Even though I’ve insisted on having a decent exposure to Europe despite constant naysaying from British- based analysts and commentators I was genuinely taken aback by that. I didnt realise the DAX was level-pegging the French index either. It doesn’t get talked about in media at all!
I suppose it might be a reflection of the odd makeup of the FTSE100 over this period, heavy on old energy and light on tech. Curious how those closer to markets explain it.
The media always bang on about the S&P500, mainly because it out performs just about everyone, Buffett isn't often wrong, it's certainly performed very well for me.
You have to remember the NASDAQ has what, about 3,500 companies v's the FTSE's 100. It also has the sectors that have out performed massively.
Its now vastly overtaken the nice list again, BAE and the other defence companies not to mention Centrica lead the charge
Although, the money I have in funds are all doing well. The US one especially the Baillie Gifford American income one. The sustainable one with Janus Henderson is in clover but has dropped off somewhat
I do see the irony in me contributing to this thread and my absolute, at best, mistrust of the shiny faced upper class yet handing them money each month to keep me fed and watered when I retire
For anyone who is lucky enough/performed well enough (delete as appropriate) to earn a bonus this year, the latest FT Money Clinic episode discusses the basic options for how to use your bonus payment.
No. For some reason @PragueAddick never likes dividends. With dividends reinvested, index linked funds are up something like 70%. I have no idea what level of dividends Euro funds pay.
No. For some reason @PragueAddicknever likes dividends. With dividends reinvested, index linked funds are up something like 70%. I have no idea what level of dividends Euro funds pay.
I say, a tad unfair there, old chap. It's true that I tend to forget about factoring them in when comparing, equity funds etc, but in the last 2-3 years I realised I had to think more about income from my investments, not least thanks to nudging from various posters on here. I now have a small stock portfolio, all of which were selected for their dividend potential. The interesting thing is that while the UK stocks I selected are mixed, to put it mildly, in terms of capital appreciation, or even retention, the three European stocks ( Swiss Re, Volvo AB (trucks not cars) and Novo Nordisk) are up 24%, 44% and (look away now) 144% respectively in the just over two years I've owned them all; and I bought them for their dividends of 3-5% which they have delivered. My UK stocks are much more mixed. Look, I just got lucky with those Eurostocks, but Eurostocks pay solid dividends in line with sector, of course they do, its Nasdaq companies that don't.
Question - am I right in saying that as a basic rate tax payer with the ‘normal’ tax free allowance of £12,570 that I am allowed to earn a further £1,000 per tax year in interest without having to pay tax on it?
Question - am I right in saying that as a basic rate tax payer with the ‘normal’ tax free allowance of £12,570 that I am allowed to earn a further £1,000 per tax year in interest without having to pay tax on it?
Essentially yes. But if you earn less than 18,570 from income and interest combined, there is no tax to pay on the interest income.
Even though I’ve insisted on having a decent exposure to Europe despite constant naysaying from British- based analysts and commentators I was genuinely taken aback by that. I didnt realise the DAX was level-pegging the French index either. It doesn’t get talked about in media at all!
I suppose it might be a reflection of the odd makeup of the FTSE100 over this period, heavy on old energy and light on tech. Curious how those closer to markets explain it.
I did a little charting earlier.
Eurostox FTSE100, 250 & Allshare S&P500 Nikkei
Wowsers !!
THE FTSE Allshare is miles lower than the rest, especially over the past 20 years. Seriously underperformed.
Also the last 12 months makes interesting reading. Japan up 22%, US up 16%. FTSE100 up 5%.....and that's after a good run !
Even though I’ve insisted on having a decent exposure to Europe despite constant naysaying from British- based analysts and commentators I was genuinely taken aback by that. I didnt realise the DAX was level-pegging the French index either. It doesn’t get talked about in media at all!
I suppose it might be a reflection of the odd makeup of the FTSE100 over this period, heavy on old energy and light on tech. Curious how those closer to markets explain it.
I did a little charting earlier.
Eurostox FTSE100, 250 & Allshare S&P500 Nikkei
Wowsers !!
THE FTSE Allshare is miles lower than the rest, especially over the past 20 years. Seriously underperformed.
Also the last 12 months makes interesting reading. Japan up 22%, US up 16%. FTSE100 up 5%.....and that's after a good run !
Now you know why I've turned quite a bit of my pension into cash!
Even though I’ve insisted on having a decent exposure to Europe despite constant naysaying from British- based analysts and commentators I was genuinely taken aback by that. I didnt realise the DAX was level-pegging the French index either. It doesn’t get talked about in media at all!
I suppose it might be a reflection of the odd makeup of the FTSE100 over this period, heavy on old energy and light on tech. Curious how those closer to markets explain it.
I did a little charting earlier.
Eurostox FTSE100, 250 & Allshare S&P500 Nikkei
Wowsers !!
THE FTSE Allshare is miles lower than the rest, especially over the past 20 years. Seriously underperformed.
Also the last 12 months makes interesting reading. Japan up 22%, US up 16%. FTSE100 up 5%.....and that's after a good run !
Now you know why I've turned quite a bit of my pension into cash!
Well put it back into UK equities.....you don't want to miss the recovery. 😄
Even though I’ve insisted on having a decent exposure to Europe despite constant naysaying from British- based analysts and commentators I was genuinely taken aback by that. I didnt realise the DAX was level-pegging the French index either. It doesn’t get talked about in media at all!
I suppose it might be a reflection of the odd makeup of the FTSE100 over this period, heavy on old energy and light on tech. Curious how those closer to markets explain it.
I did a little charting earlier.
Eurostox FTSE100, 250 & Allshare S&P500 Nikkei
Wowsers !!
THE FTSE Allshare is miles lower than the rest, especially over the past 20 years. Seriously underperformed.
Also the last 12 months makes interesting reading. Japan up 22%, US up 16%. FTSE100 up 5%.....and that's after a good run !
Now you know why I've turned quite a bit of my pension into cash!
Well put it back into UK equities.....you don't want to miss the recovery. 😄
Still got quite a bit in UK, am looking elsewhere......
Even though I’ve insisted on having a decent exposure to Europe despite constant naysaying from British- based analysts and commentators I was genuinely taken aback by that. I didnt realise the DAX was level-pegging the French index either. It doesn’t get talked about in media at all!
I suppose it might be a reflection of the odd makeup of the FTSE100 over this period, heavy on old energy and light on tech. Curious how those closer to markets explain it.
I did a little charting earlier.
Eurostox FTSE100, 250 & Allshare S&P500 Nikkei
Wowsers !!
THE FTSE Allshare is miles lower than the rest, especially over the past 20 years. Seriously underperformed.
Also the last 12 months makes interesting reading. Japan up 22%, US up 16%. FTSE100 up 5%.....and that's after a good run !
Now you know why I've turned quite a bit of my pension into cash!
Well put it back into UK equities.....you don't want to miss the recovery. 😄
Still got quite a bit in UK, am looking elsewhere......
Even though I’ve insisted on having a decent exposure to Europe despite constant naysaying from British- based analysts and commentators I was genuinely taken aback by that. I didnt realise the DAX was level-pegging the French index either. It doesn’t get talked about in media at all!
I suppose it might be a reflection of the odd makeup of the FTSE100 over this period, heavy on old energy and light on tech. Curious how those closer to markets explain it.
I did a little charting earlier.
Eurostox FTSE100, 250 & Allshare S&P500 Nikkei
Wowsers !!
THE FTSE Allshare is miles lower than the rest, especially over the past 20 years. Seriously underperformed.
Also the last 12 months makes interesting reading. Japan up 22%, US up 16%. FTSE100 up 5%.....and that's after a good run !
Now you know why I've turned quite a bit of my pension into cash!
Well put it back into UK equities.....you don't want to miss the recovery. 😄
Still got quite a bit in UK, am looking elsewhere......
Question - am I right in saying that as a basic rate tax payer with the ‘normal’ tax free allowance of £12,570 that I am allowed to earn a further £1,000 per tax year in interest without having to pay tax on it?
Large, haven't you got a family member involved with the financial industry?
Question - am I right in saying that as a basic rate tax payer with the ‘normal’ tax free allowance of £12,570 that I am allowed to earn a further £1,000 per tax year in interest without having to pay tax on it?
Essentially yes. But if you earn less than 18,570 from income and interest combined, there is no tax to pay on the interest income.
A basic rate tax payer earning income excluding interest less than £12,570 (personal allowance) could earn £6,000 in interest and not pay a penny tax (£1,000 savings allowance and £5,000 staring rate for savings). That £5,000 starting rate reduces £1 for £1 if you earn above the £12,570, reducing to zero if you earn above £17,570., at which point you would just get the £1,000 savings allowance.
E.g. earned income of £15,000 would get you a tax free savings interest allowance of £1,000 plus a starting rate allowance of £2,570 (£17,570 - £15,000) so the first £3,570 of interest is tax free.
Question - am I right in saying that as a basic rate tax payer with the ‘normal’ tax free allowance of £12,570 that I am allowed to earn a further £1,000 per tax year in interest without having to pay tax on it?
Large, haven't you got a family member involved with the financial industry?
Even though I’ve insisted on having a decent exposure to Europe despite constant naysaying from British- based analysts and commentators I was genuinely taken aback by that. I didnt realise the DAX was level-pegging the French index either. It doesn’t get talked about in media at all!
I suppose it might be a reflection of the odd makeup of the FTSE100 over this period, heavy on old energy and light on tech. Curious how those closer to markets explain it.
Really need to compare total returns to get apples for apples. The story will be directionally the same but the FTSE will look better than the above comparison. I think the S&P and Dax are up at least 9% annually over the last ten years and the FTSE 5%. Over a longer period, the FTSE is about 7%, similar to the CAC40.
(Note that DAX is a total return index already, the CAC40 and FTSE 100 aren't. So there is a CAC Dividend index and a FTSE Total Return Index. The DJ is peculiar, in that it is price weighted, so not comparable at all.
I was drinking with an ex-asset manager over the weekend and he says he is sticking with FTSE 250 as he can't understand at all why it is so undervalued and thinks that at some point it will wake up. However, the ludicrous LDI rules introduced after the financial crisis aren't helping, helping to drive UK pension fund holdings in UK stocks down to 3% right now.
No. For some reason @PragueAddicknever likes dividends. With dividends reinvested, index linked funds are up something like 70%. I have no idea what level of dividends Euro funds pay.
I say, a tad unfair there, old chap. It's true that I tend to forget about factoring them in when comparing, equity funds etc, but in the last 2-3 years I realised I had to think more about income from my investments, not least thanks to nudging from various posters on here. I now have a small stock portfolio, all of which were selected for their dividend potential. The interesting thing is that while the UK stocks I selected are mixed, to put it mildly, in terms of capital appreciation, or even retention, the three European stocks ( Swiss Re, Volvo AB (trucks not cars) and Novo Nordisk) are up 24%, 44% and (look away now) 144% respectively in the just over two years I've owned them all; and I bought them for their dividends of 3-5% which they have delivered. My UK stocks are much more mixed. Look, I just got lucky with those Eurostocks, but Eurostocks pay solid dividends in line with sector, of course they do, its Nasdaq companies that don't.
Yes probably a tad unfair. Certainly also true that UK equity markets have underperformed by most measures compared to most others. However I always get annoyed when people just compare movement in indices over a period of time without taking account of income. It is only half the story.
No. For some reason @PragueAddicknever likes dividends. With dividends reinvested, index linked funds are up something like 70%. I have no idea what level of dividends Euro funds pay.
I say, a tad unfair there, old chap. It's true that I tend to forget about factoring them in when comparing, equity funds etc, but in the last 2-3 years I realised I had to think more about income from my investments, not least thanks to nudging from various posters on here. I now have a small stock portfolio, all of which were selected for their dividend potential. The interesting thing is that while the UK stocks I selected are mixed, to put it mildly, in terms of capital appreciation, or even retention, the three European stocks ( Swiss Re, Volvo AB (trucks not cars) and Novo Nordisk) are up 24%, 44% and (look away now) 144% respectively in the just over two years I've owned them all; and I bought them for their dividends of 3-5% which they have delivered. My UK stocks are much more mixed. Look, I just got lucky with those Eurostocks, but Eurostocks pay solid dividends in line with sector, of course they do, its Nasdaq companies that don't.
Yes probably a tad unfair. Certainly also true that UK equity markets have underperformed by most measures compared to most others. However I always get annoyed when people just compare movement in indices over a period of time without taking account of income. It is only half the story.
@WishIdStayedinthePub has pointed out that there is no consistency across the indices when it comes to this so how are income-ignorant punters like me supposed to make that evaluation? While I’m at it, why can’t a platform like H-L show % change on shares held inclusive of dividends? Trustnet doesn’t do it either.
No. For some reason @PragueAddicknever likes dividends. With dividends reinvested, index linked funds are up something like 70%. I have no idea what level of dividends Euro funds pay.
I say, a tad unfair there, old chap. It's true that I tend to forget about factoring them in when comparing, equity funds etc, but in the last 2-3 years I realised I had to think more about income from my investments, not least thanks to nudging from various posters on here. I now have a small stock portfolio, all of which were selected for their dividend potential. The interesting thing is that while the UK stocks I selected are mixed, to put it mildly, in terms of capital appreciation, or even retention, the three European stocks ( Swiss Re, Volvo AB (trucks not cars) and Novo Nordisk) are up 24%, 44% and (look away now) 144% respectively in the just over two years I've owned them all; and I bought them for their dividends of 3-5% which they have delivered. My UK stocks are much more mixed. Look, I just got lucky with those Eurostocks, but Eurostocks pay solid dividends in line with sector, of course they do, its Nasdaq companies that don't.
Yes probably a tad unfair. Certainly also true that UK equity markets have underperformed by most measures compared to most others. However I always get annoyed when people just compare movement in indices over a period of time without taking account of income. It is only half the story.
@WishIdStayedinthePub has pointed out that there is no consistency across the indices when it comes to this so how are income-ignorant punters like me supposed to make that evaluation? While I’m at it, why can’t a platform like H-L show % change on shares held inclusive of dividends? Trustnet doesn’t do it either.
Depends whether you DRIP or not.
On Vanguard they show me capital change and also dividends received if income fund, if accumulation fund that's dealt with in the price per unit.
So for instance my FTSE100 tracker has gone from paid in of £79k to current value of £86k (with another £4.4k taken as profit) and dividends/income of just under £6k (since June 2022).
So overall my £79k has returned nearly £17.5k (22%)
The yield on a typical UK equity fund is around 2% so nothing to write home about. On an UK Equity Income fund it's just over 3%.
The UK has always been a bigger dividend payer with many US & European funds paying less than 1% yield. Back in the 80's & 90's Japanese Companies didn't pay dividends but instead ploughed their profits back into the Company by way of "Research & Development".....hence why the big tech firms that sprung out of Japan were much more innovative than UK ones (think Toshiba v Amstrad)
No. For some reason @PragueAddicknever likes dividends. With dividends reinvested, index linked funds are up something like 70%. I have no idea what level of dividends Euro funds pay.
I say, a tad unfair there, old chap. It's true that I tend to forget about factoring them in when comparing, equity funds etc, but in the last 2-3 years I realised I had to think more about income from my investments, not least thanks to nudging from various posters on here. I now have a small stock portfolio, all of which were selected for their dividend potential. The interesting thing is that while the UK stocks I selected are mixed, to put it mildly, in terms of capital appreciation, or even retention, the three European stocks ( Swiss Re, Volvo AB (trucks not cars) and Novo Nordisk) are up 24%, 44% and (look away now) 144% respectively in the just over two years I've owned them all; and I bought them for their dividends of 3-5% which they have delivered. My UK stocks are much more mixed. Look, I just got lucky with those Eurostocks, but Eurostocks pay solid dividends in line with sector, of course they do, its Nasdaq companies that don't.
Yes probably a tad unfair. Certainly also true that UK equity markets have underperformed by most measures compared to most others. However I always get annoyed when people just compare movement in indices over a period of time without taking account of income. It is only half the story.
@WishIdStayedinthePub has pointed out that there is no consistency across the indices when it comes to this so how are income-ignorant punters like me supposed to make that evaluation? While I’m at it, why can’t a platform like H-L show % change on shares held inclusive of dividends? Trustnet doesn’t do it either.
Depends whether you DRIP or not.
On Vanguard they show me capital change and also dividends received if income fund, if accumulation fund that's dealt with in the price per unit.
So for instance my FTSE100 tracker has gone from paid in of £79k to current value of £86k (with another £4.4k taken as profit) and dividends/income of just under £6k (since June 2022).
So overall my £79k has returned nearly £17.5k (22%)
Why would a drip purchase strategy have anything to do with it?. Actually Degiro, which I use for euro based investments, does; I only noticed last night. But H-L simply does not, just as It doesn’t allow to track the performance of an overall portfolio over time.
There was an article in the FT a few days ago keyed up as H-L the dinosaur facing threats from more nimble rivals. But when I read it, and reader comments, none of these rivals stood out as a choice worth moving to.
Never was so much money taken by so many, for so little added value.
No. For some reason @PragueAddicknever likes dividends. With dividends reinvested, index linked funds are up something like 70%. I have no idea what level of dividends Euro funds pay.
I say, a tad unfair there, old chap. It's true that I tend to forget about factoring them in when comparing, equity funds etc, but in the last 2-3 years I realised I had to think more about income from my investments, not least thanks to nudging from various posters on here. I now have a small stock portfolio, all of which were selected for their dividend potential. The interesting thing is that while the UK stocks I selected are mixed, to put it mildly, in terms of capital appreciation, or even retention, the three European stocks ( Swiss Re, Volvo AB (trucks not cars) and Novo Nordisk) are up 24%, 44% and (look away now) 144% respectively in the just over two years I've owned them all; and I bought them for their dividends of 3-5% which they have delivered. My UK stocks are much more mixed. Look, I just got lucky with those Eurostocks, but Eurostocks pay solid dividends in line with sector, of course they do, its Nasdaq companies that don't.
Yes probably a tad unfair. Certainly also true that UK equity markets have underperformed by most measures compared to most others. However I always get annoyed when people just compare movement in indices over a period of time without taking account of income. It is only half the story.
@WishIdStayedinthePub has pointed out that there is no consistency across the indices when it comes to this so how are income-ignorant punters like me supposed to make that evaluation? While I’m at it, why can’t a platform like H-L show % change on shares held inclusive of dividends? Trustnet doesn’t do it either.
Depends whether you DRIP or not.
On Vanguard they show me capital change and also dividends received if income fund, if accumulation fund that's dealt with in the price per unit.
So for instance my FTSE100 tracker has gone from paid in of £79k to current value of £86k (with another £4.4k taken as profit) and dividends/income of just under £6k (since June 2022).
So overall my £79k has returned nearly £17.5k (22%)
Why would a drip purchase strategy have anything to do with it?. Actually Degiro, which I use for euro based investments, does; I only noticed last night. But H-L simply does not, just as It doesn’t allow to track the performance of an overall portfolio over time.
There was an article in the FT a few days ago keyed up as H-L the dinosaur facing threats from more nimble rivals. But when I read it, and reader comments, none of these rivals stood out as a choice worth moving to.
Never was so much money taken by so many, for so little added value.
Think I misread your initial post :-)
On Vanguard income funds they show you Capital return and Gross return, the difference being Gross includes income/dividends. Obv on accumulation it's just the unit price.
As an aside, whilst not earth shattering, Fidelity now pay 3.65% on cash in your SIPP.
No. For some reason @PragueAddicknever likes dividends. With dividends reinvested, index linked funds are up something like 70%. I have no idea what level of dividends Euro funds pay.
I say, a tad unfair there, old chap. It's true that I tend to forget about factoring them in when comparing, equity funds etc, but in the last 2-3 years I realised I had to think more about income from my investments, not least thanks to nudging from various posters on here. I now have a small stock portfolio, all of which were selected for their dividend potential. The interesting thing is that while the UK stocks I selected are mixed, to put it mildly, in terms of capital appreciation, or even retention, the three European stocks ( Swiss Re, Volvo AB (trucks not cars) and Novo Nordisk) are up 24%, 44% and (look away now) 144% respectively in the just over two years I've owned them all; and I bought them for their dividends of 3-5% which they have delivered. My UK stocks are much more mixed. Look, I just got lucky with those Eurostocks, but Eurostocks pay solid dividends in line with sector, of course they do, its Nasdaq companies that don't.
Yes probably a tad unfair. Certainly also true that UK equity markets have underperformed by most measures compared to most others. However I always get annoyed when people just compare movement in indices over a period of time without taking account of income. It is only half the story.
@WishIdStayedinthePub has pointed out that there is no consistency across the indices when it comes to this so how are income-ignorant punters like me supposed to make that evaluation? While I’m at it, why can’t a platform like H-L show % change on shares held inclusive of dividends? Trustnet doesn’t do it either.
Depends whether you DRIP or not.
On Vanguard they show me capital change and also dividends received if income fund, if accumulation fund that's dealt with in the price per unit.
So for instance my FTSE100 tracker has gone from paid in of £79k to current value of £86k (with another £4.4k taken as profit) and dividends/income of just under £6k (since June 2022).
So overall my £79k has returned nearly £17.5k (22%)
Why would a drip purchase strategy have anything to do with it?. Actually Degiro, which I use for euro based investments, does; I only noticed last night. But H-L simply does not, just as It doesn’t allow to track the performance of an overall portfolio over time.
There was an article in the FT a few days ago keyed up as H-L the dinosaur facing threats from more nimble rivals. But when I read it, and reader comments, none of these rivals stood out as a choice worth moving to.
Never was so much money taken by so many, for so little added value.
Think I misread your initial post :-)
On Vanguard income funds they show you Capital return and Gross return, the difference being Gross includes income/dividends. Obv on accumulation it's just the unit price.
As an aside, whilst not earth shattering, Fidelity now pay 3.65% on cash in your SIPP.
Interactive Brokers do give you a summary chart on the returns on the whole portfolio. It also gives all sorts of charts on your risk profile, performance attribution and asset allocations. Then there is detailed fundamental analysis, professional level news feeds.
I haven't drilled down on individual holdings as I also subscribe to ShareScope and that gives me all the returns data I need and has my portfolio history going back to 2005. But when I just searched for new columns on the word 'return' IB gave me 9 options, including several measures of risk adjusted returns.
For P&L, I can track total returns in absolute and percentage, realised and unrealised P&L, etc. Theoretically, I could set things up to dump my subscription to share scope altogether (but would lose all that history).
Under the covers, HL have developed their channels independently and are still reliant on an old mainframe system. They have big plans to fix that (and I'm hoping to help them) but it can't be fixed overnight. They've had at least one failed attempt to replace that mainframe and have recently just fired their CIO ....
No. For some reason @PragueAddicknever likes dividends. With dividends reinvested, index linked funds are up something like 70%. I have no idea what level of dividends Euro funds pay.
I say, a tad unfair there, old chap. It's true that I tend to forget about factoring them in when comparing, equity funds etc, but in the last 2-3 years I realised I had to think more about income from my investments, not least thanks to nudging from various posters on here. I now have a small stock portfolio, all of which were selected for their dividend potential. The interesting thing is that while the UK stocks I selected are mixed, to put it mildly, in terms of capital appreciation, or even retention, the three European stocks ( Swiss Re, Volvo AB (trucks not cars) and Novo Nordisk) are up 24%, 44% and (look away now) 144% respectively in the just over two years I've owned them all; and I bought them for their dividends of 3-5% which they have delivered. My UK stocks are much more mixed. Look, I just got lucky with those Eurostocks, but Eurostocks pay solid dividends in line with sector, of course they do, its Nasdaq companies that don't.
Yes probably a tad unfair. Certainly also true that UK equity markets have underperformed by most measures compared to most others. However I always get annoyed when people just compare movement in indices over a period of time without taking account of income. It is only half the story.
@WishIdStayedinthePub has pointed out that there is no consistency across the indices when it comes to this so how are income-ignorant punters like me supposed to make that evaluation? While I’m at it, why can’t a platform like H-L show % change on shares held inclusive of dividends? Trustnet doesn’t do it either.
Depends whether you DRIP or not.
On Vanguard they show me capital change and also dividends received if income fund, if accumulation fund that's dealt with in the price per unit.
So for instance my FTSE100 tracker has gone from paid in of £79k to current value of £86k (with another £4.4k taken as profit) and dividends/income of just under £6k (since June 2022).
So overall my £79k has returned nearly £17.5k (22%)
Why would a drip purchase strategy have anything to do with it?. Actually Degiro, which I use for euro based investments, does; I only noticed last night. But H-L simply does not, just as It doesn’t allow to track the performance of an overall portfolio over time.
There was an article in the FT a few days ago keyed up as H-L the dinosaur facing threats from more nimble rivals. But when I read it, and reader comments, none of these rivals stood out as a choice worth moving to.
Never was so much money taken by so many, for so little added value.
Think I misread your initial post :-)
On Vanguard income funds they show you Capital return and Gross return, the difference being Gross includes income/dividends. Obv on accumulation it's just the unit price.
As an aside, whilst not earth shattering, Fidelity now pay 3.65% on cash in your SIPP.
Trading 212 pay 5% on uninvested cash balances at the moment. I'm not a huge fan of their app/website, but can't complain about their charges.
The yield on a typical UK equity fund is around 2% so nothing to write home about. On an UK Equity Income fund it's just over 3%.
The UK has always been a bigger dividend payer with many US & European funds paying less than 1% yield. Back in the 80's & 90's Japanese Companies didn't pay dividends but instead ploughed their profits back into the Company by way of "Research & Development".....hence why the big tech firms that sprung out of Japan were much more innovative than UK ones (think Toshiba v Amstrad)
Doesn't it depend what it is invested in. The FTSE 100 yield is currently 3.78% and 250 is 3.45%. So wouldn't I be right in assuming a tracker fund would effectively roll up at those rates.
No. For some reason @PragueAddicknever likes dividends. With dividends reinvested, index linked funds are up something like 70%. I have no idea what level of dividends Euro funds pay.
I say, a tad unfair there, old chap. It's true that I tend to forget about factoring them in when comparing, equity funds etc, but in the last 2-3 years I realised I had to think more about income from my investments, not least thanks to nudging from various posters on here. I now have a small stock portfolio, all of which were selected for their dividend potential. The interesting thing is that while the UK stocks I selected are mixed, to put it mildly, in terms of capital appreciation, or even retention, the three European stocks ( Swiss Re, Volvo AB (trucks not cars) and Novo Nordisk) are up 24%, 44% and (look away now) 144% respectively in the just over two years I've owned them all; and I bought them for their dividends of 3-5% which they have delivered. My UK stocks are much more mixed. Look, I just got lucky with those Eurostocks, but Eurostocks pay solid dividends in line with sector, of course they do, its Nasdaq companies that don't.
Yes probably a tad unfair. Certainly also true that UK equity markets have underperformed by most measures compared to most others. However I always get annoyed when people just compare movement in indices over a period of time without taking account of income. It is only half the story.
@WishIdStayedinthePub has pointed out that there is no consistency across the indices when it comes to this so how are income-ignorant punters like me supposed to make that evaluation? While I’m at it, why can’t a platform like H-L show % change on shares held inclusive of dividends? Trustnet doesn’t do it either.
Depends whether you DRIP or not.
On Vanguard they show me capital change and also dividends received if income fund, if accumulation fund that's dealt with in the price per unit.
So for instance my FTSE100 tracker has gone from paid in of £79k to current value of £86k (with another £4.4k taken as profit) and dividends/income of just under £6k (since June 2022).
So overall my £79k has returned nearly £17.5k (22%)
Why would a drip purchase strategy have anything to do with it?. Actually Degiro, which I use for euro based investments, does; I only noticed last night. But H-L simply does not, just as It doesn’t allow to track the performance of an overall portfolio over time.
There was an article in the FT a few days ago keyed up as H-L the dinosaur facing threats from more nimble rivals. But when I read it, and reader comments, none of these rivals stood out as a choice worth moving to.
Never was so much money taken by so many, for so little added value.
Think I misread your initial post :-)
On Vanguard income funds they show you Capital return and Gross return, the difference being Gross includes income/dividends. Obv on accumulation it's just the unit price.
As an aside, whilst not earth shattering, Fidelity now pay 3.65% on cash in your SIPP.
Interactive Brokers do give you a summary chart on the returns on the whole portfolio. It also gives all sorts of charts on your risk profile, performance attribution and asset allocations. Then there is detailed fundamental analysis, professional level news feeds.
I haven't drilled down on individual holdings as I also subscribe to ShareScope and that gives me all the returns data I need and has my portfolio history going back to 2005. But when I just searched for new columns on the word 'return' IB gave me 9 options, including several measures of risk adjusted returns.
For P&L, I can track total returns in absolute and percentage, realised and unrealised P&L, etc. Theoretically, I could set things up to dump my subscription to share scope altogether (but would lose all that history).
Under the covers, HL have developed their channels independently and are still reliant on an old mainframe system. They have big plans to fix that (and I'm hoping to help them) but it can't be fixed overnight. They've had at least one failed attempt to replace that mainframe and have recently just fired their CIO ....
I remember when Barclays did the same for their account system. My relationship team shared a floor with our tech team when we first moved to Canary Wharf. In the print room one day, someone had left out huge sheets showing our old mainframe in the centre which had been established in the 60s. Then a huge spiderweb of connections for every other system that they’d developed since then. There were literally hundreds and they had no idea what effect switching to a new central system would have on all the others. It took years of running alongside to make sure that they could safely update. Good luck with the HL fix.
Comments
No - just raw index figures.
You have to remember the NASDAQ has what, about 3,500 companies v's the FTSE's 100. It also has the sectors that have out performed massively.
Its now vastly overtaken the nice list again, BAE and the other defence companies not to mention Centrica lead the charge
Although, the money I have in funds are all doing well. The US one especially the Baillie Gifford American income one. The sustainable one with Janus Henderson is in clover but has dropped off somewhat
I do see the irony in me contributing to this thread and my absolute, at best, mistrust of the shiny faced upper class yet handing them money each month to keep me fed and watered when I retire
https://www.ft.com/content/317143c6-b65f-4a12-ab63-812d2ed798d5
Eurostox
FTSE100, 250 & Allshare
S&P500
Nikkei
Wowsers !!
THE FTSE Allshare is miles lower than the rest, especially over the past 20 years. Seriously underperformed.
Also the last 12 months makes interesting reading. Japan up 22%, US up 16%. FTSE100 up 5%.....and that's after a good run !
Now you know why I've turned quite a bit of my pension into cash!
(Note that DAX is a total return index already, the CAC40 and FTSE 100 aren't. So there is a CAC Dividend index and a FTSE Total Return Index. The DJ is peculiar, in that it is price weighted, so not comparable at all.
I was drinking with an ex-asset manager over the weekend and he says he is sticking with FTSE 250 as he can't understand at all why it is so undervalued and thinks that at some point it will wake up. However, the ludicrous LDI rules introduced after the financial crisis aren't helping, helping to drive UK pension fund holdings in UK stocks down to 3% right now.
On Vanguard they show me capital change and also dividends received if income fund, if accumulation fund that's dealt with in the price per unit.
So for instance my FTSE100 tracker has gone from paid in of £79k to current value of £86k (with another £4.4k taken as profit) and dividends/income of just under £6k (since June 2022).
So overall my £79k has returned nearly £17.5k (22%)
The UK has always been a bigger dividend payer with many US & European funds paying less than 1% yield. Back in the 80's & 90's Japanese Companies didn't pay dividends but instead ploughed their profits back into the Company by way of "Research & Development".....hence why the big tech firms that sprung out of Japan were much more innovative than UK ones (think Toshiba v Amstrad)
On Vanguard income funds they show you Capital return and Gross return, the difference being Gross includes income/dividends. Obv on accumulation it's just the unit price.
As an aside, whilst not earth shattering, Fidelity now pay 3.65% on cash in your SIPP.
I haven't drilled down on individual holdings as I also subscribe to ShareScope and that gives me all the returns data I need and has my portfolio history going back to 2005. But when I just searched for new columns on the word 'return' IB gave me 9 options, including several measures of risk adjusted returns.
For P&L, I can track total returns in absolute and percentage, realised and unrealised P&L, etc. Theoretically, I could set things up to dump my subscription to share scope altogether (but would lose all that history).
Under the covers, HL have developed their channels independently and are still reliant on an old mainframe system. They have big plans to fix that (and I'm hoping to help them) but it can't be fixed overnight. They've had at least one failed attempt to replace that mainframe and have recently just fired their CIO ....