Keep going mate I started at 41... was in 13K debt and living in my overdraft. I'm now debt free have a 30K emergency fund. 20K saving pot and just surpassed 280K. Diversification and a clear understanding of your financial goals are key... I am almost 43 now!
I lost a lot chasing individual stocks and I feel pretty silly for not understanding how investing works. I have a double major in economics but I’ve been trying to make sense of the market. Well done on profits!
Keep it simple, buy things you understand, take some risk but don't try to shoot the lights out. I’m invested in ETFs, equity index funds, and individual stocks and use a CFA. On average, she takes 10% off earnings, but using *Lina Dineikiene's* system makes it much more hands-off. I conservatively follow her recommendations and market entry and exit points, and tbh this makes it fairly simple for me... I am convinced it's not just hard work but smart work :-)
If you want to be more aggressive, opt for QQQ, VGT, MGK or any growth ETF. If you'd rather mitigate risk in exchange for stability go with a dividend ETF like DIA, SCHD, VYM, etc. If you want a jack of all trades, go with VOO or VTI.
@@SashaYanshin yes Sasha this is when your at your best for me personally when you provide information that people can use to make better decisions about their what they plan to do. Many thanks.
Cap-weighted index funds have some subtle and interesting characteristics that you don't think about at first glance. There's low turnover because the weights change when stocks go up or down meaning rebalancing isn't needed, which passes on some tax efficiency for fund holders. It also means that there is some degree of momentum investing inherent in the fund because companies that do well get larger and larger weights while companies that perform poorly get lower and lower weights.
I feel like you made this video just for me😂 all of yesterday and today I've been looking at and researching equal weight index funds for the s&p500 because I can see it's over exposed to 7 out of the other 490+ companies in it. It's always nice to hear words from someone wiser than you! Thanks for the information!
Nice video. I am inclined to go for the narrower S&P 500, as I expect big tech to grow most in the first "AI wave" as they have the data and the compute. AI productivity gains for smaller companies will come later. As a non-us resident, my main current concern is the currency risk in US based funds and stocks. The amount of public debt in the US must sooner or later weaken the US dollar, would it not?
Great video! Many thanks. Though some might consider this a boring subject its getting more and more interesting to me by the day as a slowly accept its the only way I'm actually ever going to consistently make money in the stock market. Most of us need to realize ans accept this. I also accept I actually just really enjoy the thrill of individual stocks so will probably never stop buying them.
Put 90-95% of your money in index funds and use the rest to buy individual stocks as the "fun" part of your portfolio. You scratch the itch and you invest sensibly for the long term at the same time, win-win.
I also don’t buy synthetic though one fascinating thing I heard is how holding a synthetic vs replicating means you don’t pay withholding tax on US stocks which hits differently depending on where the fund is domiciled of course, I always thought ppl bought them for lower fees only but then I found out this second reason. Agree on additional counter party risk tho as I understand it it’s a fairly low risk , still enough to put me off tho like said !
@@SashaYanshin I am not an expert at all, but is it a good tactic to buy the worst performing stock in an equal weight index since they will buy those more to outweigh the good performing stock of the index? Since buying pressure makes a stock go up many time. Or what specific risks are there? Anyway, thx for all the good vids 🙏
I was torn between investing the S&P and All world index but I see your point about companies within S&P generating revenue all over the world, would you say then the S&P is more global and that if the US economy went into negative growth this could potentially be offset (to a certain degree) with revenue generated from economies where these US companies are trading which are doing relatively better?
As an lnvesting enthusiast, I often wonder how top level investors are able to become millionaires off investing. . I’ve been sitting on over $545K equity from a home sale and I’m not sure where to go from here, is it a good time to buy into stocks or do I wait for another opportunity?
It's best to seek an advisor right now, unless you're canny yourself. As a business owner in both the service industry and eBay reseller of all product categories, I can tell you we’re in a deep recession and everyone is running out of money.
I agree, that's the more reason I prefer my day to day invst decisions being guided by a invst-advisor, seeing that their entire skillset is built around going long and short at the same time both employing risk for its asymmetrical upside and laying off risk as a hedge against the inevitable downward turns, coupled with the exclusive information/analysis they have, it's near impossible to not out-perform, been using a invst-coach for over 2years+ and I've netted over $900K.
The advisor that guides me is Annette Christine Conte, most likely the internet is where to find her basic info, just search her name. She's established.
I just googled her and I'm really impressed with her credentials; I reached out to her since l need all the assistance l can get. I just scheduled a caII.
A very well balanced video Sasha, but you did miss one important reason for buying an EW index over Weighted. Arguably the main reason for owning index funds over individual stocks is the benefit of diversification, with EW funds you get far better diversification i.e. if you own an S&P500 tracker 20% of your money is tied up in only 4 companies and, worse than that, they're all in the same sector of the market.
Yes, and although timing the market is like worshipping Beelzebub, if ... nevetheless ... you do happen to think that this AI nonsense is indeed going to go pop, which Sasha has tended to imply fairly openly recently (and which I also think likely), the present context makes a significant switch to EW much more attractive. Sasha's logic in this vid would be applicable in 2011, not in 2024. Also seems inconsistent with his recent thoughts (as I say...). I'd like a more serious statistics-based analysis of pros and cons of EW please, Sasha!
7:54 You can look at at as they sell best performers and buy worst. But you can look at it as they buy dips and sell on peaks. If they made more money than regular index, that means it is more second case than first. But obviously both of those things happen at same time.
Solid recommendations! I wish my broker would have done this 10 years ago. I finally got frustrated, went self-directed, got index funds & am doing much better than w/ my broker. Many are just weasels.
Nice video. Since you're recommending VTI as a pick-up, why not just buy VT instead? Not only does it cover the total US stock market index, but also tracks a market cap-weighted index of global stocks covering 98% of the domestic and emerging market capitalization. The fund is passively managed to hold a well-diversified, market cap-weighted portfolio of developed and emerging market stocks. The fund ignores frontier markets as do most peer funds but excluding the likes of Vietnam and Kuwait has minimal impact on the fund's ability to track the global market. The funds inclusion of small-caps makes it incrementally more representative than direct rivals like ACWI. And it's only $115.17 per share, as I write this. So you get two markets for the price of one. Makes sense, no?
I guess the ETFs with ticker: -SMGB -XLKQ -IITU Would be "not to be touched with a barge pole" for you? By the way I find your content / opinions trustworthy.
With the world going increasingly digital on a daily basis, the NASDAQ is highly likely to outperform the S&P500. I'm looking no further than QQQ or equivalent
In trading, possessing technical analysis skills is not sufficient on its own; discipline and emotional maturity play crucial roles in achieving success. Embracing the mindset of "time in the market vs. timing the market" proves valuable, especially during market fluctuations. I attribute my growing daily earnings to Zachery M Demers's valuable insights and daily trade signals, coupled with my commitment to continuous learning, managed to grow a nest egg of around 127k to a decent 532k. Kudos to the journey ahead!
he is my family's personal broker and also a personal broker in many families I'm United States, he's a licensed broker and a FINRA AGENT in United states
I just withdrew my profits a week ago, To be honest it was an amazing feeling when the profits hits my wallet I wish I could reinvest but, too much bills
A last month I moved 25% of my s&p 500 to a Dividend Growth fund. Took along look at your recommendation , I've decided to stay put. You're not wrong by no means, and thx for the information.
I bought a global technology fund in 2017 and its up 248% and it is still my best performer. I must admit that 30% of the fund are covered by the top 10 global companies (Google, tesla, alphabet, Nvidia etc). Technically its an expensive fund now, with a forward P.E. of 28 and most girus are talking about a tech bubble burst. I think A.I. may take these tech giants a few years further down the road, so im staying invested and ignoring the noise. Ive just bought back into a UK income fund because it pays a 6.1% dividend, even though I know that the UK economy is poor. All of my funds are passive and have low expense ratios, below 0.3%
@@harrysahota4072 Yes the UK fund which I am referring to is called Vanguard FTSE UK Equity Income index ACC (INC is available too) and on paper, is a very cheap fund (though I'm not expecting miracles in the UK economy). It's more focused on dividends and suits my overall portfolio - which is otherwise exposed to a lot of growth stocks. Be aware that this is not an etf and is instead, an open ended investment company. The expense ratio is 0.14 so that's pretty low. I know this fund is definitely available on Fidelity and Vanguard platforms.
Thanks for sharing your view on what index to invest in. I was wondering though, I can see the rational for investing in the US all share fund but I'm interested to know why you didn't suggest an all world or developed world index? Surely that would also dilute the amount you are investing in the mega stocks while at the same time buying more diversification, tapping into those successes not just in the US but in across the world as you allude to earlier in the video.
I talk about that in the middle of the video. I see a shift to a point where the US stock market has become "the marketplace" for the best companies in the world. I am not convinced that even in the medium term that is likely to change as it stands so I personally am choosing to not diversify outside the US for that reason. Many would disagree with this which is why I presented the other side of the argument too. 👍
@@tedpritchard5619 The US Equity Index Fund has 3597 companies listed and many of those companies trade internationally so I see it as well diversified. It also trades in GBP. That's why I chose it as my main fund for SIPP and some ISA three years ago.
been on the us equity index for 4 years now, doing quite well :) my thoughts back then was to see exactly what you have said, growth of smaller companies around the world and so decided on the us equity index for america, the Ftse 250 for uk and a general fund for emerging markets. So far so good in the growth stakes, up by 40% overall. Either lucky or timed it right.
Hi Sasha, thanks for the video. I have this in my vanguard for some years now and I think the closest in other platforms would be the one from L&G, LGGG, or am I wrong? Thanks for the video!
Great video. VTI and VOO have always been neck and neck, each having their moments of outperformance. However, theoretically, VTI should outperform over the long term. The question is, how long will it take? That remains an unknown. The assumption here is a 0.03% fee. For Europeans, the lowest fee for an S&P 500 ETF is 0.03%, whereas Vanguard's fund is 0.10%, not including platform fees. Therefore, it is almost 100% certain that buying a 0.03% S&P 500 ETF on a free platform will be the winning strategy.😊
There are only two scenarios that would make me consider buying that Vanguard fund: One, if they issue a corresponding low-cost ETF, such as one with a 0.03% fee, and two, if this ETF can be purchased on other free platforms. Otherwise, the broader exposure of an ETF/fund like VTI(CRSP US index) would be ruthlessly eroded by the higher fees.
Hi Sasha, I'm not sure if you would call this a replicating index but LGUG the legal & General Us Equity index has been on invest engine for some time and has been performing well. Thank you for the informative video
Russell 2000 is just a useful collective term for small cap US stocks. Maybe it's a bias - I am pointing out that in the last 3 years there has been a very unusual split between the performance of small cap and big stocks.
1. Replicating funds don't eliminate the risk of the fund going under. What they do take care of is that your investment is actually tied to real stock and derives its value from that, meanwhile your "growth" in the synthetic one basically comes out of a thin air and is a pyramid scheme in disguise. 2. Equal Weighted aporoach is just a special case of a Cap Weighted approach where the Multiplier happens to be 1. While it certainly has its merits, it's a very naive and shallow way to exploit that advantage. It's like using a linear equation to approximate a function for which a polynomial equation would be more suitable.
I think investors should always put their cash to work, especially In 2024, we'll start to see more market diversification. I'm hoping to invest about $350k of my savings in stocks against next year. Hope to make millions in 2024.
Since risk is at an all-time high right now, perhaps you should be a little more patient and return when it has decreased. Alternatively, you can consult a trained financial expert for strategy.
Yes true, I have been in touch with a brokerage Advisor. With an initial starting reserve of $80k, my advisor chooses the entry and exit commands for my portfolio, which has grown to approximately $550k.
Angela Lynn Shilling is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.
@Sasha. So are you saying (at end) that the very small slithers of the other companies are actually going to change the outcome? Seems to me both the total US index funds are so top heavy it isn't going make alot of odds. I have been moving some (not alot) from the usual index funds to ones which have a bit more mid/small cap weighting. Yes I know, I'm guessing the market.
Glad to see you are progressing down the diversification road. Sasha - I can foresee your future updates on this topic 😉 But if you would like to improve on this and eat all the courses of the diversification free lunch, then you can do it cheaply with the below. SWLD - 80% EMIM - 10% WLDS - 10%
I only invest in market weighted because my SIPP is held with vanguard And I’m ok with that because it’s a global. Based on my personality if given the option I’d probably opt for equal weighted
For those who like World Index Funds - would be nice to have something more like VT in the UK. The UCITs versions like this one have much higher fees + 1/3 of the number of stocks.
Hey Sasha, long time follower, you seemed to missed out a recommendation for the small cap ETF? Would love to know one that fits your criteria for long term investing, thanks!
Thanks for the video, ive always had a similar perspective about the us total equity market. Its a volatility argument here to me, we'll see what happens over the next few years here. Im subscribing, keep at it!
Is index funds equal etf? I have a hard time buying indwx funds in germany. I used to have some at vanguard because that is the only one available in germany i could find, but then vanguard is no longer available in germany, so i have to selly index funds.
Just discovered your channel but really happy I did as I thought I was alone in my views of sticking with US indexes (versus All World) and one of my fav picks -VUSEIDA! Thanks :)
Hi Sasha, did you look into AVUV for small caps? I see it posted everywhere on Reddit. What do you think about 80% VOO and 20% AVUV allocation instead of VTI?
I remeber buffett at the AGM saying BH would have to collapse 90pc and would still be beat the s&p over the last 50yrs would you class BH as a fund ???
Got me thinking about Peter Zeihan's predictions about the end of the globalized economy as the US stops patrolling oceans and resorts to onshoring etc etc. I wonder if that would incentivise localized economies the world over to build their own companies for services and products that they currently get from US based companies. That could work in the favour of those owning All World indexes. Crystal ball needed
I’ve got £100k to invest. I want to build a nest egg for when I'm older. I want to know if it's a good idea to add all my savings into a long term ETF, set and forget Come back in 20-30 years, instead of 250-300 DCA every month. Which ETF would you recommend?
Yes - that's why I was highlighting the difference between the US and Rest of the World - the funds are different. There are S&P 500 and World Index funds on every platform - those are easy to find...
Watching in my 40s... And only just starting I feel so behind!
Gotta start somewhere
Keep going mate I started at 41... was in 13K debt and living in my overdraft. I'm now debt free have a 30K emergency fund. 20K saving pot and just surpassed 280K. Diversification and a clear understanding of your financial goals are key... I am almost 43 now!
I lost a lot chasing individual stocks and I feel pretty silly for not understanding how investing works. I have a double major in economics but I’ve been trying to make sense of the market. Well done on profits!
Keep it simple, buy things you understand, take some risk but don't try to shoot the lights out. I’m invested in ETFs, equity index funds, and individual stocks and use a CFA. On average, she takes 10% off earnings, but using *Lina Dineikiene's* system makes it much more hands-off. I conservatively follow her recommendations and market entry and exit points, and tbh this makes it fairly simple for me... I am convinced it's not just hard work but smart work :-)
If you want to be more aggressive, opt for QQQ, VGT, MGK or any growth ETF.
If you'd rather mitigate risk in exchange for stability go with a dividend ETF like DIA, SCHD, VYM, etc.
If you want a jack of all trades, go with VOO or VTI.
Thank you Sasha. This is the kind of info that originally brought me to your channel. Loving your work.
Well there we go - need to put out some of these videos in-between the rest!
@@SashaYanshin Don't get me wrong, love all your content but I'm running out of popcorn!
@@SashaYanshin 😆
@@SashaYanshin yes Sasha this is when your at your best for me personally when you provide information that people can use to make better decisions about their what they plan to do. Many thanks.
This guys needs much more subs. Quality. Just Quality. Thanks S
I agree
Cap-weighted index funds have some subtle and interesting characteristics that you don't think about at first glance. There's low turnover because the weights change when stocks go up or down meaning rebalancing isn't needed, which passes on some tax efficiency for fund holders. It also means that there is some degree of momentum investing inherent in the fund because companies that do well get larger and larger weights while companies that perform poorly get lower and lower weights.
I feel like you made this video just for me😂 all of yesterday and today I've been looking at and researching equal weight index funds for the s&p500 because I can see it's over exposed to 7 out of the other 490+ companies in it. It's always nice to hear words from someone wiser than you! Thanks for the information!
A very basic, very solid video. Not some dumb "buy this - it will make you a millionaire"
Great stuff!
Nice video. I am inclined to go for the narrower S&P 500, as I expect big tech to grow most in the first "AI wave" as they have the data and the compute. AI productivity gains for smaller companies will come later. As a non-us resident, my main current concern is the currency risk in US based funds and stocks. The amount of public debt in the US must sooner or later weaken the US dollar, would it not?
I've never heard Index Funds explained like this before. Awesome, Thanks!
Great video! Many thanks. Though some might consider this a boring subject its getting more and more interesting to me by the day as a slowly accept its the only way I'm actually ever going to consistently make money in the stock market. Most of us need to realize ans accept this. I also accept I actually just really enjoy the thrill of individual stocks so will probably never stop buying them.
Thanks for watching!
Put 90-95% of your money in index funds and use the rest to buy individual stocks as the "fun" part of your portfolio. You scratch the itch and you invest sensibly for the long term at the same time, win-win.
I also don’t buy synthetic though one fascinating thing I heard is how holding a synthetic vs replicating means you don’t pay withholding tax on US stocks which hits differently depending on where the fund is domiciled of course, I always thought ppl bought them for lower fees only but then I found out this second reason. Agree on additional counter party risk tho as I understand it it’s a fairly low risk , still enough to put me off tho like said !
Wow I haven’t seen you upload a stock recommendation video for a long long time. Nice!
Not really a stock recommendation video - more of a discussion around Index Funds! 👍
@@SashaYanshin I am not an expert at all, but is it a good tactic to buy the worst performing stock in an equal weight index since they will buy those more to outweigh the good performing stock of the index? Since buying pressure makes a stock go up many time. Or what specific risks are there?
Anyway, thx for all the good vids 🙏
Thanks ssha, great video. Great food for thought.
I was torn between investing the S&P and All world index but I see your point about companies within S&P generating revenue all over the world, would you say then the S&P is more global and that if the US economy went into negative growth this could potentially be offset (to a certain degree) with revenue generated from economies where these US companies are trading which are doing relatively better?
Don't put your eggs in one basket...
As an lnvesting enthusiast, I often wonder how top level investors are able to become millionaires off investing. . I’ve been sitting on over $545K equity from a home sale and I’m not sure where to go from here, is it a good time to buy into stocks or do I wait for another opportunity?
It's best to seek an advisor right now, unless you're canny yourself. As a business owner in both the service industry and eBay reseller of all product categories, I can tell you we’re in a deep recession and everyone is running out of money.
I agree, that's the more reason I prefer my day to day invst decisions being guided by a invst-advisor, seeing that their entire skillset is built around going long and short at the same time both employing risk for its asymmetrical upside and laying off risk as a hedge against the inevitable downward turns, coupled with the exclusive information/analysis they have, it's near impossible to not out-perform, been using a invst-coach for over 2years+ and I've netted over $900K.
Please can you leave the info of your lnvestment advsor here? I’m in dire need for one.
The advisor that guides me is Annette Christine Conte, most likely the internet is where to find her basic info, just search her name. She's established.
I just googled her and I'm really impressed with her credentials; I reached out to her since l need all the assistance l can get. I just scheduled a caII.
Very interesting. Thank you for giving us your knowledge. We all need that information/understanding. 👍🏼😊
Great vid. I’m looking at getting an index fund pretty soon.
Great video instead of markets crashing video all the time as we know it wont crash
A very well balanced video Sasha, but you did miss one important reason for buying an EW index over Weighted. Arguably the main reason for owning index funds over individual stocks is the benefit of diversification, with EW funds you get far better diversification i.e. if you own an S&P500 tracker 20% of your money is tied up in only 4 companies and, worse than that, they're all in the same sector of the market.
Yes, and although timing the market is like worshipping Beelzebub, if ... nevetheless ... you do happen to think that this AI nonsense is indeed going to go pop, which Sasha has tended to imply fairly openly recently (and which I also think likely), the present context makes a significant switch to EW much more attractive. Sasha's logic in this vid would be applicable in 2011, not in 2024. Also seems inconsistent with his recent thoughts (as I say...). I'd like a more serious statistics-based analysis of pros and cons of EW please, Sasha!
7:54 You can look at at as they sell best performers and buy worst. But you can look at it as they buy dips and sell on peaks. If they made more money than regular index, that means it is more second case than first. But obviously both of those things happen at same time.
Solid recommendations! I wish my broker would have done this 10 years ago. I finally got frustrated, went self-directed, got index funds & am doing much better than w/ my broker. Many are just weasels.
How do I know if a particular etf / index fund is synthetic stock ?
it mentions it in the details of the fund. It will tell you whether the replication of the ETF/Index is physical or synthetic
Nice video. Since you're recommending VTI as a pick-up, why not just buy VT instead? Not only does it cover the total US stock market index, but also tracks a market cap-weighted index of global stocks covering 98% of the domestic and emerging market capitalization. The fund is passively managed to hold a well-diversified, market cap-weighted portfolio of developed and emerging market stocks. The fund ignores frontier markets as do most peer funds but excluding the likes of Vietnam and Kuwait has minimal impact on the fund's ability to track the global market. The funds inclusion of small-caps makes it incrementally more representative than direct rivals like ACWI. And it's only $115.17 per share, as I write this. So you get two markets for the price of one. Makes sense, no?
Probably not available in the UK...I'll check.
What’s the equivalent if your SIPP is with HL ?
Would you choose two index’s on an 80/20 split? Vanguard S&P500 & Russell2000 index’s ?
Happy Sunday guys
:)
Thanks, and a blessed Sunday also to you (few hours left)!
Wouldn’t a combination of S&P 500 and S&P 600 be a sensible alternative?
I guess the ETFs with ticker:
-SMGB
-XLKQ
-IITU
Would be "not to be touched with a barge pole" for you?
By the way I find your content / opinions trustworthy.
With the world going increasingly digital on a daily basis, the NASDAQ is highly likely to outperform the S&P500. I'm looking no further than QQQ or equivalent
In trading, possessing technical analysis skills is not sufficient on its own; discipline and emotional maturity play crucial roles in achieving success. Embracing the mindset of "time in the market vs. timing the market" proves valuable, especially during market fluctuations. I attribute my growing daily earnings to Zachery M Demers's valuable insights and daily trade signals, coupled with my commitment to continuous learning, managed to grow a nest egg of around 127k to a decent 532k. Kudos to the journey ahead!
HE'S MOSTLY ON TELEGRAMS, USING THE USERNAME...
Zachfinance
thats him
he is my family's personal broker and also a personal broker in many families I'm United States, he's a licensed broker and a FINRA AGENT in United states
Really you people know him? I was even thinking that I'm the only one he has helped walk through the fears and falls of trading
I just withdrew my profits a week ago, To be honest it was an amazing feeling when the profits hits my wallet I wish I could reinvest but, too much bills
A last month I moved 25% of my s&p 500 to a Dividend Growth fund. Took along look at your recommendation , I've decided to stay put. You're not wrong by no means, and thx for the information.
I invest in the FTSE all world index, the rest individual stocks.
Hi, how to find if an index fund is a replica or swap-based synthetic fund?
I chose the Vanguard US Equity Index fund for my SIPP. 👍
Hi is it the same index fund as Sasha was talking?
I bought a global technology fund in 2017 and its up 248% and it is still my best performer. I must admit that 30% of the fund are covered by the top 10 global companies (Google, tesla, alphabet, Nvidia etc). Technically its an expensive fund now, with a forward P.E. of 28 and most girus are talking about a tech bubble burst. I think A.I. may take these tech giants a few years further down the road, so im staying invested and ignoring the noise. Ive just bought back into a UK income fund because it pays a 6.1% dividend, even though I know that the UK economy is poor. All of my funds are passive and have low expense ratios, below 0.3%
Hi, what uk fund is that?
@@harrysahota4072 Yes the UK fund which I am referring to is called Vanguard FTSE UK Equity Income index ACC (INC is available too) and on paper, is a very cheap fund (though I'm not expecting miracles in the UK economy). It's more focused on dividends and suits my overall portfolio - which is otherwise exposed to a lot of growth stocks. Be aware that this is not an etf and is instead, an open ended investment company. The expense ratio is 0.14 so that's pretty low. I know this fund is definitely available on Fidelity and Vanguard platforms.
What is the U.K. index fund you have bought into? I like the sound of that
The UK fund is called...Vanguard FTSE U.K. Equity Income Index Fund GBP Acc
And is available on a number of platforms, as ACC or INC.
@@RobCLynch thanks l I will see if I can get on Iweb
Thanks for sharing your view on what index to invest in. I was wondering though, I can see the rational for investing in the US all share fund but I'm interested to know why you didn't suggest an all world or developed world index? Surely that would also dilute the amount you are investing in the mega stocks while at the same time buying more diversification, tapping into those successes not just in the US but in across the world as you allude to earlier in the video.
I talk about that in the middle of the video. I see a shift to a point where the US stock market has become "the marketplace" for the best companies in the world.
I am not convinced that even in the medium term that is likely to change as it stands so I personally am choosing to not diversify outside the US for that reason.
Many would disagree with this which is why I presented the other side of the argument too. 👍
@@SashaYanshin that’s a good point. I should pay more attention 😂
@@tedpritchard5619 The US Equity Index Fund has 3597 companies listed and many of those companies trade internationally so I see it as well diversified. It also trades in GBP. That's why I chose it as my main fund for SIPP and some ISA three years ago.
been on the us equity index for 4 years now, doing quite well :) my thoughts back then was to see exactly what you have said, growth of smaller companies around the world and so decided on the us equity index for america, the Ftse 250 for uk and a general fund for emerging markets. So far so good in the growth stakes, up by 40% overall. Either lucky or timed it right.
Hi Sasha, thanks for the video. I have this in my vanguard for some years now and I think the closest in other platforms would be the one from L&G, LGGG, or am I wrong? Thanks for the video!
I’m really enjoying your content Sasha, a breath of fresh air, keep them coming m!
This is a different kind of video helping people think about index funds - hopefully we get some explosive news to talk about tomorrow! :))
Great video. VTI and VOO have always been neck and neck, each having their moments of outperformance. However, theoretically, VTI should outperform over the long term. The question is, how long will it take? That remains an unknown. The assumption here is a 0.03% fee. For Europeans, the lowest fee for an S&P 500 ETF is 0.03%, whereas Vanguard's fund is 0.10%, not including platform fees. Therefore, it is almost 100% certain that buying a 0.03% S&P 500 ETF on a free platform will be the winning strategy.😊
There are only two scenarios that would make me consider buying that Vanguard fund: One, if they issue a corresponding low-cost ETF, such as one with a 0.03% fee, and two, if this ETF can be purchased on other free platforms. Otherwise, the broader exposure of an ETF/fund like VTI(CRSP US index) would be ruthlessly eroded by the higher fees.
Good video! We need more like this
🙏
Hi Sasha, I'm not sure if you would call this a replicating index but LGUG the legal & General Us Equity index has been on invest engine for some time and has been performing well. Thank you for the informative video
Thats why I have a equal weight S&P500 to. Let’s see which of both do better in the next 10 years
Probably will end up bang on equal!
Thanks so much 🙏🙏 you've answered my question.
Thank you for correcting your mistake : 15min27sec to 15min33sec. You will know what I am talking about 😉. Keep up the good work Sasha .
unbiased solid advise fr Sasha ... without usual rant ?! what's next, a guest speaker, cuppa and cookies ?
To summarize the video: Buy S&P 500
IWM
You didn't watch the last section did you?
@@SigurdVolsung QQQ
@@SigurdVolsungdid you?
A little bit of synthetic is okay. 10% UPRO (a 3x US500 ETF) will add a good amount of returns compounded over the years.
Thanks for the informative video Sasha. What's your personal bias on the Russell 2000, specifically?
Russell 2000 is just a useful collective term for small cap US stocks. Maybe it's a bias - I am pointing out that in the last 3 years there has been a very unusual split between the performance of small cap and big stocks.
@@SashaYanshin Thanks
Would investing in the Russell & the spy when either take a dip be a good strategy ?
1. Replicating funds don't eliminate the risk of the fund going under. What they do take care of is that your investment is actually tied to real stock and derives its value from that, meanwhile your "growth" in the synthetic one basically comes out of a thin air and is a pyramid scheme in disguise.
2. Equal Weighted aporoach is just a special case of a Cap Weighted approach where the Multiplier happens to be 1. While it certainly has its merits, it's a very naive and shallow way to exploit that advantage. It's like using a linear equation to approximate a function for which a polynomial equation would be more suitable.
TH-camr quality: God mode
🙏
Yes the equal weighted indexes act similar to t212 pie that you re-balance consistently from what I understand.
The globality of the top us companies, i really like your take of how this makes us investing make so much sense and not a single country bias.
Is there an equivalent on T212?
I think Sasha said there isn't really an equivalent on any other platform.
I think investors should always put their cash to work, especially In 2024, we'll start to see more market diversification. I'm hoping to invest about $350k of my savings in stocks against next year. Hope to make millions in 2024.
Since risk is at an all-time high right now, perhaps you should be a little more patient and return when it has decreased. Alternatively, you can consult a trained financial expert for strategy.
Yes true, I have been in touch with a brokerage Advisor. With an initial starting reserve of $80k, my advisor chooses the entry and exit commands for my portfolio, which has grown to approximately $550k.
I’ve been looking to switch to an advisor for a while now. Any help pointing me to who your advisor is?
Angela Lynn Shilling is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.
I searched for her full name online, found her page, and sent an email to schedule a meeting. Hopefully, she responds soon. Thank you
If Vanguard didn't have a platform fee I'd still be invested in their US Equity fund.
Great video, thanks again! Does the fact that all major ETFs are USD based concern you atall? I'm thinking long term portfolios with one main ETF
So, did you sell your Tesla shares despite their technological advantages?
I've seen an 18% ROI on the global all caps this year so not too bad
Last couple of years have been pretty nuts whichever index you hold! 👍
I held this, too expensive and can be replicated for much less and I’d rather control the EM and small caps over the years.
Not bad! What's the name of the fund?
@@SycAamore vanguard ftse global all cap fund.
@@coderider3022 Thanks, that's a fund, not an ETF, right?
Investing for 20 years! Interesting?? Since we have had endless QE and 0% rates. Great job
Hey Sasha. Do you own any Tesla stock currently? Cheers fella 😊
Watching you from Canada sasha! Xeqt is my poison of choice!
If possible you should treat all investment money the same. Doesn’t make sense to have a portion active and another passive.
@Sasha. So are you saying (at end) that the very small slithers of the other companies are actually going to change the outcome? Seems to me both the total US index funds are so top heavy it isn't going make alot of odds. I have been moving some (not alot) from the usual index funds to ones which have a bit more mid/small cap weighting. Yes I know, I'm guessing the market.
What’s best high yield dividend etf in uk on trading 212
Try the SQQQ ETF if you want a really wild ride this Autumn !
Glad to see you are progressing down the diversification road. Sasha - I can foresee your future updates on this topic 😉
But if you would like to improve on this and eat all the courses of the diversification free lunch, then you can do it cheaply with the below.
SWLD - 80%
EMIM - 10%
WLDS - 10%
I don't want an MSCI World Index. :)
@@SashaYanshin You don't like Morgan Stanley Capital International? With those three ETFs it's everything except microcaps.
Great video!
I only invest in market weighted because my SIPP is held with vanguard And I’m ok with that because it’s a global. Based on my personality if given the option I’d probably opt for equal weighted
What funds are you using for your SIPP?
@@SycAamorevanguard. FTSE global all cap. I may open up another SIPP of mixed funds
VWRP
For those who like World Index Funds - would be nice to have something more like VT in the UK.
The UCITs versions like this one have much higher fees + 1/3 of the number of stocks.
Hey Sasha, long time follower, you seemed to missed out a recommendation for the small cap ETF? Would love to know one that fits your criteria for long term investing, thanks!
had this but sold it when i moved to T212 who don’t have it. was good while i had it.
What do people think about global indices tracker? Any advice will be appreciated as i am looking into investing in them.
Probably a good bet for the long term if weighted with U.S stocks therfore indices
Thanks for the video, ive always had a similar perspective about the us total equity market. Its a volatility argument here to me, we'll see what happens over the next few years here. Im subscribing, keep at it!
I've noticed a lot of ETFs are "Physical (Sampling)" not full replication. Is this ok?
The market is down 3% and Sasha is back! WOHO!
Genuinely confused what the market being down 3% has to do with it
@@SashaYanshin just a coincidence! Still, love all the videos
Is index funds equal etf? I have a hard time buying indwx funds in germany. I used to have some at vanguard because that is the only one available in germany i could find, but then vanguard is no longer available in germany, so i have to selly index funds.
Is the Wisdom Tree US equity income fund (acc) good in your opinion?..i see that on trading 212.
L and G Global 100 does it for me. If you're going to invest , invest in the biggest and the best.
Guys forget the shirt, pay attention to the video 😭
It's weird how apparently the shirt colour is in any way important!
@@SashaYanshin😂
Sasha: "Oh God! I'm never wearing red again now. Gee thanks Guys!"
Yep, his un-ironed grandad shirt disturbed me again, or was it a mix up in the laundry???
It’s not the shirt’s color, it’s the saggy, wrinkled look of the shirt.
Just discovered your channel but really happy I did as I thought I was alone in my views of sticking with US indexes (versus All World) and one of my fav picks -VUSEIDA! Thanks :)
Vanguard us equity index fund was the first shares i bought back in 2018.
0.10 fees.
I missed the party where you say which index fund you are buying....
interesting stuff, unfortunately Vanguards SIPP dont offer VTI or your choice so will have to stick with VUSA
My SIPP is invested in the Vanguard US Equity Index Fund which is the one Sasha is talking about. It's called VUSEIDA. It's also denominated in GPB.
Hi sasha, on VTI .which proportion is of S&P and Russel 2000? 95/5?
Hi Sasha, did you look into AVUV for small caps? I see it posted everywhere on Reddit. What do you think about 80% VOO and 20% AVUV allocation instead of VTI?
What’s your thoughts on the Nasdaq 100 eft?
* ETFs
I remeber buffett at the AGM saying BH would have to collapse 90pc and would still be beat the s&p over the last 50yrs would you class BH as a fund ???
So, just keep holding an S&P index fund?
Or that - I talk about that at the end of the video 👍
Got me thinking about Peter Zeihan's predictions about the end of the globalized economy as the US stops patrolling oceans and resorts to onshoring etc etc. I wonder if that would incentivise localized economies the world over to build their own companies for services and products that they currently get from US based companies. That could work in the favour of those owning All World indexes. Crystal ball needed
Hiya Sasha long time fan. You know the “synthetic” type of funds, is another name for them “covered calls”?
No, it isn't.
The problem with equal weighted indexes, is markets tend towards agglomeration.
went all in on Fiver a year or so ago, waiting for it to run.
Dont go all in on one stock
Is there an ETF or is it just a mutual fund? If not an ETF, is there one available in the UK that is close?
I’ve got £100k to invest. I want to build a nest egg for when I'm older. I want to know if it's a good idea to add all my savings into a long term ETF, set and forget Come back in 20-30 years, instead of 250-300 DCA every month. Which ETF would you recommend?
I'd recommend investing bank 😂
Best advice.
Some of these funds you mentioned I can't see them on trading 212 in the UK?
Yes - that's why I was highlighting the difference between the US and Rest of the World - the funds are different.
There are S&P 500 and World Index funds on every platform - those are easy to find...
Are the companies in the vuseida not covered in the vwrp?
Just a bloody good video. Enough said 👍
Is he talking about VWRP?
I couldn’t find this on trading 212 is there anyone can help with this please ?