We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Woodford Concerns
Comments
-
Had an email from Cavendish stating they are now preventing clients buying Woodford Income Focus, but will allow people to sell the fund.0
-
Yes. For what its worth I have about 50% of my equities with Fundsmith. It doesn't worry me at all
AFAIK, Fundsmith is not invested in any unquoted stocks. The worst case scenario (excluding market movement which can affect all funds) is one of the larger holdings e.g. MS or FB going under.
BTW, we hold a sizeable chunk with Terry Smith, although not as high as a % as you.In case you hadn't already worked it out - the entire global financial system is predicated on the assumption that you're an idiot:cool:0 -
Certainly not disregarding that all (i actually said as much in my post) I am happy to take responsibility for not having looked under the hood it's the fact that what's under the hood was changed dramatically from what was originally purchasedMaxiRobriguez wrote: »Whilst the regulators have sat on their hands I don't think you can go the full hog and disregard your own mistakes that were a complete ignorance of what you actually were investing your own money in. There's been a couple of people recently who've admitted to buying investments that they didn't understand nor research, yet think they have a right to enjoy uninterrupted growth.
You know what you were buying with index funds and the associated risks and had comfort in investing in those. Why not get to a similar position with this one before pulling the trigger?0 -
Journalists will inevitably want to pick the stories from people who put their life savings in this one fund. But the low interest environment from the credit crunch (the great financial disaster as should be) which has helped this bull run has made a lot of unsophisticated investors change from savings to funds, and their experience has been an upward trajectory.
The end of 2018 should have been warning to them, but that 20% drop corrected itself within a couple of months and perhaps has led to complacency again. The complaints here that one fund does not grow and goes tits up will be as nothing in the next real downturn, where even tracker funds will not protect you. Careful thought about your investments needed.0 -
Journalists will inevitably want to pick the stories from people who put their life savings in this one fund.
Yes and although that's not representative of your average investor who is in WEIF it's fair enough to grab the headlines I guess.
What is bad is the pos newspaper I am not going to link which has gone after NW's personal life/marriage in an article this week. That's below the belt imo.0 -
Nice bounce back for the Patient Capital Trust today, up 4.40p (+7.46%) to 63.30p/63.80p.
Also seen that the Board have acknowledged the recent issues around Woodford at the moment with the following announcement:10 June 2019
Woodford Patient Capital Trust plc
Company Update
The Board of Woodford Patient Capital Trust plc (the "Company") notes the recent developments at Woodford Investment Management Ltd (the "Portfolio Manager").
Following the events relating to LF Woodford Equity Income Fund ("WEIF"), the Board also notes the reaction in the Company's share price and the share prices of certain quoted portfolio companies in which WEIF is also invested.
The Board is pleased with the operational progress of its portfolio companies, which the Board believes continue to have the potential to deliver attractive returns, in line with the long-term mandate of the Company. The operational performance of these businesses is not impacted by recent events.
Susan Searle, Chair, commented: "The Board is closely monitoring the situation and is engaging with its shareholders and advisers. Separately, the Board is in regular dialogue with the portfolio manager. The Board wishes to emphasise the long-term approach of the Company and will continue to keep shareholders updated as necessary.""If you aren’t willing to own a stock for ten years, don’t even think about owning it for ten minutes” Warren Buffett
Save £12k in 2025 - #024 £1,450 / £15,000 (9%)0 -
Journalists will inevitably want to pick the stories from people who put their life savings in this one fund. But the low interest environment from the credit crunch (the great financial disaster as should be) which has helped this bull run has made a lot of unsophisticated investors change from savings to funds, and their experience has been an upward trajectory.
Even if interest rates on savings were 6% I'd sooner hold a boring old IT like CTY that yields 4.2%0 -
reports the FTNeil Woodford risks being kicked off namesake investment trust
https://www.ft.com/content/f8bf377a-8c23-11e9-a24d-b42f641eca37The board of Woodford Patient Capital Trust, which raised £800m in what was the UK’s biggest investment trust launch in 2015, has held discussions with its broker Winterflood Securities about terminating its contract with Mr Woodford, according to two people close to the situation.
Quite embarrassing for him. If it does happen they will need to restructure the fees - nobody is going to work for free. Perhaps a light will be shone on the NAV as well.
Whoever comes in, the holdings and debt are still the same.0 -
OP here, Although I didn't lose a significant amount of money I am still slightly bruised by this encounter.
Having read this entire thread with interest it does seem like funds/shares/trusts/multi funds and the rest are all a bit of a gamble.
I currently have my money sitting as cash in an ISA and a SIP. I have no idea where to put it in terms of investments as I fear I'll choose one and the bottom will fall out of it.0 -
OP here, Although I didn't lose a significant amount of money I am still slightly bruised by this encounter.
Having read this entire thread with interest it does seem like funds/shares/trusts/multi funds and the rest are all a bit of a gamble.
I currently have my money sitting as cash in an ISA and a SIP. I have no idea where to put it in terms of investments as I fear I'll choose one and the bottom will fall out of it.
I don't think investing done properly is a "gamble"........People will work and earn, they will spend their money and companies will continue to make profits. Capitalism is not going anywhere, might as well be a part of it. It is a gamble if you want to only be in the market for a short period of time, or if you are going to concentrate all your money in one or two sectors.
If the Woodford incident has left you scared of choosing the wrong investment/fund then just pick a global tracker aligned to your risk profile. You can sleep easy at night then. I don't know how old you are but leaving money you won't be spending as cash for over 5 years is almost guaranteed a negative return and is not a wise thing to do.0
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 351.7K Banking & Borrowing
- 253.4K Reduce Debt & Boost Income
- 454K Spending & Discounts
- 244.7K Work, Benefits & Business
- 600.1K Mortgages, Homes & Bills
- 177.3K Life & Family
- 258.4K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.2K Discuss & Feedback
- 37.6K Read-Only Boards