Portfolio Review - I would like to manage portfolio going forward

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c_is_for_cow
Posts: 25
Joined: Sat Nov 21, 2015 8:19 am

Portfolio Review - I would like to manage portfolio going forward

Post by c_is_for_cow » Wed Sep 12, 2018 1:52 pm

Hi Bogleheads,
I’ve been a long time reader and posted a few times. I was wondering if my wife and I could please get a portfolio review? We’ve been using a fee-only advisor the past 5 years, and I would like to try managing our portfolio going forward. In order to do that, I need some questions answered to fully understand what I’m doing. Our fee-only advisor selected our funds and rebalanced our overall portfolio allocation to 70/30 as per my direction last year. FYI, his suggestion was 65/35. Currently, the portfolio is out of balance at 75/25 right now. Please see below for details.


Contributions and Notes:
1. We are contributing max amount ($18,500/year) to each of our employer retirement accounts: My wife’s 403B, Government 457B, and my 401K. All of our contributions are pre-tax. Is that too much pre-tax? We have a small amount in ROTH for the 403B and 401K, but all contributions are pre-tax now.

2. Matching: Wife’s 401A is funded by employer with 8.5% of salary, my 401K has 7% match.

3. We contribute any leftover money (~$10,000/year) to our Vanguard taxable account, allocated as such: 75% total Stock Market Index, 25% International Stock Index.

4. Our 2017 tax rate (jointly) is 33%, with all pre-tax contributions accounted for in the 3 accounts, we are in the high 28%.

5. Due to combined income limits, we can't contribute to ROTH IRA’s. Even after maxing all 3 pre-tax accounts, we are still above ROTH cutoff level. I’ve wanted to start backdoor ROTH’s in the past, but have been hesitant because I am not sure we could max out two ROTH IRA’s with us maxing out 3 pre-tax employer accounts. Also, I have been hesitant to transfer our Vanguard rollover IRA’s into our employer accounts (pro-rata backdoor ROTH prerequisite) because we can never transfer that money back out to Vanguard or another custodian until we separate from our employers. My other concern is the backdoor option will get shutdown sometime relatively soon, and as stated, our funds are locked in our employer accounts.

Questions:
1. Should we consider backdoor ROTH contributions? If we did this, I don’t think we’d save anything in our taxable Vanguard account. I’ve really wanted to do backdoor ROTH’s in the past, but have been sitting on the fence. Is this a case of the tax tail wagging the dog meaning, are we just as good using taxable at this point?

2. Should we consider contributing some to ROTH 401K, ROTH 403B for tax diversification? I feel like we are paying a premium to do this since it’s high on the marginal scale during our working year. Or is it better to save as much pre-tax as possible for as long as possible and worry about how to minimize taxes later? I’d like to have options to retire by 55 and more realistically by 60. I know there are ROTH conversion ladders we could investigate later in life but not sure fully how to implement. My mindset has been to save as much now and worry about taxes later, but not sure if that’s smart.

3. What’s a good asset allocation? I am 41 years old, my wife is 38. We are currently at 75/25 overall for our total portfolio…we were at 70/30 a year ago, and it’s time to rebalance. Wonder if 60/40 would be more prudent at our age? I know it’s a personal thing so I need to give it more thought.

4. Can you please look at the funds and see if we are in the best funds? Specific question: In my wife’s 403B, 401A, and 457B accounts, should we switch out DODIX for Vanguard total bond index due to lower expense ratio? Or is DODIX a better fund for the expense ratio? I don’t know what I am comparing other than I know they are both “bond” class investments.

5. I am wondering how to go about rebalancing. I know we should buy and sell in our employer plans so we don’t trigger a taxable event in our taxable account. My question is, when selling stocks (X) and buying bonds (Y), do I simply sell X to get to my stock allocation (70%) and buy bonds (Y) to bring me up to my desired bond allocation (30)? Then do that for each of the three plans? For example, if our target is 70/30, I sell (X) in each plan until I am at 70% stocks, and buy (Y) in each plan until I am 30% bonds, correct?

6. When rebalancing, If I have more than one bond or stock fund in each plan, how do I decide how much of each to buy and sell when totaling 70 for (X)? For example, my 401K has 3 domestic stocks in it. What allocation should I use between those three that make up stocks (X) for that account?

Thanks,
Cow

Current aggregate portfolio with expense ratios and % of total portfolio:



Vangauard Total Stock Market Index VTSAX 0.04 Domestic Stock 1.83% (My personal spending money is in this account)

Husband Vangaurd Rollover IRA
Inflation Protected Securities VIPSX 0.20 Cash 1.52%
Short term bond index VBIRX 0.07 Bond 2.38%
Total Bond Market Index VBTLX 0.05 Bond 2.26%
Total International Stock Index VTIAX 0.11 INTL Stock 2.72%
Total Stock Market Index VTSAX 0.04 Domestic Stock 4.84%

Vanguard Joint Brokerage Taxable
Vanguard Total International VGTSX 0.17 International Stock 0.88%
Total Stock Market Index VTSAX 0.04 Domestic Stock 4.27%

Husband Empower 401K
Putnam International Equity R6 POVEX 0.79 International Stock 5.36%
SSGA Russell Small Cap Index Fd Class S N/A 0.05 Domestic Stock 6.10%
SSGA S&P MidCap Index Fund - Class C N/A 0.05 Domestic Stock 6.34%
SSGA Russell LargeCap Growth Index NL-C N/A 0.04 Domestic Stock 7.02%
SSGA US Bond Index fund class C N/A 0.05 Bond 5.95%



Spouse
Wife Vangaurd Rollover IRA
Inflation Protected Securities VIPSX 0.20 Cash 1.85%
Short term bond index VBIRX 0.07 Bond 2.89%
Total Bond Market Index VBTLX 0.05 Bond 2.75%
Total International Stock Index VTIAX 0.11 International Stock 3.30%
Total Stock Market Index VTSAX 0.04 Domestic Stock 5.88%

Wife 401A
Fidelity 500 Index Fund FXSIX 0.015 Domestic Stock 10.18%
AF Europac Growth R6 RERGX 0.49 International Stock 3.04%
Dodge and Cox Income DODIX 0.43 Bond 3.04%

Wife 403B
Fidelity 500 Index Fund FXSIX 0.015 Domestic Stock 8.05%
AF Europac Growth R6 RERGX 0.49 International Stock 2.54%
Dodge and Cox Income DODIX 0.43 Bond 2.97%

Wife Government 457B
Fidelity 500 Index Fund FXSIX 0.015 Domestic Stock 1.18%
AF Europac Growth R6 RERGX 0.49 International Stock 0.34%
Dodge and Cox Income DODIX 0.43 Bond 0.52%


Wife's Fidelity investment options for 401A, 403B, and 457B:

FUND ER Ticker
ABF LG CAP VAL INST Stock Investments - Large Cap 0.60% AADEX
FID 500 INDEX INST Stock Investments - Large Cap 0.02% FXSIX
FID CONTRAFUND K Stock Investments - Large Cap 0.65% FCNKX
J H ENTERPRISE N Stock Investments - Mid-Cap 0.67% JDMNX
JPM MIDCAP VALUE L Stock Investments - Mid-Cap 0.86% FLMVX
VANG MIDCAP IDX ADM Stock Investments - Mid-Cap 0.05% VIMAX
FID SMALL CAP GROWTH Stock Investments - Small Cap 1.09% FCPGX
VANG SM CAP IDX ADM Stock Investments 0.05% VSMAX
VULCAN VAL PTRS SMCP Stock Investments 1.27% VVPSX
AF EUROPAC GROWTH R6 Stock Investments - INTL 0.49% RERGX
FID INTL CAP APPREC Stock Investments - INTL 1.12% FIVFX
VANG TOT INTL STK AD Stock Investments - INTL 0.11% VTIAX
VAN REAL EST IDX ADM Stock Investments - Specialty 0.12% VGSLX
FID FREEDOM 2005 K Blended Investments* 0.43% FSNJX
FID FREEDOM 2010 K Blended Investments* 0.46% FSNKX
FID FREEDOM 2015 K Blended Investments* 0.50% FSNLX
FID FREEDOM 2020 K Blended Investments* 0.54% FSNOX
FID FREEDOM 2025 K Blended Investments* 0.57% FSNPX
FID FREEDOM 2030 K Blended Investments* 0.61% FSNQX
FID FREEDOM 2035 K Blended Investments* 0.64% FSNUX
FID FREEDOM 2040 K Blended Investments* 0.65% FSNVX
FID FREEDOM 2045 K Blended Investments* 0.65% FSNZX
FID FREEDOM 2050 K Blended Investments* 0.65% FNSBX
FID FREEDOM 2055 K Blended Investments* 0.65% FNSDX
FID FREEDOM 2060 K Blended Investments* 0.65% FNSFX
FID FREEDOM INC K Blended Investments* 0.42% FNSHX
VANG WELLINGTON ADM Blended Investments* 0.17% VWENX
DODGE & COX INCOME Bond Investments - Income 0.43% DODIX
EV INC FND BOSTON R6 Bond Investments - Income 0.66% EIBRX
TMPL GLOBAL BOND R6 Bond Investments - Income 0.63% FBNRX
VANG TOT BD MKT ADM Bond Investments - Income 0.05% VBTLX
VANG INFL PROT ADM Bond Investments - Other 0.10% VAIPX
FID GOVT MMKT Short-Term Investments 0.42% SPAXX


Husband Empower 401K investment options:
Investment Option Asset Class Gross/Net ER Ticker
Vanguard Federal Money Market Inv Money Market 0.11/0.11 VMFXX
AB Small Cap Growth Z Small Cap Funds 0.83 / 0.83 QUAZX
American Century US Mid Cap Value Eq Tr Mid Cap Funds 0.62 / 0.62 N/A
American Century Inflation Adj Bond R6 Bond 0.22 / 0.22 AIADX
Great-West T. Rowe Price Mid Cap Gr Inst Mid Cap Funds 0.67 / 0.67 MXYKX
Fifth Third Bank Equity Index Fund B Large Cap Funds 0.05 / 0.05 N/A
JPMCB Core Bond Fund-CF Bond 0.30 / 0.30 N/A
SSgA S&P MidCap Index Fund - Class C Mid Cap Funds 0.05 / 0.05 N/A
JPMorgan Short Duration Bond R6 Bond 0.35 / 0.30 JSDUX
Lazard/Wilmington Emerging Markets B International Funds 0.98 / 0.98 N/A
SSgA Russell Small Cap Index Fd Class S Small Cap Funds 0.05 / 0.05 N/A
Putnam International Equity R6 International Funds 0.79 / 0.79 POVEX
SSgA Global Equity ex-US Index NL Ser C International Funds 0.17 / 0.17 N/A
Victory Small Cap Value Collective 75 Small Cap Funds 0.75 / 0.75 N/A
SSgA U.S. Bond Index Fund - Class C Bond 0.05 / 0.05 N/A
SSgA Russell Large Cap Gr Idx NL Ser C Large Cap Funds 0.04 / 0.04 N/A
SSgA Russell Large Cap Val Idx NL Ser C Large Cap Funds 0.04 / 0.04 N/A
JPMCB SmartRetirement DRE Income CF Asset Allocation 0.41 / 0.41 N/A
JPMCB SmartRetirement DRE 2020 CF Asset Allocation 0.47 / 0.47 N/A
JPMCB SmartRetirement DRE 2025 CF Asset Allocation 0.53 / 0.53 N/A
JPMCB SmartRetirement DRE 2030 CF Asset Allocation 0.55 / 0.55 N/A
JPMCB SmartRetirement DRE 2035 CF Asset Allocation 0.56 / 0.56 N/A
JPMCB SmartRetirement DRE 2040 CF Asset Allocation 0.57 / 0.57 N/A
T. Rowe Price Blue Chip Growth Trust T2 Large Cap Funds 0.45 / 0.45 N/A
JPMCB SmartRetirement DRE 2045 CF Asset Allocation 0.57 / 0.57 N/A
JPMCB SmartRetirement DRE 2050 CF Asset Allocation 0.57 / 0.57 N/A
JPMCB SmartRetirement DRE 2055 CF Asset Allocation 0.58 / 0.58 N/A
JPMCB SmartRetirement DRE 2060 CF Asset Allocation 1.78 / 0.60 N/A
Touchstone Value Institutional Large Cap Funds 0.86 / 0.68 TVLIX
Waddell & Reed Core Equity CIT 1 Large Cap Funds 0.60 / 0.60 N/A
Empower SDB Sweep Program Brokerage null / null EMPMM
Empower SDB Sweep Program Roth Brokerage null / null EMPMR

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Peter Foley
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Joined: Fri Nov 23, 2007 10:34 am
Location: Lake Wobegon

Re: Portfolio Review - I would like to manage portfolio going forward

Post by Peter Foley » Wed Sep 12, 2018 3:20 pm

Lots of information. I'll provide a few thoughts and bump the thread for others to chime in as well.

Asset allocation: I think 70/30 is fine for your age. I would be inclined to rebalance by redirecting future contributions. There was a long thread recently about "age in bonds" and one conclusion (backtested I think) was that age - 18 in bonds was about right. Certainly 110 minus age in stocks has been considered pretty mainstream for some time.

Roth - I think the ideal in retirement is to have a mix of table, tax deferred, and Roth. This facilitates one's control of their taxable income. A second argument for a Roth is early retirement where one can withdraw contributions to cover living expenses. However, with a 457b, you already have that contingency covered. I personally would start a Roth for each of you. You don't need to contribute the maximum or even contribute each and every year. It would be a good idea, however, to have something set aside in a Roth for each of you. Maybe having a year or two's living expenses in a Roth by the time you retire would be a reasonable goal. (I'm just thinking out loud in terms of the goal. It should be meaningful, but not cause you to pay a lot more in taxes in the near term given your current tax rate.)

I think you have many more funds than you need. Since husband and spouse have good low cost bond funds, why not increase the allocation there in lieu of the higher cost Dodge and Cox Income funds. I like the fact that you have both total bond fund and short term bond fund. Also, no reason for spouse to hold Europac fund in three different plans if you want to retain that holding. Also, I would be inclined to hold some mid cap and small cap funds in one account to help approximate total stock market.

ExitStageLeft
Posts: 976
Joined: Sat Jan 20, 2018 4:02 pm

Re: Portfolio Review - I would like to manage portfolio going forward

Post by ExitStageLeft » Wed Sep 12, 2018 3:47 pm

You can easily manage your retirement portfolio and simplify it in the process.

My thoughts on your questions are as follows:

1) If you didn't have your wife's 457b plan available I would say it is probably worth clearing the tIRAs to allow backdoor Roth contributions. Given that you are saving $55k per year (maxing 401k, 403b and 457b) you probably don't need to add more tax-advantaged savings.

2) Yes. I would shuffle one of the retirement plan contribution so that something between 10% and 20% of your annual contribution is going into a designated Roth account.

3) I like your 70/30. You and your spouse should perhaps write up an Investment Policy Statement so that you both know what you're comfortable with, and how you plan to change it as your retirement approaches.

4) See below.

5 & 6) You need to simplify by settling on one or two assets in each account. You can do that easily enough in the IRAs and retirement plans. You adjust allocation with taxable by buying the asset(s) that sets your allocation on target.

Based on a 70/30 allocation with 30% of equities in international markets, you could pivot to a portfolio like so:

Joint Taxable 5.15%
0.88% Vanguard Total International (VGTSX) 0.17
4.27% Total Stock Market Index (VTSAX) 0.04

His Vanguard Rollover IRA 13.72%
3.45% Vanguard Total International (VGTSX) 0.17
10.27% Total Stock Market Index (VTSAX) 0.04

His Empower 401K 29.77%
4% SSGA Russell Small Cap Index Fd Class S 0.05
4% SSGA S&P MidCap Index Fund - Class C 0.05
21.77% SSGA Russell LargeCap Growth Index NL-C 0.04

Her Vangaurd Rollover IRA 16.67%
16.67% Vanguard Total International Stock Index (VTIAX) 0.11

Her 401A
16.26% Vanguard Total Bond Market Index (VBTLX) 0.05

Her 403B
13.56% Vanguard Total Bond Market Index (VBTLX) 0.05

Her Government 457B
1.84% Fidelity 500 Index Fund (FXSIX) 0.015
0.18% Vanguard Total Bond Market Index (VBTLX) 0.05

There's lots of ways to tweak this to make it better, but the idea is to simplify. You don't have to have the same allocation in each account, so set it up so you have the fewest changes required when it comes time to rebalance. In His 401k there isn't an affordable total stock market fund, so the mix is an approximation. Might consider some large cap value as well.

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Peter Foley
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Location: Lake Wobegon

Re: Portfolio Review - I would like to manage portfolio going forward

Post by Peter Foley » Wed Sep 12, 2018 7:24 pm

I like Exit's proposed simplification. If you were to look at my posts you would see that I am a believer in some diversification in non equities. (There is a recent thread titled "One bond fund is enough?" ) viewtopic.php?f=1&t=258618

My opinion is that some low cost inflation protection should be added to the bond side of the equation. If you have access in an account to a stable value fund that pays better than the rate of inflation that is one approach. The other approach is to add a short term bond fund to the mix as I mentioned in my previous post.

c_is_for_cow
Posts: 25
Joined: Sat Nov 21, 2015 8:19 am

Re: Portfolio Review - I would like to manage portfolio going forward

Post by c_is_for_cow » Wed Sep 12, 2018 7:38 pm

Thank you both...I will re-read these to make sure I understand before I do anything.

c_is_for_cow
Posts: 25
Joined: Sat Nov 21, 2015 8:19 am

Re: Portfolio Review - I would like to manage portfolio going forward

Post by c_is_for_cow » Fri Sep 28, 2018 8:53 am

Giving this thread a bump to see if I can can anymore feedback, thanks...

-cow

c_is_for_cow
Posts: 25
Joined: Sat Nov 21, 2015 8:19 am

Re: Portfolio Review - I would like to manage portfolio going forward

Post by c_is_for_cow » Sat Oct 27, 2018 7:32 am

After more research, we want to simplify and go to a 3-fund portfolio. For my wife's retirement accounts, she doesn't have Vanguard total stock market fund as a choice. Would you just use the S&P 500 fund in place of it, or would you use some % of mid cap and small cap with it? If so, what % would you use?

For husbands 401K options, can you suggest what 3 funds you would use? I don't have any Vanguard funds available.

Last question, any harm in just keeping each account proportionally % allocated for our desired asset allocation (i.e. 70/30 in each account) rather than trying to hold bonds in one account and the stocks in all other accounts..?

Thanks,
COW

ExitStageLeft
Posts: 976
Joined: Sat Jan 20, 2018 4:02 pm

Re: Portfolio Review - I would like to manage portfolio going forward

Post by ExitStageLeft » Sat Oct 27, 2018 10:14 am

c_is_for_cow wrote:
Sat Oct 27, 2018 7:32 am
After more research, we want to simplify and go to a 3-fund portfolio. For my wife's retirement accounts, she doesn't have Vanguard total stock market fund as a choice. Would you just use the S&P 500 fund in place of it, or would you use some % of mid cap and small cap with it? If so, what % would you use?

For husbands 401K options, can you suggest what 3 funds you would use? I don't have any Vanguard funds available.

Last question, any harm in just keeping each account proportionally % allocated for our desired asset allocation (i.e. 70/30 in each account) rather than trying to hold bonds in one account and the stocks in all other accounts..?

Thanks,
COW
For her plans, I would emulate a TSM fund with a 4:1 mix of FXSIX and VSMAX. The exposures aren't identical but close enough: https://www.portfoliovisualizer.com/bac ... tion3_2=20

In His 401k I would use any combination of the State Street funds:
SSgA S&P MidCap Index Fund - Class C Mid Cap Funds 0.05 / 0.05 N/A
SSgA Russell Small Cap Index Fd Class S Small Cap Funds 0.05 / 0.05 N/A
SSgA Global Equity ex-US Index NL Ser C International Funds 0.17 / 0.17 N/A
SSgA U.S. Bond Index Fund - Class C Bond 0.05 / 0.05 N/A
SSgA Russell Large Cap Gr Idx NL Ser C Large Cap Funds 0.04 / 0.04 N/A
SSgA Russell Large Cap Val Idx NL Ser C Large Cap Funds 0.04 / 0.04 N/A

I would also consider the Fifth Third Bank Equity Index in place of the two SSgA large cap funds.

c_is_for_cow
Posts: 25
Joined: Sat Nov 21, 2015 8:19 am

Re: Portfolio Review - I would like to manage portfolio going forward

Post by c_is_for_cow » Sat Oct 27, 2018 11:42 am

Thanks ExitStageLeft,

To clarify, in his 401K, you'd also do a 4:1 ratio of the S&P 500 index and any combination of the following:

SSgA S&P MidCap Index Fund - Class C Mid Cap Funds 0.05 / 0.05 N/A
SSgA Russell Small Cap Index Fd Class S Small Cap Funds 0.05 / 0.05 N/A
SSgA Global Equity ex-US Index NL Ser C International Funds 0.17 / 0.17 N/A
SSgA U.S. Bond Index Fund - Class C Bond 0.05 / 0.05 N/A
SSgA Russell Large Cap Gr Idx NL Ser C Large Cap Funds 0.04 / 0.04 N/A
SSgA Russell Large Cap Val Idx NL Ser C Large Cap Funds 0.04 / 0.04 N/A

Thanks,
COW

ExitStageLeft
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Joined: Sat Jan 20, 2018 4:02 pm

Re: Portfolio Review - I would like to manage portfolio going forward

Post by ExitStageLeft » Sat Oct 27, 2018 12:09 pm

I'm a big fan of "close enough" when trying to emulate a TSM fund with limited 401k options. I would look for ways to further simplify so that you only need one completion fund in one account. Buy the S&P 500 funds in both his and her plans, but have the completion fund in just one plan. With costs about the same, look for which one offers better diversification.

The SSgA Small Cap Index fund is probably the same as https://rpsbenefits.com/wp-content/uplo ... pectus.pdf but a different class of shares. The fund has 2,000 holdings whereas Vanguard's VSMAX has 1410 holdings. Turnover for both is about the same at 15%.

Suppose you have 60% of your portfolio in total stock market, within the retirement plans. That means 48% in a S&P500 fund and 12% in a completion fund. I would go for all FXSIX in her plans, and in his 401k have 12% in SSgA Small Cap and the rest of the stock allocation in either an equal blend of Large Cap growth and value, or put it in the Fifth Third Bank Equity fund.

c_is_for_cow
Posts: 25
Joined: Sat Nov 21, 2015 8:19 am

Re: Portfolio Review - I would like to manage portfolio going forward

Post by c_is_for_cow » Wed Oct 31, 2018 10:08 pm

Thanks ExitStageLeft. I've been reading about completion funds, and the Vanguard Extended Market fund is the only one I can find that is recommended. Are you suggesting to use the SSgA Small Cap Index fund as the completion fund (in your example, I'd hold this fund at 12% of total portfolio equities for a 60/40 allocation)?

For the completion fund, I am trying to figure out if I need small cap, mid cap, small cap AND mid cap, or if I need a completion fund at all with the S&P 500 index. Sorry for all the questions, just trying to get this last detail nailed down before I implement the 3 fund strategy with our nest egg.

You mentioned if it were you, you would go for all FXSIX in her plans, and in his 401k have 12% in SSgA Small Cap and the rest of the stock allocation in either an equal blend of Large Cap growth and value, or put it in the Fifth Third Bank Equity fund. You said earlier in the post, you would buy S&P 500 in both his and her plans...but after reading this, I think you would NOT buy S&P 500 in his plan, but rather 50/50% split in his plan between a large cap growth and a large cap value fund. Did I read that correctly?

Thanks,
cow

ExitStageLeft
Posts: 976
Joined: Sat Jan 20, 2018 4:02 pm

Re: Portfolio Review - I would like to manage portfolio going forward

Post by ExitStageLeft » Thu Nov 01, 2018 12:04 pm

From my perspective, you can cover most of your US equity needs with an index fund that tracks the S&P 500. You can do a little bit better by adding in another fund that is invested in small cap or mid cap companies. You can get the balance exactly right if you use a ratio of all three type of funds that is equal to their respective share of market capitalization. You can also get the balance exactly right if you have access to a completion fund, such as the Vanguard Extended Market.

You can probably build a portfolio in the 401k using some mix of large small and mid cap funds that works out to be a near-perfect emulation of the total stock market. But that could require a lot of work exploring the holdings of each fund and working out the exact ratio needed to match market conditions. But the market changes continually, and in a month the appropriate weight of small or mid cap assets will likely be different than it is today.

So what's a reasonable approximation? First and foremost, something that tracks the S&P 500. Most large cap blend index funds fill that role. Ones focused on growth or value are a subset, so to get a balance you would need a blend of the two. You could just go that route and have yourself invested in most of the wealth-building stocks in the market.

But from a Boglehead perspective more diversification is better. So anything that expands your assets into the mid and small cap range will be an improvement. The trick is balancing that quest for maximum diversification against the need for low cost and simplicity. I don't think there's a right answer, just one that meets your needs and wants best.

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