Im looking to invest long term for my kids for a steady return, thoughts on this portfolio im pretty new to investing
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I would keep it simple and go with an all world equity etf, maybe a really small speculative stock/position no more than 2% investment.
VWRP, HMWO, FWRG all good options I think. That way you don’t need to think about any rebalancing.
Check them out on. www.justetf.com
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Hi there - I would say that PACW would be the cheapest ETF for world Equity Exposure which might give you the best returns over the long term.
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Agreed! A single world ETF with a low TER. I strongly recommend SPYI if you don’t have access to US ETFs. If you do, VT is the best.
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Yes, the PACW is a really good and cheap one! But it does not include small caps, which SPYI does 
bith are super good choices though.
Long term, this ETF falls below HMWO or VWRP, so yes it costs 2bp more or we save 5bps, but there’s a steady trend of a 3-4% underperformance.
Yes, because small caps underperformed compared to the large caps in the last 10 years, especially in the US. But there is no guarantee that this will be the case again for the next 10 years. Small caps have performed better than large caps historically, if you go back further than 10 years. Past performance is not indicative of future performance, so either scenario is possible. Personally, I rather invest in an ETF that captures the whole investable market. If small caps perform better, that percentage in the ETF will grow and the ETF will perform better than large caps only ETFs. If Small Caps perform worse, their percentage will shrink, minimizing the negative impact they have, but of course the ETF will still perform slightly worse.
In any case, the differences are small and the TER is higher (though not very high for both), so I think both options are a correct answer and not wrong!
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just realised this is S&P 500 not world so as you say VT would be better as it includes other markets than the US which at present seems to be quite volatile also the Expense ratio is 10 times PACW
Since you’re investing for the long term, especially for your kids, you might want to consider accumulating ETFs instead of distributing ones. They automatically reinvest dividends, which can help compound returns over time. This usually also helps defer taxes until the very end.
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