Sebastian (@Shotmaster) on getquin

1Mon·

Hello dear Gequin Community,

I am currently working on restructuring my portfolio. Historically, I currently have a few funds and a number of individual shares.

I would like to switch the funds to ETFs and continue to save in them.

Classically, I would now select the following ETFs:

$VWCE (+0.99%) / $VHYL (+0.98%) and $VFEG (+0.03%)

Now my little thought experiment: Why should I limit myself to three ETFS when I could spread the whole thing much more widely? I have also thought about something like this (with smaller sums, of course):

Of course I have a few duplications here, but I am much more differentiated.

Does this approach make sense in your eyes or is it a modest idea?

5 Comments

Luffy@Luffy3D2Y

1Mon

Even if some disagree, sector ETFs are not a slice of the pie. It's just like a casino. You bet on a sector and hope to achieve an excess return. It can go well, but it can also go wrong. If you're aware of that, then it's okay. And why shouldn't you limit yourself to just three ETFs? First of all, what is your goal with more than three ETFs? You want to switch for a specific reason. Is that still the case? Do you want to go to the trouble of weighting the individual ETFs depending on what's going well or badly?

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Kate@Iwanowitsch

1Mon

No, because sector ETFs are a slice. They contain both the winners and the losers of a sector and are highly weighted. Listen to Gerd Kommer or his son @DonkeyInvestor and stick to the World Portfolio.

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Holistic D.@HolisticDreamer

1Mon

That would be too complex for me ... Basic investment with 2 to 4 funds as core ... World, EU, EM possibly Jpn ... and then <5 themes via single picking or theme funds. My personal experience, however, is that the return does not really improve ... with 8 or 12 funds. But I am also in the cleanup process myself ... with backtracking I would have done much better with the above strategy.

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