Turn on thread page Beta

Investing in a fund- what's the point? watch

Announcements
    • Thread Starter
    Offline

    20
    ReputationRep:
    If I invested £10000 into this fund:
    https://www.vanguard.co.uk/uk/portal...=uk&docId=2042

    what is the advantage of doing this over just allocating the money myself using the same allocation as the fund? The second page shows how the assets are allocated into different investment products.
    Offline

    20
    ReputationRep:
    (Original post by Ladbants)
    If I invested £10000 into this fund:
    https://www.vanguard.co.uk/uk/portal...=uk&docId=2042

    what is the advantage of doing this over just allocating the money myself using the same allocation as the fund? The second page shows how the assets are allocated into different investment products.
    Time and dealing costs.
    • Community Assistant
    Offline

    21
    ReputationRep:
    Community Assistant
    Simplicity.
    Offline

    3
    ReputationRep:
    The convenience of not having to rebalance occasionally.
    • Thread Starter
    Offline

    20
    ReputationRep:
    Hi guys, thanks for your responses. I have another unrelated question. If I bought a flat with a 99-year lease, will the price of the flat decrease as time goes on? Since the lease time becomes lower and lower.

    Reue Napp estel
    Offline

    20
    ReputationRep:
    (Original post by Ladbants)
    Hi guys, thanks for your responses. I have another unrelated question. If I bought a flat with a 99-year lease, will the price of the flat decrease as time goes on? Since the lease time becomes lower and lower.

    Reue Napp estel
    Yes and you'll find it almost impossible to sell with anything less than 40 years left *
    Offline

    19
    ReputationRep:
    (Original post by Ladbants)
    Hi guys, thanks for your responses. I have another unrelated question. If I bought a flat with a 99-year lease, will the price of the flat decrease as time goes on? Since the lease time becomes lower and lower.

    Reue Napp estel
    Yes it becomes lower but you have a statutory right to extend a long lease by 90 years for a fee (essentially the difference between the value of the LLs right to the property in x years and the LLs right to the property in x+90 years, calculated at an interest rate of 5%).
    • Community Assistant
    Offline

    21
    ReputationRep:
    Community Assistant
    (Original post by Ladbants)
    Hi guys, thanks for your responses. I have another unrelated question. If I bought a flat with a 99-year lease, will the price of the flat decrease as time goes on? Since the lease time becomes lower and lower.

    Reue Napp estel
    Indeed it will albeit unless you owned and resided in said flat for your lifetime its doubtful youd see much of a change.
    (Original post by Reue)
    Yes and you'll find it almost impossible to sell with anything less than 40 years left *
    What absolute tosh. If said flat is in a good location [e.g. most of the flats in central/west london] There is no problem selling it, hell many would like one with a shorter lease as it gives them the option to move or renew.
    Offline

    20
    ReputationRep:
    (Original post by Napp)
    hell many would like one with a shorter lease as it gives them the option to move or renew.
    *

    A tiny minority perhaps
    • Thread Starter
    Offline

    20
    ReputationRep:
    (Original post by Reue)
    Yes and you'll find it almost impossible to sell with anything less than 40 years left *
    Thanks
 
 
 
Poll
Do you think parents should charge rent?

The Student Room, Get Revising and Marked by Teachers are trading names of The Student Room Group Ltd.

Register Number: 04666380 (England and Wales), VAT No. 806 8067 22 Registered Office: International House, Queens Road, Brighton, BN1 3XE

Write a reply...
Reply
Hide
Reputation gems: You get these gems as you gain rep from other members for making good contributions and giving helpful advice.