Investment Trust choices

bcfclee27

I am looking to invest a small percentage of my portfolio into some ITs.

The bulk of my ISAs are held in VLS 80 & HSBC Dynamic.

My LISA is invested in Lindsell Train Global Equity.

The four ITs I'm looking at are -

Bankers
Monks
Witan
Scottish Mortgage

Just wanted an overall opinion on these that they are a decent choice and whether there are any reasons to avoid any of these.

They would be buy and hold investments.

I'm aware they could suffer heavy losses in a crash but would hold onto them in the hope that they recover.

Many thanks
Lee

cloud_dog

Whilst they are all 'global' ITs, they are quite different in their focus / make up.

What gap or agenda are you looking to fill?

bcfclee27

cloud_dog wrote: »

Whilst they are all 'global' ITs, they are quite different in their focus / make up.

What gap or agenda are you looking to fill?

No agenda as such just looking for good growth over a period of 10-20 years so that what's invested in them now wil hopefully be worth a lot more in the future.

Prism

Of those I have Scottish Mortgage. It has no overlap with LT Global and I feel balances nicely

Voyager2002

bcfclee27 wrote: »

No agenda as such just looking for good growth over a period of 10-20 years so that what's invested in them now wil hopefully be worth a lot more in the future.

Well, Neil Woodford's "Patient Capital" claims to provide exactly what you need. Whether or not it does what it says on the tin is another question.

ColdIron

They are all well known and respected ITs. SMT and MNKS have a low allocation to the UK, the best 5 year performance, low gearing, low OCF and trade at a similar premium. They are also the highest octane of the group and are likely to be the most volatile. WTAN has the highest OCF and gearing. BNKR has a low OCF, gearing and trades at a discount

There are no real reasons to avoid any of them as long as they match your objectives, attitude to risk but also how they fit in with the rest of your investments. I am guessing these would be in your ISA which looks mostly passive. Make sure you research the important differences between funds/OEICs and ITs before you commit yourself

If this will only be a small percentage of your portfolio I wouldn't use all four. You could compare them in Trustnet, there is a correlation tool which might help you to whittle them down. I have some BNKR and a much smaller amount in SMT but I'm more of an income investor these days

bcfclee27

ColdIron wrote: »

They are all well known and respected ITs. SMT and MNKS have a low allocation to the UK, the best 5 year performance, low gearing, low OCF and trade at a similar premium. They are also the highest octane of the group and are likely to be the most volatile. WTAN has the highest OCF and gearing. BNKR has a low OCF, gearing and trades at a discount

There are no real reasons to avoid any of them as long as they match your objectives, attitude to risk but also how they fit in with the rest of your investments. I am guessing these would be in your ISA which looks mostly passive. Make sure you research the important differences between funds/OEICs and ITs before you commit yourself

If this will only be a small percentage of your portfolio I wouldn't use all four. You could compare them in Trustnet, there is a correlation tool which might help you to whittle them down. I have some BNKR and a much smaller amount in SMT but I'm more of an income investor these days

No not in the ISA as I have filled this years allowance so would be in a GIA until next year when as long as they have done ok they can go into the ISA wrapper.

When I say small allocation of portfolio I mean around 20%

Were you saying you wouldn't have all 4 if the amounts were low IE not worth it.

A_T

bcfclee27 wrote: »

I am looking to invest a small percentage of my portfolio into some ITs.

The bulk of my ISAs are held in VLS 80 & HSBC Dynamic.

My LISA is invested in Lindsell Train Global Equity.

The four ITs I'm looking at are -

Bankers
Monks
Witan
Scottish Mortgage

Just wanted an overall opinion on these that they are a decent choice and whether there are any reasons to avoid any of these.

They would be buy and hold investments.

I'm aware they could suffer heavy losses in a crash but would hold onto them in the hope that they recover.

Many thanks
Lee

With that number of global ITs you're quite likely to end up with a closet global tracker like SWDA. So you might as well invest in that ETF and avoid the 0.5% stamp duty every time you buy. I would however also have some SMT as it's done so well and James Anderson seems to have a real vision.

jamei305

Bankers seems to be a closet tracker of the Global IT sector average.

Audaxer

OP, you seem to have increased your risk level a lot as a few months ago I remember you were struggling to decide between VLS60 and VLS80 and HSBC GS Bal and Dynamic. Don't get too carried away and rush into investing in 100% equity ITs, unless you are sure you are prepared to ride out big equity crashes.

bcfclee27

Audaxer wrote: »

OP, you seem to have increased your risk level a lot as a few months ago I remember you were struggling to decide between VLS60 and VLS80 and HSBC GS Bal and Dynamic. Don't get too carried away and rush into investing in 100% equity ITs, unless you are sure you are prepared to ride out big equity crashes.

Thanks for the warning Audaxer, yes my risk level has definitely increased as I have researched and come to realise that I would definitely ride out a crash.

My core is still with VLS & HSBC and I hold some bonds with them.

Just looking for something that should return higher rewards with the added risk that I could at a later date switch over to VLS etc