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  • jhwkr542
    replied
    For me, I think international index funds are really good for taxable. Volatility for tlh possibilities and the foreign tax credit.

    Leave a comment:


  • OrthoInAL
    replied




    Sounds fine to me, as long as you’re happy with overwriting mid and small cap (which isn’t a bad idea imo).

    Total stock market is basically 70/20/10 large/mid/small, or 80/20 S&P/extended market. So your portfolio will have half the exposure to large, 1.5x to mid, and 3.3x to small, relative to total stock market.
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    How do you feel about having international thrown in there? Or do you feel that would be better in a separate taxable account?

    Leave a comment:


  • DMFA
    replied
    Sounds fine to me, as long as you're happy with overwriting mid and small cap (which isn't a bad idea imo).

    Total stock market is basically 70/20/10 large/mid/small, or 80/20 S&P/extended market. So your portfolio will have half the exposure to large, 1.5x to mid, and 3.3x to small, relative to total stock market.

    Leave a comment:


  • OrthoInAL
    started a topic 401(k) portfolio

    401(k) portfolio

    I just became eligible to start contributing to my 401(k) with the company I work for. After reading WCI and Bogleheads etc., I'm sold on the idea of passive index fund investing. Ideally I would have liked to have an option to invest in a total stock market index fund, but this wasn't available in my 401k selections through Principal. My current allocation is:

    25% Large Cap (S&P 500) Index

    25% Mid Cap (400) Index

    25% Small Cap (600) Index

    25% International Equity Index

     

    Does anyone have any recommendations or critiques/advice? I'd be happy to post the available options if that would be more helpful. I haven't started Roth or taxable Vanguard accounts yet, those will be coming soon. I'm not sure how to adequately diversify the 401K in conjunction with the Roth and taxable Vanguard accounts when I start those as well. Perhaps total stock market index and a total bond market index in both accounts, or one in Roth and the other in taxable?

     

    Thanks for any input. I feel like I've learned so much from reading and following this site.
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