Multi-Million Pound Investments

[TeePee]

Saw this phrase on another post causing me to ask the question:

Does anyone else here invest in the stock market?

Any tips?

Edit: don't want anyone to think I'm worth millions, that was just a tie-in, I'm broke!

[Russ]

to be fair, no1 who is serious in the stocks will advise u to the best of there knowledge. there in it for the same reason as you.

what you should do is buy the financial times everyday, read up on whos buying who, what looks likely and buy shares in those companies, flog em once it goes threw. but be very very carefull

my 2p

[Nick]

NEVER invest in managed funds.. ALWAYS go for tracker funds.

In a survey of 2002/2003 trading, only 15% of managed funds, (where a guy choses what to invest your money in) outperformed tracker funds (where a computer invests your money based on trends in the market).

In one company, out of 40 fund managers, only THREE performed as well as or better than a computer managed tracker fund. Everyone else lost their clients money compared to having invested in a tracker...

I know its got bugger all to do with trading stock, but it is a form of investment...

What makes me laugh is that people seem to have a sudden blind spot when it comes to the bit about how your investment values can go down as well as up, then they get all shirty when they get less out than they paid in! Sure, high risk yields a higher reward, but if you have to stop and wonder if you can afford to lose it, then you cant afford to lose it.

And dont even get me started on this whole endowment carp... I'm the one investing heavily in an ISA and facing re-mortgaging to a repayment jobbie 12 YEARS into my mortgage cos the endowment is performing about as well as a quadruple amputee at a tap dancing and plate spinning contest.

And why the hell don't I name and shame the guys.... sure, why not?

Take a bow, EAGLE STAR...

probably the most mis-managed investment I have ever had the mis-fortune to be saddled with. A bunch of chimps chucking darts at the FT would do just as well. AVOID!

(no, I'm not bitter.... I'm homicidally angry....)

[TeePee]

Oh yes, for simple, long term investments, index-linked tracker funds are the way to go. For example, the FTSE All-share made about 17% last year and returns an average 11% per annum.

Of course, 2003 was a great year for stock pickers like myself, a good distribution of share returns and positive market meant that most should have done well, especially with a fair bit of research. Myself I made about a 40% return, mainly through continued growth from Hornby (HRN). However, their price has fallen in the early part of this year, mainly due to a very vague trading statement and transition to the smallcap index. It's a long term stock for me, and with EPS estimates around 60-65p, and new product lines just reaching the market, it's a solid growth share worth holding on to.

I see no reason why people wouldn't offer their tips, after all, more buyers means the price goes up. At the moment I, like pretty much everyone, like Mayborn Group (MBY), a manufacturer of baby products. It has recently moved much of it's production to China with significant savings. With an estimated EPS of 22p for 2004, the shares are a steal at a little more than 10 times 2004's forecast earnings.

So, anyone want to suggest a company I should look at?

[Nick]

Apologies to all for pulling the thread off topic with a rant.

Hats off to Teepee for pulling it back on track.

[DR]

If you want a good broker for help - I have one, PM me I will give you his details.

[dgr]

i don't have enough cash for high risk investment at the moment, but provided you follow the tech industry, there are plenty of stocks that are inevitably going to change QUICKLY.

SCO comes to mind - went up in value by quite a factor.

dgr

[TeePee]

Don't worry Deck, I think many people have a blind spot when it comes to money management in general, and any advice about anything should be welcome. Sadly I think few will read it, before going back to complaining about their credit card debt. Good financial sense (and I don't mean risky investments) could save some people a lot of money it's more than worth the time to do a little research!