5D·

Rebalancing S&P500

Dear gq community,

For some time now, the excessive weighting of the S&P500 in my portfolio has been a thorn in my side.

Now the time had come when I decided to sell 2/3 of the position and switch to the $ISPA (-0.06%) into the

I opted for this ETF because I wanted to increase my dividend position and at the same time reduce the weighting from 100% USA to 15% USA, which allowed me to increase the diversification in terms of the countries included.

Another reason for this decision was that I felt that the S&P500 was currently running quite hot.

What do you think of my decision?

Your bunny 🐰 André

24 Comments

Thomas@Thomas_1963

Good decision. The $ISPA and the $TDIV are my best ETFs.

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TradingHase@TradingHase

@Thomas_1963 Thanks for your comment 👍🏼

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Solitair@Solitair

I wouldn't have gone from 100% to 15% USA. That would be too little USA for me. I think the USA will continue to be the center of attention for a very long time to come. Apart from that, how much tax did this reallocation cost? In case of doubt, I would have left the S&P as it is and then only invested in this dividend ETF.

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TradingHase@TradingHase

@Solitair You have misunderstood something. I still hold a third of the position in the S&P500, which is 100% US, and the new ETF still contains 15% US 😉
There are also some individual US stocks in the portfolio.
The overall weighting was therefore too high for me, which I have adjusted with this reallocation.

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GiCi@GiCi

@TradingHase what is the US weighting on your entire portfolio?

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TradingHase@TradingHase

@GiCi Now the weighting in US ist 35%. Before the rebalancing it was near 50%.

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Brian@Aktienhauptmeister

There's nothing wrong with taking a little wind out of your sails. You can always get back in if it seems interesting to you again 😬

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TradingHase@TradingHase

@Aktienhauptmeister That's how it looks and I've also stayed in position with a third.

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Nuqqx@Nuqqx

Really good decision. $ISPA was my first ETF in 2024, 2 years later I have a 25% return including dividends. My absolute favorite among the dividend ETFs

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TradingHase@TradingHase

@Nuqqx Thank you for your comment. I think the combination of a fairly high dividend and good share price performance is very strong.

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Fintastic@Fintastic

why not $ZPRG or $VHYL

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Olli@Olli68

Everything done right 👍

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VillaSpilla@VillaSpilla

The future will of course show whether this was a good or bad decision @TradingHase 🤗 but this is what I did. I reallocated 50% from $CSPX to $TDIV and $ISPA and $EXUS (50/25/25%) - less US focus. Now "only" 30% of the total portfolio US - still have quite a high Mag7 share 🫣

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TradingHase@TradingHase

@VillaSpilla I'm not sure if it's a good decision, but the weighting was too high for me. Now I still have a 35% US share and that suits me.

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SpongeBob@SquarePants

Good decision, I am now 33% europe, 33% usa, 33% asia.

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TradingHase@TradingHase

@SquarePants You didnt Invest anything in emerging Marktes?

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Tenbagger2024@Tenbagger2024

oh today even with glasses

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TradingHase@TradingHase

@Tenbagger2024 Needed the perspective 😂

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risk_taker_2194@risk_taker_2194

Why reduce the USA share so massively? This has nothing to do with science-based investing

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TradingHase@TradingHase

@risk_taker_2194 That may be your view, but it's not mine.

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risk_taker_2194@risk_taker_2194

@TradingHase haha. Good luck

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TradingHase@TradingHase

@risk_taker_2194 haha, thank you
Haha! "why is everything falling right now?" was also a well-founded contribution from you. Respect, haha.🙈

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Max@Divident_e

Back and forth empties pockets

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TradingHase@TradingHase

@Divident_e What's the point of such nonsensical comments? Rebalancing is not a "back and forth". Or is it the case that you invested in certain stocks and haven't sold them since then to buy other stocks? Otherwise, it's "back and forth, empty your pockets" what you're doing.
Think about it.

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