💸 InvestEngine - Welcome Bonus of up to £100 when you invest at least £100. Terms & conditions apply. When investing, your capital is at risk. investengine.pxf.io/y2OnZy This is an affiliate link, so I do earn a commission if you sign-up via it. This is at no extra cost to you and comes with a bonus, as oer the terms. Thank you.
Spdr acwi has a Lower ongoing fund charge than SSAC, but I'm not convinced when you take into account the bid offer spread. SSAC is a much larger etf, a lot more money is invested in ssac, so should have a much tighter spread. If you're are making say regular monthly investments into the etf then surely the bid offer spread will make a difference as opposed to just putting a lump sum in and leaving it to compound or putting lump sums in occasionaly
ACWI had it's fee cut back in August down to 0.12%, so it's now the cheapest global ETF from a TER perspective. As Fred points out though, it's not all about TER and spread is important too. From my experience the spread hasn't been too bad and it doesn't really matter if the spread is slightly worse if you're planning on holding for many years anyway.
@fredatlas4396 according to Hargreaves Lansdown, the indicative spread today was 0.11% for SSAC and 0.16% for ACWI. So yes it is greater, but this should get better as the fund gains more attention and also this small difference in spread doesn't matter if you're planning on holding for more than 1 year
@@TomsPersonalFinance I was torn between the two. Looks like you're right the difference today looks small. Apparently Warren Buffet said the psychological part of investing is the most important, you need to have a lot of patience and self discipline to be a good investor, don't need a high IQ . It's the behavioural biases, behavioural psychology, recency bias etc that's a killer to overcome. I have a sipp with Vanguard and pound cost averaging every month, I'm near to the £32k so leaving it there. But I have just set up an Isa with investengine and monthly investing. I was a bit scared because they haven't been around long. But I've seen they are regulated fca etc and appear to have gotten some awards from money week etc. I like the zero platform fee, no dealing charges and the ability to buy fractional shares of etfs & invest smaller amounts , plus loads of choice not that I really needed that much. I don't understand why Vanguard has so many funds within their lifestrategy and target date retirement funds now. Surely they could simplify those and cut the fund charges and most probably get better results. Vanguard USA has a lot lower fund and etf charges on many funds and etfs. US versions of lifestrategy and target date retirement funds have only 4 funds in each and significantly lower charges
@TomsPersonalFinance Good point Tom but the most important take away is you will hit the spread on the way in and out so twice the TER charge is every year and as a long term investor I would take the lower TER unless there is a large disparity in performance.
Interesting content Tom, apu.🧐 Personally, I would like to see you continue with the managed portion as it's charges are reasonable and it has performed quite well so far. That being said it's ultimately your portfolio, and your choice. Thank you for sharing this content with us.👍
Tom, I would personally look at swapping UC99 with QGRP if I were you. I'm not a fan of 'Low Carbon ESG', and is more growth focused so works better with your global quality factor ETFs.
Hi Tom I do have one question about your ISA approach, why no LISA element? As with that government contribution assuming no first home purchase yet it must be a first port of call. Not for myself as I am outside the age range but for younger investors who have yet to enter the property ladder. My take is thst as I have salary sacrifice with my company scheme it's a better use for me to avoid 40% tax.
Hey Anthony 😊 As I mentioned in my orher reply, I actually liquidated my LISA recently to but my first home. I may well start contributing to another in the new year for retirement. We'll see!
Merry crimbo Tom agree on Vguard they have let themselves down i moved a decent chunk there for the low charges and reputation and despite awful customer service during the transfer i kept it with them even though cheaper platforms have emerged with awider choice of products. Look at foot take aim shoot. Mynown Invest engine portfolio which kind of reflects my feeling on how exposed I want to be to the US & China my only real disappointment is IEFQ where i hoped the quality filter might calm and downside will review in a couple of months. I do like to see how the pros from Invest Eng perform.
Merry Christmas Anthony. I've heard so many people have a nightmare with Vanguard customer service and transfers, which you really wouldn't expect. Europe has been a bit unsteady this year so maybe IEFQ will be decent next year, but who knows. I think I noticed EGRG has also done pretty poorly
Hey. Yes, you can either sell it or another way is to go into "edit portfolio" and set the weighting to zero and allocate it to another ETF. If you then click the rebalance button, it will sell all your XDEM and buy the other ETFs in the portfolio to get to your set weightings.
💸 InvestEngine - Welcome Bonus of up to £100 when you invest at least £100. Terms & conditions apply. When investing, your capital is at risk.
investengine.pxf.io/y2OnZy
This is an affiliate link, so I do earn a commission if you sign-up via it. This is at no extra cost to you and comes with a bonus, as oer the terms. Thank you.
Very good one 🎉🎉
Happy new year 🎉
Thank you Eman 😊 Happy new year🎉
Great job on video 😊
Thanks Paul 😊
11:23 what make you go for Spdr Acwi instead of SSAC or VWRP ?
Spdr acwi has a Lower ongoing fund charge than SSAC, but I'm not convinced when you take into account the bid offer spread. SSAC is a much larger etf, a lot more money is invested in ssac, so should have a much tighter spread. If you're are making say regular monthly investments into the etf then surely the bid offer spread will make a difference as opposed to just putting a lump sum in and leaving it to compound or putting lump sums in occasionaly
ACWI had it's fee cut back in August down to 0.12%, so it's now the cheapest global ETF from a TER perspective.
As Fred points out though, it's not all about TER and spread is important too. From my experience the spread hasn't been too bad and it doesn't really matter if the spread is slightly worse if you're planning on holding for many years anyway.
@fredatlas4396 according to Hargreaves Lansdown, the indicative spread today was 0.11% for SSAC and 0.16% for ACWI. So yes it is greater, but this should get better as the fund gains more attention and also this small difference in spread doesn't matter if you're planning on holding for more than 1 year
@@TomsPersonalFinance I was torn between the two. Looks like you're right the difference today looks small. Apparently Warren Buffet said the psychological part of investing is the most important, you need to have a lot of patience and self discipline to be a good investor, don't need a high IQ . It's the behavioural biases, behavioural psychology, recency bias etc that's a killer to overcome. I have a sipp with Vanguard and pound cost averaging every month, I'm near to the £32k so leaving it there. But I have just set up an Isa with investengine and monthly investing. I was a bit scared because they haven't been around long. But I've seen they are regulated fca etc and appear to have gotten some awards from money week etc. I like the zero platform fee, no dealing charges and the ability to buy fractional shares of etfs & invest smaller amounts , plus loads of choice not that I really needed that much. I don't understand why Vanguard has so many funds within their lifestrategy and target date retirement funds now. Surely they could simplify those and cut the fund charges and most probably get better results. Vanguard USA has a lot lower fund and etf charges on many funds and etfs. US versions of lifestrategy and target date retirement funds have only 4 funds in each and significantly lower charges
@TomsPersonalFinance Good point Tom but the most important take away is you will hit the spread on the way in and out so twice the TER charge is every year and as a long term investor I would take the lower TER unless there is a large disparity in performance.
Interesting content Tom, apu.🧐 Personally, I would like to see you continue with the managed portion as it's charges are reasonable and it has performed quite well so far. That being said it's ultimately your portfolio, and your choice. Thank you for sharing this content with us.👍
Thanks Jonathon :) I'll have a think about what to do with the managed portfolio, but I do agree it is interesting to see and has performed well!
Thanks - great video. My vote would be for the life plans as this is new territory to discover… HNY!
Thanks Simon, I might switch out to one of the LifePlans later at some point this month 😀
Tom, I would personally look at swapping UC99 with QGRP if I were you. I'm not a fan of 'Low Carbon ESG', and is more growth focused so works better with your global quality factor ETFs.
Thanks, mate. That's definitely something to consider. I have liked the look of QGRP since it was launched.
When did the momentum etf get removed and why?
Few months ago I think and just to simplify the portfolio.
@ simplify in terms of there was overlap on the other ETF’s or because you are losing faith in this factor?
Hi Tom I do have one question about your ISA approach, why no LISA element? As with that government contribution assuming no first home purchase yet it must be a first port of call.
Not for myself as I am outside the age range but for younger investors who have yet to enter the property ladder.
My take is thst as I have salary sacrifice with my company scheme it's a better use for me to avoid 40% tax.
Hey Anthony 😊 As I mentioned in my orher reply, I actually liquidated my LISA recently to but my first home. I may well start contributing to another in the new year for retirement. We'll see!
Merry crimbo Tom agree on Vguard they have let themselves down i moved a decent chunk there for the low charges and reputation and despite awful customer service during the transfer i kept it with them even though cheaper platforms have emerged with awider choice of products.
Look at foot take aim shoot.
Mynown Invest engine portfolio which kind of reflects my feeling on how exposed I want to be to the US & China my only real disappointment is
IEFQ where i hoped the quality filter might calm and downside will review in a couple of months.
I do like to see how the pros from Invest Eng perform.
Merry Christmas Anthony. I've heard so many people have a nightmare with Vanguard customer service and transfers, which you really wouldn't expect. Europe has been a bit unsteady this year so maybe IEFQ will be decent next year, but who knows. I think I noticed EGRG has also done pretty poorly
No Santa rally this year, it is what it is
Bit of a shame, but tbf we have been spoilt with returns this year!
Hi Tom
I had XDEM in my portfolio but now want to get rid of it. Silly question - how do you remove it from InvestEngine? Can I simply sell it?
Hey. Yes, you can either sell it or another way is to go into "edit portfolio" and set the weighting to zero and allocate it to another ETF. If you then click the rebalance button, it will sell all your XDEM and buy the other ETFs in the portfolio to get to your set weightings.