Quote:
Originally Posted by l2ridehd
Use Vanguard, Schwab or Fidelity. Put 42% in total stock market, 18% in total international stock market, 28% in total bond market and 12% in total international bond market. Re-balance to those percentages every 6 months. Your return will average about 9% a year and your risk profile is very low. Much lower then the S&P or other suggested investments.
Your expenses will be extremely low. With Vanguard they will be less then 1/10th of 1% by using Admiral shares. It’s extremely important to re-balance to those exact percentages. Forces you to sell high and buy low.
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Hey, ride,
When I see your posts about your index fund approach, I always think that when the market drops, I just might tiptoe into some index funds with a little cash I will take from the moat. But, for now, I remain the, merely adequate, manager of the BoomerFund. (The girl can't help it. It's how I'm wired. Mr. Boomer has no complaints though.)
I have interviewed a few advisors and found one in my hometown that I liked, so maybe someday I will give him a call. But, you know that thing where they get 1% annually, taken quarterly. Well, that kind of unnerves me a little because it is not 1% of any gotten gains. It's 1% of assets under management. Therefore, they get paid in any kind of market. Of course, I don't expect them to do charity work, but, for now, I feel better just taking care of business myself.
Even with our parking place at one of the bigguns, we keep total control of the investments -- which is what you are doing with your funds at Vanguard. We have not used funds since our employer retirement accounts made us (mostly) while we were still working, but that does not mean that I don't keep a few funds on my radar.
I have been at it for decades though, and I know I am a rather unusual "old lady" who has surprised the heck out of a whippersnapper or two who has tried to buy me dinner first. But I have a backup plan if I ever lose interest in doing this myself -- or if anybody close to me sees that I better not be. (So far though, I have not gone crypto, nor am I hanging out on Reddit. I learned quite well from the mistake I made as a bubble dancer in the 90s. Fortunately, I had not bet the farm -- just the butter and egg money -- but still -- UG!)
I caught on fast after my bubble-dancing days and became a firm believer in the "Buy What You Know" philosophy. For instance, one day, about 4 and 1/2 years ago, Mr. Boomer saw me on my laptop doing a little shopping. . .
"Whatcha doin'?" he asked.
"Just lookin'," said I.
"Look at Garmin," Mr. Boomer said. (And then he went into some big explanation of airplanes needing Garmin. Well, I tried to look fascinated. Pilots like to talk about airplanes and when outside they are always looking up. I am used to it. Anyway, I took his advice. I looked at Garmin. I bought. And I am glad I did. That one was a classic "Buy What You Know.")
manaboutown, this thread is fun. I can never talk like this with people who actually know me. I am from that neck of the woods where we just do not ever talk about money. Ah, the freedom Boomer, my alter-ego, has found, throughout all these years, on TOTV -- even though I still try sometimes to break up with it.
Boomer