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My portfolio and future plans - some advice

KP24
KP24 Posts: 29 Forumite
Seventh Anniversary 10 Posts Combo Breaker
in Savings & investments
Hi all,

I have around £12k invested in the following via a Stocks and shares ISA (been investing for around 4 years):

1) Tesco
2) Royal Mail
3) HSBC FTSE Tracker
4) Fundsmith Equity
5) Scottish Mortgage Investment Trust (only held for a few months)
6) Diageo
7) Morrissons
8) Vanguard LifeStrategy 60 (only held for a few weeks)

My current profit on these overall has me at around 15% with the major winners being Fundsmith and the tracker.

I am in the process of buying a house so won't really have much more to invest for at least 5-10 years but i am aiming to have one last hurrah and invest around £5k and then leave it at that.

As i mentioned on another thread, i am interested in Japan and India. But with £5k to invest and nothing more for around 5-10 years, is there much point thinking too much about this?

The portfolio i have (with the addition of the Japan and India ones whichever they end up being) will be my fixed one for the foreseeable future in terms of me investing anymore money into it. My key aims is for long term growth (i won't need to touch this money for 5-10 years) and for the portfolio to be diversified (geographically at least) so as to not put all my eggs in one basket/location.

Any comments/thoughts? Am i going about this the wrong/right way?

Thanks in advance!
«1

Comments

  • greatkingrat
    greatkingrat Posts: 354 Forumite
    Eighth Anniversary 100 Posts Photogenic
    Investing in a portfolio of individual shares, investing in a portfolio of active funds, and investing in passive tracker funds can all be valid approaches, but doing all three at the same time doesn't make much sense.
  • The_Bloody_Baron
    The_Bloody_Baron Posts: 8 Forumite
    I would put most, if not everything into a Vanguard Life strategy fund.

    Option 1
    - 80% Vanguard life strategy 80
    - 20% Vangiard global small cap index (as small companies don't feature in the life strategy funds)

    You will hold a small percentage in India and Japan using the life strategy fund.
    If you chose this option, it's best to go to Vanguard directly for the 0.22% fee. Otherwise you'll pay a platform fee using, for example, Hargreaves Lansdown.

    Option 2
    - 80% Vanguard life strategy 80
    - 10% Vanguard global small cap index
    - 10% Stewart investors Asia Pacific leaders (this is an active fund and invests in India, Singapore, Japan, Taiwan, South Korea, Australia, etc)

    Hope this helps.
    Bloody Baron
  • bostonerimus
    bostonerimus Posts: 5,617 Forumite
    Sixth Anniversary 1,000 Posts Name Dropper
    Your portfolio seems to lack any strategy...."one last hurrah"? Investing is a lifetime thing.
    get into the habit of investing regularly, even if it is only small amounts. If your mortgage is so large that you don't have any spare money, then it is too large. I would sell all the individual shares and put your money in to a multi asset fund or a mix of a global equity tracker and a global bond tracker.
    “So we beat on, boats against the current, borne back ceaselessly into the past.”
  • AnotherJoe
    AnotherJoe Posts: 19,622 Forumite
    10,000 Posts Fifth Anniversary Name Dropper Photogenic
    KP24 wrote: »
    My key aims is for long term growth (i won't need to touch this money for 5-10 years) and for the portfolio to be diversified (geographically at least) so as to not put all my eggs in one basket/location.

    Any comments/thoughts? Am i going about this the wrong/right way?

    Thanks in advance!

    Then sell it all and buy HMWO. Job done,
  • TomSurrey
    TomSurrey Posts: 23 Forumite
    Sell them and put your money in a low cost stocks and shares isa, someone like nutmeg.
  • mollycat
    mollycat Posts: 1,475 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    TomSurrey wrote: »
    Sell them and put your money in a low cost stocks and shares isa, someone like nutmeg.

    Last time I looked Nutmeg wasn't "low cost".

    Depends what you are comparing it to I suppose! :)
  • badger09
    badger09 Posts: 11,771 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    TomSurrey wrote: »
    Sell them and put your money in a low cost stocks and shares isa, someone like nutmeg.

    I wouldn't describe Nutmeg as low cost. There are many cheaper options:cool:
  • ruperts
    ruperts Posts: 3,673 Forumite
    Tenth Anniversary 1,000 Posts Name Dropper
    If you really feel the need to have what look like random punts on things like Tesco, Diageo, Japan and India then I'd seperate them from your main portfolio (if only in your mind - it might still make sense to hold them on the same platform) and then construct a seperate, properly diversified portfolio, which could be a lot worse than a single vanguard lifestrategy or equivalent.
  • cashbackproblems
    cashbackproblems Posts: 1,826 Forumite
    greatkingrat wrote: »
    Investing in a portfolio of individual shares, investing in a portfolio of active funds, and investing in passive tracker funds can all be valid approaches, but doing all three at the same time doesn't make much sense.

    Why doesnt it make much sense? You can still own a ftse uk tracker but then individual companies for reasons of greater exposure in term sectors or strategy

    Its obsurd to say holding individual shares with funds doesnt make sense
  • bigadaj
    bigadaj Posts: 11,531 Forumite
    Ninth Anniversary 10,000 Posts Name Dropper
    cashbackproblems wrote: »
    Why doesnt it make much sense? You can still own a ftse uk tracker but then individual companies for reasons of greater exposure in term sectors or strategy

    Its obsurd to say holding individual shares with funds doesnt make sense

    It may be sensible in theory but in the vast majority of real life cases it just indicates someone who has cobbled together a range of punts with little thought.

    You've slightly dented your argument immediately by stating that you can hold the ftse 100 and individual comoany shares, restricting your investments to 5% or so of global equity and a historically poorly performing index is unlikely to provide optimum performance.
This discussion has been closed.
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