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Investing - Theory, News & General • Variable Percentage Withdrawal (VPW)

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This question might’ve been asked before but I couldn’t find it. So, we’re planning to invest our portfolio to LifeStrategy® 60% Equity UCITS ETF - (EUR) Accumulating (V60A) (https://www.nl.vanguard/professional/pr ... cumulating ). There’s also distributing version but there’s only about 40 million euros of share class assets so it’s very small compared to accumulating version which has 340 million euros of assets. What I’m wondering is that if we sell accumulating ETF using VPW method in severe market downturns will it ruin our portfolio? If we invest to distributing ETF, which pays dividends about 2-2,3%, we would have to sell less shares. We’re worried about the spread and liquidity of distributed version, because it’s so small so we’re leaning towards the accumulating version, but wanted to ask if someone could provide some thoughts for our dilemma? And FYI, we live in Finland and lifestrategy etf provides substantial tax benefits for us. Capital gains tax is 30% to 34% here.

Statistics: Posted by Fireishere — Fri May 03, 2024 8:20 am — Replies 2267 — Views 619254



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