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Subject:  Re: Portfolio Allocation for age 35 Date:  2/13/2007  3:00 PM
Author:  craigflannagan Number:  55819 of 88063

-zol wrote:

If the portfolio is only $5-6K, you need to be very careful with friction (the cost of trading). Even with MI, it is difficult to get over the hump of trading too frequently. I have had that issue with small accounts (IRA that I can't contribute any more to it). My solution has been to go with quarterly screens using the Top 3.

At 35, I don't worry about allocation after I had my emergency fund in place. I keep all retirement accounts 100% in stocks. Haven't studied enough about the Arezi Ratio to use it effectively.

Certainly. The fact that I will be starting with approximately $4000-$5000 for equities portion means I'll have to start with a small number of stocks at the beginning due to friction costs as you mentioned. I plan on adding to the Roth IRA uniformly over the year from my paychecks now that I get the ball rolling, hopefully it'll get better in about a year (by this time next year, my total contributions into Roth IRA should be roughly $10k).

Thanks for the advice.
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