Skip to main content
Message Font: Serif | Sans-Serif
No. of Recommendations: 0
I'm about to receive a lump sum pension which will be rolled into an existing IRA with Vanguard. I had planned to invest it in Index 500, which currently makes up 18% of my total investments. However, Vanguard had been pushing the Total Stock Market fund this year as an alternative.

Adding the pension money to Index 500 will raise it to 26% of my total investments. The rest of my portfolio consists of mutual funds and individual stocks. Judging from the performance in this year's downturn, my diversification is pretty good, although I am a little over weighted in techs.

My question is whether I need to be in Total Stock Market instead of just adding to Index 500. The top holdings of both are the same. Their industry exposure isn't too different either. Also, a minor consideration is that I'll qualify for the new lower expense Admiral shares if I add to Index 500.

Any opinions out there?
Print the post  


What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
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.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! 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.