[quote=UCGal][quote=flu][quote=UCGal][quote=flu][quote=NicMM]Why don’t we just buy BKR-B? Isn’t it simpler than tracking Dow and adjusting portfolio very year?
NicMM[/quote]
I don’t want to add to that position.[/quote]
What about any of the total market indexes.
I’m sure it includes dogs and diamonds… since it includes everything.[/quote]
I have VTSAX, which is a vanguard total stock market.
I guess I was just wondering, if given an amount X that you want to allocate it into the stock market, do you distribute it among different benchmarks, or do you just pick 1 like the total stock index and call it a day?
It just seems like there is a variability in each of the benchmarks, but is it worth being in all of them…Or if you do that over a long period of time, it ends up being noise and no difference than just picking a “total stock market index”?[/quote]
Personally – I keep it simple.
Total stock index fund.
total bond index fund
Some leftover TIPS index fund
and a small int’l equity index fund.
The common thread is index funds. My total in the stock/equity side is 60%. My total in the bond side is 40%. That way on days the market takes a dump, my bonds either go up , or go down LESS… Kind of adding hysteresis to the market fluctuation. I don’t try to time anything or go to heavily into any sub group (energy, tech, whatever…) I just keep it simple.
I lost a lot of money when I was buying individual stocks and trying to time the market. I’m not smart enough for that.[/quote]
