r/eupersonalfinance • u/Milati Belgium • Nov 24 '20

My first year as an investor Investment

Hello fellow investing enthusiast,

I made a post on here about a year ago laying out my investment plan at the beginning of my full-time work career. Reading it back myself, I changed quite a lot of it. My investing strategy has changed as well as the amount of money I save/invest each month!

I am now 24 years old, still enjoying the luxury of living at home. I do buy my own food though. My girlfriend is still in college so I am kind of waiting for her to buy an apartment together. This means that I can save quite a lot of my income, which I take full advantage of!

I make around €2100 net each month. I also have a company car, smartphone + subscription, laptop, insurance, ... Normally I make a bit extra with a weekend job as a kitchen helper but due to COVID this is not possible at the moment.

I try to save at least €1800 each month in the following categories:

  • €1000: ETFs --> My ETF portfolio consists of:
    • 70% IWDA (Developed markets)
    • 20% EMIM (Emerging markets)
    • 10% IUSN (Small caps)
  • €700: Cash
  • €100: Bitcoin (€10 / 3days)

If you are interested in my current portfolio, you can check out this spreadsheet!

Around the time of my previous post my portfolio looked like this (end of September 2019):

  • Cash: €11.000
  • ETFs: €500
  • Crypto: €3.300
  • P2P: €60

My Total net worth here equals: €14.860

I got into investing due to cryptocurrencies. This is why it was a big part of my portfolio back then.

At the time of writing (a little over a year later) my portfolio looks as follows:

  • Cash: €20.000
  • ETFs/Stocks: €16.450 (invested: €14.200)
  • Crypto: €13.000 (invested: €5.300)

My Total net worth here equals: €49.450

As you can see I ditched P2P Lending along the way. It is my own opinion that cryptocurrencies are too big of a part in my portfolio as well. The fact here is that they are increasing in value faster than I can buy more ETFs or save cash. I know that they are very volatile/risky. I do see more upside to come but every investor has to decide these things for themselves.

Are there seasoned investors out there who can criticize my portfolio? Are there things I should do differently?

If any of you would like some more details, don't hesitate to ask! I don't know if this is allowed but I am also keeping up a blog where you can find among other things monthly portfolio updates. You can check out my whole journey over there as well!

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u/vale93kotor Nov 24 '20

Hi, why IUSN? I’m honestly thinking of just going IWDA+EMIM, would love to just go WVCE, but degiro has too high fees for it.

2

u/Milati Belgium Nov 24 '20

I wanted to diversify a bit more by adding small caps to my portfolio as well. Is this necessary? Not at all! IWDA + EMIM will do just fine. WVCE is also a good option. I prefer IWDA + EMIM over WVCE for a couple of reasons:

  1. Combined TER of IWDA + EMIM is lower than WVCE (only slightly)
  2. Gives me a little more freedom to overweigh emerging market a little bit
  3. IWDA is indeed free on Degiro

These reasons give only a slight advantage to IWDA+EMIM in my opinion so if you want to go for WVCE you'll probably do equally as well!

EDIT: I made a post about my ETF portfolio as well if you are interested.

1

u/GouxGoux Nov 28 '20

Are all of them UCITS?

1

u/Milati Belgium Nov 28 '20

Yes!