Bond Breakdown by Risk (2yr)

First Post

Bottom Line Up Front - I'm looking for advice about bond allocation and specific individual and index bonds and bond funds. Is it even worth the effort versus a money market account?

I'm selling a couple homes and buying another in 2.5yrs (SEP2023). From the profits, I'd like to invest 40% towards stock indexes and 60% towards less-risky bonds. I plan to liquidate enough in 2 years to put towards my goals. My risk tolerance is aligned with my goals:

1. down payment on home and buying 2 cars - risk lowest (bonds) (35% of total)
2. buying the home outright
   1. -risk high (stocks) (40% of total)
   2. -risk medium (bonds) (25% of total)
3. continue saving
   1. second home - risk medium (bonds) (25% of total)
   2. retirement - high (stocks) (40% of total)

From the 60% in bonds, I want to ensure the first goal and give myself the best shot with the others. Assume $3k and higher buy-ins are possible with any and all. If there's a better way to search for these than Fidelity and Vanguard's websites, please let me know. I'm looking for diversity and high returns relative to the risk. Should I be looking for new issue bonds? I'm also hoping to do some laddering for the 3rd goals.

Bond Breakdown (60% of total)

35% of total - [Lowest] risk bonds

• Municipal
  • individual
    • WASHINGTON ST MTR VEH FUEL TAX GO BDS 05.00000% 02/01/2023SER. 2016D
    • TEXAS WATER DEV BRD ST IMPLEMENTATION 05.00000% 04/15/2023REV FD BDS SER. 2019A
  • mutual fund
    • SHM
    • FMBIX
• Treasury
  • individual
    • Individual - Series I Savings Bonds (treasurydirect.gov)
    • Individual - Treasury Bills (treasurydirect.gov) (2yr)
  • mutual fund -
    • FUAMX
    • VTAPX

25% of total - [Medium] risk bonds

• Municipal
  • individual
    • Mississippi DEV BK SPS OBLIG SPL OBLIG 05.00000% 04/01/2023BDS SER. A
    • ST JOSEPH CNTY IND ECONOMIC DEV REV REV05.00000% 04/01/2023REF BDS SAINT MARYS COLLEGE SER. 2017 A
    • SOUTH DAKOTA EDL ENHANCEMENT FDG CORP05.00000% 06/01/2023TOB SETTLEMENT REV TOB SETTLEMENT REV
  • mutual fund
    • VWAHX
    • OPTAX
    • GHYAX
    • MCEF
    • FTABX
• Corporate
  • individual
    • WEYERHAEUSER CO BOND 7.12500% 07/15/2023
    • TIME WARNER INC BOND 9.15000% 02/01/2023
  • mutual fund
    • VWEHX
    • VSCSX

Submitted May 09, 2021 at 11:31PM by conman253 https://ift.tt/3ewuiI1