UnThreaded | Threaded | Whole Thread (7) | Ignore Thread Prev | Next
Author: jbking Big gold star, 5000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 76398  
Subject: Re: All My Eggs in One Basket Date: 3/29/2005 5:38 PM
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Recommendations: 0
Greetings diat,

Is it ever bad to fund all my investment vehicles with the same product?

Depends on the nature of the product, is my short answer. There are some life cycle funds that have tons of diversification that for someone that wants a 'set it and forget it' investment could work just fine. There are even some balanced funds that may also work in this area, e.g. Vanguard Wellington(VWELX) is a good conservative allocation fund that someone may just invest in that one fund through several years. OTOH, putting everything in one stock is likely not such a great idea as those who were heavily in Worldcom, Enron, Global Crossing or others know from experience.

I have a 401(k) from my former job with 80% VFINX and 20% company-specific Vanguard Bond Index Fund, the Roth IRA is cash and VFINX, and my new 401(k) is 80% VTSMX and 20% Vangard Bond Fund. Is this okay?

As long as this meets the asset allocation you want, that is fine, IMO.

Or should I look to invest in other things in my Roth IRA or new 401(k) account?

Why would you want to do that if you want the Vanguard 500 Index(VFINX), Vanguard Total Stock Market(VTSMX) and the Bond Index fund(Which there are 4 of at Vanguard last time I checked without going into separate share classes)?

Regards,
JB
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (7) | Ignore Thread Prev | Next

Announcements

The Retire Early Home Page
Discussion on accelerating retirement day.
Foolanthropy 2014!
By working with young, first-time moms, Nurse-Family Partnership is able to truly change lives – for generations to come.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Post of the Day:
Macro Economics

Economic Implications of Cuba
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement