Cal🇬🇧

Current Investment Stratedgy - “Long Plays” Pie Allocation: Growth Engine: 60% - $EQQQ 30% - $VWRP 10% - $WSML I’ll be DCA’ing each month as well as rebalancing the portfolio 1 - 2 times per year.🤙🏼

@DividendDrip 🫡

The battle of 4000.

@KinguIRL @UK_Compounder @2147mill Yeah mate, Just don’t invest or save anything either then because your missus will take half of that too

@CompoundCal @UK_Compounder @2147mill Yeah mate buy a house so your missus can take it in the divorce

The average UK mortgage is £200,000 at 5% over 25 years. Total repayment? £350,000. You borrow £200K and pay back £350K. £150,000 straight to the bank. For nothing. Then you pay to fix up the house. Stuff breaks. You pay insurance monthly. Fees when/if you sell the property. And we act like renting is throwing money away. There is a strong argument for renting.

@UK_Compounder @2147mill Just to add to this - owning your own property, especially if you’ve got a family is priceless. You can make the house as homely as you’d like and renovate it in any way you see fit. Never having to worry about the landlord wanting to sell up.

Rent £1,200 x 25 years = £360k (£1.2k for illustration is less than UK average rent) Same cost over the period in this example. One way you own nothing. One way you own an asset, with the likelihood of significant appreciation over a 25 year period. Even factoring in maintenance and insurance... I'd rather own any day. There's no one size fits all approach, and suitability will be different for everyone. But I don't think your assessment of the comparison is fair. Property seems to get a bad rap on FinX!

@DividendDrip I’ve just deposited £60 into my pie. Looking to spread £800 over the next few days! Great prices.

Early bird eats the worm. The buying has commenced, with the S&P 500 at levels last seen since September.

@LaceyTradesX This is actually quite an underrated statement. Remove all emotion from Investing and stick to the core fundamentals as well as any basic principles dictated by yourself and you can’t go far wrong.

Note for future self. Stick. To. Rules.

I can see why an SIPP makes sense to certain people, especially to those earning within the 40% tax bracket or runs their own company. For me though, I don’t like the idea that the government can raise the age of withdrawal. We are seeing this rise from 55 to 57 in 2028. Who knows what it will rise to when I am of age. My stance currently is that I am happy to sacrifice the extra government top up for the freedom to withdraw at any moment, tax free from my S&S ISA. Great post though mate! It’s definitely interesting to see other people’s perspective.

The UK government is handing out free money to anyone willing to buy assets. We talk endlessly about the Stocks and Shares ISA. However, the SIPP, Self-Invested Personal Pension is a cheat code. Let us run the numbers for someone earning a salary of £35,000 a year. The take home pay is roughly £2,300 a month. Imagine you decide to divert £160 of that into a SIPP. The second that money lands, the taxman steps in. Because you are a basic rate taxpayer, HMRC is legally forced to refund the tax you already paid on those earnings. They drop an extra £40 straight into your pot. You only sacrificed £160 of your own wages. But you are actually investing £200 every single month. Over twenty five years, that is £12,000 of free money handed to you by the government. But that is just the seed money. You take that boosted £200 a month and use it to buy units of the S&P 500 $VUSA. You leave it alone for two and a half decades. Historically, pointing that exact amount of cash at the global markets turns into a retirement pot worth roughly £190,000. You only ever parted with £48,000 of your own money. The government top up and the stock market generated the £142,000 difference. But if you earn over £50,270 and fall into the higher rate tax bracket, the math becomes ridiculous. Let us look at a salary of £60,000. If you want £500 a month landing in your SIPP, it only costs you £300. Your pension provider automatically claims £100 from the government, and the taxman owes you another £100 straight back in your pocket. You are literally buying £500 worth of the S&P 500 $VUSA for exactly £300. Historically, pointing that amount of cash at the global markets turns into a retirement pot worth roughly £475,000. You only ever parted with £90,000 of your own actual money. The government top up and the stock market generated the massive £385,000 difference. Stop leaving your own wealth on the table. Claim your tax relief. Buy the index.

The classic saying “Time in the market > Timing the market.” If you’re going to wait around for what could be years before a “crash” happens, any cash you’re saving now is going to get eaten up by inflation. If you’ve got 20 years worth of investing before you’re planning on selling - just start building the habits now and continue buying through the price dips when they come.

@CompoundCal @StevenGuinness @AshDavidsonUK That there are almost daily articles online talking about an imminent "realignment" of the markets and that it's very likely that many shares will fall, perhaps quite significantly, and that correction could well happen this year?

£10k invested. Then £250/month. 7% average return. 4% yield. Reinvested. After 30 years: £350k portfolio. £14k/year in dividends. You put in £100k. That’s a 14% yield on cost. This is why dividend investors don’t rush the snowball

@StevenGuinness @AshDavidsonUK What exactly are you nervous about mate ?

@AshDavidsonUK A touch nervous about investing in all worlds with markets near or at all time highs.

@freedombill3 I saw your pie and couldn’t quite understand why you and a few others were sacrificing the growth side for Income if the dividends were just getting reinvested anyway. Seems like you’re got a solid simple strategy now though!

I have just sold £42,900 worth of $JEPQ. That is roughly 12% of my entire portfolio, moved straight from income into pure growth via the S&P 500 $VUSA. I have zero regrets about buying it in the first place. I am the kind of person who always jumps in feet first to see how things work. Part of maturing as an investor is knowing when to walk away. If an asset no longer serves your actual timeline, you don't hold onto it out of stubbornness. You pivot, you adapt, and you move on. It is all part of the journey. I genuinely enjoyed seeing that monthly dividend hit the account. I had to be honest with myself about what your money is for. I am in my early 40s. I do not need income smoothing right now, and I do not rely on portfolio yield to pay my bills. If all I am doing is taking that monthly dividend and reinvesting it, I am capping my long-term capital growth just for the sake of a regular dopamine hit. Over the weekend, I spent some time looking and discussing how my wife manages her Stocks and Shares ISA. She sets her monthly deposit, and she walks away. She doesn't even open the app to check her portfolio until the following month. Her logic is flawless, we doesn't need the money today, so she doesn't need to look at the daily price. It is the best financial advice anyone can give. The Strategy going forward.... My main portfolio just got even simpler. It is now completely stripped back to two main funds.... 86.25% $EQQQ Nasdaq 100, the main growth engine. 13.74% $VUSA S&P 500, the solid foundation. I am not going to revisit income investing until I am in my 50s and may need the cash flow to replace my salary. For those following along with the daily updates, the 1p Challenge is not changing. I will continue to deposit into the $VHYL, $VUSA, and $JEPQ pies every single day. That is a completely separate experiment in building a habit from scratch. For my life savings, I am adopting my wife's strategy. Buy the index. Close the app. Let the compound interest do the heavy lifting.

@patriots777888 @RestoreBritain_

Now all the local -Election’s are going ahead.Who are you going to vote for? Please RT👍

@DuxVul @2147mill It’s a shame this is pretty much unheard of in the UK. Sounds like you’ve got a mega deal there!

@CompoundCal @2147mill The EU didn’t have the same inflation crisis as the UK Rates are even lower now, my mortgage was “expensive” lol

Controversial take: Paying off your mortgage early might be a mistake. Mortgage rate: 4% S&P 500 average: 10% Every £1K you overpay costs you £60/year in opportunity cost. Run the numbers. Don't follow the crowd.

@DuxVul @2147mill Almost sounds unbelievable

@2147mill My mortgage is 2.7% on a 30 year fix Not a single penny will ever be over payed

@NotFarLeftAtAll Is it just me that’s never paid for a TV license ? Think I’m on my 28th “final” letter now

🚨 Breaking; BBC licence fee update as millions could face £174 charge to watch Netflix BBC bosses are seeking alternative options surrounding how the current licensing model operates, which could include extending the charge.

@2147mill For me It was unnecessary subscriptions. £76.57/month extra I’ve now freed up to be Invested.

Most people don’t lose money from bad investments. They lose it from boring habits: • upgrades they don’t need • “it’s only £20” spending • convenience every day That stuff compounds too. Just in the wrong direction. What’s your biggest money leak?

@UK_Compounder Interesting. I’m going to do abit more research into Income Funds for future reference. As it stands currently, my main goal is to get the growth side of things built up first.

For those seeking income, check out this list of great income funds. Be wary of yeild traps and always do your own research before investing!

@SaveInvest_ETF Sub £50k and I’d definitely consider it.

Bitcoin is falling , anyone buying the dip

@TheBrilliantBu1 Pretty similar to what I’m doing mate, consistency is key! Good luck from across the pond. 🇬🇧🇺🇸

Here’s my game plan to improve my investing: • At least $10/day invested. Currently at $13/day • Put all my cash back into investments • Add 11% of my salary in my 401k after my match • Learn more about what I invest and become a better investor.

@satyameht96 It was my first time Investing this month. I put £995 as a lump sum for the month. I’m going to trial the weekly payments next month and daily the month after and see what works best for me.

DCA, or dollar-cost averaging, is widely regarded as an effective investment strategy because it eliminates the risk of timing the market. However, determining the optimal period for DCA can be challenging. Should it be done daily, weekly, monthly, or every six months?

@UK_Compounder I will definitely take this into consideration. Thank you for the response, I appreciate it!

@UK_Compounder I’m stuck between opening one up for my children now or just combining it all together into my ISA. There’s definetly pros and cons to both. Maybe once I max out my ISA for the year, I’d be more for the idea.

Update on my eldest's Junior Srocks and Shares ISA. Currently, on 10% annualised returns, he's looking at £30k when he turns 18. It's not life changing money, but it's a start that I never had. A first car? A property deposit? Or... the start of his own investing journey? 😃 I only contribute £50 a month to this, but I hope in time I will be able to contribute more. I will also be encouraging him to put in birthday money too, when he's a bit older! This is just a simple Natwest product, and I'm not happy with the returns to date or the investing options. Does anyone have any recommendations? I'm thinking Hargreaves Lansdown.