Arb HYP acc units against FTSE-TR

[Arborbridge]

Here's my update on my accumulation units, compared with the FTSE-TR. It seems I'm not far off a closet tracker (not surprisingly) but with the benefit of a high yield giving me the income I need for my pension. No doubt, people can do far better than this, but I am moderately happy.




Arb.

[teecee90]

No doubt, people can do far better than this, but I am moderately happy.
Arb.

I would be happy with that. I've only unitised since 2017 but have only recently made up ground on the FTSE TR index.

[Arborbridge]

No doubt, people can do far better than this, but I am moderately happy.
Arb.

I would be happy with that. I've only unitised since 2017 but have only recently made up ground on the FTSE TR index.

You have a good strong bounce back relative, at the end. Mine shows that feature too, but your's is stronger so that's good.

Arb.

[ADrunkenMarcus]

If you're matching the total return yet achieving a higher income per unit then that's not a bad outcome.

Best wishes


Mark.

[Arborbridge]

If you're matching the total return yet achieving a higher income per unit then that's not a bad outcome.

Best wishes


Mark.

Yes, I think that's a reasonable comment. If HYP can keep my capital trundling along but at the same time delivery more income than the FTSE would, then I would argue it is doing sufficiently well*.

* though actually, my criterion was for a high and increasing income (not just higher than the FTSE would have given) - that hasn't been true this year, but was until Covid. I fully expect it to be so again.
Arb.

[Arborbridge]

Here's my chart of ArbHYP acc units rebased against the FTSE-TR:



It's a bit of a closet tracker, only to be expected, but HYP is giving more income than a true index IT would.

Arb.

[Arborbridge]

I haven't posted much lately, mainly because there hasn't been much activity. However, I thought to plug the silence with this chart showing my acc unit progress against FTSE100-TR:



The last day or so will need revision - TR correct only up to 15th.


Arb.

[Arborbridge]

My Acc chart has moved on about 6 months, so here's an update:-



My accumulation unit price is keeping ahead of the FTSE-TR, which is what one might hope for.
And before anyone points out that it should be easy to beat the FTSE so why choose it: it's chosen because HYP is selected mainly from the largest UK shares.

Arb.

[CliffEdge]

Thank you for posting but I don't understand exactly. Are the lines showing total return since 2012 including income? If so you are well ahead ;

[Arborbridge]

An update on the state of play with ArbHYP accumulation units. Last update was about 5 months ago, and this time I've added the RPI line for interest. The main plot is against the FTSE100 TR



To answer a question from last time: yes, the line indicates dividends held within and re-invested.

Arb.

[teecee90]

Unfortunately, mine has started to lag behind again....

[Arborbridge]

Unfortunately, mine has started to lag behind again....

Are you plotting income unit prices for your HYP? - i.e. without income reinvested.

Arb.

[teecee90]

Mine is accumulation units with all dividends reinvested.

[Arborbridge]

Mine is accumulation units with all dividends reinvested.

Oh dear. I'm more or less the same as the FTSE 100 with my income units, so the re-investment pushes it well over that, as you see.

I'm not sure why you are lagging. Presumably, without dividends you must be falling off the pace of the FTSE100.

Arb.

[teecee90]

Mine is accumulation units with all dividends reinvested.

Oh dear. I'm more or less the same as the FTSE 100 with my income units, so the re-investment pushes it well over that, as you see.

I'm not sure why you are lagging. Presumably, without dividends you must be falling off the pace of the FTSE100.

Arb.

Indeed. I got off to a pretty bad start in 2017 and 2018 (Carilion and Keir), caught up a bit in 2020 and 2021 but have started lagging again this year. My XIRR versus the FTSE TR (in brackets) looks like this:

2017 5.17% (15.98%)
2018 -13.74% (-8.76%)
2019 17.4% (17.37%)
2020 0.53% (-11.55%)
2021 20.77% (18.5%)
2022 to date -8.10% (-3.11%)

I guess it represents some bad investment decisions and/or just a victim of the timing. Hey ho - at least the income is holding up with a current forecast portfolio yield of 6.5%.

[Arborbridge]

It's been a while, but this week's little bit of gloom made me curious. Here's the ArbHYP accumulation units rebased against the FTSE100 TR index:




Arb

[staffordian]

A good result thus far! I'm assuming from the shape of the plots that RPI rebased is the lower of the two blue lines?

[Arborbridge]

A good result thus far! I'm assuming from the shape of the plots that RPI rebased is the lower of the two blue lines?

Yes, sorry about the confusion. My program has an oddity in that I can choose different colours, but it doesn't want to save them - so I have to remember to alter them each time if I want to.

Arb.

[MrFoolish]

You are showing acc units for your HYP, which includes dividends reinvested.

Isn't it somewhat double accounting to be saying that in addition, you are getting a higher yield than the FTSE?

[staffordian]

You are showing acc units for your HYP, which includes dividends reinvested.

Isn't it somewhat double accounting to be saying that in addition, you are getting a higher yield than the FTSE?

But isn't Arb comparing his performance with the Total Return Index which also assumes reinvested income?