Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
$5.6 million and,....
Old 01-03-2014, 02:38 PM   #1
Dryer sheet wannabe
John_Q_Public's Avatar
 
Join Date: Dec 2013
Location: none
Posts: 12
$5.6 million and,....

,......No sure where to allocate it in a retiree folio?
__________________

__________________
John_Q_Public is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 01-03-2014, 03:10 PM   #2
gone traveling
 
Join Date: Jun 2012
Location: Austin
Posts: 245
Quote:
Originally Posted by John_Q_Public View Post
,......No sure where to allocate it in a retiree folio?

Mine?

__________________

__________________
LakeTravis is offline   Reply With Quote
Old 01-03-2014, 03:14 PM   #3
Thinks s/he gets paid by the post
 
Join Date: Sep 2012
Location: Seattle
Posts: 2,904
Plastics
__________________
Fermion is offline   Reply With Quote
Old 01-03-2014, 03:30 PM   #4
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
REWahoo's Avatar
 
Join Date: Jun 2002
Location: Texas Hill Country
Posts: 42,074
Pork belly futures
__________________
Numbers is hard

When I hit 70, it hit back

Retired in 2005 at age 58, no pension
REWahoo is offline   Reply With Quote
Old 01-03-2014, 03:31 PM   #5
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
travelover's Avatar
 
Join Date: Mar 2007
Posts: 9,874
Bitcoins!
__________________
Yes, I have achieved work / life balance.
travelover is offline   Reply With Quote
Old 01-03-2014, 03:49 PM   #6
Thinks s/he gets paid by the post
 
Join Date: Jul 2012
Location: Mississippi
Posts: 1,878
__________________
rbmrtn is offline   Reply With Quote
Old 01-03-2014, 05:29 PM   #7
Thinks s/he gets paid by the post
ls99's Avatar
 
Join Date: May 2008
Posts: 4,792
Shoot, for them kind of bucks you should be able to hire a for fee only finance type.

By the way, if you could make that much by your own savvy, why are you asking here?

Or out pure generosity, give 1/2 to the gummint so they can put it to good use helping the less fortunate.
__________________
There must be moderation in everything, including moderation.
ls99 is offline   Reply With Quote
Old 01-03-2014, 05:45 PM   #8
Thinks s/he gets paid by the post
Major Tom's Avatar
 
Join Date: Nov 2009
Location: SF East Bay
Posts: 3,128
John_Q_Public -

If you're wondering why you've received simplistic answers and jokes in reply to your post, please consider that you are asking a bunch of strangers with whom you have had little to no previous interaction to spend time helping you out. In order to help get them interested in doing this, you gotta throw 'em a bone. Give a little background information - your level of investing experience and knowledge, tolerance for risk, your approximate age and how long you want this portfolio to last, and what kind of income you're hoping to draw from it. At least put the effort in to write a few sentences so that the members here will feel motivated to write more than one sentence in reply (which is what you gave us in your very incomplete question).
__________________
ER, for all intents and purposes. Part-time income <5% of annual expenditure.
Major Tom is offline   Reply With Quote
Old 01-03-2014, 06:28 PM   #9
Thinks s/he gets paid by the post
growing_older's Avatar
 
Join Date: Jun 2007
Posts: 2,608
For what it's worth, here's my plan. I have no where near the amount you have, but my plan is to keep the same asset allocation at whatever level of assets I have. If I had $1 million or if I had $10 million, I would invest similarly. I'm told at levels above $10 million then tax considerations may start to dominate and I will need professional (tax planning, not financial planning) help.

Otherwise, I like three fund portfolios. Vanguard Total Stock Market, Vanguard International Stock and Vanguard Total Bond Market. I like 70% equity and 50/50 international, so I put 35% in each of the two equity funds and 30% in fixed income. Bond rates are so low, I'm hedging slightly with only 15% in total bond market, and 15% in CDs. I don't expect this tweak in fixed income will make much difference, but it helps me ignore all the financial news about predicting rising interest rates.
__________________
growing_older is offline   Reply With Quote
Old 01-03-2014, 06:33 PM   #10
Thinks s/he gets paid by the post
obgyn65's Avatar
 
Join Date: Sep 2010
Location: midwestern city
Posts: 4,061
It would be nice to have some additional information before answering.
Quote:
Originally Posted by John_Q_Public View Post
,......No sure where to allocate it in a retiree folio?
__________________
Very conservative with investments. Not ER'd yet, 48 years old. Please do not take anything I write or imply as legal, financial or medical advice directed to you. Contact your own financial advisor, healthcare provider, or attorney for financial, medical and legal advice.
obgyn65 is offline   Reply With Quote
Old 01-03-2014, 06:43 PM   #11
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Midpack's Avatar
 
Join Date: Jan 2008
Location: Chicagoland
Posts: 11,964
Assuming the OP is even serious (hard to believe), I have to assume he/she prefers a "hands off" approach. Put it all in Wellington, Wellesley, a balanced or target retirement fund or a lazy portfolio of your choice Lazy portfolios - Bogleheads. I wouldn't recommend it, but some would suggest at least part in an annuity.

Anything beyond that would likely be a mistake without some investing education.
__________________
No one agrees with other people's opinions; they merely agree with their own opinions -- expressed by somebody else. Sydney Tremayne
Retired Jun 2011 at age 57

Target AA: 60% equity funds / 35% bond funds / 5% cash
Target WR: Approx 2.5% Approx 20% SI (secure income, SS only)
Midpack is offline   Reply With Quote
Old 01-03-2014, 07:18 PM   #12
Thinks s/he gets paid by the post
Major Tom's Avatar
 
Join Date: Nov 2009
Location: SF East Bay
Posts: 3,128
Quote:
Originally Posted by Midpack View Post
With all due respect, it wouldn't change your (lowest possible risk) recommendation would it?
Now, now.......
__________________
ER, for all intents and purposes. Part-time income <5% of annual expenditure.
Major Tom is offline   Reply With Quote
Old 01-03-2014, 07:21 PM   #13
Recycles dryer sheets
galeno's Avatar
 
Join Date: Nov 2002
Location: Alajuela, Costa Rica
Posts: 220
For me there is NO difference whatsoever whether I'm investing $100K or $100M.

1. WGD (wide global diversification)
2. CMM (cost matters most)
3. KISS (keep it simple, stupid)

Pick an asset allocation that allows you to sleep well (volatility risk) and eat well (inflation risk).
__________________
AA = 60/35/5. Expected CAGR = 5.7%. GSD (5y) = 7.8%. USD inflation (10 y) = 1.8%. AWR = 3.0%. TER = 0.5%. Net Port Yield = 1.7%. Term = 36 yr. FI Duration = 4.9 yr. Portfolio survival probability = 86%.
galeno is offline   Reply With Quote
Old 01-16-2014, 07:07 PM   #14
Recycles dryer sheets
Rothman's Avatar
 
Join Date: Apr 2013
Posts: 249
I would have thought it does matter, if OP only really needs a $3M to meet needs seems it would be invested our normal way, but I'd go all equity with the remainder and grow a legacy
__________________

__________________
Rothman is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


 

 
All times are GMT -6. The time now is 12:53 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.