So as a relatively newbie to personal stock investment (outside separate stock related and managed pension investments) having been engaged in online investment via DeGiro and Trading 212 over the past couple of years, I have to admit to being just that little bit uneasy to the perceived volatility of stock investment v's the "safe" haven, albeit with dismal returns of domestic banks deposit accounts.
My stock investments in quite reliable and "safe" stocks have given me on average +10% p/a returns over the past two years (even with the quite alarming slump post Trump's liberation day back in April, but they've more than recovered since) and I held them all and declared my dividends to revenue in my returns. Whereas my bank deposits (proportionately 4:1) more have yielded probably less than 1% APR post DIRT.
So on the surface, all looks very positive and a virtual no brainer by way of comparison. However, I'm looking at the prospect of pulling up to €20k out of my stock investments next year to fund particular specific expenses. The logical argument would seem to be, why not leave them were they are and use the money in deposit a/c's instead? The answer probably lies somewhere in a compartmentalisation going on regarding separation of expenditure for specific purposes but I'd be open to input and perspectives from contributors on here regarding the perceived liquidity/accessibility of deposit a/c funds v's stocks and also the valid argument that stock investment should be regarded as a longer term (5+ years) than a short term investment.
I guess as a relative newcomer to the whole area I'm subject to some beginners anxiety about the reliability of stock investment v's the safe haven of domestic bank a/c deposits. I suppose there's an element similar to Catholic guilt that has been cultivated in us by the Irish banks down the years that, our hard earned money is safer with them than it might be anywhere else (and we all know how that worked out during the crash)!!!
My stock investments in quite reliable and "safe" stocks have given me on average +10% p/a returns over the past two years (even with the quite alarming slump post Trump's liberation day back in April, but they've more than recovered since) and I held them all and declared my dividends to revenue in my returns. Whereas my bank deposits (proportionately 4:1) more have yielded probably less than 1% APR post DIRT.
So on the surface, all looks very positive and a virtual no brainer by way of comparison. However, I'm looking at the prospect of pulling up to €20k out of my stock investments next year to fund particular specific expenses. The logical argument would seem to be, why not leave them were they are and use the money in deposit a/c's instead? The answer probably lies somewhere in a compartmentalisation going on regarding separation of expenditure for specific purposes but I'd be open to input and perspectives from contributors on here regarding the perceived liquidity/accessibility of deposit a/c funds v's stocks and also the valid argument that stock investment should be regarded as a longer term (5+ years) than a short term investment.
I guess as a relative newcomer to the whole area I'm subject to some beginners anxiety about the reliability of stock investment v's the safe haven of domestic bank a/c deposits. I suppose there's an element similar to Catholic guilt that has been cultivated in us by the Irish banks down the years that, our hard earned money is safer with them than it might be anywhere else (and we all know how that worked out during the crash)!!!
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