Oh wow Cyclone....oh no....wow. Ok, that looks amazing. I'm going to get started on working on my IPS homework now, but it's going to take me a while. A few years, a lifetime maybe. Meanwhile, here's what I (think I) believe:
I'm not interested in bonds right now; I think my pension balances the high allocation to stocks, and my timeline for using these investments is fairly flexible (I can wait to use/wait out years of turmoil). I will surely re-balance that allocation when I get closer to needing to withdraw funds. So relatively aggressive is good, but crazy-greedy aggressive would be bad (no, not exactly sure what that means, but junk bonds, hedge funds, shorting the market, futures/options/puts and calls....I don't know what. All way too risky/too complicated. I like to have at least a vague understanding of what the top holdings do to earn money). I like the ease, simplicity and elegance of index funds. Focusing on dividends in my personal investments has given me a positive psychological focus when stocks are down - hence the interest in dividend appreciation index funds - I don't have a more reasoned excuse, and this focus isn't necessary in my retirement accounts. However, the holdings are different from VTSIX, and I wonder if further diversification is a good thing...). I think some exposure to International stocks, including emerging markets, is important. That said, I suppose at least 60% should be large cap US stocks if I have to give a number. I don't want a portfolio with a million different funds (healthcare and energy funds look great, but where do you stop? That stresses me out and gets too far into the realm of things I have no clue about. Maybe later). What attracted me most about the MMM/Boglehead philosophy is that people like me who have a very limited understanding of investing can put together a simple, but well-diversified plan that increases their chances of beating inflation overtime. And that attraction to simplicity is why part of me wants to stick with the basics - total stock market US/Intl. When looking at my 403b, I have very limited choices, so Vanguard is easy. But with a personal Vanguard account, I face the paradox of choice and the irony of relying on my "philosophy" and my gut to make decisions that have the potential to shape my future. It's almost irresponsible. Please, gentle readers, feel free to critique my rationale and point out places where I can refine my thinking. I will consider every lesson you have to offer. But now I need a drink. Go Seahawks.