Thread Rating:
  • 0 Vote(s) - 0 Average
  • 1
  • 2
  • 3
  • 4
  • 5
Is anyone here a nomad capitalist?
Author Message
[-]
  •
Bobmaher25 Offline
Stowaway
*

Posts: 3
Joined: Aug 2017
Reputation: 0
Post: #76
RE: Is anyone here a nomad capitalist?
Holding those will not help you diversify because the constituents of the country specific etfs are already included at market weight in for example VXUS or VT. If you buy the Hong Kong etf it means you are buying the same companies in two different funds. And the country specific ETFs will come at a higher expense ratio.

For example the top holdings in EWH include AIA GROUP LTD, CK HUTCHISON HOLDINGS LTD, and HONG KONG EXCHANGES AND CLEARING. All of those and more are in the FTSE index that VT tracks and therefore are in the fund already.

Adding the country specific ETFs is only if you want to overweight their representation in your portfolio because you believe those areas will outperform the overall market. In a sense making a focused bet on a country or sector is lowering diversification. It's probably ok to make a play like that with a small portion of your portfolio though if you really believe in those countries.
08-29-2017, 02:21 PM
Find Reply
[-]
  •
Tims Offline
Stowaway
*

Posts: 13
Joined: Aug 2016
Reputation: 0
Post: #77
RE: Is anyone here a nomad capitalist?
Thanks for that link. Will defiantly have a look. I hate taxes.
______________________________________________________________________________________
Fun and informative blog posts about Thailand and its vicinity. -> Goodbye Boring Life
09-09-2017, 09:19 AM
Find Reply


Forum Jump:


Users browsing this thread: 1 Guest(s)