However, we don't have the full range of Vanguard bond funds available. We only have the following three bond funds:
BlackRock High Yield Bond (BRHYX, ER 0.58%)
- Junk bonds, mostly B and below.
- Actively managed, seems to be well diversified.
- Vanguard TIPS fund.
- 100% into Vanguard Inflation-Protected.
- Slice & Dice for diversification, weighted heavily to Vanguard Inflation-Protected. (Example: 20% BlackRock, 20% PIMCO, 60% Vanguard TIPS.)
- Slice & Dice, equal weighting. (33% BlackRock, 33% PIMCO, 34% Vanguard TIPS.)
- Slice & Dice, without junk bonds. (20-50% PIMCO, 80-50% Vanguard TIPS.)
I suppose my other option would be to junk my entire lazy portfolio plan, and simply go with the Vanguard Balanced Index Fund Investor Shares (VBINX, ER 0.24%). However, there is no international exposure with that fund, so I'd at least have to add a slice of the Vanguard Total International Index fund. That would be perfectly acceptable if the bond portion of the Balanced Index Fund is significantly better than some combination of the three bond funds listed above.
Your feedback is appreciated.