Today I have the first in a series of three collaborative posts on the subject of equity release. This one examines the growing popularity of equity release and why it looks set to boom in the year ahead.
The equity release industry saw a massive expansion in 2021, with a record-breaking sum of over £4.8 billion being unlocked by retirees across the UK. This unprecedented growth has been welcomed amid a global pandemic, as the Equity Release Council helps regulate a retirement product that has given many retirees the means to a desperately needed income in these tough economic times.
Mark Patterson, the equity release expert from EveryInvestor, joins the ranks of fellow industry authorities in predicting that 2022 is set to be another record-breaking year. Let’s take a look at what’s expected and determine if unlocking equity is a good idea over the next few months.
What Is Equity Release?
Equity release is a widely popular financial product for UK-based homeowners older than 55. In a nutshell, it gives you the opportunity to use your property’s equity but still live at home. With a third of UK retirees having less than £10,000 in retirement savings, equity release offers a lifeline to many. What’s more, the money can be used for any purpose.
According to figures from the Equity Release Council (ERC), equity release clients borrowed a total of £4.8 billion last year, a 24% rise on 2020’s figure.
Why is the Equity Release Industry Growing Amid a Tough Economy?
While many industries have crumbled in the wake of Covid 19, the equity release sector has grown tremendously. This is for several reasons, including:
Equity release provides financial security in a tough economic time.
The Equity Release Council has made the industry safe and is shifting a historically bad reputation.
Interest rates hit an all-time low in March 2021, and homeowners have received the best deals yet, with fixed-for-life interest rates.
Finally, growth inspires growth. As the industry expands, lenders offer more flexible products with bonus features, such as a free valuation or no completion fee.
What’s Predicted for 2022?
The future of equity release looks bright in 2022, and 80% of experts predict growth, with some believing this will be vastly beyond regular inflation. There are some key industry features that are likely to impact the industry (1).
First, the Equity Release Council announced on 31 January 2022 that all equity release lenders must offer the opportunity for voluntary loan and interest repayments. This announcement is welcome for potential borrowers, as voluntary repayments can vastly reduce the cost of your loan, yet there’s no obligation or risk of foreclosure.
On a slightly less positive note, equity release interest rates will rise in 2022 and should continue to do so until 2024. However, this could actually mean further industry growth. Rates are set to rise only slightly, and homeowners applying now will likely begin their equity release plans before we see any further increases.
Should I Unlock Equity from My Home at This Time?
With the market as it stands, it is a good idea to unlock equity if you’ve been planning to do so. However, it’s more complicated than just looking at the state of the industry.
Whether or not you should unlock equity from your home will depend on your personal circumstances and stage of life. What’s great is that equity release is safe; it’s overseen by the Equity Release Council and regulated by the Financial Conduct Authority (FCA).
However, to determine if it’s a good idea to unlock equity from your home, you should speak to a financial adviser. After all, seeking advice is compulsory when opting for an equity release product. The team at EveryInvestor will always encourage a whole-market financial adviser as they have an overview of the whole equity release market.
In Conclusion
Between flexible plans, the opportunity for voluntary repayments, and interest rates still low, now is a great time to release your property value through equity release. With another record-breaking year ahead of us, the industry is booming, and many more retirees are set to sign up to an equity release plan. Could you be next?
This is a collaborative post.
If you enjoyed this post, please link to it on your own blog or social media:
Today I have a sponsored guest post for you from my friends at Best Free Stuff. There are some great tips and ideas for getting things free, plus at the end is a link to a free competition where you can win a Lindt Chocolate Bunny just in time for Easter!
There are lots of great ways to get free stuff. For many, this is like a treasure hunt. Once people get their deal, they tend to share the good news with others. So a free deal can go viral quickly. Here are some suggestions for how you can get loads of quality, free products.
Free samples are really popular. Manufacturers like to give them out because it is a very effective way to promote a product. When a product is launched, people may not buy it right away because they don’t know if they will like it. However, if they have a chance to try it for free, then they can buy it if they like it. You may have seen vendors giving out samples at a carnival or community festival. Companies know that no-one can resist a free product. So it’s a win-win for both companies and consumers with free samples.
You can also get freestuff when you search online. There are many websites that have a special focus on gathering information on all kinds of free offers. You can get skincare samples, snacks, cleaning products, movie rentals, and just about anything consumers would want. You just have to click on a link that is connected with the product and fill out some information. Do realize that the provider of the free item will probably add your contact information to their mailing list. So, if you request a lot of free things, you should get ready to receive a lot of email advertisements. You will get the option to unsubscribe, however. So there is little risk in signing up.
Sometimes you can get free trials on full-sized products, such as a software download or a subscription. Do beware of any free trials that require you to enter your credit card information, though. Sometimes it may not be that easy to cancel after the trial.
Don’t forget about classified ads too. Ordinary people are giving away good-quality things every day for various reasons. Perhaps their children have outgrown their toys. Maybe they are moving to a new home and don’t want to take their old furniture with them. A business that is closing offices may be liquidating office furniture and equipment. Craigslist is a popular online classified platform that lists thousands of free items every day, in all major cities around the world. You never know what will be listed each day. If you are looking for something in particular, just type in a search term under the ‘free’ category and see what comes up.
These are just some common ways you can get great free stuff. Free things get snapped up quickly, so if you want the best stuff, you need to be diligent and monitor places that list these giveaways. Sign up for email alerts and keep checking back. If you are in the right place at the right time, you can score a great deal.
If you like to enter competitions, then we found this great competition where you can win 1 of 300 Lindt Bunnies (see cover picture). Click this link to enter today!
This is a sponsored post.
If you enjoyed this post, please link to it on your own blog or social media:
I’ll begin as usual with my Nutmeg Stocks and Shares ISA, as I know many of you like to hear what is happening with this.
As the screenshot below shows, my main portfolio is currently valued at £20,859. Last month it stood at £20,870, so that is a modest fall of £11.
Apart from my main portfolio, I also have a second, smaller pot using Nutmeg’s Smart Alpha option. This is now worth £3,166 compared with £2,682 last month. However, that includes an extra £500 I deposited in February. If you deduct this from the current value that gives a figure of £2,666, a net fall of £16.
Here is a screen capture showing performance over the last month.
Obviously a big factor affecting equity prices this month has been the situation in Ukraine. The orange dot on both charts above shows the date when Russia invaded.
The war in Ukraine is above all a human tragedy, but inevitably it has serious implications for investors as well. So far, as you can see from the charts, the invasion hasn’t had a major impact on my Nutmeg investments (there was actually a bigger fall the previous month, due partly to tensions in Ukraine but also to economic factors like rising inflation). But obviously, if things go badly in the coming weeks, there could be bigger losses to come.
Even so, I intend to stay calm and avoid any panic reaction. I certainly don’t intend to crystallize my losses since the start of 2022 by selling up. I have already topped up my investment once while asset values are depressed and intend to do so again before this year’s ISA allowance ends in April.
As I have said before on PAS, all equity investments should be regarded as medium to long term. And it is worth noting that since I started investing with Nutmeg in 2016 I have still enjoyed a total return on my main portfolio of 45.72% (or 64.72% time-weighted). I should also mention that I selected quite a high risk level for both my Nutmeg accounts (9/10 for the main one and 5/5 for Smart Alpha). This has served me well generally, but I’m sure investors who selected lower risk levels will have seen smaller falls over the last couple of months.
If you also have a Nutmeg portfolio and plan to withdraw from it in the next few months, there is certainly a good case for switching to a lower risk level right now.
You can read my full Nutmeg review here (including a special offer at the end for PAS readers). If you are still looking for a home for your 2021/22 ISA allowance, based on my experience over the last six years, they are certainly worth considering.
As regular readers will know, this year I am using Assetz Exchange for my IFISA. This is a P2P property investment platform that focuses on lower-risk properties (e.g. sheltered housing on long leases). I put an initial £100 into this in mid-February 2021 and another £400 in April. Everything went well, so in June 2021 I added another £500, bringing my total investment on the platform up to £1,000.
Since I opened my account, my Assetz Exchange portfolio has generated £44.26 in revenue from rental and £74.68 in capital growth, a total of £118.94. That’s a decent rate of return on my £1,000 investment and does illustrate the value of P2P property investment for diversifying your portfolio when equity markets are volatile.
I won’t bother publishing a statement on this occasion as it’s not hugely different from last time. The bottom line is that I (still) have investments in 21 different projects with them and all are performing as expected, generating income and – in every case now – showing a profit on capital. So I am very happy with how this investment has been doing.
To control risk with all my property crowdfunding investments nowadays, I invest relatively modest amounts in individual projects. This is a particular attraction of AE as far as i am concerned. You can actually invest from as little as 80p per property if you really want to proceed cautiously.
Another property platform I have investments with is Kuflink. They have been doing well recently, with new projects launching almost every day. I currently have over £2,100 invested with them, quite a large proportion of which comes from reinvested profits. To date I have never lost any money with Kuflink, though some loan terms have been extended once or twice. On the plus side, when this happens additional interest is paid for the period in question. At present all my Kuflink loans are performing to schedule.
Another of my Kuflink investments reached maturity in the last few weeks and I reinvested the capital released. You can see a screen capture of the new project below, a loan to convert some waste ground in the Stevenage district into a car park. It was a different sort of project from those I have previously invested in, but the case set out on the website seemed convincing.
My loans with Kuflink pay annual interest rates of 6 to 7.5 percent. As mentioned above, these days I invest no more than around £150 per loan (and often less). That is not because of any issues with Kuflink but more to do with losses of larger amounts on other P2P property platforms in the past. My days of putting four-figure sums into any single property investment are behind me now!
Nowadays I mainly opt to reinvest the monthly repayments I receive from Kuflink, which has the effect of boosting the percentage rate of return on the projects in question
You can read my full Kuflink review here. They offer a variety of investment options, including a tax-free IFISA paying up to 7% interest per year with built-in automatic diversification. Alternatively you can now build your own IFISA, with most loans on the platform (including the one shown above) being IFISA-eligible.
I’d also particularly draw your attention to Kuflink’s revised and more generous cashback offer for new investors [affiliate link]. They are now paying cashback on new investments from as little as £500 (it used to be £1,000). And if you are looking to invest larger amounts, you can earn up to a maximum of £4,000 in cashback. That is one of the best cashback offers I have seen anywhere (though admittedly you will need to invest £100,000 or more to receive that!).
I also recently published a blog post about another P2P property investment platform called BLEND. Like Kuflink, they offer the opportunity to invest in secured loans to experienced property developers. They offer (on average) somewhat higher rates of return than Kuflink, though arguably with a little more risk. As well as my blog post about BLEND, you can also check out what they have to offer on their website [affiliate link].
Moving on, I have another article on the always-excellent Mouthy Money website. This is quite a personal one in which I set out my views about the FIRE (Financial Independence, Retire Early) movement. For various reasons set out in the article I am not a fan of this. You can read my article here 🙂
That’s more than enough for now, so I’ll sign off till next time. I hope you are keeping safe and well, and (if you live in England especially) are enjoying the more relaxed Covid restrictions that now apply. Here’s looking forward to a more normal spring and summer than the last two years. If you’re planning any UK short breaks, don’t forget I have a list of places I have visited and recommend here 🙂
Disclaimer: I am not a qualified financial adviser and nothing in this blog post should be construed as personal financial advice. Everyone should do their own ‘due diligence’ before investing and seek professional advice if in any doubt how best to proceed. All investing carries a risk of loss.
Note also that this post includes affiliate links (disclosed). If you click through and perform a qualifying transaction, I may receive a commission for introducing you. This will not affect the product or service you receive or the terms you are offered.
If you enjoyed this post, please link to it on your own blog or social media:
I’ll begin as usual with my Nutmeg Stocks and Shares ISA, as I know many of you like to hear what is happening with this.
As the screenshot below shows, my main portfolio is currently valued at £20,870. Last month it stood at £22,275, so that is a fall of £1,405.
Apart from my main portfolio, I also have a second, smaller pot using Nutmeg’s Smart Alpha option. This is now worth £2,682 compared with £2,837 last month, a net fall of £155. Here is a screen capture showing performance over the last year.
There is no denying 2022 has got off to a disappointing start as far as these investments are concerned. Overall, they take the value of my portfolio back to where it was at the end of June 2021.
It is though worth noting that since I started investing with Nutmeg in 2016 I have still enjoyed a total return on my main portfolio of 45.8% (or 64.81% time-weighted). I should also mention that I have selected quite a high risk level for both my Nutmeg accounts (9/10 for the main one and 5/5 for Smart Alpha). This has served me well generally, but I’m sure investors who selected lower risk levels will have seen smaller falls this month.
Of course, it’s not just Nutmeg investors who have had a bad month. Equities generally have taken a tumble in the last few weeks. Commentators have varying opinions about this, but two reasons are typically mentioned: (1) the rising tensions (and threat of war) in Ukraine; and (2) rising inflation rates allied with the removal of monetary stimulus measures as we come out of the pandemic. Obviously nobody knows for sure which way things will go, but this recent post from the Nutmeg blog sets out some grounds for cautious optimism over the year ahead.
Personally I intend to take advantage of the current dip by topping up my Nutmeg investment while asset values are depressed. I plan to add to my Smart Alpha holding, as overall this has been doing slightly better than my main portfolio. I’m also conscious that the end of the 2021/22 tax year will soon be upon us. That means the end of the current year’s ISA allowance, so it really is a case of use it or lose it!
The above is just my view, of course, and should not be construed as personal financial advice for anyone else to follow.
You can read my full Nutmeg review here (including a special offer at the end for PAS readers). If you are still looking for a home for your 2021/22 ISA allowance, based on my experience over the last six years, they are certainly worth considering.
As regular readers will know, this year I am using Assetz Exchange for my IFISA. This is a P2P property investment platform that focuses on lower-risk properties (e.g. sheltered housing on long leases). I put an initial £100 into this in mid-February 2021 and another £400 in April. Everything went well, so in June 2021 I added another £500, bringing my total investment on the platform up to £1,000.
Since I opened my account, my Assetz Exchange portfolio has generated £37.18 in revenue from rental and £91.19 in capital growth, for a total return of £128.37. That’s an increase of £35.99 on last month alone, and does I guess illustrate the potential value of P2P property investment for diversifying your portfolio when equity markets are volatile.
I won’t bother publishing a statement on this occasion as it’s not massively different from last time. The bottom line is that I (still) have investments in 21 different projects with them and all are performing as expected, generating income and – in every case now – showing a profit on capital. So I am very happy with how this investment has been doing.
To control risk with all my property crowdfunding investments nowadays, I invest relatively modest amounts in individual projects. This is a particular attraction of AE as far as i am concerned. You can actually invest from as little as 80p per property if you really want to proceed cautiously.
Another property platform I have investments with is Kuflink. They have been doing well recently, with new projects launching almost every day. I currently have just over £2,000 invested with them, quite a large proportion of which comes from reinvested profits. To date I have never lost any money with Kuflink, though some loan terms have been extended once or twice. On the plus side, when this happens additional interest is paid for the period in question.
Several of my Kuflink investments reached maturity in the last few weeks and I reinvested the capital released. Here is one of the new projects I invested in, a loan to convert a disused medical centre in Five Ways, Birmingham into residential accommodation. It looked a solid investment, and I also liked the fact that it was redeveloping a derelict building in Birmingham, a city where I lived for around twenty years.
My loans with Kuflink pay annual interest rates of 6 to 7.5 percent. As mentioned above, these days I invest no more than around £150 per loan (and often less). That is not because of any issues with Kuflink but more to do with losses of larger amounts on other P2P property platforms in the past. My days of putting four-figure sums into any single property investment are behind me now!
Nowadays I mainly opt to reinvest the monthly repayments I receive from Kuflink, which has the effect of boosting the percentage rate of return on the projects in question
You can read my full Kuflink review here. They offer a variety of investment options, including a tax-free IFISA paying up to 7% interest per year with built-in automatic diversification. Alternatively you can now build your own IFISA, with most loans on the platform (including the one shown above) being IFISA-eligible.
I’d also particularly draw your attention to Kuflink’s revised and more generous cashback offer for new investors [affiliate link]. They are now paying cashback on new investments from as little as £500 (it used to be £1,000). And if you are looking to invest larger amounts, you can earn up to a maximum of £4,000 in cashback. That is one of the best cashback offers I have seen anywhere (though admittedly you will need to invest £100,000 or more to receive that!).
I also recently published a blog post about another P2P property investment platform called BLEND. Like Kuflink, they offer the opportunity to invest in secured loans to experienced property developers. They offer (on average) somewhat higher rates of return than Kuflink, though arguably with a little more risk. As well as my blog post about BLEND, you can also check out what they have to offer on their website [affiliate link].
Next up, I wanted to give another plug for an excellent low-key sideline-earning opportunity I have mentioned previously on Pounds and Sense. This opportunity is based on matched betting, a sideline I have pursued for several years myself. Several PAS readers (including my sister Annie!) have signed up for this and are now enjoying a tax-free, hassle-free sideline income from it 🙂
I have been asked not to divulge too many details about this publicly, for good reasons I will explain privately to anyone who may be interested (and no, it’s not illegal!). It doesn’t require any financial outlay and is risk-free and entirely hands-off (once you have set up your account). No knowledge of betting is required and you don’t have to place any bets yourself (this is all done by the company’s clever software). You just have to set up a separate bank account for bets to go through, but running the account is entirely financed by the company.
The company has changed its terms somewhat for new members. You now get a larger £100 initial reward payment once your account is up and running, and then £25 every month you remain a member. I think this is a good move personally, as setting up the account does involve a little work on your part (though it’s certainly not like going down the mines). So the £100 in effect compensates you for your time, and once it’s done you continue to get £25 a month for no effort at all.
The company is constantly developing its offering, partly in response to feedback from PAS readers. They recently launched a new mobile-friendly website to make it even easier for new members to sign up (once you’re up and running you shouldn’t need to use the website at all). They also recently incorporated an Open Banking app so that members don’t have to provide their online banking info to the company, as some people were concerned about this.
Please note that this opportunity is only open to honest, trustworthy people who haven’t done matched betting before and have no more than two accounts already with online bookmakers. For more information (and to receive a no-obligation invitation) drop me a line including your email address via my Contact Me page. And yes, I will receive a reward for introducing you, but this will not affect the service or the rewards you receive.
In the interests of full transparency, I should say that if you do matched betting yourself, you may be able to make more money than that being offered by the company. However, you will have to research the techniques in detail, place all bets yourself, and probably subscribe to a matched betting advisory service such as Profit Accumulator [affiliate link]. This opportunity is really for those who want an easy way to make some extra money without the hassle (or expense) of learning/applying matched-betting methods themselves.
Moving on, I have another article on the always-excellent Mouthy Money website. Coincidentally, this is about my experiences with P2P property investment over the last few years, both good and not-so-good. Do check it out! 🙂
I was also quoted by Jackie Annett of the Express newspaper in this article about working after retirement. It’s a short but interesting read, especially if you’re coming up to retirement (or already there) yourself.
That’s more than enough for now, so I’ll sign off till next time. I hope you are keeping safe and well, and (if you live in England especially) are enjoying the more relaxed Covid restrictions that now apply. Here’s hoping that normal life across the whole of the UK will be able to resume very soon!
Disclaimer: I am not a qualified financial adviser and nothing in this blog post should be construed as personal financial advice. Everyone should do their own ‘due diligence’ before investing and seek professional advice if in any doubt how best to proceed. All investing carries a risk of loss.
Note also that this post includes affiliate links (disclosed). If you click through and perform a qualifying transaction, I may receive a commission for introducing you. This will not affect the product or service you receive or the terms you are offered.
If you enjoyed this post, please link to it on your own blog or social media:
I’ll begin as usual with my Nutmeg Stocks and Shares ISA, as I know many of you like to hear what is happening with this.
As the screenshot below shows, my main portfolio is currently valued at £22,275. Last month it stood at £21,963, so that is a rise of £312. Obviously in these uncertain times I am very happy with that.
Apart from my main portfolio, I also have a second, smaller pot using Nutmeg’s Smart Alpha option. This is now worth £2,837 compared with £2,795 last month, a net monthly increase of £42. Again that’s a good result, pro rata slightly better than my main portfolio. Here is a screen capture showing performance over the last year.
You can read my full Nutmeg review here (including a special offer at the end for PAS readers). If you are still looking for a home for your 2021/22 ISA allowance, based on my experience they are certainly worth considering.
As regular readers will know, this year I am using Assetz Exchange for my IFISA. This is a P2P property investment platform that focuses on lower-risk properties (e.g. sheltered housing on long leases). I put an initial £100 into this in mid-February 2021 and another £400 in April. Everything went well, so in June 2021 I added another £500, bringing my total investment on the platform up to £1,000.
Since I opened my account, my portfolio has generated £32.40 in revenue from rental and £59.98 in capital growth, for a total return of £92.38. Here is my current statement:
To control risk with all my property crowdfunding investments nowadays, I am investing relatively modest amounts in individual projects. I don’t therefore put more than around £150 into any one project. As you can see, I have a well-diversified portfolio with Assetz Exchange comprising 21 different projects. This is a particular attraction of AE in my view. You can actually invest from as little as 80p per property if you really want to proceed cautiously.
As a matter of interest, I have also included a capture of my Assetz Exchange dashboard below. As you will see, this shows an average AER (Annual Equivalent Rate) yield of 5.38%. That is better than I could have got in interest from almost any savings account at the moment and doesn’t include capital growth either. Of course, money in Assetz Exchange is not protected by the Financial Services Compensation Scheme (FSCS), which covers all deposits with registered UK banks and building societies up to £85,000.
Another property platform I have investments with is Kuflink. They have been doing well recently, with new projects launching almost every day. I currently have just over £2,000 invested with them, quite a large proportion of which comes from reinvested profits. To date I have never lost any money with Kuflink, though some loan terms have been extended once or twice. On the plus side, when this happens additional interest is paid for the period in question.
My loans with Kuflink pay annual interest rates of 6 to 7.5 percent. As mentioned above, these days I invest no more than around £150 per loan (and often less). That is not because of any issues with Kuflink but more to do with losses of larger amounts on other P2P property platforms (such as this one). My days of putting four-figure sums into any single property investment are behind me now!
Nowadays I mainly opt to reinvest the monthly repayments I receive from Kuflink, which has the effect of boosting the percentage rate of return on the projects in question
You can read my full Kuflink review here. They offer a variety of investment options, including a tax-free IFISA paying up to 7% interest per year with built-in automatic diversification. Alternatively you can now build your own IFISA, with most loans on the platform being IFISA-eligible.
I’d also particularly draw your attention to their revised and more generous cashback offer for new investors [affiliate link]. They are now paying cashback on new investments from as little as £500 (it used to be £1,000). And if you are looking to invest larger amounts, you can earn up to a maximum of £4,000 in cashback. That is one of the best cashback offers I have seen anywhere (though admittedly you will need to invest £100,000 or more to receive that!).
I have also been investigating another P2P property investment platform called BLEND recently. Like Kuflink, they offer the opportunity to invest in secured loans to experienced property developers. They offer (on average) somewhat higher rates of return than Kuflink, though arguably with a bit more risk. Watch out for my in-depth blog post about them soon. You can also check out what they have to offer on their website [affiliate link].
Moving on, I have another article on the always-excellent Mouthy Money website. This is about how to save money on your water bills. I enjoyed researching this and some of the things I found out were quite eye-opening 🙂
That’s all for now, so please stay safe and warm in these challenging times. And as I said last time, don’t let scare stories in the mainstream media freak you out. It is now increasingly apparent that while the Omicron variant is more transmissible, it also tends to produce less severe illness. I am increasingly optimistic that as 2022 continues the virus will loom less large in our lives. But Covid will be with us forever, so we really do need to learn to live with it and start getting back to normal now.
As ever, if you have any questions or comments about this post, please do leave them below.
Disclaimer: I am not a qualified financial adviser and nothing in this blog post should be construed as personal financial advice. Everyone should do their own ‘due diligence’ before investing and seek professional advice if in any doubt how best to proceed. All investing carries a risk of loss.
Note also that this post includes affiliate links (disclosed). If you click through and perform a qualifying transaction, I may receive a commission for introducing you. This will not affect the product or service you receive or the terms you are offered.
If you enjoyed this post, please link to it on your own blog or social media:
As is customary for bloggers at this time of year, here are the top twenty posts on Pounds and Sense in 2021, based on comments, page-views and social media shares. They are in no particular order. I have excluded any posts that are no longer relevant.
I hope you will enjoy revisiting these posts, or seeing them for the first time if you are new to PAS. Don’t forget, you can always subscribe using the box on the right to be notified of new posts as soon as they appear.
All posts in the list below should open in a new tab/window when you click on the link concerned.
I’ll be taking a break from blogging over the festive period (though I’ll still be around on Twitter and Facebook). I’ll therefore close by wishing you a very merry Christmas (Covid and the government permitting), and for all of us a far better new year 🙂
If you have any comments or questions, of course, feel free to leave them below as usual.
If you enjoyed this post, please link to it on your own blog or social media:
As regular readers will know, I recently started posting monthly updates about my investments. These partly replace the ‘Coronavirus Crisis Updates’ I was posting from March 2020. You can read my November 2021 Investments Update here if you like
I’ll begin as usual with my Nutmeg Stocks and Shares ISA, as I know many of you like to hear what is happening with this.
As the screenshot below shows, my main portfolio is currently valued at £21,963. Last month it stood at £21,940, so that is a modest rise of £23. Those figures don’t tell the whole story, though. In the early part of November, the value of this portfolio rose as high as £22,398. Unfortunately then news of the new Omicron variant spooked the markets and share prices fell dramatically. In the last few days there has been a modest recovery, resulting in the small month-on-month gain referred to above.
Apart from my main portfolio, I also have a second, smaller pot using Nutmeg’s Smart Alpha option. This has followed a similar trajectory, though it has actually done a bit better than my main pot. It is now worth £2,795 compared with £2,756 last month, a net monthly increase of £39. Here is a year-to-date screen capture showing performance to the start of December 2021.
As I always say, you shouldn’t judge the performance of any equity-based investment on a month-by-month basis. But in these strange times I remain very happy with how my Nutmeg investments are doing. Hopefully the initial panic over Omicron may prove to have been excessive (it may help that there is growing evidence that this new variant typically causes only a mild illness). That being the case, I remain optimistic that the modest recovery in the markets over the last few days will continue.
You can read my full Nutmeg review here (including a special offer at the end for PAS readers). If you are still looking for a home for your 2021/22 ISA allowance, based on my experience they are certainly worth considering. If you haven’t yet seen it, check out also my blog post in which I looked at the performance of Nutmeg fully managed portfolios at every risk level from 1 to 10 (my main port is level 9). I was actually pretty amazed by the difference the risk level you choose makes. If you are investing for the long term (and you almost certainly should) in my view opting for a hyper-cautious low-risk strategy may not be the smartest thing to do.
As regular readers will know, this year I am using Assetz Exchange for my IFISA. This is a P2P property investment platform that focuses on lower-risk properties (e.g. sheltered housing on long leases). I have invested a total of around £1,000 in AE so far (I began with £100 in February 2021 and topped up twice).
Since I opened my account, my portfolio has generated £29.50 in revenue from rental and £45.86 in capital growth, for a total return of £75.36. I won’t bother publishing a statement on this occasion as it’s not massively different from last time. The bottom line is that I (still) have investments in 21 different projects with them and all are performing as expected, generating income and in most cases showing a profit on capital. So I am very happy with how this investment has been going.
To control risk with all my property crowdfunding investments nowadays, I invest relatively modest amounts in individual projects. This is a particular attraction of AE as far as i am concerned. You can actually invest from as little as 80p per property if you really want to proceed cautiously.
Another property platform I have some investments with is Kuflink [referral link]. They appear to be doing well, with new projects launching almost every day. I currently have just over £2,000 invested with them, quite a large proportion of which comes from reinvested profits. To date I have never lost any money with Kuflink, though some loan terms have been extended once or twice. On the plus side, where this happens additional interest is paid for the period in question.
My loans with Kuflink pay annual interest rates of 6 to 7.5 percent. As mentioned above, these days I invest no more than around £100 per loan (and often less). That is not because of any issues with Kuflink but more to do with losses of larger amounts on other P2P property platforms (such as this one). My days of putting four-figure sums into any single property investment are behind me now!
Nowadays I mainly opt to reinvest the monthly repayments I receive from Kuflink, which has the effect of boosting the percentage rate of return on the projects in question
You can read my full Kuflink review here. They offer a variety of investment options, including a tax-free IFISA paying up to 7% interest per year with built-in automatic diversification. Alternatively you can now build your own IFISA, with most loans on the platform being IFISA-eligible.
I’d also particularly draw your attention to their revised and more generous cashback offer for new investors. They are now paying cashback on new investments from as little as £500 (it used to be £1,000). And if you are looking to invest larger amounts, you can earn up to a maximum of £4,000 in cashback. That is one of the best cashback offers I have seen anywhere (though admittedly you will need to invest £100,000 or more to receive that!).
Kuflink has some similarities with Assetz Exchange (see above). However, it’s important to note that with Kuflink you are investing in loans secured by property, whereas with Assetz Exchange your money is going into actual bricks and mortar. Kuflink loans typically pay around 7% annual interest. With Assetz Exchange projected yields from rental are generally a bit lower at around 5%, but you do of course have the potential for capital appreciation as well. There is also an argument that investments on AE are more secure as properties are typically rented out to organizations such as housing associations which are publicly funded. But I should emphasize that over the years I have been investing with Kuflink I have never lost any money with them and I understand nobody else has either. That is of course no guarantee it couldn’t happen in the future, but personally I find it quite reassuring.
I haven’t mentioned my trial investment on European loan crowdfunding platform Nibble for a while, so thought I should remedy that this month. This has been proceeding without any issues. My initial test investment of 20 euros matured in September so I reinvested the entire sum at the same annual interest rate of 9.7 percent (see screen capture below).
I get weekly updates from Nibble confirming how much interest has been added to my account. Money has been a bit tight recently so I haven’t topped up my initial investment. Once I start getting my state pension (see below), however, I should have more available to invest, and Nibble is definitely on my list. My full review of Nibble can be found here.
Moving on, I have another article on the always-excellent Mouthy Money website. This is about how to save money on your motoring costs. I enjoyed researching this and learned some new and surprising things while doing so!
Finally, as I mentioned in this blog post, December 2021 marks a landmark for me, as I shall reach my 66th birthday and qualify for the new state pension. I am due to get my first payment on Christmas Eve. Tempting though it is, I probably won’t be blowing it all on a big party! 🎈🎈🎈
That’s all for now, so please stay safe (and warm) in these challenging times. And please don’t let scare stories in the mainstream media freak you out. At the time of writing hospitalizations and deaths from Covid in the UK have actually been falling steadily for weeks. So despite what the fear-mongers would have you believe, it really isn’t all bad news!
Have a lovely Christmas, enjoy socializing with friends and family, and I’ll be back again with another investments update at the start of 2022.
As always, if you have any comments or questions about this post, please do leave them below.
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Hot chocolate must be the ultimate cold weather comfort drink – and what with everything in the news just now, we all need a bit of that at the moment!
So I have joined forces with some of my fellow UK bloggers to bring you the chance of winning a fantastic Hotel Chocolat Velvetiser, worth around £100.
When you need a morning boost or a flavanol-rich post-gym pick me up, you’re just 2.5 minutes away from barista-grade hot chocolate. Or curl up on the couch with a velvety and indulgent cup in the evening. Whatever your lifestyle, the Velvetiser delivers.
Just choose your flavour. Add our flakes of real chocolate to your choice of dairy, plant milk or water. Then press the button and let the patented velvetising process deliver luxurious cloud-like chocolate velvet.
Your Velvetiser takes up the same space as a kettle and adjusts easily for a left and right hand pour. It might not be suitable for dishwashers but as it’s so quick and easy to clean, why wait? Just pop out the whisk and rinse the non-stick coating with water and you’re ready for the next cup.
The classic copper clad Velvetiser is chic, stylish and on-trend, with looks good enough to grace any kitchen countertop. And we even supply a pair of podcups that just fit into the palm of your hand. So you can cradle that chocolate goodness as you savour every sip. Rich, creamy and decadent, why not indulge yourself with the ultimate in hot chocolate?
In these challenging times we all need and deserve a treat, so here’s your chance to win one of these amazing machines just in time for Christmas!
This giveaway has been organized by my blogging colleague Emma Drew (with a small amount of help from myself), so I should like to thank her very much for this. More details provided by Emma herself, along with instructions on how to enter, can be found below.
The Bloggers Taking Part
This giveaway couldn’t happen without the bloggers below taking part and contributing towards the prize. Please take a moment to visit them and show your support.
This prize is a copper Hotel Chocolat Velvetiser with 2 x Everything + Milky Pouch + Classic Pouch + 500ml Chocolate Cream Liqueur.
Terms and Conditions
1. There is one top prize of the Hotel Chocolat velvetiser and 2 x Everything + Milky Pouch + Classic Pouch + 500ml Chocolate Cream Liqueur.
2. There are no runner up prizes.
3. Open to UK residents aged 18 and over, excluding all bloggers involved with running the giveaway
4. Closing date for entries is midnight on 12.12.2021
5. The same Rafflecopter widget appears on all the blogs involved, but you only need to enter on one blog
6. Entrants must log in to the Rafflecopter widget, and complete one or more of the tasks – each completed task earns one entry in the prize draw
7. Tweeting about the giveaway via the Rafflecopter widget will earn five bonus entries into the prize draw.
8. One winner will be chosen at random.
9. The winner will be informed by email within 7 days of the closing date and will need to respond within 28 days with their delivery address, or a replacement winner will be chosen.
10. The winners’ names will be published in the Rafflecopter widget (unless the winner objects to this).
11. The prizes will be dispatched within 14 days of the winner confirming their details.
12. The promoter is Drew Media LTD t/a www.MakeMoneyWithoutAJob.com
13. By participating in this prize draw, entrants confirm they have read, understood and agree to be bound by these terms and conditions
ENTER NOW
Simply complete any or all of the Rafflecopter entry widget options below to be entered. You can also tweet about the giveaway daily to earn bonus entries. a Rafflecopter giveaway
One final small point is that if a winning entry comes from following someone on social media, the organizer (Emma Drew) will check before awarding the prize that the winner is still following the account in question. If they aren’t, they will be disqualified and a new winner drawn. So, please, don’t follow and immediately unfollow, as your entry won’t then count.
Good luck, and here’s hoping we can all look forward to better and brighter times soon 🙂
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Christmas is coming, so here’s a chance to make it extra special for one lucky winner!
I’ve joined forces with some of my fellow UK bloggers in this festive giveaway with a prize valued at over£1,000 in total. That’s made up of a unique homeware upgrade package worth over £600 from Norwich-based lifestyle and homeware brand Arca, plus a cool £400 in cash. You can read more details about this amazing prize below.
Entering the giveaway is free of charge and full instructions can be found below. There are multiple ways to enter, and the more you do, the better your chances of winning. But note that where an entry requires following a social media account, you will need to continue following this account until the winner has been drawn on 20 December 2021. Before the winner is announced the organisers will check that they are still following the account in question. If not, they will be disqualified and another winner drawn.
2021 has undoubtedly been another challenging year, though (fingers crossed) we are emerging from the pandemic now and life is slowly getting back to normal. Whether you win this giveaway or not, I wish you and yours a very happy and peaceful Christmas 2021. Here’s hoping that 2022 is a better year for us all, and we can finally put the spectre of Covid in the past where it belongs!
This giveaway has been organised by my fellow blogger Neesha Rees, who blogs at Reinventing Neesha. Please check out her blog and those of the other talented bloggers taking part (listed below). And read on to find out how you could win this mammoth prize!
Your home is your sanctuary, so surround yourself with things you love.
One lucky winner will win a unique homeware upgrade package worth over £600 from Arca plus £400 in cash!
Arca Lifestyle is an eclectic lifestyle and homeware brand based in Norwich. With a range of hand-curated products from across the globe, Arca provides the latest trends to brighten any home as well as original gift ideas for those you love.
Arca has been created with the goal to help individuals find homeware pieces and prints that spark their soul, offering unique products that are not available elsewhere.
Once you have completed the above entry options, via the Rafflecopter widget below you will unlock more ways to enter. The more you complete, the more chances you have of winning.
The competition ends at midnight on Sunday 19th December and a winner will be drawn on Monday 20th December.
For full entry terms and conditions please see the rafflecopter widget below.
Christmas is barely six weeks away, and it’s a safe bet more of us than ever will be shopping online this year.
Pounds and Sense is aimed at the over-50s, so today I thought I’d set out a selection of products you can buy online suitable for people in this age category. Though in my view most would be very well received by younger people too 🙂
Quite a few of these are things I’ve received for free this year as an Amazon Vine reviewer. Others are simply products that I’ve bought for myself – or friends or relatives – and am very happy to recommend to others.
Please note that I am using some affiliate links in this article, so if you click through and make a purchase, I may receive a commission for introducing you. Of course, this will not affect the price you pay or the product you receive.
(1) Music Hat
My first thought when I received this unisex beanie hat to review for Amazon Vine was that it was just a novelty product – but it turned out to be a lot better than I anticipated!
The hat itself is made of stretchable acrylic and is warm and comfortable. It’s available in a range of colours to suit all tastes. And in addition to keeping your head warm in the winter, it boasts an LED light at the front and built-in Bluetooth earphones.
The LED light has three brightness settings, with the brightest illuminating the area in front of you quite impressively. I’ve found this useful for putting the bins out at night and (on a lower setting) to ensure I can be seen when walking at night along poorly lit roads and pavements.
The stereo headphones are surprisingly good quality. Obviously you wouldn’t expect super high fidelity, but for listening to music or podcasts on the go, they are more than adequate. Setting up a Bluetooth connection with my Android smartphone was easy, and I’ve been enjoying listening to my choice of music on my daily walks. In theory you can also use the hat for making and receiving phone calls, though I haven’t tried that myself. Even if you only use it for listening to music, though, it’s still a very nice piece of kit. And for around £20 at the time of writing, this unisex beanie hat won’t break the bank either!
I also got this two-light beanie hat (without built-in earphones) for my sister Annie. At this time of year she has to walk home in the dark from her job at a prison, and she goes running in the evening sometimes as well. Annie sent me the following mini-review: ‘That fluorescent hat is actually really good! Very bright front and back light. Great for being seen by others so makes you feel safe at dusk (I don’t run in the dark nowadays so much). Nice snug fit especially round the ears and easy to put the lights on (front and back) even when it’s on your head! Have had lots of positive comments. Definitely recommended!’
(2) Fruit Wines
I am not much of a drinker these days, but I will always make an exception for these delicious fruit wines, especially at Christmas!
Clive’s Wines is a small, family-run company based barely a mile from where I live. They offer a range of high-quality fruit wines, including damson, cherry, raspberry, strawberry, elderflower, plum and (my personal favourite) gooseberry. For special occasions they also offer a premium sparkling ‘Rhubling’ made with rhubarb.
You can order individual bottles and gift packs online for delivery anywhere in the mainland UK and Europe, with free delivery for orders of over £60 in the UK. If you are looking for an unusual gift that will also support a small local business, I can promise that you (and the lucky recipient) won’t be disappointed 🙂
You do, of course, have to be over 18 to order any product containing alcohol.
(3) Hand Warmer and Power Bank
I have two of these devices now (the first came my way as an Amazon Vine reviewer). As you may gather, they are dual-purpose devices, serving both as a hand-warmer and a power bank for charging your phone or tablet.
The product pictured above is the OCOOPA Rechargeable Handwarmer and Power Bank. This has a powerful 10,000 mAh battery and doesn’t therefore need frequent recharging. You can have three levels of heat (though I find the lowest is more than sufficient for me). It only takes a few hours to charge fully and can charge up my Android phone in under an hour.
Currently I am using this device more as a power bank than as a hand warmer, but that may change if and when sub-zero winter weather conditions arrive. For under £30. it would make a nice, practical gift for any older person (especially if they suffer from cold hands!).
(4) Amazon Echo
Unless you’ve been on Mars for the last few years, I’m sure you’ve heard of these devices. There is a growing family now. The picture above is of an Echo Show, which also has a visual display. I have one of these in my kitchen and use it all the time. I also have an Echo Dot in the bedroom, a standard Echo in the living room, and a tiny Echo Flex in my office. And I’m still thinking of getting more!
I use my Echo devices primarily for listening to music and radio. But I also regularly use them for checking the weather forecast, getting news updates (‘Alexa, read my flash briefing’), asking random questions (‘Alexa, how far is the Earth from the Moon?’), checking the time, setting alarms and timers, finding out what’s on TV, and much more. Alexa has become part of my life now, and I have to admit I actually miss her when I am away. How sad is that? 😀
In my view an Amazon Echo device would make a great gift for any older person, even if they aren’t at all tech-savvy (though they do of course need wifi to work). Once the device has been set up – which is easy enough – you can control it entirely using your voice, just using the ‘wake word’ (Alexa by default, though you can change it if you like) to activate it.
For an older person living alone especially, having an Amazon Echo device can provide companionship as well as reassurance in the event of an emergency (you can ask Alexa to call any of your contacts for you, though currently you can’t get it to phone 999). And an Echo is a present that will go on giving through Christmas and well beyond. Highly recommended.
Amazon often have some great offers on Echo/Alexa devices in their Black Friday sale.
(5) Christmas Hampers
This is quite a traditional Christmas gift, but none the worse for that. I have been sending Christmas hampers to various elderly relatives for many years, and they are always well received. The hampers include a selection of luxury food and drink that people on a limited budget wouldn’t typically buy for themselves. I often get quite in-depth feedback about what they liked or disliked about this year’s hamper and whether it was better or worse than last year’s!
There are various suppliers you can order hampers online from (Marks and Spencer have a good selection, for example). But these days I normally order from Amazon. They have a vast range from a variety of merchants, and you can easily search for the type of hamper you want (including by price, with/without alcohol, vegan/vegetarian, and so on).
Amazon also sell hampers aimed specifically at older people, such as the Traditional Treats Hamper (from Clearwater Hampers) pictured above. This costs £49 at the time of writing and includes luxury chocolates, a tin of afternoon tea, hand-baked lemon biscuits, rhubarb and custard sweets, almond biscuit thins, clotted cream fudge, and more. Guaranteed to put a smile on the face of any grandparent 😀
Of course, there are lots of other options as well, for younger folk as well as older ones. Prices range from around £20 to £200 or more if you really want to push the boat out!
(6) Red Letter Days Vouchers
Red Letter Days sell gift vouchers for a huge range of experience days, for single people or for couples.
Among other things, they include luxury spa days, hotel mini-breaks, afternoon tea (see picture above), driving experiences (e.g. supercar driving, go karting, truck driving), sky diving, hot air ballooning, river cruises, visits to historic houses/gardens, restaurant meals, and many more. Some will obviously appeal more to younger folk, but there are plenty that are equally suitable for all ages (and plenty of older people still enjoy a bit of thrill-seeking as well!).
In the last 18 months many of us have have spent months on end cooped up in our homes. So the chances are your friends or relatives will really appreciate the chance to enjoy an exciting (or relaxing) experience day such as these.
(7) Salter Electronic Scales
Finally, here’s a great, inexpensive gift for anyone who enjoys cooking.
No bowl is provided with these scales, but because of the way they work you don’t need one. You can place any container you like on the scales and press the button to zero the display (so the scales disregard the container’s weight). You can then add your ingredient and the weight (or liquid volume if you prefer) will be shown. If you want to add more ingredients, you can zero the display again before doing so. Once you get the hang of this, it’s amazingly quick and simple. I use it all the time now, and even weighed a parcel on it recently 😀 I also like the way it hardly takes up any space at all in my kitchen when stored on its side.
So there you are – seven great ideas for Christmas gifts you can buy online that any older person would be delighted to receive (and a lot more exciting than slippers or socks!). As always, if you have any comments or questions about this post, please do leave them below.
Note: this is a fully updated version of an annual post.
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