Regular Shares Savings Plans (RSS)
Asked by Anonymous
Asked on 12 Oct 2019
I'm planning to invest 200$ into something else, and I would say my risk appetite is medium. Is it better to just top up the 200$ into my current StashAway account instead of investing into another? What would you recommend for a beginner investor to work with?
You should consider and evaluate balanced and differentiated portfolios like All Weather or Asia REITs Kristals at Kristal.AI
First 50K Investment is at Zero Fee
Learn more from us here: http://bit.ly/36ci0yF
Do let us know your feedback - would love to improve over time.
Why not into the same StashAway for lower fees?
Diversify later when the monthly sum is much higher? maybe into different markets or different classes of assets?
Adding onto the discussion of other Seedly users here, you could explore cheaper robo-advisor alternatives and also consider options that can give you a greater variety of investment options. One such alternative is https://solutions.kristal.ai/seedlypost where the management fees are much lower (0%) for smaller amounts of investments.
Passive investment is a way you should definitely consider because the active approach is often time-consuming and usually does not align with DCA methods. Diversification would be your best ally as investing using an active portfolio typically adds unnecessary risk to your entire portfolio.
However, if you have some time on your side, you might want to consider exploring specific asset classes such as REITs or REIT ETFs as they are often a good option but that said, you should definitely consider what your broad investment goals are (i.e. Capital Appreciation, Dividends, Preservation or it could even be Education)
All the best in your investing journey!
My humble 2 cents:
I assume that you've set aside your rainy day funds.
What is the goal that you want when you invest $200? Would it be capital appreciation, capital preservation, dividends or..? Choose 1 only for it simplifies your decision process
I started my journey 10 years ago. Everyone was a beginner. Choose a tool that you understand the most because it reduces your investment risk. I invest in REITs currently because I want to receive my dividends
Agree with some comments here.
A beginner can consider ETFs for passive investing, stock picking is a skill and requires a lot of time and effort to read up which mostly cannot afford to unless it’s their day job.
StashAway will give you global exposure to the markets. However, eventually, you might want to move away from robo-advisor because the fees can rack up quite a bit when your portfolio is huge like in 6 digits? And by then, you’ve learnt enough to decide what a good global ETF is to you.
You can now consider investing in STI ETF for the local stock market exposure. After which, if you wanna bring down the volatility of your portfolio, you should consider buying into local bonds like A35 or MBH?
I believe in diversification. I would not top-up into Stashaway in your scenario. Why not try doing some dollar cost averaging method for funds instead? This would help you to get exposure into different assets and at the same time diversify your holdings.
See all 3 comments
14 Oct 2019