old timers long exceeded 8%.
Just ignore the "noise", continue DCA

This post has been edited by blur19755: May 31 2021, 10:53 PM

sorry my bad I'm referring to 13-16% is 'annualized' return as projected in SA's website which I can compare in a year later. You're right, I would prefer consistent 8% return year after year. Any big market clash could wipe off those double digit return. My post here serves as my journey log in SA.

that's would be a dip in early March, right?? wouldn't the return be much 'positively' different since the equities have inched upward?

looks like the ATH was Mid Feb....if you had bought it in Mid Feb....you would have gotten at the peak

I am a grandpa here and I have to bring out my story again

I started stashaway in August 2017, it was red for me throughout 2018, then I got -23% in December 2018.

Guess what I did? Hodl, DCA. Way up green now.

Inspirational quote right there

16% annualised over 45 days is 2%. Now think about markets going up n down 0.2 to 0.6% per day sometimes and 2% per day once or twice in a year.

My 2nd part of my advice, don't analyse the market over short term helps me sleep at night.

Over the long term, yes everyone who invested long enough know the returns, annualized and compounded. It will be as stashaway advertised.

i would be very disappointed if SA cannot beat gold itself which is in my experience have been giving me 11 to 12% CAGR since 2002.

If you are looking at 8%, i would say that is rather low considering the SA risk in equities. 8% is not much difference from EPF.
There are some medium risk investments which yield around 7 to 8% pa.

7 to 8% with lower risk than stashaway? Do tell.

Gold while it does recently give a reasonable return does not have a great risk vs return, right? Sharpe ratio of 0.65 over 3 yrs.

In any case I'm well aware of the returns from stashaway. I've invested since 2019. But again to expect something above 10% over 20 years....thats something....

Bear in mind, gold is substantial portion of SA. Is 3 years long enough. My experience is 19 years and counting with gold. 11 to 12% CAGR.

Some SREITs get you 7 to 8% pa dividends not counting forex and share price increase.

If you cherry pick time frames, stashaway underperforms every conceivable asset class.

You pick just 2018, stashaway performed worse than your money sitting in bank.

Stashaway however manages risk well in uncertain futures. If you have an asset class you think can beat stashaway, you should put more monies toward there.

15 years time frame good enough?
i am just pointing out gold as a stabiliser in SA as pointed out by their CEO/CIO.
Now if SA cannot beat gold as a standalone, what does it tell you? i am just opening it up to the forum here as i have experience with gold.

i cannot use your last point as i have already substantial gold stabiliser due to my early investment in the asset.

So its a discussion point.

If SA cannot beat gold over 15 years, is it worth the risk? OR should you guys just invest in gold as a standalone?

Good discussion.

beating is one thing, many things beat gold too. Many things also beat stashaway, or S&P500.

Example Tesla, Amazon, bitcoin, rubber gloves. The metric one should remember is risk, or standard deviation. Tesla has a standard deviation that is 5 times of S&P 500. If you put so much value at risk, it means getting your high returns are barely justified.

Just by having it in the portfolio probably will NOT beat it....

When i first invested in gold in 2002, my goal was simple. Beat the FD rates of 5 to 6%. Which i believe it would.
AND it did.

So what is one's goal in investing via SA? 8% as many have indicated? So i brought in the issue of gold, which is a major part of SA's portfolio.

So i am sharing my experience of gold's return over 19 years. With that in mind, do we still wish for 8% from SA?

Discuss.

Oh, right, wanted to share something. I made a portfolio during my initial registration that I only put in RM500 once so I have easy access to the "trend" of the risk portfolio. Here's how it looks 3 months in.


And a quick update on the daily "DCA" meme portfolio. After switching to RM20 a day, I noticed it'll happily deposit 3-4 days consecutively a week, then choke for 2-3 days on the weekend. The buy-days is pretty consistent @ RM20, so I think the ~$5 purchase theory might still be true.

I am loving the bumpy line so much!



Both pictures are 36%

Edit: normal boring weekly DCA stair steps chart for comparison



This post has been edited by Hoshiyuu: Jun 1 2021, 01:40 PM

Wish - always match or exceed s&p 500.
Expectation : s&p500 is around 36% value at risk. Same as my 36% portfolio. With 99% confidence interval. Ie std deviation around 0.9% to 1% daily.
It has been tracked over many decades that it gives 8%, and 10 to 12 % recent decade.

you should be glad you're in positive TWR.. lol.. mine is SRI 36%.

My investment goal in general is just to be average, so 6~8% sounds great for me. 90% of all my investment is on boring "beat EPF rates" stuff - half of it is on a broad based ETF, half of it is in SA, so if either disappear overnight, however unlikely, I'd still have half. The remaining 10% is my thrillseeking allocation - speculations, cryptos, over commiting to china, etc, to keep me in check and not touching the real important part.

I'd like to think gold prices are just arbitrary value that other people holding it give them and JP Morgan decides, while every ringgit in stocks is behind a company that is trying it's best to not get eliminated by market competition.
That's why I don't like the idea of holding exclusively or majority gold. SA portfolio having 20% of my money in gold is just enough for me (~9% of total portfolio) as inflation hedge.

Probably a very pessimistic goal and outlook for someone who is just hitting his 30s, haha, so I know my line of thought won't be popular among others.

This post has been edited by Hoshiyuu: Jun 1 2021, 02:00 PM

At times.....

time of entry, holding period and the expectation of returns and time frame of measurement do play a part.....




Attached thumbnail(s)

Thanks for putting this up.
Yes, GLD has been providing annualized returns of perhaps 8-9% for the last 15 yrs.
SPY - 10% over last 15 yrs.

Backtest

I think, my hopes are anything above 2 digit growth, my expectation is 8%