HL Junior SS isa Fund selection

tebbins

SharpShooter said:

Sounds like OP has alot of research to do before getting started.

I was going to suggest my personal opinion that if you are investing for the longer term i.e a child then you would be far better off in an actively managed fund.

I chose Blackrock World Tech and Baillie Gifford Positive Change for my children.

A fair bit of overlap there, very concentrated and I'm not sure what your rationale is for saying active is better over the longer term.

SharpShooter

Ofcourse everyone should invest with their own risk appetite in check, but my rationale is simply based on facts i.e. numbers.

grumiofoundation

SharpShooter said:

Ofcourse everyone should invest with their own risk appetite in check, but my rationale is simply based on facts i.e. numbers.

What facts do you have that show that active funds (or these 2 active funds) outperform passive funds over the long(er) term? 

(I assume your comment about being better off in active funds is vs passive funds?) 

plumb1_2

grumiofoundation said:

SharpShooter said:

Ofcourse everyone should invest with their own risk appetite in check, but my rationale is simply based on facts i.e. numbers.

What facts do you have that show that active funds (or these 2 active funds) outperform passive funds over the long(er) term? 

(I assume your comment about being better off in active funds is vs passive funds?) 

Looks like I am going to have to use a dart for my fund choice .  Efc etc don’t have a clue , after reading about them for several days, brain freeze now.
Gonna stick with HL and just hope for the best.

cloud_dog

For what it is worth, my child holds Fidelity Index World, and Vanguard FTSE Global All Cap Acc fund in different vehicles.  They also hold a smaller amount in BG Positive Change Acc fund (core and satellite approach with Fidelity Index World, and my nod to the hope of a better future <<sighs>>).

I would recommend reviewing moving the accounts to Fidelity due to the benefits that would bring.  Also the have a lower minimum monthly contribution limit £25pm, if that might be useful at some point.

plumb1_2

Opened and bought 2 vanguard funds for them both. Now to set up another 3 accounts for the other grandchildren. 

SharpShooter

grumiofoundation said:

SharpShooter said:

Ofcourse everyone should invest with their own risk appetite in check, but my rationale is simply based on facts i.e. numbers.

What facts do you have that show that active funds (or these 2 active funds) outperform passive funds over the long(er) term? 

(I assume your comment about being better off in active funds is vs passive funds?) 

Check last 5 to 10 years annualised returns for those funds and then compare it to FTSE100 or Nasdaq100.

tebbins

SharpShooter said:

grumiofoundation said:

SharpShooter said:

Ofcourse everyone should invest with their own risk appetite in check, but my rationale is simply based on facts i.e. numbers.

What facts do you have that show that active funds (or these 2 active funds) outperform passive funds over the long(er) term? 

(I assume your comment about being better off in active funds is vs passive funds?) 

Check last 5 to 10 years annualised returns for those funds and then compare it to FTSE100 or Nasdaq100.

What does the past 5-10 years have to do with the foreseeable future return? It's one of the worst indicators.

SharpShooter

It shows direction. Truth is there is no other good indicator, its all just faith. Being cautious is what makes investors lose out.

tebbins

SharpShooter said:

It shows direction. Truth is there is no other good indicator, its all just faith. Being cautious is what makes investors lose out.

The evidence is that recent past performance is one of the worst indicators of future performance. There is no evidence or theory to show that "direction" is an accurate indicator of future returns. The CAPE is the least bad indicator.