I have £20 000 to invest, should I invest in OIL? Property? Help?

Question

Ok, I'm in the UK and I' m sure everyone knows about the credit crunch by now. I wanted to invest in property but it's proving VERY difficult to find a mortgage right now so I'm almost giving up. I have tried to look for buy to let mortgages but that means the property would have to be worth about £100 000 which is ok, but the rental figures are not stacking up since the interest rates are so high.

So I am stuck with £20K in my bank account and only will power is stopping me from going shopping.

I have tried to look at overseas property but I'm not sure if buying in Cyprus or the US is the way to go. Florida right now looks good with prices having fallen by almost 50% on some developments, but I am still unsure what I would get back. I cannot lose the capital.

I recently saw something in the paper about investing in Oil, does anyone know more about it? Would I lose my money? Is it high risk?

What other ideas? thanks in advance.

Answer 1

They say that the way to make money, is to invest in a sector, when everyone else is selling it, ie. when the prices are very low.   So, if you are very brave, (braver than me), why not spread the money around about six different house-builders.

Answer 2

i invested with forex managed account , their minimum for now is 15K usd , i have 100k  with them for more than 3 months

Answer 3

Speak to a good Financial Adviser and make sure you have a diverse portfolio (Property/Shares/Bonds etc), also ideally you should not invest with the short term view, investments should be held for c. 5 years.

Always make sure you know the costs of the advice or charges on the investment before signing.

Answer 4

I liked your question. I'm not a professional in this aspect but I do know a few people who did investments and here are some ideas that you can build upon and develop with help of others:

1. If you don't mind having long term inverstment, invest in property (buy to let), even though you'll have to pay towards interest rates etc in addition to the rent you will get.

2. Invest in buying stock, but this can be risky

3. Set up your own business, start with something small and popular such as hand crafts, or anything that can have a high yield but low cost.

I hope this helps, and good luck :)

Answer 5

Sometimes, doing nothing and investing in yourself is a better idea. Go ahead and reward yourself. When things start turning up, you will be in a fresh mindset and the opportunity will come to you.

Good luck!

http://jsforex.blogspot.com

Managed Accounts in Forex Trading

Answer 6

I'd say be smart and invest the money wisely.

Split it:

60% put on high yielding savings account or ISA

20% share isa or normal shares

20% you could use for a shorter term investing like spread betting (you can acutally buy and sell oil but be careful).

It's actually up to you how you split the money but make sure you don't use just one option as it's always a good idea to have some on your savings account.

Make sure you find a cheap broker though. I got capital spreads. They quite good and cheap. Try http://www.independentinvestor.co.uk they compare lots of investment accouts.

Answer 7

If you really want to see your money grow and you want to invest it in a safe place then believe me invest with www.eucash.us  Even i have invested with these guys and have got back my returns. They are amazing. Now I have reinvested with them. You will get back a good return on your investment in a short time.  

Answer 8

I'd avoid oil and property. Oil is in a bubble, meaning the high profits won't last because the government will curtail inflation driving oil prices down. Property while down from it's peak still has a long way to go down. The prices are being held up by low interest rates but with inflation getting high it's just a matter of time before the interest rates go up steeply driving property values down, and those condos are the first thing to drop and will drop the farthest. If you were thinking of holding for 30 years then it wouldn't matter, and you could take advantage of your higher currency.

Answer 9

If you deposit your £20,000 in my paypal account I'd be only too happy to invest it on your behalf. Contact  me  soon. Have  a blessed day

Rev Obunga Bogalogaboomba - Nigeria

Answer 10

invest money in punjab, in india. buy a property and just hold it for a year and it will be worth at least double. property prices in punjab are crazy theyr goin up really fast

Answer 11

I would go with SS opinion, i think investing in properties in India is a good bet right now and i also heard that the prices there are doubling up really fast. I'm just not too sure if British people can invest there because according to what i have heard, Indian government created a law that restricts foreigners from investing in India.

I think we have similar ideas when comes to investing, look at my profile and add me on msn if you want to exchange more ideas. We won't lose anything by swapping ideas.

Answer 12

Invest you money into a fund and let them do the hard work.

I recently put 20000 into a uk based fund and have already taken about 2000 in profit since january.

Answer 13

In the first instance put it in a high yield savings account that has some kind of time period involved.  

The stock market will be the place for it - you can invest directly, which is quite high risk and is expensive in terms of charges if you invest outside UK stocks or you could look at Unit trusts or general funds.  It isn't a bad time to invest that way.  There will probably be an investment boom in the stock market in the next few years.  

One thing - whilst I would see an IFA I wouldn't take what they say at face value - they often make their money through their relationship with the Investment company and as such are not independent at all.  Do your own research !  (which I suppose is what this is)