I retired a couple of years ago. Iam struggling to get a decent return without too much risk. At these levels, both the stock and bond markets are not very appealing. CD rates even though they have moved up a bit are still very low. Any useful input or suggestions are welcome
Let us stay with the topic and not go into other areas, appreciate everyone's thoughts
The actual quote is:
“I spent half my money on gambling, alcohol and wild women. The other half I wasted.”
― W.C. Fields
Might as well give credit where credit's due.
I still like the response from @4hvw. "I spend 90% of my money on wine, women and song. The other 10% I waste."
Excellent!
I follow the advice of Dan Celia.
I like Bogle too, he gives good advice although I cannot commit to being a bona fide "Boglehead" as they call them.
Some people who recommend Vanguard for beginners just do VTI for the stock portion and BND for the bond, all ETF's, low management fees and trade real time.
So a typical low risk retirement portfolio A/A would be 50/50 (%) VTI/BND and if you are younger then go 60/40 or 70/30.
I am not a big bond fund person but I think VTI did 12.83% in 2016., (14.6 for the last 5 year annualized,)
but as you know>>>Past results are no guarantee of........... Fill in the blanks kiddies.
If you haven't watch the Retirement Gamble you need to. Listen to what Jack Bogle has to saw about
mutual funds.
I stayed with Vanguard and they have been managing my account for several years. I am well pleased.
Here is a link
https://www.youtube.com/watch?v=w0ZAy03ubSw
I prefer the ETFs by Vanguard rather than mutual funds. Especially if you do not have access to the institutionalized 401k MF's with the better expense ratios, like in a non tax-advantaged account.
@5uot Correct Sir!! There is a reason why those guys are millionaires while you are not. The finance industry is among the most lucrative in the world! That's a whole thread in itself. Have you ever heard the terms Financial Advisor, Charitable, Non-profit, or Compassionate in the same sentence? They are not in the business to make new friends, contrary to their pitch.
Wasn't it Dave Ramsey who once said;
"When the stock market goes down, Mutual Funds go down even more, When the stock market goes up, Mutual funds go down a little......."
-5ynq, I once listened to a millionaire and he told me to invest with him, while he rung his hands together and grinned all the while. I got nervous and decided to consult with my broke friends/family.
Still rolling on the floor laughing, 4hvw. I think I snapped a rib.
Listen to Dave Ramsey. You can call in to the show and ask him for advice. There are different paths to take i.e., are you debt free or do you have debt? Each path has its own questions to your answers. Listen to a millionaire, not broke friends/family. Good Luck and glad to see you asking these questions. Hopefully people start asking these questions earlier in their careers.
Go with low cost index funds. All the advisors are crooks and making money off ordinary people.
I spend 90% of my money on wine, women and song. The other 10% I waste.
2oyr, good advice, thanks, I may look into those meself!!!
Put 70% in VTSAX, 30% in VBTLX. Rebalance annually. Otherwise, set it and forget it. You will do better than 90% of professional advisors and funds. If that is not enough for you, cut your expenses or go back to work.
I don't suggest market timing or using any advisor, online or in person that even hints at that, including what1goe posted below about timing, in so many words. Speculators, traders and Gamblers, speculate, trade and gamble, look into their hazy, mostly wrong, crystal ball,.... Investors invest. At the other end of every winning trade there is a loser. Go to Vegas to gamble.
Try index funds. The Dow(DJI) gained 13.4% in 2016 and the S&P500 about 12%. VTI about 13% How did you do with your other investments?
Please spare me the sarcasm and tall tales. Heard them all. Save them for someone who hasn't been investing for 45+ years.
Let vanguard manage it for you at 3/10 of 1 percent.
International markets are fairly cheap if you can handle the risk. These funds have performed poorly over the past few years but will likely revert to the mean over the long term. You might check out the bogleheads.org forum for some sage guidance.
Float in and out of Dividend Aristocrats and you can make 6-10% a year with minimal risk. Choose stocks and sectors that are near their 52W low for possible gain.
I am in my early 40's and investing my retirement savings in about 30-40 different stocks.