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Wellesley, 35% stocks.

The article can be found on their web site under January 2013 archives. To avoid quibbling over methodology, I'll rephrase my question as follows: If in fact US stock market capitalization is now about 1/3 the world market capitalization, should we revisit the international stock allocation guidelin...

According to BeSpoke Investment Group, the US stock market capitalization as a percentage of world market capitalization is 32.7%
Im surprised it's this low. Had assumed it to be about 45%.

Does this suggest we revisit the International stock allocation guideline ie., 20% to 40% ?

The mistake here is to assume that all active funds are the same. For example, those managed by Wellington Management, and there are a number of them at Vanguard, do not shoot for the stars and have relatively low expenses. On a personal note, I learned this the hard way investing in the late 60s in...

Midareff,

Do not understand the following; "... although the interest rate induced bond market cannot be discounted for corporates either" Please explain.

Am still struggling with this. Since the difference in nominal rates of treasuries and corporates of the same maturity is greater than 0.3%, is not the M* chart and its results simply an abberation due to the 20+ year bull market in treasuries exacerbated by the more recent flight to the safety of t...

If interest rates increase say by i%, I assume that refers only to treasuries having a specific maturity and duration. If that's correct does yield combine with duration to impact a bond fund's NAV? Specifically, assume two treasury bond funds in different time periods. Both have same duration but o...

It's nice to see Wellington and Wellesley receiving the acclaim they deserve.

SPLV has demonstrated its downside protection with a negative downside capture ratio which means that when the S@P 500 index went down SPLV"s share price increased. While there is no assurance this will continue, there's also none that it wont. As for outperforming the S@P,that was never the in...

Many years ago,I had a part-time sales job at Robert Hall Clothes, at that time a large nation-wide clothier selling low priced mens suits displayed on plain pipe racks.From time to time the regional manager would visit and assume the role of a salesman. His suit fit so well we all assumed it was an...

While YTD Wellesley has lagged all Target Retirement funds other than Target Income, over the 1,3 and 5 year existance of the latter Wellesley has outperformed them all. That's an amazing performance considering Wellesley's stock allocation is less than 38%. For a more apple to apple comparison, Wel...

Had owned wellington fund for many years (15+) prior to retirement. Then changed to 50/50 Wellington/Wellesley.
Now in late retiement, 100% Wellesley.Both outstanding funds.The iformation you've provided changes my earlier reply to a recommenation.

Agree with Paul's answer

Given your 30/70 portfolio, Wellesley would be the closest fit of the two funds offered.

Am in late retirement and 100% invested in Wellesley Income. Earlier, it was 50/50 Wellington/Wellesley. For those with much longer time horizons, I think the LifeStrategy funds would be an excellent choice. However, as a retiree, caught in what appears to be a secular bear market, I prefer proven a...

I see no contradiction within Vanguard given that the new ( and perhaps the current) CIO perceives Vanguard to be all about low-cost,disciplined investing, whether passive or active. On the other hand, there does appear to be a contradiction between this blog and Vanguard in that the former IMO tend...

I also own Wellesley and will stay the course.What worries me are treasuries and international.

Nobody has mentioned Bob's vehement rejection of Elaine Garzarelli's mid 90s ill-fated bear market call.

In the early years his radio program was as much about teaching as promoting his newsletter which I subscribed to for several years. I too benefited from his 2000 sell signal and by learning about no load mutual fund investing and Vanguard in particular. At Bob's urging, we loaded up ($30,000) on Se...

In addition to tax status, age would be important consideration. Perhaps up to about 50, LifeStrategy Growth or Moderate
Growth. After 50, Wellington or Wellesley for late retirees.

Disclosure: Retired 15 years, 100% invested in Wellesley.

If the choice be Wellesley or Target Retirement Income,suggest you do a Morningstar analysis of both funds including yield, performance, and risk/reward profile. As for the turnover rate, it is very low for an actively managed fund and merely indicates that the managers are doing what they are suppo...