criticize my portfolio

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etguy
Posts: 68
Joined: Fri Oct 13, 2017 2:09 pm

criticize my portfolio

Post by etguy » Mon Jan 08, 2018 11:54 am

anything wrong with my AA :

Taxable :
total stock
total international
tax exempt intermediate Muni bond

iRA : vanguard health fund, life strategy

529 for two kids : both aggressive ( 90/10 )

allocation : 75 % stock, 25 % bond

I am planning to add REIT and extended market - i Know both are in the the total stock market fund, but I am willing to take some risk.

OnTrack2020
Posts: 278
Joined: Mon Mar 20, 2017 10:24 am

Re: criticize my portfolio

Post by OnTrack2020 » Mon Jan 08, 2018 12:03 pm

Right off the bat, the VG HC Fund is a sector fund that is actively managed. That's not a bad thing---I used to have this fund and loved it. But as I've grown older, it's just too narrow in scope for me; I needed less risk. You don't mention how old you are---in your 20s or 50s?

etguy
Posts: 68
Joined: Fri Oct 13, 2017 2:09 pm

Re: criticize my portfolio

Post by etguy » Mon Jan 08, 2018 12:06 pm

VGHCX is good to me so far too, I am 42 yrs old. tax bracket 33 %

hawkfan55
Posts: 289
Joined: Thu Apr 03, 2014 9:04 pm

Re: criticize my portfolio

Post by hawkfan55 » Mon Jan 08, 2018 1:00 pm

anything wrong with my AA :

Taxable :
total stock
total international
tax exempt intermediate Muni bond

iRA : vanguard health fund, life strategy

529 for two kids : both aggressive ( 90/10 )

allocation : 75 % stock, 25 % bond

I am planning to add REIT and extended market - i Know both are in the total stock market fund, but I am willing to take some risk.
The information you receive based on the above is insufficient to be of quality. How old are you? MFJ? Kid's ages... you wouldn't want to be 90/10 with just a couple years before college! Why not just keep your AA simple and go with Vanguard Total Stock Market, Total International Stock Market and Total Bond Market Funds or ETFs? By keeping it simple, you'll get greater diversification, lower expenses, and less worry about picking the right sector. Diversification is always good! Your AA is the one thing that you control that can make a "real" difference. Make sure you can sleep at night and won't sell stock funds during a 50% downturn.
Forum Library of Investing Advice: https://www.bogleheads.org/wiki/Main_Page

brittney21
Posts: 5
Joined: Thu Sep 28, 2017 1:57 am

Re: criticize my portfolio

Post by brittney21 » Mon Jan 08, 2018 1:03 pm

VGHCX is also almost same to me, I am 40 yrs old. tax bracket 32 %

etguy
Posts: 68
Joined: Fri Oct 13, 2017 2:09 pm

Re: criticize my portfolio

Post by etguy » Mon Jan 08, 2018 1:06 pm

hawkfan55 wrote:
Mon Jan 08, 2018 1:00 pm
anything wrong with my AA :

Taxable :
total stock
total international
tax exempt intermediate Muni bond

iRA : vanguard health fund, life strategy

529 for two kids : both aggressive ( 90/10 )

allocation : 75 % stock, 25 % bond

I am planning to add REIT and extended market - i Know both are in the total stock market fund, but I am willing to take some risk.
The information you receive based on the above is insufficient to be of quality. How old are you? MFJ? Kid's ages... you wouldn't want to be 90/10 with just a couple years before college! Why not just keep your AA simple and go with Vanguard Total Stock Market, Total International Stock Market and Total Bond Market Funds or ETFs? By keeping it simple, you'll get greater diversification, lower expenses, and less worry about picking the right sector. Diversification is always good! Your AA is the one thing that you control that can make a "real" difference. Make sure you can sleep at night and won't sell stock funds during a 50% downturn.
kids are 7 and 5 yrs ! total bond won't be good in my tax bracket. Should I add small and mid cap stock , and REIT ? - anyone on the same boat ?

hawkfan55
Posts: 289
Joined: Thu Apr 03, 2014 9:04 pm

Re: criticize my portfolio

Post by hawkfan55 » Mon Jan 08, 2018 2:05 pm

etguy, I thought you were asking about a tax deferred account such as the 529. Looking at your original post, it is not clear the planned location of REIT and extended market. Have you read the prospectus for these two ETFs/funds? I would recommend you check out the Bogleheads Wiki at https://www.bogleheads.org/wiki/Main_Page
You'll learn a lot about investing and asset location. Good luck!
Forum Library of Investing Advice: https://www.bogleheads.org/wiki/Main_Page

TheHouse7
Posts: 314
Joined: Fri Jan 13, 2017 2:40 am

Re: criticize my portfolio

Post by TheHouse7 » Mon Jan 08, 2018 9:18 pm

Have you considered your current allocation to complex? Are you searching for more return(by taking more risk)? Or are you looking to reduce risk(without reducing expected returns)?

I gave up on tilting and timing when I wasn't willing to put more than 10% of our Total portfolio into one sector.
"PSX will always go up 20%, why invest in anything else?!" -Father-in-law early retired.

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