Hello everyone,

I would like to get your feedback on my portfolio strategy. Here are the key data:

Age: 20 years old

Investment horizon: Very long (several decades)

Strategy: First investment then invest via savings plan + B&H

1. the planned portfolio

I am planning the following allocation for my portfolio. Important: The 20% in the dividend ETF will only flow until my exemption order has been fully utilized by the distributions. After that, fresh money will only flow into the other two positions.

• 55% Vanguard FTSE All-World (basis) $VWCE (-1,16%)
• 
  25% Xtrackers MSCI World Momentum
  $XDEM (-2,57%)
• 
  20% VanEck Developed Markets Div Lead
  $TDIV (-0,33%)

2. current situation

I took advantage of the "dip" in April and am already invested (mix of ETFs and individual stocks). I am currently considering how I should adjust or structure my portfolio, as the individual stocks have performed extremely well:

• Nvidia: +60%
• Alphabet: +90%
• Others: Amazon, Meta, United Health (all up).

My questions for you:

What do you generally think of my ETF selection and weighting (55/25/20)?

Would you swap one of the ETFs for another product?

Is there anything missing in the allocation (would you add another component, e.g. small caps)?

Individual shares: How would you deal with the winners? Realize profits and shift them into the ETFs, or simply let them run as "satellites", as I am still young?

Many thanks for your feedback!

Hi @ll,

First of all, I am no longer saving but relaxing. In order not to pay too much tax, I have invested about 50% of the sum in distributing ETFs and 50% in accumulating ETFs. Depending on how much I need, I may withdraw around 3.5% per year from the latter.

Now I want to muck out and throw out the ETFs that pay too little dividend and have too little overall performance.

Now comes the big BUT.

If I sell, the tax is due immediately and increases my annual income on "paper", which means that I can no longer get it back on my income tax return (which is otherwise always the case).

But since it's just a shift and I don't actually consume the money, I don't think it's fair. The state only spends it on things that I don't want to help pay for anyway.

What would you do to avoid unnecessary taxes and still get things in order? 🙏🏻

$VWCE (-1,16%)
$TDIV (-0,33%)
$FGEQ (-0,93%)
$GGRP (-0,6%)

I mean dividends for the shares that were purchased before the transfer of the custody account. So probably from Baader Bank

$TDIV (-0,33%)

My idea behind this purchase: More dividends, higher weighting of Europe and value stocks and thus better diversification, especially at currency level (ETF runs in euros).

Realty has given me nice dividends over the last few years, but I see better opportunities in other stocks in the future, so I have invested the money in $BRKB and $TDIV (-0,33%) regrouped.

$TDIV (-0,33%) Why on earth is withholding tax payable? I started saving in the ETF as a savings plan for my children. Now I was looking forward to the latest distribution, only to realize that the distribution will be reduced by the tax. Sorry, had to get rid of that for a moment. Yes, it annoys me. Yes, it's my own fault. I probably should have found out beforehand.

What now? What would you recommend? Continue to save or stop and use the €25 per child for the $VWRL (-0,98%) and increase the existing savings installment from €25 to €50?

Today we received another motivating dividend 💰 - this time from the dividend ETF from the VanEck family ($TDIV (-0,33%) ). The payout was 0.27 per share and that on my 1479.9 shares 📊. This results in a total distribution of € 399.57 - admittedly a little less than expected, but nonetheless a really nice cash flow moment🥳! It's days like these that show how powerful dividends can be for long-term investing: continuous cash flow 🔁, a reward for patience 📈 and a way of dealing with market fluctuations that is easy on the nerves 😌.

For me, dividends are a central component on my path to financial freedom 🗝️🚀. Every payout - whether large or small - brings me a little closer to a passive income that can cover my fixed costs in the long term 🏡💡. It feels great to have the money working for me as I go about my daily life 👣❤️.

🔄 Reinvesting for the compound interest effect:

All dividends are consistently reinvested in new ETF shares for me 📥➡️📈. This means that my position continues to grow automatically and the compound interest effect can unfold its full power over the years 🚀📊. Each distribution therefore increases my future cash flow in the long term - which is exactly what makes dividend investing so powerful.

How do you do it - do you reinvest your dividends automatically or do you pursue your own strategy? 🤔💬📈

Or are your December dividends reinvested in Christmas presents reinvestiert🎅🏼☺️?

#dividends
#cashflow
#passiveincome
#vaneck
#finanziellefreiheit
#buyandhold
#zinseszins
#vermögensaufbau
#dividendetf
#etfs

December will be another good dividend month.

The penultimate dividend of this year (perhaps also the last when $VWRL (-0,98%) paid out in Jan26) was received tonight and so the dividend year is slowly coming to an end. Unfortunately a little less than hoped for but at $TDIV (-0,33%) but the trend is still intact.