Bogleheads

retcaveman · Joined: 21 Oct 2009 Posts: 439

Curious. If you could only have one fund, what would it be? I know it's somewhat unrealistic, but with so many people asking for suggestions about portfolios with numerous funds, I wondered what they would choose if they could only have one? Thanks.
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Beagler · Joined: 21 Dec 2008 Posts: 1559

Wellington
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"Complexity doesn't add returns or reduce risk. (Diversification does.) And simplicity doesn't increase returns or reduce risk. Portfolio construction of the right kind does." domus obfirmo sermo

Mel Lindauer · Posted: Sat Nov 21, 2009 11:11 pm Post subject:

Vanguard's Target Retirement Income Fund would be my choice.
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fluffyistaken · Joined: 04 Apr 2008 Posts: 1105

Assuming fund of funds is not allowed, go with Wellesley or Wellington depending on whether you're more conservative or more aggressive. If fund of funds is allowed, then could go with one of the Target Retirement funds or maybe STAR.

Alex Frakt · Posted: Sat Nov 21, 2009 11:17 pm Post subject:

If just one equity fund - Vanguard Mid Cap Value.

Boglenaut · Joined: 23 Mar 2009 Posts: 1081

It would need to be a Vanguard Target retirement fund. No other could be diversified enough, adapt as I age, and have low fees (unless I had access to some great collective trust fund that was also a target retirement fund).

That said, given I have access to many funds, why let someone else have all the fun? I brew my own.

dkdoy · Joined: 13 Jun 2009 Posts: 335 Location: Oregon

Vanguard Target Retirement fund would also be my choice. However I really am a fan of Wellington. Wellington would be a close second

Petrocelli · Posted: Sat Nov 21, 2009 11:28 pm Post subject:

Target Fund because it changes its bond allocation as you age.
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Cherokee8215 · Joined: 16 Dec 2008 Posts: 904

Oakmark Equity & Income.

maywood · Joined: 19 Jun 2007 Posts: 132

Vanguard Total Stock Market Index

joe8d · Joined: 20 Feb 2007 Posts: 1342 Location: Buffalo,NY

If it was in a tax advantaged account and had to be held forever,Life Strategy Moderate even with the "notorious" AA fund component. A TR fund if allowed to change after the accumulation stage.TSM if in a taxable account.
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stevewolfe · Joined: 10 Oct 2008 Posts: 365

I'd go again with the first one I invested in as I intended it to be a core holding and it has served me well: T. Rowe Price Capital Appreciation.

CaveatEmptor · Joined: 01 Jan 2009 Posts: 298

A global balanced fund -- a global version of the domestically-centered VBINX. Vanguard does not have such a fund, so I would be faced with the problem of finding one that has a low ER and is not a "world allocation" fund disguised as global balanced (I don't like world allocation funds for the same reason I don't like asset allocation funds -- the fund manager gets to decide the percentages allocated to the various asset classes, and I prefer the fixed target percentages of a balanced fund). I would be sad to have my only fund not be a Vanguard one, but the benefit of global diversification is, IMO, worth paying a somewhat higher ER for.

Does anyone know of a good global balanced fund ? I looked at Fidelity's FGBLX but its ER is 1.13% and it looks too actively managed for my taste. I currently construct my own globally balanced portfolio using mostly Vanguard index funds (but Vanguard's dogmatic opposition to some asset classes means I have to go elsewhere for global bonds, global real estate, and global commodity stocks).

Edit added after reading other posts: The funds that target a retirement date are too domestically centered for me, and retirement is far enough that I do not yet have to worry about shifting my allocation over time.

MWCA · Joined: 30 Nov 2007 Posts: 1630 Location: Golden State

Emerging Markets. Since I enjoy the thrill of a roller coaster Wink

Sheepdog · Posted: Sun Nov 22, 2009 1:48 am Post subject:

Only one fund? I could pick one for different investor ages; however, without that criteria, it would be the appropriate Target Retirement fund for my present risk tolerance.
I still like Wellesley, though, plus at my age, mix that with Target Income for additional diversification.
Jim
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Winthorpe · Joined: 13 Apr 2009 Posts: 38

Wellington

jonesy · Joined: 27 Sep 2008 Posts: 36

Wellington

ilan1h · Joined: 22 Oct 2007 Posts: 622

TJAJ9 · Joined: 12 Sep 2009 Posts: 1121 Location: Philadelphia, PA

Only one equity fund? Total World Index.
Only one bond fund? Total Bond Index.
Having really ONLY one fund? I'd probably go with one of Vanguard's TR funds...maybe even Wellington or Wellesley as I got older.

Fletch · Joined: 04 Jun 2009 Posts: 247 Location: USA

It would be Vanguard's Target Retirement Income for me based on my ability, willingness and need to take risk.
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norookie · Joined: 07 Jul 2009 Posts: 630

I was thinking the same thing. I stray a bit but ideally 50% Wellselley/ 50% Wellington/ 100% would be a TR fund.
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snodog · Joined: 21 Dec 2007 Posts: 79

You can't beat Wellesley.

MarcMyWord · Joined: 15 Jun 2007 Posts: 617

A Vanguard global balanced fund (or fund–of–funds) composed of

•40% Vanguard Global Equity (which is actively managed and somewhat value–tilted) or Total World Stock Index

•60% bonds, restricted to TIPS/GNMA/nominal Treasury (i.e., only "full faith and credit" government bonds). And, if Vanguard should ever offer an international bond fund composed mainly of foreign government obligations, a dash of that, too.

Except for the international bonds, this can, of course, be assembled by any investor from existing Vanguard funds––but not with a single $3000 opening minimum investment, and not with the same degree of continuously rebalancing/all–in–one convenience.

Marc

teacher · Joined: 05 Oct 2008 Posts: 400 Location: California

Wellington for now and Wellesley for later.

nisiprius · Posted: Sun Nov 22, 2009 12:07 pm Post subject:

Target Retirement Income.

(But no argument at all with those who prefer Wellington and Wellesley).

It's actually pretty weird: my homebrew portfolio is really within striking distance of the composition of Target Retirement Income. But I have the illusion of a meaningful difference, notably a much higher commitment to TIPS, and if I did a "total makeover" to Target Retirement Income-plus-outriggers I'd have almost as many mutual funds as I do now.
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LynnC · Joined: 01 Mar 2007 Posts: 313 Location: California

Wellington.

LynnC

nisiprius · Posted: Sun Nov 22, 2009 12:27 pm Post subject:

chaz · Joined: 27 Feb 2007 Posts: 6813

Mel Lindauer · Posted: Sun Nov 22, 2009 1:01 pm Post subject:

traumamoma · Joined: 30 Oct 2007 Posts: 134

I have struggled with the choice between Wellsley and Target Retirement Income. It is extremely difficult to chose against Wellsley given its remarkable long term performance. Negatives would be active management (although its been great so far!) and relatively small number of equities. Given the current economic situation, the unbelievable amt of money the government is throwing around, and the high liklihood of inflation in the future, TRI would get the nod with its 20% TIPS allocation. The way things are playing out in my portfolio its looking like it will be split between the two, with Wellsley getting about 40% and TRI 60%. Plan on sleeping great with these two funds. Simple and keeps me from tinkering with a slice and dice approach. Regards, Peter

am · Joined: 30 Sep 2007 Posts: 559 Location: Illinois

wasatch microcap value Shocked

durhamlad · Joined: 10 Apr 2009 Posts: 1 Location: Louisiana

Given my age, Wellesley.

xerty24 · Joined: 15 May 2007 Posts: 1381

Nisiprius Optimum Blended Universal Index Fund

No second choice.

Latestarter · Joined: 26 Apr 2007 Posts: 542

An ETF that holds Peruvian bonds.

spinkter · Joined: 15 Nov 2009 Posts: 60

And i finally bought into them VTSMX and VFINX
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Czilla9000 · Joined: 11 Mar 2008 Posts: 55

Vanguard Dividend Appreciation (VIG or VDAIX) if passive....VIG is 40% of my allocation.

Longleaf Partners (LLPFX) if active.

chicagobear · Joined: 16 Dec 2007 Posts: 269

Permanent Portfolio Fund (PRPFX)

yakers · Joined: 20 Feb 2007 Posts: 167 Location: Pasadena, CA

For several years I used the target retirement type fund in my Federal TSP retirement account, my wife needed one fund and I steered her to....Wellesley. Easy to explain ad easy to live with.

aainvestor · Joined: 02 Mar 2007 Posts: 397 Location: Northern Virginia

Wellington or D&C Balanced