Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Welllington/Wellesley
Old 06-04-2012, 01:39 AM   #1
Recycles dryer sheets
 
Join Date: Sep 2004
Posts: 330
Welllington/Wellesley

Does anyone know the Wellington and Wellesley equivalents at Fidelity and TRowe Price ?
The other part of my question is, presuming a 6-7 % annual return with both Wellington and Wellesley since their inception, and given a SWR of 4%, is one not "fairly safe" in utilizing these 2 funds for their lifetime withdrawl portfolios ( I recognize past performance is no guarantee of the future)?
__________________

__________________
ferco 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 06-04-2012, 02:35 AM   #2
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
clifp's Avatar
 
Join Date: Oct 2006
Posts: 7,451
Wellington in particular is an ancient fund 1929, and Wellesley starting in 1970 is no spring chicken. So I think it is almost impossible for either Fidelity or T Rowe to have their longevity.

Quote:
The other part of my question is, presuming a 6-7 % annual return with both Wellington and Wellesley since their inception, and given a SWR of 4%, is one not "fairly safe" in utilizing these 2 funds for their lifetime withdrawl portfolios ( I recognize past performance is no guarantee of the future)?
I believe in more diversification than W&W provides that said, if you stuck a gun to my head and said give me two funds to put my retirement money in. I'd be hard pressed to come up with a better AA than 50% in W&W. I think I'd actually prefer it the two W than simply using Vanguard Total Stock Market or Total Bond Market.
__________________

__________________
clifp is offline   Reply With Quote
Old 06-04-2012, 07:27 AM   #3
Thinks s/he gets paid by the post
teejayevans's Avatar
 
Join Date: Sep 2006
Posts: 1,222
Quote:
Originally Posted by ferco View Post
Does anyone know the Wellington and Wellesley equivalents at Fidelity and TRowe Price ?
The other part of my question is, presuming a 6-7 % annual return with both Wellington and Wellesley since their inception, and given a SWR of 4%, is one not "fairly safe" in utilizing these 2 funds for their lifetime withdrawl portfolios ( I recognize past performance is no guarantee of the future)?
Don't forget the 4% is adjusted for inflation, add 3% inflation and you get your 7%. Be interesting to run firecalc against the W/W fund alone, since they are a balance fund with 60/40 splits.
TJ
__________________
teejayevans is offline   Reply With Quote
Old 06-04-2012, 09:10 AM   #4
Recycles dryer sheets
 
Join Date: Nov 2003
Location: Charlotte
Posts: 360
Quote:
Originally Posted by clifp View Post
I believe in more diversification than W&W provides that said, if you stuck a gun to my head and said give me two funds to put my retirement money in. I'd be hard pressed to come up with a better AA than 50% in W&W. I think I'd actually prefer it the two W than simply using Vanguard Total Stock Market or Total Bond Market.
We've danced around this allocation since retiring in 2000. Currently very happy with 50/50 overall allocation with 50% being 50/50 in W/W and the other 50% split between Vanguard Total stock indices and short term bonds.
__________________
WilliamG is offline   Reply With Quote
Old 06-04-2012, 09:20 AM   #5
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Midpack's Avatar
 
Join Date: Jan 2008
Location: Chicagoland
Posts: 11,978
Quote:
Originally Posted by ferco View Post
Does anyone know the Wellington and Wellesley equivalents at Fidelity and TRowe Price ?
The other part of my question is, presuming a 6-7 % annual return with both Wellington and Wellesley since their inception, and given a SWR of 4%, is one not "fairly safe" in utilizing these 2 funds for their lifetime withdrawl portfolios ( I recognize past performance is no guarantee of the future)?
I'd hesitate to call any of them equivalents because they all have (slightly) different fund management criteria, but just look at Fidelity and T Rowe Price's "balanced", "asset", "target retirement" type funds and you'll find plenty targeting 65/35 (Wellington) or 35/65 (Wellesley) asset allocations. Their performance, returns and volatility, should be somewhat if not very similar.

Fidelity Investments: Research - Mutual Funds

T Rowe Price Our Mutual Fund Family
__________________
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 06-04-2012, 09:24 AM   #6
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Lsbcal's Avatar
 
Join Date: May 2006
Location: west coast, hi there!
Posts: 5,693
Quote:
Originally Posted by ferco View Post
...
The other part of my question is, presuming a 6-7 % annual return with both Wellington and Wellesley since their inception, and given a SWR of 4%, is one not "fairly safe" in utilizing these 2 funds for their lifetime withdrawl portfolios ( I recognize past performance is no guarantee of the future)?
That 6-7% was built up over a long period of varying bonds rates, but the rate average is much higher then today's rates. So do not expect that over the next few years, especially from Wellesley (about 65% bonds, 35% stocks). This is not so much a past performance issue as a current yield issue.

I'd think using these funds together with maybe an appropriately dated Target Retirement fund would be a decent idea. Since they are active funds, that's why I'd blend with an index derived fund. Just figure your AA and blend accordingly.
__________________
Lsbcal is online now   Reply With Quote
Old 06-04-2012, 09:53 AM   #7
Recycles dryer sheets
l2ridehd's Avatar
 
Join Date: Sep 2011
Location: PWC VA
Posts: 126
I utilize both funds for a significant portion (almost 50%) of my retirement funds. I like the ease of AA re balancing. Wellington is 65/35 and Wellesley is 35/65. So as I get older I move more from Wellington to Wellesley to increase my bond percentage. Will eventually be 100% in Wellesley for that portion of retirement funds. I also use total stock, total bond, and follow the 6 fund slice and dice on lazy traders.com.
__________________
l2ridehd is offline   Reply With Quote
Old 06-04-2012, 11:40 AM   #8
Thinks s/he gets paid by the post
 
Join Date: Jul 2005
Posts: 3,862
For Wellesley try FASIX or PRSIX. Also PRPSX or BRUFX if available.
For Wellington try FBALX or PRWCX. Also OAKBX, ITCSX, FPACX, or MAPOX if available.

These are from a M* screen, same categories as Wellesley and Wellington and similar performance. Some are Gold rated by M* as well. I hold OAKBX in my portfolio, but none of the others.
__________________

__________________
Animorph 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 04:52 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.