Choice of Complementary Multi-Asset Fund

TCA

hyperhypo, I'm still in cash. I was tempted to do some buying a couple of weeks ago when markets hit their biggest lows but decided to hang on a bit as I feel there's more downside to come. 

Am I attempting to time the market? Yes I am.

Audaxer

TCA said:

hyperhypo, I'm still in cash. I was tempted to do some buying a couple of weeks ago when markets hit their biggest lows but decided to hang on a bit as I feel there's more downside to come. 

Am I attempting to time the market? Yes I am.

Looking back at your first post on 26 February, you were tempted to go with lump sum purchases then. As you held off at that time it worked in your favour, so surely now that many funds are over 20% down since then, now is a good time to start re-investing some of your pot of cash in case you wait too long and miss out on the current reduced prices?

TCA

The wealth preservation trusts are currently only 7% off their highs and the multi asset funds about 15% off theirs.

I can't be bothered drip feeding but will be inclined to go half in if the lows of 23rd March are hit again. If they don't, so be it, but I'm seeing nothing hinting at a V-shaped recovery, so prepared to gamble on a prolonged bear market with plenty opportunity to get back in. If I'm wrong, I'm wrong.

Albermarle

The wealth preservation trusts are currently only 7% off their highs and the multi asset funds about 15% off theirs

Capita Gearing is less than 5% below its high. Vanguard Life Strategy 60 around 11.5% , although this is a bit less than similar funds . Maybe the other similar MA funds were carrying a bit more than 60% equities when the storm hit as most do not have a fixed % strategy.

Aminatidi

TCA said:

The wealth preservation trusts are currently only 7% off their highs and the multi asset funds about 15% off theirs.

I can't be bothered drip feeding but will be inclined to go half in if the lows of 23rd March are hit again. If they don't, so be it, but I'm seeing nothing hinting at a V-shaped recovery, so prepared to gamble on a prolonged bear market with plenty opportunity to get back in. If I'm wrong, I'm wrong.

Same dilemma as I want to increase my holding in Personal Assets and am unsure whether to just slowly add from tomorrow onward or hold out for further opportunities.

I always struggle with the idea of timing funds like Personal Assets because the movements tend to be so slow/gradual that it's always tempting to wait just a little longer.

TCA

Albermarle said:

The wealth preservation trusts are currently only 7% off their highs and the multi asset funds about 15% off theirs

Capita Gearing is less than 5% below its high. Vanguard Life Strategy 60 around 11.5% , although this is a bit less than similar funds . Maybe the other similar MA funds were carrying a bit more than 60% equities when the storm hit as most do not have a fixed % strategy.

We're maybe looking at different websites. I'm seeing Friday's closing price for CGT as 4,190 versus the 52-week high of 4,490. That's 6.7%.

Friday's price for HSBC GS Balanced is £1.759 v. a high of £2.07 and likewise VLS60 at £174.583 on Friday v. a high of £205.22 - 15% down for both. That's price as opposed to total return.

TCA

Aminatidi said:

TCA said:

The wealth preservation trusts are currently only 7% off their highs and the multi asset funds about 15% off theirs.

I can't be bothered drip feeding but will be inclined to go half in if the lows of 23rd March are hit again. If they don't, so be it, but I'm seeing nothing hinting at a V-shaped recovery, so prepared to gamble on a prolonged bear market with plenty opportunity to get back in. If I'm wrong, I'm wrong.

Same dilemma as I want to increase my holding in Personal Assets and am unsure whether to just slowly add from tomorrow onward or hold out for further opportunities.

I always struggle with the idea of timing funds like Personal Assets because the movements tend to be so slow/gradual that it's always tempting to wait just a little longer.

It maybe depends to an extent on the proportions you're adding, compared to your existing investment and perhaps your timeframe.

If it's just a top-up and you're planning more investments all the way, then in my mind, prices probably matter less. Because I'm going "all-in" from zero, it could make a considerable difference. That said, I'm comfortable going in at the prices of 6 weeks ago, if I've called it wrong.

Aminatidi

It's 20% of around £160K right now and using spare cash already in the platform takes that up to around 28% plus however I add new cash using this years allowance.

Out of curiosity have you discounted RCP?  Seems to have had an amazing drop off a cliff.

TCA

I've been following RCP and given the massive fall it had (35%? at one point), it crosses my mind that it's maybe a great time to buy. But what also crosses my mind is that I don't understand how this trust can even loosely be classed as wealth preservation given that level of volatility, although granted I don't think their stated objectives include capital preservation in the way CGT and PNL do.

So regardless of the reasons for the share price movement, it's probably not going to do the job I'd want it for, so I'm inclined towards CGT and PNL.

Aminatidi

TCA said:

I've been following RCP and given the massive fall it had (35%? at one point), it crosses my mind that it's maybe a great time to buy. But what also crosses my mind is that I don't understand how this trust can even loosely be classed as wealth preservation given that level of volatility, although granted I don't think their stated objectives include capital preservation in the way CGT and PNL do.

So regardless of the reasons for the share price movement, it's probably not going to do the job I'd want it for, so I'm inclined towards CGT and PNL.

Yes that rather ties in with my own sentiment about RCP.

It's one thing looking at charts and wondering why it did what it did in 2008 but another thing watching it happen before your eyes.

Sufficient to persuade me it's not as much of a preservation fund as CGT/PNL appear to have demonstrated so far.