CryptoPlankton wrote:FredBloggs wrote:Long term, we're all dead. Make as much money as you can while you can. Go against the crowd as required or if you feel more comfortable having peer approval behind you, go right ahead and buy City of London. Get that warm fuzzy feeling.
If, as you point out, we're all dead in the long term, what is the point in busting a gut to "make as much money as you can while you can"? It is, after all, only money and if you can generate as much as you need to live the life you want simply, with minimal risk and stress (perhaps by investing in the likes of CTY), then why wouldn't you? Nothing wrong with deriving a warm fuzzy feeling from being in that position (not sure where peer approval comes into it?).
Dod101 wrote:I lean further in this direction than Fred's. The point about peer approval I think is that I as I have said many times there is no safety in numbers and yet the number of times I see a comment like 'XYZ is looking good. Any one thinking of taking a punt/nibble/whatever?' A bit like the pure unthinking HYPer, there seem to be a lot of people who love City of London and so the sort of person who asks my question is likely to say' Hey there must be something in this, let's have a slice as well'.
Yes you have said it many times, and I don't necessarily disagree (though I wouldn't be so disparaging as to call anyone a "pure unthinking HYPer"!), but what is its relevance to this thread? The OP had assessed the five year performance of CTY v a FTSE all share tracker, and simply asked other people's opinion, given their similar outcomes. That is a far cry from "XYZ is looking good. Any one thinking of taking a punt/nibble/whatever?" And, as far as I can see, nobody else on the thread has contributed anything along those lines so why has it come up yet again? But anyway, isn't it just possible that "there seem to be a lot of people who love City of London" simply because it has a solid long term record, especially for increasing its dividends?
However, my main reason for posting was that it struck me as presumptuous (and quite condescending) to suggest that anyone investing in CTY (that doesn't include me, btw) is seeking the "warm fuzzy feeling" of having peer approval behind them. And it certainly doesn't add anything meaningful to a case against investing in it, so why say it?
Dod101 wrote:There is a time in one's investing career when busting a gut to make as much money as you can is sensible...
Possibly, depending on your circumstances, but that isn't quite the same as "make as much money as you can
while you can" - and my point was that you only have to make as much money as you can while you need to. Some people may chose to continue to actively try to maximise their returns and others may be content to be more passive. There is no right or wrong and we should all accept and respect that other people have different motives and priorities.
Dod101 wrote:...and one of the problems of this sort of Board is that we do not have a profile which tells us where in an investing career we all are. I am past the stage of worrying too much about making a lot more money and prefer the problem of spending it. There might even come a time when I will either voluntarily or otherwise give up managing my portfolio as closely as I do and so the likes of City of London would be a good proxy.
Exactly, and not everyone develops the interest to spend any more of their time on their investments than they have to so some exposure to CTY may suit them well.
Dod101 wrote:Currently though it gives me nothing that I cannot do myself and it is for widows, orphans and those in their dotage I think.
And, of course, those that don't share your interest (or experience) in investing?
Dod101 wrote:To comment on the other point about fivers, the Income Fiver gives you the income without needing to think about timing or anything else. If you are living off your investments as I am (except for the State Pension) it is very comforting to have a week like I have just had with dividends rolling in on most days without my having to do anything. I almost never have any debts (not even a credit card except if I go on an expensive trip) and so this sort of week puts me well in credit. I like that and thus I like the Income Fiver!
With you on that one.