If Mr Osborne is happy that he might not need access in the shorter term – at least three to five years – he could consider an investment strategy that is appropriate for the level of risk he is happy to take.Ī longer-term outlook should mean that the inevitable bumps in the road that occur when stock markets are volatile should be smoothed out. Both of these accounts have a fixed term of 12 months and there is no access before maturity. Halifax’s Regular Saver Account offers 4.5pc on deposits of up to £250 a month, but you don’t have to have a current account. After 12 months, if he deposited the maximum as soon as possible each month, he’d expect to earn £136.50 in interest over a year. The best rate of 7pc is with First Direct but he’d also need to have or open a current account with them – if that is appropriate he can deposit up to £300 a month. In Mr Osborne's case, for shorter term money, the good news is that interest rates on regular saver accounts are attractive. Stock markets can be volatile and you may end up with less than you put in over the short term if you are forced to sell should markets fall. Abby Ivison, a financial adviser, The Private OfficeĪlthough Mr Osborne has confirmed he is happy to take some chances to grow his funds and sets his risk appetite at a six or a seven out of ten, in general if you believe that you will want to draw on the capital within the next couple of years, it may be more appropriate to keep your money in a savings account rather than put it into investments. He and his partner, a historian who is also 80, enjoy going out to events such as art lectures. He is enjoying his retirement by making matchstick models of historic buildings like the House of Parliament during the winter, and house-sitting for other people during the summer so he can travel around the country cheaply and see places like the Lake District. He is not currently using his £20,000-a-year Isa allowance and wants to know how he can best invest the extra cash to maximise his returns while being as tax-efficient as possible. He rates his appetite for risk as a six or seven out of ten and is willing to take some chances to grow his wealth. Mr Osborne, from Frankby on the Wirral, is looking for an investment that will generate returns every year. “I'm 80, so I can't go in for anything long term, but on a short-term basis, how can we make our money work for us better?” he said. Mr Osborne, 80, wants to increase this amount, probably by investing in the stock market, during the next few years to cover the costs of his funeral and leave the rest to his partner. He receives £2,000 a month from his state and private pensions and is left with between £250 and £400 a month after his expenses are paid. John Osborne is enjoying his retirement, but he wants to make sure his partner is provided for. Would you like a Telegraph Money Makeover? Apply here or through the form at the bottom of the page. Money Makeover: our reader wants a short-term way to maximise his returns ‘I’m 80 – what’s the best way to invest £400 a month for my partner to live on when I’m gone?’
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