Orbis £100 match offer - Now Ended

chockydavid1983

Thanks for sharing. Will open a general investment account later.

[Deleted User]

Alex, thanks for the useful info. Myself and spouse have opened GIA.


regards,
Billy

Alexland

This is turning out to be more popular than expected. Hope it turns out well for everyone. Again please don't throw your life savings at this as it may not be appropriate for your needs. If it turns out bad I might need to find another forum as I won't be welcome here any longer!

ValiantSon

BananaRepublic wrote: »

I'm not really sure why you are pushing this fund so hard, given that there are loads of funds, many with excellent historical performance. I noticed that it is ~50% US, which people need to consider before they invest, given the high P/E levels for the US.

My own belief is that the current bear market has a year or two to run before something comes along to pop it, such as a nuclear war with North Korea, a huge financial scandal etc. However, my view is in reality worth diddly squat.

I don't really think Alex was "pushing this fund". He was making other forum users aware of the £100 matching offer and suggesting that people might be interested in it as a side investment. I certainly don't think that he was suggesting we should all move the bulk of our investments to it, nor make it a key component of our portfolios. He has also pointed some of the potential downsides with the fund.

ValiantSon

Alexland wrote: »

This is turning out to be more popular than expected. Hope it turns out well for everyone. Again please don't throw your life savings at this as it may not be appropriate for your needs. If it turns out bad I might need to find another forum as I won't be welcome here any longer!

I'm sure you'll be welcome, Alex, and thanks again for bringing this to our attention.

Loan_soldier

I had a punt, so thanks for the heads up.

This is my first attempt at investing and I’m interested to understand everyone opinions on the equity fund in comparison to Vanguard Lifestrategy that everyone on here is so fond of.

I presume from a risk perspective the fund I have chosen would compare with VLS100?

I see that this is based on contrarian investing, which I understand from a technical perspective but how is that different from Vanguard?

I’ve come to believe diversification is important, so is this a solid fund from that respect and what are the perceived criticisms of this fund and contrarian investing in general?

Thanks for everyone’s continued contribution on investments I find them very interesting and informative.

Alexland

Loan_soldier wrote: »

I presume from a risk perspective the fund I have chosen would compare with VLS100?

I see that this is based on contrarian investing, which I understand from a technical perspective but how is that different from Vanguard?

I’ve come to believe diversification is important, so is this a solid fund from that respect and what are the perceived criticisms of this fund and contrarian investing in general.

VLS100 tracks all the world stock markets in proportion to their relative size (but with a UK bias) using index funds for each region which include most of the shares available in that area in volumes proportionate to the market capitalisation of those companies. There are thousands of underlying holdings.

Orbis are focused only holding select companies where their global team strategy determines there is an opportunity for higher return and have the freedom to weight the portfolio as they see best to control risk and deliver returns. It is more concentrated and focused.

In terms of risk VLS will get you close to the average market result but the market cap approach means it stocks up on the big popular shares which can sometimes suffer the greatest declines. Orbis are investing in value not quality so although they are not overpaying for the holdings they are often out of favour with the current market sentiment.

Alex.

BananaRepublic

JohnRo wrote: »

The point of the thread, correct me if I'm wrong, is not to extol the virtues of their fund(s) but to capitalise on their up to £100 bonus offer.

I've taken a £100 punt in their GIA, the funds offered are reasonable and the top up is a huge bonus in percentage terms.

If you think such a paltry sum is a reason to invest in one fund rather than another then good luck.

BananaRepublic

jimjames wrote: »

I assume that's a typo and you mean bull market. If this is a bear market then I'd hate to think what a bull would be!

Quite. Typo corrected. Thanks.

Alexland

BananaRepublic wrote: »

If you think such a paltry sum is a reason to invest in one fund rather than another then good luck.

Well we have had £400 of bonuses and circa £500 of returns across the 4 accounts with a total contribution of £4328. So that's a nearly 21% gain this tax year. Early gains are the most important for compounding to work it's magic and reduce the probability of the investment dropping below the original contribution amount. Yes that will drop back to their normal rate of return but my point is this is an interesting side investment with excellent performance history anyway.

Of all the hundreds of thousands of pounds invested in boring multi asset and tracker funds (which I still suggest on other threads and analyse in detail) this is the fund manager I find most interesting. Sometimes I explain to my son he owns a bit of a Russian bank, or Amazon or whatever they have new in their portfolio this month. Still it's totally your choice if the effort is worth it for such a paltry amount of money.