I live off earnings on ETFs, for sure it can improve your wealth if you reinvest them to buy more, creating a snowball effect that allows you compound over time.
Have you considered the possibility of cashing out some of those dividends for paying off your monthly expenses, instead of re-investing them? Bcos I need a lot as rent, inflation alone eat up almost all of what I make.
tbh I keep compounding, adhering to well established patterns from a professional, even as a rookie, can bring tremendous value! I’ve trimmed, added also and now my average growth has increased 88% in the past year while participating behind a top performer. effectively remits over 100k annually and increasing.
Well lowery you're sooo crushing it, I'm really looking forward to growth over time now. I will be reinvesting dividends like you, so my position size will grow. Okay if I ask how you maintained such growth from dividends, also your top performer.
I believe a healthy portfolio has 3 things, at the bare minimum: Exposure to ETFs for increased diversification, Exposure to assets that generate cash flow like dividend stocks, Exposure to market-leading tech.
Keep going mate I started at 41... was in 9K debt and living in my overdraft. I'm now debt free have a 30K emergency fund. 20K saving pot and just surpassed 175K. Diversification and a clear understanding of your financial goals are key... I am almost 43 now!
I lost a lot chasing individual stocks and I feel pretty silly for not understanding how investing works. I have a double major in economics but I’ve been trying to make sense of the market. Well done on profits!
Keep it simple, buy things you understand, take some risk but don't try to shoot the lights out. I’m invested in ETFs, equity index funds, and individual stocks and use a CFA. On average, she takes 10% of earnings, but using *Lina Dineikiene's* system makes it much more hands-off. I conservatively follow her recommendations and market entry and exit points, and tbh this makes it fairly simple for me... I am convinced it's not just hard work but smart work :-)
If you want to be more aggressive, opt for QQQ, VGT, MGK or any growth ETF. If you'd rather mitigate risk in exchange for stability go with a dividend ETF like DIA, SCHD, VYM, etc. If you want a jack of all trades, go with VOO or VTI.
@ but Sir I don’t find NASDAQ here, all are VanGuard 500 Snp500 etf Dist, Vanguard Snp500 etf UCITS ETF ACC,I SHARE CORE MSCI WORLD ETF ACC, I SHARE CORE MSCI UCITS ETFEIE HEDGED DISTT? Same name it’s lots of brand can you help me to I am using revolt n I am from France
weird... I don't have Revolut, so I can't directly look for it, but you should find it everywhere in Europe. It might be that Nasdaq doesn't have many funds. What about using Trade Republic? I use it and you'll find everything here. And it's extremely easy to use. If you use this link and start investing, you'll get a free share of 15€: rick-austin.com/traderepublic50
Hey there, ok i'll put it on my list. I'm not a great fan of etfs with extremely high dividend yields, honestly, because it's hard to keep them so high without call options. But i'll see what i can do
I'm stuck on between FTSE all world (VWCE) vs (SP500). I also don't want to invest only in US I like more global diversification but VWCE is 60% US and curious if its pointless to go for it. The returns seems decent in VWCE.
This is a great question. I tested buying it at different times of the day, and it had double the spread that the Vanguard has. In fact, I tested it right now again after I read your comment and, as of this moment, by buying the SPDR the buy price is 0.6% higher than the market price, while by buying the Vanguard one the buy price is 0.3% higher than the market price. The same effect, but on negative, will happen while selling. This is probably due to the lower assets under management (16 vs 54B€). But apart from this, it's a great ETF and I'm planning on starting DCA on it as soon as I don't see such a higher spread. By the way, the high spreads i mentioned are also because it's early in the morning now.
@@rick.austin okayy understand. thank u for explaining. i think about vanguard s&p 500 (europe) or spdr. 😀im all in bitcoin right now and want a bit of s&p 500 too😀
I live in the Netherlands, whats the difference in investing in these kinds of etf’s, and the ones like vgt infor technology? I can invest in both, does it have to do with transition to usd?
Hey there, you can't invest directly in VGT because it's not domiciled in EU, unless you used to live in the U.S. and opened an account there under their fiscal system and now you moved to Europe. What you invest in are UCITS ETFs that usually (but not always) are equivalent to the U.S. versions but a little bit more expensive
Hey Rick appreciate the content. I'm based in Ireland and started investing already. Would you recommend SPYL S&P 500 over others S&P 500 because it's expense ratio for a long term ?
Hi Gabriel, SPYL is available in Trade Republic as "accumulating etf" only since february 2024 (by the way, what about with your broker?), so I haven't invested in it so far. But considering the low expense ratio it's a really good option. I expect a slightly better Performance than the iShares one so it's definitely worth investing in. I plan to invest in it in the future.
Thanks for replying. The ETF was launched on 31 October 2023 and is domiciled in Ireland, I plan to invest in Acc ETFs anyway for tax purposes. i just needed someone who is in the business longer than myself to give me some thoughts, as you said it's worth investing it's good to hear that. Where are you based anyway? I'm currently using Trading 212 for investing and I've got trade Republic for my emergency funds I really like them both, trade Republic feels safer though isn't it? Cheers.
@@BieLRevoLTz yes also in Trade Republic the ETF was available since October, but only the distributed. Accumulating since february 2024. It's definitely a great choice so thank you for the input for the community. Regarding brokers, Trading 212 is not bad and gives 4.2% on cash but they hold most of the cash in QMMFs, which is not insured as if you had it in the bank like Trade Republic. So i actually do most of my investments in Trade Republic
I am just about to start with investing at the age of 30 as an Indian expat in Europe. Really love your content! Hope to retire in 5 years hahaha Would love to hear more about clever ways to tap into emerging markets like india especially if you are also an indian ;) would also give your channel a big boost since us Indians are in billions 😂
That is true! Right yesterday i've seen this indian finance youtuber with over 2 Million subscribers! But i'm not indian :/ so i'm not the max expert in that. I do have an indian etf though, and it goes great ;)
@rick.austin what about FTSE All-World High Dividend Yield TR Index, would you say this could be a good alternative? I was thinking a 3-etf portfolio with s&p500, ftse all world high dividend and eqqq. What do you think? Many thanks for your thoughts!
Hi Danial, what's up? Try check out if Trading 212 is also available. I use that too and also with that you own the etfs you buy (not like etoro or similar). You also get 3.7% on your liquidity. Let me know if you have it in Norway, I'd be interested!
This is a really good question (thank you for that), but the answer is no. You have 2 ways to invest in "€": 1) Investing in ETFs based on European companies: Good luck with it! 2) Investing in American ETFs, but currency-hedged (not really like investing in €, but almost). Working with currency-hedged ETF is a double edged sword: it's good if you think € will gain strength compared to $, bad if you believe it will lose it. From 2007 to today € has been constantly depreciating compared to the dollar - everybody talks about how dollar is weakening, but nobody talks about how bad € is weakening! So currency hedged ETFs have been a bad strategy in the last 20 years because they perform worse than normal ones when the protected currency (€) is depreciating against the $, just like it's happening at least since 2007. Moreover it adds another layer of costs to your ETF because the Portfolio manager must use forward contracts or futures to hedge one currency with another. This involves transaction costs, and the ETF will charge higher fees for hedging. So when you hear that hedging is better because it removes the risk of the dollar, this is an uncomplete statement. In reality it removes the risk of the dollar LOSING value compared to Euro, but it ADDS the risk of the dollar GAINING value compared to Euro. Moreover it gives you the CERTAINTY of higher costs. Hope it helps.
To add to this: If you invested in ETFs based in USD in the last 20 years, even just in the S&P500, you would have had a return in € higher than the one that americans had, because of the fact that € lost value.
hi rick, But if a person chooses these 7 ETFs to build their portfolio from them, will the overlap of companies be huge, since there are the same companies in 3 or 4 ETFs? Will the risk be high?
Hey Fabio! The list is not to be intended as portfolio but as lost of 7 good ones. A good portfolio doesn't need 7 ETFs and, as you say, there would be substantial overlap. Some overlap is not bad, above all if you have the S&P500 and use other ETFs to weight more on a sector or part of the market, but in general you shouldn't push it too much with overlap
There are extremely similar. Sharpe ratio of FTSE a little better, and expense ratio a little lower, and as for performance ACWI is a sandgrain better than FTSE. They are pretty similar
Honestly i'm not the gold investor. I'd rather have assets that produce something (like equities). But if you are interested, you can go for Physical Gold USD by iShares. It's one of the biggest
@@_Say_My_Name_ I get what you mean. Yes many good ETFs in Europe are "american" ETFs, so based in $. One might argue that there is a currency risk when you invest in $ instead of €, because the $ could lose against the €, but the truth is that also the opposite can happen
I'm new to trading, and I've lost a good sum trying out strategies I found in online tutorials. I would sincerely appreciate any recommendations you have.
Rick i see your videos again and im thinking to get into my portfolio franklin ftse india ucits But i dont know where i cut i mean my budget is 250euro Ishares s&p 60% Eqqq 25% Ftse all world 15% Fusd 10 Thank you 🎉🎉🎉
Hi Chris, are you buying with saving plan or manually? If you're buying manually with your broker you're paying 1€ per transaction, it's too much to buy so many etfs. Anyway, the indian ETF is not necessary if you're buying world. You could buy it once if the price goes down, but you don't necessarily need to buy it every month
You do have a point there, but it's a really hard topic. US has terrible debt as a Country, still as a compound of private companies that make up the Stock Market is still one of the quickest growing Countries. The EU for example would be the last Country I would invest in, even though the debt to gdp is lower. Some other countries are interesting too (China, India), although China's economy is having a hard time currently.
Hey everyone,
You can get a FREE STOCK valued up to 100€ & 3.75% on CASH with this link: rick-austin.com/traderepublic50
I live off earnings on ETFs, for sure it can improve your wealth if you reinvest them to buy more, creating a snowball effect that allows you compound over time.
Have you considered the possibility of cashing out some of those dividends for paying off your monthly expenses, instead of re-investing them? Bcos I need a lot as rent, inflation alone eat up almost all of what I make.
tbh I keep compounding, adhering to well established patterns from a professional, even as a rookie, can bring tremendous value! I’ve trimmed, added also and now my average growth has increased 88% in the past year while participating behind a top performer. effectively remits over 100k annually and increasing.
@kenderdine a lot of people let their dividends ride for the long-term given its solid returns effects overtime
Well lowery you're sooo crushing it, I'm really looking forward to growth over time now. I will be reinvesting dividends like you, so my position size will grow. Okay if I ask how you maintained such growth from dividends, also your top performer.
I believe a healthy portfolio has 3 things, at the bare minimum: Exposure to ETFs for increased diversification, Exposure to assets that generate cash flow like dividend stocks, Exposure to market-leading tech.
Watching in my 40s... And only just starting I feel so behind!
Gotta start somewhere
Keep going mate I started at 41... was in 9K debt and living in my overdraft. I'm now debt free have a 30K emergency fund. 20K saving pot and just surpassed 175K. Diversification and a clear understanding of your financial goals are key... I am almost 43 now!
I lost a lot chasing individual stocks and I feel pretty silly for not understanding how investing works. I have a double major in economics but I’ve been trying to make sense of the market. Well done on profits!
Keep it simple, buy things you understand, take some risk but don't try to shoot the lights out. I’m invested in ETFs, equity index funds, and individual stocks and use a CFA. On average, she takes 10% of earnings, but using *Lina Dineikiene's* system makes it much more hands-off. I conservatively follow her recommendations and market entry and exit points, and tbh this makes it fairly simple for me... I am convinced it's not just hard work but smart work :-)
If you want to be more aggressive, opt for QQQ, VGT, MGK or any growth ETF.
If you'd rather mitigate risk in exchange for stability go with a dividend ETF like DIA, SCHD, VYM, etc.
If you want a jack of all trades, go with VOO or VTI.
Thank you rick perfect advise 🎉🎉
You're welcome 👍🏻👍🏻
Hi, I've started to invest this year on July I'm 36 , looking for invest in Europe I found your channel, thanks, regards from Colombia 🇨🇴
Hey there, such a beautiful country! A close friend of mine is from Colombia.
Cheers!
Can I use on Revolut
Yes you can buy ETFs with Revolut
@ but Sir I don’t find NASDAQ here, all are VanGuard 500 Snp500 etf Dist, Vanguard Snp500 etf UCITS ETF ACC,I SHARE CORE MSCI WORLD ETF ACC,
I SHARE CORE MSCI UCITS ETFEIE HEDGED DISTT? Same name it’s lots of brand can you help me to I am using revolt n I am from France
weird... I don't have Revolut, so I can't directly look for it, but you should find it everywhere in Europe. It might be that Nasdaq doesn't have many funds.
What about using Trade Republic? I use it and you'll find everything here. And it's extremely easy to use.
If you use this link and start investing, you'll get a free share of 15€: rick-austin.com/traderepublic50
@ yes I use it but it’s is not working I don’t know why
Thank you so much mate
You're welcome, man!
Can you make a video on how u juggle time between UA-cam, fulltime job, and investing; would be enlightening to know
Sounds like a good idea, I'll make it!
more videos like this plz for europe , can you make one with recomended high dividend ? above 5% ?
Hey there, ok i'll put it on my list. I'm not a great fan of etfs with extremely high dividend yields, honestly, because it's hard to keep them so high without call options. But i'll see what i can do
I'm stuck on between FTSE all world (VWCE) vs (SP500). I also don't want to invest only in US I like more global diversification but VWCE is 60% US and curious if its pointless to go for it. The returns seems decent in VWCE.
No if you don't want to invest only in the US than VCWE is absolutely ok, and including also emerging markets it's a great mix
thanks for the content. what about the spdr s&p 500 from state street? most cheapest. 0.03 TER.
This is a great question. I tested buying it at different times of the day, and it had double the spread that the Vanguard has. In fact, I tested it right now again after I read your comment and, as of this moment, by buying the SPDR the buy price is 0.6% higher than the market price, while by buying the Vanguard one the buy price is 0.3% higher than the market price. The same effect, but on negative, will happen while selling. This is probably due to the lower assets under management (16 vs 54B€).
But apart from this, it's a great ETF and I'm planning on starting DCA on it as soon as I don't see such a higher spread.
By the way, the high spreads i mentioned are also because it's early in the morning now.
@@rick.austin okayy understand. thank u for explaining. i think about vanguard s&p 500 (europe) or spdr. 😀im all in bitcoin right now and want a bit of s&p 500 too😀
I live in the Netherlands, whats the difference in investing in these kinds of etf’s, and the ones like vgt infor technology? I can invest in both, does it have to do with transition to usd?
Hey there, you can't invest directly in VGT because it's not domiciled in EU, unless you used to live in the U.S. and opened an account there under their fiscal system and now you moved to Europe. What you invest in are UCITS ETFs that usually (but not always) are equivalent to the U.S. versions but a little bit more expensive
@ clear, thanks for the reply! Subbed btw
@@Moraalridder123 you're welcome. Welcome aboard!!
شكرا على كل هذه المعلومات القيمة ❤❤
You're welcome :)
Hey Rick appreciate the content.
I'm based in Ireland and started investing already.
Would you recommend SPYL S&P 500 over others S&P 500 because it's expense ratio for a long term ?
Hi Gabriel,
SPYL is available in Trade Republic as "accumulating etf" only since february 2024 (by the way, what about with your broker?), so I haven't invested in it so far. But considering the low expense ratio it's a really good option. I expect a slightly better Performance than the iShares one so it's definitely worth investing in.
I plan to invest in it in the future.
Thanks for replying.
The ETF was launched on 31 October 2023 and is domiciled in Ireland, I plan to invest in Acc ETFs anyway for tax purposes. i just needed someone who is in the business longer than myself to give me some thoughts, as you said it's worth investing it's good to hear that. Where are you based anyway?
I'm currently using Trading 212 for investing and I've got trade Republic for my emergency funds I really like them both, trade Republic feels safer though isn't it?
Cheers.
@@BieLRevoLTz yes also in Trade Republic the ETF was available since October, but only the distributed. Accumulating since february 2024. It's definitely a great choice so thank you for the input for the community. Regarding brokers, Trading 212 is not bad and gives 4.2% on cash but they hold most of the cash in QMMFs, which is not insured as if you had it in the bank like Trade Republic. So i actually do most of my investments in Trade Republic
I am just about to start with investing at the age of 30 as an Indian expat in Europe. Really love your content! Hope to retire in 5 years hahaha
Would love to hear more about clever ways to tap into emerging markets like india especially if you are also an indian ;) would also give your channel a big boost since us Indians are in billions 😂
That is true! Right yesterday i've seen this indian finance youtuber with over 2 Million subscribers!
But i'm not indian :/ so i'm not the max expert in that.
I do have an indian etf though, and it goes great ;)
@@rick.austin hey if you are game! We can experiment together...I am new to the game all together so would be nice for me to learn as well.
Hi Rick, what do you recommend as an european alternative for SCHD?
There is no direct equivalent to SCHD, but the closest in my opinion is the Fidelity US Quality Income UCITS (FUSD)
@rick.austin what about FTSE All-World High Dividend Yield TR Index, would you say this could be a good alternative? I was thinking a 3-etf portfolio with s&p500, ftse all world high dividend and eqqq. What do you think? Many thanks for your thoughts!
@@albaquis this is another great conservative choice for dividends! Your 3 fund portfolio sounds good to me ;)
Make another video for top dividend europe etf utics
Sure, i'll put it on my list
Hi Rick. Do you have an alternative broker apps other than trade republic? Because it is not available in Norway. Love your video btw.
Hi Danial, what's up? Try check out if Trading 212 is also available. I use that too and also with that you own the etfs you buy (not like etoro or similar). You also get 3.7% on your liquidity. Let me know if you have it in Norway, I'd be interested!
If you had to pick only 1 of these what's would it be for a 10 year period ?
That would be VUAA for sure! Vanguard s&p500 ucits etf
Most of your recomendations have operations in USD. Is not better a ETF with operations in EUR?
This is a really good question (thank you for that), but the answer is no.
You have 2 ways to invest in "€":
1) Investing in ETFs based on European companies: Good luck with it!
2) Investing in American ETFs, but currency-hedged (not really like investing in €, but almost). Working with currency-hedged ETF is a double edged sword: it's good if you think € will gain strength compared to $, bad if you believe it will lose it. From 2007 to today € has been constantly depreciating compared to the dollar - everybody talks about how dollar is weakening, but nobody talks about how bad € is weakening! So currency hedged ETFs have been a bad strategy in the last 20 years because they perform worse than normal ones when the protected currency (€) is depreciating against the $, just like it's happening at least since 2007. Moreover it adds another layer of costs to your ETF because the Portfolio manager must use forward contracts or futures to hedge one currency with another. This involves transaction costs, and the ETF will charge higher fees for hedging.
So when you hear that hedging is better because it removes the risk of the dollar, this is an uncomplete statement. In reality it removes the risk of the dollar LOSING value compared to Euro, but it ADDS the risk of the dollar GAINING value compared to Euro. Moreover it gives you the CERTAINTY of higher costs.
Hope it helps.
To add to this: If you invested in ETFs based in USD in the last 20 years, even just in the S&P500, you would have had a return in € higher than the one that americans had, because of the fact that € lost value.
He looks like Manu Ginobili (retire basketball player)
hi rick, But if a person chooses these 7 ETFs to build their portfolio from them, will the overlap of companies be huge, since there are the same companies in 3 or 4 ETFs? Will the risk be high?
Hey Fabio!
The list is not to be intended as portfolio but as lost of 7 good ones. A good portfolio doesn't need 7 ETFs and, as you say, there would be substantial overlap. Some overlap is not bad, above all if you have the S&P500 and use other ETFs to weight more on a sector or part of the market, but in general you shouldn't push it too much with overlap
I love SCHD, what other alternative is best across Europe.
Hey there, right now i'm preparing a video about the best dividend etfs for Europe. Will be out in a couple (2-3) of weeks. Stay tuned ;)
Is the VUAA in Europe worth it?
Absolutely
Is FTSE All World better than MSCI ACWI?
There are extremely similar. Sharpe ratio of FTSE a little better, and expense ratio a little lower, and as for performance ACWI is a sandgrain better than FTSE. They are pretty similar
VUSA and FUSD. nothing else
Great ETFs
What do you think about Gold ETFs and what are the best options available for European investors?
Honestly i'm not the gold investor. I'd rather have assets that produce something (like equities). But if you are interested, you can go for Physical Gold USD by iShares. It's one of the biggest
So for Europeans we should invest in dollars right?
No. But it's easy to say $ instead of € from time to time if you're used to it. I trust you'll manage to understand the difference
@@rick.austin I mean all the etfs u show are in dollars so don't you suggest dollar currency?
@@_Say_My_Name_ I get what you mean. Yes many good ETFs in Europe are "american" ETFs, so based in $. One might argue that there is a currency risk when you invest in $ instead of €, because the $ could lose against the €, but the truth is that also the opposite can happen
I'm new to trading, and I've lost a good sum trying out strategies I found in online tutorials. I would sincerely appreciate any recommendations you have.
I suggest Miss Hattie Glover is extremely good on that. She is really good at what she does, Now I can pay so many bills because of her help.
Please educate me. I've come across this name before. Now I am interested. How can I reach her?
WOW!!! You know her too? I'm also a proud beneficiary of her platform
This is correct, Hattie's strategy has normalized winning trades for me also, and it's a huge milestone for me looking back to how it all started..
Yes, I agree with you. Her platform is wonderful, and her strategies are exceptional
Rick i see your videos again and im thinking to get into my portfolio franklin ftse india ucits
But i dont know where i cut i mean my budget is 250euro
Ishares s&p 60%
Eqqq 25%
Ftse all world 15%
Fusd 10
Thank you 🎉🎉🎉
Hi Chris, are you buying with saving plan or manually? If you're buying manually with your broker you're paying 1€ per transaction, it's too much to buy so many etfs.
Anyway, the indian ETF is not necessary if you're buying world. You could buy it once if the price goes down, but you don't necessarily need to buy it every month
Problem with trade republic is the message section. Only bots. Not very comfortable with that.
Try writing directly to them instead of using the bot. service-de@traderepublic.com.
Or contact them with the contact form
so many people invest in US ETFs from all over the world .. and that country still has 37 trillion debt =)))
US politicians must be financial geniuses
You do have a point there, but it's a really hard topic. US has terrible debt as a Country, still as a compound of private companies that make up the Stock Market is still one of the quickest growing Countries. The EU for example would be the last Country I would invest in, even though the debt to gdp is lower.
Some other countries are interesting too (China, India), although China's economy is having a hard time currently.
america needs 2 reservations...one for native americans and one for native americans
ok
Spdr msci acwi imi ❤️
@@rick.austinhey
i wrote you an email
:)
#etf
👍🏻