1J·

Major Restructuring

I finally reallocated a large sum—I had just under €1,500 in my savings account earning a mere 0.001% interest, which is obviously a joke. A few days ago, I moved the entire amount to the $GERD (+1,43 %) to get more out of the money

15.07

L&G Gerd Kommer Multifactor Eq ETF

Acheté x75 à 15,02 €

1 126,50 €

10 Commentaires

Fred@Fred999

It's more expensive than an All World ETF but offers the same performance—what made you choose this particular ETF?

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JojoPJ@Jojo585

@Fred999 perhaps the stock weightings in this ETF

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Uwe Geller@SchlaubiSchlumpf

@Fred999 $GERD 's strategy is designed for very long time horizons. In 10 to 20 years, we'll see if it's/was a wise move.

I tend to be on the skeptical side, even though I think the idea of ETFs is a good one.

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Alex@AlexBloch

@Fred999 What does “same performance” mean? Over 1 day, 1 week, 1 month, 1 year, 3 years, 5 years?

The GERD is designed for a holding period of at least 5–10 years, and will ultimately outperform every All-Word fund. Because it incorporates the latest findings from financial research.

Even though that hasn’t worked out over the past 2 years:
The AI bubble will burst, and with it, the current outperformance of all All-Word ETFs...

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Alex@AlexBloch

@Jojo585 ....und vor allem serielles Factor-Investing !

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Gainzilla@Gainzilla

@Fred999 What convinced me was the weighting—take a look at the MSCI; it’s 60% U.S. Gerd Kommer’s portfolio is just under 45% U.S. and includes small-cap stocks, which means I don’t have to rebalance it myself and I also pay lower fees with my savings plan.

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Alex@AlexBloch

@Gainzilla But that's not all—there are many more benefits you'll enjoy:
https://gerd-kommer.de/etf/vergleich/

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GHF@GHF

@AlexBloch If the marketing department says so, then it must be true. 🤷‍♂️

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Gainzilla@Gainzilla

@AlexBloch That just shows me even more why I'm glad I chose the ETF, even though it's a little more expensive.

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Uwe Geller@SchlaubiSchlumpf

13H

@AlexBloch Hmm, I see the biggest advantage in factor investing with a multi-factor approach. The GDP weighting and the 1% cap are listed as advantages, but they don’t necessarily have to be. Above all, this is likely to increase the proportion of small- and mid-cap stocks. Possibly also value stocks. Both of which are considered a premium. Especially when combined. The $GERD should already have that, though, thanks to its multi-factor approach. The U.S. weighting also decreases if, for example, I overweight value with the $XDEV. If I then add an EM ETF, I end up below 45% U.S.

Even the 300 additional stocks compared to the $SPYI don’t automatically help. Historically, for example, small-cap growth stocks have, on average, underperformed value stocks. So if I were to target the 300 most growth-heavy stocks (growth in the sense of a high debt-to-equity ratio) to generate excess returns, I would do so.

I don’t know how Gerd manages to include those 300 additional stocks. It’s possible that what I said doesn’t apply there. But I don’t know. All I’m trying to say is: all of this could be an advantage, but it doesn’t have to be. And in some cases, perhaps not for the reasons mentioned.

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