FTSE100 tracker

[mikeiow]

Derek Chevalier said:

This one in particular:

15 Year Gilt Index Tracker: +25.97%

I don't think there's necessarily any "correct" solution, as long as you are aware of the inherent risks (and feel you are being rewarded sufficiently for the risk) in the bond world (credit and interest rate sensitivity) and what may cause those risk to trigger.

https://rm.morningstar.com/education/basic/LS_Bas_...

This was useful to put the recent events in context.

https://monevator.com/do-us-treasury-bonds-protect...

and more info on portfolio protection.

https://monevator.com/how-to-protect-your-portfoli...

Who knows!
I can tell you that portion was absolutely the LEAST affected during the events this year......& yup, I am okay with things thus far.

[Ari]

Not updated this for a while (to be honest, not even checked it for a while, it's not happy reading).

You contributed and withdrew £21,605.00
Your investments returned you −£1,860.54
You ended up with £19,744.46

Your rate of return is -14.49%

It's not been an unmitigated success..!

Onward.

[Ari]

You contributed and withdrew £21,855.00
Your investments returned you −£1,415.80
You ended up with £20,439.20
Your rate of return is -10.89%

Meh.

Maybe I should have signed up with Forex Lifestyle instead!

[funinhounslow]

Ari said:

You contributed and withdrew £21,855.00
Your investments returned you ?£1,415.80
You ended up with £20,439.20
Your rate of return is -10.89%

Meh.

Maybe I should have signed up with Forex Lifestyle instead!

At least it’s heading the right way - slowly.

My FTSE all share index tracker is also showing a loss but after the year we’re having it’s to be expected. Hopefully by this time next year COVID and trade with the EU will be sorted and we’ll be congratulating ourselves for holding our nerve through 2020...

[Ari]

Yes indeed, and it was always planned to be a long term investment. I guess this just underscores that point!

[emicen]

Whilst still down overall, you're up 3.6% in rate of return in the last month.

FTSE is really by far the worst depressed of all the global markets at the moment. I understand some of it, but it really feels like covid multiplied by brexit is just getting investors too carried away. Seem to recall seeing a fairly recent article interviewing Nick Train where he was saying global investors aversion to the FTSE was getting ridiculous.

[Badda]

Ari said:

You contributed and withdrew £21,855.00
Your investments returned you ?£1,415.80
You ended up with £20,439.20
Your rate of return is -10.89%

Meh.

Maybe I should have signed up with Forex Lifestyle instead!

I hope that's a small amount of your overall portfolio...

[daddy cool]

Ari said:

You contributed and withdrew £21,855.00
Your investments returned you ?£1,415.80
You ended up with £20,439.20
Your rate of return is -10.89%

Meh.

Maybe I should have signed up with Forex Lifestyle instead!

Oh dear... well hopefully it will pick up for you! But didnt you sell up a load when it all kicked off? This is only year 3 for me of having a S&S ISA, but when everything crashed in March/April i pretty much crossed my fingers and spaffed my 2020/2021 ISA allowance when the prices were lowest, and now theyve all risen to pre-covid levels, so the stuff i bought has done nicely...

[anonymous-user]

The FTSE 100 is currently 5772, exactly the same as it was on 6th March 1998

Does that mean if you invested back in 1998 your investment would be worth exactly the same value today?

[Ari]

Joey Deacon said:

The FTSE 100 is currently 5772, exactly the same as it was on 6th March 1998

Does that mean if you invested back in 1998 your investment would be worth exactly the same value today?

No because presumably it would have been earning dividends all of that time.

[bitchstewie]

Joey Deacon said:

The FTSE 100 is currently 5772, exactly the same as it was on 6th March 1998

Does that mean if you invested back in 1998 your investment would be worth exactly the same value today?

No because you'd have benefited from dividends but it gives some idea of what a turd the FTSE 100 is for growth.

[Ari]

Gotta go up from here though, right? Right..?

[anonymous-user]

Joey Deacon said:

The FTSE 100 is currently 5772, exactly the same as it was on 6th March 1998

Does that mean if you invested back in 1998 your investment would be worth exactly the same value today?

Yes if you were invested in a tracker.

[NickCQ]

soofsayer said:

Joey Deacon said:

The FTSE 100 is currently 5772, exactly the same as it was on 6th March 1998

Does that mean if you invested back in 1998 your investment would be worth exactly the same value today?

Yes if you were invested in a tracker.

No - FTSE 100 trackers track total return (i.e. including dividends) not just the index level, so if you were in the tracker you'd have got the dividends as well (either in cash or reinvested depending on whether you were in an income or accumulating product)

[anonymous-user]

NickCQ said:

No - FTSE 100 trackers track total return (i.e. including dividends) not just the index level, so if you were in the tracker you'd have got the dividends as well (either in cash or reinvested depending on whether you were in an income or accumulating product)

Yes you are correct, my bad, I was looking at it as income tracker unit value.

[leef44]

NickCQ said:

soofsayer said:

Joey Deacon said:

The FTSE 100 is currently 5772, exactly the same as it was on 6th March 1998

Does that mean if you invested back in 1998 your investment would be worth exactly the same value today?

Yes if you were invested in a tracker.

No - FTSE 100 trackers track total return (i.e. including dividends) not just the index level, so if you were in the tracker you'd have got the dividends as well (either in cash or reinvested depending on whether you were in an income or accumulating product)

Which would hopefully pay for all the fees if you had held it over that period, so net of fees it probably would still be the same value.

[NickCQ]

leef44 said:

Which would hopefully pay for all the fees if you had held it over that period, so net of fees it probably would still be the same value.

No - that’s an order of magnitude off. FTSE 100 dividend yield over the last 20 years has been (IIRC) in the range of 3-5% whereas you should be paying less than 0.5% annually in fees for a tracker.

[Mattt]

Depends if you held it through SJP or similar...

[Greshamst]

Mattt said:

Depends if you held it through SJP or similar...

[leef44]

NickCQ said:

leef44 said:

Which would hopefully pay for all the fees if you had held it over that period, so net of fees it probably would still be the same value.

No - that’s an order of magnitude off. FTSE 100 dividend yield over the last 20 years has been (IIRC) in the range of 3-5% whereas you should be paying less than 0.5% annually in fees for a tracker.

Indeed 0.5% is the market rate now. Between 1998 and 2012, those rates were much higher.