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engpad 
500 Club la la la
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 Posted: 26 Nov 2020 at 9:46pm |
 SeanyL wrote:
engpad wrote:
Which type of fund would you recommend for a low cost US index?
I've regularly contributed to a Vanguard S&P 500 ETF |
What app do you use to invest? Problem i find is most apps are not really cost effective for investing say €50 a month once transaction fees are applied. I know Revolut is cheap but they only do S&P 500 stocks. |
Lots of free trading apps nowadays - etoro, Trading 212 etc which you can do it through with no charges
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JUICEBOMB
Liam Brady
Joined: 06 Oct 2011
Location: Ireland
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Posted: 26 Nov 2020 at 11:22pm |
Zinedine Kilbane 110 wrote:
JUICEBOMB wrote:
Sham157 wrote:
Croftman wrote:
Not pension related but do have a monthly SO set up to a separate account for the kids. As much to help with college when it comes around than anything else. Just a normal savings account, earns fook all interest or that. Are there better things i should be putting it into instead? Wont need to be touched for 10-12 more years |
you could look at 10 year state bond if you have a bit of a lump sum built up, thats what I did. Have another lump ready to go as well and ill put that into a 5 year satate savings cert so both will have matured around the end of secondary school.
|
Just had a quick look at them...the 10yr returns €160 for every €1000 over the ten years.id guess most people will just throw what they have spare into that (could be the children’s allowance etc) so say 250 a mth is €3000 a year over ten years is €30000 or €34800 with the return....that’s along time to be waiting for €5000 return...is there anything that would give a bigger return over that time?? |
With inflation you are probably not getting any return on that investment but it’s zero risk.
The more risk you take on the higher the possible return.
You could buy corporate bond index and earn more. You could buy equity index and earn more.
If you have a long term horizon you should be buying low cost US equity index fund. The average returns are 10% on an annual basis. Some years this will be down 20% and others up 40% but over the long term the average growth is around 10% The best strategy is put in small amounts on a monthly basis so you are not trying to time the market. The longer you are in the market the better.
If you are saving for young kids this is a really good strategy. They will be owning a tiny % of Apple / Google / Amazon / Visa / Nike / AirBnB etc Every time you spend on one of these you know it’s going into one of your companies.
I know for most people this sounds complex but it’s not really. Your bank should have this service available or others like aviva also offer this service. They will try to push a global equity index on you as this is more safe but I would really go with a low cost US Index. The US is the best performing index ever. |
Again sorry as I’m a total novice on things like this....if I rock up to my local bank of Ireland will they or can they set me up to invest in the US equity fund or do I need to go to a broker or can I do this myself from home?
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hard work beats talent when talent doesn't work hard
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Zinedine Kilbane 110
Jack Charlton
Man City records obsession
Joined: 20 Mar 2012
Location: Dundalk
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Posted: 27 Nov 2020 at 9:28am |
JUICEBOMB wrote:
Zinedine Kilbane 110 wrote:
JUICEBOMB wrote:
Sham157 wrote:
Croftman wrote:
Not pension related but do have a monthly SO set up to a separate account for the kids. As much to help with college when it comes around than anything else. Just a normal savings account, earns fook all interest or that. Are there better things i should be putting it into instead? Wont need to be touched for 10-12 more years |
you could look at 10 year state bond if you have a bit of a lump sum built up, thats what I did. Have another lump ready to go as well and ill put that into a 5 year satate savings cert so both will have matured around the end of secondary school.
|
Just had a quick look at them...the 10yr returns €160 for every €1000 over the ten years.id guess most people will just throw what they have spare into that (could be the children’s allowance etc) so say 250 a mth is €3000 a year over ten years is €30000 or €34800 with the return....that’s along time to be waiting for €5000 return...is there anything that would give a bigger return over that time?? |
With inflation you are probably not getting any return on that investment but it’s zero risk.
The more risk you take on the higher the possible return.
You could buy corporate bond index and earn more. You could buy equity index and earn more.
If you have a long term horizon you should be buying low cost US equity index fund. The average returns are 10% on an annual basis. Some years this will be down 20% and others up 40% but over the long term the average growth is around 10% The best strategy is put in small amounts on a monthly basis so you are not trying to time the market. The longer you are in the market the better.
If you are saving for young kids this is a really good strategy. They will be owning a tiny % of Apple / Google / Amazon / Visa / Nike / AirBnB etc Every time you spend on one of these you know it’s going into one of your companies.
I know for most people this sounds complex but it’s not really. Your bank should have this service available or others like aviva also offer this service. They will try to push a global equity index on you as this is more safe but I would really go with a low cost US Index. The US is the best performing index ever. |
Again sorry as I’m a total novice on things like this....if I rock up to my local bank of Ireland will they or can they set me up to invest in the US equity fund or do I need to go to a broker or can I do this myself from home? |
You can rock up or call the bank of Ireland or do it online if you want to start saving/investing into funds
On their website:
Products Investments Access the fund center
This lists out all the available funds -
You want the North American Equity Indexed (This tracks the S&P 500 - The performance of the last 3 / 5 / 10 years on an annual basis has been 13.3% / 10.7%. / 14.8% Cumulative 45.6%. / 66.6%. / 298.6%
You can set up a monthly standing order and you’ll get monthly statements etc
If you put in 10k in 2010 it would now be worth 40k.
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nvidic
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Posted: 27 Nov 2020 at 10:38am |
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Any reason you'd steer clear of the technology indexed fund that they have listed?
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Sham157
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Posted: 27 Nov 2020 at 10:41am |
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Set the wheels in motion for the work pension. Its an employer contribution PRSA where they contribute 1.5% of basic pay. My salary is 1/3 allowances and premiums so a bit disappointing in that regard but better than nothing.
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the_walls
Jack Charlton
6 in a row, alive alive oh..
Joined: 13 Feb 2009
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Posted: 27 Nov 2020 at 11:04am |
Zinedine Kilbane 110 wrote:
JUICEBOMB wrote:
Zinedine Kilbane 110 wrote:
JUICEBOMB wrote:
Sham157 wrote:
Croftman wrote:
Not pension related but do have a monthly SO set up to a separate account for the kids. As much to help with college when it comes around than anything else. Just a normal savings account, earns fook all interest or that. Are there better things i should be putting it into instead? Wont need to be touched for 10-12 more years |
you could look at 10 year state bond if you have a bit of a lump sum built up, thats what I did. Have another lump ready to go as well and ill put that into a 5 year satate savings cert so both will have matured around the end of secondary school.
|
Just had a quick look at them...the 10yr returns €160 for every €1000 over the ten years.id guess most people will just throw what they have spare into that (could be the children’s allowance etc) so say 250 a mth is €3000 a year over ten years is €30000 or €34800 with the return....that’s along time to be waiting for €5000 return...is there anything that would give a bigger return over that time?? |
With inflation you are probably not getting any return on that investment but it’s zero risk.
The more risk you take on the higher the possible return.
You could buy corporate bond index and earn more. You could buy equity index and earn more.
If you have a long term horizon you should be buying low cost US equity index fund. The average returns are 10% on an annual basis. Some years this will be down 20% and others up 40% but over the long term the average growth is around 10% The best strategy is put in small amounts on a monthly basis so you are not trying to time the market. The longer you are in the market the better.
If you are saving for young kids this is a really good strategy. They will be owning a tiny % of Apple / Google / Amazon / Visa / Nike / AirBnB etc Every time you spend on one of these you know it’s going into one of your companies.
I know for most people this sounds complex but it’s not really. Your bank should have this service available or others like aviva also offer this service. They will try to push a global equity index on you as this is more safe but I would really go with a low cost US Index. The US is the best performing index ever. |
Again sorry as I’m a total novice on things like this....if I rock up to my local bank of Ireland will they or can they set me up to invest in the US equity fund or do I need to go to a broker or can I do this myself from home? |
You can rock up or call the bank of Ireland or do it online if you want to start saving/investing into funds
On their website:
Products Investments Access the fund center
This lists out all the available funds -
You want the North American Equity Indexed (This tracks the S&P 500 - The performance of the last 3 / 5 / 10 years on an annual basis has been 13.3% / 10.7%. / 14.8% Cumulative 45.6%. / 66.6%. / 298.6%
You can set up a monthly standing order and you’ll get monthly statements etc
If you put in 10k in 2010 it would now be worth 40k. |
Would there be Capital Gains Tax on that?
|
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Zinedine Kilbane 110
Jack Charlton
Man City records obsession
Joined: 20 Mar 2012
Location: Dundalk
Status: Offline
Points: 9647
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Posted: 27 Nov 2020 at 11:23am |
the_walls wrote:
Zinedine Kilbane 110 wrote:
JUICEBOMB wrote:
Zinedine Kilbane 110 wrote:
JUICEBOMB wrote:
Sham157 wrote:
Croftman wrote:
Not pension related but do have a monthly SO set up to a separate account for the kids. As much to help with college when it comes around than anything else. Just a normal savings account, earns fook all interest or that. Are there better things i should be putting it into instead? Wont need to be touched for 10-12 more years |
you could look at 10 year state bond if you have a bit of a lump sum built up, thats what I did. Have another lump ready to go as well and ill put that into a 5 year satate savings cert so both will have matured around the end of secondary school.
|
Just had a quick look at them...the 10yr returns €160 for every €1000 over the ten years.id guess most people will just throw what they have spare into that (could be the children’s allowance etc) so say 250 a mth is €3000 a year over ten years is €30000 or €34800 with the return....that’s along time to be waiting for €5000 return...is there anything that would give a bigger return over that time?? |
With inflation you are probably not getting any return on that investment but it’s zero risk.
The more risk you take on the higher the possible return.
You could buy corporate bond index and earn more. You could buy equity index and earn more.
If you have a long term horizon you should be buying low cost US equity index fund. The average returns are 10% on an annual basis. Some years this will be down 20% and others up 40% but over the long term the average growth is around 10% The best strategy is put in small amounts on a monthly basis so you are not trying to time the market. The longer you are in the market the better.
If you are saving for young kids this is a really good strategy. They will be owning a tiny % of Apple / Google / Amazon / Visa / Nike / AirBnB etc Every time you spend on one of these you know it’s going into one of your companies.
I know for most people this sounds complex but it’s not really. Your bank should have this service available or others like aviva also offer this service. They will try to push a global equity index on you as this is more safe but I would really go with a low cost US Index. The US is the best performing index ever. |
Again sorry as I’m a total novice on things like this....if I rock up to my local bank of Ireland will they or can they set me up to invest in the US equity fund or do I need to go to a broker or can I do this myself from home? |
You can rock up or call the bank of Ireland or do it online if you want to start saving/investing into funds
On their website:
Products Investments Access the fund center
This lists out all the available funds -
You want the North American Equity Indexed (This tracks the S&P 500 - The performance of the last 3 / 5 / 10 years on an annual basis has been 13.3% / 10.7%. / 14.8% Cumulative 45.6%. / 66.6%. / 298.6%
You can set up a monthly standing order and you’ll get monthly statements etc
If you put in 10k in 2010 it would now be worth 40k. |
Would there be Capital Gains Tax on that? |
Only when you sell / realise the profits
There is a generous annual capital gains tax allowance in the UK (12k) but in Ireland it’s FA - 1,270..... so not much scope in Ireland for tax planning
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Zinedine Kilbane 110
Jack Charlton
Man City records obsession
Joined: 20 Mar 2012
Location: Dundalk
Status: Offline
Points: 9647
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Posted: 27 Nov 2020 at 11:25am |
Sham157 wrote:
Set the wheels in motion for the work pension. Its an employer contribution PRSA where they contribute 1.5% of basic pay. My salary is 1/3 allowances and premiums so a bit disappointing in that regard but better than nothing. |
Why were they not automatically paying this in? Did you actually have to ‘agree’ to this? That’s seems odd.
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Sham157
Moderator Group
Joined: 17 Jul 2009
Location: Monaghan/Dublin
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Posted: 27 Nov 2020 at 11:32am |
Zinedine Kilbane 110 wrote:
Sham157 wrote:
Set the wheels in motion for the work pension. Its an employer contribution PRSA where they contribute 1.5% of basic pay. My salary is 1/3 allowances and premiums so a bit disappointing in that regard but better than nothing. |
Why were they not automatically paying this in? Did you actually have to ‘agree’ to this? That’s seems odd. |
Employees had to set it up themselves by contacting the company’s provider of the PRSA. Once set up the provider would then make the arrangements with the company. If you didn’t want to set it up you were supposed to sign a waiver. Luckily I didn’t sign it at the time so can now set it up and get the company contribution.
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Zinedine Kilbane 110
Jack Charlton
Man City records obsession
Joined: 20 Mar 2012
Location: Dundalk
Status: Offline
Points: 9647
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Quote Reply
Posted: 27 Nov 2020 at 11:32am |
nvidic wrote:
Any reason you'd steer clear of the technology indexed fund that they have listed? |
It’s more riskier and this is people’s savings so I’m advocating a safe return on a proven index - S&P 500.
The S&P 500 gives you exposure to Amazon, Google , Apple etc so you have exposure to tech.
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Zinedine Kilbane 110
Jack Charlton
Man City records obsession
Joined: 20 Mar 2012
Location: Dundalk
Status: Offline
Points: 9647
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Quote Reply
Posted: 27 Nov 2020 at 11:33am |
Sham157 wrote:
Zinedine Kilbane 110 wrote:
Sham157 wrote:
Set the wheels in motion for the work pension. Its an employer contribution PRSA where they contribute 1.5% of basic pay. My salary is 1/3 allowances and premiums so a bit disappointing in that regard but better than nothing. |
Why were they not automatically paying this in? Did you actually have to ‘agree’ to this? That’s seems odd. |
Employees had to set it up themselves by contacting the company’s provider of the PRSA. Once set up the provider would then make the arrangements with the company. If you didn’t want to set it up you were supposed to sign a waiver. Luckily I didn’t sign it at the time so can now set it up and get the company contribution. |
Any chance they will backdate it? Worth asking ...
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nvidic
Moderator Group
Joined: 03 Aug 2010
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Posted: 27 Nov 2020 at 11:34am |
Zinedine Kilbane 110 wrote:
nvidic wrote:
Any reason you'd steer clear of the technology indexed fund that they have listed? |
It’s more riskier and this is people’s savings so I’m advocating a safe return on a proven index - S&P 500.
The S&P 500 gives you exposure to Amazon, Google , Apple etc so you have exposure to tech. |
Nice one, many thanks!
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Sham157
Moderator Group
Joined: 17 Jul 2009
Location: Monaghan/Dublin
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Posted: 27 Nov 2020 at 11:35am |
Zinedine Kilbane 110 wrote:
Sham157 wrote:
Zinedine Kilbane 110 wrote:
Sham157 wrote:
Set the wheels in motion for the work pension. Its an employer contribution PRSA where they contribute 1.5% of basic pay. My salary is 1/3 allowances and premiums so a bit disappointing in that regard but better than nothing. |
Why were they not automatically paying this in? Did you actually have to ‘agree’ to this? That’s seems odd. |
Employees had to set it up themselves by contacting the company’s provider of the PRSA. Once set up the provider would then make the arrangements with the company. If you didn’t want to set it up you were supposed to sign a waiver. Luckily I didn’t sign it at the time so can now set it up and get the company contribution. |
Any chance they will backdate it? Worth asking ... |
Once the Comedy clubs reopen, get yourself a stand up slot  zero hope but nothing to lose in asking.
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Shedite
Jack Charlton
Joined: 09 Dec 2011
Status: Offline
Points: 9816
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Posted: 27 Nov 2020 at 11:53am |
Zinedine Kilbane 110 wrote:
the_walls wrote:
Would there be Capital Gains Tax on that? |
Only when you sell / realise the profits
There is a generous annual capital gains tax allowance in the UK (12k) but in Ireland it’s FA - 1,270..... so not much scope in Ireland for tax planning |
I think those accounts calculate the gain and give you a CGT bill every 8 years. Bit of a pain to work it out every year. "Deemed Disposal" it's called
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Zinedine Kilbane 110
Jack Charlton
Man City records obsession
Joined: 20 Mar 2012
Location: Dundalk
Status: Offline
Points: 9647
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Posted: 27 Nov 2020 at 12:17pm |
Sham157 wrote:
Zinedine Kilbane 110 wrote:
Sham157 wrote:
Zinedine Kilbane 110 wrote:
Sham157 wrote:
Set the wheels in motion for the work pension. Its an employer contribution PRSA where they contribute 1.5% of basic pay. My salary is 1/3 allowances and premiums so a bit disappointing in that regard but better than nothing. |
Why were they not automatically paying this in? Did you actually have to ‘agree’ to this? That’s seems odd. |
Employees had to set it up themselves by contacting the company’s provider of the PRSA. Once set up the provider would then make the arrangements with the company. If you didn’t want to set it up you were supposed to sign a waiver. Luckily I didn’t sign it at the time so can now set it up and get the company contribution. |
Any chance they will backdate it? Worth asking ... |
Once the Comedy clubs reopen, get yourself a stand up slot zero hope but nothing to lose in asking. |
You laugh but in the Uk pension act 2008 there is a clause of auto-enrolment. If you have a pension scheme you must auto enrol every employee over 22 unless they agree not to accept this money!
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Sham157
Moderator Group
Joined: 17 Jul 2009
Location: Monaghan/Dublin
Status: Offline
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Quote Reply
Posted: 27 Nov 2020 at 2:21pm |
Zinedine Kilbane 110 wrote:
Sham157 wrote:
Zinedine Kilbane 110 wrote:
Sham157 wrote:
Zinedine Kilbane 110 wrote:
Sham157 wrote:
Set the wheels in motion for the work pension. Its an employer contribution PRSA where they contribute 1.5% of basic pay. My salary is 1/3 allowances and premiums so a bit disappointing in that regard but better than nothing. |
Why were they not automatically paying this in? Did you actually have to ‘agree’ to this? That’s seems odd. |
Employees had to set it up themselves by contacting the company’s provider of the PRSA. Once set up the provider would then make the arrangements with the company. If you didn’t want to set it up you were supposed to sign a waiver. Luckily I didn’t sign it at the time so can now set it up and get the company contribution. |
Any chance they will backdate it? Worth asking ... |
Once the Comedy clubs reopen, get yourself a stand up slot zero hope but nothing to lose in asking. |
You laugh but in the Uk pension act 2008 there is a clause of auto-enrolment. If you have a pension scheme you must auto enrol every employee over 22 unless they agree not to accept this money! |
I was more laughing at the thought of this lot giving something like backdating at their own discretion. The 1.5 had to be dragged out of them kicking and screaming over a year ago. Anyhow, ball is rolling. Cheers for the advice 
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JUICEBOMB
Liam Brady
Joined: 06 Oct 2011
Location: Ireland
Status: Offline
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Posted: 28 Nov 2020 at 11:39pm |
Zinedine Kilbane 110 wrote:
the_walls wrote:
Zinedine Kilbane 110 wrote:
JUICEBOMB wrote:
Zinedine Kilbane 110 wrote:
JUICEBOMB wrote:
Sham157 wrote:
Croftman wrote:
Not pension related but do have a monthly SO set up to a separate account for the kids. As much to help with college when it comes around than anything else. Just a normal savings account, earns fook all interest or that. Are there better things i should be putting it into instead? Wont need to be touched for 10-12 more years |
you could look at 10 year state bond if you have a bit of a lump sum built up, thats what I did. Have another lump ready to go as well and ill put that into a 5 year satate savings cert so both will have matured around the end of secondary school.
|
Just had a quick look at them...the 10yr returns €160 for every €1000 over the ten years.id guess most people will just throw what they have spare into that (could be the children’s allowance etc) so say 250 a mth is €3000 a year over ten years is €30000 or €34800 with the return....that’s along time to be waiting for €5000 return...is there anything that would give a bigger return over that time?? |
With inflation you are probably not getting any return on that investment but it’s zero risk.
The more risk you take on the higher the possible return.
You could buy corporate bond index and earn more. You could buy equity index and earn more.
If you have a long term horizon you should be buying low cost US equity index fund. The average returns are 10% on an annual basis. Some years this will be down 20% and others up 40% but over the long term the average growth is around 10% The best strategy is put in small amounts on a monthly basis so you are not trying to time the market. The longer you are in the market the better.
If you are saving for young kids this is a really good strategy. They will be owning a tiny % of Apple / Google / Amazon / Visa / Nike / AirBnB etc Every time you spend on one of these you know it’s going into one of your companies.
I know for most people this sounds complex but it’s not really. Your bank should have this service available or others like aviva also offer this service. They will try to push a global equity index on you as this is more safe but I would really go with a low cost US Index. The US is the best performing index ever. |
Again sorry as I’m a total novice on things like this....if I rock up to my local bank of Ireland will they or can they set me up to invest in the US equity fund or do I need to go to a broker or can I do this myself from home? |
You can rock up or call the bank of Ireland or do it online if you want to start saving/investing into funds
On their website:
Products Investments Access the fund center
This lists out all the available funds -
You want the North American Equity Indexed (This tracks the S&P 500 - The performance of the last 3 / 5 / 10 years on an annual basis has been 13.3% / 10.7%. / 14.8% Cumulative 45.6%. / 66.6%. / 298.6%
You can set up a monthly standing order and you’ll get monthly statements etc
If you put in 10k in 2010 it would now be worth 40k. |
Would there be Capital Gains Tax on that? |
Only when you sell / realise the profits
There is a generous annual capital gains tax allowance in the UK (12k) but in Ireland it’s FA - 1,270..... so not much scope in Ireland for tax planning |
Was chatting to a mate of mine that invests directly in US equities (seems to be doing quite well with a US petroleum company)..he did mention the capital gains tax...he said its 33%of most gains but 40% for gains in foreign life polices or foreign investment products.....so do you lose 40% of all your gains when you want to take it out???has to be some sort of loophole there to get the few bob out?
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hard work beats talent when talent doesn't work hard
|
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Shedite
Jack Charlton
Joined: 09 Dec 2011
Status: Offline
Points: 9816
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Posted: 29 Nov 2020 at 8:13am |
JUICEBOMB wrote:
Was chatting to a mate of mine that invests directly in US equities (seems to be doing quite well with a US petroleum company)..he did mention the capital gains tax...he said its 33%of most gains but 40% for gains in foreign life polices or foreign investment products.....so do you lose 40% of all your gains when you want to take it out???has to be some sort of loophole there to get the few bob out? |
Unfortunately not, unless ya wanna emigrate somewhere for the year you're cashing out.
CGT is only paid on a gain, better to make a gain and give some to the taxman than not make a gain.
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