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MTB,
Wow - single, make good money and planning for retirement... Marry ME!

I will be happy to throw in my view -

% Bonds is not driven by AGE - It is driven by Risk Tolerance and your End Goal (caveat that age can be a factor in risk tolerance and in the investment horizon so your end goal as well) But the point - rule of thumb your age in bonds is kinda like the rule of thumb that you should put on ten leaches for each night that you have been sick!

For ME!
At 41, A good strategy is to diversify with something other than equities which usually equates to bonds, commodities and real estate. With mid term interest rates less than 6% the reduction in portfolio volatility comes at too great a price of returns. You can go out on the credit sprectrum to catch more yield but probably not an option in the 403?? While Real Estate was on the list (REITS) I would suggest being some what selective in the area (Hospitality/Industrial etc.) I liked one that had to do with Technology Space. The recent crisis has shown there sometimes is strong correlation with REITS and the general market. But one that rebounded nicely was DLR. For commodities - specifically metals, there seems to be some support for base metals right now and there seems to be some concern over the gold and silver being a little bubbly. So, I am in some copper plays right now. Another good area right now is Energy so you might think there as well, which goes kinda to the next point.

Also - boring old utilities calm down the volatility some and typically help with returns/divdends so as you look at balancing you might overweight there.


These are examples and not specific recommendations - but providing some tickers so you can look them up:

20 LC - lean toward value JKF
20 MC - JKG
20 SC - lean toward growth JKK
10 REIT - DLR -
20 Utilities maybe 50/50 with Energy XLU/XLE.
10 Metals - ETN



Again - normal markets a little less correlation in these wo diversification is preety good but in a crisis they may all move together - but at 41.. time is still on your side and bonds are probably not!
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