Squeaky bum time!

ffacoffipawb

Andrew31 said:

ffacoffipawb said:

Sailtheworld said:

My SIPP hasn't seen lows like this since the heady days of December 2019. Ah the good old days!
I usually update prices in my accounting software weekly. In the past when there have been prolonged market falls I just do it less frequently.

I am now 10% down this calendar year. If you are breaking even I must be doing something badly wrong.

I think you probably are, who is managing this garbage for you?

Me!

Mick70

isnt this how the market works though, there will be some dips but overall over the long term it should rise , otherwise nobody would bother with stocks/shares and personal pensions ?    although if unhappy with how a fund is being managed then perhaps time to move it ?   Others on here with far far more knowledge than me will chip in and give better advice as Im new to DC pensions and how they work

Andrew31

ffacoffipawb said:

Andrew31 said:

ffacoffipawb said:

Sailtheworld said:

My SIPP hasn't seen lows like this since the heady days of December 2019. Ah the good old days!
I usually update prices in my accounting software weekly. In the past when there have been prolonged market falls I just do it less frequently.

I am now 10% down this calendar year. If you are breaking even I must be doing something badly wrong.

I think you probably are, who is managing this garbage for you?

Me!

LOL I'd sack yourself if i were you.  What on earth are you invested in that has lost 10% in a week. 

Andrew31

Mick70 said:

isnt this how the market works though, there will be some dips but overall over the long term it should rise , otherwise nobody would bother with stocks/shares and personal pensions ?    although if unhappy with how a fund is being managed then perhaps time to move it ?   Others on here with far far more knowledge than me will chip in and give better advice as Im new to DC pensions and how they work

Exactly right. 

ffacoffipawb

Mick70 said:

isnt this how the market works though, there will be some dips but overall over the long term it should rise , otherwise nobody would bother with stocks/shares and personal pensions ?    although if unhappy with how a fund is being managed then perhaps time to move it ?   Others on here with far far more knowledge than me will chip in and give better advice as Im new to DC pensions and how they work

Thats the problem. I genuinely fear for the younger generation who have no DB to fall back on. I worked in financial services and would like think that I know about investments and so on. But losing 10% in 4 days makes you feel really 💩. Its not as if I own rubbish either - City of London, Dunedin, Troy Income and Growth, Henderson Far East (plus 9 others). Everything seems to be going down the Gary Glitter!!

EDIT: No intention of selling anything. Cash and Bonds no good for a 30 year retirement. Just grin and bear it with some gallows humour I think.

I may change my annual drawdown to be 3% of the value at the previous year end. So if it goes bad the funds should not run out as the drawdown would be similarly cut back. SIPP 10% lower, my drawdown cut by 10%.

When DB 2 kicks in I will have £12k guaranteed income from age 60. Not many younger people would be that lucky. 

toffeeb65

55 in a month or two and we know nothing about the pension investment business but at the end of december 2019 decided there was enough in the pot for the 25% tfls to pay mortgage off and be in a position for OH to retire for his health reasons if he wishes to. So to protect that amount we transffered all of it into cash to hold until now until it gets put into a drawdown sipp in the next couple of weeks and he's 55. reason for this I was watching it closely prior to december and seeing it fluctuate I was concerned if anything happened there wouldnt be enough for the 25% needed. The other 75% will back to being invested. And also not worrying too much for that amount as it may not need to be touch for at least 5/7 years so going back in low should be ok?
Out of pure ignorance/dumb/foolish or something, seeing whats happened this week I think I made the right decision. 

Flim

..yep, always seems to go down a damn sight faster than it ever goes up...been in s&s isas for 7+ years now, and getting a little tired of the “downs”. I have based my long term spending plans on only ever getting a return of 1%, so When things look like they have returned I may pull out of the market and just accept a pitiful rate of interest...but at least it makes things more predictable!....just off to find the crystal ball...

ratechaser

I shifted the majority of my pension away from equities last August - the last week has been pretty good overall, although I suspect it's a way off making up for what I would have got from the last 6 months if I'd stayed as I was. 

eskbanker

Flim said:

..yep, always seems to go down a damn sight faster than it ever goes up...been in s&s isas for 7+ years now, and getting a little tired of the “downs”. I have based my long term spending plans on only ever getting a return of 1%, so When things look like they have returned I may pull out of the market and just accept a pitiful rate of interest...but at least it makes things more predictable!....just off to find the crystal ball...

You sound like a classic example of someone who's invested beyond their risk tolerance - if you're twitchy at downturns, and are looking for 1% return and predictability then saving rather than investing is for you....

Having said that, what have you been invested in over that period if you're only expecting (and getting?) 1% from it?

Bravepants

A lesson in risk tolerance:

1. SIPP in cash - has been for over a year earning 1.95%. Enough for 5 years' drawdown of tax free and annual allowance from 55 until

2. DB pension payable from 60. Option for another DB actuarially reduced from 55.

3. ISA in VLS60 and FTSE Global All-Cap - not needed for even early retirement - hence this correction is, for me a case of "meh, so what!". Still going to drip my £1k a month into it!

No-one should be investing if they sh*t themselves over a 10% correction!

What I'm saying is that for "risk tolerance" no-one should think "this is how I feel in my gut - aren't I brave?", but rather "this is the reality of my financial situation, I'm all set now I can take on some risk!"