Is there a ETF that works similar to a savings account?

[tlf67482]

I have some cash sat in my S&S ISA but I am unsure of which markets I want to invest in at the moment but I would like to put the money to some use.

Is there an ETF that works similar to an savings account?

For example:

1) It adds "interest" daily and the only charges would be the buy and selling fees (i.e. no spread).

or

2) Pays a monthly dividend equivalent to the "interest" and the only charges would be the buy and selling fees (i.e. no spread).

Thanks

[Alaric]

2) Pays a monthly dividend equivalent to the "interest" and the only charges would be the buy and selling fees (i.e. no spread).

They usually pay out interest half yearly or quarterly.

This one for example
https://www.ishares.com/uk/individual/e ... -ucits-etf

As with any Gilts, there's an interest rate risk to capital.

UK based money market ETFs seem in short supply.

[Gadgeisbackagain]

Gilts etf hardly seems worth the capital risk for 1 per cent pa yield.

I use moneybox.com for round ups to money spent and for occasional top ups.

Takes 3 weeks to withdraw money though.

https://uk.trustpilot.com/review/moneyboxapp.com

Gadge

[Lootman]

Doesn't pay monthly but iShares ERNS is probably the closest:

https://www.ishares.com/uk/individual/e ... -ucits-etf

[nmdhqbc]

You didn't explicitly say it but I get the impression you want the capital value to remain constant (no risk). I would have though that by definition ETFs are traded (eTf) so markets would determine price making it impossible for the capital value to be guaranteed not to fluctuate. I know very little, just my theory.

[torata]

From memory, what you are describing sounds similar to what my US friends many years ago called moneymarket funds, but they weren't ETFs.

The Vanguard US and EU Corporate bond ETFs pay monthly amounts, but with Sterling so low at the moment they may not be good value. And of course capital is not guaranteed: for example for me, the US Corp bond ETF was under water for 2 years until June this year.

torata

[GoSeigen]

I have some cash sat in my S&S ISA but I am unsure of which markets I want to invest in at the moment but I would like to put the money to some use.

Is there an ETF that works similar to an savings account?

For example:

1) It adds "interest" daily and the only charges would be the buy and selling fees (i.e. no spread).

or

2) Pays a monthly dividend equivalent to the "interest" and the only charges would be the buy and selling fees (i.e. no spread).

Thanks

No.

[toofast2live]

ERNS is as near as you'll get.

With the way BoJo is leaving the EU i think you'll be ok in any short term US T bill account as the pound will be destroyed, as indeed it has been for 60 years. Anyone else old enough to recall when "half a dollar" meant half a crown (2/6). Yep, for you millenials we used to get 4 dollars to the pound in the early sixties. Brexit means any currency other than £ or €.

Yen, $ and Swiss fFanc are the best. Great (or at least stable) countries have strong currencies. Sh1t countries have weak currencies. You decide which camp the UK sits in, but the verdict of the markets since Brexit day are very clear that the £ is a sh1t currency.

Oh, by the way it is "sitting in my account" NOT "sat in my account". "Sat" is a northern affectation that has been erroneously adopted by the rest of the country for some weird reason. Ten years ago no one said "I was sat on on a bench", they would correctly say "I was sitting on a bench"

[Lootman]

Anyone else old enough to recall when "half a dollar" meant half a crown (2/6).

Yep, and I remember tanners, bobs, florins and ten bob notes as well. Farthings were before my time, but I always had a soft spot for the oddly-shaped "thrupenny bit".

My father used to refer to a half crown as "half a dollar", reflecting the FX rate to the dollar that was fixed for a long time. Once the currencies decoupled, the pound has basically been declining, with a few faux recoveries here and there.

The pound was down to about a dollar in the mid-1980s, when the US jacked up its interest rates to 15% or so. The Plaza Accord reversed that for a good while, and sterling got to about $2 in the 2000's, before falling again.

I expect we will see pound-dollar parity again before this is through.

[Alaric]

Yep, for you millenials we used to get 4 dollars to the pound in the early sixties.:

The first sterling devaluation was in 1948 or 1949 from 4 dollars to the pound to 2.80. The second was in 1967 (Harold Wilson and the "pound in your pocket") which took it to $ 2.40 and had the advantage that an old penny equalled a US cent. Decimalisation in 1971 and floating currencies in 1972 destroyed that. In the initial flush of North Sea Oil in the very early 1980s I think it got back to around 2.80.

[PinkDalek]

Farthings were before my time, ...

Legal tender until 31 December 1960.

Used one as part payment to a nurse when my £20 bet was lost. I still owe her £19/19/​11 3⁄4d. At least the location of the injection didn’t hurt as much as I expected.

[Lootman]

Farthings were before my time, ...

Legal tender until 31 December 1960.

Used one as part payment to a nurse when my £20 bet was lost. I still owe her £19/19/​11 3⁄4d. At least the location of the injection didn’t hurt as much as I expected.

If it was a tonsillectomy then I am going to guess that the said location was a buttock.

At least it was in my case, when the nurse told me to kneel on the bed and pretend I was a train. I duly did my best "choo choo" rendition until that was caught short by a needle in the bum. I was nine, I believe.

I still have some farthings in my coin collection. Just never spent one.

[PinkDalek]

Tetanus but correct location! Surprised I was at that tender (pun intended) age. I’d assumed they’d inject near the injury, which was my chin.

Apologies for the off-topic content.

[Spet0789]

Anyone else old enough to recall when "half a dollar" meant half a crown (2/6).

Yep, and I remember tanners, bobs, florins and ten bob notes as well. Farthings were before my time, but I always had a soft spot for the oddly-shaped "thrupenny bit".

My father used to refer to a half crown as "half a dollar", reflecting the FX rate to the dollar that was fixed for a long time. Once the currencies decoupled, the pound has basically been declining, with a few faux recoveries here and there.

The pound was down to about a dollar in the mid-1980s, when the US jacked up its interest rates to 15% or so. The Plaza Accord reversed that for a good while, and sterling got to about $2 in the 2000's, before falling again.

I expect we will see pound-dollar parity again before this is through.

And yet you support Brexit. Odd...

[PinkDalek]

It wouldn’t be odd if someone’s assets were mainly dollar based or derived.