For the first time I input all our funds and balances in the X-Ray and got the below results. Our AA target is 75 stocks/ 25 bonds. We also want 30% of the equity exposure to be international. We also want 15% of the equity exposure to be small/mid cap. Any help with reviewing the x-ray and how we are accomplishing the above is appreciated.
25 25 30
5 5 6
2 2 2
Please help read my Morningstar X-ray
Re: Please help read my Morningstar X-ray
That's just the 9-grid style box for equities that you presented. Not much to read there, but it looks very close to a US Total Market Index fund 9-grid style box:
24-24-25
06-06-07
03-03-03
24-24-25
06-06-07
03-03-03
Re: Please help read my Morningstar X-ray
Each box represents the percent of your portfolio (with rounding error) that falls into each of the following categories.
So, based on your break down, you have more than 15% in small and medium (5+5+6+2+2+2=22).
Be aware that the S&P 500, which is the 500 largest companies in the US, make up about 80% of the market. All of those companies fall in the large and medium categories. That means that the remaining 20% must make up the rest of the medium and all of the small category. Therefore, simply owning the whole market will give you more than 15% in small and medium. If you wanted to get down to 15%, you have to invest more in the S&P 500 and less in the total market.
Is there a particular reason why you want 15% in small and medium? Lots of people here tend to tilt toward the small category, is that what you are trying to accomplish?
Code: Select all
LgValue LgBlend LgGrowth
MdValue MdBlend MdGrowth
SmValue SmBlend SmGrowth
Be aware that the S&P 500, which is the 500 largest companies in the US, make up about 80% of the market. All of those companies fall in the large and medium categories. That means that the remaining 20% must make up the rest of the medium and all of the small category. Therefore, simply owning the whole market will give you more than 15% in small and medium. If you wanted to get down to 15%, you have to invest more in the S&P 500 and less in the total market.
Is there a particular reason why you want 15% in small and medium? Lots of people here tend to tilt toward the small category, is that what you are trying to accomplish?
Re: Please help read my Morningstar X-ray
Of all my investments, I thought only my vanguard extended market and vanguard total index had any small/mid exposure. Based on the fact that I have 22% according to the x ray, my two American Funds 401K options (growth fund of Am and wash mutual) must have some exposure. This true?
Concerning the X-ray only being equity, the lion's share of our bond exposure is TSP G Fund.
Concerning the X-ray only being equity, the lion's share of our bond exposure is TSP G Fund.
Re: Please help read my Morningstar X-ray
Since the US total market index has 72% large-cap and 28% mid/small-cap, your 15% for small/mid desire is an underweight of the total market for this market-cap range.
If you want to see if any single fund has exposure, just put that single fund in an X-ray by itself.
If you want to see if any single fund has exposure, just put that single fund in an X-ray by itself.
Re: Please help read my Morningstar X-ray
Thanks. I was misinformed. I don't want to short this area. If all my international exposure is vanguard total intl index am I getting the appropriate intl small and mid cap allocation?
Re: Please help read my Morningstar X-ray
Yes.jerome99 wrote:If all my international exposure is vanguard total intl index am I getting the appropriate intl small and mid cap allocation?