Investing through Squirrel

Starting XI
6.7K
·
4.5K
·
over 9 years
Hey guys, this seemed as good a place as any to ask about squirrel.

I've been umming and aahing about putting money into this service for a while but was just after some feedback from anyone who may use it currently, or have indeed used it in the past.

I'd like to think I'm pretty savvy around investments, I'm well diversified across several investments - housing, shares, superannuation funds and money in the bank. 

But the reason I'm looking at this option, well, to be frank i'm honestly sick of the pathetic interest rates being offered by banks for the hard earned money I have in there currently. Everything else I am relatively happy with, despite the uncertainty going on in the world at the moment. 

If anyone has any advice on this platform it would be much appreciated - pitfalls, things to watch out or be wary of, and things that you find work well for you would be of great use to me.

Thanks in advance for the advice! 😁
Legend
3.6K
·
15K
·
almost 17 years
Yes interest rates are terrible, and won't be going anywhere good any time soon. 
If you aren't earning about 7% or more on your investments then you're losing money thanks to the rate of inflation. Real estate was previously a safe haven but is looking rocky now. 
My personal opinion (not financial advice!) is that unless you're a stocks guru, you should be looking to buy something finite and scarce, that you can own a percentage of, rather than nominal units of something that may get increased arbitrarily i.e. cash, stocks. 
One thing is for sure though, holding cash is a poor choice, it's losing its value every single day. So much for the "save money and watch the interest compound" education we all got, it no longer applies thanks to irresponsible financial management from the governments of the world. 
That's not going to change any time soon either. Creating brand new money out of thin air is too addictive for governments to stop now, they're on this ride and they can't get off. 

Sorry that's a bit of a rant, I have nothing to offer on the merits of Squirrel unfortunately... 
Starting XI
6.7K
·
4.5K
·
over 9 years
paulm
Yes interest rates are terrible, and won't be going anywhere good any time soon. 
If you aren't earning about 7% or more on your investments then you're losing money thanks to the rate of inflation. Real estate was previously a safe haven but is looking rocky now. 
My personal opinion (not financial advice!) is that unless you're a stocks guru, you should be looking to buy something finite and scarce, that you can own a percentage of, rather than nominal units of something that may get increased arbitrarily i.e. cash, stocks. 
One thing is for sure though, holding cash is a poor choice, it's losing its value every single day. So much for the "save money and watch the interest compound" education we all got, it no longer applies thanks to irresponsible financial management from the governments of the world. 
That's not going to change any time soon either. Creating brand new money out of thin air is too addictive for governments to stop now, they're on this ride and they can't get off. 

Sorry that's a bit of a rant, I have nothing to offer on the merits of Squirrel unfortunately... 

I'm going to do a bit more reading up on it before I commit to it. But the return on any money committed to it far outweighs any returns from term investments or banking returns.

Alternatively I was going to save up a bit more and commit to buying/buying into a business that would be more productive in the long run.

In response to terrible interest rates from banks, it seems they're just sitting on piles of deposits from their customers - obviously saved up over the past couple of years being locked up at home. So essentially they don't need to offer increased interest rates to savers as they have a large base from which the lend money out.

Banks just being banks I guess. But I wonder what would happen if people started withdrawing cash and then putting it toward more productive sectors of the economy - businesses, shares etc. Hopefully their hand would be forced, and they'd have to offer fairer returns to people who are good/disciplined with their finances. Unlikely we'll see that any time soon though. 😥
Legend
11K
·
21K
·
almost 9 years
paulm
Yes interest rates are terrible, and won't be going anywhere good any time soon. 
If you aren't earning about 7% or more on your investments then you're losing money thanks to the rate of inflation. Real estate was previously a safe haven but is looking rocky now. 
My personal opinion (not financial advice!) is that unless you're a stocks guru, you should be looking to buy something finite and scarce, that you can own a percentage of, rather than nominal units of something that may get increased arbitrarily i.e. cash, stocks. 
One thing is for sure though, holding cash is a poor choice, it's losing its value every single day. So much for the "save money and watch the interest compound" education we all got, it no longer applies thanks to irresponsible financial management from the governments of the world. 
That's not going to change any time soon either. Creating brand new money out of thin air is too addictive for governments to stop now, they're on this ride and they can't get off. 

Sorry that's a bit of a rant, I have nothing to offer on the merits of Squirrel unfortunately... 

Real estate market will be flat/dropping next few years. But it will always offer that major advantage that most assets classes just can't - LEVERAGE
Marquee
6.9K
·
9.3K
·
over 13 years
Real estate also generates more of a return than dividends, even if it's stagnant it still will be subsidising it's own cost via rent.
Legend
3.6K
·
15K
·
almost 17 years
Deleted

Sorry just realised I was hijacking your thread, and not talking about Squirrel!
Starting XI
6.7K
·
4.5K
·
over 9 years
No worries at all. 
I appreciate any information and feedback.

Unlike the banks of NZ, they at least pass on the full 50bps in their rates too. I just got an email about them increasing rates for both investors and people who are looking to borrow. Take notes banks of NZ!
Trialist
0
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2
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over 1 year
Well, one safe investment you can do is to invest in yourself learn new skills and start supplying your skills in the market. Like professional writers do. By providing their writing skills to online business owners all around the world. Or you can learn some new IT skills.
Starting XI
6.7K
·
4.5K
·
over 9 years
alexachris
Well, one safe investment you can do is to invest in yourself learn new skills and start supplying your skills in the market. Like professional writers do. By providing their writing skills to online business owners all around the world. Or you can learn some new IT skills.

Hadn't checked back in on this thread in a while so only just saw this one.

That is eventually the goal, but I have some shorter term financial goals that I have set that I would like to hit before branching out. I'm in a pretty fortunate position with a relatively small mortgage for my age and a decent paying job. But with the way the world is at the moment I still need to shore some things up in order to get to the things that really interest me.

Also if anyone cared, I decided to go against investing with squirrel. For now. 👀

Investing through Squirrel

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