I have some savings of around 70k pounds. If you were in my place, how would you invest?

 It partly depends if you are a local British person, or an expat living in the UK or abroad.

In any case, you should

  1. Move away from a purely pound based portfolio, for obvious reasons. The Pound is now crashing and acting like an emerging market currency. You should at least have exposure to international markets.
  2. I wouldn’t keep it in the bank, as I would be losing money to inflation
  3. I would focus on a international's diversified, portfolio
In terms of number 3, if I actually lived in the UK, I would have maybe 35% in the UK FTSE, 55% in various international indexes, and 10% in bond indexes.

There are loads of UK-based firms that do ISAs and other instruments that aren’t available to those living overseas.

As I am a UK citizen living overseas, I have 10% or so in the FTSE, as I more clear about my wealth in USD, as an expat.

It also depends on your age. If you are older, meaning within 10 years or so of retirement, 10% in bonds should be raised to 25%+.

Whatever you do, the important things are:

  1. Being long-term
  2. Never timing the markets. At a recent client event, the Shark Tank (and previously Dragons Den) star Kevin O’Leary admitted that he had tried and failed to time the markets.

If somebody worth an estimated $400million can’t do it, then very few people (if any) can.

It is better to just invest now and forget about it and

  1. Not care about the news, Brexit, and so on
  2. Not worry about short-term declines and rises in the market. That brings me back to number 1, and just be long-term
  3. Adding to your portfolio when you get fresh money
  4. Have a portable portfolio if you are a UK expat, or a British person living overseas.
I would also focus on the objective. Is it retirement, or another objective?

Once you know why you are investing, it makes it easier to stick to a plan.

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