1Mo·

9 years of investment, your opinion please 🤔

Hello everyone,

I am now planning the final home payment spurt (does that word even exist?)

We have a monthly amount of 300,- over because a loan is expiring. This amount is to be used later (9 years) to pay off the loan. The 300,- should of course not be accumulated in the pillowcase.

The question for me now is whether I should put the whole amount into a money market ETF or an All World via a savings plan. As it is virtually earmarked, it should be invested with as little risk as possible.

What would you recommend?

I think so.

Greetings

8 Commentaires

batic420@batic420

1Mo

Moin,

I would recommend an all-world ETF, something along the lines of $IWDA - you can do little wrong in the long term and have a broadly diversified investment without having to worry too much.

Of course, it can always happen that a bit of capital disappears as soon as the market corrects (as is currently the case), but there is a long-term upward trend - so don't panic 😅

What did you have in mind in the All-World direction? Classically really around the globe or also in the direction of indices or sectors (S&P500, NASDAQ, etc.) or also emerging markets? 😎

- $IWDA
- $CSPX
- $VWCE
- $XMME
- ...

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Robert@Zony

1Mo

@batic420 in the classic way. We don't want any work with this investment. That's what our main portfolios are for.
It's really all about parking+.

I haven't picked an ETF yet because I'm still undecided about the investment. My tendency is also more towards a world ETF.

Thank you already 🍻

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Kreon@Kreon

@Zony I would not park money that you will need in less than 10 years in shares, unless you can compensate for any losses. A long-term bond, fixed-term deposit or money market fund is better

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Kreon@Kreon

Oops, ended up in the quoted thread, sorry...

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Uwe@SchlaubiSchlumpf

1Mo

You could consider investing roughly half in an all world and half in short-dated bonds (with rebalancing). Then you might not get so nervous if things do get tricky.

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Robert@Zony

1Mo

@SchlaubiSchlumpf To be honest, I have never dealt with bonds before.

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Uwe@SchlaubiSchlumpf

1Mo

@Zony This refers to ultra-short-term government bonds with top credit ratings in the currency of the loan to be repaid. So presumably euros. The point would be that you don't experience so much fluctuation and don't get nervous if there is a crisis, but instead buy something in a relaxed manner to restore the balance.
Alternatively, overnight money would certainly also work, as long as you are covered by the deposit guarantee.

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Marcel@di_marcello

1Mo

If the household can all agree on some risk, an world ETF is the choice.
Otherwise a money market is a perfectly fine option.

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