Funds for a stockmarket downturn/crash

older_and_no_wiser

takesyourchances said:

Albermarle said:

takesyourchances said:

Maybe something like infrastructure investment trusts

There are also infrastructure funds , like FP foresight, that hold a mixture of infrastructure IT's and funds .

Interesting, I have not seen this fund before, I hold a few infrastructure IT's. Will take a deeper look at this as well.

Interesting that the FP Foresight fund is predominately invested in small caps. Is that a good shield in stormy waters? Everyone seems to congregate with the usual mega caps in normal market conditions - understandably I suppose as they perform well. Small caps give you diversification but can be volatile. 

takesyourchances

older_and_no_wiser said:

takesyourchances said:

Albermarle said:

takesyourchances said:

Maybe something like infrastructure investment trusts

There are also infrastructure funds , like FP foresight, that hold a mixture of infrastructure IT's and funds .

Interesting, I have not seen this fund before, I hold a few infrastructure IT's. Will take a deeper look at this as well.

Interesting that the FP Foresight fund is predominately invested in small caps. Is that a good shield in stormy waters? Everyone seems to congregate with the usual mega caps in normal market conditions - understandably I suppose as they perform well. Small caps give you diversification but can be volatile. 

Sorry, meant interesting for me to look at as a fund when it was pointed out to me as I have large enough investments in infrastructure IT's some of which I hold like HICL and TRIG etc, I only hold one other fund which is first sentier global listed infrastructure which I have held for several years. To clear up, my post reply was more out of interest in looking at this fund than a shield as such as I had not saw it before or even fully knew about the small caps as I have not looked deeply into it yet,

tranquility1

eskbanker said:

tranquility1 said:

That's only 4 asset classes - equities, bonds (both of which perform the same way in reality), property and cash (both of which are a very small % of this fund).

I don't think this should be thought of as a "multi asset fund", personally. In a crash that fund will come down just as any other fund will do.

What's your definition of a multi-asset fund, and what examples of it are available?

For example:

Owning your own property, plus...

Equities 60%
Gold 10%
Silver 5%
Cash 20% 
Crypto 5%

tranquility1

tebbins said:

tranquility1 said:

Stargunner said:

I am not ... expecting there to be a crash. 

What are you expecting then, sir? 

This is a forum for people to ask questions about savings and investments. This thread is about defensive portfolio allocation. Gold is debatable as is the severity of the next few decades - recovering from COVID while decarbonising, deglobalisation or a slowing of globalisation, ageing demographics etc.
Please park your Bitcoin/Apocalypse conspiracy theories elsewhere.

Gold is not debatable. It's a proven store of wealth in bad times with a track record of thousands of years. It's the most reliable asset class which exists.

No idea why you're mentioning bitcoin, as I'm not big into it but do hold a few thousand pounds worth. 


And as for a coming crash being a conspiracy... Good luck with that.

Shocking_Blue

Aminatidi said:

I have my money spread across:

• Capital Gearing Trust
• Ruffer Investment Company
• Fundsmith
• Smithson
• Buffettology

I don't think any of them are specifically for a downturn/crash but what I've tried to do is balance funds that have a "wealth preservation" mandate with funds with a growth mandate but hopefully with a focus on good companies that steer clear of bubbles and hopefully just plod on doing their thing come what may.

I have a bit of a thing about trying to pick managers that have skin in the game too as I think it helps align interests.

Yes, also have CGT (and moving more into from riskier satellite funds) as wealth preservation, along with Fundsmith / Smithson as defensive oriented. There are other WP/Def options, but I think these are good choices. 

Did have FP Global Infrastructure mentioned above, but saw that as too risky to figure as either of the above (would welcome any alternatives). 

I think multi-asset passive funds should be a core also, and premium bonds of course.

Post-newbie but have gained a huge amount of knowledge from members here.

tebbins

tranquility1 said:

eskbanker said:

tranquility1 said:

That's only 4 asset classes - equities, bonds (both of which perform the same way in reality), property and cash (both of which are a very small % of this fund).

I don't think this should be thought of as a "multi asset fund", personally. In a crash that fund will come down just as any other fund will do.

What's your definition of a multi-asset fund, and what examples of it are available?

For example:

Owning your own property, plus...

Equities 60%
Gold 10%
Silver 5%
Cash 20% 
Crypto 5%

I thought it was https://youtu.be/VDvr08sCPOc?t=22s

eskbanker

tranquility1 said:

eskbanker said:

tranquility1 said:

That's only 4 asset classes - equities, bonds (both of which perform the same way in reality), property and cash (both of which are a very small % of this fund).

I don't think this should be thought of as a "multi asset fund", personally. In a crash that fund will come down just as any other fund will do.

What's your definition of a multi-asset fund, and what examples of it are available?

For example:

Owning your own property, plus...

Equities 60%
Gold 10%
Silver 5%
Cash 20% 
Crypto 5%

That's an example of a multi-asset portfolio with significantly broader diversification than most (all?) multi-asset funds available, so, while you've attempted to answer your interpretation of the example question (without suggesting that it's actually available as a fund), you've evaded the question about definition, i.e. what is it that actually defines a multi-asset fund in your opinion?

kuratowski

tranquility1 said:

Owning your own property, plus...

Equities 60%
Gold 10%
Silver 5%
Cash 20% 
Crypto 5%

Think you are missing a few essential asset classes there, I see no mention of whisky, fine wine, BTL, classic Lego sets or holiday chalets, all of which have been touted on here from time-to-time

There's an obvious argument that bonds have limited potential for further growth.  However, personally I still think they have a role to play as a volatility dampener.

bostonerimus

Stargunner said:

tranquility1 said:

What assets does your multi asset fund cover?

It is

HSBC Global Strategy Balanced Portfolio Accumulation C

Portfolio Asset Allocation (%)

US Equity   35.49

Europe Equity   7.65

UK Equity   0.71

Japan Equity   4.04

 Asia Pac ex Japan Equity 1.93

 Emerging Market Equity 6.83

Global Government Bond 28.61

Global Corporate Bond 6.51

Property   6.12

Cash   2.12

I think this is an ok fund to own through a crash as long as you don't panic when it happens and keep a good cash buffer in the bank. If you are really scared add some Government Index Linked Bonds. There are many solutions but basically you want to stay diversified because you don't know what's going to happen: so have some cash, keep you bonds short to medium duration, if you worry about inflation have some index linked bonds and keep around 50% in high quality dividend paying equities.

Thrugelmir

tranquility1 said:

eskbanker said:

tranquility1 said:

That's only 4 asset classes - equities, bonds (both of which perform the same way in reality), property and cash (both of which are a very small % of this fund).

I don't think this should be thought of as a "multi asset fund", personally. In a crash that fund will come down just as any other fund will do.

What's your definition of a multi-asset fund, and what examples of it are available?

For example:

Owning your own property, plus...

Equities 60%
Gold 10%
Silver 5%
Cash 20% 
Crypto 5%

Shelter is a basic human requirement. Not a speculative investment.