Every time I read a post from WCI, PoF, and other investment savvy people I do my best to mimic what they do in efforts to reach FIRE status. Today I was looking at a PoF post on his drawdown plan in early retirement and in the post he had a very simple spreadsheet showing his various investment vehicles. He had attached % in each account, type of acct, and ERs. I decided to try to replicate his and was overwhelmed by how diversified some of my accts are.
For example, my Roth IRA with Schwab was set up by one of their agents. I wasn't too savvy when I created it so I basically said I wanted low cost ETFs. Today as I tried to make my spreadsheet I realized that this account is made up of 18 ETFs with ERs that range from 0.03% up to 0.44%. My 401K is similarly diverse with 13 different allocations and a variety of low ERs. This was done based on recommendations by my partnership's financial division.
For someone still trying to figure out what's best in the investment world who has a generic IPS (I have literally cut and pasted one from WCI and PoF but still haven't figured out how to decide precisely how I'd like to have my assets allocated), is it worth trying to simply some of these retirement accounts into fewer allocations? Or should I be glad that there are so many different investments in each retirement vehicle? What do those of you with more knowledge do?
For example, my Roth IRA with Schwab was set up by one of their agents. I wasn't too savvy when I created it so I basically said I wanted low cost ETFs. Today as I tried to make my spreadsheet I realized that this account is made up of 18 ETFs with ERs that range from 0.03% up to 0.44%. My 401K is similarly diverse with 13 different allocations and a variety of low ERs. This was done based on recommendations by my partnership's financial division.
For someone still trying to figure out what's best in the investment world who has a generic IPS (I have literally cut and pasted one from WCI and PoF but still haven't figured out how to decide precisely how I'd like to have my assets allocated), is it worth trying to simply some of these retirement accounts into fewer allocations? Or should I be glad that there are so many different investments in each retirement vehicle? What do those of you with more knowledge do?
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