Discussion
As savings interest rates are likely to decrease over the next year I want to use my £20000 S&S ISA allowance.
I’ve invested in low cost funds that I’ve found myself in the past and it’s generally worked OK other than the period 2022-23 when I assume higher interest rates took their toll.
Can anyone recommend a medium to low risk portfolio for my £20000 please?
I’ve invested in low cost funds that I’ve found myself in the past and it’s generally worked OK other than the period 2022-23 when I assume higher interest rates took their toll.
Can anyone recommend a medium to low risk portfolio for my £20000 please?
Franco5 said:
As savings interest rates are likely to decrease over the next year I want to use my £20000 S&S ISA allowance.
I’ve invested in low cost funds that I’ve found myself in the past and it’s generally worked OK other than the period 2022-23 when I assume higher interest rates took their toll.
Can anyone recommend a medium to low risk portfolio for my £20000 please?
What is your definition of low to medium risk?I’ve invested in low cost funds that I’ve found myself in the past and it’s generally worked OK other than the period 2022-23 when I assume higher interest rates took their toll.
Can anyone recommend a medium to low risk portfolio for my £20000 please?
Are you comfortable with losing money over a 1 month / 1 year / 5 year period?
It might be worth buying a copy of Tim Hale's Smarter Investing as it might help you clarify in your own mind what you're looking for but broadly speaking you could look at a simple mix of a global stock tracker and a global bond tracker but you would need to keep an eye and occasionally rebalance.
Or you could just buy a multi-asset fund that meets your appetite for risk and let that do all the work.
Take a look at the Vanguard LifeStrategy and HSBC Global Strategy range.
Or you could just buy a multi-asset fund that meets your appetite for risk and let that do all the work.
Take a look at the Vanguard LifeStrategy and HSBC Global Strategy range.
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hstewie said:
hstewie said: It might be worth buying a copy of Tim Hale's Smarter Investing as it might help you clarify in your own mind what you're looking for but broadly speaking you could look at a simple mix of a global stock tracker and a global bond tracker but you would need to keep an eye and occasionally rebalance.
Or you could just buy a multi-asset fund that meets your appetite for risk and let that do all the work.
Take a look at the Vanguard LifeStrategy and HSBC Global Strategy range.
This is where we're going, I think.Or you could just buy a multi-asset fund that meets your appetite for risk and let that do all the work.
Take a look at the Vanguard LifeStrategy and HSBC Global Strategy range.
chip* said:
DeuceDeuce said:
av185 said:
Other ideas
HSBC American Index
Jupiter India
L+G Global Technology Index Trust
L+G International Index Trust
How do you measure risk? Not sure these could be described as low to medium by any traditional definition of risk. HSBC American Index
Jupiter India
L+G Global Technology Index Trust
L+G International Index Trust
From Warren Buffet's 2013 letter to the shareholders. (Berkshire Hathaway)
'...My money, I should add, is where my mouth is: What I advise here is essentially identical to certain instructions I’ve laid out in my will. One bequest provides that cash will be delivered to a trustee for my wife’s benefit. (I have to use cash for individual bequests, because all of my Berkshire shares will be fully distributed to certain philanthropic organizations over the ten years following the closing of my estate.) My advice to the trustee could not be more simple: Put 10% of the cash in short-term government bonds and 90% in a very low-cost S&P 500 index fund. (I suggest Vanguard’s.) I believe the trust’s long-term results from this policy will be superior to those attained by most investors – whether pension funds, institutions or individuals – who employ high-fee managers.'
'...My money, I should add, is where my mouth is: What I advise here is essentially identical to certain instructions I’ve laid out in my will. One bequest provides that cash will be delivered to a trustee for my wife’s benefit. (I have to use cash for individual bequests, because all of my Berkshire shares will be fully distributed to certain philanthropic organizations over the ten years following the closing of my estate.) My advice to the trustee could not be more simple: Put 10% of the cash in short-term government bonds and 90% in a very low-cost S&P 500 index fund. (I suggest Vanguard’s.) I believe the trust’s long-term results from this policy will be superior to those attained by most investors – whether pension funds, institutions or individuals – who employ high-fee managers.'
bhstewie said:
hstewie said: It might be worth buying a copy of Tim Hale's Smarter Investing as it might help you clarify in your own mind what you're looking for but broadly speaking you could look at a simple mix of a global stock tracker and a global bond tracker but you would need to keep an eye and occasionally rebalance.
Or you could just buy a multi-asset fund that meets your appetite for risk and let that do all the work.
Take a look at the Vanguard LifeStrategy and HSBC Global Strategy range.
This is where we are - Vanguard LS 80, and moving other lower-performing ISAs there as well. The killer isn't performance, it's fees. As many found out after the Truss budget, funds still take their percentage fee when a numpty Chancellor has knocked 10% of their value in a yearOr you could just buy a multi-asset fund that meets your appetite for risk and let that do all the work.
Take a look at the Vanguard LifeStrategy and HSBC Global Strategy range.
mikef said:
bhstewie said:
hstewie said: It might be worth buying a copy of Tim Hale's Smarter Investing as it might help you clarify in your own mind what you're looking for but broadly speaking you could look at a simple mix of a global stock tracker and a global bond tracker but you would need to keep an eye and occasionally rebalance.
Or you could just buy a multi-asset fund that meets your appetite for risk and let that do all the work.
Take a look at the Vanguard LifeStrategy and HSBC Global Strategy range.
This is where we are - Vanguard LS 80, and moving other lower-performing ISAs there as well. The killer isn't performance, it's fees. As many found out after the Truss budget, funds still take their percentage fee when a numpty Chancellor has knocked 10% of their value in a yearOr you could just buy a multi-asset fund that meets your appetite for risk and let that do all the work.
Take a look at the Vanguard LifeStrategy and HSBC Global Strategy range.
Phooey said:
I quite liked LifeStrategy up until recently... but this years two big events (budget / Trump) have massively changed my views on it. To have 25% in the UK index today needs some serious thinking. I wouldn't and won't be buying any more. Without another thread getting into politics have a think about who is running the UK and if you feel confident investing in it. Stick to a regular global index.
I've got a smaller pot of pension on UK equities, it's very poor in comparison to the US one.fourstardan said:
it's very poor in comparison to the US one.
It will be, and it crosses a point where it will probably never catch up. I certainly wouldn't be all in on the US unless my pot was large enough to handle a 50% fall, and I still probably wouldn't be all in on the US then anyway, but I also wouldn't underweight it by going outside a global index. There's nothing to say a global index can't have a lost decade but unless you have a very rare skill, expertise or luck of picking winners (and avoiding losers) your safest way to increase your investments is a slow and steady average approach over a very long time.
bhstewie said:
hstewie said: It might be worth buying a copy of Tim Hale's Smarter Investing as it might help you clarify in your own mind what you're looking for but broadly speaking you could look at a simple mix of a global stock tracker and a global bond tracker but you would need to keep an eye and occasionally rebalance.
And as a bonus, I think Tim Hale must be a PHer as he uses the phrase "pull the trigger".The point of ranges like LifeStrategy or Global Strategy is that they aren't necessarily about the best possible returns.
They're about meeting your goals whilst being able to sleep at night because you can forget about them and you probably won't end up far off where someone who spends every waking hour thinking about it will end up.
They're about meeting your goals whilst being able to sleep at night because you can forget about them and you probably won't end up far off where someone who spends every waking hour thinking about it will end up.
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