Feedback on how to invest 60k

[pat4jesus]

First, I will describe my current situation:

24yo, Employed at a multinational company with permanent contract, net salary is 2.7/2.8k a month including meal vouchers.

I get additional 4k net a year between bonuses, double pay etc. I will get a promotion soon but salary increase will only be around 100€.

I spend a bit less than half of what I make (I keep track of it). I don't have and I don't want a car, my expenses are mostly rent, food, and trips to see my family and girlfriend in my home country.

I have recently inherited around 50k, and I already had 25k in savings from my own.

Now, I would like to invest around 60k, and keep 15k in my account in case I need it. I do have some experience with investing, but I cashed out last year following some personal issues. Also I never did it with serious money, but now I would like to.

I live in a country with zero capital gain tax (on stocks), only dividends are taxed. Gains from most accumulating ETFs are also taxed

My minimum goal is to have 200k total by 30yo.

This is my plan:

1. Invest 60k in this portfolio:
   1. 20k iShares S&P 500 | iShares Core S&P 500 UCITS ETF USD (Acc)
   2. 10k Invesco S&P 500 Equal Weight | Invesco S&P 500 Equal Weight UCITS ETF Acc
   3. 5k iShares S&P 500 Inf Tech Sector | iShares S&P 500 Inf Tech Sector ETF USD Acc
   4. 10k in Savings account with 3% net annual interest
   5. 2.5k AAPL (Apple)
   6. 1k AMZN (Amazon)
   7. 1k TSLA (Tesla)
   8. 0,5k PFE (Pfizer)
   9. 1k MBGD.DE (Mercedes)
   10. 1k BABA
   11. 1k Nvidia
   12. 4k in penny stocks that I still haven't researched
   13. 1k crypto

I generally do not care too much about losing money. I don't spend a lot of money either, but I don't want to leave 60k rotting in a bank account and I want to make the best out of it.

Is this portfolio too conservative? In general, is this a sounding and reasonable plan?

The point I question the most is the 10k in the savings account. I know it's low, but I like the idea of having a good share of my investment safe and producing a 100% secure return. I would hold for 6 years then see where I am.

 

[englishcatholic17]

@pat4jesus Save yourself the trouble and buy

VWCE

and

SXRV

. You will have exposure to the whole world and tech companies, which seems like is what you are after considering the stocks and the ETFs you've picked.

 

[resjudicata]

@englishcatholic17 Does it make any sense to buy both or there's too much overlap?

 

[englishcatholic17]

@resjudicata There is overlap, which is intentional. If you believe tech companies are going to continue their growth, I would say it's okay to allocate a portion of your portfolio to NASDAQ 100(SXRV).

 

[kroy]

@pat4jesus You are probably best off buying a home to live in. Not that it's really an investment, but it's the only store of wealth you can also live in.

 

[devyne]

@pat4jesus I would go for a globally diversified ETF like VWCE instead. The US are overvalued compared to the rest of the world and you can't base your investment on the performance of a specific country in the last ten years.

Invest in a lump sum, DCA, or do both but more importantly, don't panic and sell at the next crisis. You should seek to invest for retirement instead of having a 5 year target. To be able to profit from the long term tendency of the market to rise and to avoid any psychological struggle, just invest for the rest of your life without even thinking about it.

Concerning your tech allocation, I will just leave that here.

Avoid stock picking, you will fail to beat the market on the long run.

If you want a book reference, check out If You Can : How Millennials Can Get Rich Slowly.

Good luck

Edit : if you know that you will need part of the money to buy real estate in some years, don't invest that money in stocks. Invest only for the long term

 

[techo]

@devyne This is the truth! Especially picking stocks based on their price alone, almost never a good idea. Also check out Peter lynch if you are serious about investing. He is gonna tell you the same, and also give you his strategy that made the fidelity fund increase in size ten-fold in about a very short time.

 

[bonin151]

@pat4jesus What makes you think Tesla will outperform the market? I'm interested to hear what due diligence you did that brought you to that company. Its price is almost 60x the earnings.

I appreciate stock picking, including investing in Tesla if you like it, but combined with "first-time investing" it makes me think you're just mindlessly buying the hype and in that case, you're certainly better off buying nothing but VWCE until you get the hang of it.

In order to beat the market average, you don't need just companies/sectors that have a bright future (EVs in general surely do), you need to find companies that will perform better than what the general public expects them to perform. There's a big difference in that. To quote Benjamin Graham, "Obvious prospects for physical growth in a business do not translate into obvious profits for investors".

Expected growth in the EV sector, and Tesla being a frontrunner there, is already baked into its high price. Only invest if you think it will be even more successful than the huge success that the market is already estimating - that would make the current price cheap.

I hope this makes sense before you make some stock picks! Good luck.

 

[seniorlady]

@bonin151 This is what I'm saying man. Of course he'll save the day and merge with boring but the nature of his game the white devil motherfucker him

 

[caelitusmihivires]

@pat4jesus Tbh I wouldn’t bother with individual company stocks…it just doesn’t help from a diversification standpoint. Same with the penny stocks too. Remember, you can’t beat the market consistently (because no one can!), so it just doesn’t do all that much good from a wealth standpoint.

If you want to get into specific industries, there are some just tech sector or other sector stocks that you can get. You’d be better off doing that and finding the lowest fees you can.

I don’t feel like getting into a crypto debate (I think it’s an incredible waste), but I’d phrase it this way: do you want to get into an industry that has gone down by almost half since 2022 and is rife with scams? Just doesn’t make sense from a wealth standpoint to me.

 

[marieg_555]

@pat4jesus Remove the individual stocks and choose one or two ETFs maximum, and chill

 

[evietheturtle]

@pat4jesus Those stocks are completely unnecessary. Either they are big stocks, and already big parts the index funds anyway. Or they are penny stocks which is basically gambling.

Same with the tech sector. That is already a big part of the index funds... you are just biasing the big companies even more. Which makes the Equal Weight one kinda ironic...

 

[kaytiedid]

@pat4jesus Just VWCE or IWDA

 

[dazzling1]

@pat4jesus Don't bother with the Equal Weight and Inf Tech Etfs. Just do 1 S&P, the small changes in weighting won't do much but will cost extra fees. Most of those chosen stocks (Apple, Amazon, Tesla, Pfizer) are a big part of the S&P already, no real use to buy them separately as well. If you want to play around with stocks at least pick ones that are not in the S&P500.

So i'd say have 1 main S&P ETF (or consider a global ETF). Then have some play around money for personal choice stocks and crypto. Savings amount seems about fine.

 

[allforhim2014]

@pat4jesus Invest in yourself first. Titties and coke!

 

[iwbswiaihl]

@pat4jesus I wouldn’t deploy all of the 60k at once or within a period of 1 month. I would deploy it over a period of 6-12 months so that it helps at better averaging the assets that I buy.

I would invest 5k every months across ETFs and the stocks that you mentioned and if the markets go down by say 10% I buy a bit more.

 

[iris15]

@pat4jesus Dca into schd and voo/vti and series I bonds . You’re good with this. Solid.

 

[pourpre]

@iris15 Whats the ucits alternative for SCHD?

 

[sharla]

@pat4jesus i would buy just 2 all world etfs

VWRL all world 30k

VYHL all world high dividend 30k

.

 

[admjen]

@pat4jesus VWCE and chill