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Ideas for SIPP investments..?

C_Mababejive
C_Mababejive Posts: 11,668 Forumite
Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
in Pensions, annuities & retirement planning
My SIPP currently contains SMT and CTY .

I'm just fishing for ideas for further diversification really ?

Thanks
Feudal Britain needs land reform. 70% of the land is "owned" by 1 % of the population and at least 50% is unregistered (inherited by landed gentry). Thats why your slave box costs so much..

Comments

  • ex-pat_scot
    ex-pat_scot Posts: 726 Forumite
    Part of the Furniture 500 Posts Photogenic Name Dropper
    VWRL. Life doesn't get any more diversified really. (equities anyway)
  • tacpot12
    tacpot12 Posts: 9,525 Forumite
    Tenth Anniversary 1,000 Posts Name Dropper
    I hold SMT and CTY in my SIPP portfolio - I'm just starting to drawdown on my SIPP.

    I have 4% of the portfolio invested in Invesco Perpetual UK Smaller Companies (IPU) to get some exposure to smaller UK companies.

    I have 4% of the portfolio invested in each of the following Investment Trusts for more diversification:
    - European Asset Trust (EAT)
    - Schroder Oriental Income Trust (SOI)
    - The North American Income Trust (NAIT)

    I also have a small percentage of the portfolio (8%) invested in commercial property using the F&C Commercial Property Investment Trust (FCPT) and iShares UK Property ETF (IUKP). I think the investment in commercial property is particularly suitable when in drawdown because rental payments are pretty steady, so the income from property trusts should also be steady. (I also have investments in residential property outside of my SIPP).

    Hope this helps
    The comments I post are my personal opinion. While I try to check everything is correct before posting, I can and do make mistakes, so always try to check official information sources before relying on my posts.
  • Audaxer
    Audaxer Posts: 3,552 Forumite
    Eighth Anniversary 1,000 Posts Name Dropper
    tacpot12 wrote: »
    I hold SMT and CTY in my SIPP portfolio - I'm just starting to drawdown on my SIPP.
    Just interested to know, when you drawdown from a SIPP with ITs, are you just drawing down the dividends or are you selling any capital?
  • StellaN
    StellaN Posts: 354 Forumite
    Fourth Anniversary 100 Posts
    As tacpot12 as suggested, you need to hold a few more IT's over several regions/sectors to fully diversify your portfolio. SMT and CTY is a decent start but depending on the size of your pot will ultimately determine how many more holdings you need to add.
  • tacpot12
    tacpot12 Posts: 9,525 Forumite
    Tenth Anniversary 1,000 Posts Name Dropper
    I will be drawing down a mixture of dividends and capital. The portfolio at present should produce about 80% of the income I need for living expenses. The amount of capital to be sold each year will depend on the dividends received and the growth in the value of the portfolio.
    The comments I post are my personal opinion. While I try to check everything is correct before posting, I can and do make mistakes, so always try to check official information sources before relying on my posts.
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