So my $16,000 401k rollover check made it to Vanguard safely via good ole’ First Class mail. Now all our retirement investments are at Vanguard. Here is the breakdown:
Vanguard Target Retirement 2035 (VTTHX) – $14,748
Vanguard Target Retirement 2045 (VTTHX) – $23,516
According to the current information at Vanguard.com, based on the weighting of each of the two funds of funds, our asset allocation is currently as follows:
67.6% – VTSMX, which tracks the MSCI? US Broad Market Index
15.2% – VBMFX, which tracks the Lehman Brothers Aggregate Bond Index
12.0% – VEURX, which tracks the Morgan Stanley Capital International Europe Index
5.1% – VPACX, which tracks the Morgan Stanley Capital International Pacific Index
Or more generally,
68% (Mainly) Large-Cap Domestic Stocks
17% International Stocks, and
15% Intermediate-Term Bonds.
I’m pretty satisfied with this, as my goal was to make my breakdown about 70/15/15, and I did pretty close to it with only two funds. I thought about more international exposure, but I think that many U.S.-based companies are already very ‘international’. My overall expense ratio is also at a near rock-bottom 0.21% as well.
What’s everyone else’s asset allocation (and age)? If you don’t know, you really should find out. It’s one of the main predictors for future returns and volatility.
By Jonathan Ping | Retirement | 8/29/05, 11:46pm