Return to Blog

Building Portfolios with ETFs

The Wiser Wealth Management Roundtable where we believe the best financial advice should be conflict free. Host Casey Smith, President of the podcast sponsor Wiser Wealth Management, is joined by co-hosts and colleagues Brad Lyons and Matthews Barnett. In today’s episode, the group discusses building portfolios using Exchange Trading Funds, also known as ETFs.

Listen on Apple Podcasts or watch on YouTube:

Casey begins the conversation by discussing Wiser Wealth Management’s experience utilizing ETFs in their own models beginning in 2004. When they realized how efficient ETFs were becoming, they began building entire portfolios with them. Brad points out the versatility of ETF investments, allowing the investor to curate a portfolio which accurately reflects their values and objectives.

Brad then goes on to define and contextualize strategic portfolios. Utilizing ETFs in this space is highly efficient, he says, and gives the investor the opportunity to have access in each asset class at a very low cost with high liquidity. With ETFs, one can easily and affordably rebalance a portfolio back to the ideal 60/40 ratio as needed.

The sheer number of ETF types makes it impossible to explore every opportunity, but Brad, Casey and Matthews provide a few examples of other approaches to ETFs. These strategies include tactical allocations, core-satellite strategies, sector rotation and smart beta funds. In light of the S&P 500, Brad stresses that by investing in the broad asset class, you are guaranteed to be invested in the best performing sector of the market at any given time.

As the episode comes to a close, they outline the value of a financial advisor and shed light on the difference between quality portfolio management vs. sector rotations. Brad then discusses the use of transition management, and utilizing an ETF to maintain market exposure while portfolios are in a transition phase. They then offer a bit of advice for DIY investors as a closing note.

Timestamps:

1:30 - Casey provides background on ETFs.

4:15 - Why do we want to have ETFs in portfolios?

5:30 - What are strategic portfolios?

8:39 - Liquidity of ETFs.

10:30 - Other investment strategies which may utilize ETFs.

18:40 - Current state of ETFs.

24:50 - Comparing strategies to benchmarks.

28:37 - The value of financial advisors.

32:45 - Advice for DIY investors and closing notes.

Links:

Learn more about Casey Smith and connect with him on Twitter.

Learn more about Brad Lyons.

Learn more about Matthews Barnett.

Learn more about Wiser Wealth Management and connect on social media:

Twitter, Instagram, Facebook, LinkedIn, and YouTube.

Learn more about the Wiser Wealth Management Roundtable podcast and access previous episodes.

Learn more about ETF.com, a trusted authority Casey and the group recommends in those wanting to learn more about specific funds and about daily news regarding ETF’s.

 

 

Wiser Wealth Management, Inc. is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments or investment strategies. Investments involve risk and, unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein. Past performance is not indicative of future performance.

Happy Birthday to Kylie, our Marketing Assistant! Kylie works hard behind the scenes on our website, podcast, social media, and so much more.

Meet Daphne, our Financial Planning Intern. She is studying Finance at The University of Georgia. We are excited she's joined us for the summer!

https://conta.cc/3Ov1Fub

Your Medicare premium is affected based on which tax bracket you fall within after age 63. IRMAA is your income-related monthly adjustment amount. Watch today's video to learn more about how IRMAA works.

https://conta.cc/3zK9WGw #irmaa #medicare

The big question is, will we have a recession in 2022? Watch this video to find out!

https://conta.cc/3Mz2z7D #recession2022 #recession
https://youtu.be/45TvHaZf4z4#recession2022

Happy birthday to LJ our Video Production Manager! LJ works behind the scenes producing all of our podcasts and videos that we post every week. 🎉

Company

Services

Client Access

Firm Information

Schedule a Meeting
678-905-4450[email protected]
Google Rating
5.0
Based on 71 reviews
js_loader