5Mo·

ETF selection 🤯

After a thorough analysis of the ETF Guide from @RealMichaelScott I have settled on the second model FTSE ALL WORLD + SMALL CAPS (85% / 15%). (Many thanks for the great analysis at this point)

📉In view of the current situation and the criticism that is ultimately being leveled at ETFs with a 70% US exposure, I am now asking myself whether it really still makes sense and is in keeping with the times to invest 85% in an ETF with such a heavy US exposure. 😟

The following All Worlds are currently available (85%):

$UETW (-0,72 %) - particularly low TER

$VWCE (-0,45 %)

small caps (15%):

$WSML (+0,03 %)

👾Through this reallocation, I would like to escape my current, far too expensive Deka funds and build up the largest investment portion in my Core Satelite strategy in the form of a WORLD ETFS.

What is your assessment? Do you have any suggestions? Thank you very much and have a great start to the weekend! 🥳

13 Commentaires

Banana M.@Banana_Millionaire

5Mo

I am also a fan of global diversification, but quite honestly, I do not believe that US dominance will diminish over the next few decades. In the end, all world investors would probably be better off with an S&P500.

What I'm actually saying is this:
I would still invest globally, but don't let the weighting drive you crazy.
When sustained weakness emerges, it's a process.
In time, an ETF rebalances by market capitalization quite autonomously and the lump melts by itself.

•

Voir toutes les 5 autres réponses

Oleg@ScorpionfromBW

5Mo

$UETW but is not all world and has a USA ratio of 71% to 63% compared to $VWCE. Please compare more closely before you buy

•

sakamotoo@sakamotoo

5Mo

@ScorpionfromBW Thanks for the tip! I had already seen that before, but thought it still counted as a WORLD ETF😅

••

Ironman@Ironman2022

5Mo

You should familiarize yourself with the indices that the ETFs track. Then you will know what you are buying. And don't forget that the weightings of the securities, countries and sectors they contain change regularly.

•

sakamotoo@sakamotoo

5Mo

@Ironman2022 all right, thanks for the tip!

•

Patrick Schäfer@Hotte1909

5Mo

There have always been years when the US has underperformed. In fact, these years are the best years to get in because they have always caught up in the long term and as far as I know, even over a one-year period, the US has never underperformed the rest.

•

sakamotoo@sakamotoo

5Mo

@Hotte1909 then I think now is actually a good time to make a fresh start 😁

••

Metis@Metis

5Mo

Basically, I am not very worried about a high US share in my AllWorld. If other countries/sectors rise more than the currently driving US companies, this will also be reflected in the ETF and the weighting will be shifted accordingly.

•