Preservation of savings

[damol3435]

Is anyone able to suggest a safe bank to iook after our savings? Up to now, we have used banks in the UK but the UK now has serious debts and I fear the government may eventually seek to get out of the mess it has created by following Cyprus' example of a haircut to seize our assets, or by making it impossible to access our cash.

Ideally we would put the savings in the care of a reliable bank in a country with little indebtedness where it could earn a little interest. Is there such a place??

All comments and suggestions welcome (via PM if you prefer).

[josef k]

If you are worried about UK banks yet want a safe place for your cash, why not try offshore in the Channel Islands or Isle of Man. They have British banks but are outside the UK.

[tonee]

If you have to use a Cypriot Bank,your savings will be safe up to 100,000 euros(£85,000 UK).This proved to be the case in the down turn here.

[Kili01]

Or if some of your savings could become investments and you have a reasonable sum, a good IFA ( there are a few good, reliable ones) here, could tell you much more about places where you could keep your savings safely and earn reasonable interest on them.
Outside both UK and off shore to Cyprus. This can be done legally with in the present laws. Probably a better option than relying on banks which are paying neglegible interest.
Keeping your money in Cyprus may not be a good idea as you can lose out on currency exchange rates should you want to convert euros to sterling or another currency later.
Dee

[damol3435]

Thank you all for your comments.

HIC is confident the UK economy is also happy. I am not so sure: at the time of the"haircut" in 2012/13 the CY. Gross.National Debt was 79.7% of GDP The corresponding UK 2016 figure is 89.3%. (To be fair there are worse, the US figure is currently 106%, Cy's 107.8% and France 96%) Even Germany's figure is 68.3%!

I am not an economist and have no way of knowing the importance of these figures but the current UK figure is about 10% worse than was Cy's at the time of the "haircut".

Re "offshore" UK accounts: there are now few providers and the "guaranteed" amounts are a lot less than the UK's.

How do you know a "good" IFA?

[PhotoLady]

Here: https://www.moneysupermarket.com/saving ... ngs-guide/

[Kili01]

Yes, like Austin 7 I am with the same firm, Paphos Branch.
They are doing a good job as far as I'm concerned.
There is little point in leaving all your money in a Bank with the lack of decent interest you will be pushed to even maintain your money at the same value,if you take inflation into account. It may be worth considering leaving yourself with adiquate funds for living, plus a 'contingency'Sum to cover any sudden unforseen expense. The surplus funds if there are some, can be invested to get a decent rate of interest. A good IFA can explain what would be needed, it is also possible to structure investments so that money can be available at short notice should you suddenly need it.
Dee
Dee

Dee

[mike strand2]

Gold anyone?

[Robert]

I'm with Blevins Franks (Paphos Branch), can thoroughly recommend.

Yes, like Austin 7 I am with the same firm, Paphos Branch.
They are doing a good job as far as I'm concerned.
There is little point in leaving all your money in a Bank with the lack of decent interest you will be pushed to even maintain your money at the same value,if you take inflation into account. It may be worth considering leaving yourself with adiquate funds for living, plus a 'contingency'Sum to cover any sudden unforseen expense. The surplus funds if there are some, can be invested to get a decent rate of interest. A good IFA can explain what would be needed, it is also possible to structure investments so that money can be available at short notice should you suddenly need it.
Dee

Would you mind sharing:
- What % of assets under management do they take as their fees annually?
- What is the average expenses % of the products that they have you invested in?

[kingfisher]

From very hard personal experience over 12 years, I would not dream of investing a penny in Cyprus or through a Cy- based advisor. We only bring in just what we need. All our savings are in UK offshore [sterling], done through Guernsey.
As regards government debt, the UK is currently viewed by the three major rating agencies as being prime investment grade and stable. By the same agencies, Cyprus is viewed as “junk” status, and certainly not investment grade. At the level of personal investments, you do need to check the above agencies ratings of the specific bank or institution you are invested in. Caveat emptor!
Jon.

[Kili01]

No mention was made of funds being invested through Cyprus! I wouldn't do that either..... which was why two people suggested that he could try talking to BlevinsFrank. They have offices in Cyprus, Malta and the UK and are used to off shore investments which are both legal and tax efficient! Tel: 26 023100.

Dee

[kingfisher]

I agree Kili01 regarding BlevinsFrank should one wish to invest offshore as you suggest- We unfortunately chose the Scottish sounding firm, now defunct as far as I know. However, my concern would still be with the "regulatory" integrity of Cyprus, which a few years ago was non-existent. We were shunted endlessly between the Insurance "regulator" and the Cy stock exchange regulator. This set up was designed (I believe) deliberately to cause endless obfuscation in the event of an alleged fraud on the basis that the silly old ex-pat would hopefully go to his/her rest before any meaningful justice was dispensed!

[Kili01]

Sorry to hear that, Kingfisher. I know of other people who have suffered this way.
But so far as I can ascertain the firm that I'm with being international is a safer bet. They have a good reputation.

Dee

[kingfisher]

Thank you Dee.
We too have only ever heard/read good recommendations regarding BlevinsFrank- we picked the wrong horse!
Jon.

[gazzaga]

I see that Blevins Franks get some good press here.
Can anyone share the cost of their advice and ongoing management?

[Dadio]

I’ve been satisfied with BlevinsFranks for the past 9 years and it costs nothing to discuss your situation with them - just ring up.
As with all advisors you must accept that there will be market fluctuations and nothing is guaranteed. Personally I think that markets are probably due a fall, so timing is important.

Alex.

[Lee]

A 'good' IFA - one that listens to all your requirements and puts your needs at the heart of the situation. One who is UK qualified to what is known as level 4. One who works for a correctly licenced organisation whether it is investment or an insurance (or both)
A 'bad' IFA - one who tells you all the advice is free, one who will guarantee your money is safe, one whose only qualification is 'FAIQ' or who doesn't even hold that.
Be wary of the over emphasis of 'tax efficiency' if you haven't lived here 17 years.

[tonee]

Hi
I use Mark Nowell(he used to run the financial section on CL).Works for 3D Global,they have large offices in Limassol.He has handled my investments for quite a few years now and very impressed.He has all the required licences,very professional.