SIPP funds

[Edible Roadkill]

Anyone recommend some good funds for investing in my SIPP ?

Been looking at L&G Global 100 index as a steady away performer.

Is there any else to ponder? I’d probably like to split what I have to invest into 2 funds.

I’m around 20yrs away from retirement & this is a 3rd pension pot so don’t mind considering something riskier at all.

My sipp also has some shares currently, mostly commodities & some mineral & gold producers, but no funds.

Im also thinking maybe some tech, possibly AI or biotech/pharma investments would maybe be worth looking at but don’t really know what to look at.

Anyone got good advice?

Edited by Edible Roadkill on Tuesday 23 May 16:22

[trickywoo]

Vanguard lifestrategy on their own platform is cheap and does a job.

[knk]

L&G global health and pharma index trust
Pictet robotics
Sanlam Global artificial intelligence fund

[fat80b]

I've recently been round this loop. I have a couple of my main pensions with big providers which I haven't touched

But I also had a smaller NEST pot I wanted to move, as well as wanting to dump an an additional amount in at the end of the last tax year.

After the research, I went with Vanguard and now have a SIPP in the Vanguard platform alongside my ISA and transferred the NEST pension in alongside the lump sum. The transfer took maybe 6 weeks, and the lump sum tax rebate about 8-10 weeks but I now have a pot in there to play with.
It's a shame they dont have an app, but the website is alright, and does work on a phone.

I've put the bulk in a LS fund, and then one or two other funds that took my fancy.

[Edible Roadkill]

Thanks all, I’ve already got an account with aj bell.

I don’t think there’s much (any) vanguard products available through their platform.

I’ll have a look at the others mentioned, cheers.

[phpe]

Edible Roadkill said:

Thanks all, I’ve already got an account with aj bell.

I don’t think there’s much (any) vanguard products available through their platform.

I’ll have a look at the others mentioned, cheers.

There are literally hundreds of Vanguard funds and ETFs available through AJ Bell

[simon800]

Edible Roadkill said:

Im also thinking maybe some tech, possibly AI or biotech/pharma investments would maybe be worth looking at but don’t really know what to look at.

Anyone got good advice?

Edited by Edible Roadkill on Tuesday 23 May 16:22

Yes - don't bother.

Chasing the next hot trend will destroy your wealth - to exploit any inefficiencies in the market you need an edge, and if your process involves asking some people on pistonheads which investments to look at you dont have one.

Sorry to sound blunt, but time and again people see "wow biotech has returned x % in y period of time", so throw some money into it at the top of the market and then it tanks 50%, they sell out at a low to crystallise a loss, and then buy whatever else has done well - until it doesn't and then they sell that at a low too etc etc.

With a 20 year time horizon there are (a) no active funds that will consistently outperform over that period of time and (b) no chance of you consistently identifying the next trend/sector to constantly be in the right ones at the right time.

I'd stick to a bog standard global equity index tracker if you are accumulating wealth (different strategy if preserving), and I'd also pass on the L&G Global 100 on the basis that the only interest is really the fact it's done well lately (wasn't always the case).

[phpe]

simon800 said:

Yes - don't bother.

Amen to everything you’ve said.

I quite like multi-factor/Dimensional funds that are grounded in very broad diversification but with tilts/emphasis on company size, value and profitability but these typically aren’t available on most retail platforms

[paolow]

simon800 said:

Yes - don't bother.

Chasing the next hot trend will destroy your wealth - to exploit any inefficiencies in the market you need an edge, and if your process involves asking some people on pistonheads which investments to look at you dont have one.

Sorry to sound blunt, but time and again people see "wow biotech has returned x % in y period of time", so throw some money into it at the top of the market and then it tanks 50%, they sell out at a low to crystallise a loss, and then buy whatever else has done well - until it doesn't and then they sell that at a low too etc etc.

With a 20 year time horizon there are (a) no active funds that will consistently outperform over that period of time and (b) no chance of you consistently identifying the next trend/sector to constantly be in the right ones at the right time.

I'd stick to a bog standard global equity index tracker if you are accumulating wealth (different strategy if preserving), and I'd also pass on the L&G Global 100 on the basis that the only interest is really the fact it's done well lately (wasn't always the case).

Broadly this. You could do well with eggs in one basket - but equally the opposite applies. With such a timeframe I would go for a very broad base and seek out a passive fund that has a very low ongoing cost. I do use active funds - but passives also and one that might tick some boxes is L + G International Index - which is more of a global tracker. The one big caveat is that it is a bit US centric and I did try to look for a more even distribution - but gave up and just went with it. As it turns out that was advantageous but if you go this route there are so many there is sure to be one that you like the look of.

[simon800]

paolow said:

Broadly this. You could do well with eggs in one basket - but equally the opposite applies. With such a timeframe I would go for a very broad base and seek out a passive fund that has a very low ongoing cost. I do use active funds - but passives also and one that might tick some boxes is L + G International Index - which is more of a global tracker. The one big caveat is that it is a bit US centric and I did try to look for a more even distribution - but gave up and just went with it. As it turns out that was advantageous but if you go this route there are so many there is sure to be one that you like the look of.

HSBC All World tracks MSCI ACWI which is less US centric than a developed markets tracker.

Also Blackrock Consensus 100 which is a smidge over 50% US (compared to the L&G Intl which is a smidge under 70%).

Anything with a massive US bias has of course benefitted UK investors with a currency tailwind, which could reverse theoretically.

[Edible Roadkill]

phpe said:

There are literally hundreds of Vanguard funds and ETFs available through AJ Bell

Ah ok

Apologies I’m just learning all this, self taught!

[Edible Roadkill]

Thanks for the other blunt comments, it’s good to hear the other side of it & yes it’s easy to look at what’s been doing well and make assumptions that it’ll continue. As for asking on PH’s well there seems to be a better mix of people actively investing or retired having done so previously, more advice I can seek anywhere else really short of professional advice which I generally think can be a bit one sided.

As I said this pot is a 3rd pension. I’ve got a really good DB pension scheme & another with L&G which i add to but is restricted to around a dozen funds.

I don’t mind really whether this one does well or tanks, but it’s the only one which I’ve free reign into building as I see fit, kind of looking at it more as a gambling account which I’ll split it up and have a mix of funds & shares. It’s already doing well for the sake of a few thousand pounds it’s personally cost me it’s up massively, out performed my L&G fund many times over.

Edited by Edible Roadkill on Wednesday 24th May 12:51

[Sunday Drive]

simon800 said:

I'd stick to a bog standard global equity index tracker if you are accumulating wealth.

Can you recommend any?

[simon800]

Sunday Drive said:

Can you recommend any?

I use HSBC All World and VWRP (my portfolio is across a couple of different platforms so the ETF makes sense for the portion on Hargreaves Lansdown as it's free-ish to hold compared to OEICs/funds).Vanguard FTSE Global All Cap has the up side of including small caps, if that's someone's bag.

Beyond these most other options end up with 70% odd US as they tend to exclude emerging markets, or exclude UK or are ESG screened or etc etc etc. As such the ones above are more in my comfort zone, personally.

Blackrock Consensus 100 and also Vanguard Life Strategy 100 are favoured by some, as they are "actively managed" passives i.e. low cost passives but with some manual intervention which in both cases underweights the US compared to the % held in a global index tracker. You could also look at HSBC Global Strategy Adventurous - again some manual intervention from a manager to tweak allocation to regions which results in a US underweight, and also holds some property in there too.

Over 20 years they will probably all end up in about the same place! But for most it's about getting comfortable with something you can actually hold that long....

[VR99]

Here is a list of some cheap passive funds/etfs that I use and a couple I don't but would have no hesitations recommending for long term fire and forget, remember DYOR as some are literally the whole world including EM and others are Developed markets only, some overlap with Simon800 and this is not a comprehensive list just the ones I prefer:

Funds:
VLS 100/80
Fidelity P Index World (Accumulating 'Acc' version)
Vanguard FTSE Global ALL Cap
Vanguard Dev World Ex-UK
HSBC Ftse All World (ACC)

ETF's:
VEVE
VWRL
SWDA
HMWO
LCWL

[Sunday Drive]

simon800 said:

I use HSBC All World and VWRP (my portfolio is across a couple of different platforms so the ETF makes sense for the portion on Hargreaves Lansdown as it's free-ish to hold compared to OEICs/funds).Vanguard FTSE Global All Cap has the up side of including small caps, if that's someone's bag.

Beyond these most other options end up with 70% odd US as they tend to exclude emerging markets, or exclude UK or are ESG screened or etc etc etc. As such the ones above are more in my comfort zone, personally.

Blackrock Consensus 100 and also Vanguard Life Strategy 100 are favoured by some, as they are "actively managed" passives i.e. low cost passives but with some manual intervention which in both cases underweights the US compared to the % held in a global index tracker. You could also look at HSBC Global Strategy Adventurous - again some manual intervention from a manager to tweak allocation to regions which results in a US underweight, and also holds some property in there too.

Over 20 years they will probably all end up in about the same place! But for most it's about getting comfortable with something you can actually hold that long....

Thank you Simon