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Jay P
Posted: 25 January 2024 22:17:57(UTC)
#4

Joined: 25/08/2023(UTC)
Posts: 526
Shetland;293863 wrote:
Dexi;293814 wrote:
ISP6 is a US small cap ETF , might be an idea to check out how the fund compares to a passive alternative .


Do you know the full name of ISP6 as HL doesn’t recognise it

It did just now.
https://www.hl.co.uk/sha...llcap-600-ucits-etf-gbp

Total Returns-
12.74% over 3 months
1.81% over 1 year
17.3% over 3 years
51.22% over 5 years.
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Isaac J
Posted: 25 January 2024 22:37:01(UTC)
#5

Joined: 25/05/2022(UTC)
Posts: 298
Jay P;293864 wrote:
Shetland;293863 wrote:
Dexi;293814 wrote:
ISP6 is a US small cap ETF , might be an idea to check out how the fund compares to a passive alternative .


Do you know the full name of ISP6 as HL doesn’t recognise it

It did just now.
https://www.hl.co.uk/sha...llcap-600-ucits-etf-gbp

Total Returns-
12.74% over 3 months
1.81% over 1 year
17.3% over 3 years
51.22% over 5 years.


So using those passive returns compared with the FTF Royce US Smaller Companies fund the original poster mentioned:
11.76% over 3 months
5.52% over 1 year
27.11% over 3 years
75.15% over 5 years

Presumably that outperformance is why the fund was suggested... Don't know if it will continue, of course. (My personal experience with failed performance chasing in the past has made me quite cautious).

I do see HL give a loyalty bonus of 0.33% though, which would cover most of the 0.45% platform holding fee at least.
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J-san
Posted: 25 January 2024 23:17:16(UTC)
#14

Joined: 16/04/2013(UTC)
Posts: 462
Have you considered a global small cap ETF?

You'll get two-thirds USA anyway but pick up a bit of diversification

I've held this one for a while:

Shares MSCI World Small Cap ETF - ticker WLDS

I only mention it because I've tried various regional small-cap combinations over the years and in the end it's just pot luck as to where will perform well in any given timeframe and how currencies move etc. I realise the US is a bit of a separate case of course, but still.

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Thrugelmir
Posted: 25 January 2024 23:41:05(UTC)
#15

Joined: 01/06/2012(UTC)
Posts: 5,317
J-san;293866 wrote:
Have you considered a global small cap ETF?




In a global context small is still large.
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J-san
Posted: 27 January 2024 00:29:15(UTC)
#16

Joined: 16/04/2013(UTC)
Posts: 462
Thrugelmir;293868 wrote:
J-san;293866 wrote:
Have you considered a global small cap ETF?




In a global context small is still large.


what do you mean?
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Thrugelmir
Posted: 27 January 2024 00:55:31(UTC)
#17

Joined: 01/06/2012(UTC)
Posts: 5,317
J-san;293997 wrote:
Thrugelmir;293868 wrote:
J-san;293866 wrote:
Have you considered a global small cap ETF?




In a global context small is still large.


what do you mean?


Market capitalisaton. Then refined in terms of free float and daily levels of trading liquidity. Shares held by family, management, other connected parties, classes of share with different voting rights or held under restricted terms being excluded from the calculation.

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David Robson
Posted: 28 January 2024 10:06:35(UTC)
#11

Joined: 16/04/2021(UTC)
Posts: 18
Newbie;293861 wrote:
David Robson;293845 wrote:
Thrugelmir;293838 wrote:
David Robson;293809 wrote:
New investor, and thinking of investing in a US Small Cap Fund.
Been recommended FTF Royce US Smaller Companies to look at.


What was the source of the recommendation? Unusual choice for a new investor.

Out of curiosity what else does your portfolio contain.


Hi
I read an article talking about US Small Caps being good value at the moment and they recommended this fund.
I only currently have 3 ETF's INRG,AIAG,SMT
Thanks

New investor !!
You have either dived in with specialist sector bets with those 3 holdings, or there is a bigger picture.
Nothing wrong with those as per se, but if they are your only holdings then is it punts you are taking rather than investing - they can and do swing violently so you need the stomach for it - 50% downward pulls can be expected with those type of holdings - SMT at its peak was above £15 per share, it went down to £6.92 recently. In the GFC it went from £7 per share down to 96p. Before that it went from £3 to 60p and stayed relatively flat - It is all well if you are able to ride that out and continue to hold when it tanks. Today's share price for SMT is just a tough above what it was in 2006

Those three normally form satellites around a broader core holding.

( I am not knocking SMT - I have had for 3 decades just highlighting the experience and voltaile nature of it)
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David Robson
Posted: 28 January 2024 10:11:49(UTC)
#18

Joined: 16/04/2021(UTC)
Posts: 18
As said..only been investing for around 18 months so been buying dips then selling..done OK to date. Bought SMT at £6.30 × 2000 so that's doing OK at the moment..Will hang on to that.. Retire this year so obviously have a fair chunk in fixed cash at just over 5% plus isa. So not looking long term stuff..
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