Hello All,
After going on a financial education reading binge the last few months I finally just opened a Roth IRA last month. I am a 28 year old PGY3 in a 4 year residency and my hospital does not offer a retirement account for residents. I plan to max out my Roth IRA every year (including this year). For asset allocation I am planning on 70/30 stocks/bonds with about 20-40% of the stock international, and I was planning to buy Vanguard funds-- ideally Total Stock Index Fund (VTSMX) , Total International Index Fund (VGTSX), and Total Bond Market Index Fund (VBMFX). However aside from the Target Retirement funds it seems all the funds have a $3k minimum investment and the annual max contribution for Roth IRA is $5500;
-do you recommend I stick with the the Target Retirement fund until my portfolio grows enough before I can buy all 3 funds?
-Or for this year just buy VTSMX and next year buy the other 2 since next year is only a few months away?
-Or just buying VTSMX for this year in my Roth IRA (max it out for $5500) AND open a taxable account to buy VGTSX, and in January buy VBMFX for my Roth IRA (and keep VGSTX in the taxable account)?
-Or should i look at ETF and non-vanguard funds that have smaller investment minimums?
Thanks in advance for any feedback!
Thanks for the advice!
After going on a financial education reading binge the last few months I finally just opened a Roth IRA last month. I am a 28 year old PGY3 in a 4 year residency and my hospital does not offer a retirement account for residents. I plan to max out my Roth IRA every year (including this year). For asset allocation I am planning on 70/30 stocks/bonds with about 20-40% of the stock international, and I was planning to buy Vanguard funds-- ideally Total Stock Index Fund (VTSMX) , Total International Index Fund (VGTSX), and Total Bond Market Index Fund (VBMFX). However aside from the Target Retirement funds it seems all the funds have a $3k minimum investment and the annual max contribution for Roth IRA is $5500;
-do you recommend I stick with the the Target Retirement fund until my portfolio grows enough before I can buy all 3 funds?
-Or for this year just buy VTSMX and next year buy the other 2 since next year is only a few months away?
-Or just buying VTSMX for this year in my Roth IRA (max it out for $5500) AND open a taxable account to buy VGTSX, and in January buy VBMFX for my Roth IRA (and keep VGSTX in the taxable account)?
-Or should i look at ETF and non-vanguard funds that have smaller investment minimums?
Thanks in advance for any feedback!
Thanks for the advice!
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