MFM iFunds ETF Commodity Fund sounds good

wombat42_2

http://www.h-l.co.uk/fund_research/security_details/sedol/B195JD8.hl

This fund seems to be an excellent idea. It has a lot less volatility than JPM Natural Resources and still gives consistent gains.

munk

Here's more info for that fund if you're interested:

http://www.ifunds-asset.com/funds/commodity

Transferred some money into this fund just the other day. Only drawback is the ridiculous AMC of 1.75% which doesn't seem justified for a passively managed fund... I think they've seen a niche in the market given there are no other 'fund of etfs' out there yet (as far as I know?) and stuck the amc right up. Hopefully other similar funds will be opened at some point soon with lower charges.

There is a similar 'bundled' commodity ETF out there ETFS All Commodities DJ-AIGCI - which bundles up a diversified portfolio of commodity ETFs, didn't look into it further though. Can you invest in ETFs via Hargreaves Lansdown? Don't know, if you can I might consider it perhaps.

Should give thanks here to whoever it was on the other thread this fund was originally mentioned for bringing it up (the jm finn glob opps thread?). Much appreciated for that heads up.

shokadelika

munk wrote: »

Here's more info for that fund if you're interested:

http://www.ifunds-asset.com/funds/commodity

Transferred some money into this fund just the other day. Only drawback is the ridiculous AMC of 1.75% which doesn't seem justified for a passively managed fund... I think they've seen a niche in the market given there are no other 'fund of etfs' out there yet (as far as I know?) and stuck the amc right up. Hopefully other similar funds will be opened at some point soon with lower charges.

There is a similar 'bundled' commodity ETF out there ETFS All Commodities DJ-AIGCI - which bundles up a diversified portfolio of commodity ETFs, didn't look into it further though. Can you invest in ETFs via Hargreaves Lansdown? Don't know, if you can I might consider it perhaps.

Should give thanks here to whoever it was on the other thread this fund was originally mentioned for bringing it up (the jm finn glob opps thread?). Much appreciated for that heads up.

Here is the original thread for the MFM fund comparing it to the JM Finn fund;)

http://forums.moneysavingexpert.com/....html?t=722967

wombat42_2

munk wrote: »

Here's more info for that fund if you're interested:

http://www.ifunds-asset.com/funds/commodity

Transferred some money into this fund just the other day. Only drawback is the ridiculous AMC of 1.75% which doesn't seem justified for a passively managed fund... I think they've seen a niche in the market given there are no other 'fund of etfs' out there yet (as far as I know?) and stuck the amc right up. Hopefully other similar funds will be opened at some point soon with lower charges.

There is a similar 'bundled' commodity ETF out there ETFS All Commodities DJ-AIGCI - which bundles up a diversified portfolio of commodity ETFs, didn't look into it further though. Can you invest in ETFs via Hargreaves Lansdown? Don't know, if you can I might consider it perhaps.

Should give thanks here to whoever it was on the other thread this fund was originally mentioned for bringing it up (the jm finn glob opps thread?). Much appreciated for that heads up.

Yes DJ-AIGCI and other ETFs are available via H&L. see:
http://www.h-l.co.uk/shares_and_stock_markets/search.hl?err=alpha&action=security_details&tradebutton=&allstocks=&search_data=ETFS&submit.x=15&submit.y=3&cmd=begins

Are you sure it is better than the Ishare fund ? The ishare fund dies have a fund manager so surely it is actively managed.

wombat42_2

The Ifunds has significantly better performance than the passive ETF:

http://www.morningstar.co.uk/UK/snapshot/snapshot.aspx?id=F0GBR06XK3


http://www.morningstar.co.uk/UK/snapshot/snapshot.aspx?id=F0000000GA

shokadelika

wombat42 wrote: »

The Ifunds has significantly better performance than the passive ETF:

http://www.morningstar.co.uk/UK/snapshot/snapshot.aspx?id=F0GBR06XK3


http://www.morningstar.co.uk/UK/snapshot/snapshot.aspx?id=F0000000GA

That is why I recommended it even though it has a high AMC.
For a diversified holding of ETc/f's I think it is the only fund available?,especially if you have smaller amounts to invest eg if you have £50/100/1000 you are not going to buy many ETC's when you add on dealing charges.

munk

wombat42 wrote: »

Yes DJ-AIGCI and other ETFs are available via H&L. see:
http://www.h-l.co.uk/shares_and_stock_markets/search.hl?err=alpha&action=security_details&tradebutton=&allstocks=&search_data=ETFS&submit.x=15&submit.y=3&cmd=begins

Are you sure it is better than the Ishare fund ? The ishare fund dies have a fund manager so surely it is actively managed.

The gist of my thinking on that is that paying 1.75% for a portfolio that only contains 13 holdings, most of which are 'tracker' ETFs, was kind of high. Perhaps it's not passively managed... seem to remember something about it being so somewhere though... mmm.

Then again if the performance is there then it's all good - plus you don't have the faff of having to decide what weighting to give each ETF if you decide to build up your own portfolio of ETFs

Thanks shokadelika for that heads up on t'other thread!!

wombat42_2

MFM iFunds ETF Commodity Fund is the only fund that comes up if you search for "commodity" or "commodities" on the H&L website so it is a pretty safe bet it is the only UK based ETF commodities fund.

As it covers all commodities and it is actively managed it must be the lowest possible risk way of getting into commodities. It is also far less volatile than something like JP Natural Resources.

purch

It is also far less volatile than something like JP Natural Resources.

.....thats cos they are totally different

wombat42_2

purch wrote: »

.....thats cos they are totally different

Huh. They have a lot in common. The IFund invests in commodities and JPM Nat Res invests in companies that produce commodities. Although you may get better returns over time with JPM Nat Res, its volatility is very scary.

Anyway I have just purchased a slug of the Ifund.

wombat42_2

Quite wisely the Ifund is currently concentrating on agriculture and gold and ignoring base metals. JP Morgan Natural Resources has hardly any agriculture.