Author Topic: Vanguard total stock mkt VS Vanguard Inst. Index Plus, which one is better?  (Read 340 times)

nsmall

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I have 10-20 years before I will touch this money, more like 20.

I have my money in my 403b split evenly between Vanguard Total Stock Mkt Idx Instl Pls VSMPX  and Vanguard Institutional Index Plus (not sure of the ticker symbol?)

Should I keep this or should I invest in just one fund?



I have $5k of Vanguard Developed Market Index VTMNX.  Should I sell it for one of the funds above?

Same story with Vanguard Small Cap Index I VSCIX,  I have like 5k in this one.

I keep seeing everyone being a fan of Vanguard total stock index funds so I am mainly curious about the total vs institutional opinions out there.

Thanks

nsmall

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Vanguard Developed Markets Index
Vanguard Emerging Markets Index

Vanguard Institutional Index
Vanguard Mid-Cap Index
Vanguard Small-Cap Index
Vanguard Total Stock Market Index

I have access to all those funds, with the bottom 4 being the most appealing.  The fees are .04, plus another .25 for the admin fee.  Just sharing.

seattlecyclone

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What does your investment policy statement say? How much of your money should be in US stocks? How much should be in international stocks? How much should be in bonds?

The total stock market index institutional fund is a great one to complete all of your US stock allocation. The institutional index is simply the 500 largest stocks in the total stock market fund. That plus the mid-cap and small-cap funds in an 80/10/10 ratio is basically the same as the total stock market fund; no reason to invest in both. Why not just go with the total stock market for simplicity?

The developed market fund is a great fund for your international stock allocation. Add in a bit of the emerging markets if you like to make sure you have the whole world covered, but it's not super important.

MustacheAndaHalf

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I think picking one of the US stock market funds is less important than having at least a 20% international allocation.  There's a "Vanguard Total International" fund that has everything but the U.S., so it's easy to add to your portfolio.

You could also mix developed and emerging markets in a 4:1 ratio.  If you allocate 20%, then you might have 4% emerging markets and 16% developed markets.

Gronnie

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Pick one or the other. If/once you have taxable investments, it will make TLH without worrying about a wash sale easier to manage.