Originally Posted by hotwired
Just coming back and reading your post I got an "A ha" which explains why I get this horrible "death like" feeling every time I consider moving all my $ to a simple 3-4 fund allocation. I feel like I'm putting my sword away ...... ah, yes, well, I'll just have to fiddle and fumble as intelligently as I can muster!! Thanks for a great post.
Uncle Mick sage counsel is spot on it is a guy thing, don't sweat it. Embrace it to some extent.
When I was in my 20s I found mutual funds boring and index funds even more boring. On the other I enjoyed picking stocks. For me I got more enjoyment buying Stocks than Stuff > managed mutual fund > index funds.
So instead of buying stocks and dabbling options , I would have bought more electronic gizmos and no matter how bad my stock picking skills, they all outperformed, cars, TVs, and computers.
Now in my 50 older and somewhat wiser, I have even less desire for most stuff my preference is stocks > index funds > stuff > managed mutual funds.
So I get some enjoyment from keeping track of an making a few trades a month in my portfolio of 40 stocks, 1/2 index dozen funds/ETFs, and writing a 1/2 dozen options. Schwab has portfolio performance tool which tells me that over the last 3 year, my portfolio has out performed my benchmark of a moderately aggressive portfolio by .67% per year. It even has had lower risk. Now truth be total even if I was minus .67%/year I'd still get enough enjoyment that I'd be an active manager.
So my advice is stay the course as long as you enjoy it. Do track your performance and have a number in mind that will cause you to bail and got a 3 or 4 fund index approach. In my case if I ever trail my benchmark by more than 5% total (1.67%/year) over a 3 year total I'll move more money into index funds.