Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Old 09-09-2008, 12:58 PM   #41
Recycles dryer sheets
Gardnr's Avatar
 
Join Date: Jul 2008
Location: ENE MO - near STL
Posts: 424
Quote:
Originally Posted by travelover View Post
You can duplicate this asset allocation in other investment vehicles (IRA, 401(k)) by choosing the same components in the same proportions.
I don't understand what you're saying here. You can invest in target funds in any IRA (assuming you're with the right company, and even that could be "fixed") and in many 401Ks (not all though, unfortunately).

Maybe I misunderstood your point but I wanted to point that out to the OP at least.
__________________

__________________
Gardnr 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 09-09-2008, 01:33 PM   #42
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
travelover's Avatar
 
Join Date: Mar 2007
Posts: 9,874
Quote:
Originally Posted by Gardnr View Post
I don't understand what you're saying here. You can invest in target funds in any IRA (assuming you're with the right company, and even that could be "fixed") and in many 401Ks (not all though, unfortunately).

Maybe I misunderstood your point but I wanted to point that out to the OP at least.
Sorry this was unclear. What I meant is that if one has an account that does not offer a target retirement fund, such as a 401(k), one can still assemble the elements of that target fund by choosing the pieces as they are available in other investment vehicles.

For instance one could pick up the large cap portion in a company 401(k) that offers a S&P 500 index fund, then round out the target fund basket with an IRA or taxable account that offers small- mid cap / foreign / bonds, REITs, etc.

So in the end you could own a target fund where it is offered and still have the rest of your investments mirror that target fund allocation. Granted, one would have to make periodic adjustments to investments outside the target fund to keep the asset allocation proportioned, but all the heavy lifting is done by the target fund managers - all the OP needs to do is copy it yearly.
__________________

__________________
Yes, I have achieved work / life balance.
travelover is offline   Reply With Quote
Old 09-09-2008, 01:55 PM   #43
Recycles dryer sheets
Gardnr's Avatar
 
Join Date: Jul 2008
Location: ENE MO - near STL
Posts: 424
Quote:
Originally Posted by travelover View Post
Sorry this was unclear. What I meant is that if one has an account that does not offer a target retirement fund, such as a 401(k), one can still assemble the elements of that target fund by choosing the pieces as they are available in other investment vehicles.

For instance one could pick up the large cap portion in a company 401(k) that offers a S&P 500 index fund, then round out the target fund basket with an IRA or taxable account that offers small- mid cap / foreign / bonds, REITs, etc.

So in the end you could own a target fund where it is offered and still have the rest of your investments mirror that target fund allocation. Granted, one would have to make periodic adjustments to investments outside the target fund to keep the asset allocation proportioned, but all the heavy lifting is done by the target fund managers - all the OP needs to do is copy it yearly.
Yeah, I get that. Good point.

I just didn't want the impression left that you couldn't get into these inside a 401K/IRA.
__________________
Gardnr is offline   Reply With Quote
Old 09-09-2008, 04:37 PM   #44
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
travelover's Avatar
 
Join Date: Mar 2007
Posts: 9,874
Quote:
Originally Posted by Gardnr View Post
Yeah, I get that. Good point.

I just didn't want the impression left that you couldn't get into these inside a 401K/IRA.
Point well taken. On the Bogleheads Forum there is a steady stream of folks with 401(k) plans whose contributions are matched by their employers, but the investment choices are poor and/or high expense. I was thinking of the obvious answer - to cherry pick the best of the mandated choices and build the rest of the portfolio around that.

If the OP can directly invest in a target retirement fund, he is all set.
__________________
Yes, I have achieved work / life balance.
travelover is offline   Reply With Quote
Old 09-10-2008, 01:51 PM   #45
Dryer sheet aficionado
 
Join Date: Jul 2008
Posts: 27
Quote:
Originally Posted by explanade View Post
What company is charging 2%? Is it a big national company or some local, independent firm?

Did he only plan for you or did he manage your account, make the necessary trades, etc.?

Did you pay commissions on top of that 2%?
Local indepent firm. I don't pay commissions on top of 2% =)

He sells/buys stocks for me.
__________________
A car is only as fast as the driver
dorikin_86 is offline   Reply With Quote
Old 09-10-2008, 02:22 PM   #46
Thinks s/he gets paid by the post
2B's Avatar
 
Join Date: Mar 2006
Location: Houston
Posts: 4,330
Quote:
Originally Posted by dorikin_86 View Post
Local indepent firm. I don't pay commissions on top of 2% =)

He sells/buys stocks for me.
Get your reading done and cut your losses ASAP.
__________________
The object of life is not to be on the side of the majority, but to escape finding oneself in the ranks of the insane -- Marcus Aurelius
2B is offline   Reply With Quote
Old 09-11-2008, 02:15 PM   #47
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
FinanceDude's Avatar
 
Join Date: Aug 2006
Posts: 12,484
2% is VERY HIGH for an independent company. Schwab is a good cheap place to sell stocks and buy them..........
__________________

__________________
Consult with your own advisor or representative. My thoughts should not be construed as investment advice. Past performance is no guarantee of future results (love that one).......:)


This Thread is USELESS without pics.........:)
FinanceDude 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


Similar Threads
Thread Thread Starter Forum Replies Last Post
Secret Money. Do you hide money from your spouse? Enuff2Eat FIRE and Money 72 07-08-2008 04:13 AM
Money we've made versus money we have kept laurence FIRE and Money 27 07-14-2006 10:44 AM
MOVED: Anyone else looking to earn money while at home? Earn money via paypal Cut-Throat FIRE and Money 0 06-07-2006 07:45 PM
How long will money last? Money Mag earlyout FIRE and Money 21 10-29-2003 03:15 PM

 

 
All times are GMT -6. The time now is 08:25 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.