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Thread ID: 80371	2007-06-20 09:49:00	Investment advice	george12 (7)	PC World Chat

Post ID	Timestamp	Content	User
560995	2007-06-20 09:49:00	Hi Some of you will know that I'm planning to go on a trip to America in May next year for six months after I finish Year 13. That means saving. I have around $8000 saved so far (out of an estimated $13000 needed), and sitting in the bank, and so I think it's about time to invest it somewhere. There must be no risk of losing all my money (I don't consider banks collapsing and similarly unlikely things 'risk'), but I am OK with a little bit of risk of not getting a good return, if the expected return is worth it. I'm probably going to end up going with a Term deposit. I will want to be able to get the money out in 6-10 months. I need around $4000 in cash at any time to run my business, so if I was to go for something right now, I could only invest $4000. I can push it to $5000 if I need to meet a minimum deposit of that much. Does anybody have any advice as to what to do with my money for the next 11 months? I am currently earning 7.4% interest in the bank. It may be that the smartest thing to do is just leave it there, but since it requires no effort to earn interest, I figure I should at least make sure I am getting as much as I can.	george12 (7)
560996	2007-06-20 10:00:00	Rakon still very affordable and doing bigger things well worth getting into. Just saw Burger Fuel offering shares in today's Herald. Put your money on term deposit with the bank Get a super saver account paying higher interest making sure that the interest is compounded each month - this would be the safest bet as the others all involve some degree of risk.	winmacguy (3367)
560997	2007-06-20 10:35:00	Rakon still very affordable and doing bigger things well worth getting into. Just saw Burger Fuel offering shares in today's Herald. Put your money on term deposit with the bank Get a super saver account paying higher interest making sure that the interest is compounded each month - this would be the safest bet as the others all involve some degree of risk. Thanks for your advice. My understanding of shares (although very limited) is that it's not a good idea to use them as a short term investment due to the large amount of short term fluctuation - ie, they might be increasing brilliantly year to year, but at the exact moment I want them they might be in a dip. I am already using a bank account with the best interest rate available, and it's compounded daily. So right now it's sounding like a 6 month Term Deposit (PSIS has a rate of 8.10% for this), or leaving it in the bank.	george12 (7)
560998	2007-06-20 10:43:00	Hi Some of you will know that I'm planning to go on a trip to America in May next year for six months after I finish Year 13. That means saving. I have around $8000 saved so far (out of an estimated $13000 needed), and sitting in the bank, and so I think it's about time to invest it somewhere. There must be no risk of losing all my money (I don't consider banks collapsing and similarly unlikely things 'risk'), but I am OK with a little bit of risk of not getting a good return, if the expected return is worth it. I'm probably going to end up going with a Term deposit. I will want to be able to get the money out in 6-10 months. I need around $4000 in cash at any time to run my business, so if I was to go for something right now, I could only invest $4000. I can push it to $5000 if I need to meet a minimum deposit of that much. Does anybody have any advice as to what to do with my money for the next 11 months? I am currently earning 7.4% interest in the bank. It may be that the smartest thing to do is just leave it there, but since it requires no effort to earn interest, I figure I should at least make sure I am getting as much as I can. Rabo bank online call, and term deposits are the best interest rates in NZ for minimal risk. It is not a good idea to put it into a single share, such as Rakkon. Shares go and and down,l although over thime they do trend upwards. You can also get taxed on capital gains on shares, if you are only in it for the short term, and your intention is to make a profit.	rogerp (6864)
560999	2007-06-20 10:48:00	If you can get around 8% in a secure term deposit, go for it. The best rate I can recall is 7.9% somewhere (Rabobank?) at call but only for large lumps. Go for the 6 months term, and 7.4% on call for the $4000 you still need. Don't get too stressed about it. The difference of even 1% over a year is only $80 less tax = $64. So don't chase high interest = high risk.	Winston001 (3612)
561000	2007-06-20 10:48:00	Yes that would be the right advice about shares. My dad always told me don't invest more than you can afford to loose and never invest because your short of cash and need to get a good return in a hurry. That being said, there would be nothing wrong with investing in 100 shares in Rakon as a long term investment since they are still affordable and are going to do much bigger things on a global scale in the coming months and years. I don't personally own Rakon shares although if I had a few thousand spare I they would be on the top of my list. Sounds like your doing the right thing with your money in keeping it in the bank. Possibly when you come back from overseas you might find something worthy of investing in providing you have the cash. It also depends on what company you have shares in and what sort of dividend they pay as some overseas companies don't pay dividends and not all shares suffer from market volatility as much as others do if your prepared to hang on for the long run. There are also managed funds which can be a good form of investing.	winmacguy (3367)
561001	2007-06-20 10:49:00	May I suggest putting it into a US Dollars call account - Do you see the NZ Dollar going higher against the Kiwi Dollar, I personally think it is about as high as it will go - If you can get say 4% on a US Dollar account, you won't go backwards, and you will need to buy US Dollars before you go, so the exchange cost is something you will have to pay eventually. I made over $10,000 in 4 months by transferring the proceeds of my house sale to an Australian account with the ASB - when I transferred the money $A1.00 = $NZ1.05 NZ, by the time we moved the exchange rate had slipped to $1.16. It is worth investigating - speak to a forex banker	KenESmith (6287)
561002	2007-06-20 10:50:00	Become a part time P dealer at school and double your money in a week	plod (107)
561003	2007-06-20 10:57:00	It is not a good idea to put it into a single share, such as Rakkon. Shares go and and down,l although over thime they do trend upwards. You can also get taxed on capital gains on shares, if you are only in it for the short term, and your intention is to make a profit. Rakkon may go down although from what I know of their GPS technology and some of the deals that they have lined up I would personally see them as giving a very good ROI considering that I understand that they may be entering the cell phone market. But that is just my 2 cents. There was an article on Campbell Live a little while ago about investing which had some very good advice. Generally if your going to invest in anything make sure it is something that you know a lot about and are prepared to hang onto for up to 20 years and you don't have to borrow any money to invest in it. Very good advice if you ask me.	winmacguy (3367)
561004	2007-06-20 10:58:00	Become a part time P dealer at school and double your money in a week And have the cops banging on your door in half that time ;)	winmacguy (3367)
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