**In 2007, a relative of mine purchased an annuity for me as a gift. The annuity which I have, with Transamerica, has since expired. Being that I already have the annuity, I have 2 choices, cash it out or move it into another annuity. I obviously do not wish to cash it out as I would be smacked with a 10% Tax Penalty. So, I am going with the other choice of moving it into a Vanguard Annuity. **

With regard to putting together an asset allocation for the annuity, I was not sure of which funds to choose, as I desired a very aggressive portfolio (a 100% stock allocation) These are the funds that are in the Vanguard Variable Annuity.

VVA-Balanced (0069)

VVA-Capital Growth (0603)

VVA-Conserv Allocation (0801)

VVA-Diversified Value (0145)

VVA-Equity Income (0008)

VVA-Equity Index (0068)

VVA-Growth (0010)

VVA-High Yield Bond (0146)

VVA-International (0086)

VVA-Mid-Cap Index (0143)

VVA-Moderate Allocation (0803)

VVA-Money Market (0064)

VVA-REIT Index (0147)

VVA-Short-Term Invest-Gr (0144)

VVA-Small Company Growth (0160)

VVA-Total Bond Market Idx (0067)

VVA-Ttl Stock Market Idx (0604)

Of the 17 funds in this annuity, my friend suggested that I allocate the following funds in this fashion:

30% VVA Capital Growth (0603)

15% VVA Diversified Value (0145)

8% Mid-Cap Index Portfolio (0143)

7% Small Company Growth (0160)

30% VVA International (0086)

10% REIT (0147)

He also suggested, before I invest, to ask for other opinions and so, here I am. I would appreciate any other feedback.