VWRA and call it a day or VWRA+ small caps and EM?

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vu8
Posts: 352
Joined: Tue May 29, 2018 10:15 am
Location: Columbus, Ohio

VWRA and call it a day or VWRA+ small caps and EM?

Post by vu8 » Sun Aug 04, 2019 9:24 am

Hi there, VWRA has 3256 stocks, This is way smaller than VT's 8228 stocks, is there something made by Vanguard that investors can supplement for non resident non US investors to Mimic VT or even surpass VT with VWRA+ something else? is there a percentage for VWRA+ something else(by vanguard)? and is it even necessary? Is it okay to just buy VWRA and chill?

Schlabba
Posts: 74
Joined: Sat May 11, 2019 9:14 am

Re: VWRA and call it a day or VWRA+ small caps and EM?

Post by Schlabba » Sun Aug 04, 2019 12:02 pm

vu8 wrote:
Sun Aug 04, 2019 9:24 am
Hi there, VWRA has 3256 stocks, This is way smaller than VT's 8228 stocks, is there something made by Vanguard that investors can supplement for non resident non US investors to Mimic VT or even surpass VT with VWRA+ something else? is there a percentage for VWRA+ something else(by vanguard)? and is it even necessary? Is it okay to just buy VWRA and chill?
Just buy VWRA and chill.

"FTSE All World Index

The index measures the market performance of large- and mid-capitalisation stocks of companies located around the world.
Includes approximately 2,900 holdings in nearly 47 countries, including both developed and emerging markets.
Covers more than 90% of the global investable market capitalisation."

The difference between 2900 holdings and 8228 holdings is 10% market cap.

msk
Posts: 1294
Joined: Mon Aug 15, 2016 10:40 am

Re: VWRA and call it a day or VWRA+ small caps and EM?

Post by msk » Wed Aug 07, 2019 1:47 am

Lovely! No need to watch out for dividends to reinvest. VWRA is basically the accumulating version of VWRD. Both even have 0.25% charges. So to check if there is any difference between owning 3000 stocks and 8000 stocks, all we need to do is to compare VWRD and VT since both pay dividends. Over the past 5 years VWRD appreciated by 19.96% and VT by 19.60%. I would call those dead equal... Buy VWRA and chill. Like for 50 years :greedy

Vision
Posts: 235
Joined: Tue Apr 02, 2013 3:16 am

Re: VWRA and call it a day or VWRA+ small caps and EM?

Post by Vision » Mon Aug 12, 2019 7:22 am

I'm also interested in this. VWRA seems to be perfect solution tax wise for EU investors. No dividend tax, because it is accumulating, Ireland based, low expense ratio, world stock...what more do you need?

silverex
Posts: 62
Joined: Sun Jan 07, 2018 1:05 pm
Location: Vilnius, Lithuania

Re: VWRA and call it a day or VWRA+ small caps and EM?

Post by silverex » Tue Aug 13, 2019 4:23 am

There are no complementing ETFs for VWRA currently, so just go with VWRA.

And you shouldn't mix VWRA (FTSE index) with MSCI World Small Cap and MSCI World Emerging Markets ETFs, as VWRA already includes MSCI emerging markets (more or less), and part of MSCI small caps too. More details here:
https://www.justetf.com/de/news/etf/msc ... vider.html

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BeBH65
Posts: 1461
Joined: Sat Jul 04, 2015 7:28 am

Re: VWRA and call it a day or VWRA+ small caps and EM?

Post by BeBH65 » Tue Aug 13, 2019 5:01 am

Depends what you want. :-)
VWRA can be sufficient.
(( I consider this a similar discussion as the disucssion between SP500 and TotalMarket for US investors))

VWRA is large and mid-cap for developed and emerging markets
... no need to add extra EM

VWRA does not contain small caps.
Those wanting to add SC could use iShares core MSCI world (WSML) - but this is certainly not mandatory - and mixing funds based on different indexprovider (FTSE and MSCI) is not ideal.

For the purists, you still lack Microcap Worldwide, EM SC and Frontier Markets All Caps. These make up so minuscule a portion of the equity market that it does matter.
BeBH65. (only an investment enthusiast, not a financial adviser, perform your due diligence). | Have a look at https://www.bogleheads.org/wiki/Outline_of_Non-US_domiciles

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