Or is one World or S&P500 ETF enough?
I have 4 ESG funds to create a globally diverse portfolio that is not heavily biased on the US.
S&P 500 is all US firms & most All-Country/World ETFs dominated by US stocks too.
That fine if you mainly want to invest in Google/Apple/Amazon but I for one want some of my investment in other countries…Funds that have all their money in emerging markets, not just a tiny %.
HSBC MSCI ‘World’ - 14.3% of it is invested in 5 companies…All based on the West coast of US
How’s that for diversification, not!
Just the iShares S&P 500 (CSP1) at present, however, I’m thinking about switching to Vanguard’s FTSE Developed World (VHVG) for a bit of diversification.
I currently have 10 different funds. I like the idea of being well diversified and as well as S&P have some global , a small percentage in FTSE, and a few more niche ones such as Artificial Intelligence.
I will have just 2 in my ISA.
MXWS at 88.8%
MXFP at 11.2
This gives a total world view for large and medium sized equities based on market cap. I will rebalance these annually.
These are synthetic and therefore don’t pay taxes on dividends and quite cheap at 0.19%>
Just waiting for invest Engine to release the 2nd one and I will be in business!
Only one; Vanguard FTSE Developed World VEVE distributing, as it’s not my ISA, and I want to keep CGT simple. I think this was the lowest cost one.
When I can open my ISA I’m thinking about Small companies (maybe UK if available) and gold.
The invest engine portfolio needs to work with my other investments…
I was looking at iShares Core MSCI World (IWDG). It’s MSCI developed world vs. Vanguard Developed World (VEVE) which is FTSE. But importantly its currency hedged to limit USD exposure
But just seen its super expensive 0.30%…that’s 3x Vanguard charges.
Not sure if Vanguard has a currency-hedged version of VEVE?
@Josh - Have they given any date for releasing MXFP yet? I haven’t see anything
Only that it will be ready in February.
@Josh - FYI. We’re looking again at MXFP to see if we can prioritise it & get you a date. I will try and get you an update in the next few days!
This is great thank you.
Transferring an ISA now and looking to shove the rest of my allowance in before April so be good to be able to use this ETF
Vanguard S&P 500. Currently 63K gain since July, was just slightly oiver 100k, but we had a dip recently. I am still very happy compared to the HL Funds, it has done very well.
Also just 15k in the iShares NASDAQ 100, just to have something a big more adventurous then the S&P 500
What is that as a % please?
13.55% gain at the moment, has been over 20% but inflation and omnicrom having an affect since just before christmas.
But I see this as a buying opportunity, I have just had a 5k savings bond mature, so putting in £500 per day for next 10 days.
I need to learn about CGT, as i will be probably taking 20k out of my GIA for ISA and another 20k to my SIPP. If I do that once a year, then it will reduce my CGT, from what I read.
Hi @Josh - Just an update on MXFP.
We successfully completed a test trade on Friday. We are now just waiting on one of our vendors. They help with our look-through data - that ETF alone has +1,000 underlying holdings.
We’ve asked the vendor for an update and they should come back to me this week.
Look forward to it! Assume those underlying holdings are the swap holdings right?
Ahh ok, I didn’t realise this ETF was synthetic.
(I only quickly checked the product factsheet this morning for the holdings numbers).
I’ll have to get a full update from our data vendor. We usually can’t pull through all the underlying holding when swaps are used.