You have 100k to invest, would you drip feed 20k into the S&S ISA every year or do 20k in an ISA and use the 80k to buy funds in the ‘FTSE all world’ right now?

[icantwaitforsummer]

If your experienced in investing I would love to know what you would do.

I have put 20k in the s&s ISA in the FTSE all world. But what about the other 80k? Have it sitting in a high value savings account where it is now on 4.6%. And transfer 20k every year?

Or put the other 80k straight into a FTSE all world now?

Its my retirement fund so don’t need it for 15 years at least.

a £3000 return on £20k in one year would be 15%…… which is a risk I’d be prepared to take… There are of course dealing charges as well - which is why choosing a low-cost dealer is important.

https://www.which.co.uk/money/investing/investment-platforms-and-fund-supermarkets/best-investment-platforms/compare-investment-platform-fees-and-charges-anYec4l0G9J5

Just read about Bed and ISA thank you, that was new to me.

My ISA is with trading 212 which don’t charge fees so apparently there isn’t much point.

The only thing is if I put my remaining 80k in a fund and it drops 5 grand I’m not going to remove 20 in April to top up the ISA, as I will be at a loss. It seems so risky.

I’m not sure you fully understand what an ISA is. It is nothing more than a wrapper that protects gains from tax - the underlying investment is exactly the same, so the risk doesn’t change.

But if you buy and sell in the same fund at the same moment, wouldn't you not crystallise the loss, beyond transaction charges? I'm not sure, because I hadn't heard of Bed and ISA until now, but that was what it sounded like to me from my reading of the above.

There is a risk of loss from what I have read as it can take 2-7 days to sell me re buy depending on the platform. But it won’t be massive as you are selling and then buying again into the same fund so shouldn’t ‘in theory’ be drastically different.

Makes sense to do it when there isnt a major political event on the horizon (Trump I’m looking at you!)

@EnrichettaI understand what an ISA is, I’ve had one for 20 years. It was the bed and ISA process regarding moving shares I wasn’t aware of.