Hello everyone,
I have "some" chaos in my ETF portfolio. I would like to tidy it up a bit and start with the ETF stuff.
I have
Abbreviation / Weighting / Current balance of total portfolio
$DBXW (-1,34 %) / 9,68% / +16,39%
$IS3R (-1,24 %) / 5,91% / +14,97%
$IWRD (-1,18 %) / 5,5% / +13,4%
$500 (-1,61 %) / 4,01% / +18,76%
$VWRL (-1,17 %) / 1,85 / +17,67%
$INRG (-0,44 %) / 0,15% / -22,92%
$IEMA (-1,2 %) / 0,04% / +20,20%
I'm already thinking OMG as I write this down :-D
Perplexity says the following
Specific recommendations
- DBXW, IS3R, IWRD, 500, VWRL are all broadly diversified equity ETFs with a focus on the world, MSCI World and S&P500. The largest overlaps are between DBXW (Xtrackers MSCI World), IS3R (iShares Core MSCI World), IWRD (iShares MSCI World) and VWRL (Vanguard FTSE All-World).
- Even your S&P500 ETF already tracks a large proportion of the MSCI World ETFs, as US equities are usually dominant there.
- VWRL is more global and covers not only industrialized countries, but also emerging markets. IEMA specifically covers emerging markets, but is a mini-position for you.
Combine / simplify
- You could consolidate all World ETFs (DBXW, IS3R, IWRD) into a single one, for example IS3R or VWRL, depending on your preference in terms of costs and tracking difference.
- You can also remove the S&P500 ETF if you prefer a global ETF such as VWRL or a World ETF - otherwise the US dominance is doubled.
- You can sell very small positions such as INRG and IEMA or switch to a larger "core ETF", as they have little effect on the overall portfolio and increase complexity.
- In the end, you could work with one or a maximum of two broadly diversified ETFs, e.g. only VWRL or IS3R plus a random favorite for special regions/sectors, if desired.
Model structure after simplification
ETF share after simplification
VWRL 80-100%
possibly INRG/IEMA/Satellite max. 10-20% (optional)
--
- Var. 1 So then actually sell everything and put it in VWRL?
- Var. 2 Alternatively, so that I don't have to pay tax on all the profits now, just save the $VWRL (-1,17 %) and stop the rest and just leave it? So that I don't have to pay taxes and lose 25%+ directly for the reinvest.
Or what is your idea for Var. 3?
I find the $IS3R (-1,24 %) also exciting in terms of momentum.