Gadge Global Income Portfolio 2016 Selection

[kempiejon]

Gadge,

An interesting portfolio you have there. I've been thinking of my global reach and have looked at the world high yield and world ETF VWRL and VWHY but the 0.4% ish costs have made me reconsider as one can get indexs for more like 0.1%. As you're using chargeable collectives do you know what your annual running costs are? Not the purchase costs but underlying fund fees? As it's an income portfolio what your historic, running or forecast yield, in fact can you even get forecast yield for ITs/ETFs etc?
I hold both City and Murray international, I also have BRCI but that 8% yield is set to reduce to around 5% for the future with a dividend cut already initiated. SO let's see what Christmas brings and probably more importantly what the next 10 Christmases bring.

[kempiejon]

Gadge,

I have been through those linked posts but I appear to have missed where you or any of the posters estimate the yield or on going charges on the selection. International diversification for income is a very interesting prospect, something I have been looking at recently, Harisledon1958's post on the GIP thread and elsewhere is interesting but doesn't have the income bent you and I are interested in.
http://boards.fool.co.uk/dspp-vwrl-is-a ... 07383.aspx
My HYP at it's current weightings offers 4.5% so a notional £100k would pay me £4500. I might be happy to sacrifice some yield for wider international spread, vanguard offer a couple of worldwide ETFs VWRL a market cap weighted fund offers 2% yield and charges 0.25%, they offer a yield biased ETF VHYL which yields 3.2% and charges 0.29% but at £2000 or £3200 is a long way from the prospective £4500.
What would GIP offer me?
ta
kj

[kempiejon]

See post 6713

It was 4.7% yield at that time.

Nice and thank you for finding that for me, and the note about charges.

[pjdon]

20.00% Blue Chip UK Income Trusts City of London (CTY) 4.14% 0.43% 20,000 828.00 86.00
10.00% Value UK Trust Law Debenture (LWDB) 3.26% 0.45% 10,000 326.00 45.00

[pjdon]

Hello Gadge

Thank you for this. I've been wondering how to create a well diversified portfolio to provide income when I retire. This one looks like it covers bonds, shares, real assets & property at home and abroad. Like kempiejon, I was interested to see the yields and charges so I looked them up and put them on a spreadsheet which you can see by viewing the link (I couldn't work out how else to show them on here)

http://scentworkuk.com/wp-content/uploads/2016/11/Global-Income-Portfolio.gif

Current yield works out at 4.554% and charges are over 1%. I do have concerns about what seem to be high charges for some of them and will be interested to see your and other's views.

[todthedog]

Hello Gadge
Thanks for that really interesting selection.
I'm in the process of a major rationisation from pure growth to income, so enjoyed reading your reasons.
I've been looking at some USA based etf's . Purely for currency variation and attractive yield.

[MrDoppleGanger]

Hello Gadge

Thank you for this. I've been wondering how to create a well diversified portfolio to provide income when I retire. This one looks like it covers bonds, shares, real assets & property at home and abroad. Like kempiejon, I was interested to see the yields and charges so I looked them up and put them on a spreadsheet which you can see by viewing the link (I couldn't work out how else to show them on here)

http://scentworkuk.com/wp-content/uploads/2016/11/Global-Income-Portfolio.gif

Current yield works out at 4.554% and charges are over 1%. I do have concerns about what seem to be high charges for some of them and will be interested to see your and other's views.

Hello pjdon - and welcome!

Thanks for posting the spreadsheet link - that brings a level of clarity to fees that I'd never bothered to consider before.

Thanks!

[HYPMonkey]

Hello Gadge

Thank you for this. I've been wondering how to create a well diversified portfolio to provide income when I retire. This one looks like it covers bonds, shares, real assets & property at home and abroad. Like kempiejon, I was interested to see the yields and charges so I looked them up and put them on a spreadsheet which you can see by viewing the link (I couldn't work out how else to show them on here)

http://scentworkuk.com/wp-content/uploads/2016/11/Global-Income-Portfolio.gif

Current yield works out at 4.554% and charges are over 1%. I do have concerns about what seem to be high charges for some of them and will be interested to see your and other's views.

Hello pjdon - and welcome!

Thanks for posting the spreadsheet link - that brings a level of clarity to fees that I'd never bothered to consider before.

Thanks!

So how do the charges work with ITs?

Do you deduct the charges from the yield or is the yield net of charges?

[GrahamPlatt]

AIUI the yield is net of charges.

[todthedog]

Hello Gadge
Like yourself I hold most of your portfolio.
Your benchmarks I see Lifestategy 80/20 as a good test any reason for choosing Personal Assets Investment Trust ?

[AndrewSmith259]

How's the income portfolio getting on Gadge?

[gbjbaanb]

Well, nobody else wants to update it so...

I created a FT portfolio to track this when it came out (I also did a Google finance one, but it a) lost 2 lines of stock, b) refuses to accept HINT as a stock even though it is listed, and replaces it with HINC instead).

The results a week or so after the 27th (and thus rounded off a little) are:



Total:
unrealised gain 13.9%
realised gain: 19.61%

The only one to drop in value is CYN, but the dividends (of £604) made up for its share price performance.

So overall not bad. The £100,000 initial investment's current valuation is £119,900 with dividends reinvested.

Its outperformed the FTSE all-share index which rose 9.34% over the period, and the FTSE Global 100 which rose 13.46%. Vanguard 80/20 seems to have risen from 1.50 to 1.70 in this time - or 13.3%

[gbjbaanb]

Hi

Actually it was tracked by itsallaguess and progress reported on here last Dec by me. Take a look at threads further down in this board to find them.

I was just taking a look and your figures are about right. Divs to Dec 2016 were spent and new divs to date this year are about 3.8k. These will be allocated in the annual review which i hope to publish here.

I have also been benchmarking Vanguard 80/20 Ls and we are ahead but they are strong competition indeed although income much better with GGIP.

Gadge

I did see the December ones, bit that was ages ago. I was expecting a yearly review, bit if you're reviewing it Christmas to Christmas, then that's fine too.

[richfool]

Well, nobody else wants to update it so...

I created a FT portfolio to track this when it came out (I also did a Google finance one, but it a) lost 2 lines of stock, b) refuses to accept HINT as a stock even though it is listed, and replaces it with HINC instead).

The results a week or so after the 27th (and thus rounded off a little) are:



Total:
unrealised gain 13.9%
realised gain: 19.61%

The only one to drop in value is CYN, but the dividends (of £604) made up for its share price performance.

So overall not bad. The £100,000 initial investment's current valuation is £119,900 with dividends reinvested.

Its outperformed the FTSE all-share index which rose 9.34% over the period, and the FTSE Global 100 which rose 13.46%. Vanguard 80/20 seems to have risen from 1.50 to 1.70 in this time - or 13.3%

Gadge, Have you considered reducing the portfolio's exposure to bonds as the prospect of interest rate rises gets ever closer?

Regards

Richfool