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ETF Portfolio

  • 08-06-2021 11:07pm
    #1
    Registered Users Posts: 2 Ireland 86


    Hi guys,

    Looking for your opinions on the following etf portfolio including any issues or the best way to approach regularly investing in the portfolio:

    65%: VWCE - Vanguard Ftse All World Accumulating
    10%: IEVD - iShares Electric Vehicles and Driving Tech Accumulating
    10%: IQQH - iShares Global Clean Energy Distributing
    10%: 2B78- iShares Healthcare Innovation Accumulating
    5%: WSML- iShares World Small Cap Accumulating

    Definitley would appreciate any input/observations/improvements you guys have. Thanks in advance


Comments

  • Registered Users Posts: 105 ✭✭ HillCloudHop


    I think it's too many funds to hold long-term, especially with all the paperwork required for regularly investing due to deemed disposal.


  • Registered Users Posts: 8,748 ✭✭✭ Shedite27


    Ireland 86 wrote: »
    Hi guys,

    Looking for your opinions on the following etf portfolio including any issues or the best way to approach regularly investing in the portfolio:

    65%: VWCE - Vanguard Ftse All World Accumulating
    10%: IEVD - iShares Electric Vehicles and Driving Tech Accumulating
    10%: IQQH - iShares Global Clean Energy Distributing
    10%: 2B78- iShares Healthcare Innovation Accumulating
    5%: WSML- iShares World Small Cap Accumulating

    Definitley would appreciate any input/observations/improvements you guys have. Thanks in advance
    Nice setup. Few thoughts
    - I'd have 10% minimum in any of them, 5% is too small for it to make a impact.
    - I'm not gone on the EV stuff, still feel the big players will come back to dominate (Ford, VW).
    - Looking at trends, I'd look for a Cyber Security ETF. Companies and Countries are coming around to the threat and are only going to start investing more and more.
    - see if the Clean Energy has a Accumulating version too, looks like you're (wisely) avoiding dividends.


  • Registered Users Posts: 17,013 ✭✭✭✭ namloc1980


    Looks good. I'd dump the Distributing one, IQQH, as it just adds to the paperwork, as you'll need to make a tax return yearly on the dividends at 41%. Also I think all those funds are based in USD so you have a foreign exchange risk which can go for or against you long term.

    As I'm sure you are aware ETFs are brilliant except for two major issues for Irish retail investors.

    1. The flat tax of 41% on gains/dividends is a bit of a killer but even worse than that is,
    2. The deemed disposal regime every 8 years. It really harms the compounding effect, and for retail investors it's pretty heavy going to keep track of it all to ensure you remain tax compliant. Not impossible by any means but just be sure you don't underestimate, and fully understand, the level of tax work needed once the first 8 year anniversary kicks off. It's not easy and can get complicated. Keep accurate records of everything.


  • Registered Users Posts: 3,960 ✭✭✭ Diarmuid


    They look like all equities, if I was a regular investor and believed in passive index investing, I'd just pick one broad based ETF and stick with that. It looks like you think you'll out perform the broader market by selecting smaller sectors. History suggest you won't so why bother adding the additional overhead multiple ETFs. If your want to diversification add a bond ETF

    As previous poster mentions the tax treatment of them in Ireland is a disaster, might make your selection even more difficult


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