I'm a firm believer in the KISS ("Keep It Simple Stupid") acronym, especially when it comes to long-term investing. Below is the over-summarised version of the Fund of Funds (FOF) strategy:
The above strategy works well once it's up and running because it doesn't need ongoing maintenance; you put your faith in the fund managers you believe are the best at what they do, and invest in their funds each month.
That's the easy part. The tricky part is deciding which funds you want to invest in. In this post, I'll cover five questions it's worth asking yourself before choosing funds for your FOF investment portfolio.