View on UK Equity Funds in Current Climate
Discussion
OK so I've 'lost' 8% since April in my Invesco High Income (UK) Acc Shares Fund. I'm still up as I'm a long time holder in this fund but I believe has recently been described as a dog (turd) fund.
Having now taken the liberty of refreshing myself on the Fund's Objective I'm now drawn to this point: "The Fund invests primarily in shares of UK companies but may include some international and unlisted investments."
Looking at the Asset Class Breakdown as of 30/09/19 it holds 94.68% in UK Equities! To me as the layman given the state of the nation that surely can't be a good thing?
So the question is do I stick it out, or switch funds (and presumaly suffer usual initial charges and fees etc)? As of yet I'm ot taking any 'income' from the Fund but may look to in 5yrs.
Invesco (Perpetual) used to be on the ball a few years back but have dropped short here.
Having now taken the liberty of refreshing myself on the Fund's Objective I'm now drawn to this point: "The Fund invests primarily in shares of UK companies but may include some international and unlisted investments."
Looking at the Asset Class Breakdown as of 30/09/19 it holds 94.68% in UK Equities! To me as the layman given the state of the nation that surely can't be a good thing?
So the question is do I stick it out, or switch funds (and presumaly suffer usual initial charges and fees etc)? As of yet I'm ot taking any 'income' from the Fund but may look to in 5yrs.
Invesco (Perpetual) used to be on the ball a few years back but have dropped short here.
Nobody knows what is going to happen in the UK in the next few months.
If Corbin gets in anything UK based is in big trouble. The market may view an alternative result as good but again who knows.
The problem we have is that the pound has been so devalued already that it’s a bit late to be looking at switching to US / global equities now.
Really hard to know what to do but my gut would say if your fund hasn’t been doing well of late it’s likely to do worse in the coming months. But the question is what would do better?
If Corbin gets in anything UK based is in big trouble. The market may view an alternative result as good but again who knows.
The problem we have is that the pound has been so devalued already that it’s a bit late to be looking at switching to US / global equities now.
Really hard to know what to do but my gut would say if your fund hasn’t been doing well of late it’s likely to do worse in the coming months. But the question is what would do better?
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