Here’s the Deal ….
I think you will agree that having reached retirement there are worries about your financial future? If your pension does not afford a comfortable retirement, then investing to provide an income becomes a significant consideration. Of course, investments in the stock market can be a risky option. This long bull run must end soon, and investing now may be a risky option.
You can invest in stocks/shares for capital growth, or income or a mixture of the two. One of the benefits of the internet is the vast array of information, tutorials and youtube channels offering advice and technical explanations. A good starting point is The Money Advice Service (UK government site) offering “Free and impartial money advice”. Start with Investing – beginner’s guide. Another site with a lot of background information is Investopedia.com. Study Four Steps to Building a Profitable Portfolio
That’s not ALL!
So perhaps, you want to test the waters – so good advice is to test your basic skills and knowledge of buying and selling shares with a free test portfolio. There are many sites that offer such services. Recently, I have been using Teletrader that allows a practise portfolio with many other tools and screeners including charting and technical analysis. A good starting place for new investors.
The Best Part for Newbies
On Youtube there are many channels offering advice with substantial free training. Be aware that many are selling a service though!. One of my favourite channels is Ricky Gutierrez. Do not be put off by his young age – he has been investing successfully for some time and is NOT advocating risky investments but a slow and steady approach.
For those interested in how he uses technical analysis to trade successively, try this training.
He has the largest Facebook group in this arena, and a great forum. It is US based but the training applies to all markets.
How can you actually use this?
Well, start with a practise account, and test your new knowledge and any strategies before committing real hard earned money.
The FINAL part?
Of course, if you want a no effort option, consider an ETF. Vanguard explain ETFs: ETF stands for exchange-traded fund and investing through ETFs is another great way of achieving broad market access at low cost. ETFs are similar to other fund types such as unit trusts and OEICs in that they’re professionally managed portfolios that pool assets from lots of investors with similar goals. These are low cost investments. VANGUARD FUNDS PLC S&P 500 UCITS ETF has risen from £15.74 in 2012 to £40+ in 2019. Of course, past performance is NO indicator of future increases (or decreases). Well over a 100% return and a current dividend yield of 1.63% might be worthy of further due diligence. As your knowledge increases then you can move from passive investments to active investing with stocks/shares or funds and trusts.
More about Vanguard ETF: