This 1 Thing Could HURT Your Trading 212 Portfolio!

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  • Опубликовано: 25 ноя 2024

Комментарии • 114

  • @Billclint-i8f
    @Billclint-i8f Месяц назад +110

    Achieving success requires on the steps you actively take toward it. Accumulating wealth involves cultivating positive habits, such as consistently setting aside money at intervals for robust investments. Financial management, often avoided by many, can later become a haunting issue. My hope is that anyone reading this finds success in their journey!

    • @Carolj-p9j
      @Carolj-p9j Месяц назад

      My portfolio has good companies, however it has been stalling since last year. I have approximately $200k stagnant in my reserve that needs growth.

    • @brenda-v7c3k
      @brenda-v7c3k Месяц назад

      I agree, that's the more reason I prefer my day to day invt decisions being guided by a invt-coach, seeing that their entire skillset is built around going long and short at the same time both employing risk for its asymmetrical upside and laying off risk as a hedge against the inevitable downward turns, coupled with the exclusive information/analysis they have, it's near impossible to not out-perform, been using a invt-coach for over 2years+ and I've netted over 1.5million

    • @franklyn-z1k
      @franklyn-z1k Месяц назад

      I've been thinking of going that route, been holding on to a bunch of stocks that keeps tanking and I don't know if to keep holding or just dump them, think you inv-coach could guide me with portfolio-restructuring

    • @brenda-v7c3k
      @brenda-v7c3k Месяц назад

      ‘Grace Adams Cook’ is the licensed advisor I use. Just research the name, you’d find necessary details to work with a correspondence to set up an appointment.

    • @brenda-v7c3k
      @brenda-v7c3k Месяц назад

      My CFA ‘Grace Adams Cook’ , a renowned figure in her line of work. I recommend researching her credentials further. She has many years of experience and is a valuable resource for anyone looking to navigate the financial market.

  • @TheDuke792
    @TheDuke792 Месяц назад +100

    Never realized how much exchange rates could impact foreign stock investments.

    • @OwenFlex
      @OwenFlex Месяц назад

      Exactly! It's not just about the stock performance, but also the currency.

    • @John-ww2fv
      @John-ww2fv Месяц назад

      I invested $10,000 in a promising Japanese stock, but when the yen suddenly plummeted against the dollar, my investment's value dropped to $9,000, even though the stock's price remained stable

    • @ThomasColt
      @ThomasColt Месяц назад

      Exchange rates can account for up to 50% of returns. Always consider currency risk.

    • @OwenFlex
      @OwenFlex Месяц назад

      Now you know why investors need coffee to stay awake to currency fluctuations

    • @GibsonJames-gr3on
      @GibsonJames-gr3on Месяц назад

      My financial advisor actually helped me dodge a currency bullet. We hedged against yen volatility, and my Japanese stock investment gained 12% despite the currency fluctuations.

  • @issiewizzie
    @issiewizzie Месяц назад +15

    Goodness I remember the exchange rate $2 to £1. Back in the day

    • @chrisriddell2800
      @chrisriddell2800 Месяц назад

      That’s brilliant for all the UK folks who been investing in US stocks since back then. Not only has their stock value gona up heaps so has the FX value VRs the uk pound.

  • @Petersworld77
    @Petersworld77 Месяц назад +8

    Hi Mitch, investors really need to understand this whole FX situation. The only thing that matters is the FX rate when you buy vs when you sell, everything in between is irrelevant. That is why when using justETF I review my gains in both GBP and the ETF currency. The gain in the ETF currency is the true gain and the GBP gain is the translated gain. Managing your sell timing is the important factor if your circumstances allow.

    • @kw8757
      @kw8757 Месяц назад

      The Vanguard US Equity Index Fund is denominated in £GBP for the share class, but the Key Investor Information says; "The Fund invests in securities which are denominated in currencies other than the share class currency. Movements in currency exchange rates can affect the return of investments". Does this mean that FX rates will affect the value of the fund at the time it was sold or are the FX costs incurred when the equities are bought and sold within the fund?

    • @Madmak121
      @Madmak121 Месяц назад

      Yes

  • @imconfused1237
    @imconfused1237 Месяц назад +7

    The effect of FX always has to be considered however, it would be foolish to structure and limit a portfolio to only hold domestic assets. It should simply be viewed as a necessary operating cost of gaining exposure to the largest equity markets in the world. Of course your profit will be FX adjusted however the alternative, region-restricted approach would return a far lower profit - and that makes no investable sense whatsoever.

  • @zakaha
    @zakaha Месяц назад +2

    Excellent , crisp and clear. That what we need🎉

  • @blkmikeuk
    @blkmikeuk 29 дней назад

    The detail in these short videos is amazing

  • @JunlaiAiguo3c
    @JunlaiAiguo3c Месяц назад +153

    What are the best strategies to protect my portfolio? I've heard that a downturn will devastate the financial market, so I'm concerned about my $200k stock portfolio.,.

    • @BaozhaiDongmei
      @BaozhaiDongmei Месяц назад

      There are strategies that could be put in place for solid gains regardless of economy situation, but such execution is usually carried out by an investment specialist

    • @ChengHao03
      @ChengHao03 Месяц назад

      I've been in touch with a financial analyst ever since I started investing. Knowing today's culture The challenge is knowing when to purchase or sell when investing in trending stocks, which is pretty simple. On my portfolio, which has grown over $900k in a little over a year, my adviser chooses entry and exit orders

    • @Friedrich-j3i
      @Friedrich-j3i Месяц назад

      How can I participate in this? I sincerely aspire to establish a secure financial future and am eager to participate. Who is the driving force behind your success?

    • @ChengHao03
      @ChengHao03 Месяц назад

      Nicole Anastasia Plumlee can't divulge much. Most likely, the internet should have her basic info, you can research if you like.

    • @Friedrich-j3i
      @Friedrich-j3i Месяц назад

      Thanks for sharing. I curiously searched for her full name and her website popped up immediately. I looked through her credentials and did my due diligence before contacting her.

  • @stubbyschimneysweeping6096
    @stubbyschimneysweeping6096 Месяц назад

    This is a brilliant video. You’re right this can be missed easily.
    I hadn’t even thought about this.

  • @kyleevanston
    @kyleevanston Месяц назад +60

    I will be forever grateful to you, you changed my entire life and I will continue to preach on your behalf for the whole world to hear you saved me from huge financial debt with just a small investment, thank you Brooke Grace Miller.

    • @anatolyivan
      @anatolyivan Месяц назад

      She is my family's personal broker and also a personal broker in many families I'm United States, she's a licensed broker and a FINRA AGENT in United states

    • @GertonTootle
      @GertonTootle Месяц назад

      The very first time we tried, we invested $1000 and after a week, we received $5500. That really helped us a lot to pay up our bills.

    • @HighlightsSerieATIM
      @HighlightsSerieATIM Месяц назад

      I'm surprised that you just mentioned and recommended Brooke Miller, I met her at a conference in 2018 and we have been working together ever since.

    • @jadewashington7
      @jadewashington7 Месяц назад

      I'm new at this, please how can I reach her?

    • @ReuletRikki
      @ReuletRikki Месяц назад

      I just withdrew my profits a week ago, To be honest it was an amazing feeling when the profits hits my wallet I wish I could reinvest but, too much bills

  • @topboychris104
    @topboychris104 Месяц назад

    Also, if you buy UK listed stocks there is a stamp duty fee to pay which makes them pretty unattractive if you like to try and capture smaller moves.

  • @ukamateurinvestordiary6620
    @ukamateurinvestordiary6620 Месяц назад

    5:58 i noticed a few days ago that they don't calculate the FX Impact on profits correctly there. That red 1.68% is just the percentage change in the FX rate. But that change effects the value of your whole holding. So, if you do apply it to the whole holding the FX Impact on your profits is higher than they state here - a bit over three percent i calculate. So, in a world where the FX was constant, you'd have more profits than the "GAIN/LOSS" figure they show here indicates. The reverse happens when you have a loss, they would be overstating the FX impact.

    • @andy-pk2pe
      @andy-pk2pe Месяц назад

      I think the red 1.68% is the impact on your initial investment , that the exchange rate differences have made.

    • @ukamateurinvestordiary6620
      @ukamateurinvestordiary6620 Месяц назад

      @@andy-pk2pe yep, and they wrongly use it as FX impact on profit which is different.

  • @RobbieB123
    @RobbieB123 Месяц назад +1

    So it’s a good time to be buying and holding US stocks at the moment then, right?

  • @davideyres955
    @davideyres955 Месяц назад

    Remember you will get a hit on dividends as well. All that money printing in $ and the vast national debt that they are having to keep the money printing going to pay means the USA is on the downward slope.
    Saudi has also agreed to sell oil in other currencies.

  • @marcusjenkins4154
    @marcusjenkins4154 Месяц назад

    Thanks mitch subscribed 👍 just started in 212 and your videos are invaluable for me. Q i have 10k soon what % would be recommended to hold in cash isa/stock- i realise personal risk is a factor, cheers keep up the great content 👍

  • @Isicobez
    @Isicobez Месяц назад +3

    Does a stronger pound not mean that you're essentially getting more stock for your money? The FX fee only really matters when you come to sell a position doesn't it?

    • @PaulB-q3d
      @PaulB-q3d Месяц назад +4

      If you sell when the pound is strong you get less back, if you buy when it’s strong you get more for your money.

    • @X5493-c7p
      @X5493-c7p Месяц назад +2

      You might want to take advantage of that fact before the budget as I can feel another Liz Truss moment about to happen 😂

    • @Black-Circle
      @Black-Circle Месяц назад +1

      when you are buying yes. not when selling

    • @Black-Circle
      @Black-Circle Месяц назад

      @@X5493-c7p pound went up with optimism post tories and now it will come back down once the next set of muppets ruin the uk even more

  • @X5493-c7p
    @X5493-c7p Месяц назад

    The gold price is a reflection of the strength of the dollar or lack of it in this case the latter

  • @JackRalp96
    @JackRalp96 Месяц назад

    This is another reason why Dividend investing and cost averaging is a strong winning strategy.

  • @Black-Circle
    @Black-Circle Месяц назад

    I was investing well before this recent 8% bounce back by the pound. Im not so much effected.

  • @muzzi1984
    @muzzi1984 Месяц назад +3

    Instead US company stocks, should we invest on only etfs like vwrp, vuag, gbsp?

    • @mrg8537
      @mrg8537 Месяц назад

      @@muzzi1984 the underlying holdings are still largely US, so although you won’t see the fx impact, it will be embedded in the fund performance

  • @crunchstudio9475
    @crunchstudio9475 Месяц назад

    Great advice Mitch and thank you for showing where the info is held on T212 re FX fees. Think it again is built into long term investing with the dollar and pound up and down. I remember a time when a pound bought 2 dollars. Silly question….sure I saw someone who looked like you near Moor Hall ?

  • @womenshealthspace567
    @womenshealthspace567 Месяц назад

    Thanks for your video
    Could you make videos on hold investing if you are doing one ?

  • @GM-kt8rh
    @GM-kt8rh Месяц назад

    new to investing, don't know wtf I'm doing so bought vanguard all world in GBP, that's all I got and hopefully it'll be ok, didn't buy US because of that fx fee, wasn't sure how it would effect my investments so thanks for the info as I'll be more aware if i do👍.

  • @zukuyama
    @zukuyama Месяц назад

    Hi Mitch
    What you think about buying US stocks from European exchanges like Xetra?
    great video once again

  • @Sam13lfc
    @Sam13lfc Месяц назад +1

    Great video

  • @clarenceishmael9615
    @clarenceishmael9615 Месяц назад

    Hooray for highly diversified global funds! 🎉🎊

  • @riddlergorshin
    @riddlergorshin Месяц назад +4

    The more I learn the more I believe that feeding individual holdings into quality ETFs traded in £s are the way ahead.

  • @CopilotSully
    @CopilotSully Месяц назад

    I have a few shares in some British stocks to balance things out.

  • @torirossi9679
    @torirossi9679 Месяц назад

    I’m in uk and invest in vanguard VUSA S&P 500 so does this currency affect me because it says I buy in gbp? I also invest in the vwrl so I assume that is gbp also? Will these currency fluctuations affect me… I intend not selling for at least 20 years. 🙌🏼

  • @aaronkelly4018
    @aaronkelly4018 Месяц назад

    Personally I've just bought the European versions of the US stocks to try counter the fx issue

  • @Irish_Maria
    @Irish_Maria Месяц назад +1

    Brilliant video as ever Mitch. I often think about how changes in GBP versus the dollar impacts my portfolio and usually end up giving myself a headache! You've really helped clarify it for me- thanks!

  • @lifewithana09
    @lifewithana09 Месяц назад

    t212 now offers to buy stock in one currency and sell it in another... Is it a good way to mitigate loss if i e.g. buy an american stock with a weaker EUR and when the EUR is stronger to sell the stock for USD and not EUR ? And if the EUR strengthens I would sell it for EUR?

  • @urlcool
    @urlcool Месяц назад

    How can you have a fraction of a share. How would that work with dividends and voting rights. Do you receive a fraction of a digital share certificate ?

  • @djkazc1818
    @djkazc1818 Месяц назад

    Hey Mitch (or any T212 expert) - I rebalanced my portfolio, and the buying of extra funds to achieve this has increased the "amount invested" without any additional cash actually going in. This now means that my return % has dropped significantly artificially.
    Does anyone know if this is how a rebalancing should work? And is there a way to track my overall top level % return based on the amount of cash put into the account? Thanks

  • @Cosmo38436
    @Cosmo38436 Месяц назад

    You could buy vusa or vuga on the London stock exchange

  • @DeshpreetSingh-jq6ii
    @DeshpreetSingh-jq6ii Месяц назад

    do you take classes

  • @metro1361
    @metro1361 Месяц назад

    Is it best for UK citizens to buy a S&P 500 ETF in pounds and/or dollars?

  • @i.i.2024
    @i.i.2024 Месяц назад

    Много интересно видео! Браво!

  • @tx5190
    @tx5190 Месяц назад

    What about the 15% US withholding tax on dividends?

  • @BenWeeks-vd6lt
    @BenWeeks-vd6lt Месяц назад

    Would you recommend VUAG or FWRG for long term hold?

    • @KS-jn5pv
      @KS-jn5pv Месяц назад +1

      I’d still say yes, however it’s always worth it to diversify. Go for some form of world economy tracking ETF, and then the S&P500 too, that way if America goes to shit, then you’ve still got your hand in the rest-of-the-world pie to cover all basis. I’m currently prioritising the US $, so safe to say this video worries me a bit! Definitely going to try and match my contributions now , in more of a 50/50 split, so that I’m covered in all angles… not financial advice, as I’m only very new to this myself! Hope this helps a bit? Maybe?😂 I’m based in the UK too.

    • @BenWeeks-vd6lt
      @BenWeeks-vd6lt Месяц назад

      @@KS-jn5pv thanks that helps a lot, I might do 70% global and 30% s&p

    • @kw8757
      @kw8757 Месяц назад

      @@KS-jn5pv Global tracking ETF's / Index Funds are still heavily weighted to the USA, you would have to actively seek funds which omit the US to avoid that weighting.

  • @robakhh
    @robakhh 28 дней назад

    Nice video , the code Mitch works only for accounts opened within last 10 days only 😢

    • @MitchShoesmith
      @MitchShoesmith  27 дней назад

      Thanks! Yeh thats correct, it’s in T212 T&Cs

  • @Madmak121
    @Madmak121 Месяц назад

    Why dont vanguard etfs show fx when they to are affected

  • @TönisSild
    @TönisSild Месяц назад

    Hi, this does not make a difference if my main currency is euros and I buy apple from german stock exchange right?

    • @leesmith9299
      @leesmith9299 Месяц назад

      in your case changes in the EUR/USD exchange rate would have the same effect rather than GBP/USD.

  • @leoduke6113
    @leoduke6113 Месяц назад

    Great video,I'm new to this industry,all advice appreciated 👍👍👍👍

  • @johnmajor5525
    @johnmajor5525 Месяц назад +1

    So if I split my SP500 holdings between SPY5 and SPX5 would I cancel out this effect? As SPX5 is in GBP?

  • @mrg8537
    @mrg8537 Месяц назад +10

    That is why you diversify and not put all your eggs into one US basket

    • @macanjeez
      @macanjeez Месяц назад +2

      into an all world etf with 70% american stocks ?

    • @mrg8537
      @mrg8537 Месяц назад

      @@macanjeez The All World is about 63% US, but some diversification is better than nothing. There is an argument to underweight the US

    • @Black-Circle
      @Black-Circle Месяц назад

      or just buy something like VUAG and buy it in pounds

    • @StrangeGuy-jl7cl
      @StrangeGuy-jl7cl Месяц назад +3

      @@Black-Circle buying the ETF in pounds doesn't magically bypass FX, it just means the FX price is built in to the ETF price

    • @Black-Circle
      @Black-Circle Месяц назад

      @@StrangeGuy-jl7cl ah I see. thanks for letting me know! :)

  • @Black-Circle
    @Black-Circle Месяц назад

    you're not wtong mate my gains have been impacted slightly by fx but only between 2.5-3.0%

  • @c40uk98
    @c40uk98 Месяц назад

    Usd went up last week 😊

    • @KS-jn5pv
      @KS-jn5pv Месяц назад

      Means nothing

    • @c40uk98
      @c40uk98 Месяц назад

      @@KS-jn5pv meant my stocks went up ...

  • @PaulB-q3d
    @PaulB-q3d Месяц назад

    I heard ‘US stocks are on sale to Brits’ 🎉

  • @Harnishchappy
    @Harnishchappy Месяц назад +1

    Yup the pound is not as strong as it was against the usd atm , my NVDA position is hurting from the FX alone 😢