Gilgongo wrote:I'm 52 and thinking of retiring in 5 years, so I thought I'd get my current investments (held by both myself and my wife) looked at by a professional with a view to living off them in perpetuity without too much maintenance hassle in the process.
We've got roughly 40% in a HYP (ISA), 20% in a Lunibasket L7 ITs (SIPP), 15% in cash and the rest in various ETFs (bonds, gilts, gold, and index trackers) in SIPPs and non-pension accounts. I also have a workplace pension that I'm contributing to that's currently worth about 5% of the whole. Overall, the current portfolio could have a bit more international exposure perhaps, but it's reasonably diverse.
The pro recommended consolidating around a mix of active and passive funds, one portfolio for each of us (we have different attitudes to risk).
The combined AMCs and other charges on the portfolio right now are costing about £2,000 year. For the convenience of a simple collection of diversified funds over the current hodge-podge of holdings (not to mention the management of the HYP), I'd expected to pay a bit more in charges. But the proposed portfolios would rack up over £4,000 per year, adding an extra AMC of about 0.35%
That's a fair headwind, but should I just accept is as the price of doing business?
G
No, look at https://monevator.com/