After a lot of back and forth, I found my way.
The last few years on the stock market have been a learning and growth process for me. Of course, this process is far from complete, but I am now at the beginning of my own path and am ready to continue on it consistently.
It wasn't always like this.
I tried a lot of things on the stock market, sometimes dividend shares, then quality shares or strategies à la Finanzfluss and Co. but none of it was really mine.
So in the end, through trial and error, I came up with my own approach: my 3-pillar model, which I would like to briefly introduce here.
- The 1st pillar - long-term buy & hold
This pillar consists of long-term positions that I never sell.
Currently, these are my world and US ETFs and Bitcoin. Gold and a dividend ETF will probably be added in the coming years.
- The 2nd pillar - momentum and growth
This is about selected stocks with a focus on growth and momentum.
I trade actively and will try to take out my net investment (and possibly some profit) as often as possible.
Example: With a price gain of around 138%, I can sell 50% at the Austrian tax rate and have the net investment back out again.
German investors can already be happy at around 133% (I have not included the tax-free amount here).
I then let the remaining profit continue passively over the long term.
- The 3rd pillar - trading
The third pillar consists of short-term trading, mainly on a daily and weekly basis.
How it all works together
Profits from the second and third pillars currently flow partly into the first pillar and partly remain to strengthen the respective pillar.
Over time, the proportion that goes into the first pillar will increase.
This creates a small leverage effect, if you like, on my ETF savings plan.
My goals and risk appetite
My overriding goal is to achieve financial independence before the age of 50. Ideally, the distributions from my first pillar will then be enough to cover my living expenses.
My savings rate is currently around 50 % and I still have around 20 years to go, although I'd like it to go faster of course.
That's why I'm also attracted by the idea of perhaps being able to make a living from trading at an earlier stage, giving me a bit of freedom.
But the risk is very high, especially in the third pillar, but also in the second pillar, and a total loss would be quite possible there.
I am aware of that. That's why I give the highest weighting to the first pillar, which is my foundation, i.e. the core.
If there were to be a major market crash, I would make targeted additional purchases here.
Thank you for reading and for accompanying me on my journey
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