Xtrackers II Overnight Rate Swap ETF C

ETF

ISIN: LU0321465469

Ticker: XFFE

LU0321465469

XFFE

Price

Discussion about XFFE

Posts

Tom

@Garfield204

5Mon·

Moin Moin,

I'm thinking about saving up some money to buy a garage in 2-3 years in order to gain some initial experience with real estate with a manageable capital investment and to further diversify my asset class.

But I don't want to just leave the money lying around.

My idea was to put 25% of my savings rate into each of the following:

1. transfer to an overnight deposit account (as a security amount) possibly later to a fixed-term deposit

2. into an ETF (MSCI World or FTSE All-World) as a (hopefully) small booster

3. a money market ETF LU0321465469 $XFFE (+0.53%)

4. a bond ETF

As I have no experience with bonds so far, I would be happy to receive suggestions for an ETF. Can you make a loss with these? Bonds actually work in such a way that you receive the sum including interest if you wait until the end of the term, right? Please enlighten me here.

I am also wondering whether there is a better ETF for the money market.

Briefly about my previous investment experience:

I have been investing in individual shares and share ETFs, gold, P2P loans and some tangible assets (Timeless) for 2 years, but only as a test for the time being

15 Comments

Justus@Justus41

5Mon

Hello, first of all I would like to mention that I find it very interesting that you invest in so many different asset classes. I do the exact opposite, which is why I find it all the more interesting and would find it interesting to exchange ideas. But now to the garage: I'd first like to know where the garage is. A garage in the center of Berlin would be completely different from one in a village with 20 inhabitants in Brandenburg. Then there's the fact that the beauty of real estate is the use of borrowed capital, by which I don't mean 110% financing, which in my opinion is unsuitable for beginners in the real estate market, except in exceptional cases. Nevertheless, it usually makes sense to finance at least 70-90% of the purchase price, as this significantly improves the return on equity. But as far as I understand from the post, you want to finance the apartment completely yourself. And I can say quite clearly about the breakdown of the savings installment: it's better not to use money market ETFs or bonds. If you have a call money account with 3% interest or more, save the money in it and perhaps save the ETF as well.

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