Advice on funds I have looked into

bradqwer

Hey guys had a previous thread on here about starting on my investment journey

I have decided my level of risk and looked into a few funds etc and would like the forums feedback if possible

The aim is to drip feed around 50-100 pound per month into these funds and leave for 10+ years and dial back the risk as i get into my 50's with this in mind I have picked what I consider to be higher risk funds taking into account time frame invested hopefully smooths out any huge bumps.

I WONT be panic selling its for the long haul.

LEGAL & GENERAL MULTI INDEX 6 CLASS I - ACCUMULATION

BLACKROCK CONSENSUS 85 CLASS I - ACCUMULATION

VANGUARD LIFESTRATEGY 80% EQUITY ACC

LINDSELL TRAIN GLOBAL EQUITY INC

To my untrained eye the first 3 a much the same kinda idea just varying risk profiles and they provide the accumulation aspect.

The Lindsell one looks to be preforming very well currently but charges for this in its .54% fee and it is very UK 33% and US 34% biased.

I'll open the floor to you guys.

bradqwer

No I have chosen the 4 funds as im not sure which i should pump my money into ha ha I was a VG fan but obv there are others out there and don't wanna just jump in based on stuff I read online.

It will also be inside a ISA wrapper

Alexland

IanManc wrote: »

If I said that 31st December was New Year's Eve someone would disagree with me.

https://247wallst.com/special-report/2018/02/09/26-completely-different-new-years-days-around-the-world-2/2/

Alex

londoninvestor

IanManc wrote: »

If you're investing outside an ISA wrapper I would pick the Inc version as it is easier to see the income that you need to declare on your tax form, and you can reinvest that income easily next time you put in your monthly contribution, or use it to pay any platform charges.

Others will disagree with that too. It's the internet. If I said that 31st December was New Year's Eve someone would disagree with me.

I won't comment again on Acc vs Inc units for the remainder of 2018

bradqwer

londoninvestor wrote: »

I won't comment again on Acc vs Inc units for the remainder of 2018

be sure to chime in around 2019

Alexland

All of these funds have a greater than 25% downside risk that you felt comfortable with in the previous thread.

So with the current circa 15% dip you might want to push to 80% equities (normally around 40% downside risk) but if the market recovers then something like VLS60 might be more appropriate. The worst thing that could happen is you invest in a high risk fund and then sell when you see big losses and the news tells you the financial world is ending.

In particular the Lindsell Train is particularly high risk as it is both 100% equities and very concentrated (a few companies with similar characteristics). As such it has the potential to both overperform and underperform even a declining market when investment style rotation occurs.

Alex

Prism

I would go Lindsell Train all the way of those four. Its more volatile than the others though so you will need to stick to your statement of not selling

bradqwer

Prism wrote: »

I would go Lindsell Train all the way of those four. Its more volatile than the others though so you will need to stick to your statement of not selling

Would the UK Bias and high fee not put u off compared to say .22 and 0.9 for VG and BR?

I must admit this one did appeal to me the most on a hunch, I will be pulling the trigger tomorrow once I have spoken with my H&L

So still time to chime in guys all advice appreciated

dunstonh

With £50-£100 you just need one multi-asset fund. Anything else is pointless until you get above £10k (and realistically above £50k)

Prism

bradqwer wrote: »

Would the UK Bias and high fee not put u off compared to say .22 and 0.9 for VG and BR?

No the fees don't put me off remotely. However I was only saying what I would do, rather than what I think you should do - which I don't know the answer too. Here are some of the reasons I like it but you need to decide yourself

I like the investment approach of Lindsell Train I generally like 'good' active funds over passive ones. I don't worry too much about fees (within reason) I expect 100% equites to make a higher return than 80% equites I think bonds are overpriced 10 years should be long enough to recover from an equity crash

bradqwer

Prism wrote: »

No the fees don't put me off remotely. However I was only saying what I would do, rather than what I think you should do - which I don't know the answer too. Here are some of the reasons I like it but you need to decide yourself

I like the investment approach of Lindsell Train I generally like 'good' active funds over passive ones. I don't worry too much about fees (within reason) I expect 100% equites to make a higher return than 80% equites I think bonds are overpriced 10 years should be long enough to recover from an equity crash

Cheers for breaking this down for me as others have asked my risk is I'm not one to worry about stuff to much if i logged in and saw my £1000 had become £700 its just one of those things I am of the mind that money invested is there for a reason and not to be touched or meddled with on a whim this is why I have up my risk factor since the original post.