My wife is inheriting an investment holding company that belonged to her grandpa, who passed away a few years ago. The ownership transfer is in the final stages, so we’ll need to start thinking about what we ought to do with the assets it holds. Could you guys give us some guidance?
The company’s assets are in a Swiss account that includes:
- 175 ozt fine gold (0.995), valued at about $500K USD;
- 2,000 shares of UBS Asia Flexible Bond Fund USD P-acc, valued at about $300K USD;
- Cash, mostly in Euros, valued around €350K/$360K.
The Asia bond fund invests in a variety of countries, including Indonesia, the Philippines, and Sri Lanka. About a quarter is sovereign bonds, and the rest is a mixture of bonds in those emerging markets.
The performance is not terrific, but now does seem like a good high point to sell. The percentage growth over the years was -5.7% in 2021, -16.4% in 2022, 3.9% in 2023, and 5.8% in 2024. Am I correct in thinking it’s rational to sell these shares?
As for the gold, I’m not actually sure what makes the most sense. Thoughts?
Those kind of numbers are kinda beyond this sub. I would 100% talk to the company accountant and discuss what wholesale index funds are available to you.
There are a large number of funds available to us through the company, which has its account at UBS Switzerland AG. What should we be prioritizing when fund-shopping?
Low fee index funds are usually a good options to look at.
Something that tracks S&P 500 or the STOXX 600.
Is one better than the other?
No, the S&P covers the US markets while the STOXX covers EU markets. For sake of diversity I would get a rough 50/50 split.
Ah, STOXX it is, then! I’d like to stay away from US assets as much as possible, given the current… environment.