Personal Investments • Re: 85% S&P 500 / 15% I Bonds

Overly complicated and will not result in a markedly different outcome from just investing in the total bond fund in your 401(k).

Complicated in what sense? Either plan is basically a 3 fund portfolio.

And sure, odds are it's not that different from the total bond fund, but I really like the idea of inflation protection.

The multiple trusts to manage all the I bonds. Probably not worth the effort.

Got it. I can understand that perspective.

At 36 years old, I would be 100% S&P 500 or Total Market Index. Whatever fund is available to you in your 401k and Roth will be okay.

I do see people advising 100% equities when young, and it is tempting. I'm less than 10% fixed income overall right now, if you don't count my emergency fund.

At 64, I am at 85% Total Mkt, 15% MoneyMkt just so you know how I'm thinking.

Now that is gutsy.

Personally I regret not investing more aggressive at your age. You are young, working and have a long runway ahead of you before retirement and should be able to recover if the market has a downturn.

That's just my opinion your mileage may vary.

Makes sense. I posted before making changes to get this kind of advice and will think about it. I'm beefing up my emergency fund right now to get ahead of some big ticket home repairs that might come due in the next few years. Maybe I just count that as part of the asset allocation and go heavier in equities in tax advantaged.

Statistics: Posted by blortchplop — Fri Sep 20, 2024 1:10 am

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