Remove ads

Introducing the LemonFools Personal Finance Calculators

Inherited Portfolio

Investment discussion for beginners. Why you should invest your money, get help getting started
maillion
Posts: 3
Joined: October 25th, 2018, 2:33 pm

Re: Inherited Portfolio

#180464

Postby maillion » November 15th, 2018, 10:08 am

Urbandreamer wrote:I confess that I hold about the same number of investments. Some of mine should be desposed of too so I'm no saint. I suspect that your Dad was interested rather than "invested" in the smaller holdings. That is to say that he held them for his entertainment, rather than carefully considered reasons. All well and good, but while in your own porfolio you can indulge your interests it's unlikely that your Mum will be interested or entertained by the performance of the smaller holdings in this portfolio. They certainly will have little to no effect upon the portfolio performance, simply because they are so small.



This is the case I think. I suspect with bits of new money he experimented by investing in whatever he had just read about..... :?


What I feel like I could with is a tool that will analyse the entire portfolio, and give me information on the diversity of the portfolio, e.g. how global it is, and what proportions of it are in bonds and equities in different classes of companies.

Does this exist?

Alaric
Lemon Quarter
Posts: 2286
Joined: November 5th, 2016, 9:05 am
Has thanked: 4 times
Been thanked: 456 times

Re: Inherited Portfolio

#180479

Postby Alaric » November 15th, 2018, 10:36 am

maillion wrote:What I feel like I could with is a tool that will analyse the entire portfolio, and give me information on the diversity of the portfolio, e.g. how global it is, and what proportions of it are in bonds and equities in different classes of companies.

Does this exist?



You need to root around your Brokers' websites to see what they offer. As I think you said the holdings were split among several Brokers, you have to do the overall consolidation.

Otherwise I believe there are commercial products which do this. Perhaps ask on the "software" board.

Urbandreamer
Lemon Slice
Posts: 468
Joined: December 7th, 2016, 9:09 pm
Has thanked: 21 times
Been thanked: 87 times

Re: Inherited Portfolio

#180488

Postby Urbandreamer » November 15th, 2018, 10:53 am

maillion wrote:What I feel like I could with is a tool that will analyse the entire portfolio, and give me information on the diversity of the portfolio, e.g. how global it is, and what proportions of it are in bonds and equities in different classes of companies.

Does this exist?


Indeed it does.
Morningstar have a tool called portfolio X-ray.

Your broker may or may not provide it to analyse your account, but if you have multiple accounts you may need to visit MorningStar and combine them there.
http://www.morningstar.co.uk/uk/

Running it on an ISA that I hold with A J Bell that simple contains 3 Investment Trusts indicates that:
38.4% is in the Amaricas, 37,3% in the US.
47% Greater Asia
14.62% Europe.

Sectors
22% Consumer Cyclic
18% Financial services
20% Technoledgy.

And that the Top holding is
4.3% Amazon.

It's a great tool if you are into Mutuals like Funds, IT's etc.
I don't use it at all, because that's not the way that I invest.

Urbandreamer
Lemon Slice
Posts: 468
Joined: December 7th, 2016, 9:09 pm
Has thanked: 21 times
Been thanked: 87 times

Re: Inherited Portfolio

#180602

Postby Urbandreamer » November 15th, 2018, 4:26 pm

The top 10 funds in the portfolio are all accumulation funds and amount to 72% of the portfolio.

If the intention is income then that could really only be achieved by selling units.

I'm limited to 10 funds that I can investigate with A J Bell, so only looked at the top 10.
On the top 10 Funds:

75% of that is UK based, not such a bad idea if you are thinking of it as a UK pension, but why is everything accumulation units if so? Investing more in the US would probably improve the possibility of growth. However I'm only looking at 7/10 of the portfolio so it might be more balanced than that.

MorningStar thinks you have a 40-25-33 split between Cyclical,Sensitive,Defensive sectors
82-8 split equities,bonds.

Top holdings

Unilever 2.4%
RELX
Diageo
Imperial Brands
BP
British American Tobacco 1.34%

That's just a quick overview. I'll leave you to do more research.

doug2500
2 Lemon pips
Posts: 195
Joined: November 4th, 2016, 11:51 am
Has thanked: 19 times
Been thanked: 50 times

Re: Inherited Portfolio

#180616

Postby doug2500 » November 15th, 2018, 4:56 pm

While I wouldn't go against Urbandreamers advice (and without knowing the finer details of your objectives) what I would probably do (and bear in mind this is me not you) is sell everything below 5% and put the money into Finsbury, FEET, the 250 tracker and Witan. I'd probably keep Linsell Train IT, but that's just me.

Then you can follow, learn and reflect before making further changes in your own time. Equally you could choose the cut off at 4%, or 3%. The main point is that I think it's sound advice to have a bit of a clear out.

You could also have the clear out and then just sit on the cash but that's much harder to deal with as you need to then make the (harder than it looks) decision about when to buy. When I cleared up my parents portfolios I just decided that they were fully invested to start with and that's the way they'd stay. This made decisions much easier.

For the record I'm also not a fan of funds (apart from fundsmith and Linsell train!) and not an expert on most in your list so bear that in mind. This is just 'bloke on the internet' advice for all that's worth!

BobbyD
Lemon Quarter
Posts: 2786
Joined: January 22nd, 2017, 2:29 pm
Has thanked: 51 times
Been thanked: 122 times

Re: Inherited Portfolio

#183889

Postby BobbyD » November 30th, 2018, 2:45 am

maillion wrote:I think its pertinent to:
1) Work out what to do with my £40k (i would use mine and my wife's ISA allowances) and a monthly investment of circa £400 each.
2) Work out the risk level in mum's portfolio - and remove any high risk investments that I am not capable of managing yet / don't match her risk profile - but do this at the right time!


The first thing I'd do is move the £40k to a place where it is doing atleast a little work while you plan its long term future and distribute it. 1.5% isn't going to change your life, but if even half the money ends up sitting there for a year it's an extra £300. It's probably also not a bad idea to separate it form every day funds in case it tries to escape while you aren't looking and spends itself on a few little luxuries.

A compromise with your mother might be that she holds on to the capital but distributes the income. She gets to feel like she's helping out her family and her family don't feel like they are consigning her to the poor house, although if it comes to care I'd aim to get there with no money and a solvent and supportive family.


Return to “How Do I Invest”

Who is online

Users browsing this forum: No registered users and 1 guest