is it time to sell funds/trusts that have done well out of the sterling crash

frugal90

We have a variety of funds and investment trusts - some have done really well because of the fall in the value of sterling. Is it time to sell -hold cash until the next panic then move back in - I am tempted to hedge my bets and sell about 25 % of our portfolio . Have others considered this or do we all think sterling has further to fall??

AnotherJoe

ColdIron

Investing is a long term venture, did you start to make a quick buck on short term movements? When do you think the 'panic' will be? I would reassess why I am investing in the first place and reconsider

frugal90

I have been investing for many years for your information

was seeking opinion that is all!!

My opinion is that sterling may fall somewhat further but not much further- the market I feel has possibly got ahead of itself and it may be time to take some profits. It may also be true that that market has some momentum and as people are driven to equities in search of yield the herd mentality will drive market sentiment.

we shall see?

dunstonh

frugal90 wrote: »

We have a variety of funds and investment trusts - some have done really well because of the fall in the value of sterling. Is it time to sell -hold cash until the next panic then move back in - I am tempted to hedge my bets and sell about 25 % of our portfolio . Have others considered this or do we all think sterling has further to fall??

During the course of a 10 year economic cycle, there will be a few crashes, lots of corrections and a few bursts here and there. You dont pull out after a short burst that followed a stockmarket crash less than 12 months earlier.

Take this time to rebalance your portfolio but there is no reason to exit unless you need the money in the short term.

You dont know the peaks or the toughs and if you try to time them, you will almost certainly end up worse off than had you remained invested in a rebalancing portfolio.

Thrugelmir

What are the major holdings in the Investment Trusts ? Do the Companies themselves look good value at current valuations. An investment manager cannot offload the trusts holding without impacting the share price. You can reduce your holding in the trust though.

Pincher

I prefer to think in terms how to make use of the £11,100 capital gains allowance, which just disappears down the drain every year.

I'm staring at a gain right now, which will take me into higher rate tax, due to the rises in the last few days. Can't do it, allowances all used up, come back next year.