Three Fund Portfolio at Fidelity

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Topic Author
StillTired
Posts: 58
Joined: Tue Jul 24, 2012 11:57 am

Three Fund Portfolio at Fidelity

Post by StillTired »

I have been looking at this information:

http://www.bogleheads.org/wiki/Three-fu ... allocation

To replicate the 3 fund portfolio at Fidelity, it recommends using:
Fidelity Spartan Total Market Index Fund (FSTMX)
Fidelity Spartan Global ex U.S. Index Fund (FSGDX)
Fidelity Spartan U. S. Bond Index Fund (FBIDX)
I just wondered why the recommendation is for the Global ex U.S. Index Fund versus, say, the International Index Fund (FSIIX). FSGDX has something like 12% in U.S. while FSIIX has closer to 1%. What am I overlooking?

TIA
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hoppy08520
Posts: 2193
Joined: Sat Feb 18, 2012 10:36 am

Re: Three Fund Portfolio at Fidelity

Post by hoppy08520 »

StillTired wrote:I have been looking at this information:

http://www.bogleheads.org/wiki/Three-fu ... allocation

To replicate the 3 fund portfolio at Fidelity, it recommends using:
Fidelity Spartan Total Market Index Fund (FSTMX)
Fidelity Spartan Global ex U.S. Index Fund (FSGDX)
Fidelity Spartan U. S. Bond Index Fund (FBIDX)
I just wondered why the recommendation is for the Global ex U.S. Index Fund versus, say, the International Index Fund (FSIIX). FSGDX has something like 12% in U.S. while FSIIX has closer to 1%. What am I overlooking?

TIA
FSIIX tracks the MSCI EAFE index of large-cap developed markets. FSGDX goes beyond just developed markets to include emerging markets, Canada and possibly other nations. Neither fund, however, owing to their target benchmarks, includes small caps.
livesoft
Posts: 86076
Joined: Thu Mar 01, 2007 7:00 pm

Re: Three Fund Portfolio at Fidelity

Post by livesoft »

FSGDX does not have 12% in the US. It probably has 12% in North America ex-US aka __________. (Fill in the blank yourself).

OTOH, FSIIX has no __________ (fill in the blank) located in North America and no emerging markets as well.

Instead of FBIDX, why not FSITX? :)
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billjohnson
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Re: Three Fund Portfolio at Fidelity

Post by billjohnson »

Why does FSGDX have such a low yield compared to VTIAX??

FSGDX, 1.43%
VTIAX, 2.88%
Topic Author
StillTired
Posts: 58
Joined: Tue Jul 24, 2012 11:57 am

Re: Three Fund Portfolio at Fidelity

Post by StillTired »

livesoft wrote:FSGDX does not have 12% in the US. It probably has 12% in North America ex-US aka __________. (Fill in the blank yourself).

OTOH, FSIIX has no __________ (fill in the blank) located in North America and no emerging markets as well.
Thank you for pointing that out. That makes sense.

It's odd because it says:
Regional Diversification2
AS OF 12/31/2012
Europe41.42%
Emerging Markets21.07%
United States12.80%
Japan12.65%
Asia Pacific ex Japan10.46%
Canada7.74%
Other-6.14
but then immediately follows that with:
Country Diversification
AS OF 12/31/2012
United Kingdom14.23%
Japan12.65%
Canada7.74%
USA6.63%
I guess these percentages are out of different numbers?
Topic Author
StillTired
Posts: 58
Joined: Tue Jul 24, 2012 11:57 am

Re: Three Fund Portfolio at Fidelity

Post by StillTired »

[quote="hoppy08520]FSIIX tracks the MSCI EAFE index of large-cap developed markets. FSGDX goes beyond just developed markets to include emerging markets, Canada and possibly other nations. Neither fund, however, owing to their target benchmarks, includes small caps.[/quote]

Thank you!
mmmark
Posts: 38
Joined: Tue Feb 19, 2013 10:47 am

Re: Three Fund Portfolio at Fidelity

Post by mmmark »

Shouldn't the three fund portfolio at Fidelity include these Advantage class index funds?

- FSTVX
- FSGDX
- FSITX
livesoft
Posts: 86076
Joined: Thu Mar 01, 2007 7:00 pm

Re: Three Fund Portfolio at Fidelity

Post by livesoft »

StillTired wrote:I guess these percentages are out of different numbers?
It seems you got your info directly from Fidelity: https://fundresearch.fidelity.com/mutua ... /316146141
They really need to understand the difference between "United States" and "North America" and "Latin America". That's too bad how erroneous the info displayed actually is. Might be a reason to ditch using Fidelity for research.

Here is a link with different info: http://portfolios.morningstar.com/fund/summary?t=FSGDX
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Topic Author
StillTired
Posts: 58
Joined: Tue Jul 24, 2012 11:57 am

Re: Three Fund Portfolio at Fidelity

Post by StillTired »

livesoft wrote:
StillTired wrote:I guess these percentages are out of different numbers?
It seems you got your info directly from Fidelity: https://fundresearch.fidelity.com/mutua ... /316146141
They really need to understand the difference between "United States" and "North America" and "Latin America". That's too bad how erroneous the info displayed actually is. Might be a reason to ditch using Fidelity for research.

Here is a link with different info: http://portfolios.morningstar.com/fund/summary?t=FSGDX
Thanks!
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