Are pensions capital?

xylophone

http://monevator.com/income-units-versus-accumulation-units-difference/

Try the above.

It looks like I need to swap the second trust from Accumulation to Income

http://www.hl.co.uk/funds/fund-discounts,-prices--and--factsheets/search-results?companyid=4&tab=prices&sectorid=&tab=prices

No Inc version offered.

r_i_c

xylophone wrote: »

http://monevator.com/income-units-versus-accumulation-units-difference/

Try the above.

Thank you. It looks like accumulation holdings are better suited to SIPPs?

http://www.hl.co.uk/funds/fund-discounts,-prices--and--factsheets/search-results?companyid=4&tab=prices&sectorid=&tab=prices

No Inc version offered.

The other trusts I'm investing in [within my HL Fund] - both 'income' are (1) Mixed Investment 20-60% Shares / HL Multi-Manager Equity & Bond 'A' and (2) GBP Strategic Bond / HL Mulit-Manager Strategic Bond 'A'. Possibly then I could consider swapping the accumulation trust to one of these income trusts for the new ISA please?

jem16

r_i_c wrote: »

Thank you. It looks like accumulation holdings are better suited to SIPPs?

It depends what you're planning to do with them? What is your understanding of income and accumulation funds?

xylophone

The point seems to be that the OP, (having taken his 25% tax free lump sum from his SIPP) does not wish to draw any income from it until State Pension Age or beyond and so thinks that Acc units will better suit his purpose.

On the other hand, he does want to take as much income as possible between now and then from his Vantage Fund and Share and Vantage ISA.

It seems he would like to take the natural yield from the funds in these accounts rather than having Acc units and selling them as and when.

It might therefore suit him to sell his Acc fund and reinvest the proceeds in one of his Inc funds or another Inc fund.

Multi manager funds seem to me to have high charges, but if thay are what is wanted then that is up to individual choice.

r_i_c

xylophone wrote: »

It seems he would like to take the natural yield from the funds in these accounts rather than having Acc units and selling them as and when.

It might therefore suit him to sell his Acc fund and reinvest the proceeds in one of his Inc funds or another Inc fund.

Multi manager funds seem to me to have high charges, but if thay are what is wanted then that is up to individual choice.

Yes, that's correct - thanks. I'd prefer to swap that accumulation trust to one of the income ones that I am familiar with for no better reason really than I am a tyro and so presently am staying within the bounds of the known.

jem16

xylophone wrote: »

The point seems to be that the OP, (having taken his 25% tax free lump sum from his SIPP) does not wish to draw any income from it until State Pension Age or beyond and so thinks that Acc units will better suit his purpose.

Possibly but income units with dividends reinvested and accumulation units will pretty much work out the same in the end.

It seems he would like to take the natural yield from the funds in these accounts rather than having Acc units and selling them as and when.

Then again it could work out better to sell some units if CGT were to ever become an issue.

r_i_c

The HL paperwork has come through with regard to the new ISA. I now have £7.62K Vantage Stocks/Shares here with regard to both (1) HL MM Balanced Managed Trust (Acc) and HL MM Equity & Bond Trust (Inc).

The first trust I'd like to swap to Inc but I'm wondering how long I should before doing this; and secondly, which Inc should I choose? Preferably one I am already familiar with.

Many thanks

xylophone

You can check estimated yield on table in HL link in post 173 above.

r_i_c

xylophone wrote: »

You can check estimated yield on table in HL link in post 193 above.

Thanks, according to the table trust (1) has a yield of 2.01% while trust (2) has a yield of 1.49%, so I'd go for number 1?

Bit wobbly today, lost the poor dog to age-related concerns on Monday :-|

xylophone

I am sure you are sad to lose your mother's pet but I gather from previous posts that its health had been deteriorating for a while.

With regard to yield I notice that the Income and Growth Trust Inc offers 3.61%.

The above also pays monthly, so if yield and monthly income is your major concern perhaps you should be reading the fact sheet on that as well?