question on shares and funds

not sure why anyone would want to start investing in the ftse now.

the time was a few years ago.

im holding 2 and for good reasons...

No clear answer to that. Funds are ranked according to risk and shares vary from highly speculative ones to safe utilities. I would recommend shares in companies that produce products that everyone uses every day.

G1_Jockey_4
12 May 15 13:26
Joined: 17 Sep 02
| Topic/replies: 11,600 | Blogger: G1_Jockey_4's blog
not sure why anyone would want to start investing in the ftse now.


There is a lot more to invest in than the FTSE. UK equities only make up about 7% of global equity market capitalisation.

To answer the OP's question, Trustnet gives what it calls an "fe" score to funds (and I think equities)which measure volatility relative to the FTSE 100.

I'm not sure if that is what you are looking for but more info here:
.
http://www.trustnet.com/learn/learnaboutinvesting/FE-Risk-Scores.html

Consider retail bonds. A theme to consider is that the % of bonds in your portfolio should approximately equal your age.

Investing in bonds – the basics you need to know
http://www.telegraph.co.uk/sponsored/finance/investment-library/science-and-technology/11268569/investing-bonds-basics.html

New issues
http://www.londonstockexchange.com/prices-and-markets/retail-bonds/newrecent/newrecent.htm

Analysis
http://www.fixedincomeinvestor.co.uk/x/analysis.html

Prices and Yields
http://www.fixedincomeinvestor.co.uk/x/bondtable.html?groupid=3620

Forum
http://www.fixedincomeinvestor.co.uk/x/forum.html

Shares deliver the best long term returns, so why invest in bonds?
http://monevator.com/shares-deliver-the-best-long-term-returns-so-why-invest-in-bonds/

Stow's article makes a good point. It's a very rare (or ignorant!) person that can truly stomach stock volatility. The following article expands on the point:
.
http://www.pragcap.com/stock-and-bond-drawdowns-historical-perspective

There have been drawdowns of more than 30% (one of 48%) three times in the last 14 years - Its hard to sit on your hands when your £100,000 portfolio is reduced to £52,000.

In my opinion, increasingly volatile stock markets will become the norm.

would you seriously sell to collect 52k though?
especially those you knew to be safe ones?

G1

The figures I mentioned above are completely arbitrary and when I say “its hard to sit on your hands”, I am talking about people in general rather than myself.

It is well documented that people are panicked out of the market when prices are near their bottom and then miss out on the subsequent rebound.

During turbulent times (like the 2008 liquidity crisis) people begin to believe that things really are “different this time” and that there are no “safe” stocks.

was gonna say gin.

would be like buying high and selling low

pound for pound shares are more volitile, plenty of lower risk funds about direct mesage me if you want more info.