For those of you who think lump sum entry right now is not advisable or that current market levels are “too high”.

I present to you another way of thinking this complex lump sum thingy from my perspective.

Suppose like many of us, you built your portfolio over 2 years of DCA, 1k per month. Now you have to 100k.

If suddenly thru no fault of your own, StashAway accidentally liquidates your entire holdings today, say RM50k to 100k, and they promise you no fee / no charge buyback in any way you want, will you buy back everything as is in lump sum (and get back what you had)?

Or will you think that you will DCA again, split over some arbitrary comfortable time period?

See, whichever way you do you need to be comfortable (with self assurance that this is more profitable than the other way).

If you do think the “DCA” way is surely better, May I suggest you liquidate now and do it! The only reason not is you are confident it will actually go up more than down over time isn’t it?

I learned this over some investment newsletter r and books. As of today, I’m happy to rebuy anything I have, but this is a personal thing.

Interesting. But the question is do you have the same amount of holding (in shares or in $ value) if compared to before COVID was announced....either way what’s happen in the past is in the past...

And generally speaking, as of today will you liquidate and rebuy the same things immediately or will you DCA?

It’s very important you are comfortable. And that’s all that matters. Not more money or less money.

Some people just believe they can control the market.

Will the rate of exchange or the cost of buying those etfs be a concern?

Since SA would be buying in bigger amount than us,... Maybe they get lower brokerage charges than us?

Well technical yes except diy need quite some efforts. Also stashway will also rebalance and reoptimized. Key part is the re-optimized which involve selling over-priced etf and buy some etf that were deemed under-valued by stashaway. The timing that they perform that was hard to be mimicked.
Then u will not will need the will as it may clash in the distribution.
Thanks for the insights.

Potentially, but some problems:

1) Cannot buy fractional shares the way that StashAway can, so it gets very expensive very quickly unless you're loaded.
2) It's very tricky and expensive to balance and manage weights for so many different ETFs on your own, unless you're experienced, as you're juggling easily more than 7 ETFs
3) Exchange rates for currency and other potential fees might not work in your favor, which may negate any gains you get from not needing to pay fees to SAMY
4) SAMY reoptimises their portfolio every now and then which increases the cost and hassle because you'd need to buy+sell the relevant ETFs

Self buy ETF is probably only good for lump sum strategy with large capital, but loses out on flexibility of reoptimising.

If you want similar diversification but DIY it's better to follow Bogleheads' strategy of 2-4 fund portfolios.

Don’t expect a lot as Equity based ETFs will gives you on average 0.25% of dividends

What you need to look for gains in the unit pricing more important than dividends itself

If you want dividends you will better off buying REITs like IYR and VNQ directly

Btw, IJR and AAXJ dividends payout by next week into SA portfolio

According to SA, their own prescribed risk index (Value at risk) of 36% IS indeed matching and equaling the the S&P 500 Risk index (this is a well known figure you can just google it).

The logic is with equal risk (standard deviation) the return should be equal.

Now, the job of SA is to make sure the standard deviation remains the same at 36% Var, and if that is the case year in year out, then if your portfolio does NOT match S&P500, then there is really no point to give SA your 0.8% fee.

Back when KWEB shot up early this year, we handily beat S&P 500 for a few months. It means nothing now that KWEB is no longer erectile, and it also means nothing if not compounded over many years....so, as many investment cases, beating S&P 500 is over long period is indeed no simple matter. It is not impossible, just improbable. I believe we will match S&P 500 and outperform it in the long run by maybe 1-2% if we are lucky.

It does beat EPF, but there is no guarantee. The thing is, if you withdraw from EPF, you are subjecting your money to RISK. Now you are the only one able to gauge the worth of taking such a risk. TBH, I will never withdraw from EPF, as I always aim to squeeze my own income for savings and investments. That is a personal thing.

If I remember correctly, they added the 20% gold allocation in 2020, before this was different.

The ones who buy higher SRI near KWEB surge (in late 2020 to earl 2021) also ended up red by now 😂 my SRI 16% still holding quite steady even though i bought after the gold reallocation, mostly propped up by the good performance of IJR and XLV under US Equities sector.

Thanks!!! That code saved me RM300++ of management fees

login the app. Bottom right 3 dot "more" > "promotion" > "enter promo code"..

It depends on your deposit value and FX pricing

Anything less than 100USD will not feel the difference in the 1st place

For DCA it is better to do monthly lump sum as if the right time when market dips you buying a lower price with strengthening RM

2.5k/2 week, u 1 shot invest or u split daily?