Comparing VLS with L&G's equivalent Multi Index?

A_T

Say I have £50K in VLS60 through Hargreaves L.

If HL collapses and ceases trading do I still have £50K in VLS60?

Audaxer

A_T wrote: »

Say I have £50K in VLS60 through Hargreaves L.

If HL collapses and ceases trading do I still have £50K in VLS60?

I think the answer is yes, as the funds would be ring fenced at HL. However if there was a major fraud, or I assume a major cyber attack on the platform, and your money was lost, then you could claim it back through FSCS as far as I am aware.

_pete_

I am finding this discussion very helpful.

Supposing you have (and this isn't really a hypothetical question) £500k in your SIPP and you would ideally like to have it in multi-asset funds broadly similar to Vanguard's LS60, is there any way of staying under the £50k limit per fund? I can't identify more than about 4 multiasset funds.

My current SIPP includes about 12 different trackers (each with a particular allocation based on geography) but several of them are Ishares funds, and others are L&G. I already have more than £50k with each of those companies.

A_T

_pete_ wrote: »

Supposing you have (and this isn't really a hypothetical question) £500k in your SIPP and you would ideally like to have it in multi-asset funds broadly similar to Vanguard's LS60, is there any way of staying under the £50k limit per fund? I can't identify more than about 4 multiasset funds.

there's a lot more than 4 - but the annual fees are north of 0.5% in a lot of them - better than losing the lot though!

_pete_

A_T wrote: »

there's a lot more than 4 - but the annual fees are north of 0.5% in a lot of them - better than losing the lot though!

Thank you! I hadn't realised that. I only know about Blackrock/Ishares, L&G, Vanguard and HSBC's offerings. Where can I find the others? Is there a list of them somewhere?

dunstonh

Supposing you have (and this isn't really a hypothetical question) £500k in your SIPP and you would ideally like to have it in multi-asset funds broadly similar to Vanguard's LS60, is there any way of staying under the £50k limit per fund? I can't identify more than about 4 multiasset funds.

There are hundreds of multi-asset funds.

Generally, people with £500k would have a bespoke portfolio of single sector funds. So, its less common to see someone wanting multi-asset with a fund that size.

_pete_

dunstonh wrote: »

There are hundreds of multi-asset funds.

Generally, people with £500k would have a bespoke portfolio of single sector funds. So, its less common to see someone wanting multi-asset with a fund that size.

1. Well, most of my portfolio is currently single sector funds. But even then, it only takes a few to be with the same fund house and already I'm over the £50k limit.

2. Is there a downside to multiasset funds once your overall pot gets above a certain limit? I really like the Vanguard Lifestrategy principle - low cost, leave it alone. I'm not chasing the best possible returns.

3. Sorry to be dim, but where can I find these hundreds of multiasset funds? I really just need a list of 10 decent ones.

ColdIron

Look for anything in the Mixed Investment sector, e.g. 40-85%, most big fund houses like Fidelity will have whole stables of funds dedicated to it. They're rarely mentioned here as many will be actively managed which is seen as a 'bad thing' to many. Words like balanced, multi and managed in the name is often a big clue

ewaste

Surely even if a platform goes bust your underlying investment isn't actually with them it's shares or a holding in a fund which in turn is also shares or other assets?

I would imagine the risk of a fund especially a passive index tracker going bust is extremely remote if not realistically impossible given the number of companies that would need to go bust. There would be much bigger problems to worry about than a fund going bust.

irm

Not_Me_Officer wrote: »

I'm more interested in your decision behind holding both than the fact you do hold both - if you'd care to share?

Pretty much as has been mentioned really.

I've had the ISA for a few years and been happy with it, so when my employer closed our defined benefit final salary pensions in April and moved us all over to defined contribution I figured I may as well invest in a similar way within that platform, but why not try a slightly different fund just for the hell of it. Plus it gives me something new to graph in Microsoft Money