VTILX
Vanguard Total International Bond II Index Fund
Mentions (24Hr)
0.00% Today
Reddit Posts
Mentions
S and P 500 beats most professionals. At late 60s, the portfolio should be more conservative. Let's look at Vanguard Target Retirement 2035: |1|[VSMPX](https://stockanalysis.com/quote/mutf/VSMPX/)|Vanguard Total Stock Market Index Fund Institutional Plus Shares|40.12%|153,471,552| |:-|:-|:-|:-|:-| |2|[VGTSX](https://stockanalysis.com/quote/mutf/VGTSX/)|Vanguard Total Intl Stock Index Inv|27.05%|1,272,991,207| |3|[VTBIX](https://stockanalysis.com/quote/mutf/VTBIX/)|Vanguard Total Bond Market II Index Fund Investor Shares|22.76%|3,094,410,637| |4|[VTILX](https://stockanalysis.com/quote/mutf/VTILX/)|Vanguard Total International Bond II Index Fund Institutional Shares|9.42%|466,762,442| I would do approximately what Vanguard has done here (or just buy the Vanguard mutual fund) and cater it to you all's preferences. This is 35% bonds which reduces a lot of risk for someone investing in their late 60s, that's probably not a bad idea. If your dad wants a more aggresive higher risk higher reward portfolio you could knock that bond down to say 25% and put 10% in conviction stocks with good financials or that you believe will do great in the future. Personally, I think NBIS is a nice buy today. RDDT is at a nice price too. But, ya, I think at least 20% bonds and at least 60% index funds is smart.
If you want to allocate the same way that a professional investment manager would, check out the holdings of a targeted mutual fund (like VTTHX) and invest accordingly. To save you some time, MSPMX = VTI, VGTSX = VXUS, VTBIX = BND, and VTILX = BNDX
The idea of target date funds is that they are already "funds of funds" that are maximally diversified. Right now VTTHX is: * 42% VSMPX - the total US stock market fund * 28% VTSNX - the total international (ex-US) stock market fund * 21% VTBIX - the total US bond market fund * 9% VTILX - the total international bond market fund So it's already extremely diversified and adding any additional funds to that portfolio would only make it *less* diverse, not more diverse. You can put 100% there and just forget about it for a decade or so. Note that there is always *some* risk with investing. That's what makes it lucrative. That said, this is a very well balanced portfolio and with a 10+ year horizon I think will do very well.
If you're looking for "set it and forget it", there are also target date funds that'll do this or something very similar and adjust their holdings over time. For example if we're talking Vanguard (other brands are available) and a target retirement date of 2050, [VFIFX currently holds](https://investor.vanguard.com/investment-products/mutual-funds/profile/vfifx#portfolio-composition): * 54% Total US Stock Market (VSMPX, same holdings as VTSAX) * 36% International stock (VTIAX) * 7% Total US Bond Market (VTBIX) * 3% International bonds (VTILX) They'll rebalance and every few years they'll adjust the holdings, so in twenty years it might look [more like VTHRX](https://investor.vanguard.com/investment-products/mutual-funds/profile/vthrx#portfolio-composition) does now: same funds but shifted a bit away from stocks and more bonds, less international exposure, something that'll be a little more stable.