Global index fund

Oliver1191

Could anyone recommend one of these for long term growth?

Thanks

foofi22

There are various, here are a few. However note that they can be subtly (or not so subtly) different.

Pure Global Index:
HSBC FTSE All World Index
Vanguard FTSE Global All Cap Index
Fidelity World Index

The first tracks the FTSE All-World Index and the second tracks the FTSE Global All Cap Index (they are similar but different). The third tracks the MSCI World Index, this only includes developed markets.

There are other global trackers but not in the "pure" sense of those above. For example they may have fund-manager determined allocations, or they are volatility managed (i.e. aim to keep the volatility within certain bounds). Some include emerging markets, some don't. Equally some include property, some don't. Funds such as:

BlackRock Consensus
Vanguard LifeStrategy
L&G Multi Index
HSBC Global Strategy
(the above funds are part of a "fund range" e.g. you can buy less risky versions or go for more volatile ones if you like)

Monevator is a good resource (there are many others) if you are into passive investing - which is fine if that's your thing!

https://monevator.com/category/investing/passive-investing-investing/

bowlhead99

Some people do recommend global index funds for long term growth and many providers have index fund products that can be held in pensions - BlackRock / iShares, HSBC, L&G, Vanguard and so on. Some are ETFs while others are OEICs.

You might have a preference for one structure vs another (OEIC vs ETF) depending on your pension provider's fee terms and you may only have access to certain fund managers through your investment platform - which may cause you to pick one fund when another has a headline cheaper price or better tracking error but needs you to move platform providers to access it.

Really, it depends whether you want a specific index (e.g. FTSE Global All Cap or FTSE All-World or MSCI World etc) or whether any old basic global index will do. Vanguard's FTSE Global All Cap has an OCF less than a quarter of a percent, so would be fine for many people generally looking for a global index, and they are the biggest fund manager group in the world, but you can no doubt find cheaper.

So if you refine your criteria further, some things will be eliminated from consideration.

Some people start out by saying they want a global index and then after looking at all the options end up going for a mixed asset fund with a high equities allocation (e.g. Vanguard Lifestrategy 100% equity) accepting that it's not strictly following an index but is a fund that holds other indexes with periodic rebalancing between them. If the goal is just 'general growth, cheaply' there are a variety of options.

*edit - I see I was beaten to it while writing the above on the underground. Seems like same sort of answer

Oliver1191

Thanks both.

I'm new into my investing career - only been at it for 2 years (and am adicted).

I currently have a mix of passive and active funds. I can see from your comments that i have a lot to learn with regard to the types of global index funds...i will look at all of them - thank you.