Hi All - This is so embarrassing that I'm here asking for help but c'est la vie.
I'm a CPA/MBA and have been managing me and my wife's money since we graduated college in 2008. In that time I've invested almost exclusively in SPY & VTI. As you all know the market has been good to us! Crazy run up over the past decade which coincided with the start of our careers and a lot of time as DINKs. I always felt comfortable going 100% into those types of ETFs since I had a long horizon and the daily/weekly/monthly/annual gyrations of the market didn't really matter to me. These questions are sort of embarrassing because I'm (1) educated in this stuff, (2) keep up with the markets, and (3) always am the "expert" friends/family come to for advice.
With that said I have two questions for this group:
- We're looking to buy a lake house in 5ish years (when two kids are out of daycare). I need to build a portfolio to get to about $100k by then but feel that going 100% into VTI is too much risk for such a short horizon. I'm going to seed it with about $10,500 and will be adding $500/month plus bonuses, etc. What are people's thoughts about this portfolio? Proposed $10,500 portfolio to start. With such a short-term target it probably isn't smart to dump it all into VTI/SPY and let her run but at the same time I don't want to go overly conservative.
- Am I foolish for having almost all of our investments in some type broad index funds? (VTI and/or SPY):
- $25k emergency fund
- $25k kid's 529s (age 4 and 1)
- $300k in Roth/Trad IRAs (rollovers from old jobs)
I honestly wasn't even thinking about the second question until I started to think about the first.
Thank you so much in advance to this group!
Submitted August 24, 2018 at 09:32PM by MattyD85 https://ift.tt/2LrDv2V
