Author Topic: Vanguard Funds (401k choices)  (Read 1440 times)

stash4cash

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Vanguard Funds (401k choices)
« on: January 02, 2015, 02:00:13 PM »
For Vanguard choices, I have no bond funds and the following four stock funds:

VSGAX (Small cap growth)
VMCIX (Mid cap index)
VSCIX (Small cap index)
VINIX (large cap index - s&p 500)


For the stock portion of my portfolio (have the bond portion in Pimco as its the lowest priced bond fund in my 401k offering), I'm right now weighted as follows:

Large Cap - 77%
Mid - 15%
Small - 8%

I was thinking about increasing my exposure to mid/small. Any recommendations?

You can assume expense rations are very similar. Large cap is .04%. Mid is .08% and small is .09%.





stash4cash

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Re: Vanguard Funds (401k choices)
« Reply #1 on: January 02, 2015, 02:01:29 PM »
Oh, one other comment, I've got zero international exposure as the international funds expense ratios are annoyingly high  (so I've got international exposure outside of this particular 401k).


seattlecyclone

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Re: Vanguard Funds (401k choices)
« Reply #2 on: January 02, 2015, 02:57:14 PM »
Your current allocation looks like it would more or less approximate a "total market" fund. If you want to increase your risk (and likely long-term reward), adding additional weight to your small/mid-cap allocation could do that. You'll have to decide for yourself how much risk you're willing to accept.

wtjbatman

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Re: Vanguard Funds (401k choices)
« Reply #3 on: January 02, 2015, 06:10:50 PM »
Tilt small cap if you want, but I wouldn't recommend any more than 20% in either mid-cap or small-cap.

Indexer

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Re: Vanguard Funds (401k choices)
« Reply #4 on: January 02, 2015, 07:54:49 PM »
If you want to tilt small cap remember its a long game.  Small caps are even more volatile than regular stocks.  So when things get volatile you have to be able to stand the heat. 

stash4cash

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Re: Vanguard Funds (401k choices)
« Reply #5 on: January 03, 2015, 01:53:46 PM »
Awesome thanks for the clarifications/advice.