Welcome. What I would recommend is first deciding what your want your asset allocation to be, and then picking funds to fit that. Right now your proposed breakdown is:
57% US stocks (divided across 3 funds)
8% international (from AVGV)
20% REITs
15% bonds
A few things to consider:
1) Dividend-style investing is not strongly favored on this site, or on many investment forums, for various reasons. There are many posts on that here. All I will say is that you should carefully read and understand the upsides and downsides of investing this way before you invest nearly half your money in dividend-related funds (under which I would include many REITs). You may fall into the category of people for whom dividend investing works OK (lower tax bracket, would live off the dividends as supplemental income), but need to fully understand that long-term, neither the dividends nor substantial growth of the investment can be expected to necessarily continue.
2) 20% REITs is well over market cap weight, and if there is an issue with the real estate market in the US in the future, you will definitely feel it.
3) You probably don't need both AVGV (a value blend) and a dividend fund (generally large cap value). You can use both AVGV and VTI if you want, as long as you have a good reason for including AVGV in your portfolio. It's not a bad investment, but will not behave similarly to VTI.
4) Some here will disagree, but I think many Bogleheads would consider more international exposure than what is afforded by AVGV (AVGV is about 30% developed markets and 6% emerging markets, remainder is US equities).
57% US stocks (divided across 3 funds)
8% international (from AVGV)
20% REITs
15% bonds
A few things to consider:
1) Dividend-style investing is not strongly favored on this site, or on many investment forums, for various reasons. There are many posts on that here. All I will say is that you should carefully read and understand the upsides and downsides of investing this way before you invest nearly half your money in dividend-related funds (under which I would include many REITs). You may fall into the category of people for whom dividend investing works OK (lower tax bracket, would live off the dividends as supplemental income), but need to fully understand that long-term, neither the dividends nor substantial growth of the investment can be expected to necessarily continue.
2) 20% REITs is well over market cap weight, and if there is an issue with the real estate market in the US in the future, you will definitely feel it.
3) You probably don't need both AVGV (a value blend) and a dividend fund (generally large cap value). You can use both AVGV and VTI if you want, as long as you have a good reason for including AVGV in your portfolio. It's not a bad investment, but will not behave similarly to VTI.
4) Some here will disagree, but I think many Bogleheads would consider more international exposure than what is afforded by AVGV (AVGV is about 30% developed markets and 6% emerging markets, remainder is US equities).
Statistics: Posted by breakfastinbed — Sat Sep 07, 2024 11:50 pm