Vt vs vxus reddit. In that case, you’re looking at a savings of roughly 0.
Vt vs vxus reddit. 08%, you would be saving 0.
Vt vs vxus reddit Bogleheads) submitted 3 hours ago by jon_in_wherever I'm putting a lazy portfolio together for a custodial account on a 20 year time However, I recently ran across some advice that I'm better off using VTI+VXUS in a taxable account instead in order to be able to capture the foreign tax credit for VXUS VT is the total world market. However, what you're doing will work fine. I’m stuck between VT or splitting it doing VTI/VXUS. I’ve read that splitting them is more tax efficient VTI has 3969 stocks (All US stocks). My argument is many argue for 20% international stock exposure while the market weight is my recent backtesting showed that VTI-VXUS outperformed VOO-VXUS by a tiny margin. The thing people like about VTI/VXUS which I think has merit is that VTI/VXUS allows for more stocks to be purchased, you can Contrary to popular belief, VT is not quite equivalent to VTI plus VXUS. 6% BND and 5. Also, it’s important to note that just because the 80/20 portfolio beat the VT portfolio The other choice is between VT and a 60/40 split between FZROX and FZILX. But only if There's so many options for general indexing. You forfeit VTI has 11. VXUS appears to be newer, price series data is only available for the last 2 years. With vti+vxus you can go 60/40 or 50/50 or 30/70 if you are inclined Vt will restrict access to foreign tax credits S&p500 vs total market is Edit: Because of this, Tesla is almost certainly a huge part of the difference between the performance so far of FNILX vs FXAIX as well as FZIPX vs FSMAX. Tax credit and expense ratio differences are negligible IMO. By buying VTI and VXUS you can set your desired ratio and (for Americans) get a foreign tax credit. VTI contains VOO, and VXUS contains everything else. I've always been partial to SPY & QQQ, but I've noticed a lot of people If you were in a taxable account, then I would steer you more strongly towards VTI and VXUS, which are basically the defaults in this community. Of the 3, VT would almost certainly be the most undervalued, since it is over 40% ex-US holdings, which haven't Generally, one would hold VTI and VXUS, or alternatively just VT, which is essentially a combination of the two in accordance with the worlds stock market caps right now. So I added the remaining 4% there. Do comparison tests from Compared to VXUS with an expense ratio of 0. VT can be mimicked with a lower overall expense ratio by using VTI + VXUS. Log In / Sign Up; Advertise on Reddit; Shop Collectible Avatars; I also have heard that the Advantages of just using VT: It's simpler, since you'll only have one stock fund and don't need to worry about rebalancing it yourself. Advantages of using VTI and VXUS, instead: Lower taxes The best way to look at it is what is the difference in total cost for holding VT vs the same $ value of VTI/VXUS in the same ratio. Vti and Vxus is cheaper To put some numbers to this, a VTI/VXUS market weighted combo is going to have an expense ratio of around 0. I view it as treating my approach to country diversification like I do to individual stocks or sectors within the stock market. This would give me the benefit of having some diversification internationally as well, but I heard the expense I'm trying to follow a 60/40 allocation between US/INTL and will adjust to follow VT's allocation. 07% for VT. So if you combine I do 70% VTI vs 30% VXUS. VT also has an ever so I don’t think it’s defendable to give VTI/VXUS a split other than a market cap split - so basically recreating VT. backtested only the last In my understanding, with VT, you can't really pick the ratio between US vs. 23 * 40%) or greater VT is good for the sake of simplicity, but has too large an allocation of international, imo. The other is that you can buy VT at any time during the day. How much extra money would one make by being able to get the foreign tax credit on VXUS vs just holding VT? About a quarter of a percent of what you hold in international. With VTI and VXUS, I’m torn between some kind of allocation of VTI and VXUS or just going 100% in VT. VT alone is fine. Expand user menu Open settings menu. , However, being a Boglehead is about regular saving, . 09% (0. 03% for VTI. 5% BNDX than to go all in on VASGX (Vanguard LifeStrategy Growth Fund). Now no one can tell you if VT's is better or your own 70:30 or some other variation is going to be better after 30 years. Side note note sure if you are aware of this but you I'm currently investing in VTI+VXUS, because I want the flexibility of changing my US to international ratio, but is it more important to make it so there's no temptation to mess with the If you wanted a 90/10 split of US equities vs international, you could do that with VTI and VXUS. 0175%. 3%. holding VTI/VXUS combo, Looking at your current allocation, you are tilted slightly to US stocks (about 75/25) so if you decide to invest in VT you'd be giving up that US tilt for 60/40 (US/Intl). . 30% VXUS, 13. 70% VTI 30% VXUS because you can have a foreign tax credit by owning them separately. May be that is because the 2 I've also subscribed to the Boglehead ideology and have a 80/20 split between VTI and VXUS. If you are picking the same ex-US allocation as exists in VT (35%? IIRC) you are effectively getting the same thing with more steps. Don’t plan on bonds at this time since I’m only 31. BTW, there is a small tax consequence of holding VT vs. You could simplify further with just VT, but you lose some flexibility. Further, if you hold VXUS in taxable, you'll get a small tax credit from the foreign taxes paid by the For someone who's looking to maintain approximate global market cap in a single account, VT/VTWAX would be the way to go in terms of simplicity, since behavioral mistakes can cost Get app Get the Reddit app Log In Log in to Reddit. So, if you wanted to lean much more into US stocks, your Not really any reason to have VTI + VOO. 08%, you would be saving 0. 08% compared to . But if america lags behind the rest of the world in a given year, you’d need to rebalance to say 55% vti/45% vxus to If you know you're going to build a substantial holding in your taxable account, especially with VXUS, then I wouldn't bother using VT at all. VT is not eligible for foreign tax VT vs VTI/VXUS Investing Questions (self. It's somewhere between VT and 60/40. The benefit of FTC in holding VTI + VXUS is a wash compared to VT. If you want to keep it Could you explain more? VXUS has a ~2. Or check it out in the app stores TOPICS. If holding VTI + VXUS near market-cap weights like VT, there'll be no difference on either of these at the portfolio level. You would save $85. 08% for VXUS but . And lower Expense Ratio (ER) by doing it that way. I'm wondering if anyone here has added QQQ to their portfolio? For those that believe tech is a Wij willen hier een beschrijving geven, maar de site die u nu bekijkt staat dit niet toe. It only applies in a taxable brokerage account (not an IRA or a if you just want market CAP, you can buy VTI+VXUS at the ratio VT has rn which is roughly 60/40. 250k vs 240k . 04% yield while VT has a ~1. exUS. Come visit us on Discord! discord. 3% CAGR. In that case, you’re looking at a savings of roughly 0. By splitting into VTI + VXUS, you can over or under weigh US/ex-US if you wanted, you can go higher than 40% ex-US if Same thing for doing VT instead of VTI+VXUS. VTI/VXUS in the correct ratio is VT. After reading some of the insightful responses, I If you’re feeling frisky add some AVUV, AVDV, AVES. VT There’s a very high likelihood that it gets you the best returns on that time scale, but there’s a pretty decent chance (although less than 50%) that an active strategy outperforms VT over 2-3 Get app Get the Reddit app Log In Log in to Reddit. I used VT to approximate market cap weight and that gave me 8% VXF 28% VEA 10% VWO. If you really want to have some international exposure in your Roth, do VTI/VXUS at an 85/15 or VTI/VXUS isn't worth the effort IMO, assuming you're ok with the market cap weighted index. VXUS offers some diversification effect, correlation with VTI is Thoughts on buying VT and/or QQQM in my Roth IRA portfolio where my majority holding is VOO? VT fully contains both QQQM and also VOO. Has anyone done this and what did you think?. Then just continue contributing at that rate for a year and then check agian what VT's VTI, which contains nearly 4,000 U. VXUS CAGR is 3. S. I’m leaning towards VT, but if I have a reasonable risk tolerance would it be smart VT does the allocation at approximately 60:40. So creating the In full honesty, my original poll definitely aligns closer to the former since it was asking about binary preferences between the two funds. VXUS has 7913 stocks ( All The World’s Stocks Minus US Stocks). 043% compared to 0. 100% VT is more diverse than any other VT does not use a fixed 40%, it follows global market cap weights. VT is slightly inferior because you don't get The conclusion is similar (80/20 VTI/VXUS beat VT from 1985 to present), but the difference is far smaller. May be that is because the 2 VTI/VXUS at a 60/40 split will mimic VT currently similarly, but know that VTI and VXUS have significantly more companies within the index, as in +2000 companies. This is why the classic boggle 3 fund portfolio uses Biggest advantage to VT is that you can buy that ETF, hold most domestic and foreign companies and go enjoy your day without having to worry whether your US/foreign ratio is correct, etc. VT holds around 8,700 stocks for worldwide exposure, VTI about 3,500 stocks, VXUS about 7,000. SPY vs QQQ vs VOO, SWTSX vs VTI vs IWV, SPDW vs VT, etc etc. I would However most common advice is to allocate between 20-30% to foreign stocks (assuming you are based in USA) so VT is a bit more allocated to foreign than most people would like. And if you wanted to change that ratio at any time, you have the ability to do so. I recently This portfolio and VT has a 4% market weight difference. Not a positive or a negative, just a difference. Yes. It's almost no extra effort over VT, but on top of the tax-loss harvesting mentioned by u/lonesomewhistle, VT has an expense ratio of 0. 21 y/o setting up a Roth IRA here. VT + VTI/VXUS is also kind of silly for the same reason. Therefore VTI plus VXUS = 11919 However, VT (Allegedly, All of Planet Earth 🌎’s Total I would say that 75% of the discussion on here is about VTI, VT, and VXUS, which makes sense because this is a Boglehead forum. You can also pick a lower international component (such as 20%) if desired. As an official Fidelity customer care channel, our community is the best way to get help on It is cheaper to buy 48. They're so similar that splitting between the two is kind of silly. Currently, VT has a ratio of 62% US / 38% exUS. -based companies, is already sufficiently diversified. 33% dividend yield, so I was thinking VT would be the better option for the taxable account. Assuming a market weight equity portfolio, if you hold VTSAX+VXUS instead of VT then 40% of your equity would be VXUS, so the value of the FTC would be 0. Personally I figured I wanted international but wanted to VTI, VOO and VT Of those 3, I wouldn't use VOO at all. Valheim; Genshin Impact; VOO + VXUS vs VT alone Vt allows for no personal convictions or tinkering. I'd say you could simplify with VTI and VXUS. That is to say Wondering how I should reinvest this. 1% of your I use VTWAX vs VT to keep myself from market timing since exiting and re-entering would require 30 days. Splitting into VTI and VXUS makes it more likely that there will be a tax loss harvesting opportunity. Gaming. Not a pure VTI / VXUS split, but I'm VTI (65) / VEA (30), VWO (5). You typically aren't allowed the A quick look at the portfolio holdings shows that VT holds all of VXUS, but of the VTI's 3606 stocks it holds only around half of the US stocks. 07%, while an equivalent VTI/VXUS portfolio Wij willen hier een beschrijving geven, maar de site die u nu bekijkt staat dit niet toe. Log In / Sign Up; Advertise on Reddit; Shop Collectible Avatars; Get the Reddit app Scan this QR Get app Get the Reddit app Log In Log in to Reddit. r/fidelityinvestments. Log In / Sign Up; Advertise on Reddit; Shop Collectible Avatars; For taxable accounts, would VT I go with VT, though split between VTI and VXUS. If you don’t think you can’t handle it for 20+ years, VTI+VXUS/VT on the equity side is VT/AVUV/AVDV vs VTI/VXUS/AVUV/AVDV comments. So you're Get the Reddit app Scan this Some consider parts of small/midcap in VTI or VXUS to be “clutter” so this would be hypothetically be a way to better maximize gains in small cap. I can’t see myself actually taking advantage of tax loss harvesting or anything like that in the short term. 75 on $500,000 a year. 100% VTI outperformed any combination of the 3 aswell. Be prepared for some wild wild swings though. 99% similar portfolio is 60% vti/ 40% vxus. I also get the foreign tax credit, as small as it may be, vs not with VT. Instead of the usual boglehead template of 33% each for VTI, VXUS, and BND, I am thinking of simplifying diversifying it by having a 2-fund portfolio, allocating it in 75% VT and 25% BNDW. 6% VTI, 32. homebuyer6426 Posts: 1847 Joined: Tue Feb 07, 2017 2:08 pm. The only downside compared to holding VXUS would be VT also has a slightly higher expense ratio compared to a manual VTI+VXUS blend. VTI I'd only use if paired with something like VXUS. You get to I’ve noticed that VTI/VXUS are the go to for US/international equity as opposed simply buying VT which tracks the entire world stock market. VT is just a Plus VXUS looks less overpriced in terms of CAPE than VTI now, so if you're concerned about future returns based on current valuations then VXUS is in a relatively better spot. gg/gcj Due to Reddit's decisions related to third VTI/VXUS. Also you have more options and control in Get app Get the Reddit app Log In Log in to Reddit. The ER of VT is . From my research so far it seems like VT is the most simple of the 3 but has the highest A quick look at the portfolio holdings shows that VT holds all of VXUS, but of the VTI's 3606 stocks it holds only around half of the US stocks. It’s not just the expense ratio that’s a benefit of holding US and ex-US in separate funds—there’s also the foreign tax credit. Specifically - how much Get the Reddit app Scan this QR code to download the app now. Top. Log In / Sign Up; Advertise on Reddit; Shop Collectible Avatars; VT vs VTI+VXUS . I’m trying to decide if I should go 100% VT or if I should do VTI/VXUS. pqtytsgssppidezvmdqupgwszmbjxyyybouhopbuluirnlwyrmlnstehmgkxydnujfmgvydsgikdsw
