What to progress too after passive trackers?

bostonerimus

DairyQueen wrote: »

If you don't have the time/interest to research then stay with the passives.

The financial industry that sells active funds has done a very good marketing job.

AnotherJoe

OP, I think your underlying assumption that passives are for newbies/inexperienced and active is for sophisticated is wrong, and thus your question doesn't really make sense because you dont necessarily "progress" from passive to active as you gain more experience.

In my case if anything id say as Ive got more experience I've "progressed" or perhaps "moved" is a better word, from all active to some passive as a "core" and (in common with many here) active in specialist/niche areas.

Anonymous101

AnotherJoe wrote: »

OP, I think your underlying assumption that passives are for newbies/inexperienced and active is for sophisticated is wrong, and thus your question doesn't really make sense because you dont necessarily "progress" from passive to active as you gain more experience.

In my case if anything id say as Ive got more experience I've "progressed" or perhaps "moved" is a better word, from all active to some passive as a "core" and (in common with many here) active in specialist/niche areas.

I agree. I think the opposite is actually true for me. I started off active and the more I've read and experienced in investing the more I'm convinced that passive funds are for me.

Marcon

Depends what you're trying to achieve. Not all passive funds track the same index, so maybe just diversifying your range of passives might be a logical consideration?

buyhighselllow

I progressed to trackers after losing money on managed funds and never looked back

Plus

I think, as a newbie, it's useful to know how active investments work - even if you don't choose to use them.

For instance, suppose one day you decide that you want to invest in physical property. Trackers don't cover it, because property doesn't work like that. You can get property share trackers, but there you're investing in property company shares not property itself. So to invest in physical property you're going to need an active fund.

It isn't a bad thing as a learning experience to see how active management can differ and where it can be useful. Only that you might want to think carefully if it's a good fit before deciding to put serious money into it (or else consider that the drag on performance of active fees may be a price worth paying for that education)

ColdIron

There are some sectors you can't access with trackers like private equity/unlisted securities and direct property. Others are problematic in a single index such as wealth preservation, absolute return etc and pickings are pretty thin if you are looking for something that provides regular and reliable income. But these are better suited for strategies other than the simple growth that you mention in your OP. Although there are plenty of actively managed funds and ITs for growth, sticking with index trackers wouldn't be the worst decision you've ever made and there is no natural limit to them. If you want something to research try 'actively managed funds' and 'investment trusts'

stphnstevey

Wow!

Quite a few assumptions made by everyone here, rightly or wrongly.....

I am not looking specifically for higher gains or into active investing. I was merely wondering whats else is there other than trackers?

Note to self, be prepared for a backlash when you ask a question on MSE...

Those that mention no upper limit but have "core" trackers and then some active, was there not a point then that you made the decision you had reached a limit for one or the other and wanted to investigate something else?

ValiantSon

stphnstevey wrote: »

Wow!

Quite a few assumptions made by everyone here, rightly or wrongly.....!

Well we can only comment based on the limited information that you provided, so you should expect for assumptions to be made.

stphnstevey wrote: »

I am not looking specifically for higher gains or into active investing. I was merely wondering whats else is there other than trackers?

This makes no sense. You said that you had, "reached [your] limit" with passive investing, therefore, by definition, you were looking to get involved in active investing.

If you aren't looking for higher gains, then why aren't passive trackers suitable any longer? Again, your comments don't make sense.

You still haven't answered my question about how you have reached your limit with trackers.

stphnstevey wrote: »

Note to self, be prepared for a backlash when you ask a question on MSE...

Don't be so precious; there has been no backlash! People have questioned the assumptions that you appear to have made. I suspect that a lot of our assumptions are right, but you aren't prepared to admit the wooliness of your thinking on the subject, and have chosen indignation as a mask for your response.

stphnstevey wrote: »

Those that mention no upper limit but have "core" trackers and then some active, was there not a point then that you made the decision you had reached a limit for one or the other and wanted to investigate something else?

Why would there be an "upper limit"? Several of us have questioned this assumption, but you still haven't given any reasons why you think there is. If you want good advice then you'll need to be much more explicit about your thinking; if we already have the extent of your thinking, then you already have your answer.

A_T

stphnstevey wrote: »

Wow!

Quite a few assumptions made by everyone here, rightly or wrongly.....

I am not looking specifically for higher gains or into active investing. I was merely wondering whats else is there other than trackers?

Note to self, be prepared for a backlash when you ask a question on MSE...

Those that mention no upper limit but have "core" trackers and then some active, was there not a point then that you made the decision you had reached a limit for one or the other and wanted to investigate something else?

the real offence was implying there might be "progress" beyond passive investing