# where to invest now?



## thebos09 (6 Jan 2010)

Hi. Im looking for some advice and opinions. I have the most of my savings in post office bonds and some on deposit with ebs also as they had the best rate at the time. I have another roughly 10k to invest and deposit rates arent too attractive at the moment. was thinking of buying into an etf or possibly gold/silver. Dont know much about this kind of investment. I would be willing to go somewhere with moderate risk in order to get a decent return and I dont need the money in the short to medium term. Any advice??


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## beekeeper (6 Jan 2010)

My only advice to you is that youdont kow much about etf's, gold or silver stear clear as they are not for the faint hearted and both gold and silver are at extremely lofty levels. I would look for the best deposit rates and keep your money safe !!


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## nbaki82 (6 Jan 2010)

I think you should try some emerging market equities. Countries like Brazil, India, Russia, and China are posed to grow very rapidly. I suggest looking into RMG quoted on London Stock Exchange. This is a Russian internet and media group with very high potential. Also a company called WPR on London Stock Exchange will grow fast.


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## Chris (7 Jan 2010)

The best advise I can give is to not actively invest until you know what you are doing. There are plenty of books and free websites that explain what is involved and what can happen. Do not just blindly follw some advise or tips!!! 
Most people get stung when they start investing ebcause they haven't a clue what they are doing or what the risks are. Successful investment is not easy.


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## Marc (7 Jan 2010)

I agree with Chris on this one. 

[broken link removed] will take you to some research I have just completed into the subject of market timing and the studies into the general failure of the "financial experts" to accurately predict when and where to invest.

We always say investing is simple but it isn't easy to do.

What that means is that the general concepts of diversification and buying and holding an equity fund for the long term are easy to grasp.

However, many investors fail to DO this and become tossed about in a sea of predictions, fees, expenses and contract terms which are designed to confuse the unwary.

Do your homework to become a better investor before you part with your cash.

All the best,

[broken link removed]


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## Chris (7 Jan 2010)

Marc said:


> I agree with Chris on this one.
> 
> [broken link removed] will take you to some research I have just completed into the subject of market timing and the studies into the general failure of the "financial experts" to accurately predict when and where to invest.
> 
> ...



Interesting and concise article. I think this excerpt sums up the best advise for the OP:
"The underlying philosophy in all these options is that individual investors are making
decisions based on their own needs and risk appetites, not according to someone else's
opinion as to what the market does next. Uncertainty will always be an integral part of
investment (and life). But there are many things we can control."


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## george.shaw (13 Jan 2010)

The notion that gold and particularly silver is at extremely lofty levels is absurd.

When investing and saving it is absolutely crucial to adjust for inflation and gold today ($1,130/oz) emains less than half of its price in 1980 when adjusted for inflation ($2,300/oz).

Silver (at $18.42/oz) is even more undervalued and is less than half of its nominal price in 1980 ($50/oz). If one adjusts for inflation, silver reached a price high of $130/oz in 1980.


[SIZE=+0][broken link removed][/SIZE]
_SGS Inflation Adjusted Silver Price  (using more accurate government __methodology of measuring inflation that was used in 1980)


There can be no bubble in an asset class until it surpasses (sometimes by multiples) its previous cycle record high.

Prudent savers and investors should own some gold and silver to protect them from the incompetence of politicians internationally.  

_


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## anuj21k (13 Jan 2010)

Hi,

I will say a smart decision. But dont make any un-informed decision. Investing in shares-etf is high risk investment and it can go as much down as it can go up. Dont only look at the brighter side.

I have learnt it hard way...!!!!!!

What I will advise is get a membership to some investment site like 
Have a read through to their monthly share advise and make informed decision.
Whatever you do dont make any investment decision in rush, so you dont have to repent later.

Best of luck...


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## ringledman (13 Jan 2010)

thebos09 said:


> Hi. Im looking for some advice and opinions. I have the most of my savings in post office bonds and some on deposit with ebs also as they had the best rate at the time. I have another roughly 10k to invest and deposit rates arent too attractive at the moment. was thinking of buying into an etf or possibly gold/silver. Dont know much about this kind of investment. I would be willing to go somewhere with moderate risk in order to get a decent return and I dont need the money in the short to medium term. Any advice??


 
what is short to medium term? You need to define this as well as your attitude to risk. If you don't need the cash for at least 7 years + then personally I think equities are the place to be. A global fund that spreads the risk amongst many countries including many emerging markets is probably the place to start. I also think you should 'dollar cost average' and invest the cash over a number of months to smooth out any potential market falls. 

You also need to look at management costs. Anything over 1% is expensive. ETF's, index trackers and 'closed ended funds' are cheaper than mutual/unit funds.

Also you could look for a fund that invests in equities plus a small amount in other assets such as gold. 

When starting out in investing my opinion is to spread your risk and diversify. Start by holding cash, then look at equities and a small element of commodities (say 10%). Bonds I don't like, especially Western market bonds. 

The key is to diversify and build up a mixed bag of investments that are uncorrelated. Protection of your overall pot is what its all about IMO.

You can specialise into a few companies or sectors once you have firstly built up the diversified sums and then only speculate with money you can afford to lose. 

The best advise is your own. Read widely and not from only the broadsheets. The best advise is found by reading the FT and following those who speak their minds and have emperical knowledge of the markets dating back centuries, people like Marc Faber on youtube.


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## bullworth (13 Jan 2010)

Some general advice is dont put all your eggs in one basket. People invested for their retirement in bank shares for example believing them to be ''blue chip'' and secure. They thought bankers were conservative and didn't take ridiculous gambles. They lost most of their money. No matter how much information you have about one company theres always the possible its accounts are lying and there is some cover up or something the market is ignoring which isnt factored into the price .e.g Enron. Therefore diversifying your investments is as much about insuring yourself against what you  and any of your advisers don't know as about what you do know.
Secondly be careful  about the agenda of anyone giving you investment advice. Make sure that someone you might pay for advice is getting a flat fee no matter where you invest, is acting independently and is not getting any commission on your investment from elsewhere. With this in mind; diversifying your sources of advice is also insuring yourself against incompetency of advisers.


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## ringledman (13 Jan 2010)

bullworth said:


> Secondly be careful about the agenda of anyone giving you investment advice. Make sure that someone you might pay for advice is getting a flat fee no matter where you invest, is acting independently and is not getting any commission on your investment from elsewhere. With this in mind; diversifying your sources of advice is also insuring yourself against incompetency of advisers.


 
Are financial advisors still required in this day and age? Can they ever be truely independent? Can they suit the smally scale investor? i.e. do their fees justify their advice? 

Personally I feel anyone with an open mind who is willing to learn about investing on a daily basis from many truely different sources doesn't really need a financial advisor. Their ties are often to the funds who provide them with trailing fees rather than their so called client unfortunately. 

And yes I agree only ever take financial advice where it is a flat fee and they are providing independent advise on all that the market offers, not just the funds that they will make the most off.


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## mainasia (27 Jun 2011)

george.shaw said:


> The notion that gold and particularly silver is at extremely lofty levels is absurd.
> 
> When investing and saving it is absolutely crucial to adjust for inflation and gold today ($1,130/oz) emains less than half of its price in 1980 when adjusted for inflation ($2,300/oz).
> 
> ...


 

*Yes, but what happened after it hit those records is the problem, you had to hold on to them for decades to get your money back if you bought at the high!*


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## mainasia (27 Jun 2011)

anuj21k said:


> Hi,
> 
> I will say a smart decision. But dont make any un-informed decision. Investing in shares-etf is high risk investment and it can go as much down as it can go up. Dont only look at the brighter side.
> 
> ...


 
The Motleyfool is the worst type of site that I have come across, I just get e-mails from them plugging stocks everyday.


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## Happy Girl (28 Jun 2011)

mainasia said:


> the motleyfool is the worst type of site that i have come across, i just get e-mails from them plugging stocks everyday.


 
+1


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## mercman (28 Jun 2011)

mainasia said:


> The Motleyfool is the worst type of site that I have come across, I just get e-mails from them plugging stocks everyday.



Did you ever consider some of their tips hold some merit ? The best way to Invest in shares is to find a decent stockbroker, as well as purchasing the weekly magazines i.e. Investors Chronicle, to get a feel for what you intend to do.

There is no easy way to make money in shares. Prepare yourself for losses as well as gains.


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## forbes (29 Jun 2011)

Would agree about the Motley Fool. I do read a fair bit on their site but they do send out a lot of spammy mails.

 is a great site for learning about investing. (the right way)


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## camel (29 Jun 2011)

Happy Girl said:


> +1





mainasia said:


> The Motleyfool is the worst type of site that I have come across, I just get e-mails from them plugging stocks everyday.



-1.

It's the worst type of site you've come across!! Are you serious. You've obviously been surfing the web for about 5 minutes.

Don't judge a reputable investment advise service based on the quantity material you get emailed to you. It's what you signed up for if you put your email address in the box. Every commercial website will do the same thing if they get your details.

We're talking about investment here. If you don't like the emails, un-subscribe and just read the substantial free content on the site.

fool.co.uk is another good one, and the content is more relevant to this side of the Atlantic.


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## mainasia (30 Jun 2011)

Having browsed the websites they seem to be a lot better than the crap they e-mail me all the time. Still it makes me a little suspicious as they seem to be flogging stocks and that could affect the quality of information and their analyses on said stocks.


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## camel (30 Jun 2011)

mainasia said:


> Having browsed the websites they seem to be a lot better than the crap they e-mail me all the time. Still it makes me a little suspicious as they seem to be flogging stocks and that could affect the quality of information and their analyses on said stocks.



The motley fool don't flog stocks, brokers flog stocks. The give advice, just like a million other similar websites. But I think their is pretty good.

Maybe I'm wrong, what gives you the impression that they are flogging stocks?


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