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Learning, Sharing, and Teaching => Investor Alley => Topic started by: hadabeardonce on October 21, 2020, 12:04:52 PM

Title: New 401k Investment Elections w/American Funds
Post by: hadabeardonce on October 21, 2020, 12:04:52 PM

It's really a headache when VTSAX, VTIAX and VBTLX aren't offered as investment options. This was the best I was able to come up with to approximate similar stuff (see merica.pdf attached for all options):

VFIAX 39.4 %
VSMAX  8.6 %
VTMGX 32.0 %
VBILX 16.0 %
VBIRX  4.0 %

Trying for...

• 80/20 Stock/Bond
• 60/40 US Stock /Int'l Stock
• a mirror of Vanguard's early target date funds investment style

Is anyone seeing better available options?

Gracias!

Title: Re: New 401k Investment Elections w/American Funds
Post by: seattlecyclone on October 21, 2020, 12:47:59 PM

I was worried reading the title that you'd be forced into buying investments only from American Funds. Good to see that they have some nice Vanguard options available. Those percentage allocations look to be a reasonable approximation of Vanguard's four-fund asset mix. You don't have a good low-fee option for mid-cap stocks or international bonds, so you may want to make up for that in your IRA. Once we're adding other accounts into the mix though, you may decide it makes things easier to just buy one or two funds in this 401(k) and make up for the rest elsewhere.