Hello, I have decided to include two ETFs in my portfolio: an MSCI World and an MSCI World ex USA. These two ETFs make up the largest part of my portfolio.

The MSCI World consists of about 70% US stocks, and since I am already heavily invested in individual US stocks, I chose the MSCI World instead of the S&P 500 to avoid too much concentration. In addition, I have chosen the MSCI World ex USA to further diversify.

Of course there are overlaps, but you also have to look at the weightings that each ETF gives to the individual stocks.

What do you think?

Would a combination of S&P 500 and MSCI World ex USA have been better, or do you think my more diversified solution makes more sense?

#Thanks for your advice!

$IWDA (-0.13%)
$EXUS (-0.97%)

In a recent article, "Welt" pointed out the alternatives to the classic MSCI World when it comes to the "US share" cluster risk.

Almost 70 percent of the index is made up of US equities. And this can increasingly become a problem - especially in the age of US President Donald Trump.

This is precisely where the new ETF from BNP Paribas Asset Management comes in. The Easy MSCI World Equal Weight Select ETF (WKN: A417BH) reduces the US share to 35.8 percent.

The fund distributes all shares equally weighted. This means that it is not the big tech stocks such as Apple, Microsoft and Nvidia that set the tone, but every stock counts equally. In addition, stocks with the worst ESG ratings (environmental, social, governance) are excluded. This makes the fund a classic Article 8 fund - so it is also suitable for sustainability-oriented investors.

There is no longer a single US stock in the top 10 of this new index. Instead, there are European defense stocks such as $RHM (-1.75%)
Rheinmetall, $BA. (-2.36%)
BAE Systems and $SAAB B (-1.77%)
Saab. In the classic MSCI World, the first 23 stocks come from the USA - only in 24th place comes $SAP (+0.44%)
SAP comes a European.

In the current market phase, equally weighted variants have really caught up. They are up around one percent, while the MSCI World is down four percent. The MSCI World ex USA
$EXUS (-0.97%) performed even better. Since the beginning of the year, it is eleven percentage points ahead of the classic.

The Invesco MSCI World Equal Weight ETF has raised half a billion euros within a short space of time and the MSCI World ex USA has now raised 2.4 billion euros.

Source (excerpt): "Welt", 03.06.25 | Graphic: ChatGPT

What is your opinion? Do you think these ETFs are attractive? I look forward to your comments.

$EXUS (-0.97%) Why do you have a World ex USA ETF if it always shits in the same way when the Americans do shit? You talk about differentiation, what's the point?

I am currently using the $ISAC (-0.08%) I am broadly diversified and generally well positioned, but I would like to be able to weight certain regions independently. I am thinking of the following ETF model:

• An MSCI WORLD EX USA, e.g. $EXUS (-0.97%)
• 
  The classic S&P 500 $CSPX (+0%)
• 
  An emerging markets ETF, e.g. $VFEM (+1.41%)

My idea would be (savings plan):

• $EXUS (-0.97%) 40%
• $CSPX (+0%) 45%
• $VFEM (+1.41%) 15%

What do you think of the selected ETFs? How would you weight the ETFs in a savings plan with a view to the future?

I had described here https://getqu.in/wtMaho/ described an investment reserve that can generate an excess return with similar or lower volatility than the overall market.

Very abbreviated:

We hold 20% in cash bonds and gold and start buying in reset, pyranized with increasing leverage.

What has changed since the last post?

1. all US bonds and US dollar cash have been removed from the portfolio, the uncertainties surrounding the Mar-a-Lago Accord are simply too great in relation to the opportunity to take a few percentage points in currency gains.

2. as it was (rightly) pointed out that the strategy is somewhat fragmented, I decided to make a few small adjustments.

The inflation-linked government bonds have left the portfolio. On reflection, money market funds and long-dated bonds are completely sufficient to compensate for inflation. (thanks for the comment @SchlaubiSchlumpf )

The investment reserve therefore looks like this:

-------------------------------------------

EURO

30.0% Money Market $CSH2 (+0%)

30.0% German Gov. Bonds 7+Y $X03G (+0.12%)

-------------------------------------60%

Swiss Franc

20.0% Swiss Gov.Bonds 7-10Y $CH0440081393 (+0.09%)

-------------------------------------20%

Swiss Gold

20.0% Gold $EWG2 (+0%)

-------------------------------------20%

==========100%==========

3. on the way south, the portfolio has already been rebalanced twice.

In concrete terms, this means that bonds have been sold and the $VWCE (-0.14%) bought so that the 80/20 ratio is maintained.

The $ACWI in USD broke through the threshold of 10% to its all-time high today, whereby the first still leveraged position was built up.

Purchased were:

2.5% MSCI World Ex USA $EXUS (-0.97%)

1.0% MSCI USA 2x $CL2 (+0.99%)

This means that the first 17.5% of our investment reserve is now invested.

The next purchase will be made when the $ACWI 20% away from the ATH, which would then be around $100.00

Greetings,

I have a question regarding the currency risk in ETFs.

As you know, the dollar is the world's currency and is traded almost everywhere, so there is a big currency risk.

I know that you should invest for the long term, accept setbacks and other risks.

There is more chunk risk of the Americans in the World or Allworld.

The Ex USA ETF $EXUS (-0.97%) is 50% European and the currency is almost 30% in euros and 6% in dollars.

Does it make sense to buy this ETF in the current situation (no portfolio yet) + an additional S&P500 $CSPX (+0%) at a later date, when the dollar is doing better again?

Or the simple Allworld "with eyes closed and through"?

Many thanks for the usual qualified answers :)