I am retiring & have £100k to invest for a monthly income. Where?

Answer 1

This is the last place I would ask a question like that!!!

Answer 2

Forget the house. Put 50k in a CD which currently earns an annual interest rate of about 2%, but should go up a little once the economy gets back. The money in the CD will be untouchable, which means it cannot go down, only up, and even if your bank defaults, the government will refund all your money. Then take the other 50k and put it in a Vanguard S&P 500 mutual fund. This Vanguard mutual fund has some of the lowest operating costs around, which means you get to keep almost all the money you earn. Yes the markets just tanked, but that means its a great time to get started. I just invested in this mutual fund in early June and have already earned a 10% return on my investment. Follow this plan and you will see your money increase by at least 30-50% over the next 5-10 years, and then you can think about buying a house.

Answer 3

I am not too clear on your question, but you should see a financial advisor to help you make the most of your money. Dont invest in stocks because if the market gets hurt so does your 100k, try mutual funds. Call someone like New York Life, or Met Life, companies that have been around for a long time, that are reputable and not reckless. Dont invest all of it because you will need cash on hand for miscellaneous things. Make sure your bills are paid up before you do anything with your money.

Answer 4

My advice would be to use a reputable bank, and bank on line to start with like Abbey, they pay 5% or slightly less for monthly interest.

Second to utilise your isa allowances for tax free returns (up to 7k each for you and your wife per annum.) Choose low to medium risk ISAs with sombody like Inscape (abbeys investment arm) This will not commit too much of your ISAs into equities (Shares) so will probably produce steady returns without too much risk. (Although all investment is a risk and it may not!!)

Good returns can be got from big investment companies such as New Star, Fidelity, Artemis etc but you pay a management fee and like all investments you may not get back what you put in if it doesnt perform, it depends on the level of risk you want to take and how you want them to spread your investment - not for the faint hearted.

Property - buying a couple of old houses up north at auction, doing them up and renting them out for£350 - £400 a month is done by an awful lot of people nowadays and you could certainly do that with £100k. It is probable that the value of the houses would rise but who knows it could drop.

You wouldn't necessarily have to use all of your £100k to do this and a fair bit of work on your part would be required doing them up etc, but it has potential to make you more than say a bank or building society in the longer term.

My last bit of advice would be spend it in a considered fashion over x amount of years. Enjoy the interest and spend slightly less than that each year so that you leave the capital amount alone. Just see it as your employer continuing to give you £5k a year wage, which you would spend anyway. It is true that inflation will erode the spending power of your original investment over time, (3% a year) so if you only spend £2k a year of your 5k interest you will stay in broadly the same position each year providing inflation remains at its current level. Although the tax man will take a bit of interest too, so you need to allow for that as well!!

PS pop a few quid into premium bonds - no risk and you might win a million!! and if you did you would definitely need more professional advice!!!


Good luck to you anyway, hope you find the right form of investment to suit you

Answer 5

Your "pounds sign" indicates that you are in the UK.
If you want to "leave something for the kids", you might ask your financial adviser about "PIBS" in building societies (or ex-building societies). They seem to return around 6%. You could get a little (0.5% or so) more by buying an annuity, but once you have bought your annuity, that's it - they pay you yur income until you die, when the income stops and the capital is gone. The price of PIBS (Permanent Income-Bearing Shares) varies with current interest rates, but at the end of the day (or, rather, the end of your days), they will at least be worth money, whereas an annuity won't. However, the interest is paid half-yearly, rather than monthly.
I am merely drawing your attention to their existence, and not advising you to go in for them. To get advice, you need to speak to someone authorised by the FSA, which I am not.

Answer 6

Coz you retire you must invest without any risks. Go for a safe place and don't get distracted by the big profits (means high risks). You don't want to spoil 100k! A savings account is too safe and % not high enough, slightly more risk is alright.

Answer 7

Hi friend. Invest in SwissCash. You will get monthly return of 3x10% + 3x15% + 3x20% + 3x25% + 3x30% i.e 300% total in one investment certificate for 15 months. Guaranteed by Swiss Mutual Fund 1948 at http://www.swissmutualfund.biz and follow attached source link to start investment.

You can go to Barclay Bank to verify this beneficiary account as per information included before start investing. You need to start from there also.

Answer 8

Just be careful.

I've read many stories of High Street banks advising clients in your situation... planning to retire with lump sum... and they've guided their clients towards high risk investments where the client has lost 50% plus of their capital.

Seems to me the advisors are more interested in their commissions for what types of investments they get people to invest in.

Don't be taken in by anyone. Think, then think again. Depends on what your attitude to risk is though for the returns you hope to get back.

Also I personally wouldn't lock my money in one single investment. If a bank has problems or fails, you can only get a certain amount back. I'd spread it in a few investments/deposits.

Answer 9

Hi Carol,
Likewise I want to start a feaseble profitable business, but can't get starting funds of only £45.000 due to being overaseas. People look into risks before realising that most investors are doing well abroad, why shouln't happen to you? With this amount invested you will have a guaranted 50% return nine months later. Considering contact me at. [e-mail]. And we talk.

Answer 10

For starters, I would say keep the money in the bank & live off the interest for a while before you make any decisions.

I would say scout about for a good business opportunity. Like a franchise takeaway or something.

If you really dont want to workhard any more, I would say Start investing in property & make money off that. It will take a while to get that off the ground but once you sell your first property, you will reap the rewards of large profit margins & also have fun doing it.

Good luck

Answer 11

I believe Saga have independent financial advisers. Have you thought about buying a property, letting it out, and using the rent as your income. You will also get an increase in the price of the house when you sell. Good luck!