Have small amount of money for long term investment/risk

A

AnthonyMc

Guest
Hi all,

I have about €2500 -3000 that I would like to consider investing in shares with a view to leaving for long term view. I have a 1 to 3 Irish companies I would like to take a chance on.

I am currently living and working in Australia and will be for the next 3 years so i'm wondering how do I go about buying shares in such companies in the cheapest manner considering I am just planning on leaving until I either add to portfolio or sell them in many years?
 
AIB or BOI are worth a shot at todays prices.
AIB currently running at 52c. 3000/.52 = 5769 shares.
In 10 years these could be up to €10 a share again if lucky but €7 or €8 a good bet.

10 x 5769 = ~€57,000

I think AIB or BOI have a good chance of surviving. But thats just my opinion.
 
I was thinking of one of them actually but I am wondering what is the easiest and cheapest way of going around purchasing these shares taking into account I am in australia for the next few years.
 
If you are looking to put that amount in, then I would suggest a better approach would be to buy index ETFs e.g. ISEQ ETF, FTSE100 ETF, S&P500 ETF rather than a single share, so that you get a broad risk diversification. I'm sure someone will point out that you cannot recommend individual shares on AAM as a previous poster has - but enough to say it is highly likely that BOI and AIB will get nationalised and in which case you would lose pretty much all your money.
 
I don't want advise on individual shares. I have a few ideas but I want to know how I go about it. Cheap costs and the fact i'm not in Ireland now and won't be for a few years
 
I’m certain any Aussie stockbroker can buy shares in IE companies for you (but you may end up with the shares held in a nominee account). But, if you’re investing only a few grand why not get a family member in Ireland to buy the shares for you? You will pay 1% stamp duty to have the shares transferred to your name when or if you return (and for shares valued at less than €1,000 at time of purchase there is no stamp duty payable [confirmation needed on this point]). Also, before you get carried away with patriotism (e.g. you will also be charged 1% stamp duty on buying IE shares) you should consider investment opportunities in AU equities. Marksa’s post on buying an ETF (e.g. greater diversification, no stamp duty on purchase) should also be considered.
 
What happens to the shares of AIB or BOI is they are nationalised, can anyone advise me, are the worthless ?
 
Theres a world of investment opportunities out there now, alot safer and a lot surer than aib or boi, it will take a few years to establish the fate of these two banks, it is still way too risky, you could invest in berkshire hathaway, big oil companies, big healthcare, big technology, all of these are beaten down with the credit crunch, but they will be the first to recover, banks and financials are in a 10 year slump, they are like technology after the dot com bust, intel is now in a very strong position and has plenty of cash and liquidity to ride out this slump, can you say that about boi or aib
 
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