Your favorite vanguard funds?

[columbus]

I'm 35 and making some changes in my vanguard account. Any favorite vanguard funds out there for a low cost portfolio? Trying to simplify a bit and start actually rebalancing to a plan. Just not sure what that plan should be yet

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[GreenER]

The midcap index has been very, very good to me on the long haul. I am doing quite a bit of shifting at present as well and am transferring a fair bit over toward Wellesley and Wellington as I finally started at 52 to switch from a 100% equity portfolio. I think my goal is to be somewhere between 50/50 and 60/40 as I approach FIRE at 55.

 

[Travelwanted]

I use VG and think it is great. Which funds are right for you depends on your personal situation. I like Total Stock Market, International Stock Market as well as the Tax Exempt Municipal bond funds.

Here is an article I tend to agree with about which ones to avoid:
Vanguard Funds to Avoid-Kiplinger

 

[RunningBum]

Figure out your plan first. Then find the fund(s) to implement your plan. Molding your plan around someone else's fund choices seems like a poor idea.


Absent a plan, what Travelwanted says makes a whole lot of sense to me. Maybe Total Bond market if you don't need tax-exempt.

 

[jerome len]

Money Magazine pointed out recently that you only need two funds.....total stock and total bond.......now I like using balanced funds...tax exempt if you are high income.....low costs, purely index funds.... don't need any managers....then, if you have bunch or money or time you can look further......go into their comparative tools, compare 1,3, 5 and 10 year results which is very helpful as well.

 

[columbus]

I currently have all admiral funds...total stock, total international, emerging, small cap index and value, mid cap index and value, LG cap growth, LG cap value, s&p. Seems like a lot of unnecessary overlap.

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[ESRwannabe]

I like the vanguard managed payout fund, and all of the various indexes.

 

[samclem]

Figure out your plan first. Then find the fund(s) to implement your plan. Molding your plan around someone else's fund choices seems like a poor idea.

Yes. Build your plan. You probably do have more funds than you need, but if they are in taxable accounts rather than an IRA (you didn't say), then you'll pay taxes on any gains in order to simplify things.

If you don't want to mess around with rebalancing periodically, just get an appropriate Vanguard Target Date retirement fund that has the allocation closest to what you want (and will have an asset allocation closest to the "slope" you think you'll want for your allocation for the next couple of decades). Don't worry about the "Target Year" in the name of the fund, look at how they plan to change their allocation over the years and invest in the one that comes closest to the AA future you'd like to set. Put all your money into that and be done with it. If you want to tailor things, buy a few low-cost funds to tilt the allocation in the direction you want and just check it every year or two. History shows you'll likely do >much< better than investors who follow their gut, buy the latest "best" hot funds, etc.

 

[unclemick]

Target Retirement appropriate for your age - financial age that is. In my case I factored in a small pension and SS as a bond like component.

Also if you are male, there are hormonal issues which are generally incurable. I manage the problem by watching football in season and owning ' few good stocks.'

Women usually have more common sense.

heh heh heh - now of course that's my two cents - I never did that for 40 years. Read books, picked stocks and funds, watched the market, piddled with real estate, etc.

Hindsight is a wonderful thing. Target Retirement since 2006. And a few good stocks. Superbowl? Panthers?

 

[columbus]

Im about 1/3 taxable...the rest retirement accounts. I may move towards target date as i have not been diligent in the past and also wasted about a decade with garbage funds and stocks at scottrade. I gave a few rentals as well. I dont really care about watching sports so better find a cheaper hobby than golf and mountain climbing while living in ohio!

 

[6miths]

VTI and VXUS. I am in Canada and also use their CAD bond fund VAB.

 

[Peter]

Target Retirement appropriate for your age

Whatever happened to "pssst ...." ??

 

[EvrClrx311]

Here is what I used from ages 25-33

10% Vanguard Emerging Markets Stock Index Fund Admiral Shares
20% Vanguard Health Care Fund Investor Shares
30% Vanguard Small-Cap Growth Index Fund Admiral
20% Vanguard Total International Stock Index Fund Admiral Shares
20% Vanguard Total Stock Market Index Fund Admiral Shares

I'm 34 and I just transitioned to the following. Plan is to stay here till 42:
30% Vanguard Small-Cap Growth Index Fund Admiral
35% Vanguard Total International Stock Index Fund Admiral Shares
35% Vanguard Total Stock Market Index Fund Admiral Shares

After that I'll start to transition 5% a year towards bonds and fixed income, until it's about a 50/50 split. If everything goes according to plan, hoping to FIRE around 55

 

[Lsbcal]

I currently have all admiral funds...total stock, total international, emerging, small cap index and value, mid cap index and value, LG cap growth, LG cap value, s&p. Seems like a lot of unnecessary overlap.

Why emerging? If you don't have big losses, I'd consider VFWAX which has some % in emerging. I personally market time this and in the SP500 as an alternative large blend. But I am in VINEX (small international, little EM, active).

s&p is the SP500? If so, it's virtually identical in performance to total stock market.

small cap index and value, mid cap index and value ... this looks like a way to value tilt to but not to extremes. Depends a lot on relative percentages. Are you sensitive to tracking error? I know I am. That's why I don't have Emerging Market and I market time to try to avoid too much tracking error. Most people wouldn't do this or have the time for it.

When you are young there is too much coming at you. Job pressures, family formation, house buying, etc. Good to simplify.

 

[John Galt III]

VINIX (stock market index) and VWIAX (Wellesley).

 

[LitGal]

Short Term Investment Grade (instead of money market)
Health Care
Wellesley Income
Wellington

 

[columbus]

I just rolled over an old IRA and this is now my allocation(taxable and non taxable accounts, minus my wife's retirement accounts)

VIMSX 3%
VEMAX 4%
VSMAX 5%
VMVAX 7%
VIGAX 7%
VFIAX 10%
VIMAX 11%
VTIAX 22%
VTSAX 24%
Ind Stocks 8%

 

[Lsbcal]

I just rolled over an old IRA and this is now my allocation(taxable and non taxable accounts, minus my wife's retirement accounts)

VIMSX 3%
VEMAX 4%
VSMAX 5%
VMVAX 7%
VIGAX 7%
VFIAX 10%
VIMAX 11%
VTIAX 22%
VTSAX 24%
Ind Stocks 8%

What I would do is to put this into the context of a Morningstar style box. For the US funds, create a portfolio in Morningstar and look at that combined style box (value/growth, cap size). Then ask, is that what I want? M* will also tell you about overlap.

Do the same for the International.

Assuming your marriage is rock solid , combine your wife's accounts into this portfolio image. If you have a mine/hers marriage, forget what I've said.

In other words, use tools to see the forest from the tress.

 

[dvalley]

VGSIX
Vanguard REIT Index Fund Investor Shares

VGTSX
Vanguard Total International Stock Index Fund Investor Shares

VIMAX
Vanguard Mid-Cap Index Fund Admiral Shares

VTHRX
Vanguard Target Retirement 2030 Fund Investor Shares

VTI
Vanguard Total Stock Market Index Fund ETF Shares

VTSAX
Vanguard Total Stock Market Index Fund Admiral Shares

VXUS
Vanguard Total International Stock Index Fund ETF Shares

Asset allocation 70/30 - 10 more years before retiring.

 

[dirt_dobber]

I am 1/3 each in Wellington & Wellesley and the remaining 1/3 spread out among the others. The big winner for me last year was the Healthcare with over 11% return

VWENX Wellington
VWIAX Wellesley
VTSAX Total Stock Mkt
VFIAX 500 Index
VBTLX Total USA Bond
VVIAX 750 largest US companies
VYM High Dividend Yield ETF
VSIAX small undervalued comp.
VGSLX REIT Index Fund Admiral Shares
MGK Mega Cap Growth ETF*
VWUSX U.S. Growth Fund
VMRGX Morgan Growth Fund Investor
VIGAX Growth Index Fund Admiral
VGHCX Health Care Fund Invest Shares

********************I am not the smartest guy by any means - I invested in these funds from advice I got on this forum. Please if anyone thinks there is too much redundancy or adjustments I need to make please let me know. Thanks.

 

[nun]

For a 35 year old looking to simplify using low cost Vanguard funds I'd go with a with the 3 fund portfolio of Total Stock Market, Total International and Total Bond Market.

https://www.bogleheads.org/wiki/Three-fund_portfolio

psst.......Wellesley and Wellington don't fit the bill because of the relatively high fees.

 

[frank2009]

I like Total World ETF. Reduces wondering/worrying about sectors, value vs. growth, and international allocation vs. US. This fund holds pretty much everything.

 

[MBAustin]

Remember that the fewer funds you hold, the sooner you'll get to the level to qualify for Admiral funds (for those funds that have both Investor and Admiral shares). This shaves another chunk off of the fees.

 

[unclemick]

Whatever happened to "pssst ...." ??

Hopefully I have out grown it with the passage of time.

However with Cialis, Viagra and all these testosterone supplements ? even past 70 with RMD providing after tax cash in excess of expenses psst Wellesley may join 'a few good stocks'. Purely for speculation/entertainment purposes mind you.

heh heh heh - sometimes the urge to seek the 'value premium' may never die. Especially going forward if the div rate relative to other options looks good.

 

[soupcxan]

Where is the love for VYM?