VXUS

greytoc

For VXUS - IXUS or ACWX (if you prefer to track MSCI)

thats_taken_also

Any recommendations for similar holdings that would make for a good exchange from VXUS and ASHR for the purpose of tax loss harvesting? Thanks!

AP9384629344432

Yeah that's why I only have AVUV and not AVDV too for small cap value. The point on international diversification was separate--I think holding VXUS is important.

BadFinancialAdvice_

First off, I really really think you deserved that loss. Second, going 100% stocks is a bad idea. You can't handle the swings. So going 60/40 on stocks/bonds might be a good idea. Individuals stocks are out of the question so I would recommend VT or VTI/VXUS. And for the bond part any bond etf should do the trick.

camelCaseLaws

Investing in ETFs long term is an excellent idea, but don’t limit yourself to growth and use total market funds instead (VTI, VXUS, VT etc)

nutastic20

When I was your age I wish I was told that you can never time the market. Don’t buy compulsively, especially too many stocks. I would stick to a 4 fund portfolio and just shovel money into it and don’t sell no matter where the market is at. If you can invest weekly or monthly it can even be as little at $10 just be consistent. I would recommend investing in 60% VTI(total US stock market), 15% VNQ(Real Estate ETF), 15% VBR (small cap-value), and 10% VXUS (total international) so you have a hand in every market. Use M1finance you’re able to make a pie that will invest the money you set i or there funds. Remember don’t sell just because the market is getting hammered!

Still-Cell-9021

Listen just buy VTI and dollar cost at different intervals. It has sp500 +small and mid caps. That’s all you need. Unless you learn to be stock picker, smell an economic moat, understand debt and cash flow, and have some mad Buffet skills you just better off with VTI and VXUS for non US. You are all set. Maybe keep 10-20% aside for individual stocks. And 2-3% to yolo some options —-> pathway to gambling though so be careful.

Still-Cell-9021

Listen just buy VTI and dollar cost at different intervals. It has sp500 +small and mid caps. That’s all you need. Unless you learn to be stock picker, smell an economic moat, understand debt and cash flow, and have some mad Buffet skills you just better off with VTI and VXUS for non US. You are all set. Maybe keep 10-20% aside for individual stocks. And 2-3% to yolo some options —-> pathway to gambling though so be careful.

Previous-Beach4626

20% VOO, 20% IWM, 20% VXUS, 10% Apple, 10% Tesla, 10% BRKB, 10% Penny stock

AP9384629344432

Yep, that is very steep losses, so I would not liquidate your holdings (at least not AAPL and AMZN since those are great companies), but I would put future contributions into a low cost index fund. Clearly you have a high risk tolerance so I think 100% VT is just fine. (Or pick your favorite allocation percentage of VTI and VXUS).

Extropian

I own VXUS and I just have to fill out a couple extra fields. It's pretty simple if you use tax software.

stakkar

I've watched closely since the initial run up and read many DD posts that usually have a preconceived idea (squeeze is coming) and then takes a bunch of information to validate the idea. I even made my wife watch the youtube videos when that GME sea shanty came out. It might squeeze again, or it might not. I have no idea which is why I lump it in with gambling. Obviously the early GME crowd caught the hedge funds by surprise and did pretty well. Unfortunately, you're playing a rigged game where big money is very interested in staying rich without letting others make money off their schemes. While I have no evidence, I firmly believe other hedge funds saw the shitshow and started going long GME to screw over the citadel types. I'm sure they were able to sell at the peak though. I just watch from the sidelines with my money chilling in VTI/VXUS as I've added money continuously to index funds over the past 24 years. No need to gamble or have investments cause high stress. 2 years until the land of FIRE.

AP9384629344432

*VXUS stares motherfuckingly*

AP9384629344432

Lol thats my Roth exactly. Except I use a Target Retirememt Date fund so I have a 60/40 split for VTI and VXUS. I think that is a great play, I would personally up VXUS. VIG is a bit redundant but up to you.

frostynips12

So would 70% VTI, 10% VXUS, 10% VIG, and 10% SCHD be a bad play, or?

seceng123

VXUS and VOO are basically the same YTD. over 3Y/5Y/10Y VXUS has been crushed by VOO. "lower expected return " doesnt mean much just cz market valuations are high. if a business is solid in the long run it will give u better returns. SPY is the worlds top 500 cos , basically impossible to beat that.

ConcentrateOk523

International VXUS loses over last year to VTI by 7 percentage points. I would love for VXUS to outperform VTI by 10 percentage points in one year but will it ever happen with Japan and Europe not innovating. Investment theory also has small cap value winning and I own it in addition to VTI but again small cap value is behind VTI, but still much ahead of VXUS. I just cannot justify pouring any more money into international.

justpracticing

VTSAX, AAON, BRKB, and some VXUS. I've kept a little powder dry and feel like now is the time.

Uknow_nothing

I would slowly DCA into indexes, VTI and some VXUS for international. Then I’d buy 10k in iBonds which currently lock in a guaranteed 9.62% return but you can’t do anything with the money in the first year(it is locked up)

VMP85

DCA into VTI, VXUS, SOXX, and QQQM. Breakdown of investments allocations would be 25% VXUS- 70% VTI - 3% QQQM - 2% SOXX

VMP85

Let's assume this is across your entire portfolio. 25% VXUS - 72% VTI - 3% QQQM QQQM has a smaller net ER at 0.15% - QQQ has a net ER of 0.20%.

jetty_life

Without knowing what type of account this is, or the investment timeline, I'd say 80% VTI and 20% VXUS.

tbrownsc07

I am in VTI which is Vanguards Total Market Fund. Also got a little bit of VXUS which is the Total International fund just for shits and gigs.

Queasy-Mechanic9283

60%VTI 20% VXUS 10% AVUV 10% AVDV What do you guys think ? Thank you.

Unknown_Pleasures

35 USA. ~250k in this brokerage account What started years ago as a simple three fund portfolio has spiraled into this monstrosity that overwhelms me when I want to buy more ETFs. A simple breakdown shows me at 85% stocks, 10% bonds and 5% short-term reserves. BND 12% GOVT 8% VB 4% VBR 3% VDE 15% VFMF 4% VO 4% VTEB 4% VTI 19% VUG 9% VWO 6% VXUS 12% I typically just dump money into VTI but is there a better fund I should be focusing on right now?

_Amarok

Oh, that's a good tip! How does VXUS compare to VEU then?

KnownStuff

I do 60/30/10 between VTI/VTV/VXUS. You can buy VXUS for international exposure. VT is a 60/40 split between VTI and VXUS.

Uknow_nothing

Yeah I never claim it to be the best but it worked out in hindsight. 1. I shifted my strategy this year, opened a retirement account and starting putting most of my funds into VTI/VXUS. And 2. Apple was often my only gainer, and as dumb as it sounds I liked seeing it say I’m up 35-40%

chadly117

Just buy VTI and VXUS

sczoso85

Sorry to hear you lost money. Good news, though - you’ll be killing it in cybersecurity, likely starting around $100k/year. Stay focused with consistently contributing to a 401k/Roth IRA/HSA and enjoy retiring as a multi-millionaire. I also second @edblardo’s recommendation to join r/bogleheads. Many of us keep it simple with VTI/VOO + VXUS, adding bonds as you get closer to retirement. Minimize the highly risky stuff. You got this!

dpsht1

I just don't see 50%, at least not for a prolonged period. More like 20%+ for months to years. I could factor in a 99% drawdown, but historically that hasn't been the case for VTI. (I have around 90% VTI, 2% AVUV, and 8% VXUS) And I'm nowhere near retirement age.

AP9384629344432

I vote either VOO or VTI with a little bit of VXUS. Small/mid caps have been hit a lot harder, so there is more of a 'dip' for VTI. The international diversification is because 1. We could have a prolonged bear market in the US; 2. international has been on discount for a decade; 3. The Russian war will eventually end.

dontrackonme

USD is at generational highs right now. Perhaps it is time to go back into VXUS? just curious about your thoughts.

Laundry_Service

If you are buying standard fare index ETFs like VTI I would say buy back in and consider it a win that you'll be able to get significantly more shares than before. Several years ago I decided to get out of my international (VXUS) and so far haven't looked back.

accidental_tourist

Also a beginner so make sure you read more and make your strategy. But my thoughts are the market will grow again eventually. If so, then essentially everything I am interested in is at a discount ie taking advantage of the market by buying a substantial sum into etfs now when they are at a cheaper price. I see a lot of cases for VTI or VTI+VXUS which are popular because they are world etfs meaning diversified and safer.

BigBeaver223

QQQ BRK.B and KO if not keep adding to BND,VXUS,VTI

TheGreyCrayon1

Than my you so much for your detailed reply… I was wondering if there are other specific sector ETFs which are worth looking into.. Recently I came across SMH ( semi conductors ) or energy ETF or gaming ETF … or some other sector ETF ( I can’t think names right now ) … I have read through multiple post in various communities and I get that VTI + VXUS gives us complete list … Just wondering if there are sector wise ETFs..

AP9384629344432

1. If you insist on holding QQQ, do not want overlapping holdings, but want a globally minded stock market portfolio, I'd add something like VXF to get mid/small cap US stocks (in the appropriate ratio), and then VXUS for the rest of the international market. 2. If you want to keep QQQ, but don't mind an overlapping portfolio, I'd just add VTI and VXUS and then have a portfolio overweighting QQQ. 3. Sell off QQQ and buy VTI/VXUS (but this risks taxable events) The problem with 1 is that it misses the holdings of (SPY - QQQ). I'm not exactly sure how to get that part of the market in a simple manner without adding in an overlapping fund. You could do 2 but use SPY instead of VTI, but that really overweights the top companies. So personally, I would do 2, and if I decide I don't want QQQ, over time, slowly sell off QQQ and reallocate into VTI.

beavervsotter

My initial plan: panic, then VTI/VXUS, XLF, DGRO, and low beta S&P etf, FTEC, MTUM, whoever is closest to the 52 wk low get the paycheck that week. Whaddya think?

pmv8899

What’s happened the last week and even this year, shows why 90%+ of retail investors need to have the majority (at least 85%) of their total portfolio invested in low cost, well diversified ETS and/or mutual funds. Think VTI/VXUS/VT/FSKAX, etc. So many posts and comments in this sub start with something like “I am getting killed, when will it stop? My portfolio is 80% tech” or “I’m down 60% in stock xyz that I bought at the ATH, what should I do now?” Or “which sector should I rotate to and for how long?”

Mendezd8

Yeah, to give a shorter answer invest in ETFs. Itll give you more coverage and you won’t take as much of a loss due to it. You can ask on r/ETFs for options but theyll likely just suggest VTI, VT, VXUS combo. I am very new to investing so I do not know a lot but I suggest VTI itll give you like 4000 company coverage.

mennobyte

I mean, it would suck? You can't mitigate all risk, but having VTI/VXUS (or VT like the OP) will help mitigate it. My portfolio is currently balanced/has target based on total global economy. Right now the US makes up about 60%, and the rest of the world making up the remaining 40%, so this is how I have my allocation. If in the future if the US has a "lost decade" and becomes a smaller and smaller part of the global economy, my portion of VXUS would grow because that is where most of my new dollars would flow. I mean, at that point I'd be worried more about my own personal future more than I would how my retirement fund was going (see above) but it's literally the reason I have global funds in my index despite them "under performing" for the past decade or more. I'm guessing in that situation my shares of AVUV would be worthless, but I only have a small tilt into there and the stock market is always risk. It would royally suck to live through a lost decade on top of everything that's come before. But I'm not smart enough to pick the "right" way to avoid that, much less time when it will happen so I know when to get my money out. That's why I just try and track the global market as best as possible, because I am a pessimist

HumongousMoon

Absolutely. An alternative to VTI/VXUS is VT, which contains most of the world market according to market weights. It is a bit smaller than VTI/VXUS and has a slightly higher fee, but it is fairly negligible. Regardless, both VTI/VXUS or VT would be excellent choices for a long-term investment. Most people would recommend either 80/20 or 60/40 for VTI/VXUS.

HumongousMoon

Yes. I didn't mention it because you only mentioned VTI in your original post, but VTI and VXUS would be preferable.

electricnyc

So maybe VXUS and VTI for full diversification.

TheGreyCrayon1

Are there any other ETFs you guys suggest other than VOO / VTI / SPY / VXUS / QQQ Most of them are made of same companies and if we are looking to diversity in terms of ETFs what other options are there ..??

dfordumbazz

VTI - 20% VXUS - 20% SMH - 20% TSLA - 10% GOOG - 5% MSFT - 5% DIS - 5% BRKB - 5% KO - 5% V - 5% What do you guys think? Looking to hold long term around 5-10 years or so. I have about another 100% of CoH to average down or buy the bottom.

LastUsername

VXUS

didzey

Been waiting months to complete my first ever stock purchase and VTI was the one.Told myself it had to get to $200. Also brought VXUS.

dpsht1

I bought like 3% AVUV last year and it's actually done well. I'm contemplating doing a VTI 80% AVUV 10% VXUS 10% split. Or maybe AVUV 5% AVDV 5%. I might just be over complicating this though.

dpsht1

VXUS

ConcentrateOk523

VXUS is a dog in my portfolio. Tired of it underperforming and running out of patience.

VMP85

Assuming the majority of your total portfolio, across all accounts, is invested at least 85% in low cost, well diversified ETFs and/or mutual funds (think VTI and VXUS), you just keeping buying at your regular intervals. The people who are freaking out the most are those that bought at or near ATHs. Maybe they bought garbage like PLTR. Or maybe they bought NVDA at $345. The former will be waiting a long time, if ever to recoup their loses. The latter will eventually get back there, it will just take some time. In the last couple of years a number of retail investors expect their individual stocks to see double digit gains every month and that’s just not realistic.

mennobyte

Ask yourself why you chose those two ETFs (Disclosure, I invest in VTI/VXUS and AVUV, so similar). Do you think that they're smart decisions? Do you believe in what they're trying to accomplish. So for example with VT, it's following the entire stock market globally. I am super pessimistic so this is how I put it to myself: If VTI/VXUS absolutely tank and don't recover, the absolute SMALLEST worry on my mind in that future would be "What will my retirement be like" and it's unlikely that any stocks would really excel at that point (or if they did, they'd be in VT/VTI. ​ My horizon for investing is between 25-30 years (ideally) so if I don't think the market will recover by then, well... I shouldn't be worried about stocks. But like I said, I tend to think pessimistically. ​ If you think that a small cap value tilt is a smart move when markets are good, then it's still good now. Stay the course. If you think it's a bad choice, ask yourself why you thought it was a good choice and re-asses

AP9384629344432

*VXUS enters the chat*

AP9384629344432

In the long run, anyone who is mostly in index funds will have a prosperous investment experience. So this is not to say that those overcomplicated portfolios are terrible investments. On the contrary, they may still outperform most investors. That being said, investing is a daunting experience for many individuals, and the sheer complexity of getting started is a barrier. What more, those that do start investing may not understand how to choose proper weights. They might buy a little QQQ here, maybe a mid cap US fund, oh also utility is a good sector for bear markets, etc. Choosing a VTI + VXUS or VOO + VXUS portfolio is an easy way to come up with a default recommender system for new investors. Choosing allocations to ex-US stocks is simple (pick a percentage for VXUS). The weights of different sectors follow market-cap weights. A portfolio with QQQ and VOO require a bit more sophistication in choosing weights. How exposed to tech is an investor with 30% in QQQ and 10% in VOO? If it was just 40% in VTI, then the sector weight is an easy 0.27%, but in the former case, you have to start calculating some weighted averages. So this post was aimed at giving advice to new investors, not fine-tuning a portfolio for those investors with the experience/knowledge for that level of calibration.

Bergyyyyy37

This market has been quite a learning experience for me tbh I’m just going to continue DCA into VTI/VXUS and QQQ for the long run. I’ve kinda given up on averaging down on my individual stocks.

AP9384629344432

Yes, 2003 to 2010 investors could have looked back and saw VOO and proclaimed it dead compared to VXUS. That would be a big mistake. We must invest for the future, and global diversification is an empirically tested and safer way to be successful! What if a Japan happens?

Jarby316

VOO has ridiculously outperformed VT and VXUS over the last decade. I'm sure there have been decades where international stocks have outperformed the US markets, right? I'm 24 so I've only been investing during this massive post 2014 upswing

BanquetDinner

Fed put is dead (for now), inflation is raging, war has come to Europe, supply chain is in shambles, and interest rates are surging along with the U.S. dollar. And no, it isn’t priced in. S&P 500 is still significantly overvalued by any historical measure. If you want to buy something now, how about VXUS?

AP9384629344432

VXUS for sure, VXF is up to you. I just do VTI since I don't want the hassle of buying VXF too. BND I personally do not bother with since I am young.

AP9384629344432

Reposting other comment: It is not wrong but default recommendation systems should prioritize simplicity. The typical investor substantially underperforms indices since they try to tinker with it in suboptimal ways like timing or overweighting in odd ways. I think as a starter, VTI/VXUS is a good place for default recomendations, and the more experienced can go and fine tune to their own heart's content

AP9384629344432

It is not wrong but default recommendation systems should prioritize simplicity. The typical investor substantially underperforms indices since they try to tinker with it in suboptimal ways like timing or overweighting in odd ways. I think as a starter, VTI/VXUS is a good place for default recomendations, and the more experienced can go and fine tune to their own heart's content.

AP9384629344432

I think there is indeed a tax benefit to VTI/VXUS but I personally don't worry about technicalities like that. I don't think it makes a huge difference long run.

AP9384629344432

VXUS does not include US; it is the world minus the US. VTI is just the US. So if you want the whole globe, either buy VTI and VXUS in the appropriate ratio or buy just VT and be done with it. The only caveat of VT is that it holds slightly fewer stocks but they are of neglible weight for the most part.

kwalitykontrol

Why would you buy VTI and VXUS? Does VXUS not include the US market or just everything else?

dpsht1

I would only buy more international if VXUS hits $40.

AP9384629344432

Its redundant thats all. There is not an issue per se, but i think default recommendations should encourage few broad funds that capture the whole market. How do you pick allocations to QQQ vs VOO? With VTI and VXUS its easy, 80/20. But what is the correct rule for QQQ? A new investor will probably just make something up.

Uknow_nothing

I had a bit of a cash windfall early in the year and have been DCAing since March into VTI, VXUS, and a bit of an energy stock(XOM). I am still about 30% cash. Bought a few more shares today. I’ll drop it all in by the end of the year. I also am always putting more funds in from my paychecks.

Pequeninos

So I've already started to invest in VOO. You'd recommend adding VXUS and VXF (my drink)? I guess it wouldn't hurt to add BND too, right? Just want to make sure I'm following.

dpsht1

When people were getting into Arkk, last year I put my money into VTI/VXUS. I'm currently only down 3% on principal which isn't terrible all things considered.

journalctl

- VEQT and XEQT are basically the Canadian versions of VT, but they have a Canadian home bias which many (including Vanguard and BlackRock) think beneficial. - VUN is a Canadian ETF holding VTI. - VFV is a Canadian ETF holding VOO. - VXUS doesn't make sense for Canadians, but we have VXC and XAW (everything except Canada).

BryGuyTI

You put fresh money in every so often with that balance he stated (70% VTI, 20% VXUS, 10% BND). As time goes on, they will appreciate in value at different rates. Example - VTI is going up faster than VXUS and is now 78% of your portfolio. You will have to sell some VTI and add it to VXUS or BND to balance your portfolio. I say do it once a year.

AP9384629344432

Yep! Same for VXUS! But that is not an argument against holding them. You can't predict the future!

wertexx

Hey dude, I read your post and it was really good. As somebody new to investing (into indexes) this was a great ELI5. Looking to start with VTI and VXUS but am still hesitant whether to start now or... time lol.

wertexx

They are always a 'obvious buy' right? It's a bit of an awkward time globally with covid and war going on, but I'm planning to start investing shortly, with 15k to start with and continue adding monthly, mostly into things like VTI and VXUS. But am thinking when to start doing it, as everything is still consistently falling down. I know you can't time the market, but... no but?

AP9384629344432

The beauty of VT is in its simplicity. It spans the whole globe, just like a portfolio split between VTI and VXUS would. VT is a 60/40 split of US/ex-US, so slightly more globally minded than the typical 80% VTI and 20% VXUS commonly recommended. It captures the small and large, value and growth. The only optional addition is a sprinkling of bonds to reflect an investor's risk appetite.

AngryZigzagoon

I saw that right after I made my post lol. Thanks! That helps a lot. VXUS is exactly what I’m looking for. Great post!

AP9384629344432

VTI alone is fine, but please consider adding some international diversification (VXUS). It's a good way to reduce volatility in your portfolio and not risk relying on only one country's success. You can also just pick VT and be done with it. You should *not* buy both VTI and VOO, or VTI and SPY. These are redundant, as my post will show.

AP9384629344432

Start with I-bonds due to your timeline. Then build up a standard portfolio of globally diversified, low cost index funds (VTI and VXUS, or simply VT). Avoid the ultra-tech concentrated ETFs or individual stock picking as much as you can. 3-5 years is not a long enough time horizon for that money to be safe.

FancyPantsMacGee

I would invest in index ETFs (VOO, VTI, VXUS) while you learn more about the stock market. Once you learn enough to be comfortable making your own decisions, then invest in individual stocks.

AP9384629344432

VTI and VXUS are the obvious buys. I've been reading/watching more and more about factor investing and small cap value, so I'm thinking of eventually starting a position in AVUV. It's actually held up decently well through this bear market, showing its utility as a diversifier, and has generally underperformed compared to large cap stocks since the end of the recession. As a result, I think buying now is buying at a discount, and the current bear market is just a bonus. Diversification will be key through this market: bring up that international component, small cap value tilt, and perhaps some blue chip stocks at a discount for the fun of it.

DonaldTrumpsToilett

70% VTI. 20% VXUS. 10% BND. Rebalance every 6 months or so. Don’t do anything else until you read some books about investing. Even if you never read anything about investing you will be rich if you just do the above plan.

throwaway527678

VT has a high expense ratio compared to VTI/VXUS

jgermany1

Dude, VTI and VXUS is as diversified as you can get, >90% of active fund managers can’t even beat the market, what makes you think you can?

HumongousMoon

r/Bogleheads always exists. We mostly fight over VT or VTI/VXUS, and international allocation.

Flakmaster92

You are correct but I was using “growth” to refer to “stock price appreciation” rather than “income investing” aka dividends. Price Appreciation vs Income Investing And Growth vs Value Are two completely different debates on their own however the outcome is actually the same in both cases. Diverse across everything and don’t try to pick winners / losers if you aren’t an trained professional. VTI & VXUS or VT and call it a day.