I've done a lot of reading since discovering this site a few weeks ago....I've read a lot about small/value/emerging tilts and I was thinking of tweaking my AA a bit...
I used to be 50/50 US/INTL with equal splits among small/mid/large for US and equal splits developed/emerging in INTL...thinking of shifting the tilt a little bit more...
Please note, this is all taxable, starting this year i've been able to contribute to a 403b/IRA so that is where all my bonds (30%) go...
70% Equity
15% small cap value (IJS)
10% mid cap blend (JKG)
10% large cap blend (VTI)
10% large cap emerging (VWO)
15% small cap intl (VSS)
10% large cap developed (either VEA or VEU)
Using VEA as large cap:
U.S. & Canada 53.58
Europe 17.70
Japan 5.30
Latin America 4.19
Asia & Australia 15.75
Other 3.48
Using VEU:
U.S. & Canada 54.45
Europe 14.74
Japan 4.17
Latin America 5.08
Asia & Australia 17.45
Other 4.11
Thoughts on this allocation? Is it too small cap/value/emerging tilted? Am I splitting hairs?
M* box is as follows:
13 11 13
10 14 8
14 11 5
Some of these positions have + returns over the years so I can't sell them without paying taxes (i.e. I've thought about switching the blends to value but it'd result in capital gains) but I have a healthy amount of money to invest this year so I can alter my %s as needed....
I'll likely start another thread for my bond options as my 403b was recently transferred between institutions and I have new bond options that don't look that appealing.
AA - Not letting perfection be the enemy of good enough
If I just swap out all JKG for VTI:
16 15 15
8 8 7
12 13 6
But again, have held JKG for a long time and cannot sell at this point due to capital gains.... I also like the extra midcap exposure...
I just watned to make sure I wasn't weighted too heavily that I was reaching the point of diminishing potential returns and increased risk.
As for the emerging part... I figured 1/4 of VSS would be small cap emerging, so that would complement VWO....
16 15 15
8 8 7
12 13 6
But again, have held JKG for a long time and cannot sell at this point due to capital gains.... I also like the extra midcap exposure...
I just watned to make sure I wasn't weighted too heavily that I was reaching the point of diminishing potential returns and increased risk.
As for the emerging part... I figured 1/4 of VSS would be small cap emerging, so that would complement VWO....