I have been plugging away building a portfolio, that is largely going to be passive and a long term project. I am currently holding about 5K in ARGO, and about 1k each in RFG and AMP. I am now looking to equal that with an international holding. I have been contributing about $700 per fortnight, and buy shares when I hit the 2.5k mark in the CDIA.
I am looking for some thoughts re the distinction between using an LIC (which I have used for the remainder of the portfolio) compared with an ETF. I was edging towards using a combination of VTS/VEU – around 15% each, but then I started looking into the currency issues re hedging, and I think largely have got confused. I am now strongly leaning towards PMC/TGG (20%) and GFL (a smaller holding – 10% due to liquidity). These seem to be hedged to Aus currency, have good franking. PMC has a DRP which is a bonus, but would happily hold TGG as it seems like a better buy currently. I had toyed with the idea of buying Berkshire B shares direct, but it seemed to become much harder than I would like it to be, hence GFL.
Am I missing something that would make the ETF the better choice?