ISA Cash Park is a temporary location for deposits or fund switches
before making investments, it is time limited, the IR requires money
left there to be returned. Fidelity send a nag letter with valuations/
Anyone know the time limit?
Is it 30 days or some nominal figure, or until FY ends, or what?
30 days would be ok, 90 days would be better.
AFAIK there is no actual time limit. I believe the HMRC rules say that
the money must be there to be reinvested at some time but I very much
doubt if they are checking to see who has and who hasn't done this. If
you went a year I wouldn't be surprised and I would be surprised if you
were taken to task even after this. Fidelity is only nagging you to keep
in with some vague law or other.
Great, thanks for the info.
It must be possible otherwise how could people phase investments in/
Basically having snapped Fidelity MB-Income at the
25.65-25.45-26.10-26.20 level I reduced to normal weight over the past
few weeks. Just wanted to be sure I could sit in ISA Cash Park without
problem. I should add I sat in Cash 2004-2008 in view of an
increasingly "splashy-credit-culture" hitting greater fool theory, so
the crash was not unexpected.
As to where things go now - an interesting mix of Sovereign debt risk,
GAAP ripped up for USA bank balance sheets, Santander balance sheet
tricks etc. I'm not so much bothered about QE impact in the future,
more of a concern is the pickle of domestic growth - £4 of consumer
spend creates only say £1.5 local growth, thus forces public deficit
spending to fill in a domestic growth gap which gets increasingly
difficult as time goes on. Unemployment is simply massaged numbers
hiding sick related benefits - the real long term cost is simply being
sellotaped over. Surreal world, John Nash would be proud.
I've always ignored that rule, viewing the brokers nagging letters/
emails as a box ticking exercise or an exercise in generating broking
commission. I heard sometime ago that no-one had had their money
returned. My parents and I have had cash balances of several thousand
pounds in ISAs for more than a year.
I was in a similar situation and decided that holding GBP cash was
What's up with Santander - I haven't heard of that ?
Santander is not marking-to-market housing debt re losses.
That said the USA banks are similarly not foreclosing so people live
rent free, many paying C/C debt or spending in place of mortgages
since Uncle Sam is basically giving a free ride. It's a mess,
basically until house prices appreciate back up to bail out the banks
- it was a massive "House Price Put".
I use a barbell strategy of 75% Cash v 20% Core v 5% Risky re capital
- I must do something about 1 currency risk.
- ERM devaluation, 2008 devaluation... Argentina is not impossible
- Fido MB-Income - inferior to Invesco-P & MG versions, but moves more
so good for a bat-about.
- Cazenove Multi-Mgr Diversity - 33% Cash/Bonds, 33% Anything/Hedge,
33% Equities with an aim of CPI+4% despite complex instruments. Jul-04
to Jul-07 peak was +47% v +52% for avg equity fund, Jul-04 to crash
bottom was +28% v -6% for avg equity fund, drawdown -20% v -60%.
- Jupiter Absolute Return - hated concept, good manager re Financial
Opportunities fund in the crash, absurd hurdle for fees is 3-month
LIBOR, but could be an interesting fund.
- Invesco-P High-Income - Neil Woodford's equity income puppy, useful
I am not convinced by "asset class diversity", but I do believe
options can be used to lose upside & downside to create better
resilience in low performance hurdle rate funds. Nominal 5% per fund,
but High-Income & Fido MB-Income are batted 0-8% each with cash.
- Monthly drips into Fido India, Fido China, Investec Global Energy,
Barings Agrilculture - these are for appliance self-insure and
countering bills. Most have been accumulating for a few years and I do
chop in & out 50% because they are so volatile, which in turn boosts
quite silly recent %age returns even higher.
- The problem with India & China is they are subject to emerging &
political risk, neither are prime-time.
- Ocassionally BlackRock Gold added/removed, but I'm wary of it as a
2008 showed gold as a hedge was flawed - 1200-480 on the BlackRock
hedge, I recall picking up physical gold at £447 delivered and batting
it out (too quickly!) soon after for rather a lot more. So I'm an
opportunist as necessary. People tend to liquidate everything in a
1929 1987 1997 1998 2000 2001 2002 2008 2009 and global political
strategy is focused around financials re profits funding social
programs (to the extent that manufacturing should be removed as dirty
Here is a chart I stumbled across, I've seen several similar...
Agreed, buying into the depths of the plunge was good, now things are
getting "too rich".
The Absolute Insight Currency Fund is an interesting one.
No currency funds come up on the usual "supermarket fund filters".
USD has been a relatively easy cash trade over the decade (my business
used to involve considerable importing with a fair bit of currency
play leaving competitors unable to price match, too often overlooked
by small business). Unfortunately I missed the easy credit-induced
devaluation having closed a US brokerage account (duh).