DETAILS
Age: 30
Savings: 36.5K
Budget: 2,500/mo
401K contribution: 10k this year, 18.5K planned for next year (split Roth and Traditional)
IRA contribution: 5.5K (Roth)
Goal: Do the best I can in a goalless state while I wait for my goals to solidify.
PLAN
Emergency Account: 4K in Barclays Dream Account with 1K max contribution added monthly from income until 15K total
Target Allocation: 85% stocks & 15% bonds
Funds and Initial Allocation:
Brokerage
VBTLX: 12K
VTSMX: 3K (add monthly until I can convert to Admiral Shares (10K, VTSAX))
VTIAX: 12K
Brokerage IRA
VTI: 5.5K worth (convert to VTSAX in one or two years at max contribution)
Plan Initial investments are meant to optimize admiral share expense ratios. Ongoing contributions would be to first push everything into Admiral Share funds and then go for target allocation percentages.
Questions
1) What do you think of my plan? Please ask me any questions you might have. Since I'm new at this, I have done a lot of research but have no experience, so anything and everything is hugely helpful.
2) The only type of timing I think it might be possible and prudent for me to do would be to avoid phantom gains within the funds, however what is the best way to do this?
3) Nestle SA is the top holding in VTIAX and VTSMX's eighth holding is Exxon. I don't like what these companies have been doing lately. I don't support it. Do you think that buying these funds is contrary to my objective of doing well in the world if I believe that these companies aren't? I don't want my portfolio to be hamstrung either. One thing I thought was targeting an allocation of 15% conscientious investing, and then increasing that as I went on. What is your advice here?
4) The funds to which I am initially investing 12K have a 2K buffer to keep them Admiral Shares, do you think this is enough? Where I am placing 3K is also to meet a minimum investment, is this enough there too if I plan on no withdrawals and only deposits in the near future?
4a) Can I expect eligibility for conversion to Admiral Shares on VTSMX and VTI to VTSAX when I reach 10K in those funds per account.
5) What are my blind spots? What am I missing? I want my due diligence to be as close to perfect as possible.
6) Lastly, my research is both online and from my first investing book, Bogleheads' Guide to Investing 2nd Edition, which I read twice. What would be the good second investing book to read now, if my goal is just to always be reading investing books on the side of my regular reading diet.
THANKS /r/personalfinance!!
EDIT: formatting
Submitted November 09, 2017 at 11:40AM by L000 http://ift.tt/2hiHsu7
