Vanguard Life Strategy

mark55man

When I looked into it - which was carefully but not iwth a microscope, I felt the 100% offered more emerging exposure as it had specific funding for that class whereas 80 or 60% didn't

grey_gym_sock

i think, as Stochasticity said, there are only pre-determined % for 3 top-level components: bonds, UK equity, non-UK equity.

within non-UK equity, everything is in proportion to market capitalization. so the relative proportions of US vs asia vs emerging will change as the market capitalizations of the markets change.

the different lifestrategy funds may use a slightly different combination of funds to achieve their target weightings, but i think that's an implementation detail.

JohnRo

The only thing I'm slightly uncomfortable with about anything below the 100% equity Lifestrategy funds is their UK bond allocation, aside from the issue of why anyone would want to buy UK government bonds right now I think that if there was a robust global blend of government and investment grade bonds in the same way the funds large cap equities are global then they'd be much stronger products imho. I suppose it could relate to currency risk but I don't see how that doesn't hold for global equities either. Vanguard obviously have their reasons.

That said I do hold these funds on different accounts. (100% and 80%)

takesyourchances

guitarman001 wrote: »

Wow, long post! But I like that - unfortunately only have time to write a short reply.

Yes - it's scary putting money back in here after the big losses. I think I did the right thing with Vanguard 60% - that way if indices tank we can fall back on bonds - it's 'safe' - and hey, if you'd invested ONLY in FTSE trackers the last couple of years, your return would be FLAT whereas if you'd been in bonds only you'd be UP. I'm considering putting the £2k into Aberdeen emerging markets knowing the fee will be introduced soon (should get a rise out of it!) but I think I'll plough it into Vanguard 60% to make the fees worthwhile, even if the returns are somewhat lower. The First State Asian Sustainability fund calls to me - really good returns.. but I must resist.

Just spent 4 hours going over fund choices for my pension at work:
Scottish Eq High Yield Corporate Bond
BAQ (Blackrock Aquilla) 50/50 Bond & Equity Index
M&G Corporate Bond
Baillie Gifford Managed
Scottish Eq Ethical
BAQ US Equity Index
Lazard European Smaller Companies (small holding just in case!)
Lazard Global Equity Income
M&G Global Dividend
Aberdeen Emerging Markets
First State Asia Pacific Leaders

Some of those have overlap - main thing was to keep fees low in general. Will see what my advisor says, and also will post this in the pension fund topic!

Didn't realise how long it was until submitted Yes it is scary I am sure investing again after the loss's you had previous and the Lifestrat 60% is a much more balanced direction and mix than the AIM stocks you had previous years.

Personally if it was me I would put the 2K or bulk of it into the Lifestrat 60% raise the balance and make the fees more worth while, I am going to keep the more volatile side funds at lower percentages, the Lifestrat I think should be the more balanced and steady fund so this why I want to keep it as the core.

Feel settled now with what I have at the moment and will focus on the drip feeds for a while.

Good luck with your SIPP set up, my pension I am going to look at again as I have had a stakeholder for several years now and thinking of re-looking at all of this, but no solid plans yet but still paying away into the one I have.

Best regards.

Carpi09

takesyourchances wrote: »

Didn't realise how long it was until submitted Yes it is scary I am sure investing again after the loss's you had previous and the Lifestrat 60% is a much more balanced direction and mix than the AIM stocks you had previous years.

Personally if it was me I would put the 2K or bulk of it into the Lifestrat 60% raise the balance and make the fees more worth while, I am going to keep the more volatile side funds at lower percentages, the Lifestrat I think should be the more balanced and steady fund so this why I want to keep it as the core.

Feel settled now with what I have at the moment and will focus on the drip feeds for a while.

Good luck with your SIPP set up, my pension I am going to look at again as I have had a stakeholder for several years now and thinking of re-looking at all of this, but no solid plans yet but still paying away into the one I have.

Best regards.

You are not hijacking my thread, you are keeping it going for an interesting read. Please carry on as you are doing :T

takesyourchances

Carpi09 wrote: »

You are not hijacking my thread, you are keeping it going for an interesting read. Please carry on as you are doing :T

Cheers Carpi! :T: :rotfl: ....excellent thread this and happy to be part of it and keep it going, I am sure we are all learning something from all the posts from everyone

Carpi09

Having used my ISA limit for this year, it's quite annoying not being able to contribute anymore or set up new funds but I will stick by what I believe, and not set up funds outside an ISA.

Any opinion from anyone on these boards are helpful, it always creates debate and people can bounce off each other. It's great.

brasso

Carpi09 wrote: »

You are not hijacking my thread, you are keeping it going for an interesting read. Please carry on as you are doing :T

takesyourchances wrote: »

Cheers Carpi! :T: :rotfl: ....excellent thread this and happy to be part of it and keep it going, I am sure we are all learning something from all the posts from everyone

Are we seeing our first MSE marriage taking root here?

We met on the LifeStrategy thread. Little did we know then just what a life strategy we were creating...

takesyourchances

brasso wrote: »

Are we seeing our first MSE marriage taking root here?

We met on the LifeStrategy thread. Little did we know then just what a life strategy we were creating...

:rotfl: I can say it never said anything like that in the life strategy small print :eek: was I mis-sold :cool: :rotfl:

takesyourchances

Carpi09 wrote: »

Having used my ISA limit for this year, it's quite annoying not being able to contribute anymore or set up new funds but I will stick by what I believe, and not set up funds outside an ISA.

Any opinion from anyone on these boards are helpful, it always creates debate and people can bounce off each other. It's great.

The new tax year is not far away and you can always debate on funds in mind for when your allowance comes back in for your ISA.

Outside of the 2 extra side funds I have the Standard Life Global Small Cap seems to stand out for me, I have scanned and checked out others but for the moment this seems likely for later in the year, either in a few months time with a £500 opening or so or later in the year.

Maybe during that time I might feel another direction, but that could be a likely 3rd side.

The Smarter investing book is getting more in depth, I feel a brain rest coming on after a good read at it tonight.