Hi everyone – It’s been a while since I’ve been on the forums, and am looking for some advice. I have several questions, but right now I’m concentrating on the 50 meter target.
I’m a year out from military retirement – I’ll go on terminal leave in 8 months. I’ve been on autopilot with my investments for a while, and realized this week that everything was out of balance. So, I’m taking the opportunity of a down market to rebalance and hopefully produce better returns. (I was invested too conservatively). I’d like your advice on a couple of things:
My bottom line of invested funds -
TSP $97,000
Vanguard $64,800 cashed out today (some bonds and the T2035 fund)
SGRAX – Wells Fargo Advantage Growth Fund Class A $17,400 (held at Vanguard)
GE stock $2700 (held at Vanguard).
Today I rebalanced the TSP from 100% L2040 fund to 40% C, 40% S, 20% I fund
As far as rebalancing Vanguard, my thought is to hold 55% of the total in small/mid cap stocks (VMGRX (Vanguard Strategic Equity), and VSMAX (Vanguard Small Cap Index Admiral)), 35% in large cap (U.S. Growth Fund and the Wells Fargo Advantage Growth Fund Class A shares). And 10% in VMVFX (Global Min Volatility). The funds I chose are based primarily on 5 and 10 year returns.
I welcome your thoughts on the percentages for both the TSP and the rebalanced Vanguard funds. The main issue I’m recognizing right now is that there will be overlap in the two large cap funds plus more overlap with the TSP. I would just add more into the Wells Fargo Fund, but the returns are about 2% lower historically than the Vanguard U.S. Growth Fund. Should I sell the Wells Fargo Fund and just keep one large cap Vanguard Fund?
There’d also be overlap I’m sure with the TSP – however in a year I’d be able to pull everything out of TSP and distribute better into my Vanguard account.
Any feedback is greatly appreciated.
I’m a year out from military retirement – I’ll go on terminal leave in 8 months. I’ve been on autopilot with my investments for a while, and realized this week that everything was out of balance. So, I’m taking the opportunity of a down market to rebalance and hopefully produce better returns. (I was invested too conservatively). I’d like your advice on a couple of things:
My bottom line of invested funds -
TSP $97,000
Vanguard $64,800 cashed out today (some bonds and the T2035 fund)
SGRAX – Wells Fargo Advantage Growth Fund Class A $17,400 (held at Vanguard)
GE stock $2700 (held at Vanguard).
Today I rebalanced the TSP from 100% L2040 fund to 40% C, 40% S, 20% I fund
As far as rebalancing Vanguard, my thought is to hold 55% of the total in small/mid cap stocks (VMGRX (Vanguard Strategic Equity), and VSMAX (Vanguard Small Cap Index Admiral)), 35% in large cap (U.S. Growth Fund and the Wells Fargo Advantage Growth Fund Class A shares). And 10% in VMVFX (Global Min Volatility). The funds I chose are based primarily on 5 and 10 year returns.
I welcome your thoughts on the percentages for both the TSP and the rebalanced Vanguard funds. The main issue I’m recognizing right now is that there will be overlap in the two large cap funds plus more overlap with the TSP. I would just add more into the Wells Fargo Fund, but the returns are about 2% lower historically than the Vanguard U.S. Growth Fund. Should I sell the Wells Fargo Fund and just keep one large cap Vanguard Fund?
There’d also be overlap I’m sure with the TSP – however in a year I’d be able to pull everything out of TSP and distribute better into my Vanguard account.
Any feedback is greatly appreciated.