Comments on: Investing For the Long Term – What’s a Good Portfolio Allocation? http://allfinancialmatters.com/2008/04/09/investing-for-the-long-term-whats-a-good-portfolio-allocation/ A personal finance blog dedicated to discussing such topics as budgeting, asset allocation, 401K, IRA, cash flow, insurance, financial planning, portfolio management, and other areas in personal finance. Sat, 21 Nov 2009 13:00:57 -0800 http://wordpress.org/?v=abc hourly 1 By: Chance http://allfinancialmatters.com/2008/04/09/investing-for-the-long-term-whats-a-good-portfolio-allocation/comment-page-1/#comment-343366 Chance Tue, 05 Aug 2008 15:37:09 +0000 http://allfinancialmatters.com/2008/04/09/investing-for-the-long-term-whats-a-good-portfolio-allocation/#comment-343366 I am 24 years old I was wondering what the best thing to do with a few thousand dollars. Should I buy stock since its so low right now or should I look into a Roth IRA? I already have a mutual growth fund so I would like to steer away from that. I am 24 years old I was wondering what the best thing to do with a few thousand dollars. Should I buy stock since its so low right now or should I look into a Roth IRA? I already have a mutual growth fund so I would like to steer away from that.

]]> By: MMI http://allfinancialmatters.com/2008/04/09/investing-for-the-long-term-whats-a-good-portfolio-allocation/comment-page-1/#comment-311402 MMI Tue, 20 May 2008 06:18:16 +0000 http://allfinancialmatters.com/2008/04/09/investing-for-the-long-term-whats-a-good-portfolio-allocation/#comment-311402 JB, I like your portfolio. You may want to consider including these 3 asset classes: Foreign Developed Equity Treasury Bond Treasury Inflation Protected securities David F. Swensen manages Yale University's endowment and in his book "Unconventional Success" recommends these asset classes along with others that are already in your portfolio. I find Swensen's advice credible because Yale's Endowment has fared well under his stewardship and he backs up his advice with academic research. He also counsels on asset classes to avoid (you don't have any in your portfolio). Google Swensen to read a couple Wall Street Journal & New York Times articles about him. The reader reviews at Amazon.com also give a good idea of what the book is about. MMI JB,

I like your portfolio. You may want to consider including these 3 asset classes:

Foreign Developed Equity
Treasury Bond
Treasury Inflation Protected securities

David F. Swensen manages Yale University’s endowment and in his book “Unconventional Success” recommends these asset classes along with others that are already in your portfolio.

I find Swensen’s advice credible because Yale’s Endowment has fared well under his stewardship and he backs up his advice with academic research.
He also counsels on asset classes to avoid (you don’t have any in your portfolio).

Google Swensen to read a couple Wall Street Journal & New York Times articles about him. The reader reviews at Amazon.com also give a good idea of what the book is about.

MMI

]]> By: Phil A. http://allfinancialmatters.com/2008/04/09/investing-for-the-long-term-whats-a-good-portfolio-allocation/comment-page-1/#comment-287916 Phil A. Sat, 19 Apr 2008 03:10:42 +0000 http://allfinancialmatters.com/2008/04/09/investing-for-the-long-term-whats-a-good-portfolio-allocation/#comment-287916 A reasonable allocation. I would suggest a bond fund to add a little more diversification and balance to the portfolio. A reasonable allocation. I would suggest a bond fund to add a little more diversification and balance to the portfolio.

]]> By: EA http://allfinancialmatters.com/2008/04/09/investing-for-the-long-term-whats-a-good-portfolio-allocation/comment-page-1/#comment-278744 EA Thu, 10 Apr 2008 19:35:01 +0000 http://allfinancialmatters.com/2008/04/09/investing-for-the-long-term-whats-a-good-portfolio-allocation/#comment-278744 This looks pretty much like my allocation, except I have a bond fund instead of the REIT. Mine is also at Vanguard with the exact same funds (except the REIT). I have a bit more in domestic stock and a bit less in international, but that's as much personal preference as anything. I think Vanguard is a very good choice. I'm not an expert, but I think low fees and rebalancing are more important than your exact allocation. This looks pretty much like my allocation, except I have a bond fund instead of the REIT. Mine is also at Vanguard with the exact same funds (except the REIT). I have a bit more in domestic stock and a bit less in international, but that’s as much personal preference as anything.

I think Vanguard is a very good choice. I’m not an expert, but I think low fees and rebalancing are more important than your exact allocation.

]]> By: Don http://allfinancialmatters.com/2008/04/09/investing-for-the-long-term-whats-a-good-portfolio-allocation/comment-page-1/#comment-278070 Don Thu, 10 Apr 2008 04:18:33 +0000 http://allfinancialmatters.com/2008/04/09/investing-for-the-long-term-whats-a-good-portfolio-allocation/#comment-278070 I'm sort of a fan of the Margaritaville portfolio myself, when looking for simple, using ETFs of course. I use this for my IRA, which I only contribute to once a year (to tune my taxes). My 403(b) is in a lifecycle fund. Thank you for playing up rebalancing. There's a pretty good argument that rebalancing is way more important than the actual allocation percentages. You can probably choose just about anything reasonable as long as you rebalance faithfully. I’m sort of a fan of the Margaritaville portfolio myself, when looking for simple, using ETFs of course. I use this for my IRA, which I only contribute to once a year (to tune my taxes). My 403(b) is in a lifecycle fund.

Thank you for playing up rebalancing. There’s a pretty good argument that rebalancing is way more important than the actual allocation percentages. You can probably choose just about anything reasonable as long as you rebalance faithfully.

]]> By: fin http://allfinancialmatters.com/2008/04/09/investing-for-the-long-term-whats-a-good-portfolio-allocation/comment-page-1/#comment-278011 fin Thu, 10 Apr 2008 02:43:42 +0000 http://allfinancialmatters.com/2008/04/09/investing-for-the-long-term-whats-a-good-portfolio-allocation/#comment-278011 Check out Vanguards LifeStrategy Funds. It's one fund choice and the allocation into other Vanguard Funds is done automatically depending of which strategy you choose. There are 4 funds. Check out Vanguards LifeStrategy Funds. It’s one fund choice and the allocation into other Vanguard Funds is done automatically depending of which strategy you choose. There are 4 funds.

]]>