How to narrow down your fund options

Professional fund buyer Algy Smith-Maxwell explains how he sorts the wheat from the chaff among active funds, and why passive funds are a good starting point for new investors.

5th March 2024 13:02

by the interactive investor team from interactive investor

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In the second episode of a four-part bonus ISA series, Kyle asks professional fund buyer Algy Smith-Maxwell to explain how investors can avoid being overwhelmed by the thousands of fund options. Algy details how he sorts the wheat from the chaff among active funds, which includes a “two-minute test” when he meets fund managers. He also gives his views on why passive funds are a good starting point for new investors. Algy hosts his own podcast – Algy’s Investment Podcast – which is well worth checking out. 

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On The Money is an interactive investor (ii) podcast. For more investment news and ideas, visit https://www.ii.co.uk/stock-market-news.

Kyle Caldwell is collectives editor at interactive investor.

These articles are provided for information purposes only.  Occasionally, an opinion about whether to buy or sell a specific investment may be provided by third parties.  The content is not intended to be a personal recommendation to buy or sell any financial instrument or product, or to adopt any investment strategy as it is not provided based on an assessment of your investing knowledge and experience, your financial situation or your investment objectives. The value of your investments, and the income derived from them, may go down as well as up. You may not get back all the money that you invest. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.

Full performance can be found on the company or index summary page on the interactive investor website. Simply click on the company's or index name highlighted in the article.

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