Which Funds?

ricky.patel89

Anyone got any other ideas? They will be much appreciated.

FATHEROFTWO_2

If you want to have a better diversified portfolio placed in a riskier set of assets and dont mind paying a bit more in fees you might want to consider the jupiter merlin worldwide portfolio or at least run the fund through the morningstar x ray programme to show how the fund is allocated and then self select best of sector for each sector to create your own balance portfolio but it may be difficult with such a small investment hence the reason I suggest you look at the above Jupiter fund of funds

blinko

what exactly is global technology invested in ?

your portfolio doesnt look bad and suil gave some good tips

with regards to investing you either spread equally or go heavy on what you think is better

as your new i would suggest going equally and as you learn more etc you get the hang of things

blinko

i would split the monmey equally unless you have a reasion not too ?

FATHEROFTWO_2

Problem of splitting equally there is no balance in the spread of assets and percentage exposure to different areas of the world or sectors the other problem is the amount the OP has to invest is rather small to allow a reasonable spread of risk as normally you would need 1K to open a fund.

Im not pro fund of funds due to there high management costs but sometimes its a cost worth paying to get a balanced portfolio whether it be cautious/medium/adventurous.

I personally have 17 individual funds at present boughgt through HL

Round_The_Bend

Have you considered investment trusts rather than unit trusts? Over the longer term, this could work out cheaper, as the underlying fees are lower, as I understand it. You could buy them cheaply via Interactive Investor's sharebuilder account (www.iii.co.uk). That would be £1.50 plus stamp duty of 0.5%.

If you go this route, I would suggest:

Templeton Emerging Markets (TEM) - Emerging Markets
City Natural Resources High Yield (CYN) - Commodities
Edinburgh Dragon Trust (EFM) - Asia Pacific
Murray International Trust (MYI) - Global

In terms of the Edinburgh and Murray funds, both are operated by Aberdeen Investment Managers (http://www.invtrusts.co.uk/), who operate a monthly savings plan, which might actually work out to be cheaper, as there are no dealing costs I believe.

There was an article recently suggesting that investment trusts have generally outperformed unit trusts, partly due to the higher underlying costs of unit trusts:

http://www.guardian.co.uk/money/blog/2010/oct/18/investment-trusts-outperform-unit-trusts

I'm no expert so do your own research but it is something that I have been looking at recently.

blinko

Round_The_Bend wrote: »

Have you considered investment trusts rather than unit trusts? Over the longer term, this could work out cheaper, as the underlying fees are lower, as I understand it. You could buy them cheaply via Interactive Investor's sharebuilder account (www.iii.co.uk). That would be £1.50 plus stamp duty of 0.5%.

If you go this route, I would suggest:

Templeton Emerging Markets (TEM) - Emerging Markets
City Natural Resources High Yield (CYN) - Commodities
Edinburgh Dragon Trust (EFM) - Asia Pacific
Murray International Trust (MYI) - Global

In terms of the Edinburgh and Murray funds, both are operated by Aberdeen Investment Managers (http://www.invtrusts.co.uk/), who operate a monthly savings plan, which might actually work out to be cheaper, as there are no dealing costs I believe.

There was an article recently suggesting that investment trusts have generally outperformed unit trusts, partly due to the higher underlying costs of unit trusts:

http://www.guardian.co.uk/money/blog/2010/oct/18/investment-trusts-outperform-unit-trusts

I'm no expert so do your own research but it is something that I have been looking at recently.

for the poster it seems to be his first time so i woudl recommend unit trusts

at the moment i would say generally IT are probably on PAR with NAV so you have missed a little gain there and of course in a bull market IT's do perform better but then again its all down to picking really

for the OP i would recommend unit trusts, get comfortable with them and then you can start thinking about It's and ETF's

Rollinghome

blinko wrote: »

at the moment i would say generally IT are probably on PAR with NAV so you have missed a little gain there and of course in a bull market IT's do perform better but then again its all down to picking really

Hmm. Well ITs are trading as usual with a spectrum ranging between large discounts to small premiums to NAV. See http://www.trustnet.com/Investments/Perf.aspx?univ=T

ITs tend to outperform UTs due to generally lower charges and greater flexiblity. As with any investment they need to be understood.

ricky.patel89

Would you guys agree with Sunil's idea that I should go aggressive in the early years adding the riskier funds now then further down the line add the more conservative funds?

How do you guys go about building your portfolios?

Thanks.

blinko

i agree with him considering your time frame but thats about as much advice as we can give you,the rest you will learn along the journey

but one thing i will say

RESEARCH IS YOUR FRIEND