Pleaase...a serious question.
 

What or how would you look to invest £35,000 in todays climate, to give a reasonable monthly return? (sadly not my money)

to be honest mate, I don't think there is a really good place to invest money into anymore, let alone get a decent monthly return.
get some sound advise from someone who's been trading in the markets etc for a good few years, they will have better idea of whats right for your situation.

cheers
robin

Its the outlaw.shes just coming out of a five year bond jobbie, and where do we go from here...... and i would love to say desmosedici but sensible please...Dickie??

For me it would have to be Bricks and Mortar, I know £35k wouldnt get you a Garden shed these days. But its a nice Dipper on a Mortgage. I'd say try to pick up a Terrace in a University Town and rent to Students. She will get a Monthly return, Probally not much Net profit but atleast its adding Equity to a Property.

Andy,

Given the relatively low levels of return from "safe" investments today, I'd be tempted to put a fair slice of that money into Premium Bonds.

Totally secure, easy to withdraw i.e. cash in, and a reasonable chance of a tax-free win that could far exceed High Street returns. Whilst inflation is low you'll see a lot of smart money going that way.

All the best,

David

Property
 

Move to a bigger/better house. Prices may be stagnant right now but you're unlikely to ever see another crash in the market. Try to get the bestest home(s) and sell it/them when you retire and move to a little house on a prairie and live happily on the proceeds!

yes I agree with psychlist, seems property is the only way to invest with money these days...

It depends on her view of risk. There is money to be made playing the markets at the moment, just split the money and apportion amounts into areas of lesser or higher risk as meets her risk position.

Bricks and mortar is always sensible but its really a mid to long term view with property these days - and that's just from equity. Rental is a bit hit and miss, once expenses/costs are considered, there's often little monthly return. A good investment vehicle though, if monthly income is a secondary consideration and long time investment is the major factor (inheritance!!!!!).

Tim:frog:

[Edited on 4-12-2004 by Rattler]

$$$$$$$$$$$$$$$$$$$$$$$$$$$

Buy 'em now as the dollar will bottom out over the next few weeks. At the mid 1.90s its bound to go back to the 1.50s once the US government arrests the slide. Get some advice as the currency will recover in the New Year.

We've got 20k in premium bonds, and the return over the year is better than any other schemes we looked at. Even when we had it in off-shore high interest it was stil c$$p.
Have had them for about 5 years now, biggest win was a £500 but it normally works out that we get a dozen or so come up each year.
The limit per individual is now 30K. Worth a try, and you don't risk losing your investment.

Doogalman

If you go down the Premium Bond route remember to cash them in and reinvest every 6 months or so ... for some reason new bonds seem to attract more prizes.

low-risk low-return, premiums bonds. instant access.

higher-risk higher-return, property in croatia. longer term but potentially good returns. 35k unfortunately wont get you anywhere though. what you need is someone who already knows the market and is looking to get more.

oh, that would be me!

it really is all about risk, thats the first thing that needs to be decided. the same product will have very different risks for different people due to age, circumstances, need to get hold of money quickly etc

LAND.

If you're not interested in investing further in bricks & mortar (and to be honest in the part of the country you live another £30k isn't going to upgrade you to a palace) then land has got to be the way to go.

You'll be astounded at the value of good land that's got access. There's little maintenance cost, it's always increasing in value and you still have the opportunity to rent it out for horse grazing etc.

Some of the land around our village has doubled in valule in the last year. It's not that people want to buy it with a view to developing property, there is just high demand for equestrian grazing.

Yep I've had mine for over 30 years and not a sausage:(

I echo Dickie's comments - it's all about risk v reward

A common misconception is that property is a low-risk investment ("safe as houses). Unless the £35k buys the property outright, your friend will have to leverage up. ie higher risk with potentially higher reward. The risk is somewhat defrayed if you have rental income that help to meet mortgage payments.

If £35k is a hard limit without wanting to have to put in money at a later date, I would recommend a basket of low-risk corporate bonds. You'll get semi-annual (or possibly even quarterly) coupon payments. The return is will be higher than on risk-free investments (gilts or premium bonds) but are still very safe bets if you plan to hold to maturity.

If in doubt, speak to a financial advisor (a real one, not someone who justs want to sell you a pension).

Put the deposit into a buy to let property. Take an interest only mortgage on the balance.

The rental income should more than cover the mortgage payment, and the property value will rise over the next 10 years (despite the gloom & doom merchants currently spouting off) giving you an excellent return on your investment.

I'd recommend not going for an interest only mortgage, but go for a repayment with as little repayment period as can be afforded, therefore getting a full return on the property at the end of the mortgage period. The property can then be sold, or the rent used as an income, without the rental payments reducing the rental to virtually a zero income - but this is taking a longer term investment view and not as suggested a way of making shorter term income.

Tim:frog: