Traditional IRA, Roth IRA, and personal investments bad idea? Best options?

[Jimmyjon]

Hello, I am 26 years old and planning on opening some accounts with Vanguard.

Right now I have a company provided 401k with MassMutual worth 27k but will be leaving the company soon and will have to roll it over so I am thinking Vanguard would be good.  I also have a Roth IRA with AmericanFunds worth 7k but I am not happy with how it is being managed so I would like to roll that over into Vanguard as well... Thirdly, I would like to open an individual investment account with Vanguard and start putting money into Index Funds (VFINX, etc).

My question is... Does this seem overkill?  Is it a good idea to have a Roth IRA, Traditional IRA, and individual investments in index funds?  I'm also looking for recommendations on how to diversify my options in each account.

Any input helps, as I'm at a loss right now and don't have a lot of knowledge in investing. Thanks!

[plog]

Nope, I suspect that's how most here do it.  With vanguard I have all 3 types of accounts, luckily I just have one sign-on to get to them all, so it makes it easy.

The only thing I question is your assumption that you have to roll the 401k over.  Usually you aren't forced to do this when you leave--the management company is more than happy to let you keep money sitting with them and extracting their fee.  Usually rolling over the 401k to an IRA is the right move, it's just not a forced move. 

[Jimmyjon]

Thanks for the reply!

Do you have all 3 invested into different things or do you keep them all in similar things?  Maybe keep low risk options for the IRAs and higher risk options for the personal investments?  As of right now I am thinking of going with the Vanguard Total Stock Market Index Fund, Vanguard REIT Index Fund, Vanguard Growth Index Fund, and the Vanguard FTSE All World Ex-US Index Fund. 

I'm not sure if I should put my IRAs into something other than those, however.  Any recommendations?

I've already checked with the company and I will not be able contribute anymore to it so I figured I might as well roll it over into an IRA.