Official Shiny Things thread—Part III

[12retire]

how to read yield chart

IWDA key statistics shows 5-years return - 6.28%

Is the 5-years return 6.28% annualised? .. meaning the total returns for 5 years is 31.4% ?

 

[tesarise]

Wait till it hits $50 and I win then.

It's still a better strategy than buying in over the past couple of years.

yup. I will congratulate you when you buy in after it hits $50.

 

[boroangel]

Hi Shiny Things,

Which would be the best ETF with low expense ratio to buy on IBKR that tracks S& P 500? Will be using USD to buy

 

[cassowary18]

Hi Shiny Things,

Which would be the best ETF with low expense ratio to buy on IBKR that tracks S& P 500? Will be using USD to buy

CSPX, but ST will tell you not to concentrate everything on US market

 

[moolala]

CSPX, but ST will tell you not to concentrate everything on US market

what's the dividend equivalent of CSPX?

is there a etf website that u guys use to find these gems?

 

[Shiny Things]

Hi Shiny Things,

Which would be the best ETF with low expense ratio to buy on IBKR that tracks S& P 500? Will be using USD to buy

what's the dividend equivalent of CSPX?

is there a etf website that u guys use to find these gems?

1) CSPX is fine if you really must overweight the US.

2) If you want the dividends paid out, VUSD works.

3) I find them by manually hunting through the iShares UK and Vanguard UK lists of ETFs.

IWDA key statistics shows 5-years return - 6.28%

Is the 5-years return 6.28% annualised? .. meaning the total returns for 5 years is 31.4% ?

Yep.

 

[streetfighter]

Not buying the small dip yet. I sold most of my stock ETFs a week ago & locked in about 50% profit & saved myself from about 20% losses since then.

Buy the dips, warchest dont mean all in.

 

[yellownova]

Noob question... If IB charges a monthly fee of USD 10, should we buy on the way down instead of just DCA once a month? I'm looking at my lump sum and wondering if I should 'DCA down' if that makes sense.

Sent from Samsung SM-G975F using GAGT

 

[lingalong]

Anyone having problems with the desktop/mobile IBKR?

Some of the guys are having issues getting quotes/placing trades due to probably high latency

 

[hwckhs]

IWDA key statistics shows 5-years return - 6.28%

Is the 5-years return 6.28% annualised? .. meaning the total returns for 5 years is 31.4% ?

The number you quoted is different from that on the official site - https://www.ishares.com/uk/individu...res-msci-world-ucits-etf-acc-fund#performance . This site shows both "Annualized", and "Cumulative" which is the total return you were asking.

You also calculated: annualized return x years = total return, which is incorrect. For example, if you have 5% return consecutively for 5 years, the total return is higher than 25%:
1.05 x 1.05 x 1.05 x 1.05 x 1.05 = 1.2763 = 27.63% total return over 5 years.

Usually people get the total return, and use a calculator or formula to convert it into an annualized number. See:

• https://www.fool.com/knowledge-center/how-to-calculate-annualized-holding-period-return.aspx
• https://www.investopedia.com/terms/a/annualized-total-return.asp
• google "annualized return" and "annualized return calculator" for more

 

[tangent314]

IWDA key statistics shows 5-years return - 6.28%
Is the 5-years return 6.28% annualised? .. meaning the total returns for 5 years is 31.4% ?

1.0628 ^ 5 = 1.35599 = 35.6% cumulative return over 5 years

 

[moolala]

1.0628 ^ 5 = 1.35599 = 35.6% cumulative return over 5 years

is that considered alot?

I think spy give about 10.8% annualised?

 

[Shiny Things]

is that considered alot?

I think spy give about 10.8% annualised?

Yeah, it's not bad! The US stock market has outperformed the rest of the world over the last few years, so it's not surprising that SPY has done better than IWDA, but that's not a guarantee that will continue.

 

[Purplestars]

yup. I will congratulate you when you buy in after it hits $50.

I will be waiting later Hahaha

Why not congratulate Zink now? He has already achieved the success worthy of congratulations.

 

[Shiny Things]

Anyone having problems with the desktop/mobile IBKR?

Some of the guys are having issues getting quotes/placing trades due to probably high latency

Pretty much every broker's systems are cracking under the strain right now. For what it's worth, I'm not having any problems on the mobile or desktop app, but I'm connecting to the Americas servers which are presumably a bit less heavily laden.

Firstly, this doesn't really matter much for most people! If you're just buying some IWDA, then just wait until the app is less laggy.

That said, if you're an active trader and the desktop app is laggy, try connecting to the American servers? On the login screen, hit More Settings, and switch your region from Asia to America, and see if that fixes it; the American servers should be less loaded during the Asian day. (Switch back once you're done for the day though, because American servers mean you have to round-trip across the Pacific.)

 

[tesarise]

I will be waiting later Hahaha

Why not congratulate Zink now? He has already achieved the success worthy of congratulations.

Because zink didn't declare that he "won"

 

[unknownplayer]

Any good bond etf to invest in via ibkr? I prefer to concentrate my investments to work towards the 100k.. Sold everything on scb early Feb except bonds and moved to ibkr.. I guess in the process of doing dca downwards but was one of the few that bought on the initial discount before the plunge this week lol

 

[drkcynic]

I know most here advocates and practices the DCA method.

But just thinking out loud, would it be better if one is to go full cash in situations like this? Take profit and wait it out instead.

Then start your DCA at some point in the near future.

I know people will say it's hindsight and all that but it is not hard to see the market dropping at some point with this virus thing going on, even before the actual drop.

 

[crystalnox]

I know most here advocates and practices the DCA method.

But just thinking out loud, would it be better if one is to go full cash in situations like this? Take profit and wait it out instead.

Then start your DCA at some point in the near future.

I know people will say it's hindsight and all that but it is not hard to see the market dropping at some point with this virus thing going on, even before the actual drop.

Sure if you can time when to re-enter at the bottom. But what if today’s price is the lowest it will go and the market miraculously decides to recover on US tax cuts? Then you would have sold low, and need to buy back again higher. It’s basically pure guessing on your part that the market can go lower, nobody knows for sure.

 

[drkcynic]

Sure if you can time when to re-enter at the bottom. But what if today’s price is the lowest it will go and the market miraculously decides to recover on US tax cuts? Then you would have sold low, and need to buy back again higher. It’s basically pure guessing on your part that the market can go lower, nobody knows for sure.

I am not saying we need to wait or time for the lowest point. But like i said, a drop is bound to happen at some point. Just walk around your neighbourhood malls, or/and read the news on the worsening situation to know the market won't continue to go up forever.

So take your money off the table, when you are comfortable, enter in batches and not all in, that will be the prudent approach.

I'm pretty sure some of those who have been DCA-ing would have thought to themselves that they should have seen it coming. It's painful regardless of whether you have a long term DCA approach or not.