HI Guys
I will ask this like a Chatgpt prompt please can you explain as if i am a 16 year old new to investment what the point of having a cash buffer in my ISA portfolio bucket.
I dont see the point if i am earning 5.2% in savings plan why have 5 or 10k sat as a cash buffer earning nothing?
It makes no logical sense to me as a noob and very counterproductive in relation to maximising your cash available. I seen several people think is a good facility but i cannot work out why!
Hi
I am still lost what do you mean a cash style ETF!
If its in a ETF how is it a cash buffer still takes you several days to get it out!
I have my emergency fund in a 5.2% easy access account
Having a 5000 in a cash buffer how is that making any money ?
But the return does not look that good IMHO.
Or are you saying if the cash is in the portfolio whe you buy it is quicker to go though i thought it was T+2
But if you sell how long does it take to get your cash in reality to be made available to buy VWRL?
Some take many days to sell then you have T+2 minimum to buy so saying you have to buy when its good price your not guaranteed of getting it at a good price could take 5 to 7 days before it goes through !
HI
Thank you for info still trying to get my head round it.
I have a 12 month fixed 5.2% Easy Access Savings so i will keep it there for now then move across when it finishes . But now you have explained it makes more sense but i have very little knowledge of Cash Style ETF’s plus looking on IE it only shows 2
Cheers for that info i will look at them.
FYI mine is not fixed it pays monthly 5.2% and easy access for 12 months then reverts to 0.8% lol.
At which point everybody will ditch it
Does have to go into the same portfolio box if you want to use it to buy extra EFT stocks?
Or can it be in another Portfolio but still used in another ?
HI
A followup if i may i have setup savings plan and auto invest / re-balance to automate the process.
Question i have done a weekly invest is this better that monthly or not?
I was told doing it weekly helps spread the fluctuation of the dollar price even though have a £ ETF’s
VHVG & VFEG i was told verything is effected by dollars.
With the difference in the buy sell ratio that investment companies use do a weekly or monthly make any difference?
It does make sense, but you will be paying more on bid-offer spreads…albeit a lower percentage. I have personally put money when I have it available, usually twice per month.
