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Stocks n Shares ISA


Shambo said:
Pension almost back to where it was pre Trump war

Moved my (modest) savings from ISA savings account into S&P500 a few days ago
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My pension is ok too.

I trimmed some profits from my ISA today as I might need the £££ in a few years. USA and Japanese markets are nearly back to 52 week highs. Sell high etc. etc. I might not even buy low as I don’t need to rely on further gains.
DonaldDownTheWing said:
It’s as if the markets always ride out the dips and return to where they were (and beyond) after enough time.

Time in the market is always better than trying to time the market.
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True… or sell at a high point and run for the hills if you’ve met your targets.
 
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Horatio Moustache said:
Put the £333 in Vanguard Lifestrategy 100.

I assure you that whatever happens in the world it'll be up significantly by the time you retire. If it isn't, we'll all be dead or nuclear war has genuinely happened, so it won't matter. I'd bet everything in my own pension pot that you'll be fine.

It's good that people are aware of the risks of investing but in real terms as long as you're sensible the chances of losing out in the long-term are much smaller than many people think.
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Say the absolute same thing to young people at work who don’t bother with any SIPP “got my work pension” etc etc

Try to explain to someone in their 20’s just stick £50 a month into lifestyle 100 they would be amazed what it could become.
 
douggie said:
Say the absolute same thing to young people at work who don’t bother with any SIPP “got my work pension” etc etc

Try to explain to someone in their 20’s just stick £50 a month into lifestyle 100 they would be amazed what it could become.
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I’m 29, 30 in June. If I started sticking £50pcm into a SIPP, what would I be looking at come retirement?
 
douggie said:
Say the absolute same thing to young people at work who don’t bother with any SIPP “got my work pension” etc etc

Try to explain to someone in their 20’s just stick £50 a month into lifestyle 100 they would be amazed what it could become.
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Whats the main benefit of having a SIPP if I already have a workplace pension that i more than max out employer matched contributions on?

I've been trying to understand SIPPs recently and I feel I am missing something as I can't see the benefit if you already have a workplace pension
 
DonaldDownTheWing said:
I’m 29, 30 in June. If I started sticking £50pcm into a SIPP, what would I be looking at come retirement?
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£50k to £60k (in today's money) when you hit 60. Could be more, could be less.
Shambo said:
Whats the main benefit of having a SIPP if I already have a workplace pension that i more than max out employer matched contributions on?

I've been trying to understand SIPPs recently and I feel I am missing something as I can't see the benefit if you already have a workplace pension
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If your workplace pension is a Defined Contribution, which it sounds like yours is, then there's little benefit to a SIPP. The main difference is that you get more control over what you can invest in. You could buy individual stocks for example, for most people that isn't actually helpful.
Edit: the important point is that investing that bit extra adds up over time. Whether it is best doing that in a workplace pension, SIPP, or Stocks & Shares ISA is debatable.
 
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Edinburgh Black Cat said:
£50k to £60k (in today's money) when you hit 60. Could be more, could be less.


If your workplace pension is a Defined Contribution, which it sounds like yours is, then there's little benefit to a SIPP. The main difference is that you get more control over what you can invest in. You could buy individual stocks for example, for most people that isn't actually helpful.
Edit: the important point is that investing that bit extra adds up over time. Whether it is best doing that in a workplace pension, SIPP, or Stocks & Shares ISA is debatable.
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Thanks for that, interesting info. I’m a public sector worker so I have one of those “defined benefit pensions” I think so I might just stick to stocks and shares isa.
 
Mine is small and n vanguard trackers, but it's shot to about a percent lower than pre-war, though I suspect that's due at least in part to a lot of the big banks and oil companies making a killing.
Edinburgh Black Cat said:
If your workplace pension is a Defined Contribution, which it sounds like yours is, then there's little benefit to a SIPP. The main difference is that you get more control over what you can invest in. You could buy individual stocks for example, for most people that isn't actually helpful.
Edit: the important point is that investing that bit extra adds up over time. Whether it is best doing that in a workplace pension, SIPP, or Stocks & Shares ISA is debatable.
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Some workplace pensions like People's Pension that I'm in, have piss poor investment options though. Compounded by them not allowing partial transfers out.
 
DBStar said:
Mine is small and n vanguard trackers, but it's shot to about a percent lower than pre-war, though I suspect that's due at least in part to a lot of the big banks and oil companies making a killing.

Some workplace pensions like People's Pension that I'm in, have piss poor investment options though. Compounded by them not allowing partial transfers out.
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Aye, agreed, if the options are crap or fees high then a SIPP may be better.
 
A lot of work place pensions are tied to state pension age. I think a SIPP could be a great option to bridge the gap from day 60 to state pension age but all depends on circumstances and when you want to retire
 
douggie said:
A lot of work place pensions are tied to state pension age. I think a SIPP could be a great option to bridge the gap from day 60 to state pension age but all depends on circumstances and when you want to retire
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Ones linked to SPA are invariably DB pensions. You can still draw it at 55/57 but payments are reduced because youre drawing it over a longer period. If you live to average life expectancy, you'll get about the same (probably slightly more going early because of tax). ISA is another option as whilst a bit less tax efficient, it gives you greater flexibility & less government interference on constant moving goal posts
 
DonaldDownTheWing said:
Thanks for that, interesting info. I’m a public sector worker so I have one of those “defined benefit pensions” I think so I might just stick to stocks and shares isa.
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You'd still be better off putting the money into a SIPP than an ISA especially if you are in 40% tax bracket and then be in 20% bracket when taking it. Even if you are 20% now then 20% in pension it's still a 6.25% advantage.
Edinburgh Black Cat said:
Aye, agreed, if the options are crap or fees high then a SIPP may be better.
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Chances are a SIPP wont be 'better' than a workplace pension due to employer contribution but would be handy to run along side it 👍
Shambo said:
Whats the main benefit of having a SIPP if I already have a workplace pension that i more than max out employer matched contributions on?

I've been trying to understand SIPPs recently and I feel I am missing something as I can't see the benefit if you already have a workplace pension
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As @Edinburgh Black Cat says. However my workplace pension would only let you chose once a year how much to contribute as a % of your wage then you were tied for the year, so no lump sums allowed, no changing of your mind if your circumstances changed that was it. So a SIPP would be ideal if there are any bonuses, spare cash could be put in 👍
 
Matt Hopkins said:
You'd still be better off putting the money into a SIPP than an ISA especially if you are in 40% tax bracket and then be in 20% bracket when taking it. Even if you are 20% now then 20% in pension it's still a 6.25% advantage.

Chances are a SIPP wont be 'better' than a workplace pension due to employer contribution but would be handy to run along side it 👍

As @Edinburgh Black Cat says. However my workplace pension would only let you chose once a year how much to contribute as a % of your wage then you were tied for the year, so no lump sums allowed, no changing of your mind if your circumstances changed that was it. So a SIPP would be ideal if there are any bonuses, spare cash could be put in 👍
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It appears I've been lucky with my workplace pension options. That sounds shit.
 
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