Saving for my kids...

[Value Collector]

Do you have a suggestion on what company to use for an index fund? Is vanguard one?

Vanguard is good, you can buy shares in the index on the share market, the share code is VGS for the global index and VAS for the Australian Index.

 

[Value Collector]

Any decent one that you like or that your advisor recommends. But what my post refers to is vanguard life strategy. Just take a look at it, it may or may not suit. All it does is give global equity cheaply and conveniently, that’s my point.

If there an ETF for the Life Strategy?

 

[Ben Gordon]

Any decent one that you like or that your advisor recommends. But what my post refers to is vanguard life strategy. Just take a look at it, it may or may not suit. All it does is give global equity cheaply and conveniently, that’s my point.

Thanks

 

[Ben Gordon]

Vanguard is good, you can buy shares in the index on the share market, the share code is VGS for the global index and VAS for the Australian Index.

Thank you

 

[systematic]

We are talking about $1300
not $130,000.or $1.300,000.

also around 10-15 years not a lifetime.
How much same old same old snail investment
return do you realistically expect.

Seems like a thread of Volvo Drivers dressed in
brown corduroy.

You’re right.

Forget everything I said and just buy crypto, coal and iron ore as per your posts above. You noticing something, ‘on the move’ is good enough for me. Empirical evidence can go jump.

 

[Ben Gordon]

Vanguard is good, you can buy shares in the index on the share market, the share code is VGS for the global index and VAS for the Australian Index.

One day when I decide to take the money out for my kids I assume I will need to pay tax on earnings?

Is vanguard more preferred over say space ship voyager?

 

[Value Collector]

We are talking about $1300
not $130,000.or $1.300,000.

also around 10-15 years not a lifetime.
How much same old same old snail investment
return do you realistically expect.

Seems like a thread of Volvo Drivers dressed in
brown corduroy.

The OP wants to put some savings aside for his kids to get a car or some Uni education, I don’t think he is trying to shoot the lights out with massive invest returns.

From what he has said I think his priority is low risk investment, protecting the savings from inflation and receiving a decent return and not having to dedicate a lot of time to it, I think this does lead him more to the index style investment rather than the active route.

 

[Value Collector]

One day when I decide to take the money out for my kids I assume I will need to pay tax on earnings?

Is vanguard more preferred over say space ship voyager?

Yes you will be charged capital gains tax if the shares have gone up, but you will get a 50% discount if you have held for more than 12 months, you can deduct that from the amount you give your kids, or you can just pay that tax as an additional gift to your kids and let them keep the whole amount.

I don’t know anything about space ship unfortunately.

 

[Value Collector]

You will also have to pay tax each year on the dividends, but this may be offset but franking credits, that is the reason I suggested Berkshire to my family, because they don’t pay dividends.

 

[systematic]

If there an ETF for the Life Strategy?

Yes, both fund and ETF
VDHG for the high growth (and there are 3 others that basically differ in their percentage allocation between equities and debt)

 

[Ben Gordon]

Yes you will be charged capital gains tax if the shares have gone up, but you will get a 50% discount if you have held for more than 12 months, you can deduct that from the amount you give your kids, or you can just pay that tax as an additional gift to your kids and let them keep the whole amount.

I don’t know anything about space ship unfortunately.

Thank you.

Spaceship voyager is a managed fund.

Sorry for all of the basic questions, i'm very new to this scene.

 

[Ben Gordon]

Any decent one that you like or that your advisor recommends. But what my post refers to is vanguard life strategy. Just take a look at it, it may or may not suit. All it does is give global equity cheaply and conveniently, that’s my point.

thank you! i might move from spaceship voyager to there. Do they also have an app to use?

 

[Dark1975]

Howdy!

I have a two year old and four year old. They both have a combined savings of $1300. I have been putting away approx. 2-10 bucks a week away for them since they were born.

I have recently invested some of my personal money into a micro-investing SV

The bank account that my kids money is in earns little to no interest and i wonder if these is a better strategy to get them more money in the long run. Should i add it into my spaceship voyager account or put it somewhere else? I am currently to date putting $10 a week for each child, so $20 a week and plan to keep doing so.

My plan for their savings is to give it to them when they are 16-18 or so and contribute to buying a car, uni education bills or something.

Cheers

G'Day Mate

Depending on your risk appetite?

What they teach in Mit / Uts / yale etc in the course of getting your masters in appplied finance is risk aversion ( risk to reward )

Pending on your risk appetite , in lays terms the greater the risk the greater the reward.
Either you pay some finacial advisor
Or put money spread in the asx 50 compound interest will achieve this ,
My opinion would be researching rare earth small caps in the asx like Lyc / Gxy / ggg
Or for greater risk look in to spreading some pennies in the Crypto market .
Investing in to block chain or digital platforms is like investing in amazon 1999 ,

Quite simply put : " If your are investing like the other 95% of people you will be like the other 95% ( Working in the matrix till 60)

This is not finacial advice, Pls DYOR
GL Sir

 

[Ben Gordon]

G'Day Mate

Depending on your risk appetite?

What they teach in Mit / Uts / yale etc in the course of getting your masters in appplied finance is risk aversion ( risk to reward )

Pending on your risk appetite , in lays terms the greater the risk the greater the reward.
Either you pay some finacial advisor
Or put money spread in the asx 50 compound interest will achieve this ,
My opinion would be researching rare earth small caps in the asx like Lyc / Gxy / ggg
Or for greater risk look in to spreading some pennies in the Crypto market .
Investing in to block chain or digital platforms is like investing in amazon 1999 ,

Quite simply put : " If your are investing like the other 95% of people you will be like the other 95% ( Working in the matrix till 60)

This is not finacial advice, Pls DYOR
GL Sir

Thank you dark!

I am so so so new to this all. I'm more thinking instead of putting my kids money each week into the Commonwealth bank should I invest it somewhere else and they could potentially have even more money when I give it to them. But also I don't want to risk the money causing me to in the end loose money as that would be silly I guess.

I just started using micro investing apps and thought wait a min could I do better for my kids with their money.

 

[bsnews]

G'Day Mate

Depending on your risk appetite?

What they teach in Mit / Uts / yale etc in the course of getting your masters in appplied finance is risk aversion ( risk to reward )

Pending on your risk appetite , in lays terms the greater the risk the greater the reward.
Either you pay some finacial advisor
Or put money spread in the asx 50 compound interest will achieve this ,
My opinion would be researching rare earth small caps in the asx like Lyc / Gxy / ggg
Or for greater risk look in to spreading some pennies in the Crypto market .
Investing in to block chain or digital platforms is like investing in amazon 1999 ,

Quite simply put : " If your are investing like the other 95% of people you will be like the other 95% ( Working in the matrix till 60)

This is not finacial advice, Pls DYOR
GL Sir

All to much work.
Invest it in one of the older LIC's, tick reinvestment share offer buy the bonus share offer every time you can afford to no matter the asking price. Set and forget until you need it. Will not break any records but will keep on keeping on.

 

[Ben Gordon]

All to much work.
Invest it in one of the older LIC's, tick reinvestment share offer buy the bonus share offer every time you can afford to no matter the asking price. Set and forget until you need it. Will not break any records but will keep on keeping on.

Yeh I need a simple solution. I don't want massive reward but better then what I will get with a bank account.

 

[tech/a]

You’re right.

Forget everything I said and just buy crypto, coal and iron ore as per your posts above. You noticing something, ‘on the move’ is good enough for me. Empirical evidence can go jump.

You've presented an option as I have. Empirical Evidence Has served the world very well.

 

[againsthegrain]

where as that ounce of gold will still only represent they same underlying number of atoms of metal.

Come on you can do better then that, just suits your argument. You can say that about crypto or even your shares they are 1s and 0s on a electronic system. Yes on a 40 or 50 year scale Berkeley outperformed gold, I am not arguing gold is better or will outperform Berkeley. However its not entirely true, you hold a piece of gold much like you hold a bitcoin. Gold even has real world applications like electronics and jewellery etc. You could say it is also a producing asset because the demand behind it and real world applications. Also you still need to mine and refine gold, the cost of producing gold is also factored into the price and all the asset producing gold miners.

Seems like a bigger return then just inflation

 

[Value Collector]

Come on you can do better then that, just suits your argument. You can say that about crypto or even your shares they are 1s and 0s on a electronic system. Yes on a 40 or 50 year scale Berkeley outperformed gold, I am not arguing gold is better or will outperform Berkeley. However its not entirely true, you hold a piece of gold much like you hold a bitcoin. Gold even has real world applications like electronics and jewellery etc. You could say it is also a producing asset because the demand behind it and real world applications. Also you still need to mine and refine gold, the cost of producing gold is also factored into the price and all the asset producing gold miners.

Seems like a bigger return then just inflation

It wasn’t just Berkshire that outperformed gold, you would have outperformed gold just with an index and reinvested dividends, or real estate where you reinvested the earnings into busying more real estate.

its the compounding effect that is my point here, gold just doesn’t compound,... unless you know of some way to generate rent by leasing your gold?

rather than dig your heels in, try to understand my point at a fundamental level.

my point is simply, gold is a good hedge against inflation, however so are many other asset classes that also throw of earnings that can be reinvested to continue buying more of the asset.

Hell, if if you bought $1 million of gold, and I bought $1 million of real estate, each year I could use my Net rental profits to buy gold and I would end up with my original realestate plus a pile of gold that is bigger than yours.

if you can understand that point, I think you are failing to understand a basic investment principle.

——————
or you can think of it this way.

We give your family $1 Billion of gold and that’s all they can ever own for the next 10 generations, and my family gets $1 Billion worth of diversified real estate that they can lease and that’s all they can ever own.

The first few generations of your family could live super rich, but their gold stash never earns anything so it shrinks in weight every time they spend/consume because they have no choice but to sell a few kilograms each year.

however my family could live in perpetual riches from the annual leasing income from their real estate, much like the royal family live off the crown estate, and never have to eat into their capital base

 

[Value Collector]

Yeh I need a simple solution. I don't want massive reward but better then what I will get with a bank account.

Aussie and global index is going to be best in my opinion.

look into VAS and VGS and see what you think.