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Post by taffy on Jul 13, 2024 19:18:02 GMT 1
We also have an AV with the Pru (recommended by Spectrum!). Over the eleven years since commencement it's gained 42%, equates to about 3.89% pa. straight line, better than nothing during the period of low interest, but surely could do better! Cashed another AV in a couple of years ago as consistently paying more in fees/charges than the net return, so beware of fees etc. which are not performance based & are payable whatever gains/losses arise, sometimes compounding poor market performance. NS&I are currently paying 4%, instant access, but probably not for much longer, and the return is subject to French taxation. Taffy
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Post by iolar on Jul 17, 2024 20:05:48 GMT 1
I never thought that assurance vie was in any way a decent investment - 3/4% p.a doesn't even begin to cover inflation. All currencies are fiat - pieces of paper that have no real value in and of themselves.
I also don't like the thought of being tied to one currency. It's a very flaky world, the only currency that may hold it's 'perceived' value is the US$, who knows how Ukraine may play out.
I looked at the French share plan - (a) you have to hold it for a fixed term or face a tax liability. There are variations - Saxa gives you more choice but sadly there is nothing like the ISA.
Using the free version of - Simply Wall Street a year ago I created a 'ghost' share portfolio. Mostly UK + 1 US/1 Norwegian/1 African. It averaged a capital gain of just under 22%. The dividends average 7.5%. None of these shares were 'chancy' - 4 were in insurance/1 investment trust/3 in communication. All of them are under valued, as indeed are a lot of UK registered companies. If I had been more adventurous I would have have included more none Sterling companies. As we are not included in the French Social Security system we are only liable for a total tax of 20%, not 30%. As it is about half of them gained their profits from overseas. Golden rule - never ever put all your eggs in one basket - all these assurance vie do just that.
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Post by omegal on Jul 17, 2024 23:53:35 GMT 1
iolar, sorry my Ass Vie has a wide global spread, my Wife' also and are nothing like "all your eggs in one basket" Her shares through her Ass Vie has done well since 2019 more so of course after the Covid spell.
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Post by iolar on Jul 18, 2024 7:54:38 GMT 1
iolar, sorry my Ass Vie has a wide global spread, my Wife' also and are nothing like "all your eggs in one basket" Her shares through her Ass Vie has done well since 2019 more so of course after the Covid spell. And the returns are?
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Post by omegal on Jul 18, 2024 11:58:15 GMT 1
All things considered, very good thank you
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Post by lindalovely on Jul 19, 2024 10:10:03 GMT 1
The advantage for many people of Assurance Vie is that they are not included in your estate for inheritance tax purposes and so are a good way to leave money to relatives that would otherwise be liable for tax. I have also been relatively happy with the returns, but I would not want all my savings in one place. Currently my Skipton International Bond is giving the best return of the savings at 4%/ If you don't mind the risk leaving a lump of cash in a Wise account is currently also giving a good rate. None have exceeded the return on our two rental properties though. A steady 8%- 10% per year income on the initial investment plus some small gains to the value of the property should we decide to cash them in.
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Le-Dolly
Member
La Souterraine (23) depuis '05.
Posts: 597
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Post by Le-Dolly on Jul 19, 2024 11:36:34 GMT 1
The advantage for many people of Assurance Vie is that they are not included in your estate for inheritance tax purposes and so are a good way to leave money to relatives that would otherwise be liable for tax. I have also been relatively happy with the returns, but I would not want all my savings in one place. Currently my Skipton International Bond is giving the best return of the savings at 4%/ If you don't mind the risk leaving a lump of cash in a Wise account is currently also giving a good rate. None have exceeded the return on our two rental properties though. A steady 8%- 10% per year income on the initial investment plus some small gains to the value of the property should we decide to cash them in. I would echo your figures for our rental properties, but perhaps pushing 12% on a couple of them, the other nine being in your range. Other than a few AV's, I have for nearly fifty years always bought gold, physically owning it and in my possession, so no keepers fees from any agences. We now have a considerable amount and other than the occasional blip, it has never dipped below what we paid and has done us well with the occasional sale when required. If I were to have my time again, I would do exactly the same again.
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mysty
Member
Posts: 1,728
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Post by mysty on Jul 19, 2024 11:45:18 GMT 1
The advantage for many people of Assurance Vie is that they are not included in your estate for inheritance tax purposes and so are a good way to leave money to relatives that would otherwise be liable for tax. I have also been relatively happy with the returns, but I would not want all my savings in one place. Currently my Skipton International Bond is giving the best return of the savings at 4%/ If you don't mind the risk leaving a lump of cash in a Wise account is currently also giving a good rate. None have exceeded the return on our two rental properties though. A steady 8%- 10% per year income on the initial investment plus some small gains to the value of the property should we decide to cash them in. I would echo your figures for our rental properties, but perhaps pushing 12% on a couple of them, the other nine being in your range. Other than a few AV's, I have for nearly fifty years always bought gold, physically owning it and in my possession, so no keepers fees from any agences. We now have a considerable amount and other than the occasional blip, it has never dipped below what we paid and has done us well with the occasional sale when required. If I were to have my time again, I would do exactly the same again. I have lost your address can you pm me. 😃
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Post by leclairon on Jul 19, 2024 13:08:32 GMT 1
I looked at Skipton Int but they want £25000 to get in. I am still perusing info on AV. Very interesting re gold - I wouldn't know where to start or go but my few personal bits may be worth more than I thought! I don't want any challenges at my age, just a safe haven with a reasonable expectation of a profit!
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Post by Olave H on Jul 19, 2024 17:43:08 GMT 1
I'd imagine that the return folk want/need on their savings has a lot to do with their age & aspirations. Young'uns hope/need an income addition whilst us old buggers with decent pensions are just content to maintain the status quo & not lose a shed load of our 'hard earned' whilst living out our retirement hassle free. We had residential rental properties in the UK but sold them off when they became difficult to manage at distance. We now have excellent pensions backed up by rent from commercial property which is more than we need for our country French life. A decent lot of money invested in AV's etc plus bank deposits which may not give the best returns do give some extra return with peace of mind. We decided yonks ago that there is more to life than trying to squeeze every last cent out of our 'hard earned' when we're comfortably off without needing to spend every waking day day trying to gain more money which will only probably be pissed against the wall by our kids when we are both brown bread.
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Le-Dolly
Member
La Souterraine (23) depuis '05.
Posts: 597
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Post by Le-Dolly on Jul 20, 2024 9:07:07 GMT 1
I'd imagine that the return folk want/need on their savings has a lot to do with their age & aspirations. Young'uns hope/need an income addition whilst us old buggers with decent pensions are just content to maintain the status quo & not lose a shed load of our 'hard earned' whilst living out our retirement hassle free. We had residential rental properties in the UK but sold them off when they became difficult to manage at distance. We now have excellent pensions backed up by rent from commercial property which is more than we need for our country French life. A decent lot of money invested in AV's etc plus bank deposits which may not give the best returns do give some extra return with peace of mind. We decided yonks ago that there is more to life than trying to squeeze every last cent out of our 'hard earned' when we're comfortably off without needing to spend every waking day day trying to gain more money which will only probably be pissed against the wall by our kids when we are both brown bread. The very same reason that when we ran our electrical contracting company we only worked at it for three days a week, and still survived handsomely.
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Post by Olave H on Jul 20, 2024 11:07:43 GMT 1
I'd imagine that the return folk want/need on their savings has a lot to do with their age & aspirations. Young'uns hope/need an income addition whilst us old buggers with decent pensions are just content to maintain the status quo & not lose a shed load of our 'hard earned' whilst living out our retirement hassle free. We had residential rental properties in the UK but sold them off when they became difficult to manage at distance. We now have excellent pensions backed up by rent from commercial property which is more than we need for our country French life. A decent lot of money invested in AV's etc plus bank deposits which may not give the best returns do give some extra return with peace of mind. We decided yonks ago that there is more to life than trying to squeeze every last cent out of our 'hard earned' when we're comfortably off without needing to spend every waking day day trying to gain more money which will only probably be pissed against the wall by our kids when we are both brown bread. The very same reason that when we ran our electrical contracting company we only worked at it for three days a week, and still survived handsomely. Absolutely correct way to live in my opinion. Knowing when how much dosh is enough is key.
I was the md of my company when it was owned by a PLC group & took the risk of a management buy-out.
Being freed of group overhead charges my first decision was to reduce needless turnover, overheads & grief to concentrate on my core design & build trusted commercial clients & architects with whom I had worked with & built up trust for many years who liked working direct with a design & build company which took the 'con' out of consultant.
I had a few basic tenants which were. I won't consider a job unless , I can drive to it in less than half an hour making supervision easy, the contract is negotiated on the basis of a basic design & budget price & I have 100% chance of getting paid quickly. Many a 6 figure contract was agreed on an initial handshake.
After a while I was able to keep just my core staff & reduce my involvement to a 9 hr 5 day week (golf days excepted). This strategy made business very much easier & I was making more money for less effort than ever before. I'd seen so many companies go the wall chasing vanity turnover this approach seemed obvious as I was not seeking to make a fortune but more like only sit on the periphery of the contracting rat race & pick out the best bits.
In actual fact, history proved it to be a sound decision & after 17 years I had set aside more than enough to comfortably retire to my French house & sold the limited liability company to an eager buyer who had been asking for years.
Best few decisions I've ever made & in the years I owned the company I probably had less than 10 grands worth of bad debts & no bank overdraft.
I'll never be the richest guy but 17 years of mostly pleasant business & twenty odd years of comfortable, worry free, retirement just can't be wrong
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