Thanks for watching everyone! If you found this video helpful, then support my channel by giving it a LIKE and checking out my entire playlist of videos on investing with Charles Schwab! ua-cam.com/play/PLscTZuOqKWIy6s-3LSH2qNiNZW5tNIOMB.html
Not necessarily though there is a fair amount of overlap but that’s not necessarily a negative. Having a diverse portfolio is KEY; that being said my initial deposit of a hundred K has grown to over $720K in only just ten months :)
I lost a lot chasing individual stocks and I feel pretty stupid for not understanding how investing works. I have a double major in economics but I’ve been trying to make sense of the market. Well done on profits!!!
Keep it simple, buy things you understand, take some risk but don't try to shoot the lights out. I’m invested in equity index funds, ETFs and various high-quality stocks and use a CFA. On average, she takes 10% off earnings, but using *Lina Dineikiene's* system makes it much more hands-off. I conservatively follow her recommendations and market entry and exit points, and tbh this has quite increased my prospects of making money.
@@JakeBroe I do both. One account is through Intelligent Portfolios ( which is doing great), the other, I m going solo. I opened an IRA and I manage it myself thanks to your videos and suggestions. I'm doing very well and very satisfied with my picks . Thank you so much Jake, you are a well of great teachings.
Would love to see a comparison between Fidelity Funds, Schwab Funds, and Vanguard. Everyone vouches for Vanguard and I’m not attacking them, but I’m curious to learn about other options.
They are all low cost and reliable. I don't have anything negative to say about these three investment banks. With that said, Vanguard is just the largest, oldest, and most well-know, so I just go with them. Also I mentioned in this video, I like Vanguard's website how they organize them. It makes comparing their funds/ETFs just easy to do, whereas Schwab doesn't allow a "sort all" feature.
Great videos! I like that you get right to the point, quickly explaining each topic in your videos. Additionally, the subject of each video clearly defines the content. I've just subscribed.
@@franticzenster8140 Oh how things have changed. At the time Tesla hadn't been big enough long enough to enter the S&P500. It needed to prove it was a real company and not a flash in the pan like Peloton peaked at 51B (above the 13B threshold) but couldn't sustain it's value for a year. Or GME memeing itself into S&P with 23B peak (7.5B current).
Thanks for the very informative video, Jake. I’m really new to investing and don’t understand much of it. Is it a good idea to pick one of the ETF you mentioned to invest a certain amount on a monthly basis? I was thinking of opening a savings account but I’m wondering if this is a better alternative.
Is that a Seoul picture in the background? Btw love your videos... you've had a fan in Mexico for the last couple of months! Soon moving to the US so these videos have helped me so much. Seriously, you have no idea how thankful I am. Keep doing what you are doing.
Thanks so much for the praise Santiago! I appreciate hearing that! I keep my operation pretty simple and I don't get a crazy amount of views. I'm just trying to put out useful information for anyone looking to learn more. Also, that is Seoul. I lived in South Korea for 6 years. Good luck in the US!
@@Ashie10091 , you can buy Vanguard ETFs with your Schwab account because Schwab is a $0 commission trade brokerage now! You can do this because they are publicly traded on the New York Stock Exchange.
Hey Fernando! The process of buying stocks and ETFs are the exact same. It's the same interface to buy and sell. Check out my video on buying stocks with Schwab ua-cam.com/video/mwzhJ05ahS8/v-deo.html
That's awesome Harley! You can contribute up to $6,000 a year to it. The easiest and best investing strategy is to just put everything in an S&P 500 index fund. You can do this with Schwab by buying their Mutual Fund version called SWPPX. Go to the top, click Trade, then click Trade Mutual Funds and enter in SWPPX. Select Re-invest dividends and capital gains. Just keep buying in to this every time you have money and in 30 years you will be a millionaire! You can also buy the ETF version of this fund. If you want to buy Vanguard's VOO (no fee to do this) you can do that too. You can buy any ETF you want. In this video I would recommend SCHK, which is Schwab S&P 1000 index fund if you would rather have an ETF version than a Mutual Fund. They perform the same, but you can do different things with them.
I have so many questions because it's so much information and I have explored the website. I'm unsure if having fractional stocks (stock slices) i guess those are ETF's. I was curious about an Index Fund porfolio as well, is that worth investing money into while having stock slices as well?
Their core Index mutual funds are very competitive and very low costing. Best used for IRAs. Below are some popular choices: - SWPPX is their S&P 500 fund. - SWTSX is their total USA stock market fund. - SWLGX is their large cap growth. - SWAGX is the aggregate bond fund. Their only weakness is their Index mutual fund international fund SWISX. It doesn't include emerging markets outside the USA and underpetforms other brand choices. However, Schwab's ETF SCHF has far better performance.
SCHG is large cap growth while SCHB is a broad market which has almost every traded company in it. It’s a safer bet to focus on SCHB and keep a smaller amount in SCHG
I like any stock that had outperformed the S&P 500 the last 5 years. CSCO has, being both a growth and income stock. STX just looks like a dividend stock that does not outperform a low cost market index fund. I vote CSCO.
Hi Jake, Thanks for this great post ! Can you talk a bit about overlap, your opinion on it, for example, if you have different ETFs and/or index funds that include the same companies, whether this makes sense or not? Thanks.
It does't matter if there is overlap, it just means you are doubled up on your investment. For example, I individually own Visa, Mastercard, Microsoft, and Apple, but all 4 of those stocks are also in the ETF MGK, which I also own. Essentially I just own more of it while taking on additional exposure to other growth stocks i don't want to individually buy (Netflix, Amazon, Tesla, Adobe). Doesn't hurt, doesn't do anything special.
Hi Jake, because of your detailed walkthroughs, and everyman style (and G.Stephan's endorsement) I have settled on a broker. Please keep up the good work. I'll take a look at your Patreon too, thanks for making a difference.
Thanks so much for the comment and support Mick! At this time I do not have a Patreon, but I might set one up once I separate from the military. I am assuming you are now investing with Schwab. They are a great choice!
Hello Jake, thank you. I get confused as a beginner who wants to invest 20% under fixed income or dividend income and remaining stocks. how do we select which ETFs to invest like SCHAWB ETFS, VANGUARD, ISHARES, S&P500 , and so on. What parameters I should look while selecting the ETFs, could be dividend yield, constituents,….. I am sorry to ask many questions for each video.
It doesn’t really matter what company is issuing the ETF. I personally look at the expense ratio, 1 year and 5 year returns, divided yield and divided growth rate. divided growth rate is important and I personally think gets over looked sometimes. I also look at its top ten holdings, and the age of the ETF.
Thank you for sharing your knowledge as they are very helpful. One advice that I would give is to reduce the size of your face in the video. It takes up too much of the screen and it's distracting. Thanks again.
Great info Jake!! i dont invest in international usually but i am thinking i might put some in the Total world one, I like that US is in it too... VT ..
Another good vid man. I still do only a little present in International index. I did have an ETF that had Korea stocks because i believe in those companies. But they are closing it soon. But most International ETFS have everyone.
@@JakeBroe True, but I dont believe in the other companies they have in their index. I try to research whats in the index/etf to see if i believe in it. Rule 1 for me in investing if you dont agree or use or like the company you shouldn't invest in it.
Hey Steven! SPY is an ETF and SWPPX is a mutual fund. They perform the same, so it doesn't matter. Check out my video explaining the difference between a mutual fund and an ETF. ua-cam.com/video/GJkoAz7BYmU/v-deo.html
Great video. If you want to hold some cash to put into some of these etf’s/funds on dips in the market, would you put your cash in SCHI OR SCHZ instead of money market making nothing or is there another option you would recommend ? Thanks
Hey Richard! SCHI is all your really need for holding money in short term bonds. You'll definitely beat whatever a high interest savings account is offering. Cheers!
@@JakeBroe Hi Jake. Im so disillusioned by high yield savings rate (not that they exist) I have about 25k that I want to put somewhere for 3-5 years. I don't understand how SCHI is short term? Can I take my money out at anytime then?
@@kristinblanchard8463 , hey Kristin! Yes, you can take money out at anytime. When you buy shares of SCHI, you can hold those for as long as you like. You own shares of a FUND that buys short term bonds. Within the fund, the fund is continuously buying short term government debt that is maturing and anything it gains belongs to anyone who owns shares of the fund (people who buy SCHI).
I was watching the Vanguard Energy Sector ETF earlier this year. The ETF share price dropped 50% over a number of weeks while the underlying holdings of the EFT were up, not down. I now do not trust Vanguard ETFs. Can I trust any ETF?
Financialz are about to get rocked this earningz seazon! (my bad) I don't think they'll be cutting dividends so it might be time to buy! Or sell! Would be nice if they dragged consumer staples down with them.
Hey Jake, Are there a fees associated with holding shares in ETF's? Lets take SCHD - Schwab's Dividend ETF. Are there monthly fees or any type of fees associated with holding shares of this ETF? I've been trading stocks on Schwab for a couple years (since they had $4.95 commission for trades) but never got into ETF's. Is it the same as buying regular shares where there's no fees when going in but when selling Schwab takes a small percentage? Or is there additional fees...monthly or any type of fees while being a shareholder in the ETF? Thank you Jake.
Hye Micah! The ETFs have expense ratios, some as low as 0.02% per year. That is a very small amount! The expense ratio is what you pay to participate in the fund. Other than that, there are no monthly fees and buying ETFs is just like buying stocks. Cheers!
Awesome Info @@JakeBroe Thank you. So does this expense ratio come out of your brokerage account? Or automatically gets taken from your shares/investment into that ETF? Because, I'm wondering if I need to have extra $ in my brokerage account just sitting there. I hope that makes sense.
What are your thoughts of buying municipal bond funds specific with state municipal that one resides in to avoid paying federal, state and local taxes (on earnings/dividends)? Might it be better than corporate bonds or aggregated bond funds? Thanks.
Hey T Sizzle! Yes, people do this to save on taxes if they live in a high tax state like California. I guess it depends where you live if you think this is a good game plan! It's a great option if you are looking at holding bonds.
I’m very new to investing and it’s confusing to me. I just know that investing in the S&P 500 seems like a good idea. Do you think the ETFs you mentioned are just as good or better?
Hey Holly! Yeah, a lot of these ETFs all hold similar stocks and perform similar. They are all low cost and well diversified. Just pick one or a couple!
No, at private investment banks they call them target date funds. You can find Schwab's here: www.schwab.com/mutual-funds/mutual-fund-portfolio/target-funds
Hey thanks for this overview. I am new to investing and heard about ETFs and Mutual Funds but don’t know much about them. This really help me understand. I need to invest rather then using my account like a savings not doing anything in my account but just depositing a couple of months when I should invest it. 👍
you mentioned in the section about SCHK that schwab doesnt have an s and p index fund. but the SWPPX is listed as a schwab s&p 500 index fund in its description. is this not exactly what you were looking for when analyzing the schk?
SWPPX is a mutual fund, not an ETF. Mutual Funds are bought and sold only at the end of a trading day. Also, there are transaction fees for buying and selling if you use a broker other than the mutual fund's brokerage (Ex. buying SWPPX with a Fidelity account). I can buy VOO with a fidelity account and pay no transaction fees.
If you have a TSP retirement account, then you only have the ability to invest in their 5 basic index funds. I recommend the C Fund, that is the S&P 500 index fund. If you HAD an IRA with USAA, then that was transferred to Schwab and in that account you can buy and sell and invest in anything you like!
Hey Jake. Don't know if the question in the beginning of this video was from me but.... I have an even better question anyway. Is it safe to have all your holdings in a single brokerage? I know this is a rare case but it looks like SIPC will only cover $500K per investor, per type of account, not merely per account. I'm not super rich but I have to wonder how those folks protect their money.
Hey Richard! I googled it. The Securities Investor Protection Corporation (SIPC) was created to protect against the loss of customer assets at brokerage firms. SIPC offers protection of up to $500,000, including a $250,000 limit for cash, if a brokerage firm fails, and covers most types of securities, such as stocks, bonds, and mutual funds. In addition to SIPC, Charles Schwab & Co., Inc. customers receive an extra level of coverage. Schwab maintains “excess SIPC” insurance protection for securities and cash up to an aggregate claim amount of $600 million. So you are covered up to $600 million with Schwab. It could be less at other brokerage companies.
Unless you are in your 50s or handicap and unable earn a living, you should not put more than 10-15% in bonds lol. Index etf or stocks, focus on growth, switch to income/bonds when you retire.
Jake Broe Like a 401k? Yeah 100% stocks, especially if there’s “timeeeee” lol. Some people keep large amount of cash, more than 3mo emergency, so whatever that’s not invested should be in some type of bonds index or even low risk municipal bonds, but no more than 10-15% imo.
If you are going to start suggesting investments, it would be beneficial for your followers for you to do a video on the investment pyramid. At the end of a bull market, new investors aren't aware of how a market can go up or down, and how long a downturn can last. And your theory of global investing missed a lot. It's much more than U.S. companies doing business overseas. It also would help your viewers to tell them some key numbers to look at other than return over time. Net expense, yield, and risk would be good starts.
Jake Broe Yep! I want to thank you for posting these informative videos. Your videos are actually what made me open a brokerage account and begin investing. I’m working on swing trading some stocks to learn the basics, and invest for the long term. Your videos have definitely inspired me!
@@RemcoAlexanderPhD Ahh ok i understand, do you need to be actively trading in order to productivity invest into ETFs though or is there certain ETFs that can be ran like a passive investment. Thanks for the reply i appreciate it!
No, it is an ETF. ETFs are publicly traded throughout the day, and a mutual fund you can only buy in to and out off directly from the company at the end of the day. Check out my video on this topic to learn more: ua-cam.com/video/GJkoAz7BYmU/v-deo.html
I really like your videos and appreciate you for doing them. One exception. Charles Schwab is the worst. I don’t understand why you focus on them. 100% a time it takes forever to get a hold of anybody on the phone. Constant options mistakes ranging from selling short instead of taking covered call shares, and don’t get me started on the $8.5 million accidental fee they charged me on a $20 trade.
Thanks for watching everyone! If you found this video helpful, then support my channel by giving it a LIKE and checking out my entire playlist of videos on investing with Charles Schwab! ua-cam.com/play/PLscTZuOqKWIy6s-3LSH2qNiNZW5tNIOMB.html
I have a 3 fund portfolio but I have finally decided to invest in ETFs, alongside. I am looking at SCHD, VOO, XLK or SCHG.
Great picks! I like XLK & SCHD equally!
thank you! Actually would it be silly to have both?
Not necessarily though there is a fair amount of overlap but that’s not necessarily a negative. Having a diverse portfolio is KEY; that being said my initial deposit of a hundred K has grown to over $720K in only just ten months :)
I lost a lot chasing individual stocks and I feel pretty stupid for not understanding how investing works. I have a double major in economics but I’ve been trying to make sense of the market. Well done on profits!!!
Keep it simple, buy things you understand, take some risk but don't try to shoot the lights out. I’m invested in equity index funds, ETFs and various high-quality stocks and use a CFA. On average, she takes 10% off earnings, but using *Lina Dineikiene's* system makes it much more hands-off. I conservatively follow her recommendations and market entry and exit points, and tbh this has quite increased my prospects of making money.
SWPPX is Schwab® S&P 500 Index Fund
Isn’t that a mutual fund?
@@asscass2 Yes, that's true... it is.
Just invest in 1 swppx should be enough
SCHG/SCHD is possibly the best combo for wealth creation! Growth and Dividends!
Very good video, I presently invest in Schwab Intelligent Portfolios, seems to be doing well so far. Like SCHK and SCHG.
Awesome! I manage my own funds at the moment, but maybe in the future I'll check out Schwab's Intelligent Portfolios. Cheers Chas!
@@JakeBroe I do both. One account is through Intelligent Portfolios ( which is doing great), the other, I m going solo. I opened an IRA and I manage it myself thanks to your videos and suggestions. I'm doing very well and very satisfied with my picks . Thank you so much Jake, you are a well of great teachings.
Would love to see a comparison between Fidelity Funds, Schwab Funds, and Vanguard. Everyone vouches for Vanguard and I’m not attacking them, but I’m curious to learn about other options.
They are all low cost and reliable. I don't have anything negative to say about these three investment banks. With that said, Vanguard is just the largest, oldest, and most well-know, so I just go with them. Also I mentioned in this video, I like Vanguard's website how they organize them. It makes comparing their funds/ETFs just easy to do, whereas Schwab doesn't allow a "sort all" feature.
Jake Broe thanks for the response, all the best!
Thank you so much! So well explained for young investors!
You are very welcome! Thanks for the comment Pedro!
This is the breakdown I been looking for...Thank you!!
You are very welcome Friday x 2! Be sure to subscribe if you haven't already for more investing advice and tutorials!
@@JakeBroe I already did
@@fridayfriday6972 , welcome to the channel! Glad to have you with us!
Great videos! I like that you get right to the point, quickly explaining each topic in your videos. Additionally, the subject of each video clearly defines the content. I've just subscribed.
Welcome to the channel faahcue! I am glad to have you with us. I have more content on stock market investing coming soon!
This was very informative thank you very much.
SCHX-Schwab's vanilla large-cap-is pretty much their S&P 500 ETF (no licensing from S&P equals low expense ratios)
Yeah, the FAANG stocks are so large that all these ETFs more or less perform the same. Cheers Jason!
One major advantage to SCHX is Tesla. It makes up 1% of the ETF. SPY, VOO, and IVV do not have Tesla in them.
@@akin242002 That's a great point. The way S&P snubbed Tesla made me realize that the S&P 500 is more arbitrary than it markets itself as.
@@franticzenster8140 Oh how things have changed. At the time Tesla hadn't been big enough long enough to enter the S&P500. It needed to prove it was a real company and not a flash in the pan like Peloton peaked at 51B (above the 13B threshold) but couldn't sustain it's value for a year. Or GME memeing itself into S&P with 23B peak (7.5B current).
I really like SCHD 👍🏼 great vid!
Thanks so much JayDeem!
Thanks for the very informative video, Jake. I’m really new to investing and don’t understand much of it. Is it a good idea to pick one of the ETF you mentioned to invest a certain amount on a monthly basis? I was thinking of opening a savings account but I’m wondering if this is a better alternative.
Recently opened a brokerage account with Schwab. This has been very helpful, and I look forward to following more of your content. Great video!
Thanks Andrew! Glad you found my channel! Cheers!
SWPPX is Schwab's SP 500 fund
That is correct!
Is that a Seoul picture in the background?
Btw love your videos... you've had a fan in Mexico for the last couple of months! Soon moving to the US so these videos have helped me so much.
Seriously, you have no idea how thankful I am.
Keep doing what you are doing.
Thanks so much for the praise Santiago! I appreciate hearing that! I keep my operation pretty simple and I don't get a crazy amount of views. I'm just trying to put out useful information for anyone looking to learn more. Also, that is Seoul. I lived in South Korea for 6 years. Good luck in the US!
@@JakeBroe keep doing what you are doing. It's certainly helping me! Signing up for Charles Schwab checking and brokerage thanks to you!
Good rieview of Schwab etfs. I have been with Schwab for 2 years..... your Vids are great.....
Thanks Craig! I appreciate that!
Wonder if you can buy vanguard etfs in Charles swab account without fees( thought you could only buy their own swab investments)
@@Ashie10091 , you can buy Vanguard ETFs with your Schwab account because Schwab is a $0 commission trade brokerage now! You can do this because they are publicly traded on the New York Stock Exchange.
Excellent video. You've got some great content! Any thoughts on investing in Tencent Holding or any other Chinese tech/construction companies?
Thanks Eric! I don't know anything about Tencent Holding or any other chinese company really. They might be good!
Hi jake! Great video. Do you have a video on how to purchase any of these EFTs?
Hey Fernando! The process of buying stocks and ETFs are the exact same. It's the same interface to buy and sell. Check out my video on buying stocks with Schwab ua-cam.com/video/mwzhJ05ahS8/v-deo.html
I just opened a Roth IRA with Schwab and I have no idea what I’m doing but I want to start saving for retirement please help me!
That's awesome Harley! You can contribute up to $6,000 a year to it. The easiest and best investing strategy is to just put everything in an S&P 500 index fund. You can do this with Schwab by buying their Mutual Fund version called SWPPX. Go to the top, click Trade, then click Trade Mutual Funds and enter in SWPPX. Select Re-invest dividends and capital gains.
Just keep buying in to this every time you have money and in 30 years you will be a millionaire!
You can also buy the ETF version of this fund. If you want to buy Vanguard's VOO (no fee to do this) you can do that too. You can buy any ETF you want. In this video I would recommend SCHK, which is Schwab S&P 1000 index fund if you would rather have an ETF version than a Mutual Fund. They perform the same, but you can do different things with them.
Jake Broe Thank you for the reply greatly appreciate it! Yes I can max it out every year! I’ll go with SWPPX it seems the simplest.
Really appreciate this information. Thank you.
I have so many questions because it's so much information and I have explored the website. I'm unsure if having fractional stocks (stock slices) i guess those are ETF's. I was curious about an Index Fund porfolio as well, is that worth investing money into while having stock slices as well?
Their core Index mutual funds are very competitive and very low costing. Best used for IRAs. Below are some popular choices:
- SWPPX is their S&P 500 fund.
- SWTSX is their total USA stock market fund.
- SWLGX is their large cap growth.
- SWAGX is the aggregate bond fund.
Their only weakness is their Index mutual fund international fund SWISX. It doesn't include emerging markets outside the USA and underpetforms other brand choices. However, Schwab's ETF SCHF has far better performance.
Definitely a fan of SCHB
Schwab squad for life!
Great breakdown! Thanks for this!
You are very welcome Phil! Cheers!
Thank you sir. This was very helpful
Thanks for watching elegate! Cheers!
Great video. You are always very informative. Thank you.
You are always welcome, Pedro! Cheers!
I like both dividend and growth.
Me too, Daniel!
Opinion on Schwab vs Etrade for IRA and brokerage?
What about SCHX?
Great video! I really like SCHD because of the dividend. Now with SCHB and SCHG, is it really worth having both or are they very similar?
Hey Carson! Not really, there is a lot of overlap. It's up to you!
@@JakeBroe Looks like SCHK can be paired with them also. Thanks again!
SCHG is large cap growth while SCHB is a broad market which has almost every traded company in it. It’s a safer bet to focus on SCHB and keep a smaller amount in SCHG
Thank you for such a great video.
I love SCHD!!! Do you like CSCO or STX?
I like any stock that had outperformed the S&P 500 the last 5 years. CSCO has, being both a growth and income stock. STX just looks like a dividend stock that does not outperform a low cost market index fund. I vote CSCO.
I have SCHD on my watchlist.
Hi Jake, Thanks for this great post ! Can you talk a bit about overlap, your opinion on it, for example, if you have different ETFs and/or index funds that include the same companies, whether this makes sense or not? Thanks.
It does't matter if there is overlap, it just means you are doubled up on your investment. For example, I individually own Visa, Mastercard, Microsoft, and Apple, but all 4 of those stocks are also in the ETF MGK, which I also own. Essentially I just own more of it while taking on additional exposure to other growth stocks i don't want to individually buy (Netflix, Amazon, Tesla, Adobe). Doesn't hurt, doesn't do anything special.
@@JakeBroe Thanks a lot, Jake!
SCAXX - just announced 4/17/23 Can you explain this new Money Market Fund?
It is Swppx for 500
Yes, it is!
Hi Jake, because of your detailed walkthroughs, and everyman style (and G.Stephan's endorsement) I have settled on a broker. Please keep up the good work. I'll take a look at your Patreon too, thanks for making a difference.
Thanks so much for the comment and support Mick! At this time I do not have a Patreon, but I might set one up once I separate from the military. I am assuming you are now investing with Schwab. They are a great choice!
Hello Jake, thank you. I get confused as a beginner who wants to invest 20% under fixed income or dividend income and remaining stocks. how do we select which ETFs to invest like SCHAWB ETFS, VANGUARD, ISHARES, S&P500 , and so on. What parameters I should look while selecting the ETFs, could be dividend yield, constituents,….. I am sorry to ask many questions for each video.
It doesn’t really matter what company is issuing the ETF. I personally look at the expense ratio, 1 year and 5 year returns, divided yield and divided growth rate. divided growth rate is important and I personally think gets over looked sometimes. I also look at its top ten holdings, and the age of the ETF.
@@johna9994 thank you
Hi there , would it cost more to buy voo on the charles schwab platform than on the vanguard platform? Thank you.
Made 641.00 in a month on my 14k Roth I set up 👍👍 2019 2020. Swppx. S&P 500 baby
Nice!
Thanks Jake 👍
You are very welcome John! Cheers!
THANKS
Is there a way to contact you Jake for a brief convo?
Thank you for sharing your knowledge as they are very helpful. One advice that I would give is to reduce the size of your face in the video. It takes up too much of the screen and it's distracting. Thanks again.
Great info Jake!! i dont invest in international usually but i am thinking i might put some in the Total world one, I like that US is in it too... VT ..
Haha, that would definitely keep in as simple as possible! Also a great fund.
SWPPX is Schwab's SP 500 fund but yeah its not in a form of an ETF
Correct! The mutual fund option is still great.
Would you recommend buying it?
Chibi Yes, I would recommend investing into it (low expense ratio and holdings turnover)
Do more ETFS this stuff interesting
Sounds good! I have more investing videos coming soon!
Another good vid man. I still do only a little present in International index. I did have an ETF that had Korea stocks because i believe in those companies. But they are closing it soon. But most International ETFS have everyone.
Thanks KPG-Man! Most international stock index funds have Samsung, Hyundai, etc. You are still invested in Korea!
@@JakeBroe True, but I dont believe in the other companies they have in their index. I try to research whats in the index/etf to see if i believe in it. Rule 1 for me in investing if you dont agree or use or like the company you shouldn't invest in it.
Hi jake. i bought some shares in SPY on charles Schwab. Would you recommend also investing in SWPPX as well?
Hey Steven! SPY is an ETF and SWPPX is a mutual fund. They perform the same, so it doesn't matter. Check out my video explaining the difference between a mutual fund and an ETF. ua-cam.com/video/GJkoAz7BYmU/v-deo.html
Great video. If you want to hold some cash to put into some of these etf’s/funds on dips in the market, would you put your cash in SCHI OR SCHZ instead of money market making nothing or is there another option you would recommend ? Thanks
Hey Richard! SCHI is all your really need for holding money in short term bonds. You'll definitely beat whatever a high interest savings account is offering. Cheers!
@@JakeBroe Hi Jake. Im so disillusioned by high yield savings rate (not that they exist) I have about 25k that I want to put somewhere for 3-5 years. I don't understand how SCHI is short term? Can I take my money out at anytime then?
@@kristinblanchard8463 , hey Kristin! Yes, you can take money out at anytime. When you buy shares of SCHI, you can hold those for as long as you like. You own shares of a FUND that buys short term bonds. Within the fund, the fund is continuously buying short term government debt that is maturing and anything it gains belongs to anyone who owns shares of the fund (people who buy SCHI).
Love the video! Thank you ! I’m really new to SCHB
Thanks for the comment and support Vong!
No problem I’m getting a lot of knowledge from your videos :)
I was watching the Vanguard Energy Sector ETF earlier this year. The ETF share price dropped 50% over a number of weeks while the underlying holdings of the EFT were up, not down. I now do not trust Vanguard ETFs. Can I trust any ETF?
Good content! Thanks
Thanks for the comment John! Cheers!
Financialz are about to get rocked this earningz seazon! (my bad) I don't think they'll be cutting dividends so it might be time to buy! Or sell! Would be nice if they dragged consumer staples down with them.
Yep, dividends are getting cut and reduced everywhere!
Hey Jake,
Are there a fees associated with holding shares in ETF's?
Lets take SCHD - Schwab's Dividend ETF. Are there monthly fees or any type of fees associated with holding shares of this ETF?
I've been trading stocks on Schwab for a couple years (since they had $4.95 commission for trades) but never got into ETF's. Is it the same as buying regular shares where there's no fees when going in but when selling Schwab takes a small percentage? Or is there additional fees...monthly or any type of fees while being a shareholder in the ETF?
Thank you Jake.
Hye Micah! The ETFs have expense ratios, some as low as 0.02% per year. That is a very small amount! The expense ratio is what you pay to participate in the fund. Other than that, there are no monthly fees and buying ETFs is just like buying stocks. Cheers!
Awesome Info @@JakeBroe Thank you. So does this expense ratio come out of your brokerage account? Or automatically gets taken from your shares/investment into that ETF? Because, I'm wondering if I need to have extra $ in my brokerage account just sitting there. I hope that makes sense.
@@MicahManago From my understanding the fees are baked into the share price. You will not see any fee transactions on your account statement.
Great channel sir
Thanks so much Shaun! My next video coming out will be a full example on how to shorts stocks on Schwab! Be sure to check it out!
Thank yu so much
You are very welcome! Cheers!
What are your thoughts of buying municipal bond funds specific with state municipal that one resides in to avoid paying federal, state and local taxes (on earnings/dividends)? Might it be better than corporate bonds or aggregated bond funds? Thanks.
Hey T Sizzle! Yes, people do this to save on taxes if they live in a high tax state like California. I guess it depends where you live if you think this is a good game plan! It's a great option if you are looking at holding bonds.
I’m very new to investing and it’s confusing to me. I just know that investing in the S&P 500 seems like a good idea. Do you think the ETFs you mentioned are just as good or better?
Hey Holly! Yeah, a lot of these ETFs all hold similar stocks and perform similar. They are all low cost and well diversified. Just pick one or a couple!
Out of these - which 6 ETFs to pick for a dividend 6 fund ETF portfolio? Or do you recommend 4 or 5 find portfolio?
SCHX and SCHD.
Great list, I'll drop 20k into it.
You missed $SCHX and $SCHV
Great video. Very informative
Thanks Alex! I appreciate the comment!
Thank you
Is it a good idea to invest in all of them hold for example 10 ETF 5 growth and 5 dividend?
10 ETFs is unnecessary and overly investing. All you need is 2:
- SCHG for large cap growth
- SCHD for dividends with quarterly payments.
Can you buy Fractional shares (Stock slices) of ETFs in Charles Schwab?? How?
Unfortunately not yet, but I think Schwab will introduce this feature soon.
What would be comparable to the TSP "Lifecycle" funds in the Charles Schwab platform? Would that be ETFs like the ones you mentioned here?
No, at private investment banks they call them target date funds. You can find Schwab's here:
www.schwab.com/mutual-funds/mutual-fund-portfolio/target-funds
Hey thanks for this overview. I am new to investing and heard about ETFs and Mutual Funds but don’t know much about them. This really help me understand. I need to invest rather then using my account like a savings not doing anything in my account but just depositing a couple of months when I should invest it. 👍
you mentioned in the section about SCHK that schwab doesnt have an s and p index fund. but the SWPPX is listed as a schwab s&p 500 index fund in its description. is this not exactly what you were looking for when analyzing the schk?
SWPPX is a mutual fund, not an ETF. Mutual Funds are bought and sold only at the end of a trading day. Also, there are transaction fees for buying and selling if you use a broker other than the mutual fund's brokerage (Ex. buying SWPPX with a Fidelity account). I can buy VOO with a fidelity account and pay no transaction fees.
Interesting POV around 13:00.
Can you do a review on the Pledged Asset Line from Charles Schwab and compare it to others like Wealthfront
Hey GLA! I am not familiar with this, but I will look in to it. Thanks for the video idea!
Question. I have TSP roth and USSA(USSCX) mutual fund IRA. Can I invest to SWPPX too?
If you have a TSP retirement account, then you only have the ability to invest in their 5 basic index funds. I recommend the C Fund, that is the S&P 500 index fund. If you HAD an IRA with USAA, then that was transferred to Schwab and in that account you can buy and sell and invest in anything you like!
Hey Jake. Don't know if the question in the beginning of this video was from me but.... I have an even better question anyway. Is it safe to have all your holdings in a single brokerage? I know this is a rare case but it looks like SIPC will only cover $500K per investor, per type of account, not merely per account. I'm not super rich but I have to wonder how those folks protect their money.
Hey Richard! I googled it. The Securities Investor Protection Corporation (SIPC) was created to protect against the loss of customer assets at brokerage firms. SIPC offers protection of up to $500,000, including a $250,000 limit for cash, if a brokerage firm fails, and covers most types of securities, such as stocks, bonds, and mutual funds. In addition to SIPC, Charles Schwab & Co., Inc. customers receive an extra level of coverage. Schwab maintains “excess SIPC” insurance protection for securities and cash up to an aggregate claim amount of $600 million. So you are covered up to $600 million with Schwab. It could be less at other brokerage companies.
Well done. Where can I learn all of the terminology and acronyms?
Hey Virginia! Google and Schwab's website are what works best!
Unless you are in your 50s or handicap and unable earn a living, you should not put more than 10-15% in bonds lol. Index etf or stocks, focus on growth, switch to income/bonds when you retire.
If it is a retirement account and someone is under 50, I don't think they should have anything in bonds. 10-15% in a brokerage works for me.
Jake Broe Like a 401k? Yeah 100% stocks, especially if there’s “timeeeee” lol. Some people keep large amount of cash, more than 3mo emergency, so whatever that’s not invested should be in some type of bonds index or even low risk municipal bonds, but no more than 10-15% imo.
I want to buy Planet 13 stock a 420 company which app could I buy it from? I can’t get it from Merrill Edge app
I am sure you can get it on Robinhood.
If you are going to start suggesting investments, it would be beneficial for your followers for you to do a video on the investment pyramid. At the end of a bull market, new investors aren't aware of how a market can go up or down, and how long a downturn can last. And your theory of global investing missed a lot. It's much more than U.S. companies doing business overseas.
It also would help your viewers to tell them some key numbers to look at other than return over time. Net expense, yield, and risk would be good starts.
Thanks for the advice Sam! I am always looking to improve my content and this is a good start!
Are these ETF’s good for beginners
These are good ETFs for everyone! So yes, certainly for beginners as well.
Jake Broe great thank you. Now to work on my 60/40 bond stock split
Hi there , i thought swppx was the s&p 500 ? thanks
Hey mt! SWPPX is a Mutual Fund from Schwab. Everything in this video were ETFs from Schwab.
@@JakeBroe thank you sir , i am new to investing. Today i bought the first investing for my grandson.
I am an old guy and I have $1 million on the side where should I invest it for safety
I was on Charles Schwab sit did not see SCHB ETf. I saw the other seven
You didn't give the ticker symbol for the third one
google it, lol
At 9:17, I think you meant 10 years ago not 1 year ago haha
Good catch Gabriel! I definitely did mean 10 years ago!
Jake Broe Yep! I want to thank you for posting these informative videos. Your videos are actually what made me open a brokerage account and begin investing. I’m working on swing trading some stocks to learn the basics, and invest for the long term. Your videos have definitely inspired me!
@@gabe0721 , that's awesome Gabriel! I've got some great videos about investing coming this week. Be sure to catch them!
Isn’t SWPPX Schawb’s version of the S&P500?
Yes it is! But for whatever reason, they did not create it in ETF form.
Their large cap ETF is SCHX. It was created in 2009. SCHK was created in 2017. I can’t believe he missed this.
@@RemcoAlexanderPhD Is it worth investing in though?
@@RemcoAlexanderPhD Oh ok great, why do you perfer ETFs in a taxable account though?
@@RemcoAlexanderPhD Ahh ok i understand, do you need to be actively trading in order to productivity invest into ETFs though or is there certain ETFs that can be ran like a passive investment. Thanks for the reply i appreciate it!
I like the ETFs listed below:
- SCHB
- SCHX
- SCHG
- SCHZ
All solid options Mr. Berry! Cheers!
Isn’t SCHK a mutual fund?
No, it is an ETF. ETFs are publicly traded throughout the day, and a mutual fund you can only buy in to and out off directly from the company at the end of the day. Check out my video on this topic to learn more:
ua-cam.com/video/GJkoAz7BYmU/v-deo.html
@@JakeBroe thanks so much.
Im looking for a referral to open a new Charles Schwab account!
www.schwab.com/public/schwab/nn/refer-prospect.html?refrid=REFER6ZAQBDDP
Vanguard>CS
I like Vanguard Funds more, but I am using my Schwab brokerage account to buy them.
Thanks for the information on if I had 10k in 2010.
You are very welcome! Cheers!
wait wait wait
waiting waiting waiting
waiting for what
Woooooot wooooot!!!!!
w00t! w00t!
You need to slow down you talk too fast and give the ticker symbol
sorry, let me get you a full refund for this video right away!
I really like your videos and appreciate you for doing them. One exception. Charles Schwab is the worst. I don’t understand why you focus on them. 100% a time it takes forever to get a hold of anybody on the phone. Constant options mistakes ranging from selling short instead of taking covered call shares, and don’t get me started on the $8.5 million accidental fee they charged me on a $20 trade.
What about Etrade???
Great video thanks this has helped a lot
Thanks for watching Mike! Cheers!
Thank you sir. This was very helpful
Thanks for watching elegate! Cheers!