"main" passive funds to consider

xyz123

Hi, I am looking to sorting out my ISAs and looking at long term investment. Below is a list I have compiled as most commonly ones mentioned here and I will compare them in detail. I realise there are lots of these funds out there and I wanted to ask Have I missed any other ones that I should consider for comparison?

Plan is to put in around £10k lumpsum And then £500 a month. Long term (10 years) investment. 

1. Vanguard life strategy
2. VWRL
3 VWRP
4.L&G multi index
5. HSBC msci world

Thanks

eskbanker

https://monevator.com/passive-fund-of-funds-the-rivals/ is a summary of what they consider to be the main multi-asset contenders, including their key features, although the page was created three years ago and omits subsequent offerings such as Blackrock's MyMap range.

However, your listing includes not just multi-asset funds but solely equity-based ones, so you need to consider whether your risk tolerance copes with 100% equities or whether you'd be better suited with other asset classes such as bonds too.  Although you consider ten years to be long term, it's not really and obviously all your monthly contributions would be invested for less than that if you're literally meaning ten years from now....

masonic

There are a few more to consider here: https://monevator.com/passive-fund-of-funds-the-rivals/

VWRL and VWRP are just different currency versions of the same global ETF. Alongside these, it is worth considering VEVE, which is lower cost and covers just developed markets (could be combined with VFEM to add them back in)

dunstonh

Plan is to put in around £10k lumpsum And then £500 a month. Long term (10 years) investment. 

1. Vanguard life strategy
2. VWRL
3 VWRP
4.L&G multi index
5. HSBC msci world

Which VLS?
Which L&GMI?

Why so many different funds on a relatively small amount?

JohnWinder

list I have compiled as most commonly ones mentioned here

I think you got to your list the wrong way, even though it might turn out to be the right list.

An approach, more individualised to you and based on some sound ideas, is:

1 what assets, and in what proportions roughly do you wish to invest in?

2 how much of home country bias and currency hedging do you favour?

3 which indexes are suitable for your choices, and of those which are broadly diversified, well established, and lend themselves well to use by fund managers (that last is a bit specialised, and may not be worth much, but it lives here)?

4 which funds track those indexes closely and at low turnover and low cost?

5 is the fund well established and big enough not to close down soon?

6 which fund has done well in recent times, or longer times? Completely ignore this.

You can flip the order around to avoid too many iterations of the selection process, but I think these are relevant issues to consider.

EdSwippet

xyz123 said:

Hi, I am looking to sorting out my ISAs and looking at long term investment. Below is a list I have compiled as most commonly ones mentioned here and I will compare them in detail. I realise there are lots of these funds out there and I wanted to ask Have I missed any other ones that I should consider for comparison?

With respect, I think you're looking at this a bit backwards.

First, decide on your asset allocation. How much will you hold in stocks? How much in bonds/gilts? Your desired geographical weighting of each; by global market cap, or UK tilt, or value tilt, or emerging markets tilt, ...? And so on. Only then is it time to consider what might be the "best" (cheapest, or most efficient, or closest index tracking, or ...) fund(s) or ETF(s) to implement that. Could be one fund or ETF; could be multiple. Finally, select the platform that gives you everything you want at lowest cost.

In practice, the last two steps above can be somewhat intertwined. For example, you might already hold an account at (say) Hargreaves Lansdown. They charge handsomely (arguably, they overcharge) for funds and OEICs, but are fine for ETFs. So where you have a choice between a fund and an equivalent (in terms of what it holds) ETF, you would choose the ETF in this case.

xyz123

dunstonh said:

Plan is to put in around £10k lumpsum And then £500 a month. Long term (10 years) investment. 

1. Vanguard life strategy
2. VWRL
3 VWRP
4.L&G multi index
5. HSBC msci world

Which VLS?
Which L&GMI?

Why so many different funds on a relatively small amount?

Thanks,obviously I didn't make it Clear enough. I didn't say I am investing in all of them. I simply said I am planning to compare some passive funds and wanted to have a list so I can do all comparison in one go. 

xyz123

Thanks all for your replies. I will look at the suggestions offered.

I have some idea of what geographical allocation I want. I will. Probably go for 80/20 (equity/bonds).  hence I want to compare the funds as so as to choose the one that is closest. Its is simply a list to sit down and compare.

Thanks 

dunstonh

xyz123 said:

dunstonh said:

Plan is to put in around £10k lumpsum And then £500 a month. Long term (10 years) investment. 

1. Vanguard life strategy
2. VWRL
3 VWRP
4.L&G multi index
5. HSBC msci world

Which VLS?
Which L&GMI?

Why so many different funds on a relatively small amount?

Thanks,obviously I didn't make it Clear enough. I didn't say I am investing in all of them. I simply said I am planning to compare some passive funds and wanted to have a list so I can do all comparison in one go. 

Ahh ok.  Those two are also not passive funds.  They are mutli-asset funds.

Eyeful

You have missed this.
https://www.hsbc.co.uk/investments/isas/hsbc-global-strategy-portfolios/#balanced