Nothing wrong with Merchants; that reserve of income is a very useful safety net.
Cheers yes it is, I wish I knew about investment trusts when I started. Cty city of London I started with but am now into merchants to diversify.
Cty have had a good run but look fully valued at 5 quid, yield c 4.2% so sold a few to buy merchants.
The added advantage which the likes of Hargreaves Lansdown don’t highlight anywhere near enough is that for HL’s fees an investment trust is (correctly) classified as a share and attracts a flat rate charge per holding per year whereas a unit trust will attract a % of holding value per year, which can be many multiples of that flat fee if the holding in the unit trust is of a size. And guess which type of savings vehicle HL spend most of their efforts promoting…..
Maybe I'm confused but a stocks and shares ISA is just a container where you don't pay tax on any gains.. You still take a hit on exchange rate depending on if the dollar is weak against the pound etc? and trading fees as applicable depending on what you buy and sell?
For example I have 2 Vanguard ETFs in my T212 s&s ISA
VWRP charges 0.22%
VEUA charges 0.1%
Both are traded in £ so I don't have to consider FX exchange rate, £ Vs $ Vs € if I decide to cash out.. It's already baked in. And I dont pay any fees other than the fund fees Vanguard charge as above
this is my 'fun' SS ISA. I have another one in a tracker. You can very much make money if you time the market right and buy sensibly. These stocks were bought at peak covid, when the whole market crashed. Similarly next time the we get a Truss moment or a Trump destabilisation I'll be having a few more flutters.
Sorry to point out the obvious DFT but that is clearly time in the market just as much as timing the market
My best from COVID are +900+% , +170% and +151% but I'm not stupid enough to think that is purely based on timing the market. COVID was 5 years ago FFS.
SharesInGoingUpInValueOverALongPeriodOfTimeshocker! 😉
I currently have 196% from ~6 weeks ago. Is that time in the market or timing the market? 😉 And half of that trade was sold at 415% 3 days ago.
In what sectors/countries are people seeing these gains? I'm finally in a position where I have something (very modest) to invest and an impending recession seems like the perfect time to get organised.
Good work Jamz, especially the bit you sold. Out of interest, how much of your total portfolio does that 450% represent.
