I restarted my investment plan fresh with Freetrade (I’ve been out the market proper for a while), and what a time to choose to invest haha! Blasted global market downturn has not been pleasant to look at, but then my strategy is 10+ years and I have no intention of cashing in my principle (unless a very good reason).
Anyway the damage is currently:
I have stated in other threads my plan, I want global exposure but I also want dividends. My strategy basically states “no matter what is happening in the market, hold good stock and ALWAYS get paid!”. By getting dividends (and holding good stocks) it’s a win-win for me; market goes up I win (double), market stays level I win (dividends), market goes down I still get paid so I win.
What is important for me really is not the individual stock I hold, but rather the quality of the product - this is why I am ETF all the way (for now). Some of the stock in my IUKD may be dubious, may not continue to pay out good dividend year after year - but the ETF is good (in my opinion) and continues to pay out, and also has been the least affected by the global shakeup.
Ask me this question again in a year and see where I am haha (fingers crossed).
Interesting how different strategies are. Thanks for posting.
On the downturn, the important thing is to keep buying stocks throughout the downturn. If you’re investing for 10 years, the coming year or two will probably be a good opportunity to get stocks at a discount. IMO we’ll see further corrections from this point.
I think we could all pick up some very good deals next year, the market could take a dip.
It’s been a little while, how is it going for you?
I also like dividend ETFs. Also because I like to get paid. No matter to where the wind blows
Came out of the ftse100 and world index etf (at a profit which was nice). still using dividend etf as a core income provider with the intention of picking individual stock in addition (etf are great but sometimes they invest in companies I don’t agree with, e g. Tobacco), also 25% of FTSE 100 etf is made up of only like 5-10 shares - with free trading I may as well just buy those shares individually. They say “be in the market”, which I agree with, however the ftse100 etf is more like “be in HSBC, BP and Shell”.
Also FTSE and global markets seem very high to me, whereas UK focused companies are down a bit and as I am accumulating over time so I would rather not buy at the peak.
Saying that I am down but that’s fine, because these are ftse350 companies and so should be fine in the long run, buy low sell high after all, but at the moment ftse100 feels more like buy high sell low (of course I could be wrong).