Rate my portfolio please

Hi there,
Thanks for accepting me in this community as it is really useful. I wanna introduce myself briefly. I work in NHS and late to the party for investment. But hey, it is better than nothing:)
I’m 45 yrs old now and, keep investing monthly £200 into S&S ISA, £100 into JISA (in HL) and £100 into SIPP monthly.
My plan it to invest around 10 yrs into SIPP and 15 yrs into S&S ISA.
. My risk appetite (just for now😂);

  • for the first 8 years is aggressive, %85 Equities and % 13 bonds and %2 cash
  • 5 years %50 equities and %50 bonds.

I am already in the managed portfolio, but I consider now DIY Portfolio I have two options on my mind, what would you do if you were in my shoes.
Ps: I know no one here is financial advisor, so please feel free to make your own comments without hesitating.

Option 1:

  1. %58 - Vanguard S&P 500 (VUAG)
  2. %20 - Vanguard FTSE Developed Europe Ex‑UK (VERG)
  3. %15 - Vanguard FTSE Emerging Markets (VFEG)
  4. %7 - Vanguard FTSE 100 (VUKG)

Option 2:

  1. iShares MSCI All Country World Index (SSAC) or
    HSBC MSCI World (HMWO)
  2. Invesco S&P 500 (SPXP) or iShares S&P 500
  3. iShares FTSE 100 (CUKX)
  4. iShares MSCI Emerging Markets IMI (EMIM)
  5. iShares NASDAQ 100 (CNX1) or Invesco Nasdaq 100 (EQQQ)
  6. WisdomTree UK Equity Income (WUKD) or iShares UK Dividend (IUKD)

Some questions but looks like you have thought it out.

  1. Why those funds / weightings?
  2. How often do you plan to rebalance?
  3. Have you considered VWRP/FWRG/HMWO or is your blend slightly cheaper?

Also some side notes:

The HL JISA is a great product and has no fees I believe, so there is the HSBC MSCI All World ETF with 0.13% OCF - for simplicity it’s hard to beat. Personally, when I have kids, I planned to use a side pot in our ISAs, so that we could choose to give them access to funds at a time of our choosing. Are you happy they get a lump sum at 18?

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Hi mate,
Thanks for the detailed response, I appreciate it.

  1. funds in option 1 is based on popularity, diversification and, confidence.
  2. the funds I consider are huge ones and includes many companies. Unless there is a huge problem in the future such as war etc, I don’t consider rebalancing regularly. Probably I’ll check and rebalance in every quarterly.
  3. VWRP (not considered due to TER). FWRG (I missed this, thanks. TER is fine as well). HMWO is already in my OPTION 2 list.

As I consider long term investment, cost of the fund is important for me. But at the same time, I’m looking forward to add reputable fund management companies such as Vanguard, Blackrock, or Invesco. Hedged funds are also my preference as I live in the UK.

Does it sound ok or am I missing something? Should I focus on my OPTION 1 or OPTION 2? I can’t decide on that😂

Thanks much for JISA recommendation, I’ll have a look at that ETF now. I was not considering HL but they removed their fee from JISA so it is no brainer not to open it in HL:) I’m fine not to touch funds in JISA till my son is 18. It provides some kinda confidence that he’ll get that money no matter we’ve been through any financial problems. That money will be always safe. I’m trying to provide him a good start point when he’s 18 whether he’ll keep on investing or travel the world to get more experience about life. At least this is my humble plan.

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