€116K at 23, invest all or keep cash?
Hello everyone,
I know this type of post appears regularly, but I (23M, student) unexpectedly received €116K as a gift and would appreciate some outside perspectives on how to allocate it.
My current portfolio is worth about €8K:
- 80% VWCE
- 15% Sofina
- 5% WEBN
I currently invest €150/month, which is what I can afford as a student. I was not planning to increase my Sofina position much further, since its already a big chunk of my portfolio.
Now that I will suddenly have a much larger amount to manage, which I know is a privilege, I’m unsure how aggressively I should invest it.
I have a partner, but we currently have no concrete plans to buy a house in the near future. Still, part of me feels like I should keep a decent amount kind of liquid at 23 for flexibility/opportunities.
Online, I read advice suggesting a middle ground ( investing €58K into ETFs and keeping €58K in savings/cash), but I’m struggling with FOMO on long term compounding if I don’t invest more aggressively.
My main doubts are:
- how much liquidity is reasonable at my age
- whether investing the full amount would be too aggressive given the uncertainty around future housing
- and how others would approach this balance between flexibility and long-term investing.
Any advice would be greatly appreciated. Thanks in advance!