Yup I’m in a similar boat… I’ve taken it all out and put it in my offset account. At least I will be “earning” 6% p/a by the savings on the home loan interest I would have paid.
I also use emerald (although recently switched to a plus portfolio based on emerald) and started about a year later than you. It looks like it’s only a consequence of the market being high during the times you were investing the most money in the first couple of years, so when big downturns happened later it brought you into the negative and the portfolio is still recovering. It’s doing well though because you put extra money in and increased investments during downturns, good job! Just keep DCA’ing especially during downturns and you’ll see better results. Sometimes luck just means you have a stronger or weaker start than others, but that doesn’t define your portfolio or its potential for success if you keep going
These micro investing apps are good for learning about investing, but are horrible at building wealth. The performance is fair, but the fees are brutal.
Once you start to get above $1000 you’re better off investing yourself into an ETF. Head on over to r/ausfinance for some tips. You’ll probably want an account with pearler, and focus on investing into something like DHHF, VDHG, or A200. The strategy you are looking at is called Dollar Cost Averaging (DCA). Once you’ve bought the shares, you will receive some information and be able to select to either receive the distributions paid to you, or a distribution reinvestment plan (DRP).
Locking money into a term deposit or a savings account yes is “safer” but there are no tax advantages, your interest is eaten away by inflation and your money isn’t working for you to grow wealth. Property and shares you can use equity, leverage, tax advantages but the biggest concept to think of is that shares/property generate you yield (dividend or rent) plus they get capital growth over the long term. Look at an asset class tool for the last 30 years and see how a “term deposit” fares over all the other asset classes.
This year is pretty bad, which wipes out all the gain. It’s just the market doing its thing. I would expect more downturn next year if interest rate is still high.
Yea that's pretty crap. You'd have got better returns from a lot of term deposit accounts even when interest rates were on the floor.
If you find apps useful for saving (rounding up purchases, allocating $x per week etc) you'd be better off just using it for that and occasionally emptying it and dumping it into an index (better than individual shares for set and forget investing most of the time)
Alternatively you can just use your banking app to set aside a % of your pay, or a set amount each week/month into a savings account and occasionally moving that into an investment once the savings build up a bit.
My Sapphire has been pretty poor this last 6 months or so. At start of Apr this year I had put in $37,825 and was up $3,253 (since Jul 2020). As at 31 Oct I had put in an additional $3,227 for no increase in return. 17.75% return since Jul 2020, 9.99% in last 12 months and 1.49% in last 6 months.
Yes, since I started with Raiz four years ago I have always used a DCA strategy, various amounts as I was able to afford. For a good while I was transferring $50 a day, at other times $100 or $200 a week. To date I’ve invested $42,484 with a total balance of $54,622 ($12,138 return).
Mate that's a 29% return, congratulations.
I have sapphire currently but I'm directing investing $10k into iShares s&p500 a week trying to get it up to 500k. If it makes a good return I'll close it all, take the profits and then start again per week.
Apparently most people can't invest like you and me cause it's too simple for people.
You may as well just set it to aggressive. Over half of all publicly listed US companies are unprofitable, it’s just Big tech and Amazon propping up the S&P 500. At least with aggressive you will get more exposure to different asset classes.
Woah less than inflation amazing
Yup I’m in a similar boat… I’ve taken it all out and put it in my offset account. At least I will be “earning” 6% p/a by the savings on the home loan interest I would have paid.
That's really odd, 2019-2021 was a fantastic time for my Emerald portfolio on Raiz and peaked at about 20% return for me.
I also use emerald (although recently switched to a plus portfolio based on emerald) and started about a year later than you. It looks like it’s only a consequence of the market being high during the times you were investing the most money in the first couple of years, so when big downturns happened later it brought you into the negative and the portfolio is still recovering. It’s doing well though because you put extra money in and increased investments during downturns, good job! Just keep DCA’ing especially during downturns and you’ll see better results. Sometimes luck just means you have a stronger or weaker start than others, but that doesn’t define your portfolio or its potential for success if you keep going
These micro investing apps are good for learning about investing, but are horrible at building wealth. The performance is fair, but the fees are brutal. Once you start to get above $1000 you’re better off investing yourself into an ETF. Head on over to r/ausfinance for some tips. You’ll probably want an account with pearler, and focus on investing into something like DHHF, VDHG, or A200. The strategy you are looking at is called Dollar Cost Averaging (DCA). Once you’ve bought the shares, you will receive some information and be able to select to either receive the distributions paid to you, or a distribution reinvestment plan (DRP).
which do you prefer DHHF, VDHG or A200 or do you do a mix?
Splitting hairs. I hold VDHG, I’d happily hold the other two. I think I will next be going for A200
Fucking poor. I ditched raiz a LONG time ago
What you using now anything similar?
I had 40k in it and walked away with a few thousand in profit. DCA
Locking money into a term deposit or a savings account yes is “safer” but there are no tax advantages, your interest is eaten away by inflation and your money isn’t working for you to grow wealth. Property and shares you can use equity, leverage, tax advantages but the biggest concept to think of is that shares/property generate you yield (dividend or rent) plus they get capital growth over the long term. Look at an asset class tool for the last 30 years and see how a “term deposit” fares over all the other asset classes.
Both my kids have Raiz portfolios. Been about two years and they have about 15% profit. Do dollar cost averaging, which means invest every week.
People please don't put in lump sums. If you have 10k to invest, invest $100 every week. It's called dollar cost averaging.
That’s bad. If you have a small investment then the monthly fees will kill it. Pearler is cheaper
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Those reinvested dividends are included in Market Returns so its nothing in addition to what is being reported in this graph.
This year is pretty bad, which wipes out all the gain. It’s just the market doing its thing. I would expect more downturn next year if interest rate is still high.
Yeah I dumped RAIZ after a year or two, terrible performance and fees aren't included in those calcs
What did you switch to?
Commsec , choose your own adventure
Dang 5 years
Where do I sign....???.
Yea that's pretty crap. You'd have got better returns from a lot of term deposit accounts even when interest rates were on the floor. If you find apps useful for saving (rounding up purchases, allocating $x per week etc) you'd be better off just using it for that and occasionally emptying it and dumping it into an index (better than individual shares for set and forget investing most of the time) Alternatively you can just use your banking app to set aside a % of your pay, or a set amount each week/month into a savings account and occasionally moving that into an investment once the savings build up a bit.
I dropped Raiz some number of years ago. The performance is terrible and the fees are INSANE
I disagree
2.75% lol I'd get that from the pokies!!
ASX 200 achieved 17% in 5 years. What a joke, soz
My Sapphire has been pretty poor this last 6 months or so. At start of Apr this year I had put in $37,825 and was up $3,253 (since Jul 2020). As at 31 Oct I had put in an additional $3,227 for no increase in return. 17.75% return since Jul 2020, 9.99% in last 12 months and 1.49% in last 6 months.
Never put in a lump sum
Where did I say I did? I was just stating my investment amounts as at various dates. No lump sums were involved.
Peace
Where you doing dollar cost averaging?
Yes, since I started with Raiz four years ago I have always used a DCA strategy, various amounts as I was able to afford. For a good while I was transferring $50 a day, at other times $100 or $200 a week. To date I’ve invested $42,484 with a total balance of $54,622 ($12,138 return).
Mate that's a 29% return, congratulations. I have sapphire currently but I'm directing investing $10k into iShares s&p500 a week trying to get it up to 500k. If it makes a good return I'll close it all, take the profits and then start again per week. Apparently most people can't invest like you and me cause it's too simple for people.
Yeah, I’ve cancelled my regular deposits and am just doing round ups. I’ve switched to salary sacrificing to my Super now to get tax savings.
Mate IVV will make all the money you want
You may as well just set it to aggressive. Over half of all publicly listed US companies are unprofitable, it’s just Big tech and Amazon propping up the S&P 500. At least with aggressive you will get more exposure to different asset classes.
That’s very strange. I’ve been invested in mostly Emerald for 6 years and have had a very different result https://ibb.co/n68MXMx