Non-IRA Holdings



Roth IRA Holdings



edit: Whoops, cut off headers. Far right is # of shares

Wow @ a bunch of individual stocks.

I'll be interested to see what others chime in with. I'm a huge fan of indexing / bogleheads approach, so personally I'd move everything away to save the 1.2% and choose a indexing approach.

Obviously you need to figure out your decision on the house, etc. first.

If you do decide to sell a bunch of stuff, be very careful of the tax consequences.

Also +1 to the index/bogleheads approach. People who try to beat the index for a living usually fail, and +1% fees are borderline theft.

+2. Definitely do a Vanguard Target Date Fund. Hands down. This portfolio is a giant turd.

Sounds like I've got quite a bit of research to do. How big of a difference are there between the two scenarios below? AKA how badly do I get punished for two sales in Scenario 1 vs only one in Scenario 2?


1. Sell holdings
2. Invest in Vanguard fund
3. Sell $X to put down payment on home

vs:

1. Maintain holdings for now while I figure out house situation
2. Sell holdings
3. Put $X towards house, invest $Y in Vanguard


Thank you all again for your inputs, I hope I'm not abusing this thread.

Just know that if you sell something at a profit, you owe taxes. Sounds obvious, but you don't want to just click the sell button on everything, then deposit onto vanguard. You will get a hefty tax bill for all the gains you have accrued.

Talk to an accountant and explain your situation.

If you want, post your cost basis in the non-IRA holdings.

What is your current income / tax bracket? Do your company allow you to max out your 401k @ $18k?

You should be able to work with an accountant to figure out a good approach where you try to minimize/eliminate capital gains if your income isn't substantial. You could also cap out your 401k & Traditional IRA contributions through salary to reduce your taxable income helping you minimize taxes from selling this mess of individual stocks. Then you could keep some of the cash from selling the stocks (as needed) to offset the increase contribution to 401k/traditional.

There is no reason to sell your individual stock holdings unless/until you need the cash. You should move them into an account that doesn't charge you an annual fee.

Your IRA should be moved to an account that doesn't charge an annual fee and then sold to buy into a target date fund.

Would recommend against target date funds after reading Lifecycle Investing. They're too conservative for young people. Just go 100% in a full world stock index fund or whatever (if you want the easiest possible path). Don't worry about moving into bonds at all until you're 40.

Maybe if you're 20.

But in the span of 20 years there are bound to be times that a rebalancing target fund will "correct" the "corrections" that occur and saving you both value and providing future value.

I'd use 30 instead of 40.

Investment Type

EQUITY/STOCK

BLACKROCK EQ DIVIDEND A MDDVX
DREYFUS OPPORTUNISTIC MIDCP A DMCVX
FRANKLIN CUST FD INC GROWTH FKGRX
FRANKLIN RISING DIVIDENDS CL A FRDPX
GOLDMAN SACHS GROWTH OPP A GGOAX
INVESCO SELECT COMPANIES CL A ATIAX
INVESCO SMALL CAP VALUE A VSCAX
OPPENHEIMER DEV MKTS FD CL A ODMAX
PIMCO COMMODITY REAL RET STR A PCRAX
THE OAKMARK INTL FD CL II OARIX
THORNBURG INTERNATIONAL THVRX
VICTORY RS SMALL CAP GROWTH Y VAAXT
VICTORY SYCAMORE EST VAL FD A VETAX
VOYA REAL ESTATE FUND CL A CLARX

BOND/FIXED INCOME
EATON VANCE FLOATING RATE FD A EVBLX
FEDERATED GOVT INCOME FGOAX
LORD ABBETT TOTAL RETURN FD A LTRAX
PIMCO REAL RETURN BD FD CL A PRTNX
WESTERN ASSET CORE PLUS CL A WAPAX

ALLOCATION FUNDS
BLACKROCK GLOBAL ALLOC A MDLOX

STABLE VALUE FUND
INVESCO STABLE VALUE RET CL 4 ISVGT


These are my only options in my ****ty 401K at work. no match. What would your recommended portfolio be given the limited # of options?

Leaning towards a good chunk in Blackrock Dividend fund, small amount in bonds/real estate

Maximize your IRA contribution first.

Yeah already did that for this year - since recession I've maxed out my Roth IRA at the start of every year and now trying to also fully maxout my 401k every year as I'm way behind on retirement since I was broke and didn't save for all my 20s.

Tried to convince company to improve 401k offerings but that went no where. I'm keeping an eye out for another job for both pay raise and better benefits but I may get a promotion at this current gig so could be here for several more years.

Lol. You are probably ahead of the game. Just pick the least costly option(s) that give you a reasonable portfolio and fill out the rest of your portfolio in your IRA.

You should spend about 3 minutes per year worrying about this sort of thing. Just squirrel away money.

26 years old, United States, 85k pretax income, 42k in 401k/IRA funds, 60k cash/liquid assets, adding around $1.5k per month to savings. Currently saving 6% in my 401k supplemented by a 4.5% match and a 4% pension balance.

Considering saving to buy a home in 3-5 years with my girlfriend (would be married then). Ideally I'd like some exposure to real estate to offset a stronger than normal increase in housing prices over the next 3-5 years. Any thoughts on how to invest the 60k and future savings? Basically I would like a "medium" level of risk, if that has any value whatsoever.

i would suggest maxing your 401k and IRA before worrying about additional investments. 60k liquid and no IRA is a blunder, especially if you're 26 and don't have wife/kids or otherwise a reasonable excuse to not keep dumping money into tax advantaged investments.

as far as the house goes, i would normally suggest figuring out whether renting > buying where you live but the gf/married thing obv changes it. but don't buy because you're expecting prices to be somewhere in 3-5 years. nobody knows where it's headed in the short term. in the long term, yes it will prob go up. if you're just looking for RE exposure then buy some REIT fund for your IRA investment

You likely already have a fair bit of exposure to real estate through your 401k/IRA investments....depending on what you're invested in.

Thanks for the advice guys. I was putting a pretty high % into my Roth IRA but was thinking that I'd like to buy a house in a few years, so I lowered the % and started saving for the down payment. Will run some numbers and see if I could go back to increasing the % on that. The 42k is basically in a target retirement fund for 2055. A good chunk of my 60k is in VNQ and VTI, but I'm not sure if that's a good way to hedge the possibility of real estate prices rising, or if I should even be bothering to hedge that risk.

The conservative advice would be to get your down payment out of equities(equity-like assets in the case of VNQ) and into something safer. That said, if you are in a situation where 60k is your 20% downpayment... I don't mind being more aggressive given your time frame/uncertainty, assuming your situation allows you to get away with 5% down when the time comes if we hit horrendous times.

VNQ is likely going to have little correlation to your specific market, so I would say it is not functioning as a good hedge.

In the case that $60k is the amount of your 5% down payment, there are several savings products available with non-negligible rates. People often recommend looking into military credit unions, many of which will let you open an account with a donation to wounded warriors or some other military charity. Alternatively, look into kasasa accounts at your local credit unions. In my city I have 50k space available getting 2.5% or better.

I would max out your Roth given the medium time frame. You can take this money out to help with your down payment if you're too thin when the time comes. That tax-advantage space will never be available to you again, which is a big leg up in the case where you don't wind up having to tap it.

Agree with all this. OP - that last paragraph specifically is great advice.

I believe you can withdraw from IRA accounts penalty free to make a down payment on your first house. Fact check it, probably not the best route, but another tool in the arsenal.

thats right, capped at 10k and 20k for couples

23, UK, pro poker player for one more year. Have living expenses for two years, help to buy isa maxed every month, and then ~20k gbp extra I shouldn't need to access for a long time which is just sitting in current accounts earning 0.5%. What is best way to invest this? I'm fairly risk neutral with this chunk, but it seems like index funds still the best way to go?

I'm 30 years old, living in the Netherlands and about to receive 55k euro's from the sale of a house. I earn just under 45k a year before taxes, my disposable income every month is around 500 euro's (this is after saving/spending).

I've been advised to invest the 55k in a fund at my current bank, they would bill me 0.3% every year and take out 0.9% of the fund for costs of running it. I wouldn't really want to lose the money obviously and best case scenario is that I would not touch it for at least 5 years. All my debts have been paid and the 55k is what is left after debts. They offer like 6 types of funds ranging from 1.5% return to 15% return and everything in between. I have very little knowledge about investing.

If I choose to invest, should I put some of my disposable income towards the fund as well ? What should I do with that ? If I have no plan for it I will just start spending it which would be unnecessary (I'm currently paying around 500 a month in paying off debts).

Before you do anything else, you should really do some reading to make sure you understand the basics. Start here: https://www.bogleheads.org/wiki/Main_Page

That being said, 1.2% in annual fees is pretty bad. You should be able to find something cheaper (0.5% or less) through an online broker - a quick search suggests BinckBank and Meesman are two good options in the Netherlands. Since you're new to investing and sound relatively risk averse, look for a total market fund that includes both stocks and bonds. And yes of course, investing any extra disposable income you have is a great idea.