I picked up a fair few Amazon shares at $800, before the last split, so about $40 now. Sold them all relatively quickly
Incorrect. The portfolio shows £1 (potential) profit. I don't know when that portfolio commenced but let's say 6 months ago for ease. In 6 months that £1000 could have yielded around £25 with zero risk in a savings account!
Current one year fixed bonds average 5.5%, this is higher than some of my dividend shares, dilemma is if I sell and interest rates drop below my share yields I'm losing so do I stick with the stocks long term?
Very risky investing in a company. My answer would be, if time is on your side, globally diversified index funds (like Vanguard Lifestrategy 80 or something similar). Hold and 'forget' (ideally with ongoing monthly further investments).
All depends on your appetite for risk reward, for me I always use some money each month ( that I am comfortable with losing if it happens ) to invest in high risk high reward stuff. Investing in some companies can be relatively low risk if you're happy to invest for 5/10/15yrs plus. You just have to do your due diligence and understand what you're investing in and why.
Yes, I won't sell BP, Lloyd's or Vodafone as they give high yields, just considering profit taking out of BAE.
If you're a higher rate tax payer and want some tax saving at the same time as investing, have a look at VCT's. So many tax benefits as it is investing in 100s of promising start ups so the Government are backing it with tax relief for the investors.
I think sometimes it's great to take profit, people can get greedy and end up missing the chance. But id also say if you're going to take the profit to do nothing with it, what's the point? If you're taking it to enjoy/use/re-invest etc then why not. Bae has seen good growth since early 2022 I think hasn't it?
I'd recommend investing in companies whose values are increasing and avoid those that are falling. Hope this helps. Avoiding the betting thread on here's probably a good idea as well...
It's been on a 2 year bull run and although the divs are good I can reinvest into higher yielding stocks, but you never know how much further it can go, the order book is phenomenal.
Difficult one isn't it, possibly take your initial investment out and then let the profits run, that way you'll never lose money.
The inherent risks are higher obviously. Governments like them because jobs are created and corporate taxes can be collected. Monitoring of underlying companies performances and developmental progress within the Trusts and that of the Trust companies themselves usually requires a fair bit of work for the investor.
You're looking for solid companies that have a strong income stream - FTSE100 types. VOD, LLOYDS, BP all give good dividend which you can leave to reinvest and compound over time. Should be 5 years minimum and ideally 10 years - dint know your timelines. Keep diversity of sectors in mind. So you might think of good divi payers like M&G or Legal and General Alternatively you could look at ETF funds that are actively (rather than passively) managed and track a basket of companies, an index or sector and accumulate (ACC) and reinvest dividends. That way your shielded from big drops if one of the companies underperform. There are lots of those types of ETF. Examples are FIDELITY have a US QUALITY UCITS or GLOBAL QUALITY UCITS. Another example is something like VANECK Semiconductor UCITS ETF if you fancy getting exposure to tech stocks in that sector. These are just examples and not investment advice. Always do your own research.
That's a fair point if you're assessing something at a particular point in time. So yes at this very moment his portfolio has earned less, because it's more risky. Savings accounts don't have zero risk though, it's just incredibly minimal. Otherwise tell that to the poor sods in the GFC who had their banks collapse!
I have something like 75% of my portfolio in ETFs that follow the A200, but I do have small amounts invested in particular companies. It is just glorified gambling though to do that. My employer also pays us an element of our bonus in shares, so I can't avoid that!
