If it was my choice, I would go with this.
Should offer sufficient diversification and why pay extra charges and have an, arguably, unnecessary mix of funds?
Fisher Investments ??
- Thread starter charliehorse
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Should offer sufficient diversification and why pay extra charges and have an, arguably, unnecessary mix of funds?
1.15% AMC for a global equity index fund is a rip off. So is 0.75%.
And you haven’t even mentioned commission - what is the broker being paid?
And unless you have a lot of non-pension assets in cash, you really shouldn’t be anything like 100% in equities at your age and stage in life.
Suggest you talk to another broker…
And you haven’t even mentioned commission - what is the broker being paid?
And unless you have a lot of non-pension assets in cash, you really shouldn’t be anything like 100% in equities at your age and stage in life.
Suggest you talk to another broker…
charliehorse
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This is included in the 1.15% Sorry if this was not clear.
I understood that there were more than just equities in his suggested basket of funds. Government bonds etc.
Don't treat anything I say as advice, but did he explain why a mix of 4 funds? In a way that you understand?
3 of the 4 funds feature the same 6 companies in their top 10 holdings (Apple, Microsoft, Alphabeth, etc). Surely a simple Indexed World Equity, and a percentage in cash / bonds would result in lower fees, and a better outcome?
Your 'advisor' is receiving an upfront and annual commission for this. They should be advising you.
charliehorse
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I understood from him that they were a well diversified mix.
My funds are held in an SSAP at the moment. I sold my pension property so its all cash waiting to buy an ARF.
He claims he gets zero commision from the company that holds that.
That company charged me c. €3750 this year to hold it if I remember right.
Steven Barrett
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The old diversification by just putting the money in 3-4 different funds, never mind the fact that they all hold the same assets. I thought that went out the window 20 years ago!
Or saying you are getting different investment styles with one funds being top down and the other being bottom up style strategies!!He'll be more than made up from the commission he'll get selling you a bundle of funds with a 1.15% charge.
charliehorse
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charliehorse
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Happy Friday and thanks for everyone's inputs.
So, my take from this is,
1, Pick a well diversified funds that hopefully will track the indices. They all roughly average out over time.
2, Get the lowest fees possible because no one's crystal ball works. Fees will have a major impact on my funds.
3, Don't be swayed by fear or greed. In a slump, trust your blue chip companies to bounce back.
As always, do your own due diligence and go with your gut feel.
So, my take from this is,
1, Pick a well diversified funds that hopefully will track the indices. They all roughly average out over time.
2, Get the lowest fees possible because no one's crystal ball works. Fees will have a major impact on my funds.
3, Don't be swayed by fear or greed. In a slump, trust your blue chip companies to bounce back.
As always, do your own due diligence and go with your gut feel.
Good advice except this, which, to me, is contradictory.
charliehorse
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Always worked for me in that order.
As Carl Sagan once said, I prefer to think with my brain rather than my gut.