Pension fund performance - do you monitor yours, how is it doing, do you actively change it?

[OldKitMan]

Is there really much difference between Vanguard FTSE Global All Cap and Vanguard FTSE All-World (VWRP)
The OH has transferred her Pension from her workplace to Vanguard and wants a simple leave it alone setup.
She had random mixture of things in her workplace but a certain percentage was ex-uk world / uk and emerging so the above seems better with a better more realistic weighting and less UK bias.

only thing potentially is to minimise fees, some of the vanguard funds are around .22% but one like VHVG is around .12% so you can minimise on fees if you went something like 90% VHVG and 10% VFEG to get the same sort of portfolio as the two you mention. I used to have my money in 'FTSE Global All Cap Index Fund Accumulation' but switched to the other two I mentioned to reduce fees.

NFA

 

[ddoubleep]

only thing potentially is to minimise fees, some of the vanguard funds are around .22% but one like VHVG is around .12% so you can minimise on fees if you went something like 90% VHVG and 10% VFEG to get the same sort of portfolio as the two you mention. I used to have my money in 'FTSE Global All Cap Index Fund Accumulation' but switched to the other two I mentioned to reduce fees.

NFA

I went 100% VHVG for my own funds earlier this year but that was my risk and thought process.

The current fund is the following amongst others bits like property and gold funds. Want to simplify bits as many years away from retirement.

RLP/BlackRock Aquila Global Blend Pension Fund, GB00B3YL0432:GBP summary - FT.com

markets.ft.com

Company	1 year change	Portfolio weight
Blackrock ACS World ex UK Equity Tracker Fund X1 GBP Acc GB00BYV1TY67:GBP	+24.65%	60.85%
Blackrock ACS UK Equity Tracker Fund X1 GBP Acc GB00BYX7SS90:GBP	+11.68%	28.95%
Royal London Emerging Markets ESG Leaders Equity Tracker Fund Class R Accumulation GB00BZ8FWP04:GBP	+10.20%	10.20%

Do you then rebalance yearly for the 90/10 split?

 

[slinxy]

Is there really much difference between Vanguard FTSE Global All Cap and Vanguard FTSE All-World (VWRP)

One is an ETF and the later is a mutual fund…
Certain platforms doesn’t allow/do fractional shares in ETFs, vanguard themselves included. So you could be leaving uninvested money on the table. When you buy an ETF your buying each of the individual shares to the whole unit on vanguard.

Mutual funds are not traded on the stock market, but you are buying a share of that mutual fund up to the amount you have paid.. and the mutual fund is made up of the shares it’s covering.

Personally I think mutual funds are better for pensions, less management…

 

[coolsurfer]

My pension is invested in EQQQ and all future investments will be in the Nasdaq aswell. I hope it should do me well for 30 yrs. I have Bitcoin aswell.

No MSTR?

 

[mitch212k]

Vanguard VWRL - low cost, performs well. Say no more

 

[ddoubleep]

Vanguard VWRL - low cost, performs well. Say no more

Not the accumulation version VWRP?

 

[mk1_salami]

I'm currently using Nutmeg's fully managed pension. I'm paying 0.75% in fees up to £100k and 0.35% after that. The fund has been performing well over the last year or so, but wonder if I'd see better value doing it myself? I suspect not. I've no experience in trading and don't want to be chopping and changing things too much.

 

[MikeTheNative]

I'm currently using Nutmeg's fully managed pension. I'm paying 0.75% in fees up to £100k and 0.35% after that. The fund has been performing well over the last year or so, but wonder if I'd see better value doing it myself? I suspect not. I've no experience in trading and don't want to be chopping and changing things too much.

If you know what your doing probably is worth it.
For me who has no idea, it would be more of a risk than leaving it to the fund providers.

 

[dlockers]

I'm currently using Nutmeg's fully managed pension. I'm paying 0.75% in fees up to £100k and 0.35% after that. The fund has been performing well over the last year or so, but wonder if I'd see better value doing it myself? I suspect not. I've no experience in trading and don't want to be chopping and changing things too much.

No you shouldn't manage it yourself.

 

[413x]

Good thread to highlight as never paid much attention to this until very recently. Shocked at how poor mine has been performing and started to consolidate it via Vanguard SIPP and seeing what to change my current employee pension to for a better return hopefully whilst a long way from retiring.

Same.
Just shows how much advantage in life you get by being even just interested in finance.

Luckily my biggest (70 percent of my pot) seems to be in a pretty good fund.
But the others in aviva, people's pension, and Scottish widows etc are "safe" and performed poorly.
All moved to vanguard now in a SIPP with a split between vuag and vwrp

Most people haven't a clue. And over time this stuff makes a huge difference.

I've increased my pension contributions now my isa is at a level that's sensible for. "emergencies".

Ie losing my job, having to buy out my partner in a break up, paying for emergency vet care, etc.

 

[MikeTheNative]

My work one is avivia which as you said has done crap this year. Unfortunately they don't give us another option to pay into.

 

[HungryHippos]

My work one is avivia which as you said has done crap this year. Unfortunately they don't give us another option to pay into.

You can usually switch funds within it, check what fund options are available.

 

[Narj]

Same.
Just shows how much advantage in life you get by being even just interested in finance.

Yeah, we have really pushed how important this is to the young'uns who have joined our team at work - especially those in their 20's. Just a couple of hundred salary sacrifice every month or whatever they can afford, and being mindful of fund choices will hopefully put them at a huge advantage come retirement.

Financial education really should be mandatory at school if it isn't already. I suppose our masters have no interest in supplying the tools people need to get ahead though.

 

[413x]

You can usually switch funds within it, check what fund options are available.

Yes. Done this too.
Some not bad black rocks available.

My work place is with aviva too. But I've moved it to a better fund than default.

 

[413x]

Yeah, we have really pushed how important this is to the young'uns who have joined our team at work - especially those in their 20's. Just a couple of hundred salary sacrifice every month or whatever they can afford, and being mindful of fund choices will hopefully put them at a huge advantage come retirement.

Financial education really should be mandatory at school if it isn't already. I suppose our masters have no interest in supplying the tools people need to get ahead though.

More important than any other single subject at the later years I'd argue.

Wish I had thought about it more. Only really this year I've thought about pension and the "oh ****" I moment of what I was on for at 38.

Ugh 38. So late. And I consider myself switched on with finance.

My pension pot is small.

 

[MikeTheNative]

You can usually switch funds within it, check what fund options are available.

thanks for the tip, will look into that.

 

[ddoubleep]

thanks for the tip, will look into that.

Try and look for Aviva Pensions BlackRock World ex-UK Equity Index Tracker.
Helped someone who had really poor fund with Aviva.
Not all workplaces have same access to funds with Aviva.
The one I looked at was very limited though had Vanguard funds the fees were high.
The BlackRock was lowest passive tracker I could find.

 

[ddoubleep]

Same.
Just shows how much advantage in life you get by being even just interested in finance.

Luckily my biggest (70 percent of my pot) seems to be in a pretty good fund.
But the others in aviva, people's pension, and Scottish widows etc are "safe" and performed poorly.
All moved to vanguard now in a SIPP with a split between vuag and vwrp

Most people haven't a clue. And over time this stuff makes a huge difference.

I've increased my pension contributions now my isa is at a level that's sensible for. "emergencies".

Ie losing my job, having to buy out my partner in a break up, paying for emergency vet care, etc.

You are right. Most do not have a clue. The new starters at work should have it as part of their induction.
My pots were just poor. My OH thankfully had a semi decent pot but had a lot of UK bias so she has recently sorted that out.
How are you doing the VWRP / VUAG split?
We doing partial transfers and with workplace changed to passive trackers and will rinse and repeat.

 

[slinxy]

They should really teach this stuff at school… like many people, I was told that a pension is important but no one told me how they worked and how to use them.

Got to 1&, was given overdrafts and credit cards… left uni with a load of debts and started working, obviously at that time pensions was opt in options, it was a tick box on the employment form. HR or no one i worked with explained it.

It was only when i started a new job where it defaulted into opting in, is when i started my pension and even then no one explains jack. TBH, I think the large majority of people don’t know, they just pay it and hope that they have enough at the end of the day. It was only when I moved into fintech and had a larger sum of money to play with stocks and shares, I started looking into it.

I’ve just been lucky that I’ve been placed into DBs and highly rated ones too.

If they taught personal finance and politics at school, this country and this government would be much different.

 

[dlockers]

My work one is avivia which as you said has done crap this year. Unfortunately they don't give us another option to pay into.

Are you retiring soon? If not that is an irrelevant statement.