Thailand

Lightemup · #1 05-09-2006, 21:16

Ok, so Im looking at investing some money, but Im a complete newbie and have no clue what to invest in...Stocks obviously more volatile than bonds, I get that much.
There are some investment options available with my bank, and Im proberbly going to go with that at one point...

But since there are some traders and hobbyists here, I thought I'd try to get your point of view on how the markets are looking (Crystal balling it, if you like)

I've heard the phrase, that China is a good market to invest in, some like Seft say Gold is a good investment..

Now Im just looking for pointers when Im about to select what options to go with, with my bank's investment funds. And even though I live life dangerously, I'd like to have some sort of balanced / calculated risk with my money.

So let me have it...And no Geir, dont say invest in The Darkside

LivinLOS · #2 05-09-2006, 21:41

If this is first nestegg stuff then my advise is play very safe with it.. When you have more savings you can ty the riskier investments for higher returns but getting a nice stable slow performing thing is better feeling.. I probably dumped about 250k during the tech wreck scene early on in my investing times and its a bad feeling !!!

Look for a good defensively positioned fund of funds.. One general fund I used to be in and still follow has put in about 8 - 10% per annum for years.. Mixture of ST deposits, currencies, bonds and stocks.. Total spread. Also look at what costs of the funds are and look at how thier data is prepared, to hear a fund has put in 30% over 3 years but has a 2% annual fee means your only getting a real 6 - 7 % (ish not calculating) once you think about compounding. I have found that some unti trusts had management costs after the bid offer costs that I felt were too high and left what on paper looked like a nice safe return pretty low.

Personally I am bearish on US stocks and even stocks in general.. Also Oct / Nov are traditionaly turbulent months for stock indices and waiting until early Dec even if you do go for stocks may be a healthy approach.

As you said I like gold investments.. I also like silver, palladium, uranium.. I tend to think general commodities have had a hell of a run and wouldnt put too much in that chasing a move that may have alredy happened. Though just to contradict myself still like energy issues / funds. There are ways to be involved in these markets without having to work at it closely but I wouldnt put first nestegg into the more volatile stuff.

Theres also CD's which give 100% capital protection but only a % of the rise of a market.. Good for more security but of course limits your upside.

Long answer short.. Wait out the Autumn risk period for stocks or consider being in for gold (gold has only dropped 9 septembers since 1975.. Nearly allways does well in Autumn) some market jitters could help gold have a autumn rally.. But probably best to get some buy it and not watch it too closely investment and keep adding to it.

marc26 · #3 05-09-2006, 22:14

seft gave you some sound advice and all i am going to do is reiterate going with the safe funds originally
why dont you see what your bank has to offer, come back and ask us about the vehicles they have offered you

as far as big losses, i have managed to steer clear in my private account but have had some blow-ups professionally

my old roommate got his 1st bonus check. i think 100k usd, got about 55k after taxes. lost it in one week trading!! that hurts!

Lightemup · #4 06-09-2006, 17:33

Ok, thanks Sefton and Paul.
What I do know is, I need to do some more homework myself on the subjct until Im confident enough to start investing any major lump of money.
Even though my bank has advisors...I'd like to have some knowledge myself also.

Sirgezza · #5 06-09-2006, 18:46

Fidelity

I use Fidelity. The charges are low and there is a wide range of funds to invest in (spread the risk in a balanced portfolio). Remember you can put £7k p.a. in to an ISA which is tax free if you are UK resident.

You can also switch between funds, so if there is an area or sector you get a tip for, switch.

Markets have rallied a bit since the sell off in May, so don't pile in now. I try and buy after a market has fallen (they usually do at some point), but a drip feed in every month or so is a way of evening out the peaks and troughs.

Bushdoctor · #6 06-09-2006, 19:53

Lightemup, do you own a house? If not, I suggest that be your first step. But only after you have saved the down-payment money and several months worth of savings to fall back on in case of emergency. IMHO other investments come only after that.

LivinLOS · #7 06-09-2006, 20:08

1 ) I dont imagine taxes are as much of a worry when your earning money in Iraq.. Gonna be a case of take the money and put it offshore..

2) Property is only a good investment for static people.. If your moving, not able to use that investment its not so good.. Also property markets are already falling as I stated a long time ago. The bubble is bursting and I suspect property is not going to do well in the short to medium term.

Lightemup · #8 06-09-2006, 20:15

Im not tax liable anywhere.

I dont own anything, except a couple of guns in Denmark and a set of Mares diving gear in Patong, in my rented apt.

I basically live in two dufflebags.

LivinLOS · #9 06-09-2006, 20:27

Exactly how I did it.. You may want to look at registering your non residence or PT (permanent traveller) status with your home country.

Mine tried to screw me over for about 30k GBP but luckily my accountant had kept full reciepts and proof of sending them documents informing them I was no longer going to be resident.

Lightemup · #10 06-09-2006, 20:35

I got that sorted out with the authorities when I completed my last tax return.
Hell, I even got like 110 USD back in taxes for 2005, in which I didnt even pay taxes

I do make everything as transparent as I can, swipe credit card where ever I land somewhere, keep updating my excel spreadsheet with work/travel/destinations, keep boarding passes etc., take pictures of all my passport visa's etc...Im not cheating or evading taxes, Im just making myself not liable anywhere.
They accepted that, since I provided all this info when I filed that tax paper, and Im out of their system until/if I want to return and take up residency again.

Denver · #11 06-09-2006, 20:51

Quote:

Originally Posted by Lightemup

I got that sorted out with the authorities when I completed my last tax return.
Hell, I even got like 110 USD back in taxes for 2005, in which I didnt even pay taxes

I do make everything as transparent as I can, swipe credit card where ever I land somewhere, keep updating my excel spreadsheet with work/travel/destinations, keep boarding passes etc., take pictures of all my passport visa's etc...Im not cheating or evading taxes, Im just making myself not liable anywhere.
They accepted that, since I provided all this info when I filed that tax paper, and Im out of their system until/if I want to return and take up residency again.

That's me fcuked then!

JayBee · #12 09-09-2006, 05:09

Quote:

Originally Posted by Lightemup

Ok, thanks Sefton and Paul.
What I do know is, I need to do some more homework myself on the subjct until Im confident enough to start investing any major lump of money.
Even though my bank has advisors...I'd like to have some knowledge myself also.

Good thinking, as you can rarely trust financial advisors. They can tell you anything. When it turns out they were horribly wrong,

they are gone their merry way to some other investment firm

, and couldn't give a fig about you.

They have already got a raise and promotion to go elsewhere and leave their mistakes behind them!!

They aren't graded on how good their advice was. It only matters how many clients they recruit, sales they make, and asses they kiss! So it matters not whether they lost your money!