7H·

Portfolio feedback

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!

18 Comentários

Olli@Olli68

ETFs: I would do without the Momentum MSCI and add a gold or gold producer ETF instead.
In my opinion, these momentum ETFs are always "a bit late" and rebalance too slowly or too rarely. I would then perhaps split 60/20/20.
You can let shares run as long as you like them.

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Tenbagger2024@Tenbagger2024

@Olli68 huhu, as far as I could see the momentum ETFs are still the better choice compared to the original.

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Olli@Olli68

@Tenbagger2024 Actually only in long bull markets. When things go down, however, they are the losers and take a long time to catch up.

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Tenbagger2024@Tenbagger2024

@Olli68 Yes, good, but rather outperformers in the long term. Another benchmark would have to be made. Because he writes about a long investment period.

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Pezi@Pezi

@Olli68 but you are also too late with gold...

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Olli@Olli68

@Pezi Why? Gold's bull market only started in 2022 and will continue until at least 2030.
Next year will be even stronger for gold than this year. 👍

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Uwe@SchlaubiSchlumpf

@Olli68 I'm curious about that. Who gave you the information?

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Tenbagger2024@Tenbagger2024

@Pezi maybe silver

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Olli@Olli68

@SchlaubiSchlumpf Look at 1970-80, the first major bull market in gold. We had stagflation in the US and a weakening dollar.
We will get stagflation again (Powell said it "somewhat bluntly" last week) and the dollar will weaken further as the Fed loses some of its independence again. It's all like the 70s.
In the 1970-80 period, the price of gold rose from 35 to 850 dollars.

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Uwe@SchlaubiSchlumpf

@Olli68 1970-1980 was the first bull market since the dollar broke its peg to gold. I wouldn't necessarily use that as a reference

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Olli@Olli68

@SchlaubiSchlumpf Ok, I was just giving reasons for my opinion. If you justify gold's bull run solely on that basis, I think that's a bit short-sighted. But that's ok. 👍

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Ver todas as 2 restantes respostas

Lori202@Lola556611

Just do the ftse all world, if you really have an investment horizon of several decades, there's no point in weighting something and readjusting it again and again, you'll just be doing an unnecessary amount of work for a minimal increase in profit...

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Pezi@Pezi

@Lola556611 and whether it will be minimally more profitable remains to be seen...

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Uwe@SchlaubiSchlumpf

I would swap the $TDIV for a $XDEV. Then you would have a clean value cover. If you're keen on small caps, I'd go for any small caps value. And, depending on your preference, take something from the all world or from the other two.

On individual stocks: personally, I'm not a fan. I was lucky that my early investments were suboptimal (+-0 while the market ran away) so I stopped after a short time. I would sell them accordingly. If you need the gimmick, go for it. As long as it's not too much 🤷🏼‍♂️ not investment advice, just my opinion

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Uwe@SchlaubiSchlumpf

@SchlaubiSchlumpf I basically like your etfs. I'm just not a fan of dividends,

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Alexander@Alexander_

@SchlaubiSchlumpf I will take a look at the $XDEV in comparison with the $TDIV. Maybe I'll actually switch to "real" value instead of focusing on dividends. I've probably had more luck with individual stocks than you (so far), so the winners are staying put for now. But thanks for the warning, I'll keep an eye on the risk."

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