Announcement

Collapse
No announcement yet.

Optimal investments for taxable account

Collapse
X
Collapse
First Prev Next Last
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • #16
    Sorry, did not see what specific questions you have. If it is just the title, low ER, low turnover, passive index funds (‘total stock market’) Split domestic/international according to your plan. Can add munis if you wish but would not do bond funds due to tax drag.

    Comment


    • #17
      Remember that in a taxable account you get the benefit of the Foreign Tax Credit for foreign withholding taxes on dividends, while in a tax sheltered account this is completely lost.  As such there would be value in having more of your international stocks in taxable and more of your U.S. ones in tax-sheltered accounts.

      Comment


      • #18
        So how is VTWAX, compared to VTSAX.. opinions?

        Comment


        • #19
          Originally posted by Sleepez View Post
          So how is VTWAX, compared to VTSAX.. opinions?
          VTWAX is a Total World fund while VTSAX is a US Total Market fund so they're not comparable.

          Comment


          • #20
            Originally posted by Sleepez View Post
            So how is VTWAX, compared to VTSAX.. opinions?
            Suggest you contrast rather than compare, geographic coverage is the distinguishing characteristic, 100% vs 55% market cap respectively.

            Of course the past is not necessarily representative of the future. Try understanding the difference between market caps.
            https://awealthofcommonsense.com/201...ake-any-sense/
            It's not easy to make sense of the world.
            Last edited by Tim; 12-18-2019, 06:20 AM.

            Comment


            • #21
              since you're ok with 100% stock, it depends on how hands on you want to be.

              literally just put in money for the rest of your life and never worry about it is a target date retirement fund. sooner or later you'll want to rebalance into bonds. further out is more stock heavy. the target date fund will automatically do this for you

              for 1 fund, world stock is VT or VTWAX

              if you want to be a little more hands on to choose how much international exposure you have for slightly cheaper, US and international is VTI and VXUS or VTSAX and VTIAX

              I list the ETF tickers alongside the mutual funds because they're more tax efficient says the internet

              also another vote to not need a financial advisor to manage your money because if you want to stay basic and won't let emotion into your investments (can handle 20-50% drops in the market without pulling money out eg timing the market) the above is all you have to do. if you need anything else or want to talk to someone you can get a fee for service fiduciary which is way cheaper in the long run. but if you want to pay your friend's salary instead of contributing that money to your community directly, that's up to you

              Comment


              • #22
                VTI with maybe a sprinkling of BRK/B for all your domestic needs is not a bad portfolio at all.
                VXUS is all I use for all international.
                Bonds are optional.

                Comment


                • #23
                  Brkb is optional in that list.

                  Comment

                  Working...
                  X