Posted on 08 Feb 2021
STI ETF - $100/month, total holdings SGD$5500
ARKK/ARKW - total holdings USD$2000
StashAway (12% & 36%) - total holdings SGD$4500
Considering the following monthly allocation:
STI ETF - $100/month
ARKK/ARKW - $500/month (1 unit each)
StashAway/Syfe/Both - $400/month
Do I start investing in Syfe Equity100?
If yes, how do I allocate the $400/month? Do I choose either StashAway/Syfe or invest in both?
Or should I invest in something else entirely?
Like what thefugalstudent has said, there are many overlaps in the portfolio of syfe and stashaway. So you would not be diversifying.
You should probably look at what your end goal is for them and how long you plan to keep the investments.
If you can take more risk, you can liquidate all your stashaway and put it into syfe equity 100. This has the highest risk and return probability in the long term. If not you can leave them in stashaway 36 for some bond protection. The stashaway 12 seems abit redundant as it is very similar to the 36 just with less equity allocation but that is up to you.
08 Feb 2021
Thank you Justin for your response! Not sure if the following helps but I am 21 y/o currently, and looking to keep all these investments for the long haul (> 20 years) as retirement funds. Hence, I think I am definitely open to taking more risks and transferring my funds from Stashaway to Syfe.
Personally, I wouldn't invest in both StashAway 36 and Syfe Equity100 as they have a lot of overlaps. In that sense, it wouldn't be so much of diversification, but rather it would be spreading your investments out in different platforms.
If you want to use Syfe, perhaps you can consider their REIT+ portfolio. Even though there is a slight overlap of some REITs with the STI ETF, this overlap shouldn't be as big as with StashAway 36 and Equity100.
Alternatively, you may choose to pick other ETFs on your own - see which sectors/markets are lacking in your StashAway portfolio that you want to invest in.
Hope this helps!
08 Feb 2021
Thank you for your response! Should I then consider investing in Syfe Equity100 instead of Stashaway 36 moving forward since it has lower management fees? Instead of investing in both. Is there any other sectors/markets that you would recommend I should invest in considering my current portfolio?
08 Feb 2021
No problem! If you're comfortable with the Equity100 portfolio and risk level, then that definitely seems like a good move. The savings on fees will be huge in the long run. Since you are well invested in SG and US markets already, you might want to consider China markets or other emerging Asian markets. Also, since your US portfolio will be heavily large-cap weighted, you can also consider investing in small-cap ETFs. As always, do a bit of homework regarding these markets/funds before making any decisions! These are simply my opinions. All the best!
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