Portfolio update: please feel free to comment and add thoughts. Thanks very much in advance. I know the portfolio is tech-heavy, but some of that is intentional, and I am working on making it less tech-heavy
Background: 39M non-EU national living in Germany for the last 12 years, have been working for the last 9 years. Late beginner in the investment journey; started only in Feb 2021. Use Scalable Capital as the broker account. We bought a house recently, so the last year has been a bit slow (though I DCAed every month), but plan to ramp up the DCA, going ahead. The main goals are to save enough for the mortgage (we would need about 500K to close the mortgage in 15 years) and for retirement. As of now, am not thinking about separating those 2 goals, with the aim of saving the maximum possible. Since the goal is quite ambitious, aggressive saving and somewhat aggressive investing is the plan. Current portfolio is worth about 50K. Plan to invest at least 2500-3000 EUR every month, going ahead.
Current Portfolio with weightage:
ETFs:
I do realise the stock portfolio is very tech-heavy. Even the ETFs have tech-representations in them. To some extent this is intentional; want to give myself a chance at buying the top S&P500 companies, which happen to be tech now, so as to get a bit more return than an all-world ETF. This is a risk, and yet, I am fine with some part of my portfolio being risky to meet the challenging goal. Having said that, I want to increase the iShares Core MSCI World from 30% to 50% eventually. I also do realise even this ETF has tech-representation, but that's ok.
A few specific questions:
Background: 39M non-EU national living in Germany for the last 12 years, have been working for the last 9 years. Late beginner in the investment journey; started only in Feb 2021. Use Scalable Capital as the broker account. We bought a house recently, so the last year has been a bit slow (though I DCAed every month), but plan to ramp up the DCA, going ahead. The main goals are to save enough for the mortgage (we would need about 500K to close the mortgage in 15 years) and for retirement. As of now, am not thinking about separating those 2 goals, with the aim of saving the maximum possible. Since the goal is quite ambitious, aggressive saving and somewhat aggressive investing is the plan. Current portfolio is worth about 50K. Plan to invest at least 2500-3000 EUR every month, going ahead.
Current Portfolio with weightage:
ETFs:
- iShares Core MSCI World: 30% (DCA)
- Lyxor MSCI World Information Technology: 20% (DCA)
- Amundi NASDAQ 100: 5% (stopped investing now; was an initial ETF that I bought)
- Amazon: 12% (DCA)
- Apple: 6%
- Microsoft: 6% (DCA)
- Visa: 6% (DCA)
- Coca-Cola: 3% (DCA)
- Procter and Gamble: 3% (DCA)
- Tesla: 3% (intend to sell soon)
- Miscellaneous individual stocks that I buy only for short term and sell only when there is a gain: 5%
I do realise the stock portfolio is very tech-heavy. Even the ETFs have tech-representations in them. To some extent this is intentional; want to give myself a chance at buying the top S&P500 companies, which happen to be tech now, so as to get a bit more return than an all-world ETF. This is a risk, and yet, I am fine with some part of my portfolio being risky to meet the challenging goal. Having said that, I want to increase the iShares Core MSCI World from 30% to 50% eventually. I also do realise even this ETF has tech-representation, but that's ok.
A few specific questions:
- I think about stopping DCA into ETF #2 and instead just buy individual tech stocks as I already do. Or perhaps replace ETF #2 by an S&P500 ETF like the Vanguard one? Or is the iShares Core MSCI World as the sole ETF good enough? Any advice on the ETF part of the portfolio in general?
- As part of my plan to make things less tech-heavy, maybe increase weightage of stocks such as Visa, Coca-Cola, P&G, etc. Would this help?