BND

FoggyFoggyFoggy

Below is my all equities Roth IRA. (I have a separate, more conservative, VTI-VXUS-BND-BNDX tax-deferred account.) SPMO 45% VEA 35% GOOGL 10% RY 10% What U.S. equity ETF would you add to this Roth IRA?

ShittyUsernane1222

which 3 letter government agencies are represented the most in wsb (pick 1 from the list) ? 1. CIA (US) 2. NSA(US) 3. FBI (US) 4. DIA (US) 5. NGA(US) 6. FSB (Russia) 7. MSS (China) 8. KGB (Belarus) 9. MI6 (UK) 10. MI5 (UK) 11. ICE (US) 12. GCHQ (UK) 13. BND (germany) 14. Verfassungsschutz (Germany) 15. Other

Prudent-Corgi3793

XRT -7.63% total returns over last 5 years. Here are some bagholder stocks and ETFs that have outperformed over the same time period. NVO +16.25%, F +28.69%, GM +33.74%, SBUX -3.98%, BND -0.00%.

Technical_Formal72

No more than I would be wasting my money on a personal trainer or FA. A financial advisor won’t magically make me more money. A personal trainer doesn’t magically make me fit. If you’re too lazy to do some basic research on a long-term investment strategies like VT, VTI/VXUS (optionally BND), or a TDF ect. and don’t have the discipline to stick to that strategy then sure go blow some money on a money babysitter. But I would only suggest that to someone who completely lacked the ability to think for themselves. Investing is so easy and convenient today, I see no real argument for an FA unless you are an extremely high NW individual. A private chef on the other hand would be nice though haha

bofoshow51

I highly recommend the [Financial Order of Operations](https://moneyguy.com/guide/foo/#7-hyperaccumulation) for not just investing but general financial literacy and priority. It’s great if you are investing aggressively and getting a 10% return, it’s bad if you don’t first pay off your credit card debt with 25% interest so you’re losing more money than you’re growing, or you didn’t first build an emergency fund to handle the little surprise expenses life throws you and you have to pull money out of your investments. In terms of what way to actually invest, I highly recommend the [3 fund portfolio](https://www.optimizedportfolio.com/bogleheads-3-fund-portfolio/?gad_source=1&gad_campaignid=10886055113&gbraid=0AAAAACPYnC6gFzivnN-AeQgEAzjrRXjev&gclid=Cj0KCQjwio_RBhDMARIsAJPveNPg67JDp3ImRsx7BkqroO_gAI2xRVosB4Epp3u9It3_7MtQ6_RMS8caApl5EALw_wcB) for maximum simplicity, maximum success, and minimum worry/effort. Buy low-cost broad market index funds, get one each for US stock market + international stock market + bond market, ideal funds are VTI/VOO/SPY + VXUS + BND/GOVT/VGIT or even simpler VT (total world so US and international together) + bonds. When you’re young you want way more stock index funds than bond index funds in your portfolio, for reference I am a 95/5 ratio of stocks to bonds and 29yo, and I’d be 100% stock if not for my 401k target date fund having a small portion of bonds anyway. When you are near retirement, about 10-15 years away, you adjust your ratio more to bonds. It’s preference what that retirement ratio will be, I plan to go to about 75/25 or maybe 80/20 depending on how I feel my risk tolerance is in my old age. Hope that all helps!

the_shaggy_DA

VTI 50%, VXUS 45%, and BND 5%, then delete the app and never think about this wretched market for at least the next two decades

neonam11

Take some of your profits and put them into VTI/VXUS/BND and chill.

bad_detectiv3

my strategy if I ever sell my stake is to rotate into SGOV and BND \[I read about buying in bonds yesterday\] to hedge against recession.

Serious_Tree31

It’s not letting me add picture Current ETF s are : SCHD SPHQ SCHD BND VOO VWO

shantired

BND is a bond fund from vanguard, its a total market ETF. It’s not the best, but has a decent return. If you’re going to invest in VOO and BND, then it’s best to do it by opening an account with Vanguard. They have a clunky website but that also helps them keep their expense ratios low. For HYSA, my favorite is Amex just because I have other credit card products with them. There’s a bunch of others that you can research.

Mshepard24

This is the hand holding talk to me like a idiot reply I needed. Thank you good sir or ma'am. Whats the deal with the BND? Also what is the best HYSA?

shantired

The limit for zero tax is 250K if you’re unmarried and living in the same house for 5 years, which is your case. No taxes on 160K and 9 years. Here’s one way to invest: 35K in HYSA 85K in VOO or SPY or FXAIX (all are very similar). This is basically investing in pure American capitalism. 40K in BND or equivalent. This is a bond fund that you can use to buy more stocks or funds when the market is down (remember the adage: you make money when there’s blood on the streets). I would suggest that you put all your money into a HYSA right now and then invest about 10-20% every month into the 2 funds to dollar cost average (DCA).

Machine8851

BND is not good though

DrakeStone

Vti, Vxus and BND, so endorse.

tk421tech

Ok so under $20k Switched it to VOO 70% VXUS 20% and BND -> APPL / plan to get 10 total shares and leave alone for 10 yrs.

Puzzleheaded-Art1524

After an emergency fund (3 - 6 months of expenses), I have another bucket for things I plan to buy in the future. Whether it's home projects (i.e. replace a central air unit) or buy a next car, or something like that - and I sell stock to put into those buckets, so that the money is available when I need it (rather than keeping it in stocks and having a market correction right when I need the money. As others have said, I'm a boglehead - so the bulk of my holdings are in 3 funds (ITOT (Domestic Equities), IXUS (International Equities) and BND (Bonds). So I don't really worry about when to sell individual stocks. I just periodically rebalance to make sure that my overall portfolio allocation is what I intend it to be. For the other buckets (things I plan to buy in the next 5 years, I'll either use CD ladders or bond funds so that those are still earning money, but aren't subject to market downturns at the time I need the money. Boring, I know - but just the way I like it.

witchesbrewm

Whatever diversified ETF of fund you buy, you will always have a lot of tech. You could sell everything and buy a 60% VT and 40% BND or something like that. In Canada we have a lot of asset allocation ETFs (VBAL, XEQT, etc), but for some reason I can’t find a US equivalent.

PartsSprout

Ok that makes a lot more sense and that is the way to do it IMO. BND, TIPS, and similar long and intermediate bond funds are just abysmal for portfolios over the last decade.

TotakekeSlider

BND

TotakekeSlider

Hell yeah BND is up .1% today We are so back

TempeGrumble

OMG another fancy term for trying to market-time. Warning: I'm a Boglehead, so I'm going to be one of the folks advising you and your spouse to focus on low-cost, broad market index funds for equities and avoid trying to guess where and when "the market" is going anywhere. In this perspective, your advisor was wrong, and going with something broad-based within your asset allocation is correct. E.g., with Vanguard ETFs, VT (or VTI and VXUS) for equities, and something like BND for bonds.

ATPsynthase12

I’m serious, you don’t need a financial advisor and investing can be very simple if you do a little reading first. The entire philosophy behind Bogleheads is that investing can be as simple as you make it. John Bogle the founder of Vanguard designed the index fund as a low maintenance, low cost option for retail investors to get into the market and make money without having to go “stock picking” or do extensive research on each company. For example, you’ll pay 0.11% per year from your returns on a VTI/VXUS/BND 3 fund portfolio vs. 1-3% of your total portfolio value in an actively managed brokerage. It’s a no brainer.

ATPsynthase12

You don’t need a financial advisor at all. They are just middle men who harvest 1-3% of your portfolio per year and often either lose you money (via outright losses or sub par performance) or go full big brain moves to beat the S&P 500 and again end up losing your money. Or, they intentionally do stupid things to make more money off of you such as putting money on a corporate bond fund. Pull your money out and transfer it to a fidelity brokerage SPAXX account. Once the cash has settled invest it in the following; 50% VTI (vanguard total stock market index), 30% VXUS (vanguard total non US stock market), and 20% in BND. If you are not retiring soon or want more growth, do 70% VTI, 30% VXUS. Although, at your age, there is a strong argument to include bonds or TIPS to ensure you have less volatility and cash on hand if needed. That’s it. Contribute monthly, reinvest the dividends and let the compound interest grow. DO NOT TOUCH IT until you hit the amount you can draw 4% per year without depleting your accounts. Once you hit that point you can retire and are fully financially independent. Check out the wiki on r/bogleheads if you want more info.

Machine8851

BND is the reason why your not matching the sp500 YTD returns.

tk421tech

I sold VXUS and BND on Friday. Prior it was 40/30/30

tk421tech

I sold some VXUS and BND on Friday that is you see in SPAXX, to possibly put in VOO. Hence this post.

Bloated_Plaid

That BND % is wild but sounds like you wanted to be conservative.

tk421tech

It was VOO 40%, VXUS & BND 30%. Retiring in 10 yrs. (Seems it might only grow to about 100k with contributions). Prior to today I thought perhaps 60/25/15 might be a better goal. Current % 33.50/17.42/15.87 and 33.21 in SPAXX to rebalance.

Moist_Wolverine_9127

Your math checks out - VXUS has been dragging you down this year while bonds are basically dead weight. International has been underperforming US markets for a while now, and with rates where they are, BND isn't doing you any favors either. At your age though, having some diversification isn't the worst idea even if it hurts short-term performance. The 3-fund portfolio is designed for long-term stability, not chasing returns. If you went 100% VOO you'd definitely be closer to that 9.27% S&P number, but you'd also be taking on more concentration risk. Maybe consider tweaking your allocation instead of going all-in on one fund - bump up VOO percentage and reduce the international/bond weightings if you're comfortable with a bit more volatility.

charlieandoreo

Just buy VOO and VXUS or just VT. Then in a tax deferred account add BND after you turn 40.

vSylvr

21M. I max out my Roth IRA each year with 85%Voo 10%VXUS and 5%BND. I have an emergency savings in a HYSA. No debt or car payment only fix payments are car insurance and gas plus groceries. I want to save for a house someday let’s say 10 years from now. I want to invest that money in a brokerage instead of just in a HYSA. I’m going to do 70% VOO and 20% QQQM. What should I do with the other 10%? I want to keep it us stock market only.

SirGlass

Multiple people have told you just buy standard index funds like VTI or VOO, add in bonds like BND if you do not want the full risk of 100% equities. What mix is up to you and your risk tolerance. High risk go like 100% QQQ Moderate risk do something like 60% VTI / 40% BND If you want to touch some of it before 59.5 put it in a taxable account . If you need money sell some of your holdings when you need money.

SirGlass

>: I am not liquid and my quality of life is suffering for it You can sell any ETF at any time. Covered call ETF are not "More liquid" than any other ETF. I never insulted you , if you are willing to give up upside for more steady gains the most straightforward way to do this is a equity/bond mix Like 70% VTI / 30% BND or something like that. Re balance quarterly . If you need liquidity just sell some of your holdings

Ok-Quiet-853

Which bond? BND is down overall in the last 5 years.. are bonds a safe guard to what I currently hold?

amfournda

This is what I do for whatever that's worth. A little bit of BND and BNDX as I start to get older.

SynapticMelody

1) Emergency fund - enough to cover 3-6 months of essential expenses so you don't get stuck having to draw down investments at an inopportune moment. 2) Make sure your retirement fund is on track for a comfortable retirement. 3) Invest the rest in a taxable brokerage: - One-fund: VT - Or two-fund: VTI + VXUS - Add BND if you need less volatility. - Add VOO for more US large cap exposure. 4) Dollar-cost average and rebalance when your positions get it off balance from their set allocations. Avoid stocks/crypto with any money you can't afford to lose and keep it a small percentage of your portfolio (high risk).

BigCSFan

Yeah. And they typically dont perform great as far as I understand. I know BND is a big one

claire_jeep984

Smart move ditching the BND. Should be 100% VTI at this age anyway.

onemanmelee

Thanks, yeah I wasn't planning on BND for the Roth, but appreciate the reminder. For Roth I'm thinking VOO, but my purpose in posting this question was basically to make sure I didn't accidentally set myself up for wash sale issues if I chose VTI or VT (same or 'substantially equivalent' funds) for my Roth. I think probably going with VOO avoids such issues while also providing a good general high growth fund. But if I'm wrong on that, please lmk.

onemanmelee

Thanks, yeah as I've read more about them I've become less interested. I'd worry they'd become too conservative in general. I'm even currently looking at my 10% in BND and thinking maybe I didn't need to do that yet, and moving forward will focus on funding VTI primarily.

onemanmelee

Thanks, appreciate the reply. What I'm leaning towards is, since I already have VTI/VXUS/BND, is maybe just going with VOO in my Roth. It's simple and straightforward, and basically accomplishes the same thing as VTI woiuld, more or less, but avoids any wash sale complications too. But your comment helps to remind me that I'm unlikely to be selling at a loss. Still learning all this stuff, so trying not to step on obvious landmines.

moosewithamuffin

Can’t stand those single-cell organisms over in the Bogleheads sub. If anyone asks a single question outside of VTI/VXUS/BND DCAing they get a stick up their ass and think they’re all high and mighty. WSB is where I wanna be, in the casino trading 0DTEs with you regards having a good ol’ time. Never change WSB!

gentlegiant80

As a general rule, you want higher growth funds and stocks in your Roth since the funds grow tax free and withdraw tax free. I would definitely not use a Roth to buy BND as it doesn’t take full advantage of the benefit.

SirGlass

>I've done some research and decided that chasing dividends is an ok strategy for very conservative retirees. My only response might be there are better ways to smooth out returns vs chasing dividend stocks While the argument that dividend stocks are usually older more mature companies that will have steady profits even in down turns they are still stock and are still risky Dividend ETFs fell 30% with the market in the covid panic. So even a 100% dividend portfolio might be too risky for older retired people Meaning if you play with the numbers you might see a portfolio of 70% SCHD / 30% BND sort of perform the same as 60% VOO / 40% BND SCHD might be a bit safer but you offset this by holding less bonds, Or VOO might be more risky but you offset this by holding more bonds Either way you sort of get similar risk adjusted returns

onemanmelee

Hi all - I have funded my first Roth IRA, and have \~$14500 waiting to be allocated. My brokerage account already has VTI/VXUS/BND. I'm trying to figure out where to invest my Roth funds. I assume some kind of broad fund like the above would do, but I've been warned about doing the same exact funds due to potential wash sale issues down the line. I've read a bit about them, but don't clearly understand them. Like do they apply only if I have literally VTI in both accounts, or would it also apply if I had VTI in one and VOO in another, since there is so much overlap? Target Fund Dates were also suggested as an option, and I'm considering it. However, I'm not sure exactly what my retirement timeline will be. I'm 46, very tired of my corporate career, and interested in the FIRE community, including something akin to CoastFIRE, where I could hit a number where I know the portfolio should grow to sufficient by retirement age, and at that point downshift to lower paying part time work. So I'm a little wary of locking up funds on the wrong timeline, or even having them revert to too conservative too soon.

Just_Candle_315

Value of BND and BLV just keep sinking US government debt basically junk bonds

brokeasfvck

Any advice for 37M on breakdown of contributions? I tried to do a bunch of reading when I finally started actually working 1.5 years ago. It seemed that a diversified set it and forget strategy would be best. I did a bunch of reading on here and read the Tony Robbins book and some other beginner investing book. Currently my allotments every 2 weeks (or when I have extra cash to throw in I break it down to same ratio) is 62% towards VOO, 11% towards both AVUV and IMCG, 8% towards VXUS, and 4% towards both BND & BNDX. I feel like I have early onset Alzheimer's so I don't remember rationale for everything. My biggest question is the bond allocation. It's small overall, but 8% of my contributions. Since opening my account BND/BNX haven't grown, which I understand is normal. In one of the books I read I recall them saying how important bonds can be to offset volatile markets, even in earlier career investing. However, I'm starting to feel the nonimal returns from dividends when I'm not putting a significant chunk towards them probably isn't worth the opportunity cost of putting that money towards an S&P tracker. My goal is to to be able to "FIRE" in 7ish year. Fortunate to be able to put away 6 figures annually, but don't want it to all be for naught because of dumb strategy. Spoke with a Fidelity consultant and they basically said great job and consider one of their annuities for further investment opportunity :/. Thoughts?

throwawayawayayayay

Roth IRA: VT Traditional IRA: VT+BND Brokerage: Anything you're willing to buy and hold for years, either reinvesting dividends or leaving them in settlement fund as free cash to rebalance or buy something else.

ATPsynthase12

VTI 50% for broad US market coverage VXUS 25% for broad foreign market coverage BND 10% to reduce volatility and drawdowns VGT 5% tech diversification/tilt VHT 5% healthcare diversification/tilt VDE 5% energy diversification/tilt

dontbethatguyever

Feels like a late stage bubble. I’m been selling single stock holdings and parking in BND through the midterms at least. If there’s a large 10-15% sell-off, I’ll rotate back in and DCA.

DaemonTargaryen2024

First, TDFs are good inside IRAs and 401ks, not so good inside brokerage accounts. Second, TDFs are typically most accessible at their own firm: Vanguard, Fidelity, Schwab. You may struggle to find (or pay a fee for) TDFs at a shop like Ally. Though you can replicate TDFs easily: VTI + VXUS + BND for example.

SynapticMelody

VT or VTI + VXUS. Use BND if you need to reduce volatility and VOO to increase US large cap exposure. Keep it simple but diversified, dollar-cost average, and rebalance when positions diverge from their set allocations. Keep several months of emergency cash reserves in a money market fund so you don't get struck having to draw down your investments when the market is down.

SynapticMelody

1) Keep house money safe if you want to buy (0–24 month horizon): Money market or SGOV/BIL ETF. 2) Emergency fund (6 months essential expenses): same as first tier. 3) Make sure your retirement fund is on track. 4) Invest the rest long-term: - One-fund: VT - Or two-fund: VTI + VXUS - Add BND if you need less volatility. - Add VOO for more US large cap exposure. 5) Dollar-cost average and rebalance yearly. Avoid stocks/crypto with any money you can't afford to lose or might need in the next 2-3 of years.

Machine8851

No point in BND, VT or FXAIX is all you need at least to start

Ok-Piano8789

just keep smiling and charging them for reconstructing a shittier VT/BND split

TortugaTurtle47

My plan that has significantly less expenses/fees: 100% stocks until 50-55 (VTI ~80% and VXUS ~20%). Once I'm in my 50s, I'll start adding bonds like SGOV and BND (my emergency fund is in them already). Probably be around 60% bonds and 40% stocks in retirement (plus cash).

Smart_Food_4823

If your portfolio looks like a grocery list, you're not diversifying; you're just collecting expense ratios. A solid VTI/VXUS/BND combo beats these 'over-engineered' institutional traps 9 times out of 10. The best edge in 2026 isn't more tickers, it's less friction

MidnightMiasma

Others have already pointed out that this is an absurd portfolio. Why? (1) Fees—you’re paying 1.5% on the portfolio and probably an additional 0.5-1% on the actual holdings, (2) complexity—this accomplishes with ~20 positions what can be achieved in 3 positions. If you go this route, you will be much worse off than if you did it yourself. You could replicate this portfolio almost exactly by buying: - 51.3% VTI (or ITOT if you prefer, basically the same)—this includes a very similar breakdown of large, medium, and small cap. - 22.5% VXUS (or IXUS if you prefer, basically the same)—this includes a very similar breakdown of developed and emerging markets. - 23.5% VTEB (or MUB if you prefer, basically the same)—this includes municipal bonds. Others have recommended BND, which is fine, but BND is not municipal bonds which have some tax advantages if you are in a high tax bracket. - 2.7% cash This entire portfolio represents the same investment mix that your idiot advisor recommended and will cost around 0.05%. 1.5-2% doesn’t sound like much, but if your expected return on your portfolio is about 7%, you give up about 1/4th of your gains to Fidelity. This sub will generally not consider anything other than a 3-4 fund portfolio mostly because it does actually make sense, but in reality, some people are scared of doing even that. If that is you, that’s okay! Just buy something like FFNOX—it bundles these funds together so you just have to buy one thing, at the cost of a very slightly higher price (but still WAY cheaper than what your advisor recommended). As for your advisor, he is not acting in your best interests. I would run.

betsbillabong

Oh my god. Do not do this! If you are fully in cash now, then I agree on 70/30 as a good allocation. You can get that through a two-fund portfolio: 70% VT and 30% BND or VGIT. And do not pay 1.5% -- that is highway robbery.

A10cc

Bro just do VTI/BND or VT/BND. It's so simple.

RJ5R

Here you go - VTI 60 VXUS 30, BND 10. Done

Freightliner15

Really. 70% VT, 30% BND would be soooop much simpler.

ATPsynthase12

Do you know the easiest way to make a million dollars in the stock market trying to day trade? Start with two million. Pick a few (or even 1) ETFs you like like VTI or VOO and you’re golden if you’re young. If you are old or risk adverse put 10% in BND If you want to hedge against the US economy, add VXUS at no more than 25-35%. If you really want to tilt into one or more sectors (AI, infotech, robotics energy, healthcare etc.) research those sectors and pick one or two index funds that’s performing well to put no more than 10% per fund into. Again, DO NOT try to “short” a stock or day trade. You’re basically gambling and will lose money. Best strategy is to buy and hold and do the opposite of what everyone else does in a bear market and buy the dip in sectors you know won’t collapse totally. For example, if we manage to develop easily and cheaply produced electric cars and can move that tech to larger vehicles, “buying the dip” in oil is a dumb move. But buying the dip in say healthcare or tech is a solid bet that the market will grow and make you money.

AskPatient1281

This is my formula. This is what I do. Maybe it will work for you as well. 1) Emergency fund - 6 months of expenses = $29,700 This should be invested in treasury. A good option is SGOV. Ok also to keep it at a HYSA. Not a regular savings account, but a HYSA. 2) Open a roth IRA and fully fund it to the max allowed = $7,500 Everything here should be invested in broad stock ETF, something like VOO or VTI. If you want, put 20% on international stock - VXUS. So 20% VXUS and 80% VOO or VTI. Invest the max allowed every year. 3) Open a brokerage account and invest the rest Follow the same formula as #2. So 20% VXUS and 80% VOO or VTI. Invest a little every month. It doesn't matter if the market is up pr down. Just keep investing a little every month. If you can invest $50, ok. If you can go to $500, great. But keep investing. 4) Check your emergency fund at least once per year. If you conclude that your cost of living went up, top it up. Add more money to it. 5) As you get older age 45 or so, start adding Bonds to your portfolio to reduce volatility. You don't want to retire with 100% of your investments in stocks. On your Roth (and 401k, if you have one), you can sell some of your stocks and buy bond ETFs like BND or IGIB. In Roth, IRA and 401k these movements are not taxed.

ATPsynthase12

I ran some benchmarks and I think I’m gonna update my portfolio to this: VTI 50% VXUS 25% BND 10% VGT 15% When compared to the benchmark of Berkshire Hathaway over the last 3 years it has had a Sharpe of 1.12 compared to BRK’s .66 and a CAGR of 18.5% compared to BRK’s 14%. It also has a Sortino ratio of 2.03 compared to BRK’s 1.06 and a Calmar Ratio of 1.81 to BRK’s 1.4. So it seems to outperform BRK.A in nearly every metric from a risk to growth perspective. I noticed my REIT percentage was pulling down growth and I don’t need high dividend payout at this stage and I don’t like the tax drag so I’m dumping this as well as QQQ. I’m also dropping BND to 10% which exposes me to more risk from tech exposure but also lets me have more growth over the long term.

Infnits

Yeah the overweighting angle is fair, VTI + QQQ for a tech tilt is a real strategy as long as you know that's what you're doing. On the expense ratio thing you're right, it's basically a wash if both funds are 0.03 to 0.06%. The real cost isn't the fee, it's opportunity cost. If your intent was to diversify and you ended up with two funds that move together, you spent that allocation on something that didn't do the job. That same money in VXUS or BND or AVUV would've actually reduced your correlation to the US large-cap bet. So the downside isn't what you paid, it's what you didn't get. The portfolio looks diversified on paper but behaves like one position when the market moves.

Space_Pilot1

I could see VTI and VXUS for someone willing to specifically derisk from US equities given the current political environment. Or just do VT long term and call it good enough since the overall returns are roughly similar. For Bonds I believe IUSB, BND, or AGG are pretty close too with about 17k basket holdings according to Fidelity Investments. Anything else is simply increased decreased diversification and increased risk at the benefit of potentially higher returns or greater losses

ATPsynthase12

So I am currently getting into investing and learning the basics but would appreciate some input on my current portfolio distribution. The goal is long-term sustained growth over 30 years or so with a “buy and hold” mentality. I like the Bogleheads mentality, but got a 3 day ban from their sub for even mentioning investing in QQQ. Currently my distribution is based on a standard 3 fund portfolio with tilts in tech and real estate because I think those markets will continue to improve over the next 30 years. My distribution is: 40% VTI 20% VTXUS 20% BND 10% VNQ (REIT) 10% QQQ Any input or changes you’d recommend? I’m aware the REITs aren’t the most efficient in a taxable brokerage, but with my income tax bracket, it would be negligible bump. I like them as an inflation hedge and the extra investable income via dividends. If I were to cut something, I’d sell my. Shares here and move it to VTXUS for more foreign market involvement. I am also aware that tech and QQQ is volatile in the market, however, I do not think we are going to see tech become less of an integral part of our society or economy especially with the rise of AI. It seems silly to not tilt your portfolio to tech a little given that we are closer to colonizing the moon than going back to analog clocks and dialup i

hymie-the-robot

the driver is correlation, not beta. if you hold low-correlated assets, beta is going to decrease, and drawdowns will decrease compared to the market. if you hold highly correlated assets, then they're going to drop largely with the market, and beta will be high. finding low-correlated assets is difficult. you have one in gold, and perhaps bonds, but many bonds don't fit the bill these days. e.g., BND is poor, while SGOV is good. if you experiment using backtests (portfolio visualizer, testfolio), you can examine risk metrics and gain insight into this.

ATPsynthase12

So I am currently getting into investing and learning the basics but would appreciate some input on my current portfolio distribution. The goal is long-term sustained growth over 30 years or so with a “buy and hold” mentality. I like the Bogleheads mentality, but got a 3 day ban from their sub for even mentioning investing in QQQ. Currently my distribution is based on a standard 3 fund portfolio with tilts in tech and real estate because I think those markets will continue to improve over the next 30 years. My distribution is: 40% VTI 20% VTXUS 20% BND 10% VNQ (REIT) 10% QQQ Any input or changes you’d recommend? I’m aware the REITs aren’t the most efficient in a taxable brokerage, but with my income tax bracket, it would be negligible bump. I like them as an inflation hedge and the extra investable income via dividends. If I were to cut something, I’d sell my. Shares here and move it to VTXUS for more foreign market involvement. I am also aware that tech and QQQ is volatile in the market, however, I do not think we are going to see tech become less of an integral part of our society or economy especially with the rise of AI. It seems silly to not tilt your portfolio to tech a little given that we are closer to colonizing the moon than going back to analog clocks and dialup internet.

AskPatient1281

When you say "dividend income", do you mean dividend stocks or moving part of your portfolio to bonds? If dividends stocks, I'd stay they are irrelevant. You can sell your stock shares to the same effect. Now if you want to get into bonds (which might be a good idea as you get closer to retirement), you need to 1) Stop reinvesting dividends and buy bonds (BND, IGIB etc) 2) Sell a portion of your portfolio now and move to bonds 3) I'm sure you have a 401k/IRA... move that to bonds. This is a non tax event, as you know.

GhostSiX1Nine

* VTI (45%) → full U.S. market (clean foundation) * QQQM (20%) → growth + AI/tech dominance * VEA/VWO (15%) → global diversification * BND/VTIP (15%) → volatility control + income * VNQ (5%) →inflation + real asset exposure * SPRXX→ keeping cash here until I am tactically ready to buy I like this strategy; it works for me. * Simplified portfolio * Reduce overlap * Increased exposure to small/mid caps (via VTI)

Buck169

BND is down 0.4%, while VTI is up 2% YTD. But if we'd looked on March 30, VTI was down 6% YTD, while BND was down only 1.5%. Unfortunately they're not negatively correlated, but the bonds ARE showing lower volatility, which is supposed to be part of the appeal, right?

eh63tre

Schd is like a Bond Fund. Much better long term than BND

Comfortable-Space484

Random internet people, please give me financial advice! 47% VOO 26% VXUS 15% VWO 11% VB 1% BND

miguel_equivara

VT plus BND and you're done the entire planet's equities and a bond cushion in two tickers.

Vas_Cody_Gamma

If you have an iPhone and the Stocks app, have the SnP and BND right next to each other. Both will go green and red on a given day. But BND is always somewhat linear. SNP on the other hand is always jagged.

hymie-the-robot

there are other ways to diversify a portfolio, but typical intermediate bonds (BND) seem to be pointless, as a 60/40 portfolio has been shown to be highly correlated with the index. [https://www.aqr.com/Insights/Perspectives/A-Positive-Stock-Bond-Correlation-Is-a-Terrible-Reason-to-Add-More-Equity-Risk-to-Your-Portfolio](https://www.aqr.com/Insights/Perspectives/A-Positive-Stock-Bond-Correlation-Is-a-Terrible-Reason-to-Add-More-Equity-Risk-to-Your-Portfolio)

Buck169

You could do a lot worse than putting 80% into VT (Vanguard Total World Stock ETF) and 20% into BND (Vanguard Total Bond Index ETF). This assumes you are not planning to spend this money soon but will be leaving it indefinitely in the funds. Get a copy of the book I Will Teach You To Be Rich from a library and read it. It's fairly short, pretty entertaining (no, really!), and if you can absorb and apply even 1/4 of what he writes, you'll be ahead of probably 90% of your peers and even people much older.

Animag771

I guess it depends on what we are considering satellite positions. If we're calling core VTI and BND, then I guess I hold 50% of my portfolio in satellite positions. Every ETF I hold (5 total) has a job so I wouldn't really consider any of them a satellite position.

Ok-Outside-8419

I put $500 into a vanguard brokerage. I truly don’t remember how I selected what I did but the breakdown is BND, BNDX, VTI, and VXUS. Maybe I selected a target date fund? I don’t see that listed anywhere. Anyhoo, there’s $13 listed in the settlement fund section. Should that be reinvested automatically? Do I need to do something? I haven’t added any money to it since I opened it. It says total is $594. So it is being reinvested? Do I need to pay taxes every year? Is any growth considered taxable income? Is a brokerage worth it? I might just leave it and not add if it’s too complicated 😵‍💫 I max my Roth and invest to my 401k so thought it’d be good to have a brokerage. But it’s stressing me out! I just want ot set it and forget it like the other accounts

Machine8851

If he did what you said he would do it would be ideal such as buying VT and only looking at your portfolio occasionally. Or buying 90% VT and 10% BND.

zzzerocool

VTI, VXUS, BND, BNDX - Vanguard version ITOT, IXUS, AGG, IAGG - iShares version In order: Total US Stocks, Total International Stocks, Total US Bonds, Total International Bonds If you get a target date fund at Fidelity, Vanguard, or Schwab, it puts you in a combination of these. Schwab is slightly different in that their target date funds don't use international stocks from developing nations (only developed) or international bonds.

nauticalmile

The TDF OP mentioned appears to be a CIT with a 0.075% ER, maybe a couple of basis points higher cost than DIY-ing an equivalent out of VTI/VXUS/BND? That’s a pretty negligible cost difference.

Over-Computer-6464

See r/bogleheads I have done backtests on many complicated portfolios suggested by financial advisors. They all end performing pretty much identical to the simple 3 ETF portfolio recommended by Bogleheads: 1) broad market US stock market ETF like VTI or ITOT or SCHB, 2) a broad market international stock ETF like VXUS or IXUS, and 3) a broad bond ETF such as BND.

TheDudeAbidesFarOut

BND

Cloakedbug

No BND with that boglehead spread?

Don_Mask

As of right now I'm not really worried about unforseen costs since my father mostly helps with that although definitely once I stop getting support financially I will need a HYSA and I will definitely start slowly cultivating that but my main focus is investing as I want to put as much as I can towards that especially since I don't make too much money/month (around 500-600/month). I currently have 11k in investments, was 12k before in Jan. Planning to put a decent chunk per month or biweekly into whatever in whatever ratio and just let that ride. I'm just unsure of what in specific (stock/ETF) and what ratio. As of now I've just been putting x amount in mostly QQQM, VOO, VTI, VXUS, GLD. But I've seen elsewhere that a good ratio would be something like 60% into VTI (ETF covering the entire US stock market), 30% into VXUS (ETF covering international exposure), 10% into BND (ETF for bond). Which would mean I would stop investing in QQQM, VOO, GLD or at least mostly put all my cash towards VTI, VXUS, bond ETF?

alone-in-the-chat

Should I sell my BND and pick some stocks?

alone-in-the-chat

Good moment to sell my BND and buy some dips?

Whoodabosss

Bonds like TLT and BND?

McKoijion

Relax guys, BND is only down 0.45% today.

hymie-the-robot

first, I ran a short (15-year) backtest of your allocation, and the return was virtually identical to that of 100% VOO. more important, I am friendly with Gemini, and I asked it to run a stress test starting with $1m, assuming 3.5% annual withdrawals, comparing 100% VOO and 60 VOO, 40 BND. in this test, 100% VOO ran down to zero by year 40, while 60/40 still had $1.5m. this is because BND held value during downturns when VOO suffered, and you could sell some BND and buy VOO while it was cheap.

bigboyvapesinc

\- 50% VOO, 25% VXUS, 10% BND, and 15% individual stocks you research that you might like/believe in. \- Set up auto buy so you buy VOO, VXUS, BND, etc monthly to dollar cost average and build your porfolio. \- Make sure DRIP is on (dividend reinvestment plan) so when your ETFs pay you 4x a year, you buy more of the stock using the dividend. I recommend using Fidelity or Charles Schwab as your platform. \- Finally, leave it all alone and never sell until its time for retirement or to rebalance your porfolio. Profit. And one last tip, don't ever fuck with options, ever.

Present-Gur6025

You don't lose unless you sell, first of all. Second, Trying to time and manipulate the market because of a war that's been brewing and poked at by Netanyahu for 30 years just.... doesn't seem very smart to me. Maybe just stick to the boglehead method. VTI / VXUS / BND and chill out. Set automatic deposits and buys and then hide the app. Don't look at it. If you're sick, just fast, don't eat sugar until you're better. Doctor won't do anything besides bill you and maybe suppress some symptoms

Cav829

Yeah, BND gets away with it since it's such a small part of the overall makeup. I don't think I'd touch anything else using corporate bonds. I've also seen some good deep dives showing VGIT is a slightly more reliable BND over time if you want to get away from corporate bonds. I don't have that much for bonds in my total holdings, and half of those are direct bonds for the exact reason you stated.

azure275

Go look at BND this month Go look at treasury rates recently Then come back and tell me bonds are doing well

TreGet234

Honestly i distrust bond funds. (Except ultrashort) With individual bonds you can hold til expiry to garantee making a profit. On bond funds they may keep dipping and just erode all profits. I also don't like funds that contain corporate bonds since they are so much riskier than government bonds, though it seems that for BND that was never an issue.

One_Talk_3410

Switched 50%  to SPAXX/BND back in Q4 of 2025. Plan to DCA back in very slowly unless we get a huge drop. 

ILoveKombucha

For long term investing, I'd recommend a "Boglehead" portfolio. Take a breath: this is actually really easy. It will involve 3 investments (3 things you buy). You don't need to manage 20 stocks or anything like that. The portfolio will include: 1) STOCKS / BONDS. 2) Within the STOCK portion, you want USA Stock / International Stock. Common ETF's for this would be VOO / VXUS. VOO is the S&P 500; the 500 largest USA companies. It represents the US market. VXUS is thousands of international stocks, with zero US stocks. This diversifies you. You have to choose an allocation. A sensible beginning allocation would be around 80/20 (US/International). 3) Bonds: you would pick a bond ETF like BND or VGSH. You have to choose an allocation between stocks and bonds. Bonds are generally much lower return than stocks, so for long term investing, people usually recommend less bonds, with a gradual adding of bonds as you near your retirement date. So for stocks/bonds you could do 100/0. But I think 80/20 is fine. IF you want to keep things exceptionally simple, it's hard to go wrong with a 3 fund that looks like this: VOO/VXUS/BND 60/20/20. It's not romantic. People will tell you that you could optimize for higher returns. But 60/20/20 is a very sensible portfolio at any age. You would probably do better than 80% of all investors with that portfolio, and you don't even have to think about it. 4) If you want to set aside money for more near future (5-6 years), you should put THAT money more towards bonds, money market, etc. Your return may be lower, but you don't want to gamble with money you need in 5 years. Stocks (VOO/VXUS) are absolutely gambling if you are dealing with short time spans (5-10 years). Stocks are not gambling if you are looking at 10-30 years (the longer the horizon, the less of a gamble it is). 5) You need to learn about account types: Roth vs traditional, 401k vs IRA vs taxable brokerage. Accounts are just vehicles that you buy investments within. In other words, you could have roth IRA, a traditional IRA, and a taxable brokerage account, and ALL of these accounts could hold your VOO/VXUS/BND portfolio (or something comparable). 401k/IRA are RETIREMENT ACCOUNTS to be used to game the tax system in your benefit. Taxable brokerage is an account that doesn't shield you from taxes, but allows you total freedom to add or withdraw as you please. The biggest issue is that 401k's don't always have the exact investment choices you want, and may have higher expense ratios than other choices. If you get employer matching, you should ALWAYS contribute to that match, no matter what (free money; literally stupid to not do it). Just pick whatever investments they have that approximate VOO/VXUS/BND (they all usually have something like this). Go slow, learn a little at a time. Outside of all the above, if you want to, you can learn about investing in individual stocks (which is what this forum focuses on). Most folks who try to pick individual stocks will do worse than if they just bought VOO/VXUS, as we discussed above. So newbies should always start with the basic VOO/VXUS, and only add on individual stocks if you are bored and want excitement. Don't rush into it - it's not necessary to ever buy an individual stock, and if you don't know what you are doing, you'll just worsen your performance. Good luck\~