Very relatable video Jeff. I retired in 2022 at 52 after figuring out that I value my time more than building our net worth. I went through my own spreadsheet and the numbers are similar to yours. Age 40 $1 million, age 47 $2 million, age 50 $3 million, age 52 $4million when I retired. We did go through the lost decade (2000-2010). Keep going, you might be surprised how fast you get to your goal. One thing I wished I had done was put more savings into after tax account and Roth. It would have given our famiily more flexibility to withdraw our living expenses when retiring prior to age 55.
Thank you for the encouragement Michael! Much appreciated. Very cool on your early retirement! If I can even get ballpark close to your situation I’ll be a happy man!
I'm doing a marathon on your investment videos, I love ETFs, it's my go to investment vehicle, I can't choose individual stocks. I feel ETFs are less risky and maintains long-staying leverage to increase investment regardless of periods of downturns in the market, it always finds it's way back up. I'm subscribed to your channel, please do videos on sector ETFs for 2024.
Thank you very much for watching & for the sub! Means a lot. Going to try to get a variety of videos out in the coming years. At least 1 per week, and hopefully 2 most weeks.
Oh man, that is incredible. XLK has been the king in the past 10 years. It is basically the 'VOO' of tech. Whereas VGT is the 'VTI' of tech. They are literally tied over the past 20, but the big companies have been great in recent history (VGT adds the small and mid tech companies). I may mix some QQQM into my portfolio eventually. But, it's to tech-down just a touch. I think XLK (and VGT) are better long-term, because I'm a future tech bull. BUT, I totally admit that's just strictly an opinion. Something to keep an eye on. Short version: Your portfolio is awesome!
Jeff, Congrats on your portfolio! I have my play account of $130k AND I have Merrill Fiduciary do the heavy lifting such as your total. I’m not smart enough to chance that type of investing with that much money. Me personally, that 0.70 fee at this time is worth it.
Hey Tom, thank you for watching. The good news is that you’re investing. You’re smart enough. But nothing wrong with staying the course as you slowly learn more about this stuff. Once properly set up, you don’t have to ‘do anything’. That 0.70% will add up over the years, along with the actively managed funds you are likely in. But it’s not a bad place to start.
Excellent video Jeff. One of your best. When I took the plunge mid last year I pretty much did it unilaterally as I knew I had to act. My wife has this irrational emotional fear of stocks so has always been resistant and scared. Took me a long time to educate myself and find a simple fact based time tested solution like this. So now I am making her watch your videos 😊. Lord knows I have tried to persuade and convince her and I wave the white flag - I failed miserably. So now Plan B. Outsource to Jeff. I really hope that listening to your sound advice will help her understand this is not gambling and overcome that fear. Who knew you would be a marriage councillor. Really appreciate the effort. I smashed the like button (again). Least I can do to say thank you. 🙏
Thanks Michael! I appreciate the positive feedback! I laughed at the ‘outsource to Jeff’ lol. I’m here to help! Our portfolios will eventually crash in a correction or a recession. It is inevitable. When that time comes, stay the course and buy buy buy! That’s the beauty about passively managed ETFs. They won’t go to zero like some individual companies will.
I like your side by side Jeff I think a person would be very happy either way when they looked at there account 30 plus years latter they would be millionaires they did the hardest part consistently investing sticking to the plan ThankYou for all you do Jeff😊
Thanks for the kind words David! Investors can nitpick about specific allocations and strategies, but at the end of the day, it's all about pumping more money into a solid system of low-cost funds on a regular basis. If we do that for decades, we will win! Of course, it's nice to stay open-minded and to adjust as time goes, but the main focus is to be buyer and to let it ride for years.
keep pumping out those financial informational videos Jeff!!!! I see you have the Prime drink on your desk…. hope they’re giving you a nice sponsorship for this video….
Hey Kevin, much appreciated! No sponsors for me, that will maybe come in the future. You'll just see what I enjoy. And I LOVE these Prime drinks (hydration, not energy). Now if Prime, Pepsi, Seeking Alpha, M1 Finance, etc hit me up one day... We're in business (: But never something I wouldn't use myself.
Thanks Brianna! I appreciate the kind words. I try to make them as clear as possible. Over time, I’ll cover quite a few of the principles I pick up from reading with a real world twist.
Such great information - Thank You Jeff. I am binge watching all your videos. I am seriously re-assessing some of my positions within my portfolio. Your portfolio is betting the market and is so manageable. My portfolio is OK, but not as good as your simplified process. Not many people would share all their personal investing formula and for that, you have my respect and attention. Please continue on - your fan base is growing!!!
Thank you for watching and for the words of encouragement. I really do appreciate it. I'm glad you're enjoying the content. I don't plan to stop for a long, long time!
Good stuff Jeffe, I hope Ally watches this! I just liquidated my VTI with idea of converting to VOO and upping my VGT. I maybe should have done the entire conversion in the same day. Partially VOO'd up, but am now sitting on too much cash, with the market only going up and up. Busted!, trying to time the market a bit. But, cash at 5.28% is not all bad. Like hearing mention of SCHD as a (at least for now) bond alternative. I look at my REITs as also bond alternatives, and the current high MMA's rates. I am trailing your totals, and with too a similar ports, don't know how I will catch up!
Thanks for watching Karl. I appreciate the feedback! You never know, this may be the year that you chip away at my portfolio! Something tells me we will both be happy long-term with our strategies!
Lets just say I am so excited to be .954 of the way to my goal! Silly and meaningless, but just need to get past it and seems to be snowballing quicker than expected!
Looks like you're doing a great job with your method of great funds, time in the market, financial background, and you're an optimist. You know what they say, I never met a wealthy pessimist..lol It looks like VGT or IYW has been beating up VOO since about 2017 and now on overdrive with this Ai frenzy.
Thanks Gary. I know that there will be future situations where I will need to adapt on the fly. There is no such thing as the perfect long-term setup IMO. Some argue traditional 3-fund. Or a mix like VT + BND and take a nice nap. Or 100% high growth to make it big. Bitcoin. *insert a million other opinions. I think a nice mix of low-cost, passively managed funds is the way. We will see what the future brings (: If I HAD to pick just one ETF, I would roll with VOO. Thankfully, that's not how it works. Life is good!
Hey Jeff! Great videos, I glad you put me onto SCHD/VGT combo. Could you compare it to SCHD/SCHG combo in another video. Maybe even SCHD/MGK. There could also be SCHD/FTEC and SCHD/IYW
Hey Daniel! Thanks for watching and for the idea. I am going to make a video about SCHG in the future. I will add a note to myself to include this scenario.
Hey Jeff - excellent video - love your analysis. Having said that - I have tended to get queasy with the inflated level of the Dow and S&P more than a few times over the past 20 years. And, frankly - I now realize it 25 years later it has HURT me more than it has helped me. In early 2024 we are again at historically priced levels and I find myself pushing back against the "put all your hard-earned money into the S&P 500 or Dow" It's hard for counter-intuitive investors like me to do it. We tend to drift toward against the grain value pickers. Sad but true - I am one. Value investors have lagged ETF growth investors over the past 20 years - no doubt at all. Thanks again.
Hey Kent, thanks for watching & commenting. I agree that the highs and lows of the market are impossible to predict. There is no doubt that we will see more corrections and recessions in the future. I know that my portfolio value will temporary crash when that happens. Here are the rules I use for this. 1) I always make buys and sells at the same time if I'm making changes. Zero exceptions. For example, I've long been thinking about having some QQQM in my growth section of my portfolio. IF I make the move to do it, I would: Sell VGT & buy QQQM right away. Since it's growth for growth, my overall portfolio is the same (35% growth, or so), and it doesn't matter if it's high or low (sell high buy high or sell low buy low) as long as there is no time between. I never try to time the market. Ever. Zero. Same logic applies to my rebalance process. 2) I keep ~10% cash, and this automatically buys the dip. The cash is in a money market so it's always working for me. When the market crashes, I deploy it into my portfolio to get cash back down to 10% (buying the dip without making a decision). When the market skyrockets up, I'm naturally putting more new money into cash to get it back to ~10%. Aka, 'waiting for the dip' without making a decision. These automated rules have me 'timing' the market (if you want to call it that) well without ever making a decision based on news / sentiment (both dangerous, and usually worse than flipping a coin). 3) I NEVER sell based on 'what I'm feeling the market is going to do soon'. However, the buys and sells take care of themselves with amazing 'timing' by sticking to allocations.
@@JeffTeeples Thanks Jeff - following your logic though it took a minute - makes a lot of sense. Don't want to assume - but I guess your cash and Jepq take the place of bonds?
@@kentfaver Cash, JEPQ, and SCHD. For me, SCHD & JEPQ are the bond replacements. Cash is always there to use effectively in any market per the allocations. They aren't exactly like bonds, of course, but will take that role and do it better IF we don't sell when things get bad.
Great video, Jeff. What about 30% SCHD, 30% GVT, 30% VTV, and 10% cash, which will be used to buy VGT when the price goes down. I think VTV is more convenient than VOO in such combination.
Hey Robert. I don't think that is a bad mix at all. I personally like VOO over VTV, *but*, that doesn't mean I'm right. There are a lot of ways to build and sustain wealth. All about dollar cost averaging money into the market and staying the course.
Hello 👋🏽 - Thank you for creating this channel. I thoroughly enjoy your videos + knowledge. Do you have a video on you screen for individual, dividend stocks? Your assistance is greatly appreciated 🙏🏾
Hey Jarred! Thanks for the feedback. I haven't released videos about that topic yet, but I'm planning to in the future! I run a (well, I pretend like I run an ETF for fun) that I call 'The HODL Factory' with my best friend. We have 25 to 50 dividend paying stocks. We are ahead of VOO by 17.98% since we started in April of 2023. But that is an incredibly short amount of time, and who knows what the future holds. I plan to release a video about the process of selecting stocks & what I screen for. I won't give the exact formula (it's 9 key metrics from the companies that are given unique weightings in a spreadsheet after the screener), but a high level, including the current holdings, will be shared. I'm hoping to make more content around this in the coming years.
Especially the last ten years just matching the market would make you a better investor than most including myself lol. I now have my investing strategy locked down, VTI in roth and taxable plus an account with SPAXX, BLV and VCLT. (a riskier emergency fund)
Haha, thanks for the comment. I meant compared to myself hand-picking stocks. I guess I should have been more specific (: In general, you can't lose rolling with VOO if you would like to beat over 90% of professional investors. But, the 50/50 mix has outperformed VOO each year. I still do hand pick stocks, though, because it's fun. Those have outperformed VOO, but it is very early on and I may just be a lucky dude so far (:
My investments are in a lot of accounts. My Roth IRA is only about $15,000. But overall, for my entire portfolio (combining 401k, Roth, traditional, taxable, HSA, etc) I’m about a third of SCHD / VGT / VOO. I try to keep those in balance as my ‘long-term investments’.
Hi Jeff, its a great video. I recently invested my 30k with VOO/XLK/SCHD at once and took out my money feeling market is going to crash just before the market bull run on Thursday Morning at a breakeven. I regret my decision and my money is on hold for 2 days and I couldn't invest in anything. I am beginner invester. This is my first time investing and very emotional for market ups and downs. I am constantly checking stock prices during my work hours.
Thank you for watching and for the feedback! We have all made mistakes in investing, no doubt. Your mix is going to do an incredible job in the future. Stick to your allocations and dollar cost average in. If you stay the course, it will be awesome. Biggest thing is not to sell when it crashes. Common mistake. If it crashes, let it be, and if anything, buy more (or keep doing the normal DCA in).
I worked in accounting and finance for 13 years. During that time, I became obsessed with learning about personal finance on the side. I left my job (financial analyst and planning manager) in July of last year. I am focusing on helping as many people as possible with this stuff now. We’ll see where I go from here.
One more question Jeff, Can you make a video on how to plan for Contingencies when the only member in the family loses job and if you cannot get it for even 6 months as the market is very tough ? This might not be applicable to most of your readers. But in tech if you are over 40 then you have to compete with Fresh Grads and offshoring also. For example is dipping into IRA is an option or selling your house and moving to a low cost area in case you can't get a job for 6+ months. Contingency planning should be important , right ?
Thank you for the feedback & question. Absolutely! It is extremely important. I made a couple videos before about the most critical steps to take BEFORE investing a dollar in the market. An emergency savings (3-12 months of expenses is usually ball park what people need) and setting up a good budgeting system after that will go a long ways. Then, it is time to do investing, while still considering the different events, or potential events, in life. Having a nest egg is vital. I'll try to think of a way to put a lot of these things together. I can get too specific for individual contingencies to where the video will not add value to the masses. I'll work on brainstorming. I agree with you 100%.
Hi, Have you paid off your house fully ? if not then when do you want to pay it off. Because my mindset is that I have been super conservative and I worry a lot about losing my job and stock market being 70% down in case of a 2008 like scenario. Please let me know of your thoughts.
Thanks for the question! Paying off your house early is a very personal choice. I don’t see a right or wrong answer. For me, I do not pay any more than the minimum payments on my 30 year mortgage. I have 28 years remaining. 30 year loan (wife and I refinanced a couple years ago) at 2.75% interest. I very likely will not pay an extra penny to the mortgage.
Hey Robert. I haven't specifically shared the details of the HODL Factory (my name for the individual stocks), but I will be sharing more in the near future. It is now ahead of the market by 21% since inception. Perhaps just dumb luck (:
One more question Jeff. The 10% cash you hold. Is that ready and waiting to deploy if the market drops to scoop up bargains or is that a contingency/emergency fund?
Great question Michael. It’s a bit of both. I think it is very important to have a true emergency fund, and that is what I started with (in checking for me, so it was right there, but savings at same bank works). I always recommend at least 3-12 months of expenses, depending on your situation. But… I don’t think the full amount should not be working for you. As time went on, I realized I could make money on my money. So I moved to a buffer system. Usually we keep ~$5k in checking after paying the mortgage (and now I keep some in my business checking as well for this channel, which so far has lost a lot of money). When this breaks even, I’ll do the same 5k buffer system. It’s fun because not buying the coffee or eating out at work ACTUALLY goes to my investments after paying the mortgage each month. When I used to have a job… say the checking was at $7,354. I would send $2,354 to E*Trade to be deployed. Now, to actually answer your question, I do like to keep the E*Trade money market at about 10%. Makes the math easier (invest more or save if current MM is over or under 10%). So ‘technically’ counting buffers, I’m a little above 10%. Now it’s tough bc I never had to do moving around when I had a lot of new money. Still deciding when and how to rebalance on the fly. Can no longer do it naturally with new income.
Thank you for watching & commenting. I'm not an options guy, but I understand why QQQ is great for you. For buy & hold Nasdaq-100, QQQM is slightly better.
You’re obviously a big fan of SCHD/VGT wombo combo, I have VTI thrown in for an evenly 3 fund. With VTI being more of a market equivalent, you think it would be better to be more like a 40/40/20 SCHD/VGT/VTI? (I know you’re not a financial advisor, don’t stress, just want your honest opinion!)
Thanks for the question! I think adding VTI or VOO to any portfolio is a great move. Anyone from 1 to 100% is fine. I personally do 33.3% of VGT / SCHD / VOO. I think replacing VOO with VTI is just fine. Love the 40/40/20 mix you mentioned.
@@JeffTeeples interesting. That’s encouraging. There’s definitely been proof in the pudding! 😆 Is there a reason your prefer VOO over VTI? I know there’s a ton of videos out there lol. Also… I signed up for membership yesterday but it seems like it hasn’t gone through yet?
Weird on the membership, I appreciate the support! I really do, I wanted to provide a low cost way to make this thing at least a little profitable long-term without ever having to promote products I don't believe in. It's like I'm a low expense ratio ETF (: It's not about making a ton of money for me, but I do still have two little kids and a house mortgage calling my name. Not sure what the deal with the membership is. I don't see anything on my end. As far as VOO vs VTI, they are 86% identical. The 14% of VTI that is NOT in VOO is over 3,000 small and mid sized companies. These are a lot more volatile than the 500 companies in VOO. You catch the major returns of companies on the come up, but it is also full of busts. I like the more stable nature of VOO (which has a 50 year history of 11%+ returns, and 100 year history of 10%+ total returns). Last 10 years of total return: VOO: 234.3% VTI: 213.3% There will always be reversion to the mean. I think VTI will have good runs as small and mid cap make up ground on the large cap companies. But overall, I feel VOO is more stable, less volatile (ironically), and a little better long-term. It is truly splitting hairs, and you can't go wrong with either.
@@JeffTeeples yes sir and you’re well worth the value, and then some!! Appreciate your work! I’m sure it’ll show up in a day or two. Oh okay that makes more sense. Upside and downside potential is the biggest thing, otherwise super comparable. I think I’m gonna reallocate and change to that 40/40/20 (SCHD/VGT/VOO) I mentioned on another comment.
This was a very insightful video. Thanks for doing it. You mentioned near the end that SCHD somewhat replaces a traditional bond in a portfolio. Can you explain how that works since you have no bond funds.
Hey Patrick, I appreciate the kind words! I say 'replaces bonds' in quotes and somewhat lightly, because they are definitely not the same thing. BUT What I mean is that when the market takes a dive, like it did in 2022 when VGT returned -30% and VOO returned -20%, SCHD was almost flat (slightly negative). So it has very comparative low highs, and high lows. It adds some balance to the portfolio to not get too high or too low. SCHD has never had a total return of less than -6% in a year. Again, this could change if/when we have a major recession. But I think it will handle whatever happens a LOT better than VGT, QQQ, and VOO.
Great content as always. What made you shift to VOO? I missed that in the video. I tend to use a dividend as a bond alternate also (even though most are against it). Also, how is schd treating as far a taxes?
Hey Dominic, I never switched to VOO. My spreadsheet calls the S&P 500 index fund that our work 401k has VOO. Technically, I own zero 'VOO' right now, but it is what I'll hold as soon as the 401k is rolled over to an IRA some day. I've always owned an S&P 500 fund, so nothing new for me. I just call all the S&P 500 tickers 'VOO' on spreadsheet, as it is my favorite and what it will be long term. I think SCHD is a great bond replacement if, and only if, we remain buyers to all of our ETFs when the market takes a dive. So many people freak out and sell low. Then you never get it back. For people like that, bonds, money markets, and cash are better for so they can't overdo it. SCHD dividends are qualified. This means they are taxed the same as long-term capital gains. 0%, 15%, or 20% (for high earners). It doesn't get better from a tax perspective.
@@JeffTeeples cool. I guess I got confused because I remember a previous video or two where you were saying 50% VGT and 50% SCHD. I'm pretty similar to this 3 split you detailed in this video... but use a combo of VGT, VOO FSPGX, VUG, SCHD and VYM. Don't know how it will work out, but I love the Russell 1000 tracking. For dividend its SCHD and VYM. I really want to dump the VYM for all SCHD but was scared of the taxes. Thanks for the info and maybe in the next year it will be all SCHD.
@@dominichoward4833 ooooo, I see the confusion. There will be a lot of videos where I compare 50/50 SCHD and VGT to the market (VOO). That is my mix that I use to beat the market, in general. But I also hold VOO as well. So my holdings are 33.3% each, but I often compare my ‘non-market holdings’ to the market to make sure it still makes sense to not just go 100% VOO. Love your holdings, and completely agree with selling VYM to going all in on SCHD. For taxes, you can: 1) Sell any tax lots that are at an unrealized loss 2) Sell any gains that you’ve held over a year. This is long-term capital gains. You can’t beat that tax rate regardless of how long you hold 3) If you do have short term unrealized gains, which is VYM that has appreciated in value, and that you bought under a year ago, you may want to wait until you’ve had it for a year before selling. Short-term capital gains, stuff you sell before owning for a year, will increase your ordinary income, and be taxed at your (higher) marginal tax rate.
ThanX Jeff... Great video. What are your thoughts of holding these type of ETF's in a taxable brokerage account as that type of account can have unlimited funds put into every year vs retirement accounts funding limitations.
Hey Lance, thanks for watching and for the question. I’m going to make a video to address taxes soon. The short answer is that I think ETFs that pay qualified dividends are great in both. For taxes, qualified dividends are treated as tax friendly as possible (tied with long-term capital gains). I’ll go into more detail soon.
Thanks for watching and for the question. I have a little bit in past videos. They are not part of my current portfolio, but I'm always watching them closely on the side. I'll be a little late to the party, most likely, but have made hundreds of thousands of dollars in the meantime. And I THINK (I do not know) it will continue to be that way for the next few years. I stay open-minded, but never follow the herd. To ignore INT altogether would be a huge mistake, one that I will not make.
Thanks for the question. I think they are amazing ETFs that are interchangeable. They are a lot like VTI and VOO. VGT and XLK have an 82% weighted overlap. The difference is VGT also buys small and mid size tech companies as well. VGT is like VTI, and XLK is like VOO. Over the past 10 years, XLK has performed better. Over the past 20 years, they are identical on total returns.
Thank you for the feedback. I have a lot of spreadsheets for my specific situation. I'm going to make them in a format that works for any investor, and include them in my UA-cam Memberships when I figure out how to get it all together. Everything will be in the lowest (current tier). Working on badges and emojis as we speak. Stay tuned.
Great mix Donna! You will be happy in years from now. VGT can go way up and way down, remember to stay the course with it. I like VTI. I personally prefer VOO as my cornerstone holding, but VTI is a very viable replacement or addition to VOO for that section of the portfolio.
For 2024 I’ve been exchanging VOO for VTI each week in order to catch the upcoming gains in more med/small caps that aren’t possible with VOO. I want to have it completely replaced by the end of May.
@@misternobody9801 very nice! VTI is a great holding. If you are carrying an unrealized gain on your VOO in a taxable account, be sure to hold it for at least one year before you sell for favorable taxes.
Thanks for watching. I will be clear that I am NOT a crypto guru, by any stretch, but it will at least give you an idea of one way to go about it. I’ve read up on crypto, but still always on the fence of where I land.
Thank you for watching and commenting! VOO is my favorite ‘broad holding’, I refer to that section of my portfolio as the cornerstone. VUG is solid as well. I prefer QQQM instead. The Nasdaq-100 is an amazing index over the past 39 years. I roll VGT, technically, because I’m a tech bull. But QQQM is my favorite ‘growth index’ for multiple sectors.
I run backtests against the market. The thing that makes it easier is that I keep my long-term investments at 33.3% of VOO (the market, cancels itself out), 33.3% VGT, and 33.3% SCHD.
The only discrepancy with your future portfolio outlook is there are going to be down years. And very likely your portfolio could suffer a 30-50% downturn. So it could take some serious time to recover. You’re not going to have 7% returns every single year. Yes, I know that’s an average but it’s time you have to look at. It’s going to take you longer than you expect to get that 7% average.
I agree the market will drop & that it will take years to recover fully. Never sell when it drops. That is the one hard rule to have. And this mix drops less than VOO, or the traditional 3-fund portfolio in the past few corrections. However, the future could hold a different result. One thing is for certain, the market will drop, no doubt.
Thank you for watching! It was a tough decision. My dream is to help thousands of people put their high salaries to work. So it was worth it to me. I saw many 6 figure earners living paycheck to paycheck, and that wasn’t acceptable (:
@@cashoption2319 yeah, it sounds full of irony, but it’s the truth. I liked my job, but lacked the burning passion compared to this. Many more factors weigh in than money.
Thanks for watching and for the question. Generally, the more cash flow you need in retirement, the more the portfolio needs to be weighted towards dividend paying assets. A young person in 20s can roll heavy in growth ETFs and the market, and not worry too much about the market fluctuations. VGT, QQQM, VOO, and maybe a splash of SCHD. Whereas retired folks that need cash flow will be much heavier in dividend paying assets like SCHD, VYM, DGRO, or even JEPI or JEPQ if the portfolio value can’t provide enough cash flow with the growth options. As far as retirement accounts vs taxable, the differences are majority overblown, assuming the dividends in question are qualified. They will never be taxed at anything nut the most favorable tax rates, which is that of long-term capital gains. For less forced taxable events, you may want the SCHD’s of the world in a retirement account, and the growers like VGT in an IRA. I prefer SCHD in a taxable account. I need to make a video about this soon.
Thank you for the detailed information. I don’t need much cash flow. I’m thinking of separating my cash into 2 portions. 1/2 schd, qqqm (don’t need for 15 years), 1/2 schd (85%) voo (10%), qqqm (5%). Just need very minimal withdrawals from time to time. I have enough passive income to cover all expenses and more. Any adjustments you would make?
I love America, but you're right, it is far from perfect. My wife and I put top priority on maxing out her HSA each year! The triple tax advantaged account is amazing. Trying to be as prepared as possible for whatever life hits us with.
Hi Jeff, can't believe that I just discovered you today. I love your ETF strategy. Steady, safe, sensible and long term. I do have a question, do you know a VGT equivalent that is Ireland domicile. Like CSPX for VOO. Much appreciated. I tried to research here, rather confusing.
Thank you for the kind words! I appreciate you being here. I'll be honest here, I do not know an Ireland equivalent. I don't like to throw out answers when I don't know what I'm talking about because I don't want to do more harm than good. Sorry about that. I think I'll put this on my to-do list: Educate myself about investing outside of the US.
You’re my favorite channel to go to for investing. But if I can kindly say, I leave early a lot of times because the music bothers me. I don’t know if that’s true of other people, but I would love to just listen to you without any of the music. Thank you for what you do.
Thanks for the question. I do think there will be a correction or recession. As far as when? I have no idea. It's good to have a nice balanced portfolio, including cash on the side, so we are forever ready to trickle in when the crash happens. I always dollar cost average in and stay to my allocations regardless of the market.
Hey Bruce! Thank you for the feedback as always. I do really like it a lot. I think the growth ETF (VGT) would be fine with QQQM or XLK as well (and there are more things, like FTEC, that work as replacements). It works well, because when VGT is down, like it was in 2022, with a total return of -30%, the portfolio STILL beat VOO. SCHD kills the yearly returns on 'most years'. I've had a lot of people ask 'why not just throw it away and roll with VGT / VOO'. That I say: 1) Way too much tech exposure to me without the counter-balance. It could get absolutely crushed in a bad market 2) Or, if you're young, it's not the worst idea I've ever heard as long as you never sell when it is beat up. I love that SCHD floor protects VGT or QQQM. Then throwing in some VOO is always a good idea in my opinion (even though it is the thing we try to beat, it doesn't hurt to 'partially join' the thing that destroys almost every professional over a 20+ year stretch).
Thank you for watching & for the feedback! I always have VOO or a traditional 3 fund portfolio to fall back on if things majority change. For now, let's continue to kick the markets butt for the 11th year in a row! (: The compound difference of a couple % of outperformance is crazy over the years.
Very relatable video Jeff. I retired in 2022 at 52 after figuring out that I value my time more than building our net worth. I went through my own spreadsheet and the numbers are similar to yours. Age 40 $1 million, age 47 $2 million, age 50 $3 million, age 52 $4million when I retired. We did go through the lost decade (2000-2010). Keep going, you might be surprised how fast you get to your goal. One thing I wished I had done was put more savings into after tax account and Roth. It would have given our famiily more flexibility to withdraw our living expenses when retiring prior to age 55.
Thank you for the encouragement Michael! Much appreciated.
Very cool on your early retirement! If I can even get ballpark close to your situation I’ll be a happy man!
I'm doing a marathon on your investment videos, I love ETFs, it's my go to investment vehicle, I can't choose individual stocks. I feel ETFs are less risky and maintains long-staying leverage to increase investment regardless of periods of downturns in the market, it always finds it's way back up. I'm subscribed to your channel, please do videos on sector ETFs for 2024.
Thank you very much for watching & for the sub! Means a lot. Going to try to get a variety of videos out in the coming years. At least 1 per week, and hopefully 2 most weeks.
So glad I found your channel! Thank you!
Thank you! I'm glad you're here!
In my brokerage account I take a similar approach regarding 50/50 split but I use SCHD/XLK. I love it! Holdings are similar
Oh man, that is incredible. XLK has been the king in the past 10 years. It is basically the 'VOO' of tech. Whereas VGT is the 'VTI' of tech.
They are literally tied over the past 20, but the big companies have been great in recent history (VGT adds the small and mid tech companies).
I may mix some QQQM into my portfolio eventually. But, it's to tech-down just a touch. I think XLK (and VGT) are better long-term, because I'm a future tech bull. BUT, I totally admit that's just strictly an opinion. Something to keep an eye on.
Short version: Your portfolio is awesome!
@@JeffTeeples that is a great analogy
Solid, Jeff!! Thanks for the insight!
Thanks for the feedback Todd. Much appreciated.
Jeff, Congrats on your portfolio!
I have my play account of $130k AND I have Merrill Fiduciary do the heavy lifting such as your total.
I’m not smart enough to chance that type of investing with that much money.
Me personally, that 0.70 fee at this time is worth it.
Hey Tom, thank you for watching. The good news is that you’re investing.
You’re smart enough. But nothing wrong with staying the course as you slowly learn more about this stuff. Once properly set up, you don’t have to ‘do anything’.
That 0.70% will add up over the years, along with the actively managed funds you are likely in. But it’s not a bad place to start.
New subscriber. Really good info. Best of luck with this channel!
Thank you for the kind words and the subscription! I appreciate it.
Excellent video Jeff. One of your best.
When I took the plunge mid last year I pretty much did it unilaterally as I knew I had to act. My wife has this irrational emotional fear of stocks so has always been resistant and scared. Took me a long time to educate myself and find a simple fact based time tested solution like this. So now I am making her watch your videos 😊. Lord knows I have tried to persuade and convince her and I wave the white flag - I failed miserably. So now Plan B. Outsource to Jeff. I really hope that listening to your sound advice will help her understand this is not gambling and overcome that fear. Who knew you would be a marriage councillor. Really appreciate the effort. I smashed the like button (again). Least I can do to say thank you. 🙏
Thanks Michael! I appreciate the positive feedback! I laughed at the ‘outsource to Jeff’ lol. I’m here to help!
Our portfolios will eventually crash in a correction or a recession. It is inevitable.
When that time comes, stay the course and buy buy buy! That’s the beauty about passively managed ETFs. They won’t go to zero like some individual companies will.
😂😂😂
I like your side by side Jeff I think a person would be very happy either way when they looked at there account 30 plus years latter they would be millionaires they did the hardest part consistently investing sticking to the plan ThankYou for all you do Jeff😊
Thanks for the kind words David!
Investors can nitpick about specific allocations and strategies, but at the end of the day, it's all about pumping more money into a solid system of low-cost funds on a regular basis.
If we do that for decades, we will win! Of course, it's nice to stay open-minded and to adjust as time goes, but the main focus is to be buyer and to let it ride for years.
keep pumping out those financial informational videos Jeff!!!! I see you have the Prime drink on your desk…. hope they’re giving you a nice sponsorship for this video….
Hey Kevin, much appreciated! No sponsors for me, that will maybe come in the future. You'll just see what I enjoy. And I LOVE these Prime drinks (hydration, not energy).
Now if Prime, Pepsi, Seeking Alpha, M1 Finance, etc hit me up one day... We're in business (:
But never something I wouldn't use myself.
Good job Jeff.
Thank you Roger, I appreciate the positive feedback!
I have bought this book ,will study religiously.But, your videos are easier to understand!
Thanks Brianna! I appreciate the kind words. I try to make them as clear as possible. Over time, I’ll cover quite a few of the principles I pick up from reading with a real world twist.
Amazing video 🎉 ! Must watch for folks who need clarity on investing in 2024
Thank you Vikram. Appreciate it!
Thank Jeff, very helpful video!
Hi Cindy. Thank you for watching & for the kind words. Much appreciated.
Such great information - Thank You Jeff. I am binge watching all your videos. I am seriously re-assessing some of my positions within my portfolio. Your portfolio is betting the market and is so manageable. My portfolio is OK, but not as good as your simplified process. Not many people would share all their personal investing formula and for that, you have my respect and attention. Please continue on - your fan base is growing!!!
Thank you for watching and for the words of encouragement. I really do appreciate it. I'm glad you're enjoying the content. I don't plan to stop for a long, long time!
Another great video. Glad I found your channel. Cheers!🍻
Thanks Scott! I appreciate the kind words, and I will definitely keep this thing going!
Thanks!
Thank you Brianna!
Good stuff Jeffe, I hope Ally watches this! I just liquidated my VTI with idea of converting to VOO and upping my VGT. I maybe should have done the entire conversion in the same day. Partially VOO'd up, but am now sitting on too much cash, with the market only going up and up. Busted!, trying to time the market a bit. But, cash at 5.28% is not all bad. Like hearing mention of SCHD as a (at least for now) bond alternative. I look at my REITs as also bond alternatives, and the current high MMA's rates. I am trailing your totals, and with too a similar ports, don't know how I will catch up!
Thanks for watching Karl. I appreciate the feedback!
You never know, this may be the year that you chip away at my portfolio!
Something tells me we will both be happy long-term with our strategies!
Lets just say I am so excited to be .954 of the way to my goal! Silly and meaningless, but just need to get past it and seems to be snowballing quicker than expected!
Looks like you're doing a great job with your method of great funds, time in the market, financial background, and you're an optimist. You know what they say, I never met a wealthy pessimist..lol It looks like VGT or IYW has been beating up VOO since about 2017 and now on overdrive with this Ai frenzy.
Thanks Gary. I know that there will be future situations where I will need to adapt on the fly. There is no such thing as the perfect long-term setup IMO. Some argue traditional 3-fund. Or a mix like VT + BND and take a nice nap. Or 100% high growth to make it big. Bitcoin. *insert a million other opinions.
I think a nice mix of low-cost, passively managed funds is the way. We will see what the future brings (:
If I HAD to pick just one ETF, I would roll with VOO. Thankfully, that's not how it works. Life is good!
Hey Jeff! Great videos, I glad you put me onto SCHD/VGT combo. Could you compare it to SCHD/SCHG combo in another video. Maybe even SCHD/MGK. There could also be SCHD/FTEC and SCHD/IYW
Hey Daniel! Thanks for watching and for the idea.
I am going to make a video about SCHG in the future. I will add a note to myself to include this scenario.
@@JeffTeeples awesome man. Thank you. 🙏🏽
Hey Jeff - excellent video - love your analysis. Having said that - I have tended to get queasy with the inflated level of the Dow and S&P more than a few times over the past 20 years. And, frankly - I now realize it 25 years later it has HURT me more than it has helped me. In early 2024 we are again at historically priced levels and I find myself pushing back against the "put all your hard-earned money into the S&P 500 or Dow" It's hard for counter-intuitive investors like me to do it. We tend to drift toward against the grain value pickers. Sad but true - I am one. Value investors have lagged ETF growth investors over the past 20 years - no doubt at all. Thanks again.
Hey Kent, thanks for watching & commenting.
I agree that the highs and lows of the market are impossible to predict. There is no doubt that we will see more corrections and recessions in the future. I know that my portfolio value will temporary crash when that happens.
Here are the rules I use for this.
1) I always make buys and sells at the same time if I'm making changes. Zero exceptions.
For example, I've long been thinking about having some QQQM in my growth section of my portfolio. IF I make the move to do it, I would:
Sell VGT & buy QQQM right away. Since it's growth for growth, my overall portfolio is the same (35% growth, or so), and it doesn't matter if it's high or low (sell high buy high or sell low buy low) as long as there is no time between.
I never try to time the market. Ever. Zero.
Same logic applies to my rebalance process.
2) I keep ~10% cash, and this automatically buys the dip. The cash is in a money market so it's always working for me.
When the market crashes, I deploy it into my portfolio to get cash back down to 10% (buying the dip without making a decision).
When the market skyrockets up, I'm naturally putting more new money into cash to get it back to ~10%. Aka, 'waiting for the dip' without making a decision.
These automated rules have me 'timing' the market (if you want to call it that) well without ever making a decision based on news / sentiment (both dangerous, and usually worse than flipping a coin).
3) I NEVER sell based on 'what I'm feeling the market is going to do soon'. However, the buys and sells take care of themselves with amazing 'timing' by sticking to allocations.
@@JeffTeeples Thanks Jeff - following your logic though it took a minute - makes a lot of sense. Don't want to assume - but I guess your cash and Jepq take the place of bonds?
@@kentfaver Cash, JEPQ, and SCHD.
For me, SCHD & JEPQ are the bond replacements. Cash is always there to use effectively in any market per the allocations.
They aren't exactly like bonds, of course, but will take that role and do it better IF we don't sell when things get bad.
Great video, Jeff. What about 30% SCHD, 30% GVT, 30% VTV, and 10% cash, which will be used to buy VGT when the price goes down. I think VTV is more convenient than VOO in such combination.
Hey Robert. I don't think that is a bad mix at all. I personally like VOO over VTV, *but*, that doesn't mean I'm right. There are a lot of ways to build and sustain wealth. All about dollar cost averaging money into the market and staying the course.
Hello 👋🏽 - Thank you for creating this channel. I thoroughly enjoy your videos + knowledge. Do you have a video on you screen for individual, dividend stocks? Your assistance is greatly appreciated 🙏🏾
Hey Jarred! Thanks for the feedback. I haven't released videos about that topic yet, but I'm planning to in the future! I run a (well, I pretend like I run an ETF for fun) that I call 'The HODL Factory' with my best friend. We have 25 to 50 dividend paying stocks.
We are ahead of VOO by 17.98% since we started in April of 2023. But that is an incredibly short amount of time, and who knows what the future holds.
I plan to release a video about the process of selecting stocks & what I screen for. I won't give the exact formula (it's 9 key metrics from the companies that are given unique weightings in a spreadsheet after the screener), but a high level, including the current holdings, will be shared. I'm hoping to make more content around this in the coming years.
@@JeffTeeples That'd be awesome and thanks again! Cheers
Especially the last ten years just matching the market would make you a better investor than most including myself lol. I now have my investing strategy locked down, VTI in roth and taxable plus an account with SPAXX, BLV and VCLT. (a riskier emergency fund)
Haha, thanks for the comment. I meant compared to myself hand-picking stocks. I guess I should have been more specific (:
In general, you can't lose rolling with VOO if you would like to beat over 90% of professional investors. But, the 50/50 mix has outperformed VOO each year.
I still do hand pick stocks, though, because it's fun. Those have outperformed VOO, but it is very early on and I may just be a lucky dude so far (:
@Jeff Teeples your Roth ira is SCHD and VGT at 50/50 or its SCHD VGT and VOO at 33/34/33?
My investments are in a lot of accounts. My Roth IRA is only about $15,000.
But overall, for my entire portfolio (combining 401k, Roth, traditional, taxable, HSA, etc) I’m about a third of SCHD / VGT / VOO. I try to keep those in balance as my ‘long-term investments’.
Hi Jeff, its a great video. I recently invested my 30k with VOO/XLK/SCHD at once and took out my money feeling market is going to crash just before the market bull run on Thursday Morning at a breakeven. I regret my decision and my money is on hold for 2 days and I couldn't invest in anything. I am beginner invester. This is my first time investing and very emotional for market ups and downs. I am constantly checking stock prices during my work hours.
Thank you for watching and for the feedback!
We have all made mistakes in investing, no doubt. Your mix is going to do an incredible job in the future.
Stick to your allocations and dollar cost average in. If you stay the course, it will be awesome.
Biggest thing is not to sell when it crashes. Common mistake. If it crashes, let it be, and if anything, buy more (or keep doing the normal DCA in).
I would’ve been afraid as well but you just have to invest it and let it
@@Northdallasguy00 Amen! Agreed.
what is your day job sir?!
I worked in accounting and finance for 13 years. During that time, I became obsessed with learning about personal finance on the side.
I left my job (financial analyst and planning manager) in July of last year. I am focusing on helping as many people as possible with this stuff now. We’ll see where I go from here.
One more question Jeff, Can you make a video on how to plan for Contingencies when the only member in the family loses job and if you cannot get it for even 6 months as the market is very tough ? This might not be applicable to most of your readers. But in tech if you are over 40 then you have to compete with Fresh Grads and offshoring also. For example is dipping into IRA is an option or selling your house and moving to a low cost area in case you can't get a job for 6+ months. Contingency planning should be important , right ?
Thank you for the feedback & question. Absolutely! It is extremely important.
I made a couple videos before about the most critical steps to take BEFORE investing a dollar in the market. An emergency savings (3-12 months of expenses is usually ball park what people need) and setting up a good budgeting system after that will go a long ways. Then, it is time to do investing, while still considering the different events, or potential events, in life. Having a nest egg is vital.
I'll try to think of a way to put a lot of these things together. I can get too specific for individual contingencies to where the video will not add value to the masses. I'll work on brainstorming. I agree with you 100%.
Hi, Have you paid off your house fully ? if not then when do you want to pay it off. Because my mindset is that I have been super conservative and I worry a lot about losing my job and stock market being 70% down in case of a 2008 like scenario. Please let me know of your thoughts.
Thanks for the question! Paying off your house early is a very personal choice. I don’t see a right or wrong answer.
For me, I do not pay any more than the minimum payments on my 30 year mortgage. I have 28 years remaining. 30 year loan (wife and I refinanced a couple years ago) at 2.75% interest.
I very likely will not pay an extra penny to the mortgage.
You mention a video with your individual stock picks with your friend but I don't see a link. Can you share it please?
Hey Robert. I haven't specifically shared the details of the HODL Factory (my name for the individual stocks), but I will be sharing more in the near future. It is now ahead of the market by 21% since inception. Perhaps just dumb luck (:
Ahh ok. Thank you!
One more question Jeff. The 10% cash you hold. Is that ready and waiting to deploy if the market drops to scoop up bargains or is that a contingency/emergency fund?
Great question Michael. It’s a bit of both.
I think it is very important to have a true emergency fund, and that is what I started with (in checking for me, so it was right there, but savings at same bank works). I always recommend at least 3-12 months of expenses, depending on your situation.
But… I don’t think the full amount should not be working for you.
As time went on, I realized I could make money on my money. So I moved to a buffer system. Usually we keep ~$5k in checking after paying the mortgage (and now I keep some in my business checking as well for this channel, which so far has lost a lot of money). When this breaks even, I’ll do the same 5k buffer system.
It’s fun because not buying the coffee or eating out at work ACTUALLY goes to my investments after paying the mortgage each month. When I used to have a job… say the checking was at $7,354. I would send $2,354 to E*Trade to be deployed.
Now, to actually answer your question, I do like to keep the E*Trade money market at about 10%. Makes the math easier (invest more or save if current MM is over or under 10%).
So ‘technically’ counting buffers, I’m a little above 10%.
Now it’s tough bc I never had to do moving around when I had a lot of new money. Still deciding when and how to rebalance on the fly. Can no longer do it naturally with new income.
I prefer QQQ over VGT due to the ability to sell options.
Thank you for watching & commenting.
I'm not an options guy, but I understand why QQQ is great for you.
For buy & hold Nasdaq-100, QQQM is slightly better.
You’re obviously a big fan of SCHD/VGT wombo combo, I have VTI thrown in for an evenly 3 fund. With VTI being more of a market equivalent, you think it would be better to be more like a 40/40/20 SCHD/VGT/VTI?
(I know you’re not a financial advisor, don’t stress, just want your honest opinion!)
Thanks for the question! I think adding VTI or VOO to any portfolio is a great move. Anyone from 1 to 100% is fine.
I personally do 33.3% of VGT / SCHD / VOO. I think replacing VOO with VTI is just fine.
Love the 40/40/20 mix you mentioned.
@@JeffTeeples interesting. That’s encouraging. There’s definitely been proof in the pudding! 😆
Is there a reason your prefer VOO over VTI? I know there’s a ton of videos out there lol.
Also… I signed up for membership yesterday but it seems like it hasn’t gone through yet?
Weird on the membership, I appreciate the support! I really do, I wanted to provide a low cost way to make this thing at least a little profitable long-term without ever having to promote products I don't believe in. It's like I'm a low expense ratio ETF (: It's not about making a ton of money for me, but I do still have two little kids and a house mortgage calling my name.
Not sure what the deal with the membership is. I don't see anything on my end.
As far as VOO vs VTI, they are 86% identical.
The 14% of VTI that is NOT in VOO is over 3,000 small and mid sized companies. These are a lot more volatile than the 500 companies in VOO. You catch the major returns of companies on the come up, but it is also full of busts.
I like the more stable nature of VOO (which has a 50 year history of 11%+ returns, and 100 year history of 10%+ total returns).
Last 10 years of total return:
VOO: 234.3%
VTI: 213.3%
There will always be reversion to the mean. I think VTI will have good runs as small and mid cap make up ground on the large cap companies. But overall, I feel VOO is more stable, less volatile (ironically), and a little better long-term. It is truly splitting hairs, and you can't go wrong with either.
@@JeffTeeples yes sir and you’re well worth the value, and then some!! Appreciate your work!
I’m sure it’ll show up in a day or two.
Oh okay that makes more sense. Upside and downside potential is the biggest thing, otherwise super comparable. I think I’m gonna reallocate and change to that 40/40/20 (SCHD/VGT/VOO) I mentioned on another comment.
This was a very insightful video. Thanks for doing it. You mentioned near the end that SCHD somewhat replaces a traditional bond in a portfolio. Can you explain how that works since you have no bond funds.
Hey Patrick, I appreciate the kind words!
I say 'replaces bonds' in quotes and somewhat lightly, because they are definitely not the same thing.
BUT
What I mean is that when the market takes a dive, like it did in 2022 when VGT returned -30% and VOO returned -20%, SCHD was almost flat (slightly negative).
So it has very comparative low highs, and high lows. It adds some balance to the portfolio to not get too high or too low.
SCHD has never had a total return of less than -6% in a year. Again, this could change if/when we have a major recession. But I think it will handle whatever happens a LOT better than VGT, QQQ, and VOO.
@@JeffTeeples Ah got it. The analogy makes sense. Thanks for the clarification.
Great content as always. What made you shift to VOO? I missed that in the video.
I tend to use a dividend as a bond alternate also (even though most are against it).
Also, how is schd treating as far a taxes?
Hey Dominic,
I never switched to VOO. My spreadsheet calls the S&P 500 index fund that our work 401k has VOO. Technically, I own zero 'VOO' right now, but it is what I'll hold as soon as the 401k is rolled over to an IRA some day.
I've always owned an S&P 500 fund, so nothing new for me. I just call all the S&P 500 tickers 'VOO' on spreadsheet, as it is my favorite and what it will be long term.
I think SCHD is a great bond replacement if, and only if, we remain buyers to all of our ETFs when the market takes a dive. So many people freak out and sell low. Then you never get it back. For people like that, bonds, money markets, and cash are better for so they can't overdo it.
SCHD dividends are qualified. This means they are taxed the same as long-term capital gains. 0%, 15%, or 20% (for high earners). It doesn't get better from a tax perspective.
@@JeffTeeples cool. I guess I got confused because I remember a previous video or two where you were saying 50% VGT and 50% SCHD.
I'm pretty similar to this 3 split you detailed in this video... but use a combo of VGT, VOO FSPGX, VUG, SCHD and VYM. Don't know how it will work out, but I love the Russell 1000 tracking.
For dividend its SCHD and VYM. I really want to dump the VYM for all SCHD but was scared of the taxes.
Thanks for the info and maybe in the next year it will be all SCHD.
@@dominichoward4833 ooooo, I see the confusion. There will be a lot of videos where I compare 50/50 SCHD and VGT to the market (VOO). That is my mix that I use to beat the market, in general.
But I also hold VOO as well. So my holdings are 33.3% each, but I often compare my ‘non-market holdings’ to the market to make sure it still makes sense to not just go 100% VOO.
Love your holdings, and completely agree with selling VYM to going all in on SCHD.
For taxes, you can:
1) Sell any tax lots that are at an unrealized loss
2) Sell any gains that you’ve held over a year. This is long-term capital gains. You can’t beat that tax rate regardless of how long you hold
3) If you do have short term unrealized gains, which is VYM that has appreciated in value, and that you bought under a year ago, you may want to wait until you’ve had it for a year before selling.
Short-term capital gains, stuff you sell before owning for a year, will increase your ordinary income, and be taxed at your (higher) marginal tax rate.
@@JeffTeeples I really appreciate your response and thanks for the additional guidance.
ThanX Jeff... Great video. What are your thoughts of holding these type of ETF's in a taxable brokerage account as that type of account can have unlimited funds put into every year vs retirement accounts funding limitations.
Hey Lance, thanks for watching and for the question. I’m going to make a video to address taxes soon.
The short answer is that I think ETFs that pay qualified dividends are great in both. For taxes, qualified dividends are treated as tax friendly as possible (tied with long-term capital gains). I’ll go into more detail soon.
@@JeffTeeples thanks Jeff. Looking forward to it.
Does rebalancing quarterly cause a short term sales transaction? Does it ding you at tax time?
Thanks for the question. It can if you're not careful. I will make a video to show how I go about this in the near future.
Jeff, Why don't you talk about International funds?
Thanks for watching and for the question.
I have a little bit in past videos. They are not part of my current portfolio, but I'm always watching them closely on the side. I'll be a little late to the party, most likely, but have made hundreds of thousands of dollars in the meantime.
And I THINK (I do not know) it will continue to be that way for the next few years.
I stay open-minded, but never follow the herd. To ignore INT altogether would be a huge mistake, one that I will not make.
What do think about XLK vs VGT?
Thanks for the question.
I think they are amazing ETFs that are interchangeable.
They are a lot like VTI and VOO. VGT and XLK have an 82% weighted overlap. The difference is VGT also buys small and mid size tech companies as well. VGT is like VTI, and XLK is like VOO.
Over the past 10 years, XLK has performed better. Over the past 20 years, they are identical on total returns.
Great video - do you have an excel template of the one you are using the video? Thanks
Thank you for the feedback.
I have a lot of spreadsheets for my specific situation. I'm going to make them in a format that works for any investor, and include them in my UA-cam Memberships when I figure out how to get it all together. Everything will be in the lowest (current tier). Working on badges and emojis as we speak.
Stay tuned.
What's popping my g
Wow, after checking the markets this morning, I think the answer to that question is bitcoin!
I have VGT and VOO. I love those two. What do you think of VTI?
Great mix Donna! You will be happy in years from now. VGT can go way up and way down, remember to stay the course with it.
I like VTI. I personally prefer VOO as my cornerstone holding, but VTI is a very viable replacement or addition to VOO for that section of the portfolio.
For 2024 I’ve been exchanging VOO for VTI each week in order to catch the upcoming gains in more med/small caps that aren’t possible with VOO. I want to have it completely replaced by the end of May.
@@misternobody9801 very nice! VTI is a great holding.
If you are carrying an unrealized gain on your VOO in a taxable account, be sure to hold it for at least one year before you sell for favorable taxes.
I decided to stay with VOO. It is a little boring, I know. VTI has bigger gains, but it gives me a little stress.
@@donnae1994 I roll with 100% VOO as well for my cornerstone section. Either one is great. Keep adding over the years and you'll be a happy camper!
Look forward to the Crypto videos. Have no idea where to begin. Thank you.
Thanks for watching.
I will be clear that I am NOT a crypto guru, by any stretch, but it will at least give you an idea of one way to go about it. I’ve read up on crypto, but still always on the fence of where I land.
Hi there , i invest in voo ang vug 50/50, for the long. Any thoughts?
Thank you for watching and commenting! VOO is my favorite ‘broad holding’, I refer to that section of my portfolio as the cornerstone.
VUG is solid as well. I prefer QQQM instead. The Nasdaq-100 is an amazing index over the past 39 years. I roll VGT, technically, because I’m a tech bull.
But QQQM is my favorite ‘growth index’ for multiple sectors.
Thank you. I just subscribed.
👌
I wish I had my membership emoji's finished to reply to this:
For now, thanks!
How did you know you beat sp?
I run backtests against the market.
The thing that makes it easier is that I keep my long-term investments at 33.3% of VOO (the market, cancels itself out), 33.3% VGT, and 33.3% SCHD.
The only discrepancy with your future portfolio outlook is there are going to be down years. And very likely your portfolio could suffer a 30-50% downturn. So it could take some serious time to recover. You’re not going to have 7% returns every single year. Yes, I know that’s an average but it’s time you have to look at. It’s going to take you longer than you expect to get that 7% average.
I agree the market will drop & that it will take years to recover fully.
Never sell when it drops. That is the one hard rule to have.
And this mix drops less than VOO, or the traditional 3-fund portfolio in the past few corrections. However, the future could hold a different result.
One thing is for certain, the market will drop, no doubt.
I would never give up my greater than $200,000 a year plus salary. You could be turbo charging your future
Thank you for watching! It was a tough decision. My dream is to help thousands of people put their high salaries to work. So it was worth it to me. I saw many 6 figure earners living paycheck to paycheck, and that wasn’t acceptable (:
@@JeffTeeples I agree. That is just insanity to me
Quitting a high salary career to start a UA-cam channel to save the world from it's lack of financial education is wild but whatever
@@cashoption2319 yeah, it sounds full of irony, but it’s the truth. I liked my job, but lacked the burning passion compared to this. Many more factors weigh in than money.
How about for retired accounts?
Thanks for watching and for the question.
Generally, the more cash flow you need in retirement, the more the portfolio needs to be weighted towards dividend paying assets.
A young person in 20s can roll heavy in growth ETFs and the market, and not worry too much about the market fluctuations. VGT, QQQM, VOO, and maybe a splash of SCHD.
Whereas retired folks that need cash flow will be much heavier in dividend paying assets like SCHD, VYM, DGRO, or even JEPI or JEPQ if the portfolio value can’t provide enough cash flow with the growth options.
As far as retirement accounts vs taxable, the differences are majority overblown, assuming the dividends in question are qualified. They will never be taxed at anything nut the most favorable tax rates, which is that of long-term capital gains.
For less forced taxable events, you may want the SCHD’s of the world in a retirement account, and the growers like VGT in an IRA. I prefer SCHD in a taxable account.
I need to make a video about this soon.
Thank you for the detailed information. I don’t need much cash flow. I’m thinking of separating my cash into 2 portions. 1/2 schd, qqqm (don’t need for 15 years), 1/2 schd (85%) voo (10%), qqqm (5%). Just need very minimal withdrawals from time to time. I have enough passive income to cover all expenses and more. Any adjustments you would make?
@@koufax174 that looks nice! I think you’ll do great you stay the course with those holdings for many years.
@@JeffTeeples🙏🏼
America is a great country but no national parental leave program after childbirth and poor health care which could wipe out retirement 😮
I love America, but you're right, it is far from perfect.
My wife and I put top priority on maxing out her HSA each year! The triple tax advantaged account is amazing. Trying to be as prepared as possible for whatever life hits us with.
Hi Jeff, can't believe that I just discovered you today. I love your ETF strategy. Steady, safe, sensible and long term. I do have a question, do you know a VGT equivalent that is Ireland domicile. Like CSPX for VOO. Much appreciated. I tried to research here, rather confusing.
Thank you for the kind words! I appreciate you being here. I'll be honest here, I do not know an Ireland equivalent. I don't like to throw out answers when I don't know what I'm talking about because I don't want to do more harm than good. Sorry about that. I think I'll put this on my to-do list: Educate myself about investing outside of the US.
thanks for replying regardless. I'm turning 50 this year. will start going all in on index fund with your guidance here:) @@JeffTeeples
You’re my favorite channel to go to for investing. But if I can kindly say, I leave early a lot of times because the music bothers me. I don’t know if that’s true of other people, but I would love to just listen to you without any of the music. Thank you for what you do.
Thanks for watching. I think the newer videos should get better with background volume.
Hi Jeff, the market is at all time highs. Do you think there will be a recession soon or a downturn anytime soon?
Thanks for the question.
I do think there will be a correction or recession. As far as when? I have no idea.
It's good to have a nice balanced portfolio, including cash on the side, so we are forever ready to trickle in when the crash happens.
I always dollar cost average in and stay to my allocations regardless of the market.
Hi Jeff - This is another superb video! Do you think the mix of VOO/VGT/SCHD is best way to weight a 401K portfolio?
Hey Bruce! Thank you for the feedback as always.
I do really like it a lot. I think the growth ETF (VGT) would be fine with QQQM or XLK as well (and there are more things, like FTEC, that work as replacements).
It works well, because when VGT is down, like it was in 2022, with a total return of -30%, the portfolio STILL beat VOO.
SCHD kills the yearly returns on 'most years'. I've had a lot of people ask 'why not just throw it away and roll with VGT / VOO'. That I say:
1) Way too much tech exposure to me without the counter-balance. It could get absolutely crushed in a bad market
2) Or, if you're young, it's not the worst idea I've ever heard as long as you never sell when it is beat up.
I love that SCHD floor protects VGT or QQQM. Then throwing in some VOO is always a good idea in my opinion (even though it is the thing we try to beat, it doesn't hurt to 'partially join' the thing that destroys almost every professional over a 20+ year stretch).
Very good approach while investing money
Thank you for watching & for the feedback!
I always have VOO or a traditional 3 fund portfolio to fall back on if things majority change.
For now, let's continue to kick the markets butt for the 11th year in a row! (: The compound difference of a couple % of outperformance is crazy over the years.
🤗