5Mon

If successful companies were to be shifted, the weighting within these world indices would also change accordingly. Otherwise, there is always the option of using other ETFs to increase the weighting of missing countries and sectors within the portfolio.
I have also done the latter, adjusting areas in the AllWorld ETF that are too underweighted for my taste by adding further ETFs, and I am still adjusting this month by month via my savings plans.

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5Mon

@Metis Which ETFs have you added?

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5Mon

@leveragegrinding Uhm. My AllWorld already has a US share of less than 50% (because it focuses on dividends), to which I have so far added an EM. My savings rate is still pretty low, so I can't do everything at once, but I have my eyes open for Asia and will go for it if my wallet allows it.

Apart from that, more and more of the same ETFs with ex-USA are coming out, so I might take another look at them.

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5Mon

I see it similarly. Of course, the weighting of the All World ETF would also change with market changes, but in my opinion you are better positioned with a world portfolio of various regional ETFs than with a single one, also because you can then practise timing much better. Because timing is everything. :) Of course, the one ETF solution is convenient and for some it is the best solution.

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5Mon

@Iwanowitsch Time in the market beats timing the market.

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5Mon

@Iwanowitsch I wouldn't justify it with iming either, that's exactly what I want to avoid. Always investing the same amount in everything and timing becomes irrelevant, I'm not interested in returns but in risk neutrality

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5Mon

@Metis yeah, that's what they all preach and I preach, timing is everything. :p

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5Mon

@Iwanowitsch You can no more see into the future for years and decades than anyone else before you and consistently outperform the global market for 30 years ;)
You are neither the first nor will you be the last to believe this and fail.

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5Mon

@leveragegrinding The timing is not my reason, but the positive side effect. Hence the introduction with "also"

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5Mon

@Metis nana, don't be so pessimistic ;)

It's possible, it just takes MUCH more time

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5Mon

@Metis I have not claimed to be able to do this or to have it under control. But I do believe that timing makes the ultimate difference and that ongoing savings plans are nonsense or the least of all evils.

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5Mon

@leveragegrinding The statistics show that not even professionals who do the stock market full-time can do this for decades. :D In what way should private investors be able to do that?

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5Mon

@Metis Show me the statistics

The only statistics available show that funds never outperform. However, this is largely due to the cost structure.

As an example, just think how simple it has been in recent years; if you bought US tech (IcH mAg IPhoNeS, KauFe AppLe shares), you outperformed.

It's not a question of whether it's down to skill afterwards, it's just a question of having outperformed afterwards :)

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View all 8 further answers

5Mon

@leveragegrinding Well. Who puts together the funds? That's right, people who do the stock market full-time. Do you think they would still be working in such companies if they were permanently so successful on the stock market? And it's always easy to say afterwards what was easy. But nobody knows what will be successful in the future.

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Fetzen@Fetzen

5Mon

So if you want to avoid the USA, you can consider something like $EXUS, or something with EM and Europe

Otherwise I have a similar view. Even if I don't mind the USA... AW is just weighted by market cap and you can question that

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CashBurner 🔥@DonkeyInvestor

5Mon

@Fetzen would have chosen the FTSE ex us rather than blackrock, but yes, similar.

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Fetzen@Fetzen

5Mon

@leveragegrinding yoar I just mean "something like"

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5Mon

That's why I've also added an IT ETF to my portfolio. That way I get even more USA 🚀

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Kill_Baulitz@Johann_van_der_Smut

5Mon

Let's not kid ourselves - without a US overweight you won't get these returns either. I don't understand the panic many people are feeling about this. If things don't go well in the US, they won't go well anywhere else. Diversification or not. Have you ever experienced a phase where the stock markets in the US went down and that didn't affect the rest of the world?

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Kill_Baulitz@Johann_van_der_Smut

5Mon

@Johann_van_der_Smut yes.
However, most people want diversification to minimize risk. And that doesn't work with overweighting 😂

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5Mon

@leveragegrinding Yes, and a maximum return at the same time. It just doesn't work.

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Chrisse95@Chris_legt_an

5Mon

I think most people who are involved in investing are aware that the US is simply overweighted in the ETFs.
However, I don't think it's a bad thing, the companies are so big and so global, I can't think of any scenarios that explicitly hit the US so hard that I'm at a disadvantage.
If you really want to focus more on All World then I think it's a trade off with strong returns for high risk.

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5Mon

@Chris_legt_an Scenario for Us Tech? China attacks Taiwan, semiconductors become a scarce commodity. Tech would be f*cked

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Chrisse95@Chris_legt_an

5Mon

@leveragegrinding That would be a scenario that would definitely have a strong impact on the tech sector. But it will have a wider impact than the strong US tech sector.
Moreover, it's not a scenario that wasn't previously considered unlikely and I wouldn't be surprised if the US already had an emergency solution for these scenarios.

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High F.@HighFoxtrot

5Mon

If the US market crashes, then everyone crashes. Nevertheless, I take a similar view and have also bought the Europe ETF with 25%. It costs a bit of a return, but I feel a bit better...

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