Portfolio Evaluation

Have a question about your personal investments? No matter how simple or complex, you can ask it here.
Post Reply
ChinchillaWhiplash
Posts: 444
Joined: Sat Jan 20, 2018 5:40 pm
Location: Colorado

Portfolio Evaluation

Post by ChinchillaWhiplash » Mon Jan 22, 2018 11:36 am

How does this look for a portfolio for a retirement timeline of about 15 years?

SCHB. Schwab US Broad Market ETF. 30%
VOE. Vanguard Mid Cap Value ETF. 20%
SCHF. Schwab International Equities ETF 15%
VPU. Vanguard Utilities ETF 10%
SCHZ. Schwab US Aggregate Bond ETF 15%
SCHR. Schwab Intermediate Term US Treasury ETF 10%

Does this seem safe given my timeframe? Too conservative? Would you change anything allocation wise? Any funds you would replace with something else? Trying to keep ER down for everything. Think VPU is the highest at .10. These funds will be held in a tax deferred Individual (solo) 401k.

bloom2708
Posts: 4441
Joined: Wed Apr 02, 2014 2:08 pm
Location: Fargo, ND

Re: Portfolio Evaluation

Post by bloom2708 » Mon Jan 22, 2018 12:58 pm

With the Total US market and Total International market, why buy more mid-cap and utilities?

Do you have some inside information on those two areas? Many here favor a small cap value tilt with a Total US market fund. Or a small portion of REIT. I personally am not a tilter.

SCHB. Schwab US Broad Market
SCHF. Schwab International Equities
SCHZ. Schwab US Aggregate Bond ETF

There is your 3 fund portfolio. The other 3 are not really needed. They don't add diversity. They buy more of something in the broad market funds.

75/25 is a good mix and would be reasonable. 70/30 would also be fine.

International is typically 20 to 50% of your stock allocation.

Just my 2 cents. Good luck!
"We are here not to please but to provoke thoughtfulness" Unknown Boglehead

Grt2bOutdoors
Posts: 18828
Joined: Thu Apr 05, 2007 8:20 pm
Location: New York

Re: Portfolio Evaluation

Post by Grt2bOutdoors » Mon Jan 22, 2018 1:43 pm

Switch out of VOE and buy VBR (CRSP small value) or VIOV (S&P 600).
Dump the Utilities ETF and purchase the international fund instead. Recommend you hold at least 30% in an all world ex us fund.
"One should invest based on their need, ability and willingness to take risk - Larry Swedroe" Asking Portfolio Questions

ChinchillaWhiplash
Posts: 444
Joined: Sat Jan 20, 2018 5:40 pm
Location: Colorado

Re: Portfolio Evaluation

Post by ChinchillaWhiplash » Mon Jan 22, 2018 3:44 pm

Thanks for the responses. Will definitly take your advice into consideration.

ChinchillaWhiplash
Posts: 444
Joined: Sat Jan 20, 2018 5:40 pm
Location: Colorado

Re: Portfolio Evaluation

Post by ChinchillaWhiplash » Mon Jan 22, 2018 4:21 pm

Grt2bOutdoors wrote:
Mon Jan 22, 2018 1:43 pm
Switch out of VOE and buy VBR (CRSP small value) or VIOV (S&P 600).
Dump the Utilities ETF and purchase the international fund instead. Recommend you hold at least 30% in an all world ex us fund.
Guessing that the advantage of VBR over VOE is less overlap with SCHB? SCHB is more heavily weighted towards large cap. Thinking the smaller companies would also benefit more from the current tax situation?

Grt2bOutdoors
Posts: 18828
Joined: Thu Apr 05, 2007 8:20 pm
Location: New York

Re: Portfolio Evaluation

Post by Grt2bOutdoors » Mon Jan 22, 2018 4:45 pm

ChinchillaWhiplash wrote:
Mon Jan 22, 2018 4:21 pm
Grt2bOutdoors wrote:
Mon Jan 22, 2018 1:43 pm
Switch out of VOE and buy VBR (CRSP small value) or VIOV (S&P 600).
Dump the Utilities ETF and purchase the international fund instead. Recommend you hold at least 30% in an all world ex us fund.
Guessing that the advantage of VBR over VOE is less overlap with SCHB? SCHB is more heavily weighted towards large cap. Thinking the smaller companies would also benefit more from the current tax situation?
VBR has more mid cap and small cap companies in it with a lower p/b than SCHB, VIOV has more smaller companies than VBR and a slightly lower p/b as well.
"One should invest based on their need, ability and willingness to take risk - Larry Swedroe" Asking Portfolio Questions

Post Reply