I recently purchased $VANGUARD INTL EQUITY INDEX FUND INC TOTAL WORLD STK INDEX FUND ETF SHS(VT)$ as I believe that it is a good way to attain the average yearly return of the global stock market at about 7%.
This ETF is based on the FTSE global all cap index. This index is market cap weighted, which is something that I really like as it adds on to winners and cuts out losers without me having to sell and buy them individually.
This strategy would save me the trouble of adjusting international and US stock exposure ratios in my portfolio. Since it is impossible to predict the future precisely and accurately with complete certainty, a strategy that automatically allocates more resources to fundementally strong companies in the long-run would be beneficial and allow me to take a more passive and relaxed approach to investing.
I also like that it has a low expense ratio of 0.07%, allowing me to get a larger share of investment returns.
A downside is that it is biased towards large-cap stocks due to the very nature of the strategy and would not allow me to get a very high return as these blue chip companies are already mature and a slower growth.
Happy investing! [Cool]
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