I think 30% defensive is a bit too conservative for younger people with 30-40 years left before they retire. Besides an emergency fund I would have little to no bonds until about 40-45yr
Lot of poly waffle here. Get to the point! Really it’s a matter of definition for ages and time lines til retirements. The best strategy for all is just Australian and international shares with balanced an option in Super. International shares have always performed the best so at least 50%. Australian shares 25% (or 50%) or Balanced 25%. General major market indices ETFs IVV,NDQ,FANG & A200. Timing plays a part but over many decades it won’t matter. Compound rates of return of 10 to 20% has and will result in substantial lump sums at retirement. Private Equity is not defensive. It’s a brilliant one for low interest rate environments during bull markets but the opposite during bear markets. Yearly returns can be over 20% in bull markets. Enough cash for 2 years in a bear market in retirement. Important thing is not over complicate the situation for most investors. There are so many ETFs now that it has become very confusing. Investors want simplicity and something that can be set and forget or have limited changes. Understanding the psychology of investing is important. Too many talking heads just confusing investors. Froth and bubble either way.
N100 and A200 are all you need if you have a 20+ year time horizon before transitioning to retirement. Dividend reinvestment plans set up too of course.
I was buying NDQ when the Nasdaq was at 10,500-11,000. It's outperformed partly due to a favourable exchange rate. I agree with cricketking. You could do far worse than putting money into the higher growth NDQ whenever it's had a pullback. And turning on the DRP.
Last comment only promise, you mentioned that chinese and indian shares are risky, but arent they outside ot the Western world the biggest growers or wealth. For instance Indian wealth is far bigger than Aus wealth plus prominent figures in china and indian head up Mircosoft, Adobe, Apple etc
that's playground bullying standing on other shoes for deformation of your worth on the shoes. same as keying a Porsche because they feel they don't have the same entitlement or worth that you can afford or not based on materialistic value.
Can someone pls advise what is the popularity of the VAS etf when it’s done absolutely nothing in nearly 4 yrs? Bought in pre-Covid around$90 and it sits at 85.98 today and this is the safe as houses asx300 etf, but u don’t hear a bad word about ‘em the go to etf they say. What am I missing
Hey Albert! Great question. Have you included the effect of your dividends? It’s been a hard 2-3 years for investors because interest rates have gone from basically 0% to nearly 5%. But if we include the impact of dividends, it’s easy to see VAS has still done okay - even if it’s not perfect right now. I consider VAS a *long term investment*. To me, long term = 10+ years. That’s enough to ‘average out’ the bad times with some good times. I hope that helps. Owen Rask P.S. nothing in this comment should be considered financial advice. Don’t forget to read the VAS Product Disclosure Statement (PDS) and speak to a licenced adviser 😉
