Reply to: Best Vanguard Pension funds

[sammy2020]

Thanks for helpful comments. I will study all the funds mentioned over the weekend and then decide.

[AtW]

Being loaded helps and following the scootie counterfactual strategy helps with that. For example, you could turn up at a party and crash yer AMG into their house, burn all their sofas and let your squirrels eat all their food and still have change left after repairs from the wodge you brought along.

Now that's a proper party, innit?

[jamesbrown]

Jesus, you must be fun at parties!

Being loaded helps and following the scootie counterfactual strategy helps with that. For example, you could turn up at a party and crash yer AMG into their house, burn all their sofas and let your squirrels eat all their food and still have change left after repairs from the wodge you brought along.

[_V_]

Jesus, you must be fun at parties!

Surprisingly, I am not.

[AtW]

I will keep it simple.

Years ago the rule on equity to bonds ratio was 100 - your age. See https://www.investopedia.com/article...e-outdated.asp

However, with all the money printing etc, this is quite outdated.

My gut feel is a 70 / 30 fund would be better, a little more risky, but with more possible reward.

Therefore buy the simple LifeStrategy funds, 50% of

https://www.vanguardinvestor.co.uk/i...fund_fund_link

and 50% into

https://www.vanguardinvestor.co.uk/i...fund_fund_link

To give a 70 / 30 split.

Jesus, you must be fun at parties!

[_V_]

Our resident investment expert scooty is missing in action.
He would have given some great tips.

There's good money investing in Welsh Ostrich farms. I wonder if ScooterScot managed to catch that one on his charts.

https://www.independent.co.uk/news/u...am-281737.html

Making your fortune by investing in an ostrich farm in South Wales always seemed an unlikely proposition. But money poured in from more than 100 investors, lured by a glossy brochure and the promise of profits of 70 per cent a year.

What a bunch of idiots! Thankfully I realised a joke canine meme crypto was the real deal.

[jamesbrown]

Our resident investment expert scooty is missing in action.
He would have given some great tips.

Oh, I always look to scootie for the contrarian opinion. Invert it, and it's infallible.

[Andy2]

Our resident investment expert scooty is missing in action.
He would have given some great tips.

[Whorty]

Hi,
I am planning to invest £40k in vanguard pension funds. Can you please give some suggestions as what are the best funds to invest. I am 46 and not looking to take out money for at least 11 years (mandatory 57 years). Don't mind taking bit of risk but looking for good returns and investment in diversified sectors/markets. Links to compare would also help.

You want good returns for low risk? I think you may be in for a bit of a shock.

If you want pensions advice, your best best is to go with a qualified independent pensions adviser, not a bunch of (mostly) IT contractors. Ask 10 people on here for an opinion, and you'll get 11 opinions back!

Good luck.

[jamesbrown]

Out of the three pension funds I "invested" two ended up with zero funds in 2002 and the third retuned half what I invested. However, all property I bought has exceeded expectations. Never trust anyone with your hard earned money.

Wow, mental note, don't ask Paddy for investment advice. Notwithstanding a few shockers like Woodford and a few blips along the way, stocks have been on a tear since 2008, so you couldn't really have failed to make massive gains unless you were very, very poorly diversified or are the sort of person that "invested" in timeshares in the 80s/90s.

[mogga71]

Out of the three pension funds I "invested" two ended up with zero funds in 2002 and the third retuned half what I invested. However, all property I bought has exceeded expectations. Never trust anyone with your hard earned money.

On the other hand I am up nearly 500% on my pension funds whilst my property may have gone up about 20% in 10 years if I am lucky. Different situations for each of us.

IMHO you ain't going to earn much in property going forwards and the sheer hassle of buy to rent is not worth it anymore. You would be better off investing in the cloud giants ... Amazon and Microsoft. Basically in 10 years all software will be run in the cloud. I am expecting a big stock market correction in the next 2 years and even then I would wager that in 10 years time Amazon will still be worth a lot more than it is now and more than the return you will get from property.

As a matter of interest may I ask what funds you invested in because you were pretty damn unlucky there.

[_V_]

Out of the three pension funds I "invested" two ended up with zero funds in 2002 and the third retuned half what I invested. However, all property I bought has exceeded expectations. Never trust anyone with your hard earned money.

That was a long time ago. Sounds like you didn't invest in simple global diversified and low cost funds or ETFs.

Most people have huge financial exposure to UK property through their own home and their BTL portfolios.

[Paddy]

Hi,
I am planning to invest £40k in vanguard pension funds. Can you please give some suggestions as what are the best funds to invest. I am 46 and not looking to take out money for at least 11 years (mandatory 57 years). Don't mind taking bit of risk but looking for good returns and investment in diversified sectors/markets. Links to compare would also help.

Out of the three pension funds I "invested" two ended up with zero funds in 2002 and the third retuned half what I invested. However, all property I bought has exceeded expectations. Never trust anyone with your hard earned money.

[rambaugh]

For maximum share market diversification I'd go with a global ETF tracker fund such as VWRL/VWRP.

https://www.vanguardinvestor.co.uk/i...setf_fund_link

If you prefer less volatiliy (less risk) go with Lifestrategy fund. I'm looking to invest in the Lifestrategy 60% Equity.

https://www.vanguardinvestor.co.uk/i...fund_fund_link

[GJABS]

I use Vanguard's FTSE100 ETF, ticker: VUKE

It tracks the FTSE100, really simple. The principle advantage is that because it is so simple, its annual costs are very low - 0.09% per year. For long term investments keeping annual costs low are what count (in addition to investment performance) because the effect on the portfolio of the costs is compounded, the return being x (0.9991)^y where y is the number of years.

https://www.vanguardinvestor.co.uk/i.../cost-minimums