Giacomo (@Logan200_) on getquin

4D·

Hello everyone, I have been carrying on an accumulation on $IWDA (+0.05%) since about October 2023, but initially I was only putting in 400€ per month.

I started in a serious way with a real strategy only in June 2024, putting 1200€ per month.

About 17k more to go to get to my asset allocation, when I started investing I chose the PAC strategy because I was at the 'beginning and I was afraid of possible collapses.... (even though I had different available liquidity), obviously now it turned out to be the worst strategy given the performance of the markets in this last year, it was better a PIC with the liquidity I had.

Now, should I continue with my CAP strategy and get to allocation by the end of the year, or should I invest, even if currently maxing out, in larger amounts?

Even with the current situation and a possible market correction?

I could also continue with monthly PACs and have surplus liquidity ready to enter more "heavily" if there is a correction in the coming months

In any case, my strategy is to hold this ETF for the long term, 20-30 years minimum, I am now 24 years old.

Thank you all!

21 Comments

Manuele@yby

A very long-term investment such as the one you are making is affected to a certain extent by market timing: if you believe that the value of the stock will continue to rise on average, in 20 to 30 years whether you bought at €100 or €95 does not make a real difference. For a type of investment like this it pays much more to stay in the market so the longer you invest the better.

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Ivan@IvanLab

@Logan200_ I'll tell you what I would do, pour in a 30-40% right away, recalibrate the pac with the remaining amount, and finally consider a larger entry on a major drop. It's a hybrid solution that would perhaps give you more peace of mind.

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Lollo@Solid_Lollo

21H

Bravo that at 24 you are already thinking about your future! All the advice you have been given is helpful and valid.

I'll tell you what I would do in your situation: invest all the cash you have and then continue with the €1200/month PAC. In 10 to 15 years maybe you will change strategy/goals but you will have already set aside a nice nest egg and then you will have more experience to figure out what best to do with your portfolio.

My 2 cents :)

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Ivan@IvanLab

I agree with what Manuel said about that horizon little changes.

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Giacomo@Revan9

I think your initial asset allocation was not wrong but just congruent with your risk appetite! The initial entry with PAC may fit if entering with a PIC would not have made you sleep at night. Now it matters little how far the markets are, for the long term the important thing is to stay within the market as Manuel said.

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Bertux@bertux

it is no problem to do a long term etf PAC plan. statistically the market has always risen and by taking off little by little you will have a nice capital in your hand in a few years. continue with the PAC and don't be demoralized by the temporary market performance. I advise my clients not to look from time to time at the investment

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