This is an interesting thread guys. Quick question I'm hoping someone could help with. Hopefully this isn't too off topic.In the past I've had investments in a couple of index trackers - FTSE 100, FTSE small caps. Both did ok but I cashed them out to reduce the size of the new mortgage when we moved house. I'm now ready to invest again.Part of me wants to get properly involved with a greater range of investments but being honest with myself I really don't have the time to do proper research, so I'm more inclined to just buy in to some index trackers or some very well diversified funds than any specific stocks, to mitigate the risk of making a bad choice. I've got a decent amount to invest and a long time horizon. The problem is, I would like to avoid investing in specific sectors. Is there a way to do this? Eg, a FTSE tracker that excludes aerospace and defence, or an international tracker that excludes oil and gas? I'm aware of the various "sustainable" investments but looking for something more specific. I'm not sure if something like this exists?Thanks
And an intro to Sequence Risk here: https://www.investopedia.com/terms/s/sequence-risk.asp
The is the "investor's" thread, and Bitcoin is not an investment, it's a gamble.
Quote from: Sidehaas on February 23, 2021, 09:52:00 pmPart of me wants to get properly involved with a greater range of investments but being honest with myself I really don't have the time to do proper research, so I'm more inclined to just buy in to some index trackers or some very well diversified funds than any specific stocks, to mitigate the risk of making a bad choice. I've got a decent amount to invest and a long time horizon. The problem is, I would like to avoid investing in specific sectors. Is there a way to do this? Eg, a FTSE tracker that excludes aerospace and defence, or an international tracker that excludes oil and gas? I'm aware of the various "sustainable" investments but looking for something more specific. I'm not sure if something like this exists?ThanksWould ETFs be appropriate, there seems to be some for every possible sector?Near the bottom of the page under 'ETFs by theme' there's a 'socially responsible' option which might have what you're looking for.https://www.justetf.com/uk/etf-lists.html
Part of me wants to get properly involved with a greater range of investments but being honest with myself I really don't have the time to do proper research, so I'm more inclined to just buy in to some index trackers or some very well diversified funds than any specific stocks, to mitigate the risk of making a bad choice. I've got a decent amount to invest and a long time horizon. The problem is, I would like to avoid investing in specific sectors. Is there a way to do this? Eg, a FTSE tracker that excludes aerospace and defence, or an international tracker that excludes oil and gas? I'm aware of the various "sustainable" investments but looking for something more specific. I'm not sure if something like this exists?Thanks
Quote from: petejh on February 24, 2021, 10:23:21 amAnd an intro to Sequence Risk here: https://www.investopedia.com/terms/s/sequence-risk.aspSo the rules of Finance Club are:- links to finance theory - acceptable.- discussing validity of finance theory - unacceptable. Feels a bit like the Catholic Church in the 14th century.
I don't know much about ETFs and even less about trackers. But just to say that your long time horizon could be key as it seems we're at or near the end of this current bull market, so any investment now is more likely to underperform over the next 6-24 months than your previous investment during the last 10 years of bullish sentiment. It might be better to drip feed in monthly amounts as the market is falling, to average out your cost.
Quote from: Bradders on February 23, 2021, 04:51:38 pmDiversify, diversify, diversify!! 60% in one fund is a lot, in my personal view. 15-20 funds as a maximum with no more than 30% in any one is a more typical example of a well diversified portfolio.Since dumping Wynnstay WYN yesterday (mentioned earlier in the thread) I have probably 60% in one illiquid AIM listed company
Diversify, diversify, diversify!! 60% in one fund is a lot, in my personal view. 15-20 funds as a maximum with no more than 30% in any one is a more typical example of a well diversified portfolio.
Personally, I'm more interested in all of this as a means to an end, and so I would quite like crypto to carry on as part of the discussion (as I assume some others would too)...
There was a passage early on in one of Michael Lewis's books (I think it was Liar's Poker) in which he, as a bond trader, casually dismissed the entire practice of share trading as unknowable gambling,
Thanks Pete, and Chris and SDM for the links, which are really useful. On your comments about the end of the bull market - are you talking globally here? To a novice it doesn't really feel like UK or EU shares are at the end of a bull run as they still haven't recovered to early 2020 levels in most cases. I suppose if US stocks crashed they would/could take everything with them..?
Quote from: Yossarian on February 24, 2021, 11:57:51 amThere was a passage early on in one of Michael Lewis's books (I think it was Liar's Poker) in which he, as a bond trader, casually dismissed the entire practice of share trading as unknowable gambling, I came across some piece recently, forget where, where they'd modelled markets based on rationality of buying and selling decisions. Turned out a functioning market still emerged even when all decisions were entirely random.
AMTE Power are looking to begin listing on AIM next month. They are one of the few commercial battery manufacturers in the UK at the moment. There's been various reports linking them to Britishvolt (the company behind the proposed UK 'gigaplant' that has kept popping up in the news in various locations), but nothing concrete. They currently have there own relatively small scale (by global standards) plant in Thurso. Something to at least keep an eye on.
I'll be interested to see if the solid state batteries bear fruit. I only have a passing interest, but it feels like one of those technologies that's perpetually 2-3 years from a commercial reality. When I was working at Dyson around 2014-15 they spent some big bucks buying a promising looking solid state battery firm which (as far as Im aware) has yet to produce anything useful.
Quote from: remus on February 24, 2021, 03:48:18 pmI'll be interested to see if the solid state batteries bear fruit. I only have a passing interest, but it feels like one of those technologies that's perpetually 2-3 years from a commercial reality. When I was working at Dyson around 2014-15 they spent some big bucks buying a promising looking solid state battery firm which (as far as Im aware) has yet to produce anything useful.Quantumscape are one of the only companies to put out real data (which, of the data I've seen is very impressive), and it certainly seems as though they have a very usable electrolyte material - I went and purchased a bunch today at their current price.
Was just looking at this myself. My reading was that the recent gains the £ has made are overblown and not based on any fundamental, therefore likely to correct. Did correct a fair bit today.More than happy to be corrected by those who know a bit more about what they're talking about!