4D·

STUTTGART STOCK EXCHANGE, ETC., AT 100 GRAMS OF GOLD

What do you think about including the ETC mentioned above as a 10% allocation in a children's investment portfolio? Or would you prefer just an ETF?

$EWG2 (-1.82%)

14 Comments

Jakob C.@Creutzfeldt_Jakob

My personal opinion: There’s no need (yet) for gold in a children’s investment account. The account essentially has many years ahead of it, so I’d prioritize performance with a global ETF and add gold—as a stabilizing anchor—much later.
For my three kids, the MSCI World is the one and only option in their savings plans.

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HardRockDividende@HardRockDividende

Stick with the ETF. Save consistently. Let it ride. Compound interest is on your side.

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Thorsten@silverbug999

I would invest only in stocks and not choose the MSCI World Index, since it heavily underrepresents Asia. Or choose the World Index and add an Asian component to it.

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Jakob C.@Creutzfeldt_Jakob

@silverbug999 I think it's a bit overengineered for a kids' portfolio. In my opinion, there will be plenty of time in a few years to set priorities, make adjustments, and so on.

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Thorsten@silverbug999

@Creutzfeldt_Jakob I think the ACWI is better because it includes, for example, China, India, Taiwan, Brazil, etc. I don't see what's overengineered about it.

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Jakob C.@Creutzfeldt_Jakob

@silverbug999 You wrote that you would only invest in stocks or in the World index and add an Asian component to it. Both are simply unnecessarily complicated, in my view. An ACWI IMI—which, by the way, I also invest in—isn’t overengineered, of course. But you didn’t mention that 🤷🏼‍♂️

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Thorsten@silverbug999

@Creutzfeldt_Jakob Then I didn't express myself clearly. I just meant an ETF or a second one on top of that. I didn't mean individual stocks. To me, ETFs are stocks too 😎

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Metis@Metis

@silverbug999 Not all ETFs are made up of 100% stocks. 😅

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NichtRelevant@NichtRelevant

I would also focus primarily on global ETFs. For my kids, that’s currently the $VALLD (100 euros per month per child in a savings plan). I also have a very small Bitcoin position in the kids’ portfolio, with 25 euros per month per child. That, in turn, is funded by a distributing EuroStoxx ETF, which I set up as a one-time investment.
Gold is good, but I’d view it more as a hedge once the portfolio has grown a bit.

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Cristiano@Rocketman_23

@NichtRelevant How do you invest in Bitcoin?

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NichtRelevant@NichtRelevant

@Rocketman_23 I do this through $BITC.
I'm sure a lot of people will say that's nonsense, but I don't want to deal with setting up my own wallet and all that. And this way, I can just let it run automatically as part of my savings plan without any hassle.

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Cristiano@Rocketman_23

@NichtRelevant I do that too, but as a one-time investment.

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Cristiano@Rocketman_23

I currently hold the following positions:$XAIX
$XDEM
$GOOG
$21BC The first two are held through investment plans.

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NichtRelevant@NichtRelevant

@Rocketman_23 Interesting. So you're taking a much more aggressive approach with the kids' investment account than "just a global ETF."

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