When was the last time your fingers touched your return...

 

If you have a pension investment portfolio, ISA or you have a multi asset portfolio investment then the answer is likely to be...never...

 

Although I would never say 'why on earth are you investing in funds' it's more about making the correct investment choices that are good for YOU!

 

If you are happy putting away £200,000 in a managed fund for the next 10-20 years with management charges and market volatility then great. If you don't need access to your investment that is fine, but what if you do? Are you happy to take a hit and pay a hefty exit charge?

 

The market is changing I feel, investors rightly so are looking into fund charges, commission payments and performance, it is all well and good looking at the 'long term' but when it is 'your' money and your portfolio is down -6% it is a hard pill to swallow

 

Of course we all need to expect volatility, volatility is great buy cheap, sell high...all well and good if you firstly know when is 'cheap' and when is 'high' but let us put it this way...when was the last time your adviser sat down with you and said

 

'Right Barry we are buying into US small cap, over the last 6 months the fund has dragged and is 15% off where it should be, lets put in £80,000 now and once it recovers lets sell and cash in the gain!!!' Not a likely conversation...

 

In my experience we hear far to often 'Barry lets put in £80,000 US small cap is 15% off where it should be...next meeting...Great news Mr that fund is rallying in 6 months we have gained 14%.....6 months later....still up by 14.5% Barry!.....next year....look the markets have taken a tumble, do not worry though keep with it we are back down to 2% up but over the next year we can recover this....

 

Ups and downs ups and downs

 

Do you ever see the cash on the ups? NO 

 

Do you feel a bit queasy on the downs? YES of course you do

 

 

Let us look at a GROWTH managed income fund when a client has invested £200,000.

 

Actual performance figures monthly, June 7.98%, July 6.34% Aug 12.12% then we just minus 2% the monthly charge for the fund

 

JUNE 5,98% clients receives £11,960 cash return into cash holding account

 

JULY 4.34% clients receives £8,680 cash return into cash holding account

 

AUG 10.12% clients receives £20,240 cash return into cash holding account

 

Income funds allow the investor to pocket the return on a monthly basis or if not needed can be compounded into the investment on a monthly basis, protection barriers can also be set meaning the client can have a stop loss set at -1% loss in any 1 month...

 

If you are a international investor UK tax rules will not effect you, if you open the account and reside in the UK I have a independent investment tax adviser who has the full details of our accounts and can advise you accordingly

 

High net worth individuals/companies deserve better, income funds just got better...