International Lifestyle: I work online. My business is set up in Romania, working exclusively with countries outside of the EU (primarily the US.) I travel (A LOT) it changes year to year, but I have an apartment in a Western European country and my partner is British, so I regularly bounce between the 3 countries... + the occasional flying across the pond for conferences and meeting clients.
I intend to retire in the UK, however, that is open to change. Brexit, work, etc...
Currency: Complicated. I get paid in USD, pay taxes in RON, spend it in RON, GBP, EUR and USD (Thank you TransferWise!) I have no intention to live in the States, however, I have accounts in all currencies, USD is my main one, and I would like to keep it that way.
Emergency funds: Enough to live comfortably for at least a year.
Debt: No debts whatsoever.
Desired Asset allocation: 70% stocks / 30% bonds? I'm finding myself more risk-averse because I don't feel confident in my choices.
Desired allocation to stocks outside your of country of residence: I have no desire to attach myself to RON. I have a Fixed Deposit Account with my Bank in RON and I'm looking at possibly getting some treasury bonds.
Up until a year ago I only looked at metals and real estate as a reliable form of investing - communism will do that to you. I have read the Bogleheads' Guide + devoured this forum inside out (you guys are amazing!) and I'm just so overwhelmed. It's a rabbit hole of acronyms. Most advice online is, naturally, directed at US citizens or regarding the US market OR just outdated. Laws and regulations keep changing, whenever I think I'm on top of something, I'm quickly proven otherwise.
As it stands, I have two big issues:
1. I don't know what I don't know...
2. I don't want to fall for analysis paralysis. I want to play the long game, compounding and simplicity are my BFFs. I have about 20 notebooks created with "potential portfolios" and pieces of advice collected during my research. I'm all over the place. Which is why I'm asking for help...
Here are the bullet points:
- I'm looking at investing $10,000 to begin with.
- Planning on using Interactive Brokers
- Hedged to the USD?
- ETFs domiciled in Ireland
- Definitely buy and hold (forget) for as long as it's reasonable. I want to maximise my future investment returns, so I'm gravitating towards accumulated ETFs
1. Lump-sum or slow drip?
2. There's a possibility that my parents will want me to invest some of their EUR. At a macro view, would the change in currency impact in any way my choices? I know IB allows you to hold different currencies, would it be as if I'm doing 2 sets of portfolios?
3. How new is too new when it comes to the inception date of an ETF? Based on what I've read here, you want to be looking for the established ETFs
Finally, I'm looking for both macro and micro level advice. Anything from "Focus on a single all world ETF or a two-fund all-world combination" to "AGGU is the best option for you + ...."
I've started diving into justETF, to get myself used to this type of research. This is one of the ETFs that caught my eye, could you please have a look and tell me if I missed anything? It looks as if it ticks a lot of my boxes:
iShares Core S&P 500 UCITS ETF (Acc)
ISIN IE00B5BMR087, Ticker CSP1, TER 0.07%
Inception Date 19 May 2010
Strategy risk Long-only
Fund currency USD
Currency risk Currency unhedged
Fund Domicile - Ireland
Distribution policy Accumulating
https://www.justetf.com/uk/etf-profile. ... 00B5BMR087
Thank you so much!