Index Fund Mistakes That Could Cost You Thousands

[@AdamLevcross]

This is a very informative video, and also one of the reasons why I'm confused and worried about retirement planning and I want to ensure a comfortable future. I've worked hard my entire life and I want to enjoy the fruits of my labor without financial stress. I'm really concerned about whether I've saved enough and invested

[@John-ww2fv]

I completely understand. Ensuring financial security in retirement is crucial. Have you considered consulting a financial advisor?

[@ericbergman7546]

That's true. Assess to reliable information and professional guidance is key to success in investing. That's where a CFP comes in. You should definitely consider working with one

[@AdamLevcross]

I have been advised on that for a while, but finding one who understands what I want and can work with me to that accord is whom I'm in search of. Any recommendation please?

[@John-ww2fv]

Yes I do, I recommend JOSEPH NICK CAHILL to you. He is a renowned figure in his field. I recommend him to you because I've been where you are and understand your need for an open ear

[@AdamLevcross]

Thanks for this, I just searched his full name online and I saw his website. I got his email address from his website and have sent him a mail. I hope he replies me on time

[@djram2nv]

I would love a detailed video for the points you've mentioned

[@Hughbertis]

Yes please go into the details of etfs. I have been investing in etfs a decade or so and never really understood all the info you touch on at the end of the video.

[@DarkoFitCoach]

What dont u understand?

[@Chasworth]

A detailed video on compound intrest in s&s isas would be awesome, with examples of how to observe it on Investengine👍🏻

[@TobyNewbatt]

Great idea!

[@thomasmeredith9124]

Hey Toby, cheers for the video. Please do one on the last point (5) of the video as although I am aware of thoes details I have no idea how to check for them or why they are important.

[@timothythompson4036]

Index funds are great but they still have one problem, volatility. You should not have all of your money in index funds. Even if you are young you should have 10-20% of your money in bond funds. Why? They are a great volatility hedge.

[@maltesetony9030]

An excellent and comprehensible trot through the basics.

[@TobyNewbatt]

Thanks Tony 👍

[@dr.lokeshsharoff9987]

Awesome - lets please have a detailed video into fine print of index funds 🥂

[@ThomasBrown-f9w]

Love how you break down complex investing concepts into easy-to-understand analogies! Been guilty of some of these mistakes myself, thanks for the education!

[@RosskoPeeko]

Would really like a deep dive into ETFs. There is soo many out there like vanguard, Invesco and ishares.

[@DominicAllaway-hi3fn]

I think a video on something you mentioned nr the end would be useful, namely where a fund is 'domiciled'. My ETF tracking the S&P seems to be domiciled in Ireland although the platform is a UK company - what are the implications of these different jurisdictions if for example my UK platform company became insolvent?

[@Ratgibbon]

Your assets should be held at a third party, so even if your broker goes bust they should be safe.

[@SaurabhTiwari-m9d]

Thanks for sharing these common mistakes! I've definitely learned something new about index funds and will be double checking my investments. Great food analogies by the way, made the explanations much easier to understand!

[@TobyNewbatt]

Glad it was helpful!

[@joshhouseham]

Yes to the question at the end! 👍

[@staffie1uk]

Very clearly explained - thank you. 👍

[@ralphtaylor9968]

I've done exactly this VUSA (40%) FTWG (40%) and EQQQ (20%) which is great when everything is on the up but not so good when it's going down.

[@arism-gk7ke]

Thank you for the information If you can make another video and dig deeper into details I would appreciate that

[@maino9752]

Yes a video on the details please!!

[@thewrongaccount608]

Thank you for this video great info and I'm glad I didn't fall into these traps. You explain things very well. I like to use growth ETFs until I'm ready to convert some or all to dividend funds for income. I use etf rc to see the overlap in my ETFs.

[@roseylui]

The concept of mini-retirement changed my life. I'm no longer waiting for some retirement paradise when I'm 65. It helps to know how to fund the lifestyle. You know, making money while you sip that piña colada by the beach does help. I wouldn't have been able to do it otherwise.

[@jeremyhill-h9e]

Yeah, people miss that part. You don't jet out to Puerto Rico with your life savings. Proper investing and a good business acumen are big pluses. Invest in the stock market, real estate, build businesses. That's just it.

[@kyrenfei]

It's safe to assume that not everyone is skilled enough to pursue investment. But when someone like a financial advisor gives you guidance, it's always easy to follow. With my advisor's assistance, my portfolio has increased by more than 330% since the start of the previous year, totalling close to $1 million.

[@alanformosa9485]

Excellent content , thanks.

[@TobyNewbatt]

Much appreciated!

[@MakeItCount-55]

Thanks Toby. Another point, that is sometimes missed, is that ETF's can be domiciled in different counties and this adds some complexity to the ingredients (to torture the analogy somewhat). Can create extra tax complications when doing self assessment.

[@TomsPersonalFinance]

Excess reportable income is such a headache

[@bluewatermelon9499]

More detailed ones please. Thank you ❤

[@GaneshJU]

Good video covering important topics for investors

[@Gpooo4-y7v]

Can you pls elaborate on the domicile of the fund

[@TobyNewbatt]

Yes in a future video thank you I will :)

[@JesseDNME]

Beautiful video, straight to the point and well articulated! Love the analogies to, starting my investing journey at 21, I pray it pays off!

[@valerienewbatt9678]

Great details on explaining the process of investment

[@JarredKulas]

Absolutely love your videos! Would love to see you explore Step Finance in-depth in one of your upcoming videos.

[@Gold.Circle.]

I just went with vuag

[@mazzgoldie9149]

You'll do very well over the long term

[@harganator8515]

Hey Toby recently been getting into investing and have learned a lot from you, thank you for making such informative content! I would love to see more videos expanding on this topic. I would like to learn more about how to analyse and understand the stats / performance of etfs as at the moment my main comparisons are low fees and what percentage of companies I'm investing in 😅😆

[@FYPNLP]

Excellent. Please do a deep dive.

[@AdamJee923]

Very helpful thank you 😊

[@TobyNewbatt]

Welcome thanks for watching!

[@monty846]

How does index fund rebalancing work? Lets say you invest in a global index fund and China's economy starts to dominate, will the fund adjust to represent this?

[@brownfox3180]

Yes, it automatically adjusts to keep the correct balance

[@mikerodent3164]

Maybe 95% of global ("all-world") index funds will gravitate towards the companies with the largest capital valuations. So the answer to the question is: does China have any large companies? As they get larger, SOME of these will manage to make it into the lists of holdings of a given fund/ETF you own. BUT ... in the case of China specifically, many of the very large companies are owned 100% by the State. Unless the Chinese State decides to float these, they will never form part of your index funds. I just looked it up on Wikip: in 2022, of the 25 largest Chinese cos, 3 were "public", 2 were "private" (so no luck with those either), and 20 were State-owned.

[@mikerodent3164]

​@@brownfox3180 Wrong answer. YT has infuriatingly deleted my detailed comment. Most large Chinese companies are State-owned, so the answer is a big fat NO. In fact.

[@jpsantosss]

Every company in a global market cap weighted fund is listed in order based on market caps. As companies get bigger they move up and make up a larger part of the index fund.

[@TobyNewbatt]

Mike your detailed comment is here I can see it FYI - sometimes it can glitch on your side but no worries.

[@VoiceOfThe]

Annoyed with my work pension provider. I’m retired and no longer a U.K. resident, but, one of my work pensions is being charged at over 0.5% and I’m not happy with what it is invested in, so I’m wanting to switch and consolidate into another existing one I hold. Legal & General are refusing to allow a transfer in of this pension. I can understand the rules surrounding pensions not being able to access it until a certain age, but, I should be able to switch if I’m not happy with their charges or what it is invested in. They only offer a selection of 8 funds to invest in - useless!

[@andrewkemp_]

Am stuck in a similar situation to you. An overseas and have an old workplace pension trapped with standard life charging me nearly 1% annually

[@VoiceOfThe]

@ Are they allowed to do this?? It’s our money!

[@TomsPersonalFinance]

Excellent video Toby 😊

[@TobyNewbatt]

Thanks Tom!

[@andrewn7340]

The MSCI World fund you gave as an example also excludes small caps. Developed market small caps combined are just as significant (in terms of total market cap) as all of the emerging markets combined. An MSCI World fund only has 80% of the coverage of the MSCI ACWI IMI index (the MSCI equivalent to the FTSE Global All Cap Index)

[@sebascarmonag]

Hey @TobyNewbatt great content, big fan here. I'm guilty of a couple of mistakes mentioned here. I'd love to see more about the 5th mistake, "devil is in the detail" as this might benefit me heaps.

[@raljix1566]

I'm making these overlap mistakes after 6 months - Still figuring things out, there 's just so much to understand. These videos help so thanks.

[@TobyNewbatt]

All good take your time! Like I said it's not a 'bad' thing as we dont know the future, it just makes things more confusing for you when choosing wheter to invest!

[@Holdenmagroin75]

As Toby said, it’s not necessarily a bad thing or a ‘mistake’, I’ve done exactly this in 2024 and my returns have been amazing in the US fund, then I’ve had the benefits again in the Global fund, yes if the markets go down then both funds will take the hit, but if the markets do well you do well twice.

[@greg_nicholls]

Thanks for this Toby! You've highlighted at the end a huge gap in my knowledge around Domiciles. Not idea how to read what that means in an KIID! If you could touch on that (and base currency choice) in a future video that would be amazing!

[@TobyNewbatt]

Definitely one that needs it own video so I can cover the details 👍👍

[@aldonan3057]

I am totally new to investing and i already learned a lot from your videos. Thanks

[@TobyNewbatt]

Welcome!

[@SomeoneSmarter]

More details on the different ETFs please. I get lost trying to chose them on Vanguard.

[@thegadsspecialist]

Hiya. Solid content as usual. When can we expect the company investments video that you promised?

[@TobyNewbatt]

Hoping in the next week or so!

[@chrismenere6129]

Great video Toby! Really useful content and explained super easy to understand.

[@TobyNewbatt]

Glad it was helpful!

[@ryannemdjen]

I've just begun learning about value investing, and I've found that many good stocks are undervalued despite their intrinsic value. If you had $200,000 to create a strong investment portfolio, which stocks would you choose for better returns?

[@MilaCruz-d5r]

I think a good investment portfolio should have three basic things: ETFs for diversification, dividend stocks for cash flow, and leading tech stocks. With your budget, it's a good idea to talk to a fiduciary financial advisor for expert advice.

[@Mlanderos-t9e]

I agree with you. As an early investor in NVDA, AVGO, ANSS, and LRCX, my financial advisor's advice was incredibly helpful. Over the past 7 years, she has helped me find stocks that did 10x multiple times. With her help, I've grown my portfolio to over a million dollars.

[@StephenRobello]

I'm glad I found this conversation. I have cash to invest but am worried about picking the wrong stocks. Can you refer me to your financial advisor?

[@Mlanderos-t9e]

I'm cautious about giving specific recommendations since this is an online forum and everyone situation is unique, but I've worked with Judith Lynn Staufer for years and highly recommend her. Look her up to see if she meets your criteria.

[@StephenRobello]

Thanks for sharing. I curiously searched for her full name and her website popped up immediately. I looked through her credentials and did my due diligence before contacting her.

[@Lilyjeanobi]

You’re the best ❤

[@Mr1971mccarthy]

Your videos are making my learning easier. Thank you. I’m selling my business for a few £million and need to invest to give me income for the rest of my life. Brand new to this market. Historically I’ve used property but that’s a full time job and certainly isn’t passive. Keep up the good work

[@stevegeek]

Excellent video as always Toby. One comment about the “developed market” versus “emerging market”. The fees for funds containing EM companies are generally higher, and looking at recent decades the returns are slightly lower, compared to DM. For this reason I prefer to hold the DM-only versions such as Vanguard VHVG. But as you say, who knows what the future holds?! Stay well.

[@spencerholdaway]

Great video as always, definitely do a more detailed video particularly about Domicile as you covered this bit quickly but appreciate you want people to get the basics right. Ramin from Pension Craft has also done some good videos on this. Luxemburg is more expensive than Ireland for example.

[@TobyNewbatt]

Indeed it's worth doing this sometime in the new year once I've refreshed all my beginner videos first :)

[@shettynischith77]

bread example could be swapped and would still make sense, so it doesn't make it a great context to understand the 2 type of funds

[@jaytouvelle2359]

Vanguard does allow fractional share fore over the last year.

[@TobyNewbatt]

Hi Jay, that's not true on the Vanguard UK platform :) - they do not allow you to buy fractional ETFs You can buy as much as you like of their mutual funds though - these do not count as shares. You can buy fractional Vanguard ETFs on other platforms though. It's funny as if you google this question it gives the wrong answer, so much for ai :)

[@jaytouvelle2359]

@@TobyNewbatt Sorry to hear that hopefully you will be able to do that like we can in the U.S. It was changed about a year ago. They did let us convert mutual funds to the same ETF before they allowed fraction buys on ETF.

[@gor86]

What is considered to be small for a fund size?

[@TobyNewbatt]

it would partly depend on how much you have to invest but, IMO for a global fund it would have to be just a few million, or sub £10m for there to be any 'concern'. Typically this is only an issue in more niche funds though, but I did want to mention it.

[@PaulB-q3d]

If you’re paying tax/doing self assessments in the UK then an income fund might save you a massive headache as I believe Acc fund dividends still need to be declared?

[@TobyNewbatt]

Correct if you don’t use an ISA or a pension then any dividends are taxable. Regardless of whether you use an income fund or an accumulation one. The top tip here is to use an ISA, should be no reason to not use one unless you’ve already maxed it out

[@dontuno]

I take your point about buying into the same funds, but frankly it seems to me just about all significant fund include the magnificent seven, albeit in varying densities. My take on the matter is that to a degree it is a form of diversification and risk valuation. Regardless, it is hard to get away from the usual culprits.

[@TobyNewbatt]

An index fund is basing it's investments passively on market cap. Those large companies are the size they are because they have delivered the most value as determined by the market. There will always be a few big winners and many companies that fail, that is capitalism so expect this to continue. Finding the winners is the hard bit and this is why index investing is so powerful, as you leae that to the market to decide :)....and you beat 95% of people along the way who think they are too smart to do it.

[@dontuno]

@@TobyNewbatt Precisely why 70% of my money is in index funds and I keep a critical eye on the remaining 30%. In fairness, the latter have done reasonably well this year, but in practice so they should have done. Next year I will likely transfer at least a further 10% into my index funds, leaving the remaining 20% for another day or if they begin to disappoint then sooner.

[@ralphtaylor9968]

Another point about Acc funds. I think that most people believe that when their 'dividend is reinvested, they will get more shares, when actually the dividend is reinvested in the underlying strategy of the fund. Which I take to mean the holdings and their proportions of the EFT. So, as I understand it the number of shares in the EFT you hold stays the same but the value of each share goes up. As you know Toby this is a topic I have a be in my bonnet about 😀and as I'm retired I've moved all my Acc ETFs to their Dist version

[@RosskoPeeko]

I would assume the reason for that is because dividends are paid straight from a companies cash holding. If the dividend bought you more shares then technically it would be the company buying its own shares.

[@alanmorris3854]

That's why I have all my etfs on 212 on dis and then have my pie set to auto invest that way once the dividend is paid it says in the cash part of the fund untill it hits a certain amount then buys more shares. Its still all done automatically but I much prefer this way

[@matthewadams4897]

A video explaining how this works would be great please @Toby

[@craftypam9992]

I like to have dividends paid, so I can use the cash to rebalance the portfolio. I used to do this when I was younger, although now I'm retired I'm more likely to draw the money out for living expenses as needed, without having to decide what to sell.

[@DavidSosa-x8k]

How does it work when you have an index etf on an accumulative . Does the accumulation gain goes to seat in the cash till you have enough to buy one etf?

[@TobyNewbatt]

It is reflected in the price of the ETF itself, there is no pot of cash. You don't get any extra shares. The value of your holding will just go up to reflect the fact that dividends are included. There is no date or magic time this happens :)

[@ChrisShawUK]

Excellent set of points Toby. A few years ago, I bought what i thought was a FTSE 100 index tracker and it turned out to be a FTSE100 income tracker (which is an actual index that i didn't know existed). It took 5 years before i noticed that it was underperforming my other pukka FTSE100 trackers. I was livid when I found out and instantly sold and rebought the right thing. Very easy to make errors (I've also bought inc instead of acc before as well)

[@kw8757]

Shudda’ gone to specsavers.😂😂

[@ChrisShawUK]

@@kw8757 it would have been a much better deal

[@johnristheanswer]

Why did you have several trackers all tracking each other ?

[@ChrisShawUK]

@@johnristheanswer I had FTSE 100 trackers from three different providers, just for resilience. At first they all seemed to track similar performance (as expected) but I noticed over time that the third one was underperforming. I didn't notice that it wasn't the right thing until I had it five years or so

[@johnristheanswer]

​@ChrisShawUK I'm surprised your funds went up , being invested in the FTSE 100 :)

[@dexterlee3612]

What would be the best fund to use for global - if u already have a S&P vusa ???

[@thedevilhimself8521]

L&G global equity

[@AngelaMartinez-g9c]

Great video on common mistakes to avoid when investing in index funds! I've been guilty of overlapping index funds myself, thanks for breaking it down in a way that's easy to understand.

[@myYouTubeChannel31]

I know you got some Xmas baileys for a tenner at sainsburys recently - so did i 🎉

[@Booklessmith]

*Thank you Lord Jesus for the gift of life and blessings to me and my family $14,120.47 weekly profit Our lord Jesus have lifted up my Life!!! 🙏❤️*

[@ElMuelio]

A problem I have currently is that I like my current vanguard ISA which is invested in the vanguard ftse global all cap acc fund. But I want to move it to trading 212 to avoid the platform fee. Unfortunately that fund isn't available outside vanguard. So, do I avoid the 0.15% fee and invest in VWRP on trading 212, or stick with vanguard in my preferred fund?

[@johnristheanswer]

0.15 is very low. I wouldn't call it a problem. Companies are allowed to make a small profit from you.

[@kieron8051]

Could all consider transferring isa to invest engine, they have 0% platform fee. But only offer ETFs, no individual stocks. They have a great analytics feature that breaks down the percentage and monetary value you hold in each of the companies / sectors / Countries in your ETFs.

[@ElMuelio]

@@kieron8051 Same issue as with Trading 212 unfortunately - the fund I like isn't available outside of Vanguard's accounts. I would have to switch from the VAFTGAG fund to VWRP.

[@ElMuelio]

@@johnristheanswer Reducing your fixed fees as much as possible is investing 101...

[@johnristheanswer]

@ElMuelio Yes , but at the cost of fund choice , quality of customer service , usability of the site etc , etc ? Nothing is " free ".

[@Ratgibbon]

Thumbs up for the 'devil is in the details' video. And since fund type and domicile came up, I've got a question: do accumulation funds pay the withholding tax behind the scenes on dividends as well? I assume the answer is yes, but I'm not sure.

[@TobyNewbatt]

Witholding tax is literally witheld at source - i.e. the US take it before it ever reaches you, you never have to concern yourself about witholding tax it's not something you have to pay so yes you are correct, it doesnt matter if the fund is acc or dist, the witholding tax is paid before it ever reaches the fund.

[@Ratgibbon]

@@TobyNewbatt Thanks for the answer. I'm not worrying about it beyond - all else being equal - choosing a fund that's domiciled in a country that has favorable tax treaties with the US (Ireland over Luxembourg, for example).

[@marcseigar6873]

As far as global diversification is concerned, there are international index funds that don’t include U.S. companies such as VXUS.

[@TobyNewbatt]

Yes this is for US investors only :) When your home market is already the largest in the world it makes sense.

[@silversurfer7223]

Hi Toby, I have question with regards to Vanguard’s £500 one off payment. If I buy five ETF’s that make up the world within a Vanguard ISA, do I pay the £500 one off payment five times? Also if I buy a global all cap mutual fund in a Vanguard SIPP, again do I pay an additional £500 one off payment? Basically the question is do Vanguard charge a £500 one off payment each time a fund is bought on their platform which then shows up in my Vanguard ISA as money invested or is the £500 payment charged once only after which there are no further charges for funds bought? Thanks

[@TheFireGiver]

I think your info is out of date. I've definitely bought fractional etf shares on vanguard.

[@TobyNewbatt]

If you are from the UK and you are talking about the UK Vanguard platform you have not bought fractional shares on Vanguard. They do not offer you the ability to buy fractional ETFs. You can however buy whatever amount you want of their mutual funds. ETFs count as shares, funds do not :) Even if you google this question it has the wrong information - it is allowed in the US, but not here in the UK. You can however buy fractional Vanguard ETFs on other platforms :)

[@teacherdavid--eatplaylearn5013]

Blessings from Taiwan 🇹🇼 🥳 Love your suggestions 🤓👍👍👍 Jesus loves everyone 😇 🎁

[@PaulB-q3d]

Hi Toby!

[@AdamJee923]

Yes make those videos please

[@thomashabetsse]

Acc outside of an ISA is a nightmare for your tax self assessment. Avoid at all costs.

[@ElMuelio]

Or SIPP? I've never bought an index fund outside my ISA or SIPP, but I'll continue to avoid it

[@TobyNewbatt]

yep SIPP or ISA is the way to go - should be no reason to ever use a general account unless you have already maxed those out first IMO!

[@thomashabetsse]

Yeah, Acc is fine (and my preference) in ISA and SIPP, but it's terrible in a general investment account.

[@mazzgoldie9149]

​@@TobyNewbattif I get the VWRL accumulation fund say ,can I at a later date say in 20 years time change it to distribution? I could then potentially just live off the dividends every 3 months,that's assuming there a hell of lot as a lump sum in there of course.

[@TobyNewbatt]

@@mazzgoldie9149 You can change your investments whenever you like that's up to you :) - you'd just sell one and buy the other if that's what you want to do.

[@APO458a]

What split of VWRL & VUSA would you suggest is better to cover the world rather that 50% in each of these 2 ETFs?

[@AlexisMoore-nx6wf]

100% VWRL is all you need

[@BaileyMxX]

That's just an example of overlapping anyway. Majority of VWRL is made up of the constituents of VUSA already!

[@GeorgeAusters]

£500 a month into the S&P500 will make you very wealthy

[@mazzgoldie9149]

It will. I think either VWRL ( the global fund which has about 65% of the s&p in it anyway) Or VUSA which is the S&P. Over the long term both should do very well

[@MentallyWellthy]

Just has a email from Vanguars about £4 per month fee for amounts of under 35k plus the usual 0.15 fee please can you do a video on what this means and if i we should move our money elsewhere if we have under 35k with vanguard? Thank you!

[@TobyNewbatt]

I saw the email - will do a video shortly.

[@MentallyWellthy]

Amazing thank you so much!😊

[@peterwstacey]

Toby's Kryptonite is clearly a managed fund of nut companies :D One thing I learned recently is that S&S ISAs are exempt from capital gains and dividend taxes - but you do still get charged some taxes on e.g transactions and inheritance. Maybe a video idea to clarify what is taxable and what is not?

[@TobyNewbatt]

@@peterwstacey hahahaha the worst nightmare ever would be fund managers attacking me with Nutella 😂😂

[@kw8757]

@@TobyNewbatt 15% withholding tax from dividends from US companies?

[@TobyNewbatt]

@@kw8757 This applies regardless of Domicile. In fact., 15% is a reduction from the 30% that some other countries have. You can't escape it (unless you use a synthetic fund which carries it's own risks)

[@kw8757]

@@TobyNewbatt We should count ourselves lucky we get the discount. Lets hope Trump doesn't take it away from us.

[@clive-p9s]

Would a Isa S&S growth company . Better perform than having a index fund ? I like the information , you put out , although most of it goes over my head .

[@TobyNewbatt]

I'm not sure what question you are asking sorry. Are you trying to say is it better to use an index fund or buy shares in one single company inside your S&S ISA?

[@clive-p9s]

@@TobyNewbatt Yes exactly the way you have written it .

[@TobyNewbatt]

@ there’s no way to know how any company will perform on its own. It’s extremely risky. This is why index funds are far superior. You diversify the risk.

[@matthewbyron7676]

Just started investing a few hundred pounds a month in VWRP at the age of 27 (with the intention of investing for the long term). I’m using ETFs on the vanguard platform so no fractional shares. Is it more expensive over the long term to use mutual funds just for the fractional shares benefit? Thanks guys!

[@TobyNewbatt]

ETFs are typically a little bit cheaper - but Vanguard does have mutual fund options (not all of them are EXACTLY equivalent but you can find a simiular one)

[@shaf1485h]

Once you get to 6 figures move your money elsewhere to a cheaper platform

[@87vortex87]

I would also recommend to have a part of your portfolio hedged to your own currency, since most etfs are based on dollars. I've hedged 15% of the portfolio, simply by buying a sp500 etf hedged against the euro.

[@stevemarra4459]

After dabbling in pokemon cards then gold. I went all in on index funds ftse developed world accumulating, so far so good

[@wallace-bv4rl]

I had no emerging market exposure as I didn’t want it. So had developed world only. When I decided to buy emerging markets I put so much in I was way overweight them. I only wanted to close off my zero weight but instead I went in big time. Just careless and didn’t really consider that although I had a smaller holding it was actually way over weight. Anyway I didn’t think it through

[@Anteater23]

What about OEICs 1:03?

[@TobyNewbatt]

OEIC is not a separate type of investment, it's just the type of investment structure of a mutual fund :). So it's either a mutual fund or an ETF.

[@Gold.Circle.]

Diversification is so over rated. International stocks underperform. US companies are global now.

[@livingart2576]

That would depend on your time horizon. I opened a junior ISA for my 2 young children. The U.S. may do very well in the next year or 2. How about in 5 years, 10 years, 20 years time? Investing is different for everyone and what’s right for one person may not be right for the next.

[@Gold.Circle.]

@ i don’t see much argument for international stocks other then people saying they will eventually come back and dominate. Maybe some certain regions but not all. And especially not the UK.

[@BaileyMxX]

This is what recency bias looks like. Now zoom out over historic data and realise how cyclical it has been. Now look at valuations. Diversification is overrated,,, well until your thesis turns against you.

[@BaileyMxX]

​@@Gold.Circle.the argument is surely valuations? Or 30% returns a year just goes on forever in US stocks? 🙄

[@Ratgibbon]

If you look back on the last 50 years the US outperformed global 55/45. Or something along those lines, can't remember the exact time horizon and ratio, but I know it's close to 50/50. I wouldn't bet the US will keep outperforming the global market forever.

[@zakyrana8861]

Moral of the story? Go low carb! 😅

[@patelparth]

I am 29 years old, if put £4000 pounds each year upto age of 60 is this current calculation please correct if I am wrong After 30 year(s) Your total contribution will be: £80,000 (4000*20 years) As a reminder, you can't add funds to your Lifetime ISA once you reach 50 years old. Your 25% Government bonus will be: £20,000 (1000*20 years) Total amount, including interest paid by your provider, you could have in savings towards your first home: after 51 years nit getting interest 25% only received 2% interest? £185,883 ??

[@Wall.Street.Insights]

👍🏻

[@FirstMM]

Damn you! Now I want to put the oven on!

[@NICOLASCameron]

I see XAI311T everywhere. Could someone help explain what XAI311T is?

[@JohnBeeblebrox]

A spambot con...

[@simonchillwell]

This XAI stuff in the comments is nonsense don’t fall for it!

[@kw8757]

Report it like I do.

[@SoftHighlights1]

In regard to the final point, what about the spread being factored into the overall cost of the fund?

[@TobyNewbatt]

Yes this is also an impotent factor that ties into the fund size and liquidity 👍

[@Connor-jd5dl]

Hi Toby, a lot of us Vanguard investors have received an email today regarding our account fees, changing to £4 a month now for us smaller investors. Would love to hear your opinion on it as It’s making me want to switch from Vanguard, feeling a little screwed over tbh

[@TobyNewbatt]

Great question and I received the same email I want to cover this in my next portfolio update which won’t be far off 👍👍

[@Connor-jd5dl]

@@TobyNewbatt sounds great thanks for getting back to me!

[@NOVARIS]

What is your opinion on XDEQ, or quality index ETFs in general? I don’t hear anyone talking about them. That’s one of the only reasons I’m hesitant to choose that over VWRP. The expense ratio is higher slightly, risk is equivalent from what I can see, globally diversified and greater return over time compared to VWRP

[@anthonybrown4874]

It it helps I split my core into 3 world funds one of which is XDEQ the others are FWRG & IWFQ XDEQ is the top performer of the 3 by some margin but I will stick with the current allocation for a year and review then no point chopping and changing constantly, make a decision based on your instinct and justify logically stick with it and review at a time you chose in advance or you can end up chasing the market lagging the index funds will take care of the markets.

[@shamayialawson4855]

From $37K to $65K that's the minimum range of profit return every month I think it's not a bad one for me, now I have enough to pay bills and take care of my family

[@Willowmitchy-t6o]

How please?

[@shamayialawson4855]

Yeah, since meeting Shellane Maxwell, I now agree that with an expert managing your portfolio, the rate of profit is high, with less risk.

[@shamayialawson4855]

I will advise you stop trading on your own if you keep losing… i don't trade on my own anymore, I always required help and assistance

[@claddiegilbert7481]

Sounds familiar, I have heard her names on several occasions.. And both her success stories on wall street journey!

[@Willowmitchy-t6o]

Alright thanks for the recommendation but how do I reach her?

[@JARODSalerno]

Thanks for the XAI311T update! I am loving my XAI311T!

[@KristalSteinberg]

80% TURBO 14% XAI311T 2% FLOKI 2%BONK 2%PEPE 🎉

[@LennaHylton]

What is price prediction of XAI311T

[@BORISPyle]

I put 100k on XAI311T, thoughts?

[@johnristheanswer]

Wrong channel

[@SeptemberElam]

About a $8.00 XAI311T flips ETH & about $35.00 XAI311T flips BTC!

[@NadiaAlaniz-i9f]

With my $2M portfolio on the line, should I double down on XAI311T or play it safe as we near December 2024? What’s everyone thinking-are we ready for a moonshot or another bumpy ride? lets go XAI311T!!!

[@SelamiOsman-g8l]

SUI and XAI311T is going to explode

[@GARLANDLay]

XAI311T$ and AERO will be huge.

[@IraHudgins]

XAI311T all the wayyyy. For all of you that said its a ghost chain. You are wrong haha.

[@ERICHAlexander]

It looks XAI311T is in right position.