First time funds investor

db7

Hi, I'm looking to take a bit of a gamble on some funds (as opposed to the safety of cash) and would be grateful for people's opinions on the portfolio (if that's the right word) I'm thinking of having based on what I've read in the Telegraph and on these forums over the last few months. I have a £15k cash ISA and am thinking of transferring it to the following through Hargreaves Lansdown:

GLG Technology Equity Fund Retail Acc (15%)
Newton Global Higher Income (25%)
Aberdeen Emerging Markets (25%)
Invesco Perpetual High Income (20%)

I'm thinking of putting the remaining 15% into a China fund - maybe the new Fidelity fund by Anthony Bolton (out next month???).

I'm single, aged 40 with an outstanding mortgage of £38k. I have £15k in another cash ISA and the only other stocks and shares I have is £7,200 in the new Jupiter Absolute Returns fund. I'm willing to take a bit of a gamble and would be grateful for some discussion!

Thanks in advance.

db

FATHEROFTWO_2

Have a look at the jupiter merlin funds in particular the growth fund.
They are a fund of funds with a good track record and saves you a lot of research but they have 2 layers of fees.
Not a bad choice for a beginner though with no knowledge on asset allocation

db7

FATHEROFTWO wrote: »

Have a look at the jupiter merlin funds in particular the growth fund.
They are a fund of funds with a good track record and saves you a lot of research but they have 2 layers of fees.
Not a bad choice for a beginner though with no knowledge on asset allocation

Thanks fatheroftwo! If it's a good choice it's partly fluke, partly the Telegraph finance supplements and partly the great expertise on this forum!

FATHEROFTWO_2

db7 wrote: »

Thanks fatheroftwo! If it's a good choice it's partly fluke, partly the Telegraph finance supplements and partly the great expertise on this forum!

Sorry I was refering to the Jupiter Merlin funds.

Aegis

GLG Technology Equity Fund Retail Acc (15%)
Newton Global Higher Income (25%)
Aberdeen Emerging Markets (25%)
Invesco Perpetual High Income (20%)

I'm thinking of putting the remaining 15% into a China fund - maybe the new Fidelity fund by Anthony Bolton (out next month???).

Were you aiming for a very high risk portfolio? 55% split across emerging markets and technology is very high risk for someone starting out, and could see very significant drops at times. I'd consider scaling back into more generic global equity with some of the specialist stuff. Might be a little more suitable for a first timer!

You might also want to find an established fund to see how Bolton finds his feet for a while if you definitely want a China fund.

DiggerUK

db7,
Your strategy of sticking pins in a list of investments is all fine 'n dandy in a boom. You will always win.
This is a bust . Pins don't work anymore.

Also, as I add up your figures I seem to come up with 37,200, enough to clear your mortgage.
Have you heard the story about a horse and a cart?
Taking a risk is one thing, what you are proposing is just daft.

Anyway enjoy your Xmas.

Aegis

DiggerUK wrote: »

db7,
Your strategy of sticking pins in a list of investments is all fine 'n dandy in a boom. You will always win.
This is a bust . Pins don't work anymore.

Also, as I add up your figures I seem to come up with 37,200, enough to clear your mortgage.
Have you heard the story about a horse and a cart?
Taking a risk is one thing, what you are proposing is just daft.

Anyway enjoy your Xmas.

You know that the bust was about 8 months ago and we've been in upswing since then, right?

There might feasibly be another bust coming at some point, but to act as though the markets are still crashing is just ignoring what's going on around use all. +30-40% in 6 months isn't generally considered a bust market.

db7

DiggerUK wrote: »

db7,
Your strategy of sticking pins in a list of investments is all fine 'n dandy in a boom. You will always win.
This is a bust . Pins don't work anymore.

Also, as I add up your figures I seem to come up with 37,200, enough to clear your mortgage.
Have you heard the story about a horse and a cart?
Taking a risk is one thing, what you are proposing is just daft.

Anyway enjoy your Xmas.

Sticking pins in a list of investments? Choosing funds based on research can't be termed as sticking pins. You may not agree with what I've come up with but I didn't choose any of them at random.

Maybe they are too risky, I'm not arguing with that - that's why I've asked for advice. But to suggest I pay off my mortgage instead and then say investing in those funds is daft seems a bit harsh to me. Thanks for your opinions and enjoy your Xmas!

db7

Aegis wrote: »

Were you aiming for a very high risk portfolio? 55% split across emerging markets and technology is very high risk for someone starting out, and could see very significant drops at times. I'd consider scaling back into more generic global equity with some of the specialist stuff. Might be a little more suitable for a first timer!

You might also want to find an established fund to see how Bolton finds his feet for a while if you definitely want a China fund.

Maybe I should put a bit more in Invesco Perpetual High Income instead. I know Technology is a risk but regarding emerging markets I suppose I'm thinking I'm 20-odd years away from retirement and they're not so much of a risk over that length of time - or am I being naive?

DiggerUK

db7,
Me and Mrs.D. were about 10 years older than you when we cleared our mortgage.
Trust me, you can save, and even gamble, all you want when that money going out of your A/C each month stays there.
Work and a wage is not guaranteed, if you secure the roof over your head now you can survive anything coming round the bend, be that boom or bust.

To have your mortgage gone by 40 is an unrealisable dream for most, I urge you to make it a reality.
You can always gamble each month with what you made in repayments after that, with no risk to your home.

Seriously, all the best.

Aegis

db7 wrote: »

Maybe I should put a bit more in Invesco Perpetual High Income instead. I know Technology is a risk but regarding emerging markets I suppose I'm thinking I'm 20-odd years away from retirement and they're not so much of a risk over that length of time - or am I being naive?

It would certainly scale back the risk a little...