A road trip to financial freedom
| Financial freedom | Retirement | ETFs |
|---|---|---|
| TFSA | Offshore | Property |
| Markets | Investment terms | Fees |
Topic: Markets
It’s time to delve into some ‘index geography’. Once you can confidently point out where on the global equity index 'map' your ETF lies, knowing how to further diversify your global portfolio becomes a breeze.
While the unit trust industry has too many balanced multi asset funds, the ETF industry has significantly less to choose from. And maybe you're not a fan of any of the brands that put those index tracking balanced funds together. You'll need to do more research and it's clearly more work, but if you'd rather build your own multi asset ETF portfolio, this is how you go about it.
The FIRE movement has become obsessed with choosing funds with the lowest fees. But are we forgetting the main driver of portfolio performance - asset allocation? 2020 has been an excellent example of how different asset allocation choices can lead to wildly different investment returns.
There are two types of investors at the moment. The one group still has a smile on their face and go about life as normal. The other group looks like they've just been thrown off the bus. The difference between the two? The first group has not yet checked their investment accounts... How did this market crash happen? And how long will it be before life and our portfolios return to normal?