This might be the single best investment video on UA-cam. Clear and concise with excellent explanations. I took a ton of notes as I am actively reconfiguring my main IRA account as I am hopeful of retiring in 10 years and wanted to shift away from growth a bit more. Thanks for the outstanding content!
I have a 3 fund portfolio consisting of 33% S&P, 33% Total stock, and 33% international. I feel a need to focus on complete growth so I went 100% stocks, but does the SP500 and TSM overlap too much to make sense holding both? However I’ve been in the red for a month now. I work hard for my money, so investing is making me a nervous sad wreck. I don’t know if I should sell everything, sit and just wait but watching my portfolio of $450k dwindle away is such an eye -sore.
There are many other interesting stocks in many industries that you might follow. You don't have to act on every forecast, so I'll suggest that you work with a financial advisor who can help you choose the best times to purchase and sell the shares or ETFs you want to acquire.
I agree, that's the more reason I prefer my day to day investment decisions being guided by an advisor seeing that their entire skillset is built around going long and short at the same time both employing risk for its asymmetrical upside and laying off risk as a hedge against the inevitable downward turns, coupled with the exclusive information/analysis they have, it's near impossible to not out-perform, been using my advisor for over 2years+ and I've netted over 67% profit in 18 months
I actually subscribed for a few trading courses but it didn't help much, been getting suggestions to use a proper financial advisor, how did you go about touching base with your coach?
I am retiring in June 2024 at 67 1/2 with no debts, 2 new used cars and home fixed up. I will be taking SS at 70 so we get the max. Between my wife and I we can live off just SS if needed. Our investments are 1. 3 years of cash to get us to SS. after we start getting SS this cash buffer will be 3 years but the amount will be smaller because we will need less. 2. 50% in SCHD, 25% in VOO and 25% in SCHG. if the market drops for more then 3 years we can use the dividends as our fun money. I will also be working part time for the first 5 years of retirement to reduce the amount needed from our investment and to get out of the house. My part time job is teaching the USCG Captains class in the winter and teaching people how to dock their boats in the summer.
My strategy combines ETFs for dividends and growth, including JEPI, DIVO, QYLD, SCHD, and JEPQ. Last year, my dividends totaled $102K. but not sure how to mitigate risk for this year
JEPI and JEPQ are smart additions in my opinion. As for staying committed to higher-risk investments, it's all about balancing your risk tolerance with your long-term goals.
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.
The market is not necessarily a rollercoaster if you know your way around the market, there are various opportunities in the present market to accrue good profit, If you are not too savvy with the market, just buy and hold on strong companies with good earnings, or consult with advisors on ETFs and actively managed funds. that’s what works for my spouse and I. We've made over 80% capital growth minus dividends
This video made me feel alot better about my portfolio! I chose voo, schd and vgt for my roth ira! I'm 23 years old and just starting investing January 11th. Already got 1k in my roth
Professor G, currently 75% SCHD and 25% SCHG Roth IRA, Brokerage account is 35% SCHD, 40% VOO, 25% VUG! Combine balance $775k I'm 48 years old..I have about $100k in cash....
Loved your point on US companies having solid international exposure. As a reformed individual stock picker I still have some international companies but as I transition to etfs I am finding plenty of satisfaction in US based etfs due to so many businesses that do have that international exposure.
Hey Professor G. I've watched almost all of your videos. This has been the most valuable one for me to date! Most other UA-camrs out there don't get as detailed for a plan that works for someone in my age group (52). I've been looking at tweaking my Roth IRA (Currently 50% SCHD, 25% QQQM, and 25% DGRO) & 401k allocations. This vid, along with my own analysis using Portfolio Visualizer, confirmed what I've been thinking. DGRO hasn't been around as long as VOO or FXAIX. So I'm a bit torn on the dividend growth of DGRO vs VOO/FXAIX. Either way, thanks so much for the hard work you put into your content!
Thankyou so much for the kind words and thoughtful comment! I’m happy to see this help so many people! DGRO does look like a very solid fund, but ya I do like my data with the foundational etf being VOO for me!
@@NolanGouveia I have a foundation invested in mutual funds, roth, and my IRA through my investment manager and work. I am just starting to invest on my own. I started with VOO, SCHG, SCHD then I added BRK.B. because of its long track record. Should I just eliminate the BRK.B to streamline? I feel a little spread thin with the four with what I want to invest per month.
As someone who grew into investing before the internet, I have many bruises from the hard won wisdom unavailable any other way at that time. I hope your younger viewers appreciate the wisdom you offer, now so easily accessible. It’s now up to them to follow or ignore. Thanks for all you do.
Great information as always!! I thought you made a great point about the day you retire, you don’t just take everything out; but, your money will still have the opportunity to grow both in appreciation and dividends. I have talked to many people (especially around my age) who have steered away from investing, because they’re afraid everything will crash before retirement, and they’ll just lose everything. Unfortunately, these are concepts that we were never taught, so thank you for educating us now! 😊
I would recommend you to buy JEPI and JEPQ both with double the dividends than this ones with better returns gains... Make your own research and compare
@@garyschmelzer hi Gary I think you may want to rewatch the video! At the end of the day you should do what is best for your investing strategy, but I made a pretty clear stance on what I think of BND and laid out the portfolio percentages for your age group too!
Thank you for another great video! I’ve taken your advice to try to max the Roth this year. I personally have a 4 fund mix of 35% SCHG, 30% SCHD , 30% DGRO, and 5% JEPI. Hoping this mix helps that dividend snowball take off!
So i'm a very new investor, just beginning my journey, and after a solid amount of research I stumbled upon your channel. When watching this video I realized I compiled a list of the same exact ETFs, I just didn't know how to split my money between each one! (Honestly made me feel good, like I was making nice choices haha). So I went with the logic you presented here - I have 33% in VOO, 33% in QQQM & 33% in SCHD! ✨️ Thank you for such a well informed video, you definetly gained a long term subscriber 🙏
Depending on your age I would recommend 75% in QQQM or VGT, and 25% in SCHD. I like to make it even more simple. Or you could also substitute FTEC for VGT/QQQM.
Thank you for this most informative and inciteful video. I am 66 and am managing my and my husband's portfolio. Now, I know the next steps to take. Thank you!
Thanks Professor G. This is the best financial UA-cam channel I have run across, and also mirrors my own approach to managing my finances in retirement. I see the high dividend and growth/tech ETFs basically replacing the broader US index in my portfolio, while I use REIT ETF to replace bonds in my retirement portfolio. This adds diversity without sacrificing growth. I'll be recommending your channel to my kids so they can get on track financially earlier then I did.
I’ve diversified my 350K portfolio across various market with the aid of an investment coach, I have been able to generate a little bit above $730k in net profit across high dividend yield stocks, ETF and bonds.
Sonya lee Mitchell is the licensed fiduciary I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.
Professor G, I've been watching so many of you videos... and can I just say, thank you so much. These videos are so informative and helpful. I wish I started in my 20's. I'm 32 now and I'm investing as much as I can to make up for it. I never thought I would be so happy to spend my money into the stock market. It's honestly addicting. Please keep making these great videos because it's been a game changer in how I perceive finances and the rest of my life to come. Thanks buddy!
Same here. I'm 33 and only really started about a year ago after finally paying off all debt and building my emergency fund. It's a shame it's really not taught in school or explained in a way that makes sense. This channel has been a big help.
I used the same principle as you, but for my Canadian account. I am 41 and used 50% $VXC (which is a Vanguard ETF in Canada that is similar to $VT except with no Canadian companies in there), 25% in $QQC-F (Canada's ETF that mimics $QQQM, basically the same companies are in it) and the last one is $VDY (this one is simply high dividend Canadian companies only, think of it as a VYM of Canada ). In my RRSP, since we have the tax treaty enabling us to buy US etf's without paying any witholding taxes on dividends, I basically used the ETF's you mentioned except I replaced $VTI with $VT, I like having some international exposure although I know it's not necessary. $VUG and $SCHD are my other 2 ETF's.
He actually recommends VTI not VT for his foundational US ETF. Yes VT, seeks to track the performance of the FTSE Global All Cap Index and Yes VXC is a close comparison but these ETF do not tracks the performance of the US Total Market Index. See 9:39 time stamp
@@Has.S I understand he recommends it, I merely stated that I modified it to include also international companies with the majority going to the US market.
Great video! Definitely changed my perspective on how to build a better portfolio. I am in my early 30’s and made dumb financial decisions in my 20’s. Lately I’ve been learning how to properly invest my money for myself and also my family (younger sister and cousins, and future kids). Thank you for the information.
As someone who is just getting into investing, this was so helpful. I've been researching how to diversify my portfolio and keeping things simple works best for me. If things get super overwhelming, I tend to back off. My intent is to be able to focus and manage my portfolio in a way that allows me to continually learn about investing at the same time.
Prof G, love this video and love your channel in general. I feel the need to add a sprinkle more small cap value like AVUV. I think voo, SCHD, Vug are heavier on large cap and growth and vti does not add enough small cap value exposure. I welcome everyone’s thoughts.
I don’t know how to say it but the way you have explained everything in this video has open up my eyes and my brain is smashed thank you so so much for all you do I am 54 and I would like to retire in a much better financial situation….my financial education was just work and pay bills and have extra for what might happen. 🙏🙏Thank you again
Professor G easy on the 20 year olds 😂😂 If they are even watching this kind of content they are Waaaaaay ahead of the financial game. I’m older than you and i’ve done fairly well, but i’ve lost a lot of money learning. Now i’m comfortable but it doesn’t happen overnight. If your 20 years old and even remotely thinking about investing, you’re ahead of 95% of the population, kudos to you!
Thank you for this refreshing perspective. I’m in my 50s and remain open to change from the 3-fund portfolio orthodoxy. It just doesn’t seem to work like it used to work. I’m definitely taking this strategy into consideration. Time to reallocate! Update: Holy cow! I just double checked my portfolio and realized my Roth strategy is VTSAX, QQQM, and SCHD in equal portions. Haha! I love when someone smart confirms my choices.
@@couldbe8348 not in my Roth. I hold some bonds in a traditional IRA, some in a 401K, and none in my brokerage accounts. There’s no way on earth I’m holding bonds in my Roth.
Picked up TSLA a few years ago and I have a modest stake after the last two splits. As I move into retirement zone (60+) I have started to take a keen interest in Building a div portfolio (SCHD, NVDA, O, JEPI, JEPQ) using my 401k rollover. I have a small monthly pension that pays the monthly bills, so my annuity, SS and the div portfolio will act as my monthly round out Just wanted to say thanks for the vids they have been most informative
Finally someone who doesn’t say « you must have international exposure » 🙄. Looking back 30 years those funds have massively underperformed. And most companies now sell internationally so I totally agree with you. Also, a portfolio isn’t static and should be reviewed periodically.
If you really want international exposure just consider something like IOO IXN or divi. Main problem I've noticed with international ETFs is the weighting is very light at the top. There are some very strong foreign companies.
I think cherry picking the last 10 to 12 years as a proof point is misleading. Both the s&p and nasdaq had crazy growth. Do the same thing from 2000 to 2010 or 2001 to 2011 and you wouldn't come out with the same recommendation.
This past year was terrible for the market and so by keeping that in the data set, it helps prove the point, but I do see where you are coming from as well.
I am in my late 20’s, have being maxing out ROTH IRA for the last two years, have this portfolio: 30% VT, 20% SCHD, 40% SCHG, 10% IQLT. I am wondering how I should set up my brokerage account, I was heavily invested in Tech, so wanted to rebalance it, but also wondering if I should invest in dividends only in my Roth ira, as it is tax free, and in the brokerage I need to pay taxes.. any thoughts about that? Thank you so much professor G for all knowledge you share with us!
Solid approach - the only change I would incorporate is to have a floating 10% - it may well stay in one of the 3 buckets but can be pulled out to a) take advantage of special situations that arise b) satisfy my need to be a little more active 😅 - example 2022 into tech specific fund, 2023 Japan 2024 maybe small cap or long treasuries 2024 or 2025
Thankyou! And yes it is! But it’s only available for those on schwab so that’s why I usually recommend VOO as you can invest in that in all platforms but good looking out!!
My spouse and I are adding a variety of stocks/ETF to my present holdings for the long term, We've set aside $250k to start following inflation-indexed bonds and stocks of companies with solid cash flows, I believe it is a good time to capitalize on the market for long-term gains, but it wouldn't hurt to know means of actualizing short term profit.
The strategies are quite rigorous for the regular-Joe. As a matter of fact, they are mostly successfully carried out by pros who have had a great deal of skillset/knowledge to pull such trades off.
I'll suggest you create a diversification strategy because building a good financial-portfolio has been more complex since covid. Recently my colleague advised me to hire an advisor, surprisingly I have accrued over $120K under the guidance of my coach during this crash. She figured out Defensive strategies to protect my portfolio and make profit from this roller coaster market.
Thank you for this tip. it was easy to find your coach. Did my due diligence on her before scheduling a phone call with her. She seems proficient considering her résumé
I couldn't invest in this plan for retirement ( vti 40%,vug 10%, vym 50%). In the crises of 2008 to 2009, this plan would be down 55% and would take 6 years to recover if you were taking rmd's. Hard to live with the downside even with 3 years of living expenses in cash (who has that in retirement). Considerable worse results if you retired in the year 2000 because of the sequence of events. If a younger investor wants to invest 100% in stocks, no problem, if you can handle the volatility.
Great take on the three fund portfolio. Thanks for this! I agree that many of the large US companies have a lot of international investment. I have struggled with the poor performance of bonds recently. I really like your take on this.
@@NolanGouveiawhat are your thoughts on a mix when I have a unique situation. I will retire within a few years, but my wife is in her mid thirties, so will work another 15-20 years. We both have Roth IRAs, 401k's and a regular brokerage account.
I have been intimidated by all of this for so many years I am embarrassed to say. I have been paying an advisor that 1% for years. You have given me the confidence to go it on my own and I am not looking back! Thank you for the BEST content youtube!
I moved all my funds to a new online brokerage and setup my 3 fund portfolio with your guidance (SPLG, SCHD and QQQM). Could not have done it without you!@@NolanGouveia
It's interesting how SCHD so far has beaten VOO and even competes with VUG. Considering how little it's dropped during bear markets, I can really see a world where SCHD continues to outperform.
This is the best video yet. I think i will setup my Schwab account with these three. Thank you. I already have it mostly as schd and some Microsoft sprinkled in right now.
Thanks Prof. G! I've listened to this session several times and it has given me the confidence to move forward with a plan to change my portfolio to VTI (50%) and 12.5% in each of (VYM, VIG, dividends), and (VUG and VIOG growth) -- stock positions. I will keep positions in MM and T-Bills for a few years for immediate needs. While this is just a bit more complex than your 3 ETF portfolio, I feel it provides some diversification within the categories of growth and dividend investing. Who knows if it is better, but it is where I've landed. I really appreciate the time you take to share your findings and all the help that it provides.
Another amazing hypothesis Professor on investing and best part is you answered all the questions popped up in my mind on the percentages and it all cleared by end of the video😊
Absolutely... I fall into the 40-50 yr olds.. lol... I just finished watching this vid for the 2nd time and I'm planning making note on the investing percentages that I'm now going to execute ASAP ❤️
Wow! So so helpful. I am 34 and I thought I was too late .. this video gave me hope. Thank u so much! Learned everything about investing from your videos.
This video is just amazing. One of the best summaries I’ve seen and I really like how you got out of the traditional 3 fund portfolio. Thanks for producing such great content in your channel 🙏
I have 80% into SCHD and QQQM, 20% in VXUS and small caps (VB). Although VXUS hasn't done anything, their dividend is still quite nice! but it's a very small portion of my portfolio.
I love hearing this. I literally invest 33% in in VOO, QQQM and SCHD. 36yrs old. Closer to retirement I will transition from QQQM into more SCHD and maybe some JEPI depending on the performance and income needs in the coming years.
Thank you very much for this video. May I ask your help to identify what would the equivalents for European investors? Foundational US ETF (VOO or VTI); Growth ETF (VUG, SCHG or QQQM); and Dividend ETF (SCHD or VYM)?
This video is solid gold. I just moved my 401k over to M1 and I went with this exact 3 ETF strategy (VOO, QQQM & SCHD) and I'm already crushing it. I have another portfolio that is very aggressive and SCHG and VUG are killing it as well. It has DRIP and I'm dropping in money every paycheck as well, can't wait to see how it looks once the dividends start snowballing.
Nolan, this has been the best investment information in one place that I've ever seen. I've also been watching your videos for a couple months now and have learned a lot . Thank you very much!
I love that this strategy focuses on 100% US equity, but here's something I've been wondering: if QQQ is so great, why not be aggressive by substituting QQQ with TQQQ? I know that the leveraged differential makes losses worse than normal, but over the last 10 years TQQQ is still up 1,826.85% compared to QQQ's 340.86% without DRIP
Only if you was in the UK you explain all this very well compare to UK, I'm following you to keep track of the US side of things. In UK i can find s&p 500 vanG, but the others you mentioned not even listed to do my 3 portfolio😑
Thanks, Nolan, your videos are really helpful. I have a couple of questions: How should I determine the portion of my income I have to invest in the 3Fund Portfolio? And how do I decide the % to invest in each of the 3 Funds?
I love the simplicity of this...which likely aids in its potential for success due to the psychology of investing. When thinking about the 3 years of expenses where does the dividend income fit in? Is it used to reduce the 3 year cash requirement calculation? I'm just retired at 54 and had the first year covered off cashwise but am working to move some of the investments to cash gradually over the next year or two.
A great video! I never followed the old fashioned way. My husband is 5 years away from retirement, but I'm still 10 years from there. I totally agree with Pro G's 3 way strategy which will likely help us to maximize our portfolio within 5-10 yrs!
Hi. From the UK and find your videos very inspirational. I do realise you are US based but any chance you could make some videos with uk / European ETFs. Yes i do my research to find cross market equivalents, but it may also increase you viewer base
Personally been investing in 40% VOO (Foundational), 20% in both VGT & QQQM (Growth, plus I believe in the potential of tech) and then 20% SCHD (Value) in my Roth IRA. I’ll adjust the proportions accordingly into my 40s, 50s and then 60s once nearing retirement, but the key is to just DCA month after month year after year, ignore the noise and stay the course!
Just a thought, is Warren Buffet encouraging people to put their money in a S&P 500 index fund because his company Berkshire Hathaway is actually in the top 10 companies in that index. And he also has some money in S&P 500 index funds in Berkshire Hathaway. Just an interesting fact, the S&P 500 index has beaten Berkshire Hathaway by some margin since 2009. A d you are just picking specific time periods you need to look at longer time frames, and the US stock market had a lost decade from 2000 up until 2009. If you had put a lump sum in S&P 500 index for example in Jan 2000 by Dec 2009 it would be worth less than the original investment, and that's including any dividends reinvested. This is why diversification is so important & even more so in retirement and if you don't have many yrs left before you need that money. For a twenty year old with say 45 yrs left before retirement they could in theory take more risk, but someone who is 50 yrs old may not have enough time for their portfolio to recover sufficiently if it tanks
Agree for the most part with proposals in this video. Bear in mind that SPY, the S&P 500 etf and SCHG are very similar, especially involving the top ten holdings in both funds. Also, be careful of looking at just 10 years of market history. For example QQQ was pretty much dead money from 2000 to 2013. Thus, there can be long droughts.
I found this video while searching for bond alternatives in my IRA, this is some very compelling positive information about the “new” 3 fund portfolio. There are still plenty of so-called investment experts that sing the praises of the old 3 fund, which leaves me scratching my head why more of them haven’t really modified their thinking. My opinion is that using the growth and dividend ETFs instead of the international and bond component is more of a play on continuation of income, albeit in a more safe (and far less complicated) method than a sole focus on preservation. After all, they’re called Investment accounts for a reason…
Thanks Mr G, you make investing easy to understand, and I like how you laid it all out with the different ages, We are retired but don't need our funds so this helps with playing around with the percentages =]
I see now how I wasted 10 years of having international funds in my 401k. I was paying fees for managed money. I cancelled it and took control of it myself. Switched it to VGT and FXAIX. It’s grown 26% ytd. I never had those returns before. Now I’m maxing out my 401 contributions and I’ve opened a brokerage acct and plan to stick 1000$ a month into that. Trying to find the right mix your videos have helped so much I subscribed. Thanks.
Solid information. I got a late start with investing (mid- to late 40s) so trying to make up for lost time. I have contributed fully to my Roth IRA and have a separate brokerage account. I wonder if SCHX is a viable alternative to VTI or VOO? I hold SCHX and SCHD--and want to pick up SCHG. Should I sell my SCHX positions and pick up VOO? I've looked at comparison charts and both seem about even but perhaps I've missed something in my research. From one professor to another--thank you!!
Awesome to have the approval of a fellow professor! SCHX is definitely a viable alternative as it is a large cap etf so it’ll have very similar returns due to market cap weighting
I think purchasing real bonds are more stable than bond etfs because of all the selling before maturity bond etfs do. So maybe SCHD and purchasing some real bonds would be a good mix for that 3rd category.
I can definitely see that justification for sure! I think my point is more for those who want the simplest portfolio possible so that’s why I took it that route, but what you suggested is definitely a smart move
Professor, I loved this video! You're amazing and your explanations are always so clearly. I'm from Brazil and starting invest at US ETFs by now and your channel help me alot. I would like to see about those 3 mentioned growth ETFs. What is your favorite and why. I really like SCHG (like I said in another comment because of the minimum overlap with SCHD) and I'm kinda curious about QQQ because it isn't really a "growth etf" in his fundamentals (just the top 100 nasdaq). But there is a lot of growth ETFs that I'm current studying: VUG, MGK, VOOG, SCHG... I will definetely include VOO and SCHD in my portfolio. I just need to figure out what is gonna be the "growth one"!
im just starting at 46. This video lets me know I picked the correct etfs so far. I have VTI and SCHD. I wasn't sure about VUG because it 50% overlaps VTI, but I'm still learning.
Today I sold 17 us stocks and re-invested them just like Professor G 50% in voo and 50 % in schd. I still haven't figured out how I am going to pick between vug, schg and qqqm. And what percentage to allocate to that last one.
Enjoy and learn a LOT from your videos. I am really interested to know about you analysis and thoughts on Annuities. If you can do a video/lecture on Annuities, that will be great !!
Hi Professor G! I am 40 years old but unfortunately new at investing. After watching a lot of your videos, I have 50% VOO, 25% SCHD and 25% QQQM in my brokerage account. Should I have the same in my Roth IRA or should I increase SCHD because of the tax advantages and dividend yields to prep for retirement? Thank you and I really appreciate all your excellent content!
Great video. My version is in my IRA with VOO, SCHD and FTEC (its at Fidelity). At Vanguard my settlement is doing 5.28-5.3%. Otherwise, I am likely overweight in REITs and BDC's. Maybe 2-4 years from retiring. 3 fund port will give you your life back, however. Working my way towards simplifying and condensing to my winners.
Good morning, Prof G! Thank you very much for another great video! This really is one of your better info videos as it can serve as a road map for life! In the video, you had 2 segments: 1 for the recommended 3 etf plan and 1 for the various % allocations to better capitalize on whatever the investors age was. 2 incredibly important segments, for sure. The descriptors for the 2 segments were slightly different, so I would like to confirm what you meant. 1) foundational US Broad Index = foundational ETF? 2) high risk, high reward = growth ETF? 3) safe/stability = dividend ETF? Have an awesome day….I appreciate the analysis that you help spark our fires!
@@NolanGouveia Hello Prof G!! This was such an informative video that I just watched it again......and took notes!! QUESTION: If you were starting investing right now, and had $50,000 to do so, would you invest it all initially? Or, especially since there are still unknowns in the economy currently, would you focus on spreading it out for weekly investments, say through the summer time (mainly to see how the economy is actually going to go)?
@@campingalan awesome! For your question it really depends on the individual and goals. For me I like the idea of investing half of it right away and then dollar cost averaging the rest for a couple months
Professor G always great content here! When you have opportunity, I believe your viewers/students would benefit from a simple vid on how to determine fair value or great entry points for ETFs such as VOO, SCHD, SCHG etc. In addition, if someone has a lump sum to invest, is it best to wait for the great value or just DCA over time? Thanks again!
@@NolanGouveia Thanks! later on, would like your opinion on a great free app I found called fair value (blue background with white market line down the middle). It has a simple three button option that's color coded...when clicked shows current stocks undervalued (green), fair valued (blue), and overvalued (red) with a list. Individual stock codes can also be searched...it even has a margin of safety in the same color code. Unfortunately, it seems only iPhones can access it.
This is what I’m doing - that’s awesome!!! I feel so good to know my research has me going in the right direction. Currently have VGT instead of QQQ but planning to buy QQQ moving forward
This might be the single best investment video on UA-cam. Clear and concise with excellent explanations. I took a ton of notes as I am actively reconfiguring my main IRA account as I am hopeful of retiring in 10 years and wanted to shift away from growth a bit more. Thanks for the outstanding content!
Wow! This comment made my night! So happy I could help out 🙌
Does he really think we can time the market?
What a weird way of saying Messi. GOAT. Thank you always for your videos.
Doing the same now..
He's not teaching us to TIME the market. Why don't you listen carefully lol@@theotherview1716
I have a 3 fund portfolio consisting of 33% S&P, 33% Total stock, and 33% international. I feel a need to focus on complete growth so I went 100% stocks, but does the SP500 and TSM overlap too much to make sense holding both? However I’ve been in the red for a month now. I work hard for my money, so investing is making me a nervous sad wreck. I don’t know if I should sell everything, sit and just wait but watching my portfolio of $450k dwindle away is such an eye -sore.
There are many other interesting stocks in many industries that you might follow. You don't have to act on every forecast, so I'll suggest that you work with a financial advisor who can help you choose the best times to purchase and sell the shares or ETFs you want to acquire.
I agree, that's the more reason I prefer my day to day investment decisions being guided by an advisor seeing that their entire skillset is built around going long and short at the same time both employing risk for its asymmetrical upside and laying off risk as a hedge against the inevitable downward turns, coupled with the exclusive information/analysis they have, it's near impossible to not out-perform, been using my advisor for over 2years+ and I've netted over 67% profit in 18 months
I actually subscribed for a few trading courses but it didn't help much, been getting suggestions to use a proper financial advisor, how did you go about touching base with your coach?
Sonya Lee Mitchell is a renowned figure in her line of work. I recommend researching her credentials further.
she actually appears to be well-read and educated. I just did a Google search for her name and found her webpage, I appreciate you sharing
I am retiring in June 2024 at 67 1/2 with no debts, 2 new used cars and home fixed up.
I will be taking SS at 70 so we get the max.
Between my wife and I we can live off just SS if needed.
Our investments are
1. 3 years of cash to get us to SS.
after we start getting SS this cash buffer will be 3 years but the amount will be smaller because we will need less.
2. 50% in SCHD, 25% in VOO and 25% in SCHG.
if the market drops for more then 3 years we can use the dividends as our fun money.
I will also be working part time for the first 5 years of retirement to reduce the amount needed from our investment and to get out of the house.
My part time job is teaching the USCG Captains class in the winter and teaching people how to dock their boats in the summer.
My strategy combines ETFs for dividends and growth, including JEPI, DIVO, QYLD, SCHD, and JEPQ. Last year, my dividends totaled $102K. but not sure how to mitigate risk for this year
JEPI and JEPQ are smart additions in my opinion. As for staying committed to higher-risk investments, it's all about balancing your risk tolerance with your long-term goals.
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.
The market is not necessarily a rollercoaster if you know your way around the market, there are various opportunities in the present market to accrue good profit, If you are not too savvy with the market, just buy and hold on strong companies with good earnings, or consult with advisors on ETFs and actively managed funds. that’s what works for my spouse and I. We've made over 80% capital growth minus dividends
I've been looking to get one, but have been kind of relaxed about it. Could you recommend your advis0r? I'll be happy to use some help.
I've been considering getting one, but haven't been proactive about it. Can you recommend your advisor? I could really use some assistance.
I m 52 and have a lot of catching up to do. This video make’s perfect sense and is very doable for a diy investor, thank you!!
Amazing! Happy to help!
I am 55 and am also trying to catch up! You are not alone.
This video made me feel alot better about my portfolio! I chose voo, schd and vgt for my roth ira! I'm 23 years old and just starting investing January 11th. Already got 1k in my roth
Congrats that’s huge!! Gunna compound so much over the next 40 years and you’ll be glad you did
Nice!
perfecto!
I envy you kid lol
Bro I’m 28 and haven’t even started what do I do!? Lmao
Professor G, currently 75% SCHD and 25% SCHG Roth IRA, Brokerage account is 35% SCHD, 40% VOO, 25% VUG! Combine balance $775k I'm 48 years old..I have about $100k in cash....
Woooo crushing it!! Love to see it!
I’m on step 2 which is stepping on your face
Did you time the market or do you just put it on automatically every set date?
@@6speed818 My strategy is every Monday I do 5k...DCA is the best way to go.
This is a beautiful portfolio
Loved your point on US companies having solid international exposure. As a reformed individual stock picker I still have some international companies but as I transition to etfs I am finding plenty of satisfaction in US based etfs due to so many businesses that do have that international exposure.
Yes thank you such good points! I know you do your research so this is a great compliment!
Agree. In middle of transition to etf's as well as the individual stocks.
Just do what Buffett says: 90% S&P 500 forever and 10% cash to get you through the downturns.
Hey Professor G. I've watched almost all of your videos. This has been the most valuable one for me to date! Most other UA-camrs out there don't get as detailed for a plan that works for someone in my age group (52). I've been looking at tweaking my Roth IRA (Currently 50% SCHD, 25% QQQM, and 25% DGRO) & 401k allocations. This vid, along with my own analysis using Portfolio Visualizer, confirmed what I've been thinking. DGRO hasn't been around as long as VOO or FXAIX. So I'm a bit torn on the dividend growth of DGRO vs VOO/FXAIX. Either way, thanks so much for the hard work you put into your content!
Thankyou so much for the kind words and thoughtful comment! I’m happy to see this help so many people! DGRO does look like a very solid fund, but ya I do like my data with the foundational etf being VOO for me!
@@NolanGouveia I have a foundation invested in mutual funds, roth, and my IRA through my investment manager and work. I am just starting to invest on my own. I started with VOO, SCHG, SCHD then I added BRK.B. because of its long track record. Should I just eliminate the BRK.B to streamline? I feel a little spread thin with the four with what I want to invest per month.
As someone who grew into investing before the internet, I have many bruises from the hard won wisdom unavailable any other way at that time. I hope your younger viewers appreciate the wisdom you offer, now so easily accessible. It’s now up to them to follow or ignore. Thanks for all you do.
I appreciate this! Thank you so much
Great information as always!! I thought you made a great point about the day you retire, you don’t just take everything out; but, your money will still have the opportunity to grow both in appreciation and dividends. I have talked to many people (especially around my age) who have steered away from investing, because they’re afraid everything will crash before retirement, and they’ll just lose everything. Unfortunately, these are concepts that we were never taught, so thank you for educating us now! 😊
Hi Maria! Thank you so much for this feedback and for sharing. I couldn’t agree more!
I would recommend you to buy JEPI and JEPQ both with double the dividends than this ones with better returns gains... Make your own research and compare
Great content Professor G!! I think you are re-writing the old school methodology of 3 fund portfolio investing for good. Way to go!!
I appreciate that!! Thank you for your comment!
Let me know your thoughts and what else I can add as a follow up to this one!
Currently over 50 and I hold SCHD and VTI should I pick up BND
@@garyschmelzer hi Gary I think you may want to rewatch the video! At the end of the day you should do what is best for your investing strategy, but I made a pretty clear stance on what I think of BND and laid out the portfolio percentages for your age group too!
Honestly, this is one of the best financial/retirement videos I have seen. I took notes and made my retirement plan accordingly. Thanks
So happy that you found value!
New to investments. Being poor all my life and i am in my late 40s. Need to put some money in some investments, you are great. Very informative. 🙏
Thank you for another great video! I’ve taken your advice to try to max the Roth this year. I personally have a 4 fund mix of 35% SCHG, 30% SCHD , 30% DGRO, and 5% JEPI. Hoping this mix helps that dividend snowball take off!
That’s a great mix!! Gunna be some awesome cash flow in no time!
So i'm a very new investor, just beginning my journey, and after a solid amount of research I stumbled upon your channel. When watching this video I realized I compiled a list of the same exact ETFs, I just didn't know how to split my money between each one! (Honestly made me feel good, like I was making nice choices haha). So I went with the logic you presented here - I have 33% in VOO, 33% in QQQM & 33% in SCHD! ✨️
Thank you for such a well informed video, you definetly gained a long term subscriber 🙏
You’re awesome! Great minds think alike :-) good job getting this done as a new investor! I’m here for help if you ever need
Wow I have these stocks anyways, but I may just sell the rest off and buy those stocks
Depending on your age I would recommend 75% in QQQM or VGT, and 25% in SCHD. I like to make it even more simple. Or you could also substitute FTEC for VGT/QQQM.
Thank you for this most informative and inciteful video. I am 66 and am managing my and my husband's portfolio. Now, I know the next steps to take. Thank you!
Thanks Professor G. This is the best financial UA-cam channel I have run across, and also mirrors my own approach to managing my finances in retirement. I see the high dividend and growth/tech ETFs basically replacing the broader US index in my portfolio, while I use REIT ETF to replace bonds in my retirement portfolio. This adds diversity without sacrificing growth. I'll be recommending your channel to my kids so they can get on track financially earlier then I did.
Im 70 years old and im looking for monthly income
Im looking to invest 150,000 dollars ,What do you suggest??
@Description-InvestwithProf.G no , im seeking a good advisor and i reviewed most off your videos and like your strategies
I’ve diversified my 350K portfolio across various market with the aid of an investment coach, I have been able to generate a little bit above $730k in net profit across high dividend yield stocks, ETF and bonds.
Mind if I ask you to recommend this particular coach you using their service?
Sonya lee Mitchell is the licensed fiduciary I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.
Hey bro watch for scammers. What's@app all scam
Professor G, I've been watching so many of you videos... and can I just say, thank you so much. These videos are so informative and helpful. I wish I started in my 20's. I'm 32 now and I'm investing as much as I can to make up for it. I never thought I would be so happy to spend my money into the stock market. It's honestly addicting. Please keep making these great videos because it's been a game changer in how I perceive finances and the rest of my life to come. Thanks buddy!
Wow amazing! Thank you so much for the kind words and for sharing! And I understand about the addiction haha
I wish I stared in my 30's, I'm 41.
Same here. I'm 33 and only really started about a year ago after finally paying off all debt and building my emergency fund. It's a shame it's really not taught in school or explained in a way that makes sense. This channel has been a big help.
Your emergency fund needs to be invested. (ie, not in a bank) This is the worst advice I've ever heard given) @@007NowOnline
I used the same principle as you, but for my Canadian account. I am 41 and used 50% $VXC (which is a Vanguard ETF in Canada that is similar to $VT except with no Canadian companies in there), 25% in $QQC-F (Canada's ETF that mimics $QQQM, basically the same companies are in it) and the last one is $VDY (this one is simply high dividend Canadian companies only, think of it as a VYM of Canada ).
In my RRSP, since we have the tax treaty enabling us to buy US etf's without paying any witholding taxes on dividends, I basically used the ETF's you mentioned except I replaced $VTI with $VT, I like having some international exposure although I know it's not necessary. $VUG and $SCHD are my other 2 ETF's.
He actually recommends VTI not VT for his foundational US ETF. Yes VT, seeks to track the performance of the FTSE Global All Cap Index and Yes VXC is a close comparison but these ETF do not tracks the performance of the US Total Market Index. See 9:39 time stamp
@@Has.S I understand he recommends it, I merely stated that I modified it to include also international companies with the majority going to the US market.
Great video! Definitely changed my perspective on how to build a better portfolio. I am in my early 30’s and made dumb financial decisions in my 20’s. Lately I’ve been learning how to properly invest my money for myself and also my family (younger sister and cousins, and future kids). Thank you for the information.
Amazing! Great job
As someone who is just getting into investing, this was so helpful. I've been researching how to diversify my portfolio and keeping things simple works best for me. If things get super overwhelming, I tend to back off. My intent is to be able to focus and manage my portfolio in a way that allows me to continually learn about investing at the same time.
As usual - completely thorough video and love the "up to date" approach when so much of what is out there is just a re-touch of older principles.
Thank you so much for the kind words and great feedback! I appreciate it very much
This guy is amazing. Giving free advice so we can succeed. Thank you!
Thank you!
Been doing VOO, SCHD, and QQQM for mine really nice video.
Heck ya great stuff!
Prof G, love this video and love your channel in general. I feel the need to add a sprinkle more small cap value like AVUV. I think voo, SCHD, Vug are heavier on large cap and growth and vti does not add enough small cap value exposure. I welcome everyone’s thoughts.
Excellent info. I thought the point you made about the international exposure helped my perspective alot and with the diversification of. thank you!
This makes me glad that I explained my thought process there! I appreciate the feedback very much!
I don’t know how to say it but the way you have explained everything in this video has open up my eyes and my brain is smashed thank you so so much for all you do I am 54 and I would like to retire in a much better financial situation….my financial education was just work and pay bills and have extra for what might happen. 🙏🙏Thank you again
This makes me so happy!
This is my new favorite channel. Keep up the great work!
Thank you so much for that encouragement!
Professor G easy on the 20 year olds 😂😂 If they are even watching this kind of content they are Waaaaaay ahead of the financial game. I’m older than you and i’ve done fairly well, but i’ve lost a lot of money learning. Now i’m comfortable but it doesn’t happen overnight. If your 20 years old and even remotely thinking about investing, you’re ahead of 95% of the population, kudos to you!
Haha I definitely agree! Just gotta give ‘em a hard time 😀
Absolutely one of the best videos I’ve seen on basic, foundational investing - thank you very much!
You’re welcome! Thanks for the feedback!
This was a very informative video. I appreciate your approach to the different stages in age categories. Thanks for all you do.
Thankyou for the kind words!
Thank you for this refreshing perspective. I’m in my 50s and remain open to change from the 3-fund portfolio orthodoxy. It just doesn’t seem to work like it used to work. I’m definitely taking this strategy into consideration. Time to reallocate!
Update: Holy cow! I just double checked my portfolio and realized my Roth strategy is VTSAX, QQQM, and SCHD in equal portions. Haha! I love when someone smart confirms my choices.
Heck ya that’s what I like to hear!!
You’re not concerned about being all in stocks?
@@couldbe8348 not in my Roth. I hold some bonds in a traditional IRA, some in a 401K, and none in my brokerage accounts. There’s no way on earth I’m holding bonds in my Roth.
@@couldbe8348stock market has always recovered.
@@couldbe8348those etf doesnt have really a risk if u hold it for long term. Like voo for example goed up every year by 10% average
I'd been learning before starting investing...thanks for this video. SCHD n VTI definitely my choices.
Great job!
Picked up TSLA a few years ago and I have a modest stake after the last two splits. As I move into retirement zone (60+) I have started to take a keen interest in Building a div portfolio (SCHD, NVDA, O, JEPI, JEPQ) using my 401k rollover. I have a small monthly pension that pays the monthly bills, so my annuity, SS and the div portfolio will act as my monthly round out
Just wanted to say thanks for the vids they have been most informative
That’s awesome my friend! Thanks for watching and thanks for sharing!
Finally someone who doesn’t say « you must have international exposure » 🙄. Looking back 30 years those funds have massively underperformed. And most companies now sell internationally so I totally agree with you. Also, a portfolio isn’t static and should be reviewed periodically.
PREACH! So true!
Interesting. In my circle, it's way more likely for someone to tell people to just buy the S&P 500 because it's been doing so well.
If you really want international exposure just consider something like IOO IXN or divi.
Main problem I've noticed with international ETFs is the weighting is very light at the top. There are some very strong foreign companies.
I think cherry picking the last 10 to 12 years as a proof point is misleading. Both the s&p and nasdaq had crazy growth. Do the same thing from 2000 to 2010 or 2001 to 2011 and you wouldn't come out with the same recommendation.
This past year was terrible for the market and so by keeping that in the data set, it helps prove the point, but I do see where you are coming from as well.
I am in my late 20’s, have being maxing out ROTH IRA for the last two years, have this portfolio:
30% VT, 20% SCHD, 40% SCHG, 10% IQLT. I am wondering how I should set up my brokerage account, I was heavily invested in Tech, so wanted to rebalance it, but also wondering if I should invest in dividends only in my Roth ira, as it is tax free, and in the brokerage I need to pay taxes.. any thoughts about that?
Thank you so much professor G for all knowledge you share with us!
Solid approach - the only change I would incorporate is to have a floating 10% - it may well stay in one of the 3 buckets but can be pulled out to a) take advantage of special situations that arise b) satisfy my need to be a little more active 😅 - example 2022 into tech specific fund, 2023 Japan 2024 maybe small cap or long treasuries 2024 or 2025
I can see that for sure and I do like that!
Top vídeo from you. Straight to the point. I’m 40 and investing like a 20 year old 😂
Haha depending on your risk profile that may not be a bad thing!
Another great video! FYI, SWPPX performs virtually identically to VOO but has a lower expense ratio at 0.02.
Thankyou! And yes it is! But it’s only available for those on schwab so that’s why I usually recommend VOO as you can invest in that in all platforms but good looking out!!
It also is worse on taxes than ETF’s
And the semiconductor market is in growth ETF? i have 1000 usd invested in SMH, is a good choice? great video!!
Yes growth!
@@NolanGouveiaThank you for responding, you are an example to follow, your content is the best!
@@YassD thank you so much for the kind words!
My spouse and I are adding a variety of stocks/ETF to my present holdings for the long term, We've set aside $250k to start following inflation-indexed bonds and stocks of companies with solid cash flows, I believe it is a good time to capitalize on the market for long-term gains, but it wouldn't hurt to know means of actualizing short term profit.
The strategies are quite rigorous for the regular-Joe. As a matter of fact, they are mostly successfully carried out by pros who have had a great deal of skillset/knowledge to pull such trades off.
I'll suggest you create a diversification strategy because building a good financial-portfolio has been more complex since covid. Recently my colleague advised me to hire an advisor, surprisingly I have accrued over $120K under the guidance of my coach during this crash. She figured out Defensive strategies to protect my portfolio and make profit from this roller coaster market.
Please can you leave the info of your investment advisor here? I’m in dire need for one.
Thank you for this tip. it was easy to find your coach. Did my due diligence on her before scheduling a phone call with her. She seems proficient considering her résumé
SCHD has lots of problems
22 been investing for 4 years! This video is amazing.
That’s amazing bro I wish I had been investing at that age!
I couldn't invest in this plan for retirement ( vti 40%,vug 10%, vym 50%). In the crises of 2008 to 2009, this plan would be down 55% and would take 6 years to recover if you were taking rmd's. Hard to live with the downside even with 3 years of living expenses in cash (who has that in retirement). Considerable worse results if you retired in the year 2000 because of the sequence of events. If a younger investor wants to invest 100% in stocks, no problem, if you can handle the volatility.
Great take on the three fund portfolio. Thanks for this! I agree that many of the large US companies have a lot of international investment. I have struggled with the poor performance of bonds recently. I really like your take on this.
Thank you for watching and for the feedback!
@@NolanGouveiawhat are your thoughts on a mix when I have a unique situation. I will retire within a few years, but my wife is in her mid thirties, so will work another 15-20 years. We both have Roth IRAs, 401k's and a regular brokerage account.
I have been intimidated by all of this for so many years I am embarrassed to say. I have been paying an advisor that 1% for years. You have given me the confidence to go it on my own and I am not looking back! Thank you for the BEST content youtube!
This comment makes me very happy! Congrats!
I moved all my funds to a new online brokerage and setup my 3 fund portfolio with your guidance (SPLG, SCHD and QQQM). Could not have done it without you!@@NolanGouveia
It's interesting how SCHD so far has beaten VOO and even competes with VUG. Considering how little it's dropped during bear markets, I can really see a world where SCHD continues to outperform.
I totally agree. Quite fascinating really
Super helpful tips! Thanks for sharing this info!
You’re welcome!
You've inspired me to start investing monthly into these funds not only for myself, but my young daughter's Portfolios. Thank you for your work!
That makes me so happy! Thank you for sharing!
This is the best video yet. I think i will setup my Schwab account with these three. Thank you. I already have it mostly as schd and some Microsoft sprinkled in right now.
I appreciate the feedback! And awesome!
Just found you Professor 😊 this has been super helpful as I decided to start managing my own money after having a FA that was useless.
Awesome! I’m here to help any time 🙂
Thanks Prof. G! I've listened to this session several times and it has given me the confidence to move forward with a plan to change my portfolio to VTI (50%) and 12.5% in each of (VYM, VIG, dividends), and (VUG and VIOG growth) -- stock positions. I will keep positions in MM and T-Bills for a few years for immediate needs.
While this is just a bit more complex than your 3 ETF portfolio, I feel it provides some diversification within the categories of growth and dividend investing. Who knows if it is better, but it is where I've landed.
I really appreciate the time you take to share your findings and all the help that it provides.
I like this approach! Sounds like you found a good one for you personally!
Another amazing hypothesis Professor on investing and best part is you answered all the questions popped up in my mind on the percentages and it all cleared by end of the video😊
This makes me so happy!! Thank you so much for the feedback!
Absolutely... I fall into the 40-50 yr olds.. lol... I just finished watching this vid for the 2nd time and I'm planning making note on the investing percentages that I'm now going to execute ASAP ❤️
Wow! So so helpful. I am 34 and I thought I was too late .. this video gave me hope. Thank u so much! Learned everything about investing from your videos.
Definitely not too late!! So happy to hear this was helpful!
This video is just amazing. One of the best summaries I’ve seen and I really like how you got out of the traditional 3 fund portfolio.
Thanks for producing such great content in your channel 🙏
Thank you so much for the kind feedback!
I have 80% into SCHD and QQQM, 20% in VXUS and small caps (VB). Although VXUS hasn't done anything, their dividend is still quite nice! but it's a very small portion of my portfolio.
Ahhhh this answered so many questions!!! I started a mastermind group of women here in Guadalajara and will def share this with them!
Yes!! That would be so amazing to spread the word! Thank you!
I'm 35 years old. I use 1.ITOT 60% 2.IDEV 25% 3.IEMG 15% Please advise the pros and cons and what adjustments should be made?
I like your portfolio layout I had something similar in mind with the 3 being SCHG, SCHD, and JEPI for cash flow
Very similar!
I love hearing this. I literally invest 33% in in VOO, QQQM and SCHD. 36yrs old. Closer to retirement I will transition from QQQM into more SCHD and maybe some JEPI depending on the performance and income needs in the coming years.
Sounds exactly like my strategy personally! Great work!
Man really hit the nail with this video! Currently my port. is VOO QQQ and VYM i know im in the right path. Thank u Profesor G.
🙌📈that portfolio looks real nice!!
Thank you very much for this video. May I ask your help to identify what would the equivalents for European investors? Foundational US ETF (VOO or VTI); Growth ETF (VUG, SCHG or QQQM); and Dividend ETF (SCHD or VYM)?
This video is solid gold. I just moved my 401k over to M1 and I went with this exact 3 ETF strategy (VOO, QQQM & SCHD) and I'm already crushing it. I have another portfolio that is very aggressive and SCHG and VUG are killing it as well. It has DRIP and I'm dropping in money every paycheck as well, can't wait to see how it looks once the dividends start snowballing.
Yessss 🙌
These tips are pure gold. Thanks Professor!
Happy to help!
Nolan, this has been the best investment information in one place that I've ever seen. I've also been watching your videos for a couple months now and have learned a lot . Thank you very much!
I appreciate the kind feedback here!
I love that this strategy focuses on 100% US equity, but here's something I've been wondering: if QQQ is so great, why not be aggressive by substituting QQQ with TQQQ? I know that the leveraged differential makes losses worse than normal, but over the last 10 years TQQQ is still up 1,826.85% compared to QQQ's 340.86% without DRIP
I’m just hesitant to recommend a leveraged etf as a core position but for more experienced investors I can definitely see that justification
@@NolanGouveia makes sense. Thanks for your great content!
@@vincent8900 thanks for the feedback and thoughts! Really helps out a lot!
Only if you was in the UK you explain all this very well compare to UK, I'm following you to keep track of the US side of things. In UK i can find s&p 500 vanG, but the others you mentioned not even listed to do my 3 portfolio😑
Thanks, Nolan, your videos are really helpful. I have a couple of questions: How should I determine the portion of my income I have to invest in the 3Fund Portfolio? And how do I decide the % to invest in each of the 3 Funds?
NO way you watched this video, if you are asking these questions!
I love the simplicity of this...which likely aids in its potential for success due to the psychology of investing. When thinking about the 3 years of expenses where does the dividend income fit in? Is it used to reduce the 3 year cash requirement calculation? I'm just retired at 54 and had the first year covered off cashwise but am working to move some of the investments to cash gradually over the next year or two.
A great video! I never followed the old fashioned way. My husband is 5 years away from retirement, but I'm still 10 years from there. I totally agree with Pro G's 3 way strategy which will likely help us to maximize our portfolio within 5-10 yrs!
🙌🙌
Hi.
From the UK and find your videos very inspirational.
I do realise you are US based but any chance you could make some videos with uk / European ETFs.
Yes i do my research to find cross market equivalents, but it may also increase you viewer base
I personally love VGT for my growth etf. I love your asset allocation based on your time horizon! Two thumbs up from me! Keep up the great content!
Amazing!
Personally been investing in 40% VOO (Foundational), 20% in both VGT & QQQM (Growth, plus I believe in the potential of tech) and then 20% SCHD (Value) in my Roth IRA.
I’ll adjust the proportions accordingly into my 40s, 50s and then 60s once nearing retirement, but the key is to just DCA month after month year after year, ignore the noise and stay the course!
Just a thought, is Warren Buffet encouraging people to put their money in a S&P 500 index fund because his company Berkshire Hathaway is actually in the top 10 companies in that index. And he also has some money in S&P 500 index funds in Berkshire Hathaway. Just an interesting fact, the S&P 500 index has beaten Berkshire Hathaway by some margin since 2009. A d you are just picking specific time periods you need to look at longer time frames, and the US stock market had a lost decade from 2000 up until 2009. If you had put a lump sum in S&P 500 index for example in Jan 2000 by Dec 2009 it would be worth less than the original investment, and that's including any dividends reinvested. This is why diversification is so important & even more so in retirement and if you don't have many yrs left before you need that money. For a twenty year old with say 45 yrs left before retirement they could in theory take more risk, but someone who is 50 yrs old may not have enough time for their portfolio to recover sufficiently if it tanks
I’m 29 currently set my portfolio at 60 % in VOO, 30% in QQQ, 10% in a US information technology ETF.
Nice that works well for a young guy! Lots of growth potential
Agree for the most part with proposals in this video. Bear in mind that SPY, the S&P 500 etf and SCHG are very similar, especially involving the top ten holdings in both funds. Also, be careful of looking at just 10 years of market history. For example QQQ was pretty much dead money from 2000 to 2013. Thus, there can be long droughts.
Very true points!
I found this video while searching for bond alternatives in my IRA, this is some very compelling positive information about the “new” 3 fund portfolio. There are still plenty of so-called investment experts that sing the praises of the old 3 fund, which leaves me scratching my head why more of them haven’t really modified their thinking. My opinion is that using the growth and dividend ETFs instead of the international and bond component is more of a play on continuation of income, albeit in a more safe (and far less complicated) method than a sole focus on preservation. After all, they’re called Investment accounts for a reason…
This was flawless wow. Answered so many questions
😃🙌📈 thank you so much for the kind words and I’m glad it was helpful!
Thanks Mr G, you make investing easy to understand, and I like how you laid it all out with the different ages, We are retired but don't need our funds so this helps with playing around with the percentages =]
I’m so happy to hear that this was helpful! Thank you for the comment :-)
I see now how I wasted 10 years of having international funds in my 401k. I was paying fees for managed money. I cancelled it and took control of it myself. Switched it to VGT and FXAIX. It’s grown 26% ytd. I never had those returns before. Now I’m maxing out my 401 contributions and I’ve opened a brokerage acct and plan to stick 1000$ a month into that. Trying to find the right mix your videos have helped so much I subscribed. Thanks.
So happy to hear it is helping! Congrats!
Solid information. I got a late start with investing (mid- to late 40s) so trying to make up for lost time. I have contributed fully to my Roth IRA and have a separate brokerage account. I wonder if SCHX is a viable alternative to VTI or VOO? I hold SCHX and SCHD--and want to pick up SCHG. Should I sell my SCHX positions and pick up VOO? I've looked at comparison charts and both seem about even but perhaps I've missed something in my research. From one professor to another--thank you!!
Awesome to have the approval of a fellow professor! SCHX is definitely a viable alternative as it is a large cap etf so it’ll have very similar returns due to market cap weighting
Hola hi professor G , I think that you exceed your own expectations when you generate this type of content.
MASTERFUL ANALYSIS. 👽
Thank you so much Elvis! I appreciate it brother!
I think purchasing real bonds are more stable than bond etfs because of all the selling before maturity bond etfs do. So maybe SCHD and purchasing some real bonds would be a good mix for that 3rd category.
I can definitely see that justification for sure! I think my point is more for those who want the simplest portfolio possible so that’s why I took it that route, but what you suggested is definitely a smart move
Solid! Building this exact portfolio in my individual brokerage account starting this month. My Roth IRA is 90% SP500, and 10% SCHD
Very good!
Professor, I loved this video! You're amazing and your explanations are always so clearly. I'm from Brazil and starting invest at US ETFs by now and your channel help me alot.
I would like to see about those 3 mentioned growth ETFs. What is your favorite and why. I really like SCHG (like I said in another comment because of the minimum overlap with SCHD) and I'm kinda curious about QQQ because it isn't really a "growth etf" in his fundamentals (just the top 100 nasdaq).
But there is a lot of growth ETFs that I'm current studying: VUG, MGK, VOOG, SCHG... I will definetely include VOO and SCHD in my portfolio. I just need to figure out what is gonna be the "growth one"!
Thank you so much! I really like schg probably as my favorite growth fund!
im just starting at 46. This video lets me know I picked the correct etfs so far. I have VTI and SCHD. I wasn't sure about VUG because it 50% overlaps VTI, but I'm still learning.
Today I sold 17 us stocks and re-invested them just like Professor G 50% in voo and 50 % in schd. I still haven't figured out how I am going to pick between vug, schg and qqqm. And what percentage to allocate to that last one.
Awesome!
Enjoy and learn a LOT from your videos. I am really interested to know about you analysis and thoughts on Annuities. If you can do a video/lecture on Annuities, that will be great !!
Thankyou! I might throw that in the rotation!
Hi Professor G! I am 40 years old but unfortunately new at investing. After watching a lot of your videos, I have 50% VOO, 25% SCHD and 25% QQQM in my brokerage account. Should I have the same in my Roth IRA or should I increase SCHD because of the tax advantages and dividend yields to prep for retirement? Thank you and I really appreciate all your excellent content!
That's my question as well
Hi there! That’s completely up to you and your overall goals. You’d be justified in increasing schd in the ROTH for sure!
Spot on! I'm from Asia and I'm invested on VOO, QQQM and VYM
Nice work!
Great info! Wish I would have known earlier in life.
Thank you for watching and commenting!
Great video. My version is in my IRA with VOO, SCHD and FTEC (its at Fidelity). At Vanguard my settlement is doing 5.28-5.3%. Otherwise, I am likely overweight in REITs and BDC's. Maybe 2-4 years from retiring. 3 fund port will give you your life back, however. Working my way towards simplifying and condensing to my winners.
Sounds like you know what you are doing! I like it!
Good morning, Prof G! Thank you very much for another great video! This really is one of your better info videos as it can serve as a road map for life!
In the video, you had 2 segments: 1 for the recommended 3 etf plan and 1 for the various % allocations to better capitalize on whatever the investors age was. 2 incredibly important segments, for sure.
The descriptors for the 2 segments were slightly different, so I would like to confirm what you meant.
1) foundational US Broad Index = foundational ETF?
2) high risk, high reward = growth ETF?
3) safe/stability = dividend ETF?
Have an awesome day….I appreciate the analysis that you help spark our fires!
Good morning Alan! Thank you for the kind words and encouragement! Yes exactly, what you wrote for the ETF sections is correct!
@@NolanGouveia Hello Prof G!! This was such an informative video that I just watched it again......and took notes!!
QUESTION: If you were starting investing right now, and had $50,000 to do so, would you invest it all initially? Or, especially since there are still unknowns in the economy currently, would you focus on spreading it out for weekly investments, say through the summer time (mainly to see how the economy is actually going to go)?
@@campingalan awesome! For your question it really depends on the individual and goals. For me I like the idea of investing half of it right away and then dollar cost averaging the rest for a couple months
This guy is such a good teacher even I am getting it and getting excited. Great help. Thank you
Thank you!
Professor G always great content here! When you have opportunity, I believe your viewers/students would benefit from a simple vid on how to determine fair value or great entry points for ETFs such as VOO, SCHD, SCHG etc. In addition, if someone has a lump sum to invest, is it best to wait for the great value or just DCA over time? Thanks again!
Good idea my friend! Thank you!
@@NolanGouveia Thanks! later on, would like your opinion on a great free app I found called fair value (blue background with white market line down the middle). It has a simple three button option that's color coded...when clicked shows current stocks undervalued (green), fair valued (blue), and overvalued (red) with a list. Individual stock codes can also be searched...it even has a margin of safety in the same color code. Unfortunately, it seems only iPhones can access it.
This is what I’m doing - that’s awesome!!! I feel so good to know my research has me going in the right direction. Currently have VGT instead of QQQ but planning to buy QQQ moving forward
Awesome work!