Autowealth 80-20 or Endowus 100% Dimensional (80-20) as well?

Hi Anon,

Pure indexing and taking a small-cap/value-tilt towards investing can be complementary. Ultimately it is more important to be consistent, diversified and be mindful of fees and cost when we invest.

On that note, we offer UCITS funds for our clients to minimise dividend withholding taxes, rather than use US ETFs that are tax-inefficient and subjected to two layers of taxes.

Hope this answers your question!

I don't know how AutoWealth allocates the 80-20. I'll tell you about Endowus.

The 80% I believe is in equities and 20% in fixed income/ bonds right? Amongst the 80% equities, it will be divided according to market (i.e., developed markets and emerging markets).

Because Endowus' investment philosophy is evidence-based, they will adopt a passive indexing approach for certain markets which may be widely regarded as efficient, and active management for other less efficient markets. Evidence shows that active management tends to underperform in US and developed equity markets, but for other inefficient markets, active management still beats indexing. This article on The InvestQuest and this webinar by Endowus will explain in more detail.

What you'll get is allocation of your cash into mix of equity funds and bond funds. Amongst the equity funds, you will see a distinction between developed markets and emerging markets.

Quoting from this webinar by Endowus, "Our investment philosophy relative to other roboadvisor is to have really broad-based exposure to global stock markets. Unlike other robo-advisors that may tactically allocate into specific sectors and geographies, we have exposure in up to 10,000 equities around the world."

Know what your personal approach is, and see if their investment philosophy is commensurate with yours.

I don't know much but when I read Endowus' articles and approach, I understand and identify with it—that's why I went with them.​​​