Potentially silly question

LHW99

Whichever fund, maybe one move is to switch off the lifestyling?

MTB1986

I have switched it from lifestyle to the 100% equities fund now LHW99, it’s been in lifestyle for a long time but now I understand a bit more I’m happy to move it to a higher risk fund to see what happens with it - hopefully it will grow well! 

greatkingrat

If you are only 34 then the lifestyle option won't have made any difference. Normally lifestyling only starts moving your investments into safer options when you are about 10 years from your selected retirement date.

MTB1986

Greatkingrat, I had a look at the fund sheet and it looked like it was about 80% equities, with some bonds/gilts and cash making up the remainder, and it said as I got towards retirement age the percentage of gilts and cash would increase. Not sure exactly as the fund sheet wasn’t very clear, but that’s what it looked like to me. 

JohnWinder

At the risk of being repetitive, here are a couple of pieces discussing 'home bias' in equities:

Vanguard's thoughts on 'home bias'; they're not fixed in stone, and might be flawed, but grist for the mill. Search for 'Global Equity investing: the benefits of diversification and sizing your allocation, February 2019.'

Also see: https://www.bogleheads.org/blog/2020/03/02/50-years-of-investing-in-the-world-part-3/

'The author believes that this study makes a convincing case to seek a high exposure to global (or international) equities, while keeping a tilt towards domestic equities. Some readers might perceive otherwise, but should by now have more factual material to refine their thinking and possible temptations of home country bias.'

Albermarle

It is a good link . Interesting that they look at different % domestic for stocks but use 100% domestic bonds .
Often when this home bias issue is mentioned on the forum the bonds side is often ignored , geographically speaking .
I think the famous VLS funds are 25% UK for both equity and bonds ,
My portfolio is also approx 25% UK , but the equity portion is less at around 15% and the bonds /others ( property, infrastructure etc ) around 35% UK