As planned I now have new ETF plan in place. Major part of it is Franklin European Quality Dividend UCITS ETF (FLXD) which I’ll be using to diversify more into European companies. This has couple of advantages and one obvious disadvantage. This allows easy diversification into companies domiciled in problematic countries when taxes are taken into account (tax agreement not followed, difficult to get refunds from over charged taxes). Furthermore this type of diversification reduces currency risks going forward. Obvious disadvantage is slightly higher effective tax rate when compared to dividends from countries that actually follow tax agreements. I plan to add consistently into this ETF mainly by redirecting dividend income – and especially USD dividend income – into this ETF in trenches of about 1500 EUR. Second ETF is iShares NASDAQ 100 UCITS ETF EUR HEDGED for which I’ll make tiny consistent contributions for now since valuations are at all time high levels. Should we get significant correction, I plan to make larger indiviual contributions during those times. Like the name suggests, this ETF is EUR hedged to limit the currency risk going forward. This ETF will act as a monthly savings target and will eventually be transferred into my son’s portfolio (hence the non distributing selection).
In addition to these I’ve played around with my small IREN and Lemonade positions just for the kicks. I don’t usually trade because I end up with unexpected positions. This time it’s only partially true as I’ve ended up with 100 IREN shares (double the original position) and 0 Lemonade shares. Plan is to buy some Lemonade either through additional trades or fresh capital. Remains to be seen but considering the recent volatility and valuations, I see IREN as better short to mid term option so might be sitting without Lemonade for a while.