Where would you put 150k in investments now?

eskbanker

solidpro said:

eskbanker said:

If you're measuring specifically on performance over the past few years, any meaningful effort to benchmark VLS100 entails assessing how many comparable passive global equity products returned more than 10% over the same period and how many less, rather than blindly asserting that 10% is 'good' in a vacuum....

For example, looking (on Trustnet) at the figures for the five years up to yesterday, VLS100's return is 57.2%, below popular low-cost global equity trackers such as Vanguard's FTSE Global All Cap (61.1%) and HSBC FTSE All World (66.1%).  That's not to say that those are the only benchmark to use, and there are a variety of index choices, but that was my original question, i.e. against which competitors would VLS100 be objectively evaluated as 'good'?

Comparing just 2 low-cost equity trackers against VLS100 without explaining what low-cost means by comparison and without comparing to a wider pool of more than simply 2 companies, and simply/only over a 5 year timeframe, when most people should be considering investments in decades, not 5 years, along with the fact that any reasoning in this vaccum that a fund with 0.9% difference is 'better' is a bit like blindly asserting that  one fund's 10% is good. In a vaccum.  

Congratulations, I think you're finally beginning to understanding what benchmarking means!

The points you make are surprisingly valid and largely echo my original question:

eskbanker said:

AAZ said:

All excellent comment here
For global tracker I use VWRL
Vanguard Lifetsrategy 100 is also a good option

'Good' by what benchmark and for achieving what objective?  The non-100 VLS range have their plus points but the 100 is usually seen as the least appealing, especially when compared with cap-weighted trackers, some at lower cost....

In other words, I was asking for which benchmark was being used to support the notion that VLS100 is 'good', and only cited a couple of fairly obvious competitors to illustrate that it's not necessarily 'good' if its performance is compared with some peers over your chosen arbitrary period.

Nevbear

Thank you all so much. 

solidpro

I think VLS100 making 10-11% in the last 5 years is good, if we're talking about risky investments. I have a 1000 word paper regarding benchmarks but I think it wouldn't be appropriate for a short-form forum room.