Another ETF portfolio!

shri · 24-08-2018, 09:27 AM

Originally Posted by pin:

Do you feel with IWDA and VEUD there is some overlap? I appreciate that IWDA will have more of a tilt to the USA, but significant proportion of IWDA is in Europe as well.

Adds a little bit of tilt to EU shares. Just like 2800 provides some China exposure, which IWDA does not have and XLK provides some more exposure to tech. By itself, IWDA I view as an "average" then add some smaller ETFs to increase the average - interest + growth.

But like someone says, the best way to fuck up a good plan, is to try and improve it.

shri · 24-08-2018, 09:34 AM

Originally Posted by RodolfoMcM:

Re the global ETF, I want a FTSE All-World or MSCI ACWI tracker (instead of Core MSCI like IWDA) to give me 8/9% exposure to developing markets. Vanguard's is a bit cheaper than iShares (ACWI). Liquidity not such a concern of mine at the moment.

LQDE or AGGG certainly looking like better choices than IGLS, cheers!

I went with the IWDA (in addition to liquidity) because it accumulates and saves the hassles of reinvesting "pennies" which is difficult as you would end up with odd - really odd number of units.

Sith · 24-08-2018, 11:20 AM

Originally Posted by RodolfoMcM:

Re the global ETF, I want a FTSE All-World or MSCI ACWI tracker (instead of Core MSCI like IWDA) to give me 8/9% exposure to developing markets. Vanguard's is a bit cheaper than iShares (ACWI). Liquidity not such a concern of mine at the moment.

LQDE or AGGG certainly looking like better choices than IGLS, cheers!

If you don’t mind distributing then the VWRD (USD version of VWRL) is ok.
But like Shri (and for the same reasons) I went with the IWDA and added the EIMI for the EM exposure you are looking for.

Oh and it is marginally cheaper as well.

RodolfoMcM · 24-08-2018, 12:04 PM

All good advice thanks. Out of pure laziness, it would be ideal for all my positions to be accumulating and in USD (my income is in USD and, since I'm going for Saxo, currency is another layer of complexity) so I'm now looking at...

IWDA 55%
EIMI 5%
CUKX 20% (annoyingly in GBP but can't see any alternative for UK exposure that's accumulating and in USD)
Bond TBC 20%

shri · 24-08-2018, 12:21 PM

Originally Posted by RodolfoMcM:

CUKX 20% (annoyingly in GBP but can't see any alternative for UK exposure that's accumulating and in USD)

Does iShares ISFD meet your requirements? Very new < 1 year.

https://www.ishares.com/uk/individua...ucits-etf-fund

pin · 24-08-2018, 02:05 PM

Originally Posted by shri:

Does iShares ISFD meet your requirements? Very new < 1 year.

https://www.ishares.com/uk/individua...ucits-etf-fund

Has a decent daily trade, however its AUM is still quite small at USD14M. However does deal with having to convert USD to GBP at Saxo's rates.

pin · 24-08-2018, 02:12 PM

Originally Posted by RodolfoMcM:

All good advice thanks. Out of pure laziness, it would be ideal for all my positions to be accumulating and in USD (my income is in USD and, since I'm going for Saxo, currency is another layer of complexity) so I'm now looking at...

IWDA 55%
EIMI 5%
CUKX 20% (annoyingly in GBP but can't see any alternative for UK exposure that's accumulating and in USD)
Bond TBC 20%

Before I forget, just want to say awesome first thread for a newbie.

Can I ask why you want your UK exposure to be so high? Home bias because you think you may move there? IWDA has 6% UK exposure already (its third highest exposure).

Can I suggest the following maybe?

- IWDA: 60
- EIMI: 10
- ISFD (I like Shri's idea on this): 10
- Bonds: 20

For bonds, can I suggest you consider AGGG as it trades in USD. GBP bonds make up 4.91 of its exposure and UK based issuers make up 5.26 of its investments.

https://www.ishares.com/uk/individua...sd-(dist)-fund

For reference on my bonds side I presently have IGLO, but will shortly sell this and get AGGG.

pin · 24-08-2018, 02:16 PM

Original Post Deleted

Can you convert other currencies within HK using Transferwire / InstaRem and then remit to an HK foreign currency account? I'm not sure about this. I think I did ask Ofx onetime and they said this wasn't possible. Also I think you may get hit with inward remittance fees (would obviously need to check with your specific bank).

Or if depositing to brokers like IB, Saxo, etc money has to come from your bank account, not from a third party remittance provider. Brokers don't allow third party transfers.

Edit just to add, IB still has better rates than Transferwire, InstaRem, etc.

RodolfoMcM · 24-08-2018, 02:17 PM

Originally Posted by shri:

Does iShares ISFD meet your requirements? Very new < 1 year.

https://www.ishares.com/uk/individua...ucits-etf-fund

Thanks for looking Shri. I think the currency hedge defeats my objective of having alignment to UK market. I'm happy with the GBP exposure; just want to avoid exchange fees. But exchanging USD to GBP should be a minor inconvenience.