Which ETF next?

supersunbird

supersunbird

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I'n contributing a few hundred into Satrix Divi (20% annual debit order increase and dividend reinvestment chosen), plan on doing that for at least the next 10 years.

Now with next years salary increase I want to invest in another ETF product (also with 20% annual debit order increase and dividend reinvestment) to diversify. Now the constituents making up the index should be as different as possible from the current Divi or have very different weightings. I know these constituents can change over time and might become more alike, so be it. The TER should also not be too high.

Now I'm having trouble finding a site so I can make graphs to see the historical performance, anyone able to help with that? The TERs and the constituents of the indexes I can do myself but seems a bit of a schlep at the moment, especially if looking at all ot them.

I see the RMB BIPS Top 40 has a quite low TER at 0,21 and on further investigation, except for some of the financial and telecoms shares, has quite a different basket of constituents. Anyone want to offer some other suggestions so I can narrow down my search and compare?

*I do have a rental property and a retirement fund through work.
 
Hey supersunbird

Satrix Divi units are great and has been the best performing ETF over the last 3 years. Its been what I have bought since 3 years ago exclusively. In terms of diversification I would recommend the Nedbank Bettabeta ETF. Unlike the Satrix40 it buys equal parts of each of the top40 as the STX40 is too heavily weighted towards resource shares which are very very volatile. Because the Bettabeta gets 2.5% of each of the top40 instead of weighted percentages you get balance between resource, industrial, and finance. Due to lower volatility you actually outperform the STX40 over time. Saw a great presentation by Mike Brown on it when it launched and I liked the great mix of good diversification, lower volatility, and cheap costs (By SA standards). If you really want to diversify though once you have a big enough sum to make it worth while get an account in the USA or London and take some money offshore into the vanguard ETF's. They are extremely low cost and great at diversification. Their emerging markets ETF is something I want to get into once I have payed off my house and have more money to invest myself.
 
Cius said:
Hey supersunbird

Satrix Divi units are great and has been the best performing ETF over the last 3 years. Its been what I have bought since 3 years ago exclusively. In terms of diversification I would recommend the Nedbank Bettabeta ETF. Unlike the Satrix40 it buys equal parts of each of the top40 as the STX40 is too heavily weighted towards resource shares which are very very volatile. Because the Bettabeta gets 2.5% of each of the top40 instead of weighted percentages you get balance between resource, industrial, and finance. Due to lower volatility you actually outperform the STX40 over time. Saw a great presentation by Mike Brown on it when it launched and I liked the great mix of good diversification, lower volatility, and cheap costs (By SA standards). If you really want to diversify though once you have a big enough sum to make it worth while get an account in the USA or London and take some money offshore into the vanguard ETF's. They are extremely low cost and great at diversification. Their emerging markets ETF is something I want to get into once I have payed off my house and have more money to invest myself.
Click to expand...

Thanks, the Bettabeta something I will consider, didn't know about the product. Not to worried about the resources being too heavy, it would be diversification since Divi only has 4% in resources.

International, I will look at later.
 
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