RegularLow/ShortHigh risk investment

[MrW1990]

Good Evening.

A change in employment has found me the option of being able to make a regular investment along side regular ISA savings.

I am going into a job where I am expecting to receive on average £200 in "tips" per month on top of my regular wages, in which a proportion of them are directed into an ISA.

Of the £200 I want to regularly invest around £150 of it per month.

I would like to split this 50/50 between long term low risk investments that create some dividend and short term high risk investments for potential profit.

I would like to use the platform TD Waterhouse having done some research I find this the most user friendly interface for a novice and it offers a set and forget facility which would be handy for my regular long term investment, while allowing the ability to top up and make other trades.

I'm not interested in funds or other such things like trading ISA, SIPPs etc...

My questions are is there any advice that can be offered for the direction I have explained I want to take?

The site fees stipulate £5.95 for a regular trader that makes over 20 trades in three months, could you explain to me is that £5.95 a month or per trade? So it would cost me £119 to make 20 separate trades? Either I'm not understanding it or the site is not stipulating clearly which it is? - In your experience.

And finally I'm failing to understand the difference between "Personal Trading Level" and "Available Spends" as the demos stipulate there must be enough money in your account at T+3 etc... could someone explain that in a different way to me?

Thank you all in advance.

 

[malaguti]

Good Evening.

A change in employment has found me the option of being able to make a regular investment along side regular ISA savings.

I am going into a job where I am expecting to receive on average £200 in "tips" per month on top of my regular wages, in which a proportion of them are directed into an ISA.

Of the £200 I want to regularly invest around £150 of it per month.

I would like to split this 50/50 between long term low risk investments that create some dividend and short term high risk investments for potential profit.

I would like to use the platform TD Waterhouse having done some research I find this the most user friendly interface for a novice and it offers a set and forget facility which would be handy for my regular long term investment, while allowing the ability to top up and make other trades.

I'm not interested in funds or other such things like trading ISA, SIPPs etc...

My questions are is there any advice that can be offered for the direction I have explained I want to take?

The site fees stipulate £5.95 for a regular trader that makes over 20 trades in three months, could you explain to me is that £5.95 a month or per trade? So it would cost me £119 to make 20 separate trades? Either I'm not understanding it or the site is not stipulating clearly which it is? - In your experience.

And finally I'm failing to understand the difference between "Personal Trading Level" and "Available Spends" as the demos stipulate there must be enough money in your account at T+3 etc... could someone explain that in a different way to me?

Thank you all in advance.

could you explain again what you are doing? you want to put money into an ISA for investing, but don't want to trade?

5.95 would be per trade. you would need to have cleared your first 20 trades I'd suspect. but I'm really not sure that's what you want to be doing..as you say it would cost you in fees almost the amount you want to put aside

also you'll find those terms in their glossary
https://www.tddirectinvesting.co.uk/help/glossary/#P

if you could clarify what your goals are again, and maybe I can help
also, you are aware that TD is one of the most expensive brokers? You really want a nice interface over capital preservation?
whilst they are smiling at you, someone else is robbing you blind..that's not a good philosophy

 

[MrW1990]

could you explain again what you are doing? you want to put money into an ISA for investing, but don't want to trade?

5.95 would be per trade. you would need to have cleared your first 20 trades I'd suspect. but I'm really not sure that's what you want to be doing..as you say it would cost you in fees almost the amount you want to put aside

also you'll find those terms in their glossary
https://www.tddirectinvesting.co.uk/help/glossary/#P

if you could clarify what your goals are again, and maybe I can help
also, you are aware that TD is one of the most expensive brokers? You really want a nice interface over capital preservation?
whilst they are smiling at you, someone else is robbing you blind..that's not a good philosophy

My apologies for not being clearer. I regularly save into an ISA through my wages. It is a bank ISA not a trading one.

It is the additional "tip" money that I want to invest and trade.

As I don't see the tip money as being money I have actually earned/accounted for, I.E I don't use it to pay the bills or save with (It is just an added perk of the job, I don't account for it in my day to day finances) then I'm a little more relaxed, if I find TD more expensive but easier for me to understand and use then I am at peace with that.

At most I want to be making one low risk investment per month and one high risk.

Hope this helps?

EDIT- That being said, I do want to be sensible, as I am new to this I will accept any constructive criticism, more often than not I have a reason for what I am saying which I think is valid to me personally.

 

[malaguti]

My apologies for not being clearer. I regularly save into an ISA through my wages. It is a bank ISA not a trading one.

It is the additional "tip" money that I want to invest and trade.

As I don't see the tip money as being money I have actually earned/accounted for, I.E I don't use it to pay the bills or save with (It is just an added perk of the job, I don't account for it in my day to day finances) then I'm a little more relaxed, if I find TD more expensive but easier for me to understand and use then I am at peace with that.

At most I want to be making one low risk investment per month and one high risk.

Hope this helps?

ok so you have a cash isa, and you are going to set up a stocks and shares ISA?
and you will have approx £150 per month to invest in

 

[MrW1990]

ok so you have a cash isa, and you are going to set up a stocks and shares ISA?
and you will have approx £150 per month to invest in

A stocks and shares ISA is not something I am interested in. I like the idea of being able to save my wages into my cash ISA and it having nothing to do with Stocks and Shares. I want the two to be entirely separate.

and yes, £150 a month

 

[malaguti]

A stocks and shares ISA is not something I am interested in. I like the idea of being able to save my wages into my cash ISA and it having nothing to do with Stocks and Shares. I want the two to be entirely separate.

and yes, £150 a month

your wages can go into a cash isa, and your tips can go wherever you like.
you realise you can have both, and they are completely seperate. a cash isa with barclays and a stocks isa with Lloyds? you have an annual allowance for either and your £150 wont exceed this allowance

ok so not a stocks and shares isa, but you will have a broker to trade stocks and shares..anyhow that's not the real issue
one month you have £150 to "invest"
TD will charge you £12.50 to buy a stock, and 12.50 to sell the same stock
£25 charges
so you had £150..you now effectively have £125 after charges
you will need to now make 20% 25/125 for every single investment you make just to break even.
if you can make over 20% every single trade I'm not sure what i can offer to the table

(you said you will make one high risk and one low risk trade per month) which puts you at TD standard charges which is 12.50 per trade

im out of my league already it seems, so I'd best bow out and apologise for the questions. but do google cash isas and stocks and shares isa. just understanding the basics is a good starting point before deciding on a broker.
good luck though

 

[MrW1990]

I'd rather get it wrong on here than on the actual shop floor so to speak so you're not out of your league you're actually educating me and as a complete novice I'm taking on board everything.

So with a £150 per month to invest in stocks and shares, what way would you go about it? That includes on advising on different platforms.

I'm willing to save the money to bankroll bigger investments etc...


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