TL DR.
1. Three-fund portfolio or stock picking?
2. When I FIRE, how do i get cashflow? Dividends? Sell shares?
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So I have $1m in equities, half in my 401k and half in my personal account.
For my 401k, I've chosen a mix of their mutual fund offerings, so that's spread me across various sectors giving me diversity.
As for my personal account, I've have a mix of some ETFs, but mostly am single stock picking. I have IVV/VTI which makes up about 75k and QQQ about 31k. The rest of stocks are some of the usual tech suspects: AMZN, APPL, MSFT, GOOG, FB and some fintech and bank stocks.
So over the past year, I've looked at how i've faired single stock picking vs. just buying the S&P funds, basically about even. So at this point, I was wondering if it makes sense to sell off my individual stocks and move all into ETFs for ease/ basic three-fund portfolio.
I guess a couple questions:
1) I will have to pay cap gains around $60k on my current stocks, mostly ltcg. would it be worthwhile? Seems like I pay this off eventually, probably wouldn't matter either way.
2) Should I just slowly shed some of these stocks? Some of these stocks don't have dividends, so I don't actually realize money until i sell. Thinking in ETFs and FIRE, I get more of a dividends which I can count on for spend during RE.
Apologies, this was rambling, but any help would be appreciated.
1. Three-fund portfolio or stock picking?
2. When I FIRE, how do i get cashflow? Dividends? Sell shares?
-----------------------------------------
So I have $1m in equities, half in my 401k and half in my personal account.
For my 401k, I've chosen a mix of their mutual fund offerings, so that's spread me across various sectors giving me diversity.
As for my personal account, I've have a mix of some ETFs, but mostly am single stock picking. I have IVV/VTI which makes up about 75k and QQQ about 31k. The rest of stocks are some of the usual tech suspects: AMZN, APPL, MSFT, GOOG, FB and some fintech and bank stocks.
So over the past year, I've looked at how i've faired single stock picking vs. just buying the S&P funds, basically about even. So at this point, I was wondering if it makes sense to sell off my individual stocks and move all into ETFs for ease/ basic three-fund portfolio.
I guess a couple questions:
1) I will have to pay cap gains around $60k on my current stocks, mostly ltcg. would it be worthwhile? Seems like I pay this off eventually, probably wouldn't matter either way.
2) Should I just slowly shed some of these stocks? Some of these stocks don't have dividends, so I don't actually realize money until i sell. Thinking in ETFs and FIRE, I get more of a dividends which I can count on for spend during RE.
Apologies, this was rambling, but any help would be appreciated.
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