Splitting VLS into seperate asset classe funds

tigerspill

I have quite bit of my portfolio invested in VLS funds (around £200,000).  

While I think VLS and the like offer great one-stop solutions and simple investment choices, they come with reduced flexibility.  I have these split across VLS 20, 40 & 80 to give me some flexibility.

One thing I am starting to look into is splitting these into a small number of seperate asset class funds.  I am thinking of -
 - Developed world Equities ex. UK (such as Vanguard FTSE Developed World ex-U.K. Equity Index Fund)
 - UK Equities ( such as Vanguard FTSE U.K. All Share Index Unit Trust)
 - A gilt/bond fund
 - Possibly a money market fund for cash like.

On Equities, might I be better combining into a single All World tracker fund such as the HSBC GLOBAL AM UK FTSE ALL WLD IDX?

I can work on the allocation %ages, but am wondering if anyone can suggest funds that cover these asset classes that would allow me to try to replicate to some degree what VLS and the like do.  I appreciate that it wont be a perfect replica, but something that I can start looking at.  In particular, the non-equity aspects.

The second part is that I already have a significant Cash holding in normal savings accounts and premium bonds.  I have seen a lod about money market accounts and Index likned gilts.  I am comfortable with this.  All my cash is unwrapped as I had been focussing my ISAs on the investments.  We do have SIPPs but can only add £2880 (£3600 after tax added).

Thank you for any pointers.

Alexland

A good place to start is with the list of world and UK equity, bond trackers, MMFs, etc at:
https://monevator.com/low-cost-index-trackers/
They have a mix of low cost OEIC and ETF funds listed.

At £200k you would likely benefit from being on a fixed or capped price platform.

If it's a capped price platform you may prefer ETFs.

I prefer to split the assets out and use ETFs anyway as it gives more control of the asset allocation and trade prices when rebalancing especially at times of market volatility when I may wish to take advantage of temporary price dislocations etc. It also enables me to avoid things I don't want to own.

aroominyork

Why are you looking at a developed world equity fund? VLS includes emerging markets. I think you would get a close equivalent to VLS equities with 80% in a global index fund (no need to exclude the UK) and 20% in a UK all share index fund. You could check the country/region allocations on Morningstar's portfolio page for each fund.  

For bonds, maybe start with Vanguard Global Bond Index but I think the VLS bonds are also overweight the UK. There is no UK aggregate bond fund (govt and corporate bonds) so you would need to top up with a gilt index fund and a corporate bond index fund.

dunstonh

On Equities, might I be better combining into a single All World tracker fund such as the HSBC GLOBAL AM UK FTSE ALL WLD IDX?

The cheapest way is to hold the underlying funds for each region country.  6 funds benchmarked to the FTSE benchmarks can give you the equivalent of a global tracker but on a cheaper basis.  Plus, you can tilt away from market cap if you want.

You can use 3 funds with dev world ex UK but you only get to tilt with UK and emerging markets.

On Equities, might I be better combining into a single All World tracker fund such as the HSBC GLOBAL AM UK FTSE ALL WLD IDX?

If you want market cap using the FTSE All-World Index and don't want to tilt, then yes.

 - A gilt/bond fund

you probably want more than one as there is no single fixed interest securities tracker fund that gives you everything you need.