Should I Buy Bonds

dunstonh

bigadaj wrote: »

To be fair the all share is little better than the 100 if split by cap size/ value as is normal, it matches the ftse 100 by about 80% I believe.

I know. I would prefer equity income for the UK allocation. Or perhaps a spread of small/mid cap.

atush

If I had one ftse fund/tracker i'd always go all share over 100.

as for bonds, always depends on what you mean. People use that term and involve term cash deposits to govt based bonds/gilts as well as the normal bonds meaning loans to public or even privately held companies.

atlanticspan

atush wrote: »

If I had one ftse fund/tracker i'd always go all share over 100.

as for bonds, always depends on what you mean. People use that term and involve term cash deposits to govt based bonds/gilts as well as the normal bonds meaning loans to public or even privately held companies.

Thanks for your reply,
Is there a low cost all share tracker available?
with regard to bonds I do actually mean fixed interest products.
As previously mentioned, I was looking at index linked gilt tracker fund and possibly a Vanguard global bond index fund ?

Rollinghome

atlanticspan wrote: »

Thanks for your reply,
Is there a low cost all share tracker available?

There are. The HSBC one is one of the most used, AMC 0.25% TER 0.28% and no extra costs if bought through someone like www.cavendishonline.co.uk. You could also look at the L&G UK Index which works out around the same after rebates if done through Cavendish. You may also want to consider an ETF version.

Lots of info on trackers at http://monevator.com/

atush

Ditto, HSBC clean class FTSE all share, Global trackers are good too.

As for fixed term deposits in cash, I don't really call these 'bonds'. Bonds to me are loans to companies, organisations.

Freecall

Glen_Clark wrote: »

And if you do pop your clogs its less hassle and expense for your executors to just deal with one fund.

Well that is certainly a new take on investment strategy as far as I am concerned!

le_loup

Freecall wrote: »

Well that is certainly a new take on investment strategy as far as I am concerned!

If you were older, it may be something you too would consider.

BLB53

Much recommended on these boards, Tim Hale (Smarter Investing) suggests 4% in equities for each year you intend to invest, which I think is a sensible approach.

The UK market only makes up around 8% (by market cap) of the global market. I think it would make more sense to put a higher percentage in the global tracker - have you looked at the Vanguard LifeStrategy range?

You could start with the 100% equity and move to the 80% or 60% down the line.

gadgetmind

dunstonh wrote: »

I know. I would prefer equity income for the UK allocation. Or perhaps a spread of small/mid cap.

I use a mix of All Share, with a boost of mid cap 250 tracker, and another big holding of UK equity income. All are via trackers.

Glen_Clark

My biggest holding is VWRL a worldwide share ETF with a TER of 0.25%