Fidelity DC options

My current company DC scheme is with Fidelity, I opted out of the default Life Styling fund and instead opted for a tracker fund (80% exUK, 10%UK, 10% EM)  this was the closest to a global tracker on the available list.

So here's the 1st question,  Fidelity are closing the Tracker and the default option is a Target Date Fund;  but I can't really see the difference between a Target Date Fund and the old Life Styling fund?
2nd question,  if I stay with a 'tracker' the 2 options are:
L&G WORLD EX-UK DEVELOPED EQUITY INDEX FUND (FTSE) or
FIDELITY BLACKROCK MSCI WORLD GLOBAL EQUITY FUND CLASS 1 (MSCI)

Is there much to chose between them ?

I have a deferred DB that should meet all of my retirement needs, so my thinking was to keep the DC invested in 100% equities. I appreciate the risk profile is much higher, but with the DB and almost full SP I'm prepared to take the risk.


Comments

  • gm0
    gm0 Forumite Posts: 685
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    L&G World ex UK is a fund I use.  As the title and fact sheet will explain.  It contains no UK equities.  Which at weight would be around 4% in a global developed mix.

    Some people would tilt that 4% up.  As do some funds aimed at UK investors.  The rationale/marketing of this is around "home market bias".  And there is also an argument advanced around currency and FX risks.   
    And other people would be gloomy about the london market, uk listings, uk prospects post brexit and would tilt it down.

    So it is normally used alongside another UK only fund tracking FTSE All Share total return.
    L&G UK Equity Index or some similar name.  So that the UK 4% can be added back - or 2% or 10% or whatever you want by way of home market bias.  Across the two you end up back with global developed market equities and whatever extra or reduced amount of UK you applied.

    I am not familiar with the other one - but as a world fund with UK included it seems closer to what you are evaluating as a simple global tracker.  It won't be wildly different if you setup the LG pair neutral. 

    Performance is net fees of course.  So worth looking at that but the difference is unlikely to be very much at all for two passives
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