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  •  orthodoc2018 
    Participant
    Status: Physician
    Posts: 39
    Joined: 07/18/2018
    Splash Refinancing Bonus

    I’m looking to add bonds to my portfolio all of which is at Fidelity. Looks like VBTLX has an expense ratio of 0.05%. All the ones I’ve found on Fidelity are considerably higher. Am I missing a different uber-low fee comparable fund on Fidelity?

    Thank you!

    #180382 Reply
     Peds 
    Participant
    Status: Physician
    Posts: 2661
    Joined: 01/08/2016

    well first, is this an employer plan or a solo 401k?

    what options do you have? list them here.

    FXNAX is what you are looking for.

    #180391 Reply
     GasFIRE 
    Participant
    Status: Physician
    Posts: 140
    Joined: 01/08/2018

    You can purchase BND which is the equivalent ETF for VBTLX.

    #180393 Reply
     orthodoc2018 
    Participant
    Status: Physician
    Posts: 39
    Joined: 07/18/2018
    Earnest refinancing bonus

    No access to employer 401k yet as a new employee so this for within my and my wife’s 401k as well as our HSA. Have fully funded for 2019 and have a total of about 50k between all accounts now so am trying to use this years contribution to balance to an allocation of 50% US stock, 30% Intl Stock, 20% bond.

    FXNAX looks like the one for me

    #180394 Reply
     Peds 
    Participant
    Status: Physician
    Posts: 2661
    Joined: 01/08/2016
    Low fees should not be the criteria in which you start to select your funds.

    Click to expand…

    acutally its one of the most important criteria.

    In fact, the whole low fee craze has added to the average investor performing worse and encouraging bad investment behaviors

    Click to expand…

    source? cause not true otherwise.

    Duration- these should be a primary focus.

    Click to expand…

    why? this is a retirement account so the duration is assumed long.

    We are in a rising interest environment

    Click to expand…

    so? we will be in falling eventually, then rising again, then falling……

    what are the 5yr, 7yr, and 10yr returns?

    Click to expand…

    literally the least important thing. past results etc…..

    Ultimately you will want to make sure this even fits within a properly allocated portfolio and risk tolerances.

    Click to expand…

    this is the first normal sentence.

    Advisors portfolio was a positive  annualized return of +7.77%

    Click to expand…

    you cant just throw up numbers.

    my portfolio did +7.78%…..

    Advisors Portfolio: $3.381 million

    Click to expand…

    again. throwing up random numbers.

    and also you would need to guarantee the next 19 years were the same…………………………….

    #180460 Reply
     Tim 
    Participant
    Status: Accountant
    Posts: 1095
    Joined: 09/18/2018

    Two issues:
    1) What are the funds to be invested in?
    2) How to evaluate the alternatives?

    Answer the first question carefully. The characteristics of each fund or etf are easily identified. Most individuals need a broad indexed exposure. Forecasting macro interest, duration of the bonds due date are ridiculously hard. You won’t find a bond trader running a bond portfolio or an underwriter. A financial advisor is in no better position to evaluate the future performance.

    If FA, wishes to “guarantee” the fantastic outperformance, what could go wrong?
    Geez.

    #180477 Reply
     orthodoc2018 
    Participant
    Status: Physician
    Posts: 39
    Joined: 07/18/2018

    I’m inclined to ignore pretty much everything you’ve written.  You’re example is to suggest that a financial advisor’s cherry-picked stock portfolio so dramatically outperformed the market during the 2008 decline and that you think you can guarantee that for the long run?

    I may be a newbie but needless to say, my BS meter is lighting up like crazy.

    I’ll stick with FXNAX for my bond allocation…

    #180486 Reply
    Liked by ZZZ, Peds, jacoavlu
    Zzyzx Zzyzx 
    Participant
    Status: Physician
    Posts: 103
    Joined: 09/24/2018

    current fidelity bond index funds:

    https://fundresearch.fidelity.com/mutual-funds/category-performance-annual-total-returns/BNDIDX

    fxnax = swagx = vbtlx

    It’s psychosomatic. You need a lobotomy. I’ll get a saw.

    #180516 Reply
     ZZZ 
    Participant
    Status: Spouse
    Posts: 178
    Joined: 06/18/2018

    “I’m inclined to ignore pretty much everything you’ve written.”

    Kudos to you orthodoc, by your own admission you’re new at this, but you can already call out the lame financial advice salesman offering up anecdotal cherry picked data. If only you would pay him 2% AUM, he’d guarantee you market doubling returns in perpetuity…

    #180618 Reply
    Liked by Peds, Tim
     orthodoc2018 
    Participant
    Status: Physician
    Posts: 39
    Joined: 07/18/2018

    Wait a second, I didn’t realize they could get me DOUBLE market returns!

    That may actually be worth 2%!

    #180630 Reply
    Liked by rmecc001

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