Luck_Club
Full time employment: Posting here.
- Joined
- Dec 5, 2016
- Messages
- 733
Do you hold all your eggs in a few individual stocks and bonds as opposed to a broader based mutual fund or index type investing? Share with me your successes or failures on investing only with a few individual dividend paying stocks or individual bonds though a low cost broker like fido. Of particular interest would be buy and hold strategies
Background:
I'm managing an elders financial affairs, and noticed their portfolio has 100's maybe over a 1000 of individual stocks & individual bonds spread among the accounts. These are actively managed for about a 1.14% fee. Allegedly according to the broker their is tons of risk mitigation and given the age of the account owner etc it is a very conservative investment strategy overall designed to mitigate potential downside risk.
Here is the rub. The 1.14% fee is taking about 35% of the total return, and I find it incredibly confusing to watch or understand this many individual small bets. The wrap account names don't trade on an exchange so tracking the performance prior to my getting involved is impossible. Over the past 3 years or so I believe the return has been sub 5% though it is hard to tell from the statements.
Background:
I'm managing an elders financial affairs, and noticed their portfolio has 100's maybe over a 1000 of individual stocks & individual bonds spread among the accounts. These are actively managed for about a 1.14% fee. Allegedly according to the broker their is tons of risk mitigation and given the age of the account owner etc it is a very conservative investment strategy overall designed to mitigate potential downside risk.
Here is the rub. The 1.14% fee is taking about 35% of the total return, and I find it incredibly confusing to watch or understand this many individual small bets. The wrap account names don't trade on an exchange so tracking the performance prior to my getting involved is impossible. Over the past 3 years or so I believe the return has been sub 5% though it is hard to tell from the statements.