Managing Your Money 

76-year-old needs more international exposure

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David, 76

Description

Sipp and Isa

Objectives

Income

<p>Sipp and Isa</p>

David is 76 and has been investing for 40 years. He and his wife have £875,000 invested in direct shares and funds, mostly held tax-efficiently in self-invested personal pensions (Sipp) and individual savings accounts (Isas).

To maintain their lifestyle, they need to generate £60,000 in annual income, partly made up of state pension income (David £14,205 and wife £4,604) with the rest drawn from the investment portfolio.

David says: "We own our £1.5 million property outright. We also have £90,000 in cash, premium bonds and building society accounts. In the next 12 months we expect to inherit £300,000.

"In May 2014 we gifted £300,000 to one of our two sons. We enjoy living in our house but realise we will have to downsize at sometime. Our sons are 47 and 43. Neither are poor but they will appreciate an inheritance one day."

David describes his attitude to risk as "medium" but says he "likes to take an occasional punt".

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