Feedback on a first-timer investor's portfolio

That’s the Swiss market, as it is.

If one wanted to avoid that, maybe SPI Extra would be a better option than SMIM.

EDIT: And it would be a better option than SPI Mid, also. :slight_smile:

Second EDIT: AFAIK there are no ETF on SPI Extra, but traditional index funds.

1 Like

…can’t find that on JustETF as a publicly available ETF to consumers.
It’s available in VIAC though.

EDIT:

Beat me to it …again. :exploding_head:

2 Likes

CH0222624659

This forum isn’t built for real-time conversations! :smiley:

2 Likes

Not me. Provably. :innocent:

Not really.

Original post has 45% MSCI World * 7.65% Japan + 5% “dedicated” MSCI Japan = 8.44% overall.
Compared to 7.65% in MSCI World or 7.4% in FTSE All-World, the difference is basically negligible.

Your simple counter-response has it at 50% * 7.4% + 5% + 25% * 21.86% (World Mid Cap Equal Weight) = 14.17%. That is quite a bit more and not what ziggy seemed to intend.

Original post boils down to this, IMO:

  • overweight European exposure (that I accounted for)
  • overweight Swiss exposure (I’d rather do it in pillar 3. Questionable SPI concentration risk)
  • everything else is pretty much in line with All-World index allocation (5% “bets” also negligible)

→ The remaining question to address is whether to do factor/tilt investing?

Personally, I’d take a more radical approach to cover the momentum factor and double down on it by looking into something like leveraged ETFs instead. Which happens to be, in fact, an idea that I have entertained over the last couple of days.

As for the quality “factor”, I’ve previously stated I am currently mainly investing into Quality ETFs.

…not this one, though. It’s “sector-neutral” - and why that would be desirable is beyond me.

1 Like

That’s fantastic, thanks a lot @San_Francisco for your detailed explanation! This helps a ton!

(And sorry for the delay in response, I saw this comment immediately but it seems that yesterday I’ve used all the allowed responses for the first day on this forum and couldn’t respond for 24h :slight_smile: )

Wow, this is fantastic. Thanks a lot @TeaCup for your great and full-detailed explanation! It seems that I have a few things to study more in depth :slight_smile: To answer your questions: yes, my general idea is to diversify away from the States, by including Japan, Emerging Markets and Asia. Probably I should do it better, though :innocent:

Thanks a lot for your advice about rebalancing, I’ll certainly follow it :slight_smile:

Thanks a lot for your feedback, @Wolverine

(And sorry for the delay in response, I saw this comment immediately but it seems that yesterday I’ve used all the allowed responses for the first day on this forum and couldn’t respond for 24h :slight_smile: )

Honestly, I didn’t consider leveraging my portfolio as I’m not really familiar with this concept. I think it’s actually the first time I hear about it :innocent: I’ll look more into it :slight_smile: Thanks a lot for the advice!

This seems very interesting, though I’m not really familiar with the concept of leveraged ETFs. Would you mind to describe more what you mean? Thanks a lot in advance!

Just to be clear, the advice isn’t to leverage it but to consider it and determine what level of risk you are truly comfortable with, knowing that on one hand, there is the risk of loosing your money and, on the other, there is the risk of staying at a job you don’t like and that is eating your soul longer than you would need to.

My real advice would be to slow down your investing progress by being a tad more conservative and, at the same time, adapt your career to make it sustainable and enjoyable. The later may involve taking a few months away from the workforce to let your ability to think broadly and efficiently rebuild itself if you are close to burnout and can afford it financially.

4 Likes