BND

Beitasitmaybe

I also recommend VTI VXUS BND + GLD + FBTC + BRKB and if feeling conservative, SCHD

Beitasitmaybe

So, don’t trade? Ok, I think I’ll trade. I am swing trading 1-2% of my portfolio daily / weekly and pulling an extra $1,000 a day/week. I do it on days I get my emails done early. I do it with shares because I’m not yet keen on options, maybe covered calls but that’s it. It’s a guessing game, maybe. But I use a little technical analysis and have a few strategies. One of the best strategies for many is to Bogle. Don’t take my word for it. That guy changed investing for many with the creation of Vanguard and the three fund portfolio: VTI VXUS BND. Hope all goes well for you.

No-Associate-6068

41 is still young enough to stay mostly in stocks, but you might want a bit more than 2% in bonds just for stability. A lot of people your age sit somewhere in the 10–25% range, depending on risk tolerance. Something simple like BND or a target-date fund works fine. What’s your comfort level with big market swings?

gggg500

I’d just go: 75% SPY, 15% BND, 10% cash. If you wanted to buy some individual companies to throw into the mix: PEP - soda and snacks giant CAT or DE - farm and heavy equipment MSFT - O/S software GOOG - search engine, Ai, maps, email, YouTube, it basically has it all. META - social media, Ai AMZN - consumer goods, web servers, Ring MMM - all kinds of materials, industrial and consumer, spun off its ear plug division which has serious legal issues BK - large integrated global bank, too big to fail PM - global tobacco manufacturer DIS - entertainment, legacy media

Remarkable-Ear-1592

do people even use "BND" anymore

Impressive-Lie-9290

thinking i'm gonna' put $10,000 into ETFs with 80% VT and 20% BND... eh?

jasonkylebates

You could put it into a three fund portfolio (55%VTI/25%VXUS/20%BND) and easily get 2% per year while maintaining good prospects for price appreciation (historically). That’s ~130k after taxes.

le_fuzz

Your portfolio shouldn’t be 100% equities even with a “time in the market” philosophy. Having a mix of equities, bonds, cash, and alternative assets allows you to weather downturns and rebalance to “buy the dip”. For example assume a 80/20 mix of VOO and BND in a 100k portfolio. In March 2020 VOO dropped 33%, BND dropped roughly 3%. That puts our portfolio value at 73k (VOO: 54, BND: 19). This means we are no at 27% bonds and we rebalance by selling some bonds and buying equities.

Far_Lifeguard_5027

They are good in a lowering interest rate environment. If you zoom out and look at BND, the yield began going up again as interest rates began to lower. 

Asleep-Literature998

BND. Market is too choppy to enter right now.

drummer820

In my “fun money” brokerage account for learning and investing, a big part of my outperformance above S&P500/Nasdaq this year was rotating away from US equities in April and reinvesting in VXUS, BND, and several international and domestic high dividend vanguard ETFs with DRIP to stack gains during chop and sideways market. Recently I’ve entered positions in GLDM and VGMPX for precious metal and mining exposure, and I have a smaller position in VT to not totally miss US market performance. I’ve made decent profits with coreweave puts and SQQQ calls. I haven’t touched my longer term portfolio that I put money from selling a company into a bunch of broadly diversified Dimensional ETFs, or my 401k rollover IRA, which is in a bunch of annuities that track the Russell 2000 and SPY with downside protection.

Fit_Huckleberry3271

I don’t have “wealth,” but do use advisors. Paid for the 1% fee plus the fund fees and my account just rather steady for past few years. So speaking with new Vanguard; I meet threshold for personal advisor select-which means a pleasant guy…anyway, it’s too intimidating to do on my own, yet very difficult to find a super sharp professional. My girlfriend’s mother, age 82 took advice of a Prudential guy quite a few years ago- been in S&P and has far exceeded my returns. Below suggested allocation- Vanguard large cap 25% VTI Mid/small cap 11% VTI International stock 24%. VXUS U.S. short term bond-11%BND U S intermediate bond 11% BND US Long term bond 6% BND International bonds 12% BNDX This all quite similar to what I have at Morgan, I assume, though the fees would be much better. Thank you in advance. Age 62. Income is @ $40,000 which includes survivor benefits, just fyi.

dvdmovie1

I don't think this is bad. I'd suggest perhaps DGRO or VIG instead of SCHD and I don't think you need BND at 30. Maybe could be slightly tweaked in terms of risk, but if you're a low-to-medium risk appetite, this seems to fairly well fit that. "DBS/D05" Not sure what this is - the Silver etf or the Singapore bank? If the Silver ETF, I'll note that a lot of commodity ETFs result in a K-1 form. "if the AI bubble bursts" I've read so much discussion lately with great certainty about the AI bubble and imminent bursting. I'd be more concerned if I read less about an imminent bubble bust and more about people giving up on waiting for a correction and talking about going full on into all the things that have already run up. I've trimmed some AI exposure in recent months not because of calling an imminent top, but because when things have doubled and tripled in a matter of 6 months, taking some off the table and dialing risk down a bit is prudent (and 2022/early 2025 weren't that long ago.) There have been some out of favor names lately that I've done well with while everyone has crowded into AI. So I think a lot of the easy money in AI has been made, but for all I know the theme could continue to go on for a while with corrections. Nothing about the earnings so far this season would suggest spending is cooling imminently. If you're worried about an imminent AI bubble pop, you can pivot more towards exposure to out of favor value, but then it becomes are you okay with underperforming if AI continues like this for another year? The above portfolio that you posted I think is good (and maybe a tweak or two but nothing significant) for something that's largely set and forget. If you want to make active chioces with all or part of your portfolio (allocate towards out of favor value during growth periods like this in an attempt to outperform comparatively - will still lose if there is a downturn, but likely less; if the market continues like it has you will likely underperform) you can do that but it introduces having to time shifts and potentially underperform if wrong. You could look at alternatives like long-short funds or managed futures rather than the 5% in BND, but those tend to be more expensive given the cost of shorting (and not that many funds in the category are actually good.) I don't own it but something like the Adaptive US Factor ETF (https://www.globalxetfs.com/funds/ausf) has the ability to pivot between factors - minimum volatility, value and momentum - (either allocates to two factors with a 50% / 50% weighting, or all three factors with a weighting of 40% / 40% / 20% depending on the trailing returns of each factor.) The ETF won't pivot instantly by any means and past performance isn't a guarantee of future results, but over the last 5 years that's wound up doing pretty well comparatively during the bad times (2022, early 2025) while still managing to participate pretty decently during the good times. There's all sorts of options, but it becomes how much time do you want to devote vs creating something that's largely set and forget. The indexes would be impacted if the AI bubble burst, but not as much as a portfolio that's entirely aggressive growth AI names/portfolios that look entirely like a tech/growth fund.

ConcentrateOk523

Buying BND and BNDX 9 years ago as per a Vanguard advisor's advice. I put 20 percent of my portfolio in it. Would have a million dollars more if I stayed 100 percent stocks. Learned that bonds do nothing for my portfolio.

GaylrdFocker

If you want bonds I'd put BND in an IRA rather than using that fund in your 401K.

QuietRat56

VT and chill. The point of index investing is to trust that the market is efficient and ride it for decades, if you can't handle the risk of going all equities add in BND

Complex-Jello-2031

**The Managed Account – ouch** Dude, **1.34% management fee** is absolutely brutal. That's eating like $40k+ over time on a $100k portfolio. Over 30 years? You're talking hundreds of thousands in lost returns. Do the math: If that account grows to $500k, you're paying nearly $7k/year just in fees. For what? An 80/20 allocation you could replicate yourself with like 3 ETFs? **Here's what I'd do:** * Ditch the managed account and go DIY. You're clearly smart enough to handle this. * Build your own 80/20 with low-cost index funds (VTI, VXUS, BND, etc.) * Save that 1.34% and let it compound for YOU, not some advisor. **The Crypto Allocation:** 60% BTC, 35% ETH is solid. That 5% rotating is where people usually get rekt chasing pumps, so just be careful you're not falling into meme coin traps. Stick to fundamentals. **Bottom Line:** You're doing better than 99% of 25-year-olds, but you've got some optimization to do. Kill that managed account fee, tighten up your ROTH strategy with a clear thesis, and keep stacking. You're on track to hit financial freedom way earlier than most. What's your actual goal here? Retire at 40? Build passive income? That'll help me give you more specific advice.

cdude

This isn't remotely diversified, it's extremely concentrated in big tech. And of course just randomly throw in SCHD and Bonds for flavor. If you're going to be risky, SCHD/BND don't do anything for you. And if you're trying to be safe, you're not safe with that concentration. It's so contradictory. Either do 100% VTI or buy 90% VTI and use the 10% to pick whatever it is to scratch your itch to pick.

FudFomo

I moved 7 figures from our 401k into an IRA in 2022 in a bear market and averaged in over a couple of years and I might have come out ahead but not by much. Another $100k moved in 2023 and averaged in but should have lump sum, but this is all hindsight. You are correct to be concerned about tech but you probably will be ok with having a year’s worth of expenses in cash and lump sum the rest in a balanced portfolio of VT/VXUS and BND. I am in tech and at your age I was probably too conservative and should had more stocks but still did ok because it was coming after the GFC. That was a black swan and you unlikely to experience that and have time to recover from any downturns. As some have pointed out, we are in an inflationary environment and hard assets will go up. Don’t try to time the market, just ask yourself how much downside you can stomach and invest accordingly. But stay invested.

ForeverInTheSun82647

Most bonds I track pay interest. Have you thought about buying BND or BNDW? I have BND and BNX in my trad 401k.

FutureCandidate74

Just ran across this nugget: "For non-US investors, currency risk is huge when it comes to \[international\] bonds. If USD gets stronger, it's gonna be worth more. If USD gets weaker, it's gonna be worth less. US investors don't have to worry about this, because they spend in USD, so there is no currency risk for them. That's why BND is their go-to choice for bonds."

AltoidStrong

Easy way is just VT + BND and chill.

TiredofyourBSyo

I did, all three of my major investments are VOO VGT and BND, but even that's down

ricdota

I’m fairly new to investing, started about 6 months ago. I’m 30, with a low-to-medium risk appetite, and looking to invest with a 15–20 year horizon in mind. After that, I plan to shift to a lower-risk profile as I approach my target retirement age. For context, I’m not based in US. I’ve invested around USD 10k so far, and plan to contribute about USD 1k monthly. My current portfolio allocation is: VOO: 30% QQQM: 20% VXUS: 20% SCHD: 10% DBS/D05: 10% BND: 5% GLDM: 5% I’m wondering if this setup is too safe as I don't have any high volatility or small cap stock? It's mostly large cap ETF and some dividend stocks. I have also received feedback that my portfolio is too risky as my 5% bond allocation and 5% gold will not save me if the AI bubble bursts. I’d love to hear your thoughts or suggestions for improvement. I'm happy to share more details behind my choices if you’re curious!

ricdota

I’m fairly new to investing, started about 6 months ago. I’m 30, with a low-to-medium risk appetite, and looking to invest with a 15–20 year horizon in mind. After that, I plan to shift to a lower-risk profile as I approach my target retirement age. For context, I’m not based in US. I’ve invested around USD 10k so far, and plan to contribute about USD 1k monthly. My current portfolio allocation is: VOO: 30% QQQM: 20% VXUS: 20% SCHD: 10% DBS/D05: 10% BND: 5% GLDM: 5% I’m wondering if this setup is too safe as I don't have any high volatility or small cap stock? It's mostly large cap ETF and some dividend stocks. I have also received feedback that my portfolio is too risky as my 5% bond allocation and 5% gold will not save me if the AI bubble bursts. I’d love to hear your thoughts or suggestions for improvement. I'm happy to share more details behind my choices if you’re curious!

WestTexasCrude

Diversify=Insurance vs massive premium loss. Traditionally at 54 you would be 55% bonds. 45% stocks. This has not been a great strategy since the big bull runs of the 21st century however. Many would recommend $VTI (Entire World Stock market Index ETF), but I would recommend $VOO (USA Megacaps). Then you could add $BND which is USA Treasuries. With falling interest rates prices will be rising. A very conservative portfolioa oomph (perhaps overly conservative) would be a 2 ETF portfolio of: - $VOO @45% of principal - $BND @55% of principal More modern would shift toward higher % in VOO. Good luck.

Unable-Asparagus8678

32M and beginning long-term investor here. Assume my high-interest debt is taken care of and I already have an emergency fund. Where should a new investor allocate their first money? Assume I can invest $2,000 per month. I’ve seen VOO mentioned a lot here. But if VOO is the core, what other ETFs pair well with it for diversification (VXUS? BND? QQQ?). What allocation would you recommend for a moderate-risk beginner?

therealjerseytom

In my short-term account: I have a rolling ladder of 8-week treasury bills as my emergency fund, rather than a high-yield savings account. Current yields are right around 4%. Alternatively an ETF like SGOV isn't going to be far off that, or even a money market position. I do the bills so that money is "locked up" and spoken for, whereas my money market position is un-invested / discretionary. That is supplemented by a broad bond index (e.g. FXNAX, AGG, BND...), and increasingly municipal bonds both in index form (MUB) and some individual in-state bond holdings. That account is also supplemented by some defensive-sector equity (utilities, consumer staples) and dividend-focused equity ETF's in modest measure. Whether taxable or tax-exempt bonds make more sense for you depends on your tax bracket.

spack12

Price charts don’t show distributions paid. BND pays distributions monthly (I would think).

Notorious_Fluffy_G

What am I missing on BND? Upon inception of the fund back in 2007, it was at ~$74/share. As of Friday, the fund was at ~$74/share.

ifinance674

There are bond index funds just like there are stock index funds. Vanguard has their total bond index fund (BND), as you mentioned. The price of bonds and in particular bond funds are influenced by different factors. The predominant factor is interest rates. Typically during an economic recession interest rates decline and the prices of bonds increase. You can see in the case of BND that it has had largely positive performance except it's 5 year returns which are a small negative. So bonds aren't fool proof. That said, they offer much more price stability and tend to offer a good balancing factor during an economic recession.

throwaway4whattt

Jesus ya'll are vicious. OP started off by pointing out that they're still learning didn't they? OK so OP I'm 45 and since you didn't mention your age I'm going to assume you're in the same age range (if you're younger you should be more aggressive).  Firstly everyone (even the people who are being dicks) are correct about the fact that nobody can time a recession. So, my first suggestion is, invest regularly. Whether it's a few hundred or few thousand, invest regularly and diversify this regular investment depending on your age. Put the majority in ETFs (S&P, Nasdaq, Russell, Total Market, All World, Momentum, Mag7, etc. Etc.... Plenty of ETFs to choose from and to diversify into). Put some percentage in bonds (BND is a good choice). Put some percentage in Gold (GLD is a good choice). Put a very small percentage in Bitcoin. At 45 I current an going 70% ETFs, 15% BND, 10% GLD, 5% BTC. The regular investing even through crashes will help protect your overall portfolio.  Regarding your current assets, IF you feel strongly that a crash is coming, then the 70-30 ratio you mentioned is fine in terms of being defensive. You could consider adding GLD and BTC in some small percentages. One more very important thing. Nobody can time the market but just as importantly, nobody can confidently state which assets will act as protection in a recession or a straight up depression. The rot which causes recessions usually has its own flavors. Depending on the size of the bubble when it pops, you could very well see all asset classes suffer and suffer greatly. Any 'defensive' portfolio is just a guess at defense at the end of the day. Know that whatever you do, there is always risk. No asset class is risk free, especially when the markets are burning down. 

BlueSkyRighteous

SGOV is unlike BND. SGOV is like putting money into a Savings account and not have to worry about it. The dividend from SGOV ETF only gets Federal tax. The Treasury bond ETF that is somewhat volatile but usually goes up with interest rate drop is TLT. Could get substantial gain or loss and it is not nearly as safe as SGOV.

Guilty-Report-3971

Yes but who are the idiots buying this, is it packaged up for the BND bogleheads

ConcentrateOk523

I wish I owned it. Wish I owned Nvidia. I am tired of my diversified portfolio with BND, BNDX and VXUS. VXUS has had like 6 months of outperformance this year but VTI comes back strong since April. I could have so much more if I just pulled the trigger and went with this tech AI revolution.

Inner-Chemistry2576

67 % Stock 19% Bonds 14% Short Term. We are retired 61 y/o no debt pension. My IRA VWENX wife’s VTI,BND& VXUS. ROTHS VTI & VXUS. Simple stupid like a monkey throwing darts.

Various_Couple_764

Moving assets to income producing securities should be done before you get to retirement to secure reduce your risk. BND is a good choice but there are many good choices. Funds like JAAA 6% yield, JBBB 7.8%, CLOZ 8%, UTF 7%, and UTG% 6.3%. All have higher yield than BND and other government bond funds and historically are very safe investments. less safe but still not terribly risky are PFFA 8% yield, PBDC 9%. But you also need to factor in your expected income needs. you need to have a good estimate of your income needs in retirement and then gradually work on configuring your portfolio to generate more than that income. IF your account generates more than you need and you reinvest the excess income you will never run out of money.

StinklePink

I have the same question although someone nuanced. I'm 5-7 years away from retirement. I'm a little concerned that although I'm fully Bogled' currently and have been for a long time, if the market does completely "shit the bed" in the next few years, I won't have enough runway to recover. Been slowly moving some of my $ into BND and some other short-term Govt Treasury investments, but still unsure.

FirefighterOk8898

I do boring VTI, VXUS, and BND, recent events have made me raise VXUS about 10%.

Complex-Note-5274

SGOV and small amount quality corporate bonds are my emergency fund. BND has not been too bad either. Get an interest free cc just in case. Once youre laid off credits are harder to come by

ConcentrateOk523

I lost out the last nine years owning 20 percent of portfolio in BND and BNDX and small cap value has unperformed for so long I wish I never invested in it.

ConcentrateOk523

Too complex. Just own VTI and VXUS or VT. Stay out of bonds. Biggest mistake I made was owning BND and BNDX last nine years as Vanguard advised me.

ConcentrateOk523

I do own small cap value and international funds. I am planning on selling BND and BNDX and just keeping a couple years expenses in a money market.

Recent_Register_2952

I need a 10 bagger. Is TLT a good choice? What about BND?

ConcentrateOk523

All of these people diversifying and the US stock market just goes higher. I got a portfolio review from Vanguard in 2016 at age 49. The advisor told me to go with 35 percent bonds BND and BNDX and 26 percent VXUS. I did 20 percennt bonds and 20 percent VXUS. Yet VTI went higher and higher and these other funds have been dogs. If I just went 100 percent VTI or VTI and chill I would have been much better off.

ConcentrateOk523

You have that correct. I only reason I have 3 million is because of VTI. VXUS, BND, BNDX, VBR have been failed investments for me. Diversification did not work for me.

ConcentrateOk523

Nothing wrong with that. VXUS has been a real dog in my portfolio along with BND and BNDX. VTI is the reason I went from 1.1 million to 3 million in 9 years. International stocks have really only done okay from 2000-2008.

ConcentrateOk523

The pain trade is always higher. Today will be another day of stocks going up. Owning 20 percent bonds has cost me over a million dollars this last decade. I am at the point of selling BND, BNDX, VTIP and going 100 percent stocks. Tom Lee and others on CNBC know what they are talking about.

ConcentrateOk523

BND has returned less than 2 percent annually the last decade. Very poor returns versus owning just VTI.

pnw-techie

Why are you trashing bonds if your problem is TIPS? That's like 1% of the bond market. It's only for unexpected inflation. You don't want unexpected inflation, so you don't want TIPS to do well. I have never owned TIPS. I have owned bonds for decades. I've made lots of money from bonds. Just by buying BND. That's the normal standard bogleheads pick.

Late-Tadpole-2318

Evidently middle aged guys find Oasis live concerts very affirming. Can someone confirm this while I watch BND hit 75 again (don’t do that, BND)

DaemonTargaryen2024

VTI + VXUS. + BND depending your age and risk tolerance. Or any comparable fidelity/schwab funds

Delicious_Soup_Salad

Sure. 40/40/20 VTI / VXUS / BND I'd move into a shit efficiency apartment within walking distance of a grocery and library, sell my car, and live on 16250 a year. It is enough for market place insurance, rent, rice and beans. SS kicks in and I'm loving large. Until the I read and write at the library and go on camping trips with the boys.

Late-Tadpole-2318

Nah, I’m out, buying back in when I see BND below 75

Late-Tadpole-2318

Flight to safety, generally. I don’t know if it’s related to volume or not, but BND has been -too- good of a leading indicator in my port. I won’t gamble on it but I do watch it and it’s been weird.

ConcentrateOk523

Could not hurt to buy it. Better than owning bonds or BND for last 9 years.

LuckyLuckierLuckest

Cash. I have been moving off risk for the last six months. A little less in each of my funds (except for GLD) and a little bit more in BND, BNDX, and Cash.

Late-Tadpole-2318

BND staying too high, something’s brewing

SassyPapayas

As an alternative to some comments I’m seeing on here suggesting investing in ETFs only I’d suggest opening a couple different brokerage accounts to scratch the itch of stock picking. I opened a Robinhood account with <10% of my savings and I call it my gambling account, because I got to be honest with myself about what it is. The rest of my savings I keep with Schwab and follow the advice of the rest of the comments you see here(ETFs, BND). I would strongly advise looking at subreddits like r/bogleheads for advice on your serious portfolio. Just set a rule with yourself that you won’t continuously fund your gambling account. Seed it and let it ride. People like to trash Robinhood but I’ve had accounts with them, Schwab and TD Ameritrade when they existed and I still find myself using Robinhood with pull stock data. Use whatever you like the interface of.

skilliard7

You want to diversify a bit into things like international(VXUS), REITs(ie VNQ), bonds (ie BND), etc

Impressive-Bee-5183

Hey, good for you for wanting to get more serious about this. 28 is a great age to start building real wealth. Here's my honest take: First - Stop picking individual stocks for a while I know that's not what you want to hear, but real talk: most people (including pros) can't consistently beat the market. That "researching and going off what others say" approach is gambling, not investing. You've been lucky - but luck runs out. Start with index funds instead This is the boring answer everyone gives because it actually works: Put most of your money in broad market index funds (VTI, VOO, SPY - these track the whole S&P 500) Add some international exposure (VXUS) Maybe a small bond allocation if you want stability (BND) That's literally it Over the last 30 years, the S&P 500 averages like 10% annually. Most active traders don't beat that. Just buy the whole market and let compound interest do the work. The 90/10 rule If you REALLY want to scratch that stock-picking itch (I get it), do this: 90% boring index funds 10% individual stocks you research That way you can still have fun trading without blowing up your retirement. When that 10% goes to zero because you YOLO'd into some Reddit stock, you still have 90% growing steadily. Robinhood is fine, but consider upgrading Robinhood works, but better options: Fidelity - better research tools, actual customer service, no payment for order flow shenanigans Schwab - similar to Fidelity, great interface Vanguard - if you're serious about index investing, this is the OG All three have zero commission trades now. The main advantage is better tools and you're not the product being sold to hedge funds. Tax-advantaged accounts matter WAY more than stock picking This is huge and nobody talks about it enough: Max out your 401k match first - that's literally free money Open a Roth IRA ($7,000/year limit for 2025) - tax-free growth forever Then max traditional 401k if you can ($23,500/year for 2025) Then mess around with taxable brokerage accounts The tax savings will make you way more money than trying to pick the next Tesla. Actually learning this stuff Instead of watching FinTok gurus, check out: "A Simple Path to Wealth" by JL Collins - best beginner book, period "The Intelligent Investor" by Benjamin Graham - if you want to understand actual value investing Bogleheads forum - Reddit but for serious boring investors who actually make money r/Bogleheads here on Reddit Skip the day trading courses and options "masterclasses." They're selling you the dream while they make money off course fees. The honest truth about "knowing what you're doing" Most professional fund managers don't beat the market consistently. Even Warren Buffett recommends index funds for normal people. The secret isn't finding the next GameStop - it's: Starting early (you're doing this ✓) Investing consistently (automate monthly deposits) Keeping fees low (index funds charge like 0.03% vs 1%+ for active funds) Not panic selling when the market drops Time in the market > timing the market What I'd do if I were you today Open a Roth IRA at Fidelity or Schwab Set up automatic monthly contributions ($583/month = $7k/year max) Buy VTI or VOO with every contribution Literally do nothing else Check it once a quarter max In 30 years that'll be worth way more than trying to day trade meme stocks. But you still want to pick stocks... Alright, if you insist, at least do this: Only invest money you can afford to lose Actually read the 10-K and 10-Q filings (financial reports on SEC.gov) Understand what the company actually does and how it makes money Look at P/E ratio, revenue growth, debt levels Ask yourself "would I hold this for 10 years?" If you can't explain the business to someone in 2 minutes or wouldn't hold it for a decade, you're gambling not investing. The fact that you're asking these questions at 28 puts you ahead of like 80% of people. Just don't overcomplicate it - boring index funds will make you way richer than trying to be the next DFV.

Plove848484

Sports cards and BND and BUZZ

helpwithsong2024

I can prove my investments if you want, but it's simple: Buy low cost ETFs, continue to buy them through thick and thin, and never sell. Tickers VOO, VXUS, and BND in a 70/20/10 ratio.

Complex-Note-5274

BND

Late-Tadpole-2318

I’ll believe in the V when the BND in my port is less green

FeelTheH8

If you want "medium" risk put half into VT and half into BND. The BND will help smooth out volatility in the VT. This may be slightly less than 10% avg return but not too far under.

ikeepeatingandeating

I'm "lucky" that my retirement is coming up, so my planned increase in fixed income coincides with a lot of current fear of a market crash. My plan was always to go from 20% to 30% fixed, 2 years of expenses in cash and 5 years in bonds. My "flight to safety" was to pivot half of my bonds into TIPS, and half into intermediate duration bonds (vs. longer duration, say BND or similar). I'm a dumb, but I'm making a tiny bet that TIPS could compensate for inflation and/or dollar devaluation, while still being in line with my overall investment strategy. I'd love to have holes poked in this plan.

ConcentrateOk523

I just retired and am staying at 77 percent stocks. I gave up too much money owning 20 percent in BND and BNDX last 9 years and rebalancing cost me more money.

Shah_an_shah

Why should I not convert all my BND to GLD?

Shah_an_shah

Why should I not convert all my BND to GLD?

sashagaborekte

Just go VT for equities and BND for bonds

bobdevnul

Bond funds have interest rate risk. If you buy $10000 of a bond **fund** with a five-year average maturity and prevailing interest rates for 5 year bonds increases by 1% the share price of the bond fund will decrease by 5% (approximately). The bond fund dividends will increase, but slowly. It will take a long time to recoup a 5% share price loss. This may not be what a retiree wants. I lost 16% on the intermediate term bond fund BND when the Fed started jacking interest rates in 2022. The current expectations is for prevailing interest rates to decrease over the next year which would result in bond fund share prices to increase. Nobody knows when interest rate increases will happen again. That is something that the Fed evaluates about monthly. The interest rate on 5 year bonds is primarily based on inflation rate projections (guesses).

GAV17

It's impossible to say what to do without knowing the full picture, like knowing what's on your IRA (and if it's a Roth or Traditional). If you are retiring, the textbook porfolio would be 50/50 bonds/stocks, with Stocks using something like $VT and for bonds $BND with a year or 2 of expenses in T-Bills. That's a portfolio that should last atleast 30 years withdrawing 4% every year.

theTrueLodge

I would look an ETF of some kind. Someone here recommended a world market one to hedge against volatility in the U.S. or any country. You’ll need to do your homework. Something like this might give you minimal risk - • 50% bonds (core intermediate-term, e.g. BND or AGG) • 10% short-term bonds or CDs (for near-term income stability) • 20% dividend/value stocks (e.g. SCHD or VYM) • 10% total-market or global equities (e.g. VTI or VT) • 5% inflation-protected bonds (TIPS) (e.g. SCHP or VTIP) • 5% cash or money-market fund (for immediate liquidity)

MrMoogie

I think Value stocks, international stocks and a diversified basket of bonds like BND or BINC will work as well as anything. You could also hold quality/dividend appreciating names like QUAL, VIG and JQUA. I’m moving towards this allocation. If we dip much further I’ll start buying more of all these things. Gold, tech, BTC, S&P500 all feel like they are all in a bubble.

neonam11

If they put a majority of their assets in individual stocks, panic sell and don’t have enough emergency funds, yes they will probably lose money. If they are patient and consistently invest in diversified funds like VOO, VXUS, and BND for decades, and have an emergency fund, and continue to have a job, then they will be fine.

Rom2814

Exactly - I built a TIPS ladder that will cover essential expenses between ages 57 and 67 (earliest I’d plan to take social security). That’s about half my bond allocation, the rest in BND and VGIT. From everything I’ve been reading, inflation can devour savings in retirement far more than a market downturn since it “forces” high withdrawal to maintain buying power - TIPS should take off some of the pressure in the case markets are not giving good returns and inflation is high.

Aggressive_Finish798

HYSA or some bond like fund like BND SGOV, even SPAXX as a core position isn't bad. Having it in a regular bank account is losing money. At least 3 percent a year, which will add up. If left alone in 10 years that money will have lost 30% of its value. Just not getting your money out of an HYSA can take like 5 to 7 days. So I also keep a smaller amount in my checking account to cover monthly bills.

BothDescription766

Me too! Just a gut feeling. Now must time entry back in. The only one of my holdings that did well on Friday was BND

BothDescription766

Yes yes, I’m no market timer but sold $500k google Thurs at 3pm. Something just didn’t feel right. Sold another 1mm early next morning (Fri). Got out losing only 30k out of 3mm. BND actually went up Friday and I moved 1.5mm into it Thurs late.

Complex-Note-5274

I want to be meme-ing but lots of folks felt pain yesterday. It’s gonna be fine. Next time hedge, if not options, have some BND/SGOV as dry powder. The casino is rigged, gotta have insurance yall

Rom2814

Well it’s a little more painful when you’re about to retire (next year for me), but over the last 2 years I’ve been switching from 100% equities to a 60/40 portfolio and am at around 70/30 now (glide path). It’s been interesting to go through a few downturns and watch how it impacts my portfolio compared to when I was 100% US stocks. I’d have been down about $68k yesterday with my old allocation but but it’s closer to $48k with my current one; not only were my bond funds not down they were all up a fair chunk (I think BND was up 0.4%). Of course I won’t gain as much from the rebound - it’s been hard to use portfolio analyzer and see how much higher the gains for my old portfolio have been compared to my current one but, as you say, my risk tolerance has changed since I’m going to start spending this money soon.

alone-in-the-chat

My friend chatgtp told me to put money in BND , will pay a premium account now

headcrabzombie

for safer long term: 40% VTI, 40% VXUS, and 20% BND (these are all ETFs) https://www.bogleheads.org/wiki/Lazy_portfolios

Alienware15rr3

AGG/BND is like the sp500 of bonds.. it tracks the whole bond market. Jack Bogle says to own the market, all of it.. and if you must own international, cap it at 20%... my allocation is bogle approved. Watch this jack bogle interview on asset allocation: https://youtu.be/TrFM7G4KhjU?si=NHWYez4nV6MAOjsw

neonam11

Yea, I used to invest in QQQM, VOO, and SCHD monthly. I am going to take a break from QQQM for a while and use that money for BND and VXUS.

SirGlass

I do not know why people think you need to be 100% invested into stocks or 100% cash There is a lot of in between , 100% invested in stocks and 100% cash Set up an allocation you are comfortable with , you could do a classic 60% stock / 40% bonds. Classic 60% VT / 40% BND Or maybe even a 50/50 allocation depending on your risk tolerance.

wiseflow

First, I must say there's no single perfect formula to this and your preference will differ. Here's my take... First split up the amount into time horizon buckets. What percent do you need for the next 1-3 years for safety and protection from a downfall - I'll call this bucket 'A'. What percent do you need for the next 3-10 years (property maintenance, auto, taxes, education goals, your own business goals, etc...) - I'll call this bucket 'B'. Then what percent do you need for everything further 10 years to retirement - I'll call this bucket 'C'. Breaking thing up into time horizon makes it so you can put the longer time horizons into more risky places and forget about it - because you have enough already in the shorter time horizon buckets. Now, I'm going to make super rough percentage estimates for the sake of sharing the idea... For more nuance, check out a book called "The Bogleheads' Guide to Investing". * Bucket A: Put into the safest asset classes, Cash (HYSA), Money Market fund (T-Bill/Gov Bond backed), Bond ETF (e.g. BND). * Bucket B: 50% Stock, 50% Bond * Bucket C: 90% Stock, 10% Bond If you're feeling like the world's gonna end then add in some Real Estate and Gold into the mix for Buckets B & C.

nick2253

As someone who helped manage a corporate 401k plan, there are a lot more options than you'd think, but the plan managers tend to "recommend" that your employer only elect funds that have high fees. If you can figure out who your plan custodian is (aka, the person in your company that manages the plan), you can probably start talking to them about stocks and funds, and encourage them to elect more options. Prior to getting involved, our plan only had target date funds and a couple high-fee options. But I was able to elect super-low fee index funds like VOO, VXUS, BND, etc.

RandolphE6

FYI, buying more funds doesn't necessarily make your portfolio more diversified. You can be fully diversified with 2 funds, VT and BNDW. That gives you the entire equity and bond market. Though the common advice is for BND for the US bond market. And splitting out VT to VTI + VXUS to add a level of customization over the allocation of US vs INTL. This is the basis of the "3 fund portfolio" for which everything is measured by.

xiongchiamiov

Lifecycle funds are target date funds that don't change their allocation over time: they just stay 80% stocks 20% bonds, or whatever the number is, forever. BND is a popular vanguard fund that tries to emulate the entire US bond market. Continuing with vanguard TDFs in your other accounts would be a very reasonable option, and simple. Although, they aren't really designed for taxable accounts and can occasionally produce unexpected tax bills there. The complicated option is https://www.bogleheads.org/wiki/Tax-efficient_fund_placement , but personally even as someone who likes complicated things that's too much, and I just shove everything in the taxable account into the equivalent of VTI and VXUS. (There's a minor tax benefit to splitting them up, but you could just do VT instead.) That is assuming you're contributing enough to [max out all tax-advantaged accounts](https://www.bogleheads.org/wiki/Prioritizing_investments). If not, just do the TDFs you've got and don't worry about it. Sorry, I'm not sure if that answers your question. Does it?

ChristofferMakela

Yeah, I have a pretty modest portfolio, 35k or so, mostly in things like SPY, VOO, BND, GLD, etc. I'm mostly just here for the meme. Some days I get really lucky and end like $400 in the green, and I think to myself "hey, that's more than I make in a day, what's the point of even going to work", and then the next 4 days I lose $100 a day and remember why I clock in every day.

ikeepeatingandeating

Some mix of US equity (VOO is fine), international (VXUS) and depending on age bonds (BND)

sparkly__trees

My main goal is to grow my retirement (I’m in my mid 30s) and just feel behind in general. My retirement account through my job has a variety of target date funds amongst other things that the company chosen for our retirement account manages. One’s a 403b and a Roth IRA. All of that is managed by one company. So I made the Vanguard account so that I could put away other investments besides what the employment retirement plans gives. What are lifecycle funds? Also is BND a general bond? Sorry somewhat new to all this.

HolaMolaBola

There's a formula you can use to get closer to the answer you're looking for: *durationInYears* x *expectedChangeInYield* = *expectedPercentChangeInPrice* BND has a duration of 5.79 years and yields at about that maturity are around 4.25% right now. So we can take a stab at it and guess yields might fall as much as, say, 2.25% from where they are now in a big stock market event. Therefore, 5.79 x 2.25% = 13.03% BND's portfolio has a roughly 50% stake in Treasurys and those will most likely enjoy the full price appreciation. BNDs 25% stake in agency MBS and 25% in corporate debt will probably be less responsive, but still close.

StatisticalMan

Not well which is why I hold treasuries not BND. I have added a few select high grade corporate bonds.

Apart-Selection5680

BND had a 5% return over 3 years, that’s lower than HYSA. I see a lot of folks here suggest bonds but with that type of return you are losing value with real inflation. Market is all about risk, no point being conservative on a 5-9 year horizon, fearing a crash. If that happens, so be it.

GAV17

It's actually hard to make a recomendation without knowing you, but I would say look at what vanguard does with their 2025 target date fund (for people hitting retirement now). https://investor.vanguard.com/investment-products/mutual-funds/profile/vttvx 50/50 stocks/bonds. It's also what the 4% withdrawal rate mantra comes from, a 50/50 portfolio with a time horizon of 25/30 years. My general recommendation for retirement would be something like 50% VT and 50% BND or the equivalent mutual funds. With 1 years or 2 in a HYSA, T-Bills, etc. Not a bad idea to always get a 2nd opinion if you are unsure about your advisor. I personally would no bet on individual stocks, if you are looking for healthy dividends or something like that look at SCHD.

xiongchiamiov

> Hi all, I’ve upped my employment retirement contributions, but I also have a separate Roth IRA through vanguard. Currently I’ve just been investing in VTI and VT, but essentially they’re somewhat the same. They are not the same; VT adds every other country in the world. > I need to diversify my investments in this account and was looking for suggestions on how to do that? Add bonds or other ETFs? First, you should be diversifying across portfolios, not accounts: https://www.bogleheads.org/wiki/Asset_allocation_in_multiple_accounts Second, it would be helpful if you had a goal for your diversification. Why do you feel the need to diversify, specifically? Thirdly, in general bonds are a common next asset class, and BND is a common way to do that. You could also get a target date fund or lifecycle fund instead of DIYing this. If you answer the previous question, we could give more targeted advice.

WayTooManyCookies

I'm sure you are working with a retirement specialist already but in case you arent, a retirement profolio should moves toward BND/TBILL, where the yield is less but it hedges against the market downturn.