Not intending to draw on this money for 10 years
Very much interested in what other people are doing in their SIPPS?
Desire is to maintain capital value after accounting for inflation) and ideally have some growth there also.
Fully accept nothing anyone says is advice ... just interested in what others are doing.
Grateful for all input :)
You might find this recent video from Ian Shadrack useful - How to construct a retirement portfolio
EDIT - well that is most annoying, the link shows correctly in edit view but disappears when it is posted. If you search YouTube for Ian Shadrack, it is his latest video
The safest option for me would be a selection of low cost index funds, that's what I have in my SIPP, individual shares are in my trading accounts, and I have my SIPP with Vanguard due to the very low costs, be interested to know you decide on
Well taking a risk in a SIPP is a no no - I went for investment trusts - decent solid 5-8% returns.
I had the good luck to invest in £SERE who have done one special divi and are doing another in August, still time to get in before ex-divi date.
At present, I have half of my SIPP divided equally between three multi-asset investment trusts (Capital Gearing Trust, Personal Assets and Ruffer Investment Company) in order to reduce drawdowns in bear markets. I have the other half of my SIPP invested in equities via a number of more conventional investment trusts and exchange traded funds - the hope is that this half will produce some significant capital growth over the long term, although it's doing the opposite at the moment in the current bear market!
Hi, I have recently started a SIPP and have a bout 40K invested. Will start drawing down between 5-10 years. I am investing in decent companies with a good yield (trying to average 5% over all). I have recently added iEnergizer (LON:IBPO) and Telecom Plus (LON:TEP) for example, and I also own Legal & General (LON:LGEN) , and Property Franchise (LON:TPFG) . A few others on my SIPP watchlist that I am keeping an eye on. I probably need to mix things up with investment trusts etc at some point. Hope all goes well.
As of 31 May 2022, Ruffer held >10% in UK government bonds. With high inflation and more money printing likely, these probably won't perform well at all.
"As of 31 May 2022, Ruffer held >10% in UK government bonds. With high inflation and more money printing likely, these probably won't perform well at all."
I disagree - most of them are index-linked to inflation.
"I disagree - most of them are index-linked to inflation."
They are linked to a government figure for inflation that is clearly manipulated via hedonics and other underhanded skulduggery. See John William's ShadowStats website for the actual inflation rates using the old basket of goods & services. The real (i.e. post inflation) rate of return on these long dated bonds (earliest redemption date is 2024) is likely to be negative, the nominal coupon payments will be positive of course.
I have a feeling they have a put option against the said index linked bonds as well but not to the same weighting as their view of the bull case.
You could consider US based stocks that pay a decent dividend such as Somero Enterprises (LON:SOM), some SIPP providers reclaim all the dividend tax, which is worth 15% of the dividend compared to a ISA.
One a 5-10 year time horizon. Oil and Gas , Uranium, coal
All these are going to have a bull market for a decade or more.
Pioneer natural resources (pxd) dividends of ~13%, Serica (SQZ) - increadable cash flow....
or buy i shares oil services etf - in the US. This should ride the oil and gas boom. Even Shell will be a safeish bet.
Or this Fund could do well. Worth a listen.
https://open.spotify.com/episo...
Arch resources (ARCH), Thunglea Dividends (TGA) 20-30%. Loads of countries now reopening coal power stations due to lack of gas and nuclear. Peabody (BTU)
Uranium, limited options. There are only 2 companies make up most the worlds uranium supply, Cameco CCJ (Canadian) and one in Kazakhstan which I can never spell, long term uranium is the only way out of the government ESG created energy crisis.
Shipping ~VLCC and product tankers should have a great next few years. Pacific Basin Dry Bulk (Singapore exchange)
Good old safe UK stocks, Rio tinto, 14% Div , Glencore
My SIPP consists of a broad range of investments;
- Some Investment Trusts mixed across Global Growth and a number of other areas
- A number of UK dividend paying companies - I don't generally invest in IT's in this area as currently I like to pick my own and in essence create my own income PF (I may move more towards IT's in the future to save time/effort
- A host of commodity companies
- A small number of oil/gas companies - less speculative, but the odd driller
- A very small exposure to gold - I haven't really been taken with the "must have some gold thesis" but about 5% PF exposure
- A number of smaller companies - largely value focussed
I often question my stock-picking prowess and regularly consider rebalancing to let others (the professionals) do the heavy lifting and may do so in the future, but every time I look to cut some of my stocks and do this I convince myself that I have got some great holdings and what will a professional do ............. especially when I look at the holdings in many UT & IT's and find them holding stocks I already hold - I'd just be paying their fees. Although I accept they are more diversified and therefore less high-risk.
All of this could probably be achieved with some decent trackers. Take a look at Ian Shadracks Youtube and twitter fed as he puts some good stuff up.
