Author Topic: 40k in funds just sitting in VAN marketplace... what to do??  (Read 1718 times)

live4soccer7

  • 5 O'Clock Shadow
  • *
  • Posts: 49
40k in funds just sitting in VAN marketplace... what to do??
« on: February 17, 2017, 02:34:57 PM »
I have about 40k in funds sitting in vanguard marketplace. I wanted to do the admiral versions, split evenly at 25%, of LARGE/MID/SMALL and International. Everything seems to be at record highs and has been that way since I put my money in about a 6-9 months ago (through SEP and IRAs for 2015). It just seem like a TERRIBLE time to jump in with things being at all time highs.

What are your thoughts or suggestions?

I'm 29 and hope to have early retirement between Vanguard portfolio that I'll continue to aggressively build, business income which will get scaled WAY back at retirement and investment properties. I'd like to be close to retirement around 40-45 and have no problem with the all equity strategy and just letting it sit. I'll have no debt in about 3yrs (age 32-33).

dandarc

  • Magnum Stache
  • ******
  • Posts: 3459
  • Age: 36
Re: 40k in funds just sitting in VAN marketplace... what to do??
« Reply #1 on: February 17, 2017, 02:37:23 PM »
Read the stock series (http://jlcollinsnh.com/stock-series/), then put it all in.  No sense in trying to time the market.

The market is often at all time highs, because the market always goes up (http://jlcollinsnh.com/2012/04/19/stocks-part-ii-the-market-always-goes-up/)

live4soccer7

  • 5 O'Clock Shadow
  • *
  • Posts: 49
Re: 40k in funds just sitting in VAN marketplace... what to do??
« Reply #2 on: February 17, 2017, 02:44:18 PM »
The market isn't always at an all time high. That's simply impossible. Look any crash. It usually has a span of a few years where it is no where near all time high.

I'm not saying to time the market to hit it at the all time low in a crash, but rather not put it in while it is at the ALL time high and breaking all records.

I'll read the literature.

I'd be curious to know what others think to. Please bring it on, you won't hurt my feelings.

crentist

  • 5 O'Clock Shadow
  • *
  • Posts: 18
Re: 40k in funds just sitting in VAN marketplace... what to do??
« Reply #3 on: February 17, 2017, 03:40:47 PM »
You have had 40k sitting in vanguard for 6-9 months??? think long term and get invested

live4soccer7

  • 5 O'Clock Shadow
  • *
  • Posts: 49
Re: 40k in funds just sitting in VAN marketplace... what to do??
« Reply #4 on: February 17, 2017, 03:52:57 PM »
lol. Alrighty.

This is what I'm currently considering. 25% each.

Emerging Markets Admiral: VEMAX
Mid-Cap Admiral Blend Index: VIMAX
Small-Cap Blend Admiral Index: VSMAX
Large-Cap Blend Admiral: VTSAX

mxt0133

  • Handlebar Stache
  • *****
  • Posts: 1559
  • Location: San Francisco
Re: 40k in funds just sitting in VAN marketplace... what to do??
« Reply #5 on: February 17, 2017, 05:52:23 PM »
Read this and let me know if you still think market timing is a winning strategy without a crystal ball.

http://awealthofcommonsense.com/2014/02/worlds-worst-market-timer/

Brokefuturedoctor

  • 5 O'Clock Shadow
  • *
  • Posts: 78
  • Age: 25
  • Location: Southwestern Virginia
Re: 40k in funds just sitting in VAN marketplace... what to do??
« Reply #6 on: February 17, 2017, 06:03:45 PM »
Read this and let me know if you still think market timing is a winning strategy without a crystal ball.

http://awealthofcommonsense.com/2014/02/worlds-worst-market-timer/

I was hoping someone would talk about Bob

mxt0133

  • Handlebar Stache
  • *****
  • Posts: 1559
  • Location: San Francisco
Re: 40k in funds just sitting in VAN marketplace... what to do??
« Reply #7 on: February 18, 2017, 12:28:47 PM »
Yeah, as much as we might mock Bob, he is still ahead of most people by staying in the market and continuing to save his money.

Radagast

  • Handlebar Stache
  • *****
  • Posts: 1539
  • Location: West of the Mountains, East of the Sea
  • One does not simply work into Mordor
Re: 40k in funds just sitting in VAN marketplace... what to do??
« Reply #8 on: February 18, 2017, 12:41:39 PM »
lol. Alrighty.

This is what I'm currently considering. 25% each.

Emerging Markets Admiral: VEMAX
Mid-Cap Admiral Blend Index: VIMAX
Small-Cap Blend Admiral Index: VSMAX
Large-Cap Blend Admiral: VTSAX
My taxable account is 25% each of
Emerging Markets Admiral: VEMAX
Developed Markets Admiral: VTMGX
Mid-Cap Value Admiral: VMVAX
Fidelity Total Stock Market (I am researching changing this right now as I realized it pays out short term capital gains).

So pretty similar. Quite a few international stock funds have negative 10 year returns so it is hard to say they are at all time highs.