While I continue to evaluate all the new ETFs available this is my ‘set and forget’ portfolio that also uses the new auto-invest function. With this portfolio I can put my money to work ASAP with the minimum of hastle.
It’s a 90% equity, 10% bond portfolio using just Vanguard ETFs. Equity allocation is largely in line with the FTSE All‑World Index but with a slight correction in favour of value via the FTSE High Dividend ETF. As this sits in a GIA, all ETFs are distributing to make it easier to track any potential divend tax liabilities. The combined OCF is ~0.17%, which compares favourably with the VWRL at 0.22%, and with Invest Engine’s rebalance feature it easy to correct drift (a great differentiator compared to Vanguard Investor).
What do other investors think? Too dull? I’d be really interested in a feature that allowed me to compare the performance of this portfolio against say Ben and Andy’s Money Unshackled Ultimate Portfolio. Do you really need commodities?
Next up with be my learning portfolio where I explore leveraged ETFs, Factor and Theme-based ETFs.
Not “too dull”, I totally changed my investing journey from HL, to Vanguard Platform and Invest Engine Jun 2021. I currently have 750k ish in GIA, ISA, SIPP with S&P 500.
Because I did get bored. I gave myself 25k to play with in NASDAQ 100 and the changed earlier this year to S&P 500 Energy, which has done very well. 0.07 Fees with S&P 500 and 0.15 Energy
So I could my Vanguard my “dull” set and forget it, and my Invest Engine platform to play with and research more.
The portfolio looks good and there is no right or wrong answer here. Some detailed analysis gone into setting this up.
I would personally add/replace into an S&P500 tracker for an ‘increased return’ without impacting the current risk profile. Wherever the USA goes the rest of the world tends to follow. But also check how much investment overlap risk / duplication there is between the stocks within the ETF’s that remain.
If not already aware, have a search on the ‘three fund portfolio’ (YouTube etc), which is along similar lines to your portfolio strategy. Food for thought
Looks good. I am considering this as main sipp - this is much simpler than I have now but would be happy to make simplier. I also would like a slight value tilt. Would’nt buy that many bonds but now I have then I’ll just hold for now. Thoughts welcome. Thanks
@MattL
Hi there, nothing wrong with those. You’ll do well and experience minimum volatility.
Only small piece of guidance that I’d offer is that you are predominantly investing in large cap blend (growth and value).
A little percentage of small cap would likely add an improvement to your overall returns, but it will increase volatility a little.
Check out Paul Merriman. His history of equity returns is truly informative.