Savings and Investments thread

Carter · February 13

meldrew66 said:

PragueAddick said:

Rob7Lee said:

PragueAddick said:

meldrew66 said:

Rob7Lee said:

Huskaris said:

Rob7Lee said:

Huskaris said:

Morning everyone.

Curious if anyone here has experience in gold. Personally I feel a tad nervous about everything going on at the moment and my exposure. To put it frankly, the returns can't keep being at this level and I'm a tad nervous we are in a bubble, in US markets in particular (please feel free to persuade me otherwise!)

I'm looking at potentially diversifying a bit into gold, which has actually outperformed the S&P 500 over the past year and I'm considering how best to do it.

Chards (associated with the royal mint) sell gold britannias etc at very close to spot price. These are exempt from CGT. (Are britannias the best vehicle, or are bars etc better? Britannias seem to have the tightest spread on buy/sell on Chards)

I am a bit concerned about potential CGT exposure which leads to me considering buying some physical gold. I'm not really inclined to go down the storage route, as there would be something cool about physically holding them...

If this were not the case, I would be tempted to buy gold through an ETF.

Just looking for people's experiences to stop me making any foolish errors!

I'm relatively heavy in gold but bought over the last 8-10 years and some inherited. 80% is in gold Sovereigns, legal tender so no CGT. Can't believe they are nearly £580 now, when I first stared they were a little bit under £200. I keep mine in the bank (I have a fair amount).

Thanks for that.

And just to ask, what is your reason to buy gold? Is it basically as a store of wealth that avoids CGT?

Where I am at the moment is that it feels a) like a tax efficient store for wealth and b) a product that is counter volatility. The whole "flight to quality" etc during very "interesting times"

10-15 years ago, much like now, I was quite heavy in the stock market, didn’t like the non liquid property investment, so gold seemed a good idea as a bit of diversification (add to that a few watches and cars along the way).

dare I also say the tax efficiency and the fact I can cash in literally in minutes.

all of that said, not sure I’ll be buying anymore right now, price is high, if anything I may sell some. I have quite a bit of gold by way of chains and the like and may just scrap that in.

....point taken about the price being at an all time high but I just wish I'd bought $30,000 worth @ $230 per oz 25 years ago; would be worth $380,000 today!

But you would have had a similar return on any decent property you’d bought in the London area over the same time period.

You wouldn’t once you take off costs of maintaining and CGT……… none of those for gold (unless you pay to keep it somewhere)

Well, depending on when you sold it you'd have minimised CGT thanks to Osborne's tax change in 2016. And of course if you rented it out too, you more than covered the costs and deducted the costs from your taxable income.

What property could I have bought in 2000 for $30k?

Genuinely and on the presumption thats meant to be a £ and not a $ absolutely loads. There are 1 bed flats in medway going for unreal sums of money and the rents are quickly catching up with outer London prices although still cheaper. HS1 might have had something to do with that or just the desire people seem to have to cash in and move down here added to (shock horror) very high levels of immigration

Carter · February 13

Gold is still rising as well, I didnt realise physical gold was exempt from CGT but I suppose it would be as a physical asset.

I worded the last post badly, I meant in 2000 you could get loads of property for £30k in Medway and more the farther out you went and its showing no signs of slowing down due to demand greatly outstripping supply

Rob7Lee · February 13

Carter said:

Gold is still rising as well, I didnt realise physical gold was exempt from CGT but I suppose it would be as a physical asset.

I worded the last post badly, I meant in 2000 you could get loads of property for £30k in Medway and more the farther out you went and its showing no signs of slowing down due to demand greatly outstripping supply

To be clear only certain coins are CGT exempt, namely those produced by the royal mint.

the reference to houses for £30k was in London. I bought 30 years ago and don’t think it was possible then let alone about 12 years ago. I sold the house I bought in 1994 (small 3 bed end of terrace) in 2008 for £257k, 30k in the early 2010’s is dream world.

golfaddick · February 13

Carter said:

Gold is still rising as well, I didnt realise physical gold was exempt from CGT but I suppose it would be as a physical asset.

I worded the last post badly, I meant in 2000 you could get loads of property for £30k in Medway and more the farther out you went and its showing no signs of slowing down due to demand greatly outstripping supply

I doubt it very much. And if you could it would be in a state of disrepair & you would need to spend half as much again to get it to livable condition.

I sold a studio flat in Dartford in 1990 for £47k. Don't believe 10 years later you could get anything meaningful for below that.....even in Medway.

But it's all moot.

Rob7Lee · February 13

PragueAddick said:

Rob7Lee said:

PragueAddick said:

meldrew66 said:

Rob7Lee said:

Huskaris said:

Rob7Lee said:

Huskaris said:

Morning everyone.

Curious if anyone here has experience in gold. Personally I feel a tad nervous about everything going on at the moment and my exposure. To put it frankly, the returns can't keep being at this level and I'm a tad nervous we are in a bubble, in US markets in particular (please feel free to persuade me otherwise!)

I'm looking at potentially diversifying a bit into gold, which has actually outperformed the S&P 500 over the past year and I'm considering how best to do it.

Chards (associated with the royal mint) sell gold britannias etc at very close to spot price. These are exempt from CGT. (Are britannias the best vehicle, or are bars etc better? Britannias seem to have the tightest spread on buy/sell on Chards)

I am a bit concerned about potential CGT exposure which leads to me considering buying some physical gold. I'm not really inclined to go down the storage route, as there would be something cool about physically holding them...

If this were not the case, I would be tempted to buy gold through an ETF.

Just looking for people's experiences to stop me making any foolish errors!

I'm relatively heavy in gold but bought over the last 8-10 years and some inherited. 80% is in gold Sovereigns, legal tender so no CGT. Can't believe they are nearly £580 now, when I first stared they were a little bit under £200. I keep mine in the bank (I have a fair amount).

Thanks for that.

And just to ask, what is your reason to buy gold? Is it basically as a store of wealth that avoids CGT?

Where I am at the moment is that it feels a) like a tax efficient store for wealth and b) a product that is counter volatility. The whole "flight to quality" etc during very "interesting times"

10-15 years ago, much like now, I was quite heavy in the stock market, didn’t like the non liquid property investment, so gold seemed a good idea as a bit of diversification (add to that a few watches and cars along the way).

dare I also say the tax efficiency and the fact I can cash in literally in minutes.

all of that said, not sure I’ll be buying anymore right now, price is high, if anything I may sell some. I have quite a bit of gold by way of chains and the like and may just scrap that in.

....point taken about the price being at an all time high but I just wish I'd bought $30,000 worth @ $230 per oz 25 years ago; would be worth $380,000 today!

But you would have had a similar return on any decent property you’d bought in the London area over the same time period.

You wouldn’t once you take off costs of maintaining and CGT……… none of those for gold (unless you pay to keep it somewhere)

Well, depending on when you sold it you'd have minimised CGT thanks to Osborne's tax change in 2016. And of course if you rented it out too, you more than covered the costs and deducted the costs from your taxable income.

in 2000 a house worth 30k (I used my old London postcode) would be £109k today so £270k less than gold. I don't think you'd have made that up on rent and allowing for selling with CGT, maintenance etc.

Fortune 82nd Minute · February 13

So what's the word on the street that you experts have heard about what Rachel from accounts has got in store for Cash ISAs?

Arthur_Trudgill · February 13

Rob7Lee said:

PragueAddick said:

Rob7Lee said:

PragueAddick said:

meldrew66 said:

Rob7Lee said:

Huskaris said:

Rob7Lee said:

Huskaris said:

Morning everyone.

Curious if anyone here has experience in gold. Personally I feel a tad nervous about everything going on at the moment and my exposure. To put it frankly, the returns can't keep being at this level and I'm a tad nervous we are in a bubble, in US markets in particular (please feel free to persuade me otherwise!)

I'm looking at potentially diversifying a bit into gold, which has actually outperformed the S&P 500 over the past year and I'm considering how best to do it.

Chards (associated with the royal mint) sell gold britannias etc at very close to spot price. These are exempt from CGT. (Are britannias the best vehicle, or are bars etc better? Britannias seem to have the tightest spread on buy/sell on Chards)

I am a bit concerned about potential CGT exposure which leads to me considering buying some physical gold. I'm not really inclined to go down the storage route, as there would be something cool about physically holding them...

If this were not the case, I would be tempted to buy gold through an ETF.

Just looking for people's experiences to stop me making any foolish errors!

I'm relatively heavy in gold but bought over the last 8-10 years and some inherited. 80% is in gold Sovereigns, legal tender so no CGT. Can't believe they are nearly £580 now, when I first stared they were a little bit under £200. I keep mine in the bank (I have a fair amount).

Thanks for that.

And just to ask, what is your reason to buy gold? Is it basically as a store of wealth that avoids CGT?

Where I am at the moment is that it feels a) like a tax efficient store for wealth and b) a product that is counter volatility. The whole "flight to quality" etc during very "interesting times"

10-15 years ago, much like now, I was quite heavy in the stock market, didn’t like the non liquid property investment, so gold seemed a good idea as a bit of diversification (add to that a few watches and cars along the way).

dare I also say the tax efficiency and the fact I can cash in literally in minutes.

all of that said, not sure I’ll be buying anymore right now, price is high, if anything I may sell some. I have quite a bit of gold by way of chains and the like and may just scrap that in.

....point taken about the price being at an all time high but I just wish I'd bought $30,000 worth @ $230 per oz 25 years ago; would be worth $380,000 today!

But you would have had a similar return on any decent property you’d bought in the London area over the same time period.

You wouldn’t once you take off costs of maintaining and CGT……… none of those for gold (unless you pay to keep it somewhere)

Well, depending on when you sold it you'd have minimised CGT thanks to Osborne's tax change in 2016. And of course if you rented it out too, you more than covered the costs and deducted the costs from your taxable income.

in 2000 a house worth 30k (I used my old London postcode) would be £109k today so £270k less than gold. I don't think you'd have made that up on rent and allowing for selling with CGT, maintenance etc.

Are you including leverage in your calculation?

Southbank · February 13

meldrew66 said:

PragueAddick said:

Rob7Lee said:

PragueAddick said:

meldrew66 said:

Rob7Lee said:

Huskaris said:

Rob7Lee said:

Huskaris said:

Morning everyone.

Curious if anyone here has experience in gold. Personally I feel a tad nervous about everything going on at the moment and my exposure. To put it frankly, the returns can't keep being at this level and I'm a tad nervous we are in a bubble, in US markets in particular (please feel free to persuade me otherwise!)

I'm looking at potentially diversifying a bit into gold, which has actually outperformed the S&P 500 over the past year and I'm considering how best to do it.

Chards (associated with the royal mint) sell gold britannias etc at very close to spot price. These are exempt from CGT. (Are britannias the best vehicle, or are bars etc better? Britannias seem to have the tightest spread on buy/sell on Chards)

I am a bit concerned about potential CGT exposure which leads to me considering buying some physical gold. I'm not really inclined to go down the storage route, as there would be something cool about physically holding them...

If this were not the case, I would be tempted to buy gold through an ETF.

Just looking for people's experiences to stop me making any foolish errors!

I'm relatively heavy in gold but bought over the last 8-10 years and some inherited. 80% is in gold Sovereigns, legal tender so no CGT. Can't believe they are nearly £580 now, when I first stared they were a little bit under £200. I keep mine in the bank (I have a fair amount).

Thanks for that.

And just to ask, what is your reason to buy gold? Is it basically as a store of wealth that avoids CGT?

Where I am at the moment is that it feels a) like a tax efficient store for wealth and b) a product that is counter volatility. The whole "flight to quality" etc during very "interesting times"

10-15 years ago, much like now, I was quite heavy in the stock market, didn’t like the non liquid property investment, so gold seemed a good idea as a bit of diversification (add to that a few watches and cars along the way).

dare I also say the tax efficiency and the fact I can cash in literally in minutes.

all of that said, not sure I’ll be buying anymore right now, price is high, if anything I may sell some. I have quite a bit of gold by way of chains and the like and may just scrap that in.

....point taken about the price being at an all time high but I just wish I'd bought $30,000 worth @ $230 per oz 25 years ago; would be worth $380,000 today!

But you would have had a similar return on any decent property you’d bought in the London area over the same time period.

You wouldn’t once you take off costs of maintaining and CGT……… none of those for gold (unless you pay to keep it somewhere)

Well, depending on when you sold it you'd have minimised CGT thanks to Osborne's tax change in 2016. And of course if you rented it out too, you more than covered the costs and deducted the costs from your taxable income.

What property could I have bought in 2000 for $30k?

Most of Hull

Southbank · February 13

Southbank · February 13

Zoopla today

golfaddick · February 13

Fortune 82nd Minute said:

So what's the word on the street that you experts have heard about what Rachel from accounts has got in store for Cash ISAs?

Paper talk at the moment.

In March there is a Spring Statement. RR has previously said that it's not going to be a Budget but more of a forecast based on figures currently being looked at by the OBR.

However, if she has to back track on any of her Budget announcements like IHT on farmers or because the economy is not performing them she might have to announce some extra taxation. But I doubt it.......so for now I'm not expecting any changes

golfaddick · February 13

Southbank said:

Auction property. Real price probably double.

LargeAddick · February 14

golfaddick said:

Southbank said:

Auction property. Real price probably double.

Might sell for less.

Rob7Lee · February 14

Southbank said:

Zoopla today

Don't think you are helping Prague's argument. If that's £30k today, what was it 25 years ago and what have you made, a lot less than 350k on Gold! Probably lost money!

PragueAddick · February 14

Rob7Lee said:

Southbank said:

Zoopla today

Don't think you are helping Prague's argument. If that's £30k today, what was it 25 years ago and what have you made, a lot less than 350k on Gold! Probably lost money!

I just took a look at the gold price graph over the last 20 years. The story is a lot more nuanced than you are making out. If you had bought gold in 2011 you’d have been sitting on a loss for most of the next eight years. Most of the big gains have come in the last 12 months.

golfaddick · February 14

PragueAddick said:

Rob7Lee said:

Southbank said:

Zoopla today

Don't think you are helping Prague's argument. If that's £30k today, what was it 25 years ago and what have you made, a lot less than 350k on Gold! Probably lost money!

I just took a look at the gold price graph over the last 20 years. The story is a lot more nuanced than you are making out. If you had bought gold in 2011 you’d have been sitting on a loss for most of the next eight years. Most of the big gains have come in the last 12 months.

Indeed.

Almost 50% since last March.

blackpool72 · February 20

Just sold my Lloyds shares at 65.28p.
That's about the highest they have been fo a good few years.
It's possible they may continue to rise but what with all the uncertainty going on at the moment with Reeves as Chancellor over here and Trump as president in America I can see them dropping back down rather than making more gains.

Jon_CAFC_ · February 20

blackpool72 said:

Just sold my Lloyds shares at 65.28p.
That's about the highest they have been fo a good few years.
It's possible they may continue to rise but what with all the uncertainty going on at the moment with Reeves as Chancellor over here and Trump as president in America I can see them dropping back down rather than making more gains.

Would suspect their motor finance exposure to mire them for quite a long time and extensive cost

Diebythesword · February 22

golfaddick said:

Fortune 82nd Minute said:

So what's the word on the street that you experts have heard about what Rachel from accounts has got in store for Cash ISAs?

Paper talk at the moment.

In March there is a Spring Statement. RR has previously said that it's not going to be a Budget but more of a forecast based on figures currently being looked at by the OBR.

However, if she has to back track on any of her Budget announcements like IHT on farmers or because the economy is not performing them she might have to announce some extra taxation. But I doubt it.......so for now I'm not expecting any changes

Any thoughts on stamp duty threshold for FTB? Causing me untold stress trying to complete before 31st March!

Pedro45 · February 23

I think it's £400k currently and unlikely to change before a budget in the autumn.

IdleHans · February 23

Pedro45 said:

I think it's £400k currently and unlikely to change before a budget in the autumn.

425k until march 31 after which it's 0% on the first 300k, as long as property price no more than 500k for first timers

RaplhMilne · February 24

blackpool72 said:

Just sold my Lloyds shares at 65.28p.
That's about the highest they have been fo a good few years.
It's possible they may continue to rise but what with all the uncertainty going on at the moment with Reeves as Chancellor over here and Trump as president in America I can see them dropping back down rather than making more gains.

67.32p This morning, I know the feeling hold on for years then finallly bail out, only to be days to soon.

blackpool72 · February 24

RaplhMilne said:

blackpool72 said:

Just sold my Lloyds shares at 65.28p.
That's about the highest they have been fo a good few years.
It's possible they may continue to rise but what with all the uncertainty going on at the moment with Reeves as Chancellor over here and Trump as president in America I can see them dropping back down rather than making more gains.

67.32p This morning, I know the feeling hold on for years then finallly bail out, only to be days to soon.

A mate of mine bailed out a month or so ago at 59p.
I almost done the same but eventually bailed out at 65.28p.
If 67or 68 is as high as they go then I've not done too bad.
If they hit 70 that will be annoying.

CafcWest · February 24

Can anyone explain why you would leave it towards the end of the tax year to open an ISA? Seen quite a few on-line adverts and heard radio commercials for ISAs. I always (if I have the money in a normal savings account) open an ISA at the start of the tax year so that the interest earned is tax free...is there any advantage to leaving it until the end of the tax year?

bobmunro · February 24

CafcWest said:

Can anyone explain why you would leave it towards the end of the tax year to open an ISA? Seen quite a few on-line adverts and heard radio commercials for ISAs. I always (if I have the money in a normal savings account) open an ISA at the start of the tax year so that the interest earned is tax free...is there any advantage to leaving it until the end of the tax year?

It's just a reminder so that people are aware that if they miss the 5 April deadline they lose that year's allowance. No benefit in waiting if you have the funds to invest - and if you don't have all the funds you want to invest then you can drip feed it throughout the year.

Mendonca In Asdas · February 24

Rumours that cash Isa's are going to get the heave ho in the forthcoming budget, anyone think this will happen?

bobmunro · February 24

Mendonca In Asdas said:

Rumours that cash Isa's are going to get the heave ho in the forthcoming budget, anyone think this will happen?

I'm pretty sure Cash Isas will be hit, although I doubt binned completely. I've read reduced significantly to £4k pa allowance while S&S will retain the £20k.

golfaddick · February 24

bobmunro said:

Mendonca In Asdas said:

Rumours that cash Isa's are going to get the heave ho in the forthcoming budget, anyone think this will happen?

I'm pretty sure Cash Isas will be hit, although I doubt binned completely. I've read reduced significantly to £4k pa allowance while S&S will retain the £20k.

I hope so. Will be good for business 😉.

golfaddick · February 24

Mendonca In Asdas said:

Rumours that cash Isa's are going to get the heave ho in the forthcoming budget, anyone think this will happen?

Not a Budget but a Spring statement. Might have to turn into a mini-budget if Starmer wants to increase the defence spending to 2.5% (pr more) of GDP. Money got to come from somewhere.

Huskaris · February 24

I think the idea of attacking cash ISAs is really poor to be honest. And I say this as someone with all of my allowance in S&S.

We need to encourage people to save, if they want to take risks, great, if they don't, great. Let people save, the banks invest the money it's not like it's sitting there gathering dust.

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