Stock market tracker funds

rubberduck · 2 Jul 2021 at 17:12

Many thanks for the replies so far and the background reading, much appreciated.

This may seem like a slightly strange question, but is there a fund/product that I can invest in that is tied to the economic growth of China?

DireEmblem · 2 Jul 2021 at 17:21

dLockers said:
Where are you buying VWRP with no fees? It is an ETF which I was under the impression always had a transaction fee. I'm not talking about the underlying fund fee just to be clear

I have a 212 account, and no fees on trading exchange traded securities, and no platform fee. It is closed to new users at the moment.
It is also available on FreeTrade.

There are pro's and cons with every broker/platform. These two make money from lending out your stocks behind the scenes, which are protected by collateral. FreeTrade also has a paywall to access more stocks as well.

Lartyconshayo · 2 Jul 2021 at 18:22

dLockers said:
Isn't there a £10 buy fee for this?

Edit: Actually do you mean VAFTI?

I was looking at VWRP but that was the one with the £10 charge. I guess because it is a different class?

https://www.vanguardinvestor.co.uk/...ityglobal_ftseglobalallcapindexfund_fund_link

There's no fee for the index fund just the ongoing charge of 0.23% This is the accumulation not ETF version of the fund. I just DCA in every month in my ISA which I just hold on Vanguard

dowie · 2 Jul 2021 at 22:56

rubberduck said:
This may seem like a slightly strange question, but is there a fund/product that I can invest in that is tied to the economic growth of China?

Yes, there are funds, trusts and ETFs both focused specifically on China and broader emerging market ones that will have exposure to China.

Uther said:
Tbh thread that seems to be more for short term trading.

Yup, in fact if you go to the very start of the thread you'll see it was started by a guy who quit his job to pursue trading full time. Later on it started getting a bit of chat about longer-term investments etc.. too but it does seem like a good idea to separate the topics.

NotAGolf · 3 Jul 2021 at 07:57

I've got a couple of vanguard lifestrategy trackers with Hargreaves and landsdown (100% equities for me, 80% for the kids) in a stocks and shares isa.

Their fees are a bit higher than others (e.g. Vanguard's own platform), but I like H&L's website and they also have way more funds if you want to invest in other funds that other platforms don't have (i.e Vanguard only offer Vanguard products)

dlockers · 3 Jul 2021 at 08:27

NotAGolf said:
I've got a couple of vanguard lifestrategy trackers with Hargreaves and landsdown (100% equities for me, 80% for the kids) in a stocks and shares isa.

Their fees are a bit higher than others (e.g. Vanguard's own platform), but I like H&L's website and they also have way more funds if you want to invest in other funds that other platforms don't have (i.e Vanguard only offer Vanguard products)

If they have junior ISAs I switched my daughter to fidelity as there are no fees other than the underlying fund.

Psycho Sonny · 3 Jul 2021 at 08:58

NotAGolf said:
I've got a couple of vanguard lifestrategy trackers with Hargreaves and landsdown (100% equities for me, 80% for the kids) in a stocks and shares isa.

Their fees are a bit higher than others (e.g. Vanguard's own platform), but I like H&L's website and they also have way more funds if you want to invest in other funds that other platforms don't have (i.e Vanguard only offer Vanguard products)

That seems wrong.

The longer time you have the more should be in equities.

Kids therefore have their whole lives ahead of them unless it's to pay for uni.

Usually it goes like 100% equities. Then as you near the cash in date. You start lowering it to 80%, then 60% and so on until the last couple of years it's 100% bonds. Maybe 2-3 years between each switch.

The longer the cash will be locked away for the better it is to have 100% equities so for kids I'd say it should be 100% unless they are older and it's for uni.

My personal suggestion for trackers is S&P500. If it's good enough for Warren Buffet then people who don't know what they are doing should just be copying his advice. 10% bonds 90% s&p 500 and with vanguard. They have the lowest fees iirc.

DanTheMan · 3 Jul 2021 at 09:19

I've had some very good returns with the Legal & General Global Equity Index Fund over the past few years. Its got a decent spread of risk and is cheap to invest.

https://www.google.com/url?sa=t&sou...Qjjh6BAgLEAE&usg=AOvVaw0VGkqFp-pRruIFckHnpwZ7

I invest through Hargreaves Lansdown as the initial fee is 0% and an ongoing charge of 0.08%, so really quite low.

777GE90 · 3 Jul 2021 at 15:33

Sign up to a free stock trading platform (there are a couple I know of in the UK) and then invest in whatever you want. Personally, I think the S&P 500 is a solid one. NASDAQ100 is good too but slightly more unstable.

Kreeeee · 3 Jul 2021 at 15:49

Tefal · 3 Jul 2021 at 16:32

dLockers said:
Why ETFs for long-term holding? I don't get it. There are mutual funds with the same index tracking ability that are transaction-fee free?

Depends where you're buying them doesn't it?

There's no transaction fee when buying them on t212.

Etfs also tend to have lower on going charges than fubds

Jimbo Mahoney · 3 Jul 2021 at 17:08

https://monevator.com/low-cost-index-trackers/

My favourites are:

Global Equity:

HSBC FTSE All-World Index Fund C (GB00BMJJJF91) OCF 0.13%

Emerging Markets:

iShares Emerging Markets Equity Index Fund (GB00B84DY642) OCF 0.18%

I personally split my funds 2/3 global and 1/3 emerging to achieve an approx. global GDP-weighted fund.

dlockers · 3 Jul 2021 at 17:12

Tefal said:
Depends where you're buying them doesn't it?

There's no transaction fee when buying them on t212.

Etfs also tend to have lower on going charges than fubds

I'm not trusting my retirement pot to a fly by night app head quartered in the Ukraine who uses my data to manipulate the market

That's if you even 'own' the shares lol.

Jimbo Mahoney · 3 Jul 2021 at 17:13

My liquid portfolio is invested like this:

50% Equities (split as per previous post).
20% Gold
5% Silver
20% Crypto (18% BTC, 2% ETH, a few altcoins)
5% Cash

If I had held that portfolio and rebalanced monthly since Jan 2018, it sits here in a risk/return plot of all possible portfolios:

Yellow = best risk/return portfolios
Blue = worst risk/return
Grey circle = all portfolios that do not contain any crypto.

Best non-crypto portfolio is/was 40% Global Stocks, 20% Silver, 40% Gold.

I'm ignoring bonds because I don't like them in an environment of negative interest rates, but they would reduce portfolio volatility.

Tefal · 3 Jul 2021 at 17:38

dLockers said:
I'm not trusting my retirement pot to a fly by night app head quartered in the Ukraine who uses my data to manipulate the market

That's if you even 'own' the shares lol.

No interactive brokers hold the shares for you completely separate from t212.

They do it for many many companies.

But the arrangement is the same in most fee free brokerages.

Cadder · 3 Jul 2021 at 18:11

Following this thread with interest. Thanks OP

dlockers · 3 Jul 2021 at 19:38

Tefal said:
No interactive brokers hold the shares for you completely separate from t212.

They do it for many many companies.

But the arrangement is the same in most fee free brokerages.

Definitely has its place for play-money but I wouldn't be using it for long term investments. And I wouldn't be using ETFs for long-term investments as I don't need that speed.

DeliciousStorage · 3 Jul 2021 at 19:52

NotAGolf said:
I've got a couple of vanguard lifestrategy trackers with Hargreaves and landsdown (100% equities for me, 80% for the kids) in a stocks and shares isa.

Their fees are a bit higher than others (e.g. Vanguard's own platform), but I like H&L's website and they also have way more funds if you want to invest in other funds that other platforms don't have (i.e Vanguard only offer Vanguard products)

Do you plan to invest in the other funds any time soon? Seems a bit silly to be paying extra unnecessary fees because you like the look of the website more.