2D·

In 3 months, my decision at the time to invest (again) will celebrate its 7th anniversary...

...and as of today, my portfolio stands at just under 310k (rounded up a bit), as a purely passive investor in those boring but tried-and-true ETF structures (from which I’ve strayed every now and then without taking a nasty fall—the IZF is hovering around 14% 😮‍💨😄). $VWCE (-0.59%)
$WSML (-0.47%)
$XMME (-0.07%)
$IWDA (-0.73%)
$BTC (+6.74%)

Is this a good result? Is the performance over this period a success or just average? Just 3–4 years ago, questions like these would have kept me up at night. But something has changed in my experience and mindset since then. I’ve fully embraced mindlessly automated investing, and I’m absolutely thrilled about it. No event on the stock market fazes me anymore. Instead, I’m calm, content, and proud that I’ve maintained my discipline. Investing does something to you—definitely not in a bad way. And you’ve always played a part in that, which is why I’d like to thank all of you for this consistently motivating and pleasant community here. You’re all great.

And somehow it’s also funny that in real life we’d all just pass each other by, even though the tone here is always friendly and welcoming—at least that’s been my experience here 😄

Thanks to everyone—here’s to continued sparkling returns.

And always remember that we’re all living in a very luxurious bubble.

True happiness often only comes when you use material wealth (as well) to do good for others :)

Best regards

Yours, _EvD_🤓

10 Comments

JP512@JP512

I have exactly the same portfolio and can sleep soundly👌

The bubble is a reality compared to real life

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Smudo@Smudeo

What ETFs do you have?
$etf
You can include links here using $

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unknown@unknown

I just did the same , 4 months ago and I never looked back, zero regrets. One question why vwce and iwda together?

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_EvD_@_EvD_

@unknown Only because of a high tax amount in case of selling that position (the same with $XMME) - it would kind of damaging the compound interest effect. In a long-term view, this two positions won't be a relevant problem for my portfolio, even If there are some clumps right now for a longer time. So I'm good with it.

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unknown@unknown

@_EvD_ Nunca tinha pensado nisso, na questão de optimizar os impostos dividindo por outros etfs caso seja necessário vender, a partir de que valores aconselhas a fazer isso? Não tem que ser necessariamente ftse all world e world? Basta ser por exemplo um ftse all world mas de fundos diferentes? Interessante

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_EvD_@_EvD_

@unknown I guess the analysis is kind of simple - if there's not too much profit in a single position, there is also not a really measurable problem with the compound interest effect. If I should simplify my portfolio stronger, there would be a lack of 11000 Euro in taxes which wouldn't work for years. So I prefer the FIFO-method somewhen. Never be a tax cheat in your whole life, but never pay the goverment more than your fair share at the same time. :)

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unknown@unknown

@_EvD_ Sim nunca serei, se bem que em portugal as vezes da bem vontade, a carga fiscal é estupida, maiores da europa, mas sei que no final nao compensa eheh nao estava ciente deste tema e isto foi algo que me abriu a mente, por isso obrigado pela informação e disponibilidade

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_EvD_@_EvD_

@unknown This is the advantage of a community like this. :) I also didn't know it a few years ago. Methods like FIFO aren't illegal but really useful. I am not into the tax law in Portugal. But in Germany, it's alright. You should check sth like this for Portugal - perhaps there are other or additional tax advances or methods which aren't forbidden. Good luck and great profits for you 🙂

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Prime T.@Sanders21

Would you mind telling me (or us) how you allocate your ETF holdings (World, US, EM, Small Caps, Dividends, etc.)—and in what proportions? 50-20-20-10, or 70/10/10/10, or whatever!? Would you mind telling me how you allocate your ETF holdings (World, US, EM, Small Caps, Dividends, etc.)—what ratio? 50-20-20-10, or 70/10/10/10, thanks

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_EvD_@_EvD_

@Sanders21 Hi, sure. In 2019, due to a lack of knowledge, I started with a 50/50 split between $IWDA and $CSPX. Plus 7 3M shares 😄 Starting in 2020, after doing some research, my portfolio shifted to 70% $IWDA, 15% $WSML, and 15% $XMME. I stuck with this consistently until the beginning of this year. Along the way, I occasionally took a wrong turn with supposedly brilliant additional strategies in a separate portfolio (keyword: dividends). When I realized that this approach was inefficient and unnecessarily stifling returns and growth, I completely restructured and revamped my future portfolio. Essentially, it’s now the typical 80% $VWCE, 15% $WSML, and 5% $BTC portfolio. All in all, I’ve been very satisfied since the simplification and restructuring. I’ve kept the positions $IWDA, $XMME, and $WSML —the first two to avoid paying a large tax bill (they no longer result in tax savings), and the third position is simply being held onto. Eventually, my strategy will thus converge on the aforementioned 80/15/5 strategy. Until then, I accept the clusters and am aware that it’s a somewhat chaotic overall structure. But it’s working well, and I’m satisfied. 🙂

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