I have been going over a lot of posts on this sub as well as others and this is the distribution I have come up with so far:
55% FZROX | 15% FNCMX | 10% FSELX | 20% FZILX
The first problem with this distribution is definitely going to be the overlap between the three US funds but I am trying to keep it that way intentionally to get the relatively higher stability of FZROX from being a total market fund while allowing for a slightly more aggressive portfolio with positions in FNCMX and FSELX. FSELX particularly being so volatile makes me hesitant to go more than 10% in it which is why I added 15% FNCMX which would cover more than FSELX in the Tech market while also not being so volatile, at the same time offering slightly better performance than FZROX with reduced diversity.
Finally, the 20% in FZILX would be just general international market coverage. Of course, I also plan to reduce my risks in the future by increasing share of FZROX, eventually removing FSELX and adding bonds (either FTBFX or FXNAX).
Total Returns link for reference – https://totalrealreturns.com/s/FZROX,FNILX,FNCMX,FZILX,FSELX
Would appreciate any thoughts and/or feedback on this setup. Thanks!
Looking for some feedback on my planned portfolio as I start investing into my Roth at 35 years old
byu/sky905 ininvesting
Posted by sky905
2 Comments
I think you’re over complicating it out of the gate. Get some money in there and get it invested in either a global equity fund or a US equity fund, whichever you prefer. Just get started.
The nice thing about an IRA is you don’t have to worry about taxes if you ever want to reallocate funds. First step is still get some funds, though. Good luck!
your logic tracks. worth running the aggregate tho – fzrox is ~30% tech, fncmx nasdaq is ~55% tech, fselx is 100% semi. weighted out you end up around 40% tech overall. fine if intentional, just good to know the actual number you’re landing on