For those that invest....

**nomadd** · 28 April 2013, 13:28

Originally posted by SimonMac View Post

In a SIPP how many shares do you down? I think I might have gone too far in diversification with 14 different shares, with my eye on another 6, mainly all blue chips with a good history of dividends as i am looking for long term income return rather than growth in value, but i have a couple which are punts

I go for funds instead. Four low cost trackers of the major indices. One Europe (ex. UK), one UK only, one far-East and one US.

That just about covers everything.

**KentPhilip** · 28 April 2013, 13:55

Yes get a low cost tracker, and sleep at night.
Such as:

VANGUARD FUNDS PLC VANGUARD FTS ETF- Yahoo! UK & Ireland Finance

It is a whole-world stock market tracker, with total fees of 0.3% per year. Job done.

**SimonMac** · 28 April 2013, 16:18

Half the fun is researching the shares, looking at the long term, what's the point of having a SIPP if you are just going to let someone else invest for you?

**DaveB** · 28 April 2013, 16:34

Originally posted by SimonMac View Post

Half the fun is researching the shares, looking at the long term, what's the point of having a SIPP if you are just going to let someone else invest for you?

Because the trackers have a track record (no pun intended) of consistently out performing managed funds year on year. If you want to play the market thats fine, but if you are looking for a serious long term investment trackers are the best option. You might do better on your own, you probably won't.

**nomadd** · 28 April 2013, 17:30

Originally posted by SimonMac View Post

Half the fun is researching the shares, looking at the long term, what's the point of having a SIPP if you are just going to let someone else invest for you?

Because, in mature markets, even the very best Fund Managers in the world can't beat trackers. From Moneywise:

Experts largely agree that passive funds work best in the large developed markets, as it is difficult for active managers to add value. "The best examples are large UK and US equities," says Patrick Connolly, spokesperson for AWD Chase de Vere.
"Here, information is so freely available that it is very difficult for active managers to spot and exploit genuine investment opportunities."

Davies adds: "There are so many final and interim results and trading statements that there's a level playing field among investors.
If Tesco takes some analysts around its stores and gives them a briefing, they will still press release it straight after so everyone has that information and no one has an advantage."

...as Peter Robertson, head of retail at Vanguard, points out: "Consistent long-term outperformance with an active fund is rare."

**Troll** · 28 April 2013, 18:33

I have 9 active investments and one dead duck - a legacy (and memory) of the dot com boom - but am looking for more diversification... if I show you mine will you show me yours?

**SimonMac** · 28 April 2013, 18:43

Originally posted by Troll View Post

I have 9 active investments and one dead duck - a legacy (and memory) of the dot com boom - but am looking for more diversification... if I show you mine will you show me yours?

https://dl.dropboxusercontent.com/u/...o_Analysis.pdf

Still too heavily exposed to the finance sector, but I just can't see Lloyds not returning to at least £2 a share within the next 5-10 years which considering I bought them for a average of 30p a share, sold a fair number of Lloyds and Aviva in the past to aid my diversification, but am now looking to add First Group, BP, ARM, Next, Persimmon and British Land to finally cover myself and then just slowly bring up the minor share holdings with my regular monthly income to dilute the Lloyds without having to sell any

**Troll** · 28 April 2013, 19:07

BAE
BG
BP
GKN
LGEN
NG
RDSA
RR
SL

Been hammered on the BG shares this year - but still think OK long term
GSK has had a good run up - not sure there is further to go
BAT seems to be in everyone's portfolio shame I didn't add earlier
Dodged a bullet as was going to pile into RBS a few years ago as a banking stock - but I am looking into banking to widen the portfolio

**MarillionFan** · 28 April 2013, 19:08

Originally posted by Troll View Post

BAE
BG
BP
GKN
LGEN
NG
RDSA
RR
SL

Been hammered on the BG shares this year - but still think OK long term
GSK has had a good run up - not sure there is further to go
BAT seems to be in everyone's portfolio shame I didn't add earlier
Dodged a bullet as was going to pile into RBS a few years ago as a banking stock - but I am looking into banking to widen the portfolio

(I've actually worked at Lloyds, BB, Aviva & Vodafone - which may explain why not in the portfolio

)

SL has been fantastic this year and BP has been strong as well. Pity I sold before the rise.

For those that invest....