going to have a high income for most of your career and your pension will be well looked after. The only real risk to your lifestyle is if you were unable to work so income protection is worth considering as a single income family.
Yes, you can always make the argument for or against equities by carefully choosing the starting date.
Did you not do the same thing in giving your real return figure for cash?Yes, you can always make the argument for or against equities by carefully choosing the starting date.
I’m not trying to make an argument against investing in equities - I’m simply pointing out that the real return on equities is not magically immune from inflation.
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masterboy123
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Yes, it's correct. Gross figure is €80000 annually plus few night shifts (twice a month). Please note I am not a consultant. Yes, we are jointly assessed but I am the single earner in the family.
The crypto is just for fun. I just threw in few thousands (with a view it will be zero) during the covid days when I couldn't spend on anything or travel abroad.
I do like changing cars and electronics quite frequently. And having the cash ready gives me a great feeling that I can potentially buy a luxurious car on any day. I have never purchased a car on loan and won't do it in the future.
Another hobby is to travel around the world and need cash for that in the event something goes wrong when I am in a foreign country. Although I have a travel insurance in place always.
Overall, I agree that investment in home is the best option for me and perhaps getting another house after few years should be my goal.
I was making the point to another poster that their "risk free" deposit choice was anything but risk free as it was losing significant value in real terms.
Inflation has nothing to do with the risk-free rate of return.
Inflation reduces the real value of all assets. Specifically calling out the impact of inflation on cash is pointless.
NoRegretsCoyote
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But having this cash hanging around has a large opportunity cost.
At your income and mortgage level you will get car finance without trouble if you need it.