Comments on: Help! I’m Trying to Determine My Asset Allocation http://www.BorrowFromNone.com/2008/08/help-trying-to-determine-my-asset-allocation/ Blending simple and straightforward financial discussion with Biblical principles to assist normal people like us in being good stewards of our finances. This site includes tips for increasing income, reducing expenses, getting out of debt, saving, investing, and being content. Wed, 25 Jan 2012 13:46:22 -0700 http://wordpress.org/?v=abc hourly 1 By: John http://www.BorrowFromNone.com/2008/08/help-trying-to-determine-my-asset-allocation/comment-page-1/#comment-358 John Sat, 27 Dec 2008 02:02:30 +0000 http://www.BorrowFromNone.com/?p=146#comment-358 @just todd - I finally ended up doing a very simple 50% US large cap, 25% US small cap, 25% International in 3 Vanguard Index funds. This is for the equity portion of my taxable investment account. I also have a number of other accounts and some cash. So while the account balances are relatively low, I am treating the cash in savings accounts as the "bond" portion. What I struggle with most is trying to keep track of all the the allocation of each account in the context of ALL of the accounts. I know it's probably not the most optimal approach, but I just diversify each account individually and only worry a little bit about how it fits with all the others. I feel that it's too hard to keep track of the overall asset allocation when all the accounts change at a different rate. @just todd – I finally ended up doing a very simple 50% US large cap, 25% US small cap, 25% International in 3 Vanguard Index funds. This is for the equity portion of my taxable investment account. I also have a number of other accounts and some cash. So while the account balances are relatively low, I am treating the cash in savings accounts as the “bond” portion. What I struggle with most is trying to keep track of all the the allocation of each account in the context of ALL of the accounts. I know it’s probably not the most optimal approach, but I just diversify each account individually and only worry a little bit about how it fits with all the others. I feel that it’s too hard to keep track of the overall asset allocation when all the accounts change at a different rate.

]]> By: just todd http://www.BorrowFromNone.com/2008/08/help-trying-to-determine-my-asset-allocation/comment-page-1/#comment-348 just todd Tue, 16 Dec 2008 06:08:37 +0000 http://www.BorrowFromNone.com/?p=146#comment-348 I follow your position, but I never really saw what your planned allocation was. The general "rule of thumb" is 100 minus your age is the percentage to allocate in bond funds. The remainder should go in equities. If you want better equity diversification, add a non-US stock fund. Better still, sprinkle (5-10%) commodoties and REITs. Of course, you need to rebalance at least annually to maintain your percentages. So, if you're 25, you might want 25% in a bond fund, 45% in US stocks, and maybe 30% in foreign stocks. If you add commodities and REITs, take that percentage off your US total. If you're more conservative, increase your bond percentage and decrease foreign stocks. Hope this helps! Sounds like you're certainly on the right track reading the MPT! :) I follow your position, but I never really saw what your planned allocation was. The general “rule of thumb” is 100 minus your age is the percentage to allocate in bond funds. The remainder should go in equities.

If you want better equity diversification, add a non-US stock fund. Better still, sprinkle (5-10%) commodoties and REITs.

Of course, you need to rebalance at least annually to maintain your percentages.

So, if you’re 25, you might want 25% in a bond fund, 45% in US stocks, and maybe 30% in foreign stocks. If you add commodities and REITs, take that percentage off your US total.

If you’re more conservative, increase your bond percentage and decrease foreign stocks.

Hope this helps! Sounds like you’re certainly on the right track reading the MPT! :)

]]> By: John http://www.BorrowFromNone.com/2008/08/help-trying-to-determine-my-asset-allocation/comment-page-1/#comment-108 John Thu, 04 Sep 2008 20:34:18 +0000 http://www.BorrowFromNone.com/?p=146#comment-108 Well, He did have 12 disciples...not just one! Well, He did have 12 disciples…not just one!

]]> By: Haythem Dawlett http://www.BorrowFromNone.com/2008/08/help-trying-to-determine-my-asset-allocation/comment-page-1/#comment-105 Haythem Dawlett Thu, 04 Sep 2008 14:51:28 +0000 http://www.BorrowFromNone.com/?p=146#comment-105 I liked how you tied in a quote from the Bible. WWJD? Diversify. I liked how you tied in a quote from the Bible. WWJD? Diversify.

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