BOIs managed funds?

Folks anyone any thoughts on BOIs managed funds below



Was thinking of the

Bloxham Geared High Yield (9) (on AS400)

For a small lump some investment. Charges are 1.75% a year I think and thats all or so I am told by BOI. Is this fund diversified enough? I think its high risk in that it is a gearing fund but I don't mind this, looking for the long term. Anyone any experiences with this? good/bad?

I got a good deal on charges (and early exit fees waived) by going through www.myadviser.ie for the geared high yield fund.

As for diversification, rather than invest in a single, well diversified fund, I prefer to have a diverse range of funds. So the Bloxham fund only accounts for a percentage of my overall investments.

OPTION 1
The bond will be issued with 102% allocation for your 5k investment. There
will be a 1% annual management charge and there are early exit charges on
this plan in the first 5 years. New Ireland Bloxham Geared High Yield Equity
Fund is available under this contract and the annual management charge is
0.25% higher i.e. 1.25%.

OPTION 2
The bond will be issued with 100% allocation for your 5k investment. There
will be a 0.75% annual management charge and there are no early exit charges
on this plan. New Ireland Bloxham Geared High Yield Equity Fund is available
under this contract and the annual management charge is 0.25% higher i.e.
1.00%.

Click to expand...

Above is what is on offer to me.

Some Qs before I talk with MyAdvisor

Option 1
What is 102% allocation on 5k investment?
They mention 1% annual management charge and annual management charge is 0.25% higher i.e. 1.25%. Does this mean 1.25% max annual management charge?

Option 2
What is 100% allocation for your 5k investment.
They mention 0.75% annual management charge and annual management charge is 0.25% higher i.e.1.00%. Does this mean 1.00% max annual management charge?

So When I get a better understanding of the allocation part and the costs associated with each I will be able to make a better choice.

I suppose option 2 is better in that it has no exit charges, but I do think I will leave it in for the 5 years so what are the arguments for and against the options?

Also, is there any other questions I should be asking like...
What are the fees to leave the fund going for longer than 5 years?

Thanks

Folks, I hope this isn't classed as bumping my post to the top of the Q, but I would appreciate advice on the following, as it's different to the above.

Option 1
5000 investment
-1% commission -year 1 only?
-1.25% AMC -year 1
-1.25% AMC -year 2
-1.25% AMC -year 3
-1.25% AMC -year 4
-1.25% AMC -year 5

Total Charges = 7.25%
There are exit charges
There is a 2% extra allocation?

Option 2
5000 investment
-1% commission -year 1 only?
-1.00% AMC -year 1
-1.00% AMC -year 2
-1.00% AMC -year 3
-1.00% AMC -year 4
-1.00% AMC -year 5

Total Charges = 6%
no exit charges

I was trying to work out how much the fund would have to grow to cover the charges?
Option 1 fund has to grow by 7.25% - Not taking the 2% allocation into account but it may work out better than Option 2. I can't work this out...
Option 2 fund has to grow by 6%
Can anyone advise/correct/confirm?


Also, I was trying to understand the product more by the extra 2% allocation. Surely 2% extra allocation, takes from the brokers 1% commision? Can anyone suggest anything on this? Am I looking into it too much?

Thanks