Diversified portfolio?

angelus

I have finally opened an ISA with HL and put £3000 into 4 funds:

Invesco Perpetual High Income £1000
Artemis European Growth £1000
Rensburg UK Select Growth £500
Aegon Sterling Corporate Bond £500

What i'd like to know is, have i diversified it reasonably well? And to diversify further where should my next £1000 funds go? ie which sector, asset class etc?

I am roughly a medium risk and investing for at least 5 years. I had thought about Norwich Property Trust but wonder if that is still worth it and also New Star Global Financials or Jupiter Financial Opportunities.

macca64

Isn't HL's minimum £1k per fund?

jamesd

It varies by fund. You can also give regular purchase instructions and then change them later.

si1503

Last time I checked the mimimum investment at HL was £1000 per fund. They have obviously changed their policy since.

For a moderate risk spread that spead seems okay to me, I think Invesco is about 6 or 7 on a scale of 1 to 10, the european fund will be higher, the bond lower.

It is up to you where you put the next £1000. But you are considering very different sorts of funds in NU Property and the Financial Opps funds.

savingforoz

I invested just £250 in a fund last week with HL - the website says £1000 minimum but over the phone less is possible, no problem. Hope this helps.

jamesd

Good to know, thanks! Any extra cost for setting that up? It sounds like an excellent option for stocks and shares ISAs in their first year or two if it's lump sum rather than regular purchasing.

angelus

I trawled through quite a few checking minimum investment amount and found very few as low as £500 but had i known you could phone and get lower amounts i would have. Thanks for the tip.

si1503

savingforoz wrote:

I invested just £250 in a fund last week with HL - the website says £1000 minimum but over the phone less is possible, no problem. Hope this helps.

I never knew that. I just invested another £2k today, £1k in each fund (in accordance with the min investment that it still says on the website) however had I known I might have split that down some more.

My portfolio is now 2k in equity income, 1k in property, 2k in UK all companies, 1k in european property, 2k in global emerging markets and 1k in commoditites. 9k total invested, will prob rebalance once i make my first grand, adding a 10th in, or a 10th, 11th and 12th now! Prob one of which will be a decent euro fund, and perhaps something else higher risk if the value at the time takes my fancy.

YorkshireBoy

si1503 wrote:

1k in european property

Not wishing to pry into your specific fund choice, but could you list a few of the funds on your shortlist?

savingforoz

Si1503, you can still split it down further if you want - again, HL are very easy and flexible to use. Just call them up and transfer into the funds that you'd like. Again, small sums seem to be no problem. Due to a mess up I made with changing my standing order, I ended up with £50 going into a fund that I no longer wanted and which I'd already sold. A phone call to HL and the £50 was transferred to the fund of my choice.

Apparently the £1000 minimum is for online dealing/buying - over the phone they'll take less via a debit card.

Jamesd - no, no extra cost for setting it up.

So far my experience with Hargreaves Lansdown has been very positive. They are efficient, cheap and provide lots of useful info for the investor. :T

Debt_Free_Chick

angelus wrote:

IInvesco Perpetual High Income £1000
Artemis European Growth £1000
Rensburg UK Select Growth £500
Aegon Sterling Corporate Bond £500

What i'd like to know is, have i diversified it reasonably well?

75% UK
25% Europe

No US, Japan, Pacific Rim, Latin America, Emerging Markets

75% Equities
25% Bonds

No property

And to diversify further where should my next £1000 funds go? ie which sector, asset class etc?

A matter of personal choice, but the missing areas above give you something to consider.

HTH