3-Year Results of Tiny Investments Started with 10% of My Salary
I wanted to build side income, so I started putting 10% of my salary into U.S. ETFs and domestic dividend stocks, and it’s been three years now. At first, even buying a single share felt awkward, but now I’ve been saving steadily through automatic transfers.
- Total invested principal: 21.6 million KRW
- Current valuation: 24.8 million KRW (return +14.8%)
- Dividends: about 1.2 million KRW per year (before tax)
- Allocation: U.S. ETFs 60%, dividend stocks 30%, cash 10%
In the end, I didn’t make huge gains, but the biggest win is that I built a habit of investing instead of just desperately setting money aside. My personality can’t chase surging stocks, so I stick mainly to index funds. Since I think long-term, I don’t get shaken much by volatility either.
10 answers
Agreed, the index is the answer.
I'm also around 3 years in, and dividend stocks are quite appealing. Especially when the dividends come in, it always lifts my mood lol
Well, a 3-year return of 14.8% is about the same as savings deposits, isn't it? Considering the risk taken, isn't it a bit disappointing?
That's right lol habits are the most important
Looks like a good strategy. But the 30% in dividend stocks might be underwhelming after taxes. If it's 1.2 million won a year pre-tax, the actual take-home isn't much.
Oh, I didn't know this.
I also started with a small amount, and after three years, it’s decent results. I think the important thing is consistency. I only picked individual stocks and got burned lol.
Disagree. Isn't 60% in US ETFs too risky at this point? You need to factor in exchange rates and political risk.
Do you have a source?
Automatic transfers are great. I also move the money right on payday, so I end up living on what's left. The salary account balance itself looks like a utility bill.