Although I have been living in UK for one year I started investing in £ only recently. I still think that there are cheaper companies on the Warsaw Stock Exchange but I wanted to diversify my investments. The another reason is the falling GBP/PLN ratio. I have decided that I will not exchange my £ into PLN (Polish currency) while the ratio is below 5.60. This is connected with the possibility of leaving European Union by United Kingdom. Till the referendum on June 23, 2016, I do not expect GBP/PLN ratio to go up.
The first step was to open an ISA account. I have chosen an AXA ISA account. The advantage of this ISA account provider is that throughout the first year I do not have to pay any charges to AXA. However, I can invest only in funds and even though there is a vide range of funds, the fact that I am not able to buy stocks and ETFs using this account constitutes some drawback of it.
And I started investing by this ISA account with quite decent results. On the screens below you can see all the transactions since the date I started investing in £ (from a Transaction statement of my ISA account). My first transaction was buying investment fund shares of a Russian market fund.
As you can see, in less than half of February (I bought the fund: Neptune Russia & Gtr Rus C Acc GBP on February 18,2016), the value of my invested money increased by 5.86%, during March the performance of my wallet equals 7.91%. At the same time, FTSE100 went up 1.28% and 2.1%.
A screenshot from the website myfund.pl which I use to save and monitor my investments:
I have fund investing on Russia market, 2 funds investing in commodities and fund operating on China market. I am reading financial reports of UK stocks so gradually I will add British companies to my portfolio (first, I will need to transfer my money to another ISA account or I will buy stocks using my Private Pension account).
I think there will be correction of those decent increases on the Emerging Markets at the beginning of April. Anyway, I know that the Russia market is already the cheapest market in the world and I want to have some part of my money invested there.