SIPP

dannybbb

Looking at where my SIpp is 6 months in

I have global strategy balanced - 24k (+3.36)  and dynamic 5k (+0.67) - im putting 1000 in per month and lump sums in addition -  have 10k in waiting to be invested I held off as there was talk of a US recession so thought it might be sensible to see if that had a big impact. Im slightly nervous about putting in large sums but Im also playing catch up with my pension and intend to put in 60 k this tax year- im 49 and this is my only pension (although i have other cash and property)

For those with more investing experience would you say these funds are doing ok? Would you reccomend looking into anything else or are these performing as well as any similar fund?

thanks

Mikeeee_2

Just do and your goals bro. 

Nobody else knows or has your exact risk profile so it can get confusing if multiple people chip in various ideas. You hopefully should have a target amount you want to get to, in today's money, and work it forward to see if you're on track. Have a plan, stick to it and try to tune out the noise.

It also depends on your age when you are planning to drawdown from your pot. 

kempiejon

dannybbb said:

Looking at where my SIpp is 6 months in

I have global strategy balanced - 24k (+3.36)  and dynamic 5k (+0.67) - im putting 1000 in per month and lump sums in addition -  have 10k in waiting to be invested I held off as there was talk of a US recession so thought it might be sensible to see if that had a big impact. Im slightly nervous about putting in large sums but Im also playing catch up with my pension and intend to put in 60 k this tax year- im 49 and this is my only pension (although i have other cash and property)

For those with more investing experience would you say these funds are doing ok? Would you reccomend looking into anything else or are these performing as well as any similar fund?

thanks

Go to sleep. Investments only work with decades not months.
Generally put the £10k in now. Specifically no one knows, may as well stick the £10k in now. Or half now half later or extra each month. It wont matter much in 2034.

El_Torro

HSBC Global Strategy funds are good funds, no need to hold anything else if you’re happy with them. You may want to add a smaller companies fund but that’s by no means necessary.

Why are you holding both the Dynamic and Balanced fund? Not a big issue with having both, though the Dynamic fund should perform better than the Balanced fund over the long term (10 years plus), with more volatility. 

And yeah, the performance of the funds over a few months isn’t particularly relevant. 

dannybbb

thanks all, just good to have put it out there. All still new to me.
I should have a better plan but i got to almost 50  without a pension so we know thats not my strength!
Plan is just to minimise tax over the next few years and maximise contributions while i can
thanks again

MK62

dannybbb said:

thanks all, just good to have put it out there. All still new to me.
I should have a better plan but i got to almost 50  without a pension so we know thats not my strength!
Plan is just to minimise tax over the next few years and maximise contributions while i can
thanks again

You may already know this (but it's not mentioned in the OP), but to pay in £60k this tax year, you must have relevant earnings of at least that much this tax year.........and that £60k annual allowance is the gross amount (ie inc tax relief).....you pay in £48k (to which HMRC will add £12k in tax relief)......you may also be able to claim some higher rate tax relief, but this is done via your tax return and is paid back to you, not into your SIPP.

older_and_no_wiser

El_Torro said:

Why are you holding both the Dynamic and Balanced fund? Not a big issue with having both, though the Dynamic fund should perform better than the Balanced fund over the long term (10 years plus), with more volatility. 

And yeah, the performance of the funds over a few months isn’t particularly relevant. 

I agree that there's no reason to hold Balanced and Dynamic versions of the GS fund. Just pick one and stick with it. I have a large portion of my pension in Dynamic and been very happy with returns over the last 5 years that I've been contributing to it. It's not UK overweight like the Vanguard LS funds. 

I'm retiring next week (scary) but will still have the funds invested until I die as I'm not getting an annuity, so no need to reduce risk/volatility. I just keep 2/3 years of living expenses in easy access savings/bonds. 

Dazed_and_C0nfused

MK62 said:

dannybbb said:

thanks all, just good to have put it out there. All still new to me.
I should have a better plan but i got to almost 50  without a pension so we know thats not my strength!
Plan is just to minimise tax over the next few years and maximise contributions while i can
thanks again

You may already know this (but it's not mentioned in the OP), but to pay in £60k this tax year, you must have relevant earnings of at least that much this tax year.........and that £60k annual allowance is the gross amount (ie inc tax relief).....you pay in £48k (to which HMRC will add £12k in tax relief)......you may also be able to claim some higher rate tax relief, but this is done via your tax return and is paid back to you, not into your SIPP.

I suspect the op isnt paying anything in to their pension.  They will be employer contributions so no pension tax relief is due to the op.

dannybbb

im self employed and have had a good year - probably 75k after expenses - i put in 20k last year so believe i can put in 60 this year?

Dazed_and_C0nfused

dannybbb said:

im self employed and have had a good year - probably 75k after expenses - i put in 20k last year so believe i can put in 60 this year?

In this recent thread they were employer contributions.

When did you become self employed 🤔.

Have you told your pension provider you are now self employed?

https://forums.moneysavingexpert.com/discussion/6506804/sipp-lump-sum-or-regular-invest

dannybbb

ive always been self employed, probably mis labelled by me as in contributions from my own company