Liquid Millionaire - isaco

Stephen Sutherland
Yes, it’s true. Any funds in existing Cash ISAs are transferable to a
Stocks and Shares ISA.
To put it another way, if you have built up a stock pile of Cash ISAs over
the years, they can now be rolled into a Stocks and Shares ISA.
Th is is great news for anybody who has a desire to get 15-20% tax-free
returns instead of 5% or 6% returns.
Th ere were some other changes too. Th e Government stated that ISAs
will continue to be made available beyond the original end date of April
2010.
And the annual limit that they allow you to invest per person was raised
to £7200.
But the best announcement from the Government was this. Th ey
publicly committed to ISAs for life 71 , rather than the previous 10 year
period. Th is means you now have the security of knowing that the tax
advantages will be long-term. ISAs are here to stay.
As mentioned on many occasions, one of the basics that I fi rst learned
about how the stock market works is that three out of every four stocks
move in the same direction as the market.
So if the market is in an uptrend, three out of four stocks move up. And
if the market is in a downtrend, three out of four stocks move down.
Th at tells you that when the market had an 80% correction between
2000 and 2002, individuals who remained invested in the market’s
downtrend over that period will have lost money.
As author and Wall Street stock wizard Vic Sperandeo states, “Th e
key to building wealth is to preserve capital and wait patiently for the right
opportunity to make the extraordinary gains.”
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