Alternatives to Vanguard LifeStrategy

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  • bostonerimus
    bostonerimus Posts: 5,617 Forumite
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    StellaN wrote: »
    But surely if some posters feel happier with 2 multi asset funds with different asset allocations then that's fine isn't it? I do agree though that 3 is going to far. The VLS and L&G bother have about 25 per cent UK so I personally would choose one of them mixed with the HSBC fund.

    You can use a couple of multi-asset funds if you want to get a particular asset allocation. That might be a equity to bond ratio ie if you want 50/50 you'd have equal amounts of VLS60 and VLS40, or to include/overweight a particular sector or geographical region.
    “So we beat on, boats against the current, borne back ceaselessly into the past.”
  • StellaN
    StellaN Posts: 354 Forumite
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    bostonerimus wrote: »
    You can use a couple of multi-asset funds if you want to get a particular asset allocation. That might be a equity to bond ratio ie if you want 50/50 you'd have equal amounts of VLS60 and VLS40, or to include/overweight a particular sector or geographical region.

    The OP wanted alternatives to VLS and that's why we are discussing the various other options including the L&G and HSBC funds.
  • bowlhead99
    bowlhead99 Posts: 12,295 Forumite
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    StellaN wrote: »
    The OP wanted alternatives to VLS and that's why we are discussing the various other options including the L&G and HSBC funds.

    His post wasn't contradicting you, it was agreeing with your first sentence.
  • roxy28
    roxy28 Posts: 670 Forumite
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    dunstonh wrote: »
    Don't think of that list as a list of quality. It is more marketing. One thing you really need to get used to is that HL do not provide advice. They do not measure quality. They issue tons of marketing and it can be dressed up to appear as advice.
    jamei305 wrote: »
    Ignore the Wealth 150+, HL do not publish their criteria for inclusion, so it probably includes things like "how much profit will this make for us compared to other funds" and not much else.

    Thanks for that.
    :T
  • ian-d
    ian-d Posts: 371 Forumite
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    Rather than beginning another thread. Can I ask if someone would just rationale whether adding global developed small caps from Vanguard is a nice compliment to VLS80 for the purposes of diversifying a little; or would the gains/losses largely mirror what I already have? I had hoped for one that covers both small and medium caps, but need to remind myself if VLS already includes mediums?
  • BLB53
    BLB53 Posts: 1,583 Forumite
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    Another good alternative to VLS and L&G is the HSBC Global Strategy range of funds. They are cheap and performed well in comparison to the other two. It has less holdings in the UK which with Brexit some people believe is good? It's just another option for research.
    Vanguard LS and the HSBC fund recently compared on diy investor
    http://diyinvestoruk.blogspot.co.uk/2017/06/a-look-at-hsbc-global-strategy-fund.html
    The HSBC fund holds more property and corporate bonds but the returns are very closely matched. Worth considering imho.
  • Linton
    Linton Posts: 17,173 Forumite
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    ian-d wrote: »
    Rather than beginning another thread. Can I ask if someone would just rationale whether adding global developed small caps from Vanguard is a nice compliment to VLS80 for the purposes of diversifying a little; or would the gains/losses largely mirror what I already have? I had hoped for one that covers both small and medium caps, but need to remind myself if VLS already includes mediums?

    According to Morningstar, VLS100 is 81% Large caps, 14% Midcap, 3% Smallcap leaving 1% rounding error. So decide on your desired allocation, do a bit of arithmetic and you should know what to buy.

    Apart from the US where the difference in returns is smaller than elsewhere, a midcap/smallcap holding should provide diversification and return benefits, in my view. If your pot is large enough, to avoid excess US it may be worth buying UK, Europe, and Japanese small cap funds.
  • ian-d
    ian-d Posts: 371 Forumite
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    Linton wrote: »
    According to Morningstar, VLS100 is 81% Large caps, 14% Midcap, 3% Smallcap leaving 1% rounding error. So decide on your desired allocation, do a bit of arithmetic and you should know what to buy.

    Apart from the US where the difference in returns is smaller than elsewhere, a midcap/smallcap holding should provide diversification and return benefits, in my view. If your pot is large enough, to avoid excess US it may be worth buying UK, Europe, and Japanese small cap funds.

    Yes, VLS80 has the same split of large, medium and small; thanks for that, knew I'd seen it somewhere. That might actually suit, as I was considering 10% focused on small caps which would take it to a similar level as medium caps.
  • adindas
    adindas Posts: 6,814 Forumite
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    BLB53 wrote: »
    Vanguard LS and the HSBC fund recently compared on diy investor
    http://diyinvestoruk.blogspot.co.uk/2017/06/a-look-at-hsbc-global-strategy-fund.html
    The HSBC fund holds more property and corporate bonds but the returns are very closely matched. Worth considering imho.

    In term of fund charges it seems that VLS at 0.22% vs HSBC at 0.19%. The income yield is slightly higher from the HSBC fund at 1.4% compared to 1.3%.

    I wonder why many people still in favour of VLS 60 ?
  • dunstonh
    dunstonh Posts: 116,387 Forumite
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    In term of fund charges it seems that VLS at 0.22% vs HSBC at 0.19%.

    VLS is 0.33% and HSBC is 0.20% if measured on total charges.
    VLS is 0.22% and HSBC is 0.18% if measured on OCF only.
    I wonder why many people still in favour of VLS 60 ?

    They prey in the church of Vanguard. Seriously, Vanguard do have a cult following and it can feel that way sometimes.
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
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