Age 38. Choice of L&G Funds

dozywalia

Which one should I choose please for pensions

dozywalia

Please comment if there are any others I need to look. I got 133 Funds from L&G salary sacrifice

dunstonh

Not a great choice of funds in that list.   You should make a poll of all 133 funds to get an answer how each individual responding would invest.   However, given the differing knowledge, behaviour, risk profiles, timescales, I am not sure how helpful what they would invest in would be to you.    

dozywalia

23 matching funds

Fund name	Status
Fund name L&G PMC Asia Pacific (ExJap) Dev Equity Index 3	Status Blank
Fund name L&G PMC Asia Pacific Ex Jap Equity Index 3	Status Blank
Fund name L&G PMC Ethical UK Equity Index 3	Status Blank
Fund name L&G PMC Europe (Ex-UK) Equity Index 3	Status Blank
Fund name L&G PMC Fossil Fuel Free Climate Equity Index 3	Status Blank
Fund name L&G PMC FTSE Global Developed Small Cap Ind Fund 3	Status Blank
Fund name L&G PMC Future World Fund 3	Status Core fund range
Fund name L&G PMC Global Developed Equity Index Fund 3	Status Blank
Fund name L&G PMC Global Eqty Fixed Weights 50:50 Index 3	Status Blank
Fund name L&G PMC Global Eqty Fixed Weights 60:40 Index 3	Status Blank
Fund name L&G PMC Global Equity 70:30 Index 3	Status Blank
Fund name L&G PMC Global Equity Market Weights 30:70 Index 3	Status Core fund range
Fund name L&G PMC Global FW 50:50 Idx GBP Currency Hedged 3	Status Blank
Fund name L&G PMC Global Real Estate Equity Index 3	Status Blank
Fund name L&G PMC Japan Equity Index 3	Status Blank
Fund name L&G PMC North America Equity Index 3	Status Existing
Fund name L&G PMC Overseas Equity Consensus Index 3	Status Blank
Fund name L&G PMC UK Equity 5% Capped Passive 3	Status Blank
Fund name L&G PMC UK Equity Index 3	Status Core fund range
Fund name L&G PMC UK Smaller Companies 3	Status

ewaste

I'd be looking at a mix of something like Global Equity 30:70 with an allocation to Small Cap, which would reduce the home bias a bit. You could get more complicated by essentially building your own portfolio or keep it really simple with a single Multi-Asset or Global Equity fund. 

I'd imagine there are probably quite a few lifestyle, annuity, bond and other similar funds listed as well.

dozywalia

I am choosing in between equity only and these above accounts are with less than 0.25%...


I think equity is the way to go as I got about 20 years to ride out any bumps? 

gm0

First simple approximation for many is:  World ex UK + UK to taste = global developed market equities with a home market content bias of your choice 2%/4%/8%/12%/?.  Not currency hedged. Equities. No bonds.  Simple.  An approximation to "Hold the market cheaply".

100% equities long investment horizon.  Once in your 50s starting to think about the deaccumulation asset allocation and the how and when of any changes.  After all in long term accumulation many of us are pound cost averaging in every month and view volatility with more enthusiasm than we might later on.  Everybody has a different risk appetite.  For some 100% equities is just too racy emotionally.  You need to be comfortable with materially >50% losses along the way.  These days you can look at it.  Historically the by the way you have lost half the value as of date x letter was a bit of a shocker.  

Of course if you want REITS or a renewables or ethical theme or if there is a commodities item then you can add a tilt or do something around a different core.

You have a couple of simple options for more diversification within equities from EM or Small which don't materially overlap that badly with World ex UK and UK.

A lot of the other  choices and slices clearly do.  Whether the affect on returns and volatility is helpful or unhelpful in monthly accumulation is a bit of a crapshoot.

I was not a particular fan of the EM indexer in L&G in my own scheme based on monitoring its performance over the years.

When I moved from a UK posture (original default fund) tracking UK FTSE All Share to a more global investment during accumulation it was to an ethical global equities option (FTSE4Good Global/Developed) because this actually tracks the overall global developed markets equities pool fairly closely - given its limited ethical knockouts) and it was the only cheap global passive we had access to.

Some occupational fund rebalancing can be a bit tedious. So a static-ish allocation going in without too many moving parts isn't a bad idea.  Opinions vary of course. 

retiringtoosoon

 I’m 43 and I’m all in with the Global Equity Market 30:70 fund myself in my pension . Fact sheet below.

dozywalia

Do we have anything in above that focuses on banking sector as the shares wil be dropping and cheap in 2023-2025 after SVB/Credit suisse? 

kinger101

None of them sound particularly enticing to someone at least 20 years from retirement.

I'm not you, but I tell my 38 year old self that a 100% global equities tracker is a good option.  

And don't do anything hedged.  Or decide based on past-performance.

kinger101

dozywalia said:

Do we have anything in above that focuses on banking sector as the shares wil be dropping and cheap in 2023-2025 after SVB/Credit suisse? 

Definitely don't do that.  Over the last 10 years, we've have lots of people commenting on how cheap Lloyds share are.  

Shares are always priced at open market value.  They don't remember the price they once were, and dutifully return there at some later date.