My girlfriend's portfolio was also 90% cash reserve at the beginning of the year (actually never invested, started hesitantly).
Now she had almost 100k on the side, interest rates are falling and she's like "hmm probably better off on the stock market". I "hmm good idea. Maybe double your savings rate (1k at the time)? After all, it feels like you're still building up cash." She: "Well, I would have invested half. I could also double my savings rate." Even I, who is 100% invested, got a bit nervous in the current market phase. I advised her to build up 30% EM alongside her current msci World, as they are not so overpriced compared to the USA at the moment. A good idea after the last few weeks. I'm delighted that she's not that interested in money and that I've already emphasized that the US could well crumble a little 🙈 In the long term, I'm glad that she's made the move.
Now she had almost 100k on the side, interest rates are falling and she's like "hmm probably better off on the stock market". I "hmm good idea. Maybe double your savings rate (1k at the time)? After all, it feels like you're still building up cash." She: "Well, I would have invested half. I could also double my savings rate." Even I, who is 100% invested, got a bit nervous in the current market phase. I advised her to build up 30% EM alongside her current msci World, as they are not so overpriced compared to the USA at the moment. A good idea after the last few weeks. I'm delighted that she's not that interested in money and that I've already emphasized that the US could well crumble a little 🙈 In the long term, I'm glad that she's made the move.
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7Mo
@SchlaubiSchlumpf Thanks for your comment!
As far as portfolio weighting is concerned, there are countless approaches.
In any case, it's good to get away from the 90% cash ratio 😀👍
As far as portfolio weighting is concerned, there are countless approaches.
In any case, it's good to get away from the 90% cash ratio 😀👍
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•@BigMo yup. I also ride a different one myself. But it would probably be too complicated for beginners
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