further ideas for SIPP?

C_Mababejive

OK so i started a sipp more for tax management purposes than a pension as i have a separate good pension arrangement.

In my SIPP i have CTY,FCPT,SMT . I like ITs because they are managed and reasonable costs but also they can borrow to buy in dips and maintain divis/boost returns.

So the above have elements of global equity,UK,commercial property etc but i dont have anything bond or gilt related.

Im just wondering if i need something like that and if so what ?

thanks all

cloud_dog

Surely only you can answer if you need to add bonds / gilts?

The fact that you are asking the question seems to indicate that you feel you do . Why do you think you should look at adding bonds / gilts?

C_Mababejive

Well after i posted i then thought well i already have a kind of bondish product in the way of NSI inflation linked certs,,a different kind of bond of course..

I'm thiknig corporate bond stuff might be worth adding as businesses will always pay their bond holders or go bust,,but then one would have to be careful not to buy into a bond vehicle at too high a price and maybe they are already priced a bit high..

nrsql

I keep hearing that the market is heading for a crash and that bonds are going to fall with it.

Worst case scenario - long term depression, market crash, bonds defaulted, hyper-inflation (government reneges on the inflation linked bonds or prevents cashing in, and premium bonds), property price crash, impossible to rent out reasonably, mortgage defaults, infrastructure declines, lawlessness abounds, ...

There's a limit to what you can protect against.
I'm now up to 5 separate portfolios with different providers all catering for different situations. Ignoring the cash values it's surprising that, although they show little correlation, they don't seem to end up very different in value.

I prefer to think in terms not of whether to have a product but how much. The how much can get to near 0% in which case it's clear that you don't consider it necessary otherwise include it as part of the portfolio depending on fees and effort.