I read a lot of these threads and I spent some time putting together my FIRE portfolio. I am going to speak to a Vanguard financial advisor next week about this and I wanted your thoughts on the portfolio I came up with. I have played with FireCalc but I am really terrible at it.
I'm 51, wife 52, no kids, no debt.
$4.4M in after tax portfolio, $800K in my 401K, house is worth $800K and is paid off and we need $150K a year to live comfortably.
All VANGUARD - 55/45 mix
STOCKS:
Vanguard Total Stock Market - VTSAX 25%
Vanguard REIT - VGSLX 10%
Vanguard International Stock - VTIAX 10%
Vanguard Health - VGHCX 5%
Vanguard Dividend Growth - VDIGX 5%
BONDS:
Vanguard Total Bond - VBTLX 31%
Vanguard Tax Exempt - VTEAX 7%
Vanguard GNMA - VFIIX 7%
I am going to pull out $300K to cover 2 years of living expenses and invest the rest of the $5M in the above format.
I realize this is (8) different funds, and could be a bear to balance. I was going to go with a more simple 4 fund portfolio, but I like exposure to Health, Dividends and REITs stocks and on the bond side, I like some exposure to tax exempt muni's and also GNMAs.
The other thing I will mention is that I am 100% fine with not leaving a dime inheritance when we both pass. Our will is setup to donate any left over assets to charity but our goal isn't to just live off the return and keep the principal intact for heirs.
But I am not an expert and am probably making some mistakes with this portfolio.
Thoughts? Thanks in advance to all of you. You guys have been great support to me as i go through this very difficult transition. And yes, it's raining in Seattle today
I'm 51, wife 52, no kids, no debt.
$4.4M in after tax portfolio, $800K in my 401K, house is worth $800K and is paid off and we need $150K a year to live comfortably.
All VANGUARD - 55/45 mix
STOCKS:
Vanguard Total Stock Market - VTSAX 25%
Vanguard REIT - VGSLX 10%
Vanguard International Stock - VTIAX 10%
Vanguard Health - VGHCX 5%
Vanguard Dividend Growth - VDIGX 5%
BONDS:
Vanguard Total Bond - VBTLX 31%
Vanguard Tax Exempt - VTEAX 7%
Vanguard GNMA - VFIIX 7%
I am going to pull out $300K to cover 2 years of living expenses and invest the rest of the $5M in the above format.
I realize this is (8) different funds, and could be a bear to balance. I was going to go with a more simple 4 fund portfolio, but I like exposure to Health, Dividends and REITs stocks and on the bond side, I like some exposure to tax exempt muni's and also GNMAs.
The other thing I will mention is that I am 100% fine with not leaving a dime inheritance when we both pass. Our will is setup to donate any left over assets to charity but our goal isn't to just live off the return and keep the principal intact for heirs.
But I am not an expert and am probably making some mistakes with this portfolio.
Thoughts? Thanks in advance to all of you. You guys have been great support to me as i go through this very difficult transition. And yes, it's raining in Seattle today