FZILX

Emotional-Power-7242

It's too much REITs. 5% or even 10% ok, there's some kind of noncorrelation to the market there which makes it arguably a good choice. 20% is too much. And you have no international which is a problem. I'd like something closer to 50% FXAIX, 30% FTIHX (or FZILX), 10% VNQ, 15% small/midcap (don't sleep on international small caps either), 5% bonds.

Initial_Way_3833

Hi guys, I made a Fidelity roth ira account recently. I am planning to do automatic monthly contributions and invest that money each month. What is the best portfolio I can have for investing in that account? I am 22 years old and just started my first full time job a few months ago. I want to do long term investing. At the moment, I'm inching towrds investing in index funds within the roth ira (70% into FZROX and 30% into FZILX). Or do you think I should invest in ETFs instead?

Emotional-Power-7242

S&P there are many equally good funds. VOO, SPLG, FXAIX, they will all have the same performance. Pick the one with the lowest expense ratio. Same goes for international index. VXUS, FZILX, FTIHX, whatever is low fee, passively managed, and includes everything. Value funds look into Avantis and Dimensional. Dimensional invented small cap indexing and Avantis was founded by former Dimensional managers and both use similar metrics and philosophies. For a deep dive into small/large value funds comparisons check out [this article](https://www.paulmerriman.com/best-in-class-etf-recommendations-2025) and the attached video.

jhtitus

FZILX is lit 🔥

MountainMistCalm

Money management tips: [https://www.reddit.com/r/personalfinance/wiki/commontopics/](https://www.reddit.com/r/personalfinance/wiki/commontopics/) Book suggestion: I Will Teach You To Be Rich by Ramit Sethi You will have plenty of time to invest after you graduate from college, right now you are investing in your education so you can get a well paying career. Stack as much cash as you can now in a HYSA. Cash is king for a new college graduate that may have a lot of expenses coming up (furniture, clothing for work, car, deposits for an apartment, etc). If you can graduate college with little to no debt and a good cash amount, you will be ahead of the game. When you are ready to invest I would open a Roth IRA with Fidelity and just do a simple portfolio: 80% Fidelity Zero Total Market Index Fund (FZROX) 20% Fidelity Zero International Index Fund (FZILX) [https://www.fidelity.com/mutual-funds/investing-ideas/index-funds](https://www.fidelity.com/mutual-funds/investing-ideas/index-funds) The above is a global portfolio that includes large caps stocks (like those in the S&P 500), mid and small cap stocks, growth and value stocks, dividend stocks, tech stocks, international stocks. All that to say you would not need to add any other fund.

Cruian

Mostly either RSSB or FZROX + FZILX (these 2 in a ratio that is within reasonable rounding range of VT: I believe VT is currently about 36 or 37% international, so I aim for FZILX to be between 35 and 40%).

Infinite_District_94

Majority (95%) of my holdings are FXAIX, FZILX and NVDA. I just play with the other 5%. For example had some shares of palatir at 160 and sold at 200.

cryptopelado

Posted. Largest absolute gains come from FZROX, ITOT, and FZILX, which are broad index ETFs. Next biggest winners are NVDA and IBIT, both stocks and calls/leaps

MountainMistCalm

Money management tips: [https://www.reddit.com/r/personalfinance/wiki/commontopics/](https://www.reddit.com/r/personalfinance/wiki/commontopics/) I keep a Roth IRA at Fidelity (you must have earned income from a job to invest in a Roth IRA) and an individual brokerage account at Robinhood, my RH account is just for my "fun account" where I invest in individual stocks (I invest only a small portion of my money into the fun account). My Roth IRA I invest in broad based index funds (like FZROX and FZILX). [https://www.fidelity.com/mutual-funds/investing-ideas/index-funds](https://www.fidelity.com/mutual-funds/investing-ideas/index-funds)

Money_Spread7379

I generally recommend Fidelity over Vanguard because their interface, research database, trading tools, and customer services is significantly better on almost all fronts. Their fund selection is also excellent. That being said at the end of the day it's splitting hairs between Vanguard, Fidelity, and Schwab. I personally have FZILX as it is a zero-cost fund and compared to VXUS it tilts much more towards Europe than emerging markets which to me is what I want. If you think emerging markets is going to outperform then VXUS is probably better.

StormWhich5629

It's pretend money that I don't ever touch. Even with my RSUs I'll sell 3/4 of my award and throw it at VOO and FZILX, with my cash split between a Treasury fund and a HYSA

AdOutrageous8670

I currently have a brokerage and Roth IRA open with fidelity. I’ve been investing in 4 Fund specifically in both . FNILX,FSMAX,FZILX,FZIPX. I’m doing a 80% domestic and 20% foreign split. For my domestic split in itself I put about 60% into FNILX and the rest split evenly into FSMAX and FZIPX. Is this a good split? I’ve also been thinking about putting 5% into crypto specifically bitcoin. Im 23 years old and just started a job with a salary of 54,000. I live at home and plan to go back to school again so this year is a savings year.

wateroasis

I've been investing for a bit over a year now with a combination of FXIAX & FBGRX. IRA is in FZROX & FZILX; like another commentor

Money_Spread7379

FXAIX is great, I prefer a combination of FZROX and FZILX in my IRA, can't port them to other brokers if you transfer from Fidelity though.

MountainMistCalm

[https://www.reddit.com/r/personalfinance/wiki/commontopics/](https://www.reddit.com/r/personalfinance/wiki/commontopics/) (money management tips) If you decide to open a Roth IRA, I would open one with Fidelity and simply invest 80% in FZROX and 20% in FZILX. It's as simple as that. [https://www.fidelity.com/mutual-funds/investing-ideas/index-funds](https://www.fidelity.com/mutual-funds/investing-ideas/index-funds) I would follow this strategy until you are nearing retirement, then I would add a bond component. [https://www.bogleheads.org/forum/viewtopic.php?t=328019](https://www.bogleheads.org/forum/viewtopic.php?t=328019) My investing strategy is a three fund portfolio minus the bond fund: [https://www.bogleheads.org/wiki/Three-fund\_portfolio](https://www.bogleheads.org/wiki/Three-fund_portfolio) Book suggestion: I Will Teach You To Be Rich by Ramit Sethi

Key_Interaction2314

Hi All, Not sure if this is the right place to post, but I want some opinions/advice on my current investing situation and what exactly I am investing into where. I am a mid-20s adult and live in a MCOL - HCOL cost of living area as a remote worker. I make \~ $85,000/year from my salary. Below is my investment breakdown: ***Bi-Weekly Paycheck: $3,302.52*** **Pre-Tax Investments** * 10% of Paycheck into 401(k) through Fidelity (FXAIX): $330.25/paycheck * Company Match (50% on first 6%): $99.08/paycheck **Tax Payments** * State/Federal Taxes: $723.74/paycheck ***Post-Tax Paycheck Balance: $2,248.53*** **Post-Tax Investments** * 10% of Post-Tax Paycheck into Personal Portfolio: $224.85/paycheck * 70% into FZROX: \~ $157.40 * 30% into FZILX: \~ $67.46 * Max Roth IRA: $269.23/paycheck * 70% into VTI: \~ $188.46 * 30% into VXUS: \~ $80.77 ***"Take Home" Paycheck: $1,754.44*** The $1,754.44 goes into my Checking Account. Once a month, I move $715.55 (10% of monthly salary) from my Checking Account to my Savings Account (variable APY, but \~4% right now). I accumulate \~ $8,586.55 in my savings a year from this. Let me know if anyone has any suggestions or questions. I appreciate the input in advance!

harrison_wintergreen

There are two issues with those fund: - first as the other person mentioned, those mutual funds have much higher fees than alternatives. Fees will eat into your returns over time. There are better options with lower fees. - second, those two fund are very similar, both focused on larger American companies. links below. The top 10 stocks in both funds are very similar: Microsoft, Amazon, Nvidia, Broadcom, Apple ... so whoever sold you these funds didn't put much thought into the process. a better portfolio would be, maybe, (1) Larger US company fund; (2) smaller US company fund; (3) international company fund. these 3 would zig and zag differently, and would compliment each other better than two that are nearly identical. so my advice is similar to the other reply: fold both of those funds into FZROX or FXAIX or FSKAX (to use Fidelity examples), and add an international fund (FZILX, FSPSX) and possibly a fund focused on smaller US companies (FSSNX) ACAAX portfolio: https://www.morningstar.com/funds/xnas/acaax/portfolio FAGAX portfolio: https://www.morningstar.com/funds/xnas/fagax/portfolio

PashasMom

I'm going to propose a different kind of diversification, but hopefully one that will appeal to you. You have two very high expense, high turnover, actively managed funds. I would look for options that are low expense, low turnover, passively managed funds -- the kind that you can throw money at for the long term without stressing about whether one sector is doing better than another, the brilliant manager in charge of your fund has gone to a different company, etc. This is your buy and forget about it portion of your Roth. I am assuming you are a Fidelity customer or at least somewhere that you can buy Fidelity mutual funds without a fee. So, my proposals would be FNILX or FZROX -- depending on whether you want whole US market coverage or just large caps + either FSPSX or FZILX -- depending on whether you want your international holdings to be developed markets only or to include emerging markets.

MountainMistCalm

At 22 I would leave out bonds till I am closer to retirement, if I was in your shoes I would do: 80% FZROX and 20% FZILX It's that simple, the above is a global portfolio that include large cap stocks similar to those in the S&P 500, mid and small cap stocks, growth and value stocks, dividend stocks, international stocks. All that to say you don't need to add anything else except money. [https://www.fidelity.com/mutual-funds/investing-ideas/index-funds](https://www.fidelity.com/mutual-funds/investing-ideas/index-funds)

Puzzleheaded-Score58

I do have FZILX in my sites.

dotjob

Spice it up with some FTIHX or FZILX

PashasMom

1. FNILX 65% 2. FZILX 25% (or substitute FSPSX if you aren't interested in emerging markets) 3. FZIPX 10%

jaquan97

Many Americans do through funds like FZILX, Schf, or VXUS.

thatdudejubei

Yeah the important thing is that you are starting young which is great. Don't over think it just go maybe 80 or 70 precent in FZROX and the rest in FZILX and move on with your life.

gottemgottemgottem

[https://www.fidelity.com/mutual-funds/fidelity-funds/overview](https://www.fidelity.com/mutual-funds/fidelity-funds/overview) List of all fidelity funds. Go to section "index" (passively managed, low fees) Key funds: [FZROX](https://fundresearch.fidelity.com/mutual-funds/summary/31635T708) (zero fee/expense total market fund) [FZILX](https://fundresearch.fidelity.com/mutual-funds/summary/31635T609) (zero fee/expense international fund) FXNAX (US Bond market fund) Pick a ratio of these three, I do 60% FZROX 40% FZILX as I am young and not retiring soon. (This means I am 100% in stocks, but 70% of my stocks are US stocks and 30% are international stocks)

Happy_Ad9174

thank you, so for ex would just switching my VOO pick over for FZROX and then using FZILX be fine since I really dont have much to be adding in currently

thatdudejubei

Just do FZROX (fidelity's zero expense total US market fund) and FZILX and call it a day. If you just leave your money in VOO and continue on with FZROX it is not going to make a difference really especially if you only have only a little bit of money in it.

PeaceLvSpreadsheets

Yup. FSKAX, FZILX, FTBFX. Disclaimer I’m only in the first two (total market, international) I’m not a good enough boglehead to care about bonds yet.

MesmorizedExplorer

Definitely FZROX (and FZILX for 0% fee in international) in a tax-advantaged account (Roth IRA, Roth 401k, etc.). If you put them in a regular IRA or 401k and want to move to another brokerage (Fidelity to Schwab/Vanguard/etc.), you'll have to pay fees on it.

Based_Commgnunism

The Fidelity mutual funds are good. FXAIX is S&P500. For total US market there's FSKAX and FZROX. The Vanguard equivalents VOO/VTI are also fine if you prefer an ETF. Or any of the other many low fee S&P500/total US funds. As to whether you prefer to hold S&P500 or total US it doesn't really matter as their performance is essentially the same. Total US market is technically more diversified so I'd go for that if you only plan to hold one US fund. For international there's FTIHX or FZILX, or VXUS. I'd recommend holding them at market cap weights, so 65% US and 35% international. That way you just own the whole market. Another option is to buy VT, which is 65% VOO/35% VXUS in a single fund. With VT your whole portfolio can be just one fund. This also eliminates the need to do an annual rebalance. There are good reasons to hold small cap value funds, both US and international, but you shouldn't do it unless you really understand the thesis and why you are holding it and how it has performed recently and historically.

NYEDMD

Vanguard is fine, but for a Roth, Fidelity is a better choice. Why? Their Zero funds — NO expense ratio or other fees. You can put together a solid portfolio using FNILX, FZIPX, and FZILX, roughly 50/30/20. Yes, you have to sell positions before transferring out of Fidelity, but in a Roth there are no negative tax implications. Remember, the most important thing is not what you invest in, but that you earn, save or somehow otherwise find the money to invest. A great initial goal is to max out your Roth IRA. That’s $7K a year, just under $600 a month. Again, 95% of people spend 95% of their resources looking for the next hot stock or fund, and 5% of their efforts trying to max their contribution. Of course, it should be the other way around

andybmcc

FZILX is the zero international fund.  FTIHX is more diversified, so probably better.  It's still cheap.  That's a perfectly reasonable portfolio. I hold some FTIHX and FSKAX (similar to FZROX).

Based_Commgnunism

If you hate fees so much Fidelity has FZROX which is VTI but zero fee and FZILX which is VXUS but zero fee. The difference between zero and .03% ain't much though.

Based_Commgnunism

You should do less actually. Put 60%-70% in FXAIX and 30%-40% in FTIHX (or FZILX). And that's it.

Likestoread25

Hello, I have 5% in FXIAX, 15% in FZILX and 80% in FZROX. I'm just focusing on adding more money into my stocks and letting it grow in the long term. I'm in my late 20s, should I change what I'm doing or other stocks I should get?

Far-Enthusiasm-5995

It’s awesome that you’re getting a Roth going early on. FSKAX already owns the whole U.S. market (large, mid and small), so you don’t need to layer on FDGFX or FSSMX to get exposure to dividends or small caps — you’re doubling up on the same companies and paying higher fees for the active fund. FZILX adds international stocks, which is a nice complement if you want some non‑U.S. exposure. A lot of people keep it simple by doing something like 80 % FSKAX and 20 % FZILX, or just picking a target‑date index fund and calling it a day. If you enjoy the idea of tilting toward dividends or small‑caps, you can do that with a small percentage, but you don’t have to. The most important parts are keeping costs low, staying diversified, and sticking with your plan for decades.

abeBroham-Linkin

If you just haze FZILX and FSKAX, you've pretty much covered everything you'd need. It's recommended that they're either split 70/30 or 80/20 depending on tolerance. The other indexes would be covered pretty much by FSKAX as it's the TOTAL market.

Spirited_Macaroon_77

Not sure if this is right place to put this. I'm finally starting out investing and using retirement accounts. I've done a bunch of research. I've got about a 32 year time horizon. I've never really asked for advice about this stuff. Here is my allocation: Roth IRA (represents 40% of my total portfolio): 35% FNILX (broad large cap) 30% XMMO (mid cap momentum, overweighted here because I can't get this in my other accounts) 15% AVUV (small cap value) 15% FZILX (broad international, developed and emerging) 5% AVDV (international small cap value) Roth 403b (represents 20% of my total portfolio): 65% VIIIX (S&P index) 15% DFFVX (small cap value) 20% VTSNX (broad international, developed and emerging) Roth 401k (represents 40% of my total portfolio): 65% SWPPX (S&P index) 15% DFFVX (small cap value) 10% SWISX (broad international, developed) 10% DCEFX (broad international, emerging)

Gunnar0410

Im 18 and seeking some advice on my current Roth portfolio. I have about 5,750$ in FZROX and about 1,500$ in FZILX and a small amount of 300$ in QQQM. I have started putting money into QQQM because i like the growth potential and on the more aggressive side? I plan to continue investing into QQQM until I reach my contribution limit (800$ left). Are these 3 funds good or too much over lap?

HaikuHeron

$25 in FZILX in a Roth IRA

Kris_Mettew

In terms of your investment strategy, it makes sense that you’re leaning toward aggressive growth given your age and time horizon. The portfolios you’re considering are all solid, and honestly, you can’t really go wrong between them, but there are a few nuances that might help you fine-tune the decision. Your first option using FSKAX, FTEC, and international exposure like FTIHX or FZILX is probably the most well-rounded aggressive strategy. It gives you broad US market exposure, tilts toward high-growth sectors with tech, and still includes global diversification. That kind of setup gives you a good shot at outperformance without putting everything on one bet. The only thing to be mindful of is the tech overweight, it can swing hard in either direction, so just be ready to stomach the volatility. The second option with VOO and QQQ has a bit more redundancy, since QQQ and VOO overlap a lot in holdings. You’re really doubling down on large-cap US, and particularly tech-heavy names. That could work really well if the AI-driven rally keeps pushing, but it’s also the most momentum-heavy of the choices. The risk there is you’re paying a premium for assets that have already had a big run, which can hurt if there’s a correction. The third option, mostly FSKAX and FTIHX, is simpler and probably smoother in terms of performance. It gives you great global diversification and lower volatility, but it’s also the most conservative of the three in terms of growth potential. That might be totally fine depending on your risk tolerance, especially if you want to leave some room for life purchases like the house or the boat. If it were me, I’d lean slightly toward option one. It captures a strong long-term growth trajectory while still spreading risk across sectors and geographies. You can always adjust over time if tech gets too overheated or if international markets underperform. And honestly, with your income and age, you’ve got plenty of room to take some calculated risks now and shift more defensively later. One last note, it’s smart that you’re considering the house and surf boat, but maybe segment your capital a bit. Keep some in HYSA or short-duration bonds if you know you’ll need it in the next year or two, and invest the rest with a 5+ year horizon. That’ll keep you from having to sell during a downturn if something big comes up.

alijaniel

I'm 24, basically identical income situation and also still living at home. I can't make recommendations since I'm fairly new to this, but here's my current portfolio: \- $7,500 emergency fund - Fidelity SPAXX account earning 4% (7.5k is a bit excessive for my situation, considering going down to 5k) \- $2,000 checking - Fidelity SPAXX account earning 4% \- $15,000 Roth IRA - 60% FZROX (domestic), 40% FZILX (intl.) \- $22,000 taxable brokerage - 60% VTI (domestic), 40% VXUS (intl.) \- $3,000 crypto - 70% BTC, 30% ETH (purely speculative; probably not the greatest idea, but I only use excess budgeted money to fund this account) Something that's been really nice for me is setting up recurring transfers and investments using Fidelity. On the 1st of the month, a portion of my paycheck is sent to checking for expenses, and the rest is divided between taxable and retirement; just enough to max out my Roth by the end of the year. On the 2nd of the month, those funds automatically get invested. I only go in every few months to rebalance if I need to (i.e., maintain the 60/40 ratio) and put excess checking funds into the taxable account and cypto account.

alijaniel

If you’re willing to occasionally rebalance, 60/40 VTI/VXUS is objectively better because it’s a 99% match to VT and has lower expense ratios. FZROX/FZILX is even better if you’re willing to stick to Fidelity

helpwithsong2024

All you need it FNILX and FZILX.

Spirited_Macaroon_77

I'm late to investing. 40, USA. I finally paid off my high interest debt and have some income stability and I'm planning on retiring at 72. I was thinking of allocating my Roth IRA thusly: 65% FNILX (US large cap blend) 15% AVUV (US small cap value) 15% FZILX (International large cap blend) 5% AVDV (International mid/small cap value)

ServerTechie

FNILX typically outperforms FXAIX ever-so-slightly, and when I compare their holdings I see slightly heavier weight for FZILX in the top holdings like MSFT and NVDA. The 3 year sharpe ratio is also higher on FZILX. FZILX is not advertised as an S&P500 index, but it sure comes close and performs a little better. At zero expense, it sounds like a winner.

InvisibleEar

I like Fidelity but it doesn't super matter. You can put any amount of money at a time into mutual funds like FXAIX, FZROX, FZILX or buy fractional shares of ETFs (slightly more of a hassle) like IVV, ITOT, IXUS.

Ok_Magician5303

You're off to a great start by taking advantage of your 401k, especially with a 4% employer match—that's free money and a solid foundation. Your fund choices show you're aiming for a socially responsible and globally diversified approach. Here's a quick breakdown of your allocation: Parnassus Core Equity (45%): Strong choice for a large-cap, ESG-aligned U.S. fund. It’s actively managed, so fees might be higher, but it has a solid long-term track record. EuroPacific Growth (35%): Good for international exposure, especially in developed markets. Keep in mind it’s also actively managed and can be volatile, but it balances your domestic-heavy IRA. Impax Small Cap (20%): Adds growth potential and diversity. Small caps can be more volatile but offer higher upside over time. Since you're already in Fidelity index funds (FZROX, FZILX) with your IRA, this mix adds active management and sector diversity. You're also staying away from bonds for now, which makes sense with a long time horizon and rising-rate concerns, but consider adding some in the future for stability as your portfolio grows. Overall, this looks like a well-thought-out allocation for a first 401k. Keep an eye on fund fees and re-evaluate annually. Good job getting started.

ItchyKnowledge4

Take with salt as people a lot smarter than me will tell you you're fine with just S&P. My opinion (and what I do) is 20-25% FZILX (zero expense ratio international large cap, some good Japanese, European, and British exposure), and 30% FCNTX mutual fund. Normally I think S&P index is superior to mutual funds, but I think the market is particularly inefficient right now due to all the political risk which is allowing mutual funds to (possibly temporarily) outperform. Given the current political climate, I like at least half my money either overseas or in a fund that has an actual hand on the steering wheel.

Peripatetictyl

Can you comment on FTIHX vs FZILX? I hold the latter as my international, I know there’s a difference in some small cap holdings and fees, but anything else so I can understand a little more? FXAIX and FZILX is my combo

GaylrdFocker

>I was just trying to deliversify as much as possible Diversification isn't about how many funds you have, it's about what those funds hold. You actually made yourself less diverse by randomly buying funds. Just stick to VT, VTI/VXUS, FXROX/FZILX or similar Total US/Total Intl funds depending on where your account is

InvisibleEar

You could also do FZROX and FZILX but the difference probably doesn't matter.

Cruian

No financial penalty from Fidelity, just that they would force you to sell FZROX (and any FZILX, FNILX, and FZIPX) before moving. This isn't an issue in tax advantaged accounts like IRAs, as you'd just move the cash and buy in at the new brokerage.

Queasy-Ad727

Thoughts/advice on my wife's Roth IRA portfolio allocation. 70/30 - $FZROX/$FZILX Fidelity Total U.S. Stock Market / Fidelity Total International

DigitalDensity

As someone investing for retirement and looking at 40+ years, I’m just gonna continue to buy my FZROX and FZILX and not worry about anything but continuing to DCA

Significant_Run_2622

FZILX

ac106

Fidelity is pretty awesome as a [one stop shop](https://www.bogleheads.org/wiki/Fidelity:_one_stop_shop) They have excellent 24 hr customer service. The app is good. Better than Vanguard. Website is very good. The Cash Management Account is great as combo high yield savings/checking/BillPay account with check writing and a debit card. All ATM fees are refunded. The auto liquidation feature allows you to use a treasury money market (FDLXX) as a defacto core position (no state tax). You can also buy CDs with a CMA. Allows auto buys of fractional ETFs. Offers 529s, HSAs, DAFs etc. Fidelity Crypto allows direct custody and transfers of crypto. Good fixed income tools. Fidelity credit card is unlimited 2% if deposited into core position Local branches Fee free mutual funds. (FZROX, FZIPX, FNILX, FZILX) r/fidelityinvestments & r/fidelitycrypto are staffed by actual Fidelity employees who provide customer support. Cons: They put **very** long holds (10 **business** days/2 weeks) when you pull funds from another bank. If you push, it’s availible immediately or within a day. No Zelle No Plaid for linking ACH

caashmerr

You should own a small slice of an international fund for diversification's sake, such as FZILX. With the recent past (and future) uncertainty/volatility in US markets, it certainly wouldn't be a bad idea.

DaemonTargaryen2024

If you take the r/bogleheads approach you ought to match the global marketplace, so have 65% FZROX and 35% international, either FZILX or VXUS or something. But investing is a personal experience so if you’d rather go 90/10 that’s fine too. Just as long as you know you’re betting on the US to constantly outperform the rest of the world, which has been a winning bet the past 15 years, but anyone’s guess for the next 15+

luvjnx

that makes sense. I think i have some crossovers in other areas where i can move as well ... new to this all, and just trying to learn. Thank you! Roth - cash 12% Fxaix 55% PTRQx 8% FZILX 11% PIMIX 7% LBNOX 5% Traditional IRA - Cash 5% FZROX 66% FZILX 20% LOLDX 8%

Eli_eve

My three largest positions are with FZROX, FXNAX, and FZILX - so pretty heavy on the high market cap companies due to how total market funds work. I supposed I could rebalance some stuff into FXIPX for more exposure to companies ranked 500 through 2500 by cap but never saw a reason for that.

MaraudingLawnmower

Since you're at fidelity, another option is FZROX (total us market) and FZILX (international). These are fidelity only mutual funds and they have zero fees. My understanding is they are "loss leader" type mutual funds, in that fidelity doesn't actually make money managing them, but rather they are to attract new customers. This means someday maybe they could add fees to the funds. However, if that happened, you can just sell and reallocate to another fund as needed. This would create a taxable event, which is why I only use the funds in a nontaxable account (like roth IRA, which you have). Tbh though the fees on other index ETFs like VOO are so low that its kinda just splitting hairs and doesn't matter. But still what I use since it "feels good" too have 0 fees 😉

Red_Bullion

They're just the most popular so people use them as a catch-all term. FXAIX is just as good as VOO. Arguably slightly better even because it has a lower fee. And FZROX/FZILX have 0 fee which is crazy. The founder of Vanguard himself said that funds are all the same so buy the one with the lowest fee.

anxiousbhat

FZILX, 5% return in 2 month even in this turmoil.

Red_Bullion

You can get anything, doesn't have to be Fidelity, but Fidelity has great options. For US you have FZROX or FSKAX. These are total US market funds. FZROX is zero fee which is pretty neat. There's also FXAIX if you'd prefer S&P500 to total US market. For international you have FZILX and FTIHX. Both are total international market funds. FZILX is zero fee which again is pretty neat.

dDot1883

Check out FZILX, zero expense ratio. VT is very low at .06%, but it adds up to $600 per year on $1mm, compounded over 20 years, is nothing to sneeze at. I would invest in 4 chunks over the next 4 months.

Red_Bullion

65% FZROX/35% FZILX Can substitute FXAIX or FSKAX for FZROX if preferred. FSKAX is the same thing, but FZROX is free. FXAIX is S&P500 instead of total US market. Total US market is technically more diversified but they basically track each other so it kind of doesn't matter. IVV would also be fine, or VOO or VTI, or SPLG. It doesn't matter. Can substitute FTIHX for FZILX if preferred. It's the same thing but FZILX is zero fee. Again VXUS or any other equivalent fund is also fine. Buying individual stocks generally isn't a great idea. If you want to for fun keep it to like 5 or 10% of your portfolio.

CapeMOGuy

FZILX is not a true total international index, but rather an emulated index (so they don't have to license the use of a named index). FZLIX holds 2227 stocks, VXUS hold over 8000. FZILX does have a cost advantage but VXUS expenses are a near-immaterial 0.05%. Another difference that doesn't matter to me but may matter to some is FZILX, as a mutual fund prices and trades only at market close. VXUS is an ETF and trades during the day. I don't see anything at all wrong with FZILX or FZROX (their total US fund), especially with the $1 investment minimum for new investors. I just prefer the true, full index.

candleguy009

Why not FZILX? It has zero exp ratio.

DizzyRhubarb_

Age: 43, married, US-based, ~$300K income. Debt: Only mortgage and minimal car payments. **Retirement/Tax-Advantaged Accounts:** - **401(k) ($420K):** 20% FZILX, 25% Contrafund, 55% FZROX. - **Roth IRA ($10K):** 100% Contrafund. - **HSA ($7K):** $2K cash, $5K FSKAX **Taxable Accounts:** - **CMA ($65K):** $50K SPAXX, $15K VOO ETF - **HYSA ($41K).** For my 401(k), I'm considering a shift to 35% FZROX and 25% SPAXX to keep cash ready for potential market turmoil... it feels pretty uncertain right now, and I see a lot of people pulling out of US stocks. And I don't know what to do about my taxable accounts, feel a little cash heavy. $15K for a bathroom remodel is the only short-term expense. We don't have any pressing long term plans, I just want to build up some wealth for future use.

Red_Bullion

It only targets adversarial countries, which presumably most developed markets aren't. Though who knows maybe if Trump doesn't like the golf courses in France they become adversarial. Either way a big part of international market returns revolves around the relative strength of the US dollar. So if the law is regarded enough to weaken the dollar then FZILX should do very well.

Few-Koala-3031

Sorry, let me clarify, what I meant is the legality for a U.S. citizen to own international index funds? Is that still legal? I’m asking if I need to legally unload all of my shares of FZILX and VTIAX on market open on Monday.

Few-Koala-3031

How do you think this affects people that own international index funds? Things like FZILX or VTIAX?? I mean a huge portion of Americans own this as part of their diversification on their portfolios. Or am I misunderstanding this?

Red_Bullion

Well you should already be 20%-40% in FZILX or FTIHX so that's a start. You could put something in US small caps. IJR and AVUV are popular. They're liable to crash even harder than large caps though if the US market tanks.

RubiksPoint

Schwab is also fine. Schwab has SWPPX (0.02% expense ratio (ER)). As Putrid\_Inspector mentioned, Fidelity has FXAIX (0.02% ER), FZROX (0% ER) and FZILX (0% ER) which are all good options too (note FZROX and FZILX aren't S&P 500 funds). Or you could buy SPLG (an S&P 500 ETF with a 0.02% ER) with an account on any of these brokerages.

Putrid_Inspector

https://www.fidelity.com/mutual-funds/investing-ideas/index-funds I have FZROX and FZILX

Russiax36

So basically FZROX is nearly identical to FSKAX with the added benefit of no management fees? So it could be beneficial to move my investments from FSKAX to FZROX rather than add FZROX as my 3rd index fund along side FSKAX/FXAIX. In regard to the FZROX/FZILX/FXNAX, I will do some more research into these. I have attached a imgur link to the main post of a screenshot of my current positions and all time unrealized gains.

xiongchiamiov

[Dividends are irrelevant](https://www.investopedia.com/terms/d/dividendirrelevance.asp). FSKAX (total US market) is a replacement for FXAIX (US large cap). FZROX is effectively the same thing but without the management fees. It's a good choice in a tax-advantaged account like an IRA because you'll have to sell it if you ever transfer the account to a different broker. Without a reason to do something different, it makes a lot of sense to run a [three-fund portfolio](https://www.bogleheads.org/wiki/Three-fund_portfolio) with FZROX, FZILX, and FXNAX. Or pick the passively-managed Fidelity target fund and let them do it for you.

DigitalDensity

I personally hold 80/20 as FZROX/FZILX and love them. Do they hold less companies than the Vanguard ETFs? Sure. Does it change that according to PortfolioLabs, FZROX and VTI have a 0.99/1.00 correlation in price (I think the only difference is produced by the expense ratio)? No. Realistically the companies left out of FZROX wouldn’t be big enough to move the price anyway. The only place I’d ignore the Zero Funds are in a taxable account since they can’t be rolled into another platform without selling. Since you’re in a Roth IRA though, that doesn’t matter.

Red_Bullion

They basically track each other so may as well take the free one. I have FZILX.

xiongchiamiov

If you're in the "buy the market" opinion, then the s&p funds are fine, but as a _part_ of your portfolio: you'd want to extend into mid and small cap, and developed and emerging markets. You can do that with individual funds, or buy VT which does this all for you and keeps it all market weighted automatically. The Callan periodic table of investment returns is a common way to visualize why you want to do this. Some reading on it: https://www.bogleheads.org/wiki/Callan_periodic_table_of_investment_returns (It also suggests that you might want to diversify beyond stocks too.) Since it sounds like you're at fidelity, you can also buy the zero ER funds for US (FZROX) and international (FZILX). This helps you keep a little bit more of your returns, and the lack of portability isn't a problem for your IRA.

Cruian

>LFMIJX does have a pretty high ER at 0.94, but over the life of the fund it's brought in over 2.5% more than FZILX (it's much older than FZILX though), and 4% more in just the last 3 years. 2 internally identical funds with different start dates will have different lifetime returns. Look at IVV vs VOO for example: IVV's will always be lower, since it was released before the dotcom bubble burst and the lost decade, VOO conveniently missed the lost decade. Unless the 2 funds were created/released on the same day, "since inception" is a completeliy useless tool for comparison.

Sakey-labat

Personally, I prefer FZILX since it’s more diversified than FMIJX in addition to having a lower ER. Lastly, past performance is not indicative of future performance.

ncjdushsnsoznsbdb

Instead of allocating 10% to individual stocks in a brokerage acct - I invest in these single stocks within my Roth IRA. There is far less tax implications and can sell for profit quickly with no penalty. Like for example my Roth is mostly all FZROX/FZILX - but I bought shares of NVDA & GOOGL during the dip. Gonna be holding for a long time so why not?

Red_Bullion

You should take 20% and put it in FTIHX or FZILX

LonelyFox18

Aside from the overlap between VOO and VTI, as well as between FZILX and FSPSX, it looks surprisingly similar to some of the portfolios I see here on Reddit. The 20% allocation to international makes sense. The inclusion of SCHD makes it less tax efficient, but gives it a value tilt. The fixed income allocation could probably be tweaked based upon your age and investment goals.

MoralArbitrage

Look into Fidelity's ZERO Funds (FZROX for total market, FZILX for Intl market, and FNLX as an approximation of the S&P500). As the name implies, there are zero expense ratios/fees and they serve as loss leaders that are especially beneficial in tax-advantaged accounts. Your Roth IRA neutralizes the only real downside to these ZERO funds, portability, and triggering a potential tax event if moving your account elsewhere. If you purchased these ZERO funds in a standard brokerage account and decided to move to Schwab/wherever, you'd have to liquidate the funds and purchase another security because ZERO funds are proprietary and only offered by Fidelity. This would trigger the tax event on profits. Buying an etf/mutual fund that is sold everywhere like those sold by Vanguard (VOO, VTI) or Invesco (QQQ), etc. are usually better for non-tax-advantaged accounts because you can simply transfer them. Your Roth is tax-advantaged, so even if you move and have to liquidate the ZERO funds, there is no tax event triggered. You'd simply sell within the Roth and purchase a new security mirroring the funds at your account's new location.

KoodGarma

**Kudos to you for starting your investing journey early!** First, look up [Bogleheads Getting Started](https://www.bogleheads.org/wiki/Getting_started), that's where I started learning a ton. Second, think about lump sum what you've got to start with, outside of funding an ongoing savings account (e.g., 10%) per paycheck, having an emergency fund in a reputable HYSA w/ easy transfer fund options (e.g., 3.75% at Discover Online Savings) with enough saved to cover at least 3-6 months of living expenses, and then DCA what you can afford to invest (e.g., 10%) per paycheck going forward. Following is a tax-efficient, low-maintenance investment allocation recommendation based on your age and using Fidelity-based low/no cost fund options (can differ based on your brokerage). Feel free to chat me up if specific questions Best of luck! \> Taxable = 70% US (FSKAX) / 30% EX-US (FTIHX) <or> if you prefer ETFs 70% US (VTI) / 30% EX-US (VXUS) \> Roth IRA = 70% US (FZROX) / 30% EX-US (FZILX) \> Trad IRA = 60% US (FZROX) / 30% EX-US (FZILX) / 10% Bond (FXNAX) \> HSA (if avail) = 70% US (FZROX) / 30% EX-US (FZILX)

feelingsupersonic

I'm not an investing genius but if I had to give criticism, you seem to be overweight on tech stocks. I would also ask if you have considered a small amount (maybe 10-20% of this) toward international stocks, and maybe 10% toward bonds. Not as lucrative, but it would hedge against a big tech drop. Especially given that you are investing 50% of your income, it comes down to your risk tolerance. For reference I'm similar to you - early 30s, single, but medium cost of living area and a house that's mostly paid off. I am putting closer to 25% of my income into these below bins. These are approximate values, recurring investments. - 60% total US stock market (FZROX, similar to VTI) - 10% total international stocks (FZILX) - 10% total US bonds (FXNAX) - 5% precious metal fund (FSAGX) - 5% each into small / mid cap (FSSNX / FMDGX) - 5% into real estate (FSRNX) - The last 5% is discretionary, individual stocks. Right now energy stocks seem like a good buy, maybe some defense as well. Smarter investors than me will probably be able to point out how I could improve so, so I am also open for criticism. The main thing I was going for was avoiding overlap between the funds, so I can re-balance it if needed with little fuss.

Torkzilla

FZILX only pays 1x dividend for entire year and VXUS pays 4x per year (quarterly). 2023 FZILX paid around .33 per share at around $10 price so yeah about 3-3.3%. I don’t own FZROX but it would not surprise me if it was the same and maybe the vanguard funds are just regular daily volume instead of ex-dividend. Might explain your whole question.

TextualChocolate77

That was my first guess (FZILX is also down 3% vs VXUS down 0.24%), but are the distributions that large? And couldn’t find the dividend detail online

fuqnug

I also had AVUV on the list. Would it make more sense to replace AVUV with IJS? So maybe something like VTI, SCHG, AVUV, FZILX?

Torkzilla

Buy some FZILX and get international for 0.00 expense ratio.

fuqnug

Newbie. My current portfolio. Should I move over to fidelity? 28m this is my current portfolio: 52.25% VOO, 9.5% IJH, 4.75% IJR, 28.5% IXUS, 5% BITO. Have been investing since Sept ‘21 through Acorns. Used them as intended. Set my portfolio to aggressive and forgot about it. 4 years later my portfolio value is $13,300 and I’m up 31% overall. • Taxable account • $1 monthly fee I have been thinking about switching over to fidelity and adjusting my portfolio to something more aggressive and growth oriented. I was thinking of something like: SCGH, VTI, IUS FZILX. New to investing, but these seemed like pretty solid ETFs. If not, I would love to hear recommendations on ones that I could look into to help build a better portfolio. My main reason for switching to Fidelity is that I don’t have a Roth IRA yet and was planning on opening one with a split of FZROX/FZILX. So wanted to go ahead and also switch my taxable account over. I also feel like my acorns portfolio isn’t as aggressive as I want it to be giving I plan to invest for the next 30+years and don’t mind taking risk until l hit a point where I feel I need to start being more conservative. Is it even worth me moving over to fidelity and completely changing my portfolio to like the one I gave above or should I just stick with the current one on acorns? I know there will be tax implications etc, but if I’m ever going to move over I feel like the time to do it is when my balance is relatively small. Sorry for long post. Hope it was easy to read at least lol

Torkzilla

I use FZILX for broad international index with zero expense. It’s a deeper expense cut on most international funds and the performance returns are basically similar to other broad international funds with more expenses.

MountainDune

The three brokerages most recommended are Fidelity, Vanguard, and Schwab. They all have SIPC insurance and your money is in the investments you buy anyway, you are not investing the broker itself. Example: [https://investor.vanguard.com/investor-resources-education/article/sipc-vs-fdic-insurance](https://investor.vanguard.com/investor-resources-education/article/sipc-vs-fdic-insurance) Money management tips: [https://www.reddit.com/r/personalfinance/wiki/commontopics/](https://www.reddit.com/r/personalfinance/wiki/commontopics/) Utilize all available space in tax advantaged accounts (Roth IRA, 401k, HSA, etc) before investing in a taxable brokerage account. My asset allocation strategy (investment strategy) is a three fund portfolio minus the bond fund, I will allocate to bonds when I am closer to retirement. [https://www.bogleheads.org/wiki/Three-fund\_portfolio](https://www.bogleheads.org/wiki/Three-fund_portfolio) Example: I would open a Roth IRA with Fidelity and invest in 70% FZROX and 30% FZILX [https://www.fidelity.com/mutual-funds/investing-ideas/index-funds](https://www.fidelity.com/mutual-funds/investing-ideas/index-funds) [https://www.fidelity.com/viewpoints/retirement/how-much-money-should-I-save](https://www.fidelity.com/viewpoints/retirement/how-much-money-should-I-save) Some Roth IRA rules: [https://www.schwab.com/ira/roth-ira/contribution-limits](https://www.schwab.com/ira/roth-ira/contribution-limits)

taplar

You want to look at total return, not focus on dividends. Dividends are a part of total return. Also regarding the tax statement, I don't see anything about FZILX or FZROX that would give them any special tax treatment.

Young_Grif

Opinions on holding 4 Funds in my ROTH IRA: FBTC, FZROX, FZILX, & SCHD. I wanted simplicity and ease

ParkingLotChamp

One more question, actually, if you're still available. How does that percentage work? If I'm doing 20% in FZILX, is that 20% of the $7000 I am investing into the IRA account every year?

ParkingLotChamp

Yeah, after researching, i want to do: 60% FZROX 30% FZILX 10% FXNAX Or should I just have 0% in bonds for now? I am late 20s.