VTI

Unhappy_Cobbler613

I'd go all in on VTI in a maxed out 401k, then split up a Roth IRA bucket for aggressive stuff. Aggressive= concentrating on high conviction bets not getting a bunch of random tickers to touch every sector you're interested in. You ought to have a good layman's understanding of what you're "aggressively" getting into. Nuclear definitely goes into the "too hard" pile for me. So many things technological and regulatory to screw up, and what I imagine what must be a massive capex cycle too. One thing I used Gemini to back test but haven't done is to just buy what's popular every year using a system. Every year dump your money into three equal Roth IRA buckets. I would make three accounts in Schwab to segregate them. 1/3 into VTI, 1/3 into Track 1, and 1/3 into Track 2. In January of year one you buy the #1 S&P 500 stock for track 1 and the #2 stock for track 2. On year two you sell half of each previous year's buy and put that and the 1/3 of the contributions towards the next buy on each track. You only sell half of the previous year's buy, and then let it ride with dividend reinvestment on. You'd follow this strategy with no deviation, executing with no emotions and just letting winners win and losers lose. Back testing shows CAGR well above 20% on the two tracks, easily beating VTI. I am middle aged but am actually considering doing this as a long term experiment. Commission free and fractional share trading makes this easy.

Past-Option2702

VTI and it’s not even close.

stunvn

Look at his portfolio, he is diversifying... it doesn't look like he is 100% in VTI or something. /s

ME_H0Y_MIN0Y

VTI, TSM, and ASTS (sad)

Thin_Onion3826

VTI. I come here to laugh.

_zir_

VTI

brjh1990

After VTI (Roth IRA), CRWD. Though both are likely soon to be dwarfed by SKHY 😅

TheQuarrelsomeEmu

Way too may tickers. VOO or VTI for core. That’s it. Aggressive, I like QTUM or DRAM.

Broski777

VTI (I suck at picking single stocks)

TheQuarrelsomeEmu

Then why tf does he/you own VTI and VOO???

TheOppositeEquator

I'd roll most of those sector bets straight into VTI and call it a day

TheQuarrelsomeEmu

Dude just move everything to VTI or VOO and sleep easier for the next 20 years.

Straight_Ad_87

I truly don’t understand shit like this. Even most of the schmucks who sort of know what they’re doing on this sub lose money picking stocks. If you’re a regular person that doesn’t live and breathe the market, just park 80/20 between VTI and VXUS and call it a day. The bogleheads are low cortisol chillers.

Past-Option2702

VTI or ITOT are much better tax loss partners for SPY.

Mouse0022

Hold and wait. but consider putting anything else in something like an index fund like VTI, VT, or Voo.

FitSeaworthiness5275

His investment objective is likely to get rich quick. If this is his objective then he is doing it correctly. VTI is for slow and steady.

wandererarkhamknight

Invest in a broad market index fund like VT or VTI. That should be the base of your investment portfolio, walls, and the roof.

B1g_C4p1T4l

fwiw XLI, VFH, XLV and VCR are already inside VTI at market weight, so holding them separately is just a manual sector tilt. if you don't actually want to overweight those 4, folding them into VTI drops 4 tickers and nothing really changes

therealjerseytom

> Rate out of 10 2/10. You could have just bought VTI or VT and been done with it. > International is only about 5%. Too low? Depends on what your assessment is of the global market. Do you have a compelling reason to be different than the overall market weighting and so heavily in the US?

empiredude

VTI and chill brother. Way too overcomplicated.

Tricky_Scene1862

I know I am comparing a small event. But VTI and tech falls whereas VFH is up close to 1% in the last week makes me to feel that VTI is more tech tilted around 41% and with that VGT as well makes me feel like I am not diversified enough for other sectors. I might be wrong.

MostlyNothingInvests

I'd give it a 7.5/10. Love the consistency, but I think you're making the portfolio more complicated than it needs to be. 1. Is 17 tickers too many ? I'd consolidate. VTI already covers most of those sector ETFs. Keep SMH, AVUV or VOE if you deliberately want extra exposure, but there's a lot of unnecessary overlap here. 2. Should I add bonds at 29, or is gold plus a yearly review enough? Yes, I'd move XLI, VFH, XLV and VCR into VTI. You're already getting exposure to those businesses. 1. At 29, with a long horizon, I wouldn't feel obligated to own them. Gold isn't a bond replacement though. More important is whether you can stomach a 40% drawdown without selling. 3. International is only about 5%. Too low? 5% is pretty light. I'd personally look closer to 15–25%, although a US-heavy portfolio isn't automatically wrong. I'd probably simplify to VTI/VXUS as the foundation, with a few deliberate small/mid-cap and semiconductor tilts. The $1,100 every two weeks is doing more for your long-term wealth than having the perfect allocation anyway.

znightmaree

Your core can be simplified entirely to VT, VTI, or VOO. As for your aggressive satellite allocation, I’d stick to a maximum of 5 symbols and try to minimize any overlap. Your best bets here in my opinion are AVUV, SMH, QTUM, and NLR, but be careful about sector thematic ETFs. A strong argument could be made to just buy SMH there.

Tricky_Scene1862

In the last one week VTI is down 2.58 but VFH is up 0.94. I think VTI is more tilted towards tech stocks and already my portfolio has certain segment of tech (like memory, semiconductor in the aggressive side of it) that’s why I picked tickers like XLI, VFH, XLV and VCR seperately

Successful_Rabbit907

Too many names & VTI covers most of the indexes you're holding. I would hold more VXUS for international exposure (30% VXUS 50% VOO 20% individual positions). Keep it down to 5 companies tops if you're not a full time investor, it's hard to keep track of more financials/leadership than that. I'm just some guy so do your own dd.

HipsterJohn

17 tickets is too many. I would stick to a mix of VTI, VGT, and VXUS for the core holdings.

HanSolo71

The problem is people don't just take the win and move on. I sold all my individual holdings over the last year, ending in July for a profit of over 200%<, a house, and put everything in VTI/VXUS and forget about trading ever again because I have a really good nest egg now.

royal_robert

VTI and chill bro

The2020dad

We all learn from past mistakes, odte options are super risky but also rewarding. Choose some great dividend paying stocks like schd VOO VTI, Pfizer , ford …. And keep adding to those and gamble odte on the side with money u don’t regret losing 😂👍🤷‍♂️

Tay_Tay86

VTI, shares only. Never come to this subreddit again.

chadly117

VTI down 1.3%, would not call that tanking lol

culturefan

VTI

DaemonTargaryen2024

On the chance this isn't a bot or troll: >My whole portfolio was AI stocks MU, NBIS, SNDK, LUNR, NVDA, AMD.. Well, stop doing that. Go to r/Bogleheads and do boring index funds: VTI + VXUS or anything comparable. Then just sit back and do nothing for 40 years. Either way though, you must have realistic expectations with investing: the 1.68% drop in the past 5 days is positively nothing. Even your index funds can drop 10-20% out of nowhere, or 20-40% in a true bear market/crash.

tizzy62

Max out 401k and IRA every year, invest ~60% in VOO or VTI, 20% VXUS, 20% bonds Or 0dtes

autumnbreeznleaves

World ex US $VXUS is outperforming the US $VTI. It's crazy how the $SOXX mirrors $EWY. If you wanna know how semis will trade just watch KOSPI from the night before. The KOSPI ended green last night. If the DXY keeps moving lower I think we are gonna see a bounce in semis or $SOXX stocks today.

No_Rule_4798

A simple VTI/VXUS-style stack isn't exciting but it keeps me from tinkering myself into a worse return.

SpicyElixer

No. Also, anyone who “learns” anything on Reddit should just buy VTI. In fact, pretty much everyone should just buy VTI. Now get off Reddit and go learn what I use said in a textbook.

notAfathersDay987

Yeah, I don't understand how people keep losing this much money. The economy is so unbelievably easy right now. I'm up like 20% on my stocks in the last year, which I accomplished by not gambling on options that I don't understand. A lot of the people on this subreddit could have been making steady, incremental gains on reliable stocks that continue gaining in growth. That same $40,000 in VTI would be up $5000 if it was purchased at the beginning of the year.

CursedClownz

If you got 1m worth of VTI years ago you would have 2.6m today What are you even doing

CursedClownz

If you got 1m worth of VTI years ago you would have 2.6m today What are you even doing

NaiveProfessional808

But what about the Trump Account holdings? The one he created for parents/kids. The holdings are initially SPYM with the ability to add on with IVV, SPTM, ITOT and VTI. All are steady in the market usually. Especially with SPYM there will be 5 years where this ETF cannot be sold in the account (there are a few limited ways but really most will not be able to do so). The others are for where more money is added to the account or for 5 years from now. Just curious. 5 years of an ETF held in place with limited options to add. Would people here recommend building a portfolio from the ETF list above?

Exquisite-Load8654

https://preview.redd.it/btsaf2bl5pvh1.jpeg?width=1320&format=pjpg&auto=webp&s=f6b7278fe9ecf073081c8c581a768dba0828e0c5 Here’s most of it. Other accounts are all VTI. SGOV is partially April taxes.

Retired-Yam8988

You haven’t stated a thesis or timeline for your investment. Are these long term plays (and they bloody well should be if you’re hand picking). I mean if you’re doing individual stocks at this level then you’re exposed to the whatever comes to those individual tickers. That’s why everyone advised broad market funds like VOO, VTI etc. Also if you’re investing in individual stocks, it means you’ve signed up to basically completely write off losses if you need to sell when shit hits the fan. If you need that money anytime in the next few years, then recognize your mistake and sell now to preserve capital. Otherwise buckle up and enjoy the fireworks.

Ok_Cake1283

Work hard to keep your job. Keep your head down and keep buying VTI. Nothing changes in boom or bust markets unless you're retiring in the next 5 years.

ShortPossession8267

Will someone please tell me if Voog is a good 30 year investment for a simple retard or should I do QQQ, VTI or VOO

Past-Option2702

VTI

Interesting_Week_917

Just hold for 20 years and you’ll likely be up significantly. Next time, stick to VTI though! delete app and live your life.

dgaff21

I have $1.6 million dollars! I'm screwed!!!! Boy what the hell are you talking about? Even if you paid off your student loan debt today you'd have more money than most people earn in 25 years. And who told you to take out loans for your schooling when you had that much cash sitting around doing fuck-all? Did you make a mistake? Yeah, but it's a different mistake than spending all that money friviously. You've still got it and can put a milly in VTI or VOO and live a modest life off dividends. You're going to be fine.

Fenderstratguy

Look for a flat fee advisor - links are below. Anyone can call themself a financial advisor. You want a CFP who IS NOT working at a bank. Also be wary of anyone trying to sell you whole/permanent/universal life insurance or annuities as they are making a huge commision off of you. A good advisor should explain things so you understand, and they should prevent you from doing stupid behavioral actions like trying to time the market, pulling your money during a market crash, going all in on select tech stocks, perforamce chasing etc. - https://www.flatfeeadvisors.org (**flat fee only**, no AUM) - https://adviceonlynetwork.com (**flat fee only**, no AUM) - https://hellonectarine.com/ (**flat fee hourly or 8 week engagement**) Fees are also very important to look at. A fee of 1% a year will eat away your potential growth to the tune of 33% over 40 years. If you have invested in a broad based index fund like VOO or VTI 10 years ago, you would have at least doubled your money.

PolitzaniaKing

I always keep at least 30% in VTI to keep up with inflation. The rest in BND and sleep like a baby. When stocks correct dramatically, I'll move more into VTI and rebalance out as they climb.

Flybeck2

VTI.

bam2350

Your strategy should be early and often. Control debt. Build a cash/emergency fund. Maximize the advantage of free money (the employer match) and tax advantaged accounts (Roth, 401K, etc.). Plenty of writings out there about how $100/month from now until your full SSA retirement age invested in something like VOO or VTI should give you a high probability of success. Once you're hitting that threshold you can do more to work towards FIRE or FIRE COAST.

pain474

lol. sell all that garbage and buy VTI. Don't listen to analyst ratings.

pain474

What market dip? Zoom out. Sounds like you should just buy VTI.

Jennay-4399

You're 19. No reason why you can't just ETF and chill for 30 years. I'm 27 and that's my plan for investing. Most of my port will be VTI & VXUS, with a small portion going to individual stocks. Also some Quantum computing ETFs. No sense in taking on a huge risk when you have a long time horizon.

Tay_Tay86

it is not an appropriate selection for a position of this size relative to his entire port. 7 million has really has basically, one place to live--SPY or VTI or VOO. Which are all basically the same thing with different fee structures. This is just greed.

Dirkredblade

Vanguard has been saying to expect lower returns from equities since 2013- in the 3-5% range. Anyone who avoided or reduced equities because of this missed out on 13.75% cagr for 13 years (for VTI). Eventually they'll be right, but if 90% of fund managers can't beat the indexes, I figure I don't have much chance to time the market either.

bam2350

I'm none of those things. What have you held for 10 years? How does an investor in 2015 select a stock that will confidently do better than CAT? Had I invested the 100K being discussed in this thread in Feb20215 when I bought, the position would be worth about 1 million (and I didn't have DRIP turned on for the first 8 years). This leads to the question, "HOW do you pick one stock for the next 10 years?" Don't just throw out a popular WSB ticker. I think AMZN and GOOGL are good to talk about in this discussion due to market penetration, staying power, multiple revenue streams, and a history of performance. PS - That list isn't my portfolio, which is dominated by VOO, VTI, MOAT, DIA, SGOV, and CAT. It is just the tickers I've held for 10+ years. With the luxury of hindsight, we know I could have done better.

InternetSlave

VTI for sure

I_Got_Ur_Number_8675

VTI/VT ba-by!

Appropriate_Exit_206

Yeah I just sold most of my stocks today and will start DCA into VTI most likely

ryanv09

Seriously. 500K? Just buy boring shit like VT, VTI, VOO. It will grow plenty without the chance of losing it all overnight.

ra__account

*“Maybe” doesn’t convince me that he won’t get screwed over in 15 years.* Unless the law is changed, which is unlikely, there's no maybe about it. There are conditions but they're not hard to meet. https://www.fidelity.com/learning-center/personal-finance/529-rollover-to-roth That said, if you're set against it, I would set up a separate brokerage account and put it in a standard index fund like VTI. At whatever point you decide to give it to him, sell, keep enough to cover the taxes if you need, and send him a check. If you want to be paranoid about losing money while still outperforming a savings account, you can put it into a target date fund aimed at people who retired 10-20 years ago.

IncarceratedScarface

It might be a bad time to invest right now but no one knows. Since things are high I’d put it into something safe like VOO which covers most of the US stock market. There is also VT and VTI if you want to diversify even more.

LegitosaurusRex

VTI is up .8% over the last week, lol. You must be holding something that contains memory stocks.

No-Apartment1185

I became a multimillionaire through just investing in VTI and tech stocks like a normal investor. Never put money in options and I just come here to remind myself why I shouldn’t.

Level3pipe

50k in an HYSA. This is your life emergency fund. The remainder: 10k a week over the next 45 weeks. There is no “timing the market” you’re young enough to not need to worry about that. Growth ETF + some dividend + Small Cap USA. I’d recommend 50% VTI 40% VBR 10% MPLX or SCHD mainly for the energy diversification. Although you may elect to put that 10% wherever you wish. After 45 weeks if you feel like you want to reduce that from say 50k to 20k or 30k you may consider investing in other things for diversification. Gold, Art, or investment in yourself (enjoyment/business/material/skills/schooling/medical/etc). Investments into the market is important ofc but don’t forget to invest in your well being too :)

ExpensiveBookkeeper3

Meh, in the last 20 years it looks like VTI 6X not including dividends. It’s the rule of 72. Divide 72 by the % or time and you get the other. So 72/7(years)=10.3% ish before inflation. Which is pretty much what they say, yeah?

magicalmidgetmating

Open a fidelity or otherwise account put it in VOO VTI VXUS. And forget about it. Don’t put the app on your phone don’t look. Don’t touch it.

salmon__sashimi

Either all of it in VOO or VTI is perfectly fine.

sharp315

The S&P 500 is a specific index of the 500 largest companies in the US alone. SPY, VOO, IVV are all S&P 500 ETFs with minor variations in portfolio weighting. VTI includes all companies traded on the NYSE and NASDAQ in the US. it is not an international ETF. FTSE is a UK exchange so this does not include US stocks.

stunvn

Only delusional people living in the US want to buy TOTAL WORLD or anything WORLD related Vanguard. There is no good thing about WORLD. Just VTI and chill. "Never bet against America" - Warren Buffett.

ryanv09

Man, I know where we are, but I don't understand how someone can just casually gamble so much money on a single position. Like, by the time you have half a million to play around with, just put that shit on VT or VTI and chill.

sharp315

VTI is a total US market ETF. VOO is a total S&P market ETF. considering you have $4k in your account I would be looking at broad based ETF and not trying to take big swings with private equity.

sharp315

no, you should not be investing in private equity and more specifically you should not be investing in direct PE companies. stick to VTI or VOO and yourself the heartache and headache.

Witty_Elk3874

nice plan but especially the QQQ/SMH and 6% single‑name (NVDA) looks like over‑concentration; consider upping the large‑cap core to about 90% VOO/VTI and putting the 10‑15% into diversified growth or international; keep a bond ladder for the 40‑year‑horizon and test your 10‑year trailing rule against a realistic drawdown before you lock it in.

Strict_Raspberry4863

the plan is solid on the big index, but the tech tilt feels like a neck‑tied safety net. 80% S&P and 8% QQQ already overlap a lot in FA>NVDA etc. If the same chip cycle hiccups, you could be staring at a 30–40% hit close to your 8‑year mark. Also the legacy leg with 40‑year horizon could use a bit more diversification – maybe a slice of global (e.g. VTI + XWO) and some bonds earlier, the 3‑year-before‑retirement window feels tight. Brown‑out if a shock hits; you’ll still be riding the crash before you start realigning. Consider a 70/30 US/International split plus 10–15% bonds from year –5 to start smoothing out the tail risk.

_Clit-Commander_

Yeah VTI has a lot of garbage in it. Tiny percentage but why hold garbage in your portfolio

Vlisa

I think this is why I see “wealth conservationist” advocating for more VTI vice VOO recently.

mhoepfin

50% VTI, 40% VGT and 10% IBIT is my choice.

BeardedBadAzz

I think follow the smart keep it simple herd (ETFs like Ai tells you do use such as VTI and VXUS as examples) but also have a tilt towards something else (Fidelity Contrafund, Oakmark Select, or whatever). Some people may not agree with me here, but I’m sticking to both).

PartyCompetition7841

what i feel is the largest hitch is that you lean 23% on SPMO and 23% on AVLV – both are heavy US large‑cap exposure, so the portfolio is basically a re‑weighted S&P 500 with a 10% slice of US small‑cap value (AVUV) and about 28% international value, plus a few mantles of small‑cap and emerging value. that blurs the line between a true factor mix and a modified index. a cleaner approach would be keep one core broad‑market ETF (VTI or VT), add a single US momentum fund like SPMO, a single US small‑cap value like AVUV, and then perhaps a low‑vol or quality tilt for downside protection. that cuts the fund count, simplifies the tax picture and still keeps the factor flavor, while cutting the 6% EM slice that adds paperwork for little benefit. the overlap vs S&P 500 is high – 48% of your core is essentially the S&P 500 anyway – so consider tightening the tilt so you don’t end up chasing the same basket of large caps under a new coat.

ktempo

Yeah, I’ve lost 20k since June from options so I’ll probably just stop and stick to good ole VTI. 😬 At least it was play money

Possible-Material693

The average Redditor is financially retarded. They really think ITOT, VTI, and SPY will be front run or rug pulled by trump in the trump accounts lmao bunch of fucking idiots

Sudden_Way_5241

There's little overlap aside from the broad market funds which were intentional. The one hole is midcaps. Since Oct of 2021 which is how far back the avantis funds go, the US portion of the portfolio would have returned 16%/yr compared with 13.5%/yr VOO and 12.2%/yr VTI My international holdings produced 13.6%/yr in that time also outperforming VOO alone. SPDW had a 10.1%/yr over that time. Combined, this port produced 15.3%/yr outperforming VT's 11.2% I had Muse do the calculations because it has access to necessary historical data.

AlphaDomain

This is thankfully incredibly easy to do with low risk strategies. You can simply invest it into VT or VTI and it should double in 7 - 10 years based on how the market is performing.

gulfstream-intel

I like the intent, but I'd pressure-test the "meets or exceeds VOO with broader downside protection" framing — that part reads like having your cake and eating it. Value and momentum are fine factors, but neither is a downside hedge. Momentum has had notorious crash episodes, and value has gone through multi-year stretches of underperformance that tested everyone's faith in it. If you want actual downside protection, that's a low-volatility or quality tilt, not value/momentum. The other thing I'd check is how much of this is just the S&P 500 wearing a trench coat. With 23% SPMO + 23% AVLV + 13% VTI plus the international large-cap funds, there's a decent chance the factor exposures net out to something close to market beta with extra expense ratios and rebalancing headaches on top. Worth running the actual overlap before assuming you're diversified. None of that makes it a bad portfolio — AVUV/AVDV are solid, well-run funds. I'd just calibrate the pitch: the realistic expectation is roughly market-like returns with different tracking error and hopefully a modest long-run factor premium, not outperformance plus protection. And in the brokerage account, rebalancing by addition is smart — keeps the tax man out of it.

mgz5008

I feel you brother. I was just having some fun at your expense. In all reality, just stop gambling with options and 0dtes and put your cash into some *relatively* safe etf like VOO or VTI or the like. Hope you do well from here on out.

Ready-Win-1557

congrats. 1.2m out of the wheel – if you’re serious about locking it, most people are converting 70‑80% into a low‑vol ETF like VTI or SPY and keeping the rest as a small spread or a short‑term synthetic to ride another flip. the trick is keep a cushion of cash – you never know when the pharma buzz will hit a new wave again.

Jazzlike_Ball4417

$X000000. someone writes a 20 paragraph life story with their mortgage rate in it and the answer is always VTI

BarbellPadawan

“Saving” $100 a year on $1MM invested is sort of majoring in the minors IMO. I personally like VTI as well, but it’s technically a different index. For those who want just the S&P, it would likely make a LOT more sense to cancel one or two subscription services or eat out one time less per quarter. But 🤷.

bofoshow51

I would however have to change by contributions then to stay on target for market weight. Let’s follow your example and say market weight starts at 50:50 for VTI + VXUS, and I invest $100 each month. Then the market shifts 20% up for VTI and is stagnant for VXUS, so now they are $60:$50 and now the market weight is 54.5:45.5. Now I would need to adjust my incoming investment contributions to match that, otherwise I’d be under buying VTI and over buying VXUS. I guess a more accurate way to describe it is that the split requires more active engagement with your portfolio in any kinds of manner from just buying VT, and that extra engagement can be a risk.

BarbellPadawan

1%??? So the ER on VOO is 100 basis points above VTI? I’m skeptical but don’t care enough to fact check this either way.

Western_Coffee_5445

voo bull could save 1% in fees by changing to VTI just saying...those 1% add up over the years

scifigeek

This is great advice. I had researched all of this four years ago upon my initial investing, and just need to clarify what I believed to be true. Currently about a quarter of my stocks are VTI shares

culturefan

There's no way to avoid the taxes, however, you don't have to pull it all out NVDA or any other stock. You can sell a quarter or half or whatever amount and let that ride until next year. I don't think you'd have to worry much about NVDA dropping to zero any time soon. So where to put it into something less risky? Probably an ETF like VTI, VOO, and other such funds which are a basket of stocks. If one goes down, another probably is going up that day, so they are diversified.

Severe-Weekend-6664

Position: long VTI, no NIO or Chinese equity positions. Honestly if you still believe in NIO's fundamentals, averaging down on a single Chinese ADR is a much riskier bet than broadening into a China ETF like MCHI or KWEB, which spreads the political and regulatory risk across many names rather than concentrating it in one automaker. The macro overhang on Chinese equities is real and largely policy-driven, but it cuts both ways, if sentiment shifts you likely capture more upside with the ETF than by doubling down on one name that still has to execute on profitability.

blindnlearning2see

VTI or it's equivalent. Whatever total market fund available to you with the least amount of basis points. If you picked a fund purely based off of lowest basis, you'd probably do quite well. You get what you don't pay for.

bofoshow51

Here are the big three reasons: 1) to get the credit, you have to be in a taxable brokerage since in tax advantaged accounts it doesn’t matter, which from an efficiency point should only be done after maxing those accounts like IRA, HSA, and 401k. A very small portion of people can do that, but let’s imagine you do. 2) doing a split of VTI + VXUS instead of just VT means you have to manually maintain your market weighted ratio, meaning periods in between your rebalance checks risk underperforming the whole market. 3) because you must rebalance, you necessarily are checking your portfolio regularly, and as I mentioned in earlier comments, checking your balance frequently can lead to lower long term returns. So if you max out your tax advantaged accounts, if you can avoid behavioral panic from frequent checking, and if you consider the tax credit and expense ratio edge better than automatic market rebalancing funds that don’t miss the shifts, then sure do the split. It just seems like more work and risk than the benefit it reaps to me.

bofoshow51

Here is the big three reasons: 1) to get the credit, you have to be in a taxable brokerage, which from an efficiency point should only be done after maxing tax advantaged accounts like IRA, HSA, and 401k. A very small portion of people can do that, but let’s imagine you do. 2) doing a split of VTI + VXUS instead of just VT means you have to manually maintain your market weighted ratio, meaning periods in between your rebalance checks risk underperforming the whole market. 3) because you must rebalance, you necessarily are checking your portfolio regularly, and as I mentioned in earlier comments, checking your balance frequently [can lead to lower long term returns.](https://blog.odinvestor.net/frequent-reduces-returns/) So if you max out your tax advantaged accounts, if you can avoid behavioral panic from frequent checking, and if you consider the tax credit and expense ratio edge better than automatic market rebalancing funds that don’t miss the shifts, then sure do the split. It just seems like more work and risk than the benefit it reaps to me.