Aviva pension funds - which world equity index fund?

PeteinSQ

dunstonh said:

fizio said:

vanguard all wordle etf and global bond funds - low cost and good diversification

Although Global Bonds are out of favour at the moment as a risk reducer due to currency fluctuations.

- how most people are expected to get it "right" I really don't know. I almost think this should be being taught in schools. 

Which subject should it replace?    A lot of things in life need self teaching or use you someone to do it for you.   They dont teach you how to do electrical work or plumbing but you can still DIY on those if you wish.   Ultimatly, you either put the effort in to learn or you get someone else to do it.

I don't think Vanguard funds are available through Aviva sadly as I think that would be my preferred option,

Some of Aviva's pensions have the Vanguard fund available.  However, do remember that Vangard are not best in every area.  They are popular on the internet as they have a cult following.   They have the best tracker in some areas but not in others.  Don't be hooked to a brand name.

Not sure I'd have it replace any subject. Maybe an adjunct to maths, or some sort of general studies qualification. Plug wiring week one, pension funds weeks two and three, and how to cook basic meals in weeks four and five :-)
I know that Vanguard aren't the be all and end all, but if you're looking for a mixture of global equities balanced with bonds at a ratio you're happy with those lifestrategy funds do make it very easy.

cfw1994

PeteinSQ said:

Thanks for all the interesting and useful comments that everyone has posted. Investing is really quite a complicated thing - how most people are expected to get it "right" I really don't know. I almost think this should be being taught in schools. 

I agree 100% that we utterly fail to equip people to manage money from a young age - it could certainly form part of the maths curriculum, I would say!
On the point of getting it 'right'......I never hope to "get it right", and remember that opinions are like a***holes - everyone has one!
If you watched the Kroijer videos, you would realise the goal is not to be "the best", but to be far away from being the worst - that is his logic - invest broadly and as cheaply as possible, don't expect to beat the market year on year, but do hope to match it.  I broadly agree with that philosophy.  Others will disagree!

Our Aviva membersite has a default fund choice which is one of the Blackrock World ones - just under 200% over 10 years which I think is reasonable.   It also has around 80 funds to chose from...
I chose to adjust my selection - for example, ¼ of mine is in a "Baillie Gifford International" fund, which has done nearer 300% over 10 years, but I imagine many at our workplace will have stuck with the detault and been reasonably positioned.   
One thing we also have is a 'glidepath' or 'lifestyling' that aims to reduce risk as you get closer to your chosen retirement date - I *personally* feel that is overcautious, and turned it off, but those kind of decisions are personal.   My view is that I hope to be in retirement for perhaps 30 or more years (health permitting!), and so de-risking investments is a bit daft (I didn't de-risk them 30 years before retiring!), BUT I understand reasons why others will disagree.
HTH!