Hi everyone, I'm currently a full-time university student with no financial liabilities. I have around $8,000 in capital available to invest, and about $150 a month to invest.
Early 2025, I started picking individual stocks (TSLA, NVDA, NET) during the dip and would set limit orders once I hit a certain % of profit. However, I quickly realised that this was quite luck dependent and I likely profited from a bull market. Around mid-2025, I switched to ETFs (VOO and SPYG) to simplify things, but I wasn't consistent with my contributions.
My concern:
I realised I'm too concentrated in the US market and tech/ AI stocks. With potential economic uncertainty ahead, I want to diversify and add some stability to balance my portfolio.
What I'm planning for 2026:
\- Build a core of broad-market ETFs: Hold onto the VOO & SPYG (US). On top of that, add VXUS (international developed/emerging markets). For ETF, likely continue to DCA with the 150 I have monthly.
\- Add defensive "everyday" company stocks like Johnson & Johnson (JNJ) and Philip Morris International (PMI) as a hedge in case growth stocks crash
My specific questions:
1. Does an allocation like 40% VOO/ SPYG, 20% VXUS, and 40% individual stocks (defensive individual stocks and AI/tech stocks) make sense for my situation?
2. For my initial $8,000 capital, I'm considering allocating roughly $2,000 to defensive individual stocks (JNJ, PMI). For the remaining $6,000, should I lump-sum it into the ETFs (VOO/SPYG/VXUS) all at once, or spread it across a few months using DCA? Does it matter given that I'll also be contributing $150 monthly going forward?
3. Given economic uncertainty and potential downturns, is now a good time to be building defensive positions? I saw news on gold prices rising but dont really feeling like buying at ATH so i thought defensive stocks would be a good option?
\- Beyond JNJ and PMI, what other defensive stock companies would you recommend for diversification?
5. What platform or app would you recommend for the lowest fees when buying both ETFs and individual stocks in Singapore? Currently using Tiger Trade
6. I have some friends investing in dividend ETFS. I haven’t done much reading on this but would that be something to consider in my position?
Thanks in advance! I know it doesn’t seem like a lot of money but my main goal is to practice the skill of diversifying rather than just putting all my funds in S&P. Appreciate all the advice & wisdom given 🙏🙏🙏