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Post by rgs2001uk on Sept 5, 2017 22:19:24 GMT 7
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chiangmai
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Post by chiangmai on Sept 6, 2017 6:21:34 GMT 7
I like Ballie Gifford, every time I get immersed looking at funds I keep finding that they have some very good ones, I hold their international equities fund which has done very nicely - I also like Threadneedle products in the main, they all mostly seem to be well regarded. This pension pot is a bit of an odd ball, it's one of several but it's the only one I take care of. Initially, it was just a source of casual additional income but since I've got involved in managing it I've decided not to take any more income from it and instead see how big I can make it grow. It makes sense to me that since it's an onshore UK portfolio that is exempt from UK tax when I die, I can potentially accrue income from it each year which will benefit Mrs CM when I die. But I may yet have to start using it again if Trump continues the way he is, he's already zapped me for 24.5% irrecoverable tax on my US pension and this is just a sign of things to come for soft target non resident aliens. Grrrr!
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chiangmai
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Post by chiangmai on Sept 9, 2017 9:22:39 GMT 7
I'm busy putting together a second portfolio and here's what it looks like:
Baillie Gifford International Fidelity Institutional (Index Linked) Bond Inc Twenty Four AM Dynamic Bond Fund Fidelity Money Builder (fixed interest) Fundsmith Equity T iShares £ (index-linked) Gilts UCITS ETF GBP Lindsell Train Global Equities. Baillie Gifford Japanese Baillie Gifford Managed B Jupiter European Lindsell Train UK Equities Royal London Extra Yield (fixed interest) Schroder Small Cap Discovery Stewart Asia Pacific Leaders Henderson China Opportunities
It's 60/40 and the risk level is medium. I've retained most of my pension portfolio funds but added some new ones including Jupiter European and Henderson China - five bond/gilts funds and ten equity funds, 96% are quartile one funds and 95% have a volatility rating under 11.5%. The funds are a combination of INC/ACC - no UT's this time around.
The geographic spread looks like this:
UK 22%
US 14%
EU 19%
Asia 10%
Japan 10%
India 2%
Taiwan 2%
China 9%
Aus/NZ 1%
Emerging. 6%
Other 3%
I have a 30 day window of opportunity with Transact whereby I can invest new funds without incurring a 3% charge for new funds (because I am an execution only client) so I'm hoping NK will settle down soon as that will be the trigger for me to invest further.
As always, constructive comments and observations are welcome.
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AyG
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Post by AyG on Sept 9, 2017 9:50:42 GMT 7
iShares £ (index-linked) Gilts UCITS ETF GBP Lyxor's GILI is cheaper is cheaper than INXG.
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Post by Fletchsmile on Sept 11, 2017 22:17:52 GMT 7
I'm busy putting together a second portfolio and here's what it looks like: Baillie Gifford International Fidelity Institutional (Index Linked) Bond Inc Twenty Four AM Dynamic Bond Fund Fidelity Money Builder (fixed interest) Fundsmith Equity T iShares £ (index-linked) Gilts UCITS ETF GBP Lindsell Train Global Equities. Baillie Gifford Japanese Baillie Gifford Managed B Jupiter European Lindsell Train UK Equities Royal London Extra Yield (fixed interest) Schroder Small Cap Discovery Stewart Asia Pacific Leaders Henderson China Opportunities It's 60/40 and the risk level is medium. I've retained most of my pension portfolio funds but added some new ones including Jupiter European and Henderson China - five bond/gilts funds and ten equity funds, 96% are quartile one funds and 95% have a volatility rating under 11.5%. The funds are a combination of INC/ACC - no UT's this time around. The geographic spread looks like this: UK 22% US 14% EU 19% Asia 10% Japan 10% India 2% Taiwan 2% China 9% Aus/NZ 1% Emerging. 6% Other 3% I have a 30 day window of opportunity with Transact whereby I can invest new funds without incurring a 3% charge for new funds (because I am an execution only client) so I'm hoping NK will settle down soon as that will be the trigger for me to invest further. As always, constructive comments and observations are welcome. Generally I'm not a fan of single country emerging market / Asia funds, eg China or India or Russia or Indonesia etc, unless you are going to actively monitor that country yourself and have a specific view on it. The problem is, if the country/it's stock market/and or currency are struggling then the fund manager has little place to go. With a wider remit of say Asia or Emerging markets, if China looks overvalued or having problems there is a good chance the fund manager can switch to another EM with better potential. With a China only fund they're stuck in China. This leaves you to make the call on the right country to be in at the right time and check regularly whether your allocation to China is appropriate. Thailand I would make an exception for if living here. I hold single country Thai funds in a similar way I would do with UK funds in the UK. So unless you have particular strong views on China and are prepared to time it, you need to consider whether you might be better of in an Asian fund or an Emerging market fund or if you already have then increasing your weighting to these instead. Both would likely have reasonable size China weightings anyway.
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chiangmai
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Post by chiangmai on Sept 12, 2017 2:32:54 GMT 7
I'm busy putting together a second portfolio and here's what it looks like: Baillie Gifford International Fidelity Institutional (Index Linked) Bond Inc Twenty Four AM Dynamic Bond Fund Fidelity Money Builder (fixed interest) Fundsmith Equity T iShares £ (index-linked) Gilts UCITS ETF GBP Lindsell Train Global Equities. Baillie Gifford Japanese Baillie Gifford Managed B Jupiter European Lindsell Train UK Equities Royal London Extra Yield (fixed interest) Schroder Small Cap Discovery Stewart Asia Pacific Leaders Henderson China Opportunities It's 60/40 and the risk level is medium. I've retained most of my pension portfolio funds but added some new ones including Jupiter European and Henderson China - five bond/gilts funds and ten equity funds, 96% are quartile one funds and 95% have a volatility rating under 11.5%. The funds are a combination of INC/ACC - no UT's this time around. The geographic spread looks like this: UK 22% US 14% EU 19% Asia 10% Japan 10% India 2% Taiwan 2% China 9% Aus/NZ 1% Emerging. 6% Other 3% I have a 30 day window of opportunity with Transact whereby I can invest new funds without incurring a 3% charge for new funds (because I am an execution only client) so I'm hoping NK will settle down soon as that will be the trigger for me to invest further. As always, constructive comments and observations are welcome. Generally I'm not a fan of single country emerging market / Asia funds, eg China or India or Russia or Indonesia etc, unless you are going to actively monitor that country yourself and have a specific view on it. The problem is, if the country/it's stock market/and or currency are struggling then the fund manager has little place to go. With a wider remit of say Asia or Emerging markets, if China looks overvalued or having problems there is a good chance the fund manager can switch to another EM with better potential. With a China only fund they're stuck in China. This leaves you to make the call on the right country to be in at the right time and check regularly whether your allocation to China is appropriate. Thailand I would make an exception for if living here. I hold single country Thai funds in a similar way I would do with UK funds in the UK. So unless you have particular strong views on China and are prepared to time it, you need to consider whether you might be better of in an Asian fund or an Emerging market fund or if you already have then increasing your weighting to these instead. Both would likely have reasonable size China weightings anyway. A very fair point in respect of China. FWIW I floated my proposed portfolio on another UK based investment forum because I wanted to see what the view would be of onshore investors, the replies I got back, for humour value, include: The UK allocation is far too high at 23%, in light of Brexit the holding should be less than 5%. Far too many funds x5, the job can be done with a single fund or three at max.!!! Lots of comments about taxation, UK and Thai. plus much debate about UK personal allowances being removed from expats. Three separate people commenting that the list looks like the HL Wealth list, (which it isn't and I haven't taken a lead from that). A lengthy commentary on how the 40% bond allocation doesn't even begin to offset the extremely high risk of the very dangerous foreign equity funds, big sigh! I thought it was a useful test to see what the thinking looked like and clearly UK residents are being bombarded with anti Brexit rhetoric and are being conditioned to expect doom and gloom, I think perhaps many may have lost sight of the fact that even in a worst case Brexit scenario, the UK is still a significant and mature financial market which wont evaporate overnight.
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chiangmai
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Post by chiangmai on Sept 14, 2017 8:22:22 GMT 7
I'll post this one for comment since it appealed to me. It's essentially a global equities fund that seems quite well-balanced and very low risk (for equities), useful in uncertain market times perhaps:
Vanguard LifeStrategy 100% Equity Fund A Acc - GB00B41XG308
Two others along the same lines include:
Vanguard LifeStrategy 60% Equity Fund A Inc GB00B4R2F348:GBP
Threadneedle Global Multi Asset Income Fund Z Income GBP GB00BNG64665:GBX
It seems to me that whilst these funds aren't necessarily leading edge from a performance perspective, their lowered risk and broad geographic and asset spread is useful for someone wanting a lower risk portfolio, without having to sift through hundreds of funds and cherry pick, without necessarily having the skill to do so.
Thoughts?
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chiangmai
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Post by chiangmai on Sept 15, 2017 5:48:00 GMT 7
Bearing in mind I'm a complete novice all of this, I confess to being quite down at not being able to understand fund and market behaviors these past ten days nor to accurately assess fund risk. It was my conscious decision to watch the performance of my portfolio daily so as to better understand what happens, it's not something I can recommend as a hobby or pastime but I'm determined to carry through and see if I can learn from it.
1 September was a great day, all 13 funds were up and the previous month saw their overall value increase by 2.07%, it was the only such day in almost two months, could it be that I'm doing something right I ask myself. On 4 September NK threatened a second missile and it all went down hill from there, a partial recovery by 7 September then news of Irma in the US and another decline begins. A relief rally started on 11 September and I thought yes, we're back on track. Alas, it was not to be, the slide continued until today. And whilst yesterdays valuations started to show a recovery I still posted a loss for the day - how can that be, we're in a relief rally, I'm supposed to be getting relief but I'm not! Then of course last night, the small fat goofy bloke threatens to nuke Japan which of course is really really unhelpful and I've sent him an email to tell him so, I expect today's valuations to be down, again, big sigh.
So just to cheer myself I did a couple of things to try and reassure myself that it wasn't my tinkering that had caused all this trauma. Firstly I looked at the performance over the past two years of the long standing funds I had dumped and then I looked at them over the past two months. Phew, that was a close call, they were all beyond being dogs and today would almost certainly be worse had I not acted!
But then I rolled off some historical reports from Transact and lo and behold I see how the fund has been performing whilst it was not under my control, overall peak to valley swings of 10% and currently I'm near the peak - these past two years really have been horribly unproductive investment years for my poor neglected pension portfolio.
So this morning I'm somewhat cheered up, absolved of blame, I'm not the cause of these negative swings and what's happening currently is simply business as usual, phew. But now the prospect of interest rates rising sooner rather than later means that the FTSE is down on the back of a stronger Pound, which do you want, more Baht per Pound or a stronger pension pot.....I want both, of course, can somebody please arrange that, thanks.
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Post by Fletchsmile on Sept 16, 2017 14:31:41 GMT 7
To be honest I don't bother checking the day to day prices of my investment portfolios, and explaining the day to day movements would be a thankless task, so I wouldn't worry about not understanding the movements over 10 days. If you're trading (short term) then yes you need to understand the factors driving things and check prices at least daily.
There are too many factors all impacting. Two broad categories are 1) systemic market movements and 2) idiosyncratic movements specific to a) the fund and b) the underlying companies in the funds. These in turn are driven by so many factors like FX rates, interest rates, supply and demand, sentiment, geopolitics, economic numbers, jobless claims, housing index etc etc etc. Plus a lot of what people refer to as just "noise". Sometimes even a Tweet form Donald Chump. Markets are also not perfect and sometimes there are leads and lags in any impacts so the timings are messed up anyway.
So for investments I check the prices each month end. Only if there are some big or unusual movements in individual funds would I look further at those funds. e.g Woodford's underperformance recently was worth looking into why and identifying the specific holdings he had. Not down to the market generally but his stock selection.
If the investment portfolio is longer term then day to day prices don't matter so much. It's the longer term trends that counts.
Significant market events with large market movements are worth a look though as one-offs across everything. To see how shocks or stress events impact your portfolio. e.g. a market crashes, Brexit vote outcome etc. But these to me are the exception rather than the rule. Well worth doing but don't happen 99 days out of a hundred.
Trying to explain and understand day to day can otherwise can be very time consuming and result in you tearing your hair out. Worst still would be acting on the changes.
I like the saying of:
The understanding often comes better with time and hindsight.
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chiangmai
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Post by chiangmai on Sept 22, 2017 18:35:33 GMT 7
"Style rotation", I'm being deluged with stuff about style rotation and I'm told it's really important....bell bottoms are out, flares are in, is that what it means or similar?
And should I be concerned, or can I just continue wearing shorts?
Btw my portfolio has taken to deep sea diving, every day it comes back for new lessons in order to learn how to plumb deeper depths!
P.S. I've very relaxed about it all.
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chiangmai
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Post by chiangmai on Sept 26, 2017 18:31:09 GMT 7
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chiangmai
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Post by chiangmai on Sept 26, 2017 20:07:54 GMT 7
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Post by rgs2001uk on Sept 26, 2017 21:14:27 GMT 7
Sell everything buy gold. Yet another doomsday scenario.
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Post by rgs2001uk on Sept 26, 2017 21:19:50 GMT 7
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chiangmai
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Post by chiangmai on Sept 27, 2017 1:58:34 GMT 7
The head of Investments at Rathbones is hardly a double glazing salesman! I don't know about their funds but as a stand-alone piece, I think it is very good since it verbalizes the dilemma's facing many businesses. It's what Brexit equivalents would have called project fear which has turned out to be mostly true, oddly, many of us knew that at the time and were hugely surprised to see it all dismissed as rhetoric at the time.
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