Got a credit card? use our Credit Card & Finance Calculators
Thanks to Anonymous,bruncher,niord,gvonge,Shelford, for Donating to support the site
good alternative to vanguard lifestrategy 100
-
- Lemon Slice
- Posts: 736
- Joined: November 4th, 2016, 10:58 am
- Has thanked: 247 times
- Been thanked: 230 times
good alternative to vanguard lifestrategy 100
Can anyone recommend an global index tracking fund which includes UK and emerging markets?
Similar to Lifestrategy 100 but doesn't have to have excess weighting to UK or automatic rebalancing.
A fund rather than an ETF (I think VWRL would probably do the job but I'd like a fund)
Thanks
Similar to Lifestrategy 100 but doesn't have to have excess weighting to UK or automatic rebalancing.
A fund rather than an ETF (I think VWRL would probably do the job but I'd like a fund)
Thanks
-
- Lemon Half
- Posts: 6385
- Joined: November 4th, 2016, 11:35 am
- Has thanked: 1882 times
- Been thanked: 2026 times
-
- Lemon Slice
- Posts: 736
- Joined: November 4th, 2016, 10:58 am
- Has thanked: 247 times
- Been thanked: 230 times
Re: good alternative to vanguard lifestrategy 100
Don't know to what extent, but since the UK allocation is much higher than market cap (about 25% iirc) then I think it must rebalance at least that to maintain the allocation %. Not sure whether other geog sectors are also rebalanced (eg emerging markets). Not important for my question anyway!
-
- Lemon Half
- Posts: 6385
- Joined: November 4th, 2016, 11:35 am
- Has thanked: 1882 times
- Been thanked: 2026 times
Re: good alternative to vanguard lifestrategy 100
Yes, it was out of interest really as I've been looking at them recently. The equity/bond re-balancing is quite clear (obviously doesn't apply to the 100/0 option..)
-
- Lemon Slice
- Posts: 736
- Joined: November 4th, 2016, 10:58 am
- Has thanked: 247 times
- Been thanked: 230 times
Re: good alternative to vanguard lifestrategy 100
I remember reading a good document from vanguard explaining the lifestrategy funds, but I can’t find it now on their website. From what I can find, it does seem my understanding is correct, that they keep to fixed proportions of geographical allocation, independent of capitalisation - it’s about 25% UK, 8% EM, and 43% US - so that would imply rebalancing. They don’t guarantee to stick to the same formula forever though, and a couple years back they dialled back the UK allocation quite considerably.
I like the fire and forget aspect of them, but I have a CGT issue and I’m looking for something similar I can swap into when I sell the LS. I also sometimes worry that my investments are about 85% vanguard products....
I like the fire and forget aspect of them, but I have a CGT issue and I’m looking for something similar I can swap into when I sell the LS. I also sometimes worry that my investments are about 85% vanguard products....
-
- Lemon Half
- Posts: 6385
- Joined: November 4th, 2016, 11:35 am
- Has thanked: 1882 times
- Been thanked: 2026 times
Re: good alternative to vanguard lifestrategy 100
Perhaps they'll find a loophole allowing them to return your investments at 'par' ?!
-
- Lemon Quarter
- Posts: 4835
- Joined: November 14th, 2016, 7:33 pm
- Has thanked: 182 times
- Been thanked: 1397 times
Re: good alternative to vanguard lifestrategy 100
The Lifestrategy portfolios have varied over time. They appear to be akin to managed funds. They keep the declared percentage in bonds, but beyond that you have to trust the judgement of the Van Guards. Monevator gives a breakdown of the cheapest trackers:
http://monevator.com/low-cost-index-trackers/
The cheapest global tracker is listed as Fidelity Index World Fund P:
https://www.fidelity.co.uk/factsheets/F ... lsrc=aw.ds
This tracks the MSCI world index:
https://www.msci.com/documents/10199/14 ... fcb5bd6523
This index underweights emerging markets, but you can fix that cheaply by adding about 10% VFEM, for example.
http://monevator.com/low-cost-index-trackers/
The cheapest global tracker is listed as Fidelity Index World Fund P:
https://www.fidelity.co.uk/factsheets/F ... lsrc=aw.ds
This tracks the MSCI world index:
https://www.msci.com/documents/10199/14 ... fcb5bd6523
This index underweights emerging markets, but you can fix that cheaply by adding about 10% VFEM, for example.
-
- Lemon Slice
- Posts: 446
- Joined: November 4th, 2016, 2:15 am
- Has thanked: 32 times
- Been thanked: 112 times
Who is online
Users browsing this forum: No registered users and 7 guests