Pension investments

[mmclo]

Aren't the SORPs based on annuities? Mine are anyway - 2.9%, I suppose I can work out ARF myself but for good financial education maybe they should show both with a simple explanation of them

 

[doranalex1]

The ones that I mentioned above are available via a PRSA. Royal London Ireland also have a similar MSCI World Index tracker fund.

Our fund range - Royal London IE

It's always good to understand your investments fully, as investing does mean your money is at risk. Here you can read more about our fund range.

www.royallondon.ie

Hi ClubMan. I've been looking at the Royal London Ireland funds and can get a PRSA set up for 0.60%AMC via www.execution-only.ie
I am looking at this fund: https://funds.royallondon.ie/factsheet?fundId=25007646&Market=IE
Is this the kind of thing you were talking about?

In your opinion is it worth spreading investment over 2 or 3 funds at the same risk level? Or does the fact that it's a world equity index fund already provide that diversification?

 

[Protocol]

I am looking at this fund: https://funds.royallondon.ie/factsheet?fundId=25007646&Market=IE

That fund holds shares in 1,394 companies around the world, so it is highly diversified.

 

[doranalex1]

That fund holds shares in 1,394 companies around the world, so it is highly diversified.

Thanks Protocol. Would you have an opinion on whether it better to go with World Index Fund like that Royal London one (AMC 0.60%), or to go with a couple of 5*5 funds from Zurich (AMC 0.75%)? Aside from the slight difference in AMC I'm not really sure how to choose between the two options.

 

[ClubMan]

I am looking at this fund: https://funds.royallondon.ie/factsheet?fundId=25007646&Market=IE
Is this the kind of thing you were talking about?

Yes. I have 100% of my RLI pension in that. My RLI PRSA is c. 80% of my total pension investments.

In your opinion is it worth spreading investment over 2 or 3 funds at the same risk level?

No.

Or does the fact that it's a world equity index fund already provide that diversification?

Yes.

Just my opinion of course.

 

[ClubMan]

or to go with a couple of 5*5 funds from Zurich

This was touched on at the start of the thread:

I was planning to go with LA Brokers (they're linked to Zurich) and just do an even split between 4 of the high-risk funds (level 5 and 6 risk ratings) and then leave it alone.

This is arguably unnecessary and doesn't improve diversification. You're 40 so can well afford to just stick it all in a low charges maybe passively managed high/all equity content index tracker and forget about it for 20+ years.