Related Posts
How is work life balance in Harman?
What makes a good nurse?
How to apply for on-site opportunities
Please give ur suggestions
Additional Posts in Consulting
Help me unlock chats.
What do y’all like to do on the weekends?
Damn today was long. Happy hump day my fellow 🐠
New to Fishbowl?
unlock all discussions on Fishbowl.
Given a 10+ year time horizon, safe bet is always one of the index etfs: qqq, dia
VT/VTWAX
I’ll DM my Venmo deets
Keep 6 months of expenses as an emergency fund, then I would invest the rest in some sort of index fund (vanguard has a lot of great low fee options). With indexing, you are basically buying a piece of the economy.
I concur, u definitely need 6 months of emergency fund in hight interest saving account especially during this unprecedented time. And rest u can put in different etf or index fund if u r new in stock.
And also, cash under the mattress / in a bank is almost always the worst option, unless you have liquidity issues
Open a Schwab brokerage account, checking account, and Roth IRA. Keep 6 months of living expenses in that checking account or a savings. Put 6k in a Roth IRA this year and next (if you make under the Roth income contribution limit). Put the rest in the brokerage account.
Within the Roth and the brokerage account buy some index funds. I’m roughly at a 90% in SWPPX/ VTI and the 10% some Schwab bond market index. If you’re want some more skin in the game and want a more active role, take 5-10% and stick it in some direct stocks you like. Idk, tech, high dividend, utility, Nat resource, consumer goods, etc.
Also make sure you’re maxing out your 401k. You should putting 19500 a year in there if you can.
Obviously this is just me and I don’t know you your situation. Just what I’d do. This approach is pretty simple, and relatively robust. If you’re willing to stay in the market for a while.
Check out bogleheads, it’s a low effort approach. Some like it some don’t.
Google the boglehead three fund portfolio
Basically just buy vti/vxus. In 10 years buy bnd
Market is overvalued but with a long enough horizon you need to find ways to beat inflation. If I was in your shoes, I’d put first $10K in S&P 500 (VOO), $5K in small/mid-cap index ETF (Russell 2000; VTWO), $5K in value ETF (VTV), $5K in emerging markets ETF (VWO). Now with half in indexes, rest you can pick individual stocks you like and keep up with the news (i.e. Tech). You won’t be slinging like the guys who buy insanely risky options but you’ll sleep at night knowing your money is hard at work.
In current market, bonds don’t seem to offer the protection it used to... so the classic 60/40 or 70/30 (stocks to bonds ratio) doesn’t make much sense to me unless you substitute the inflation/equity hedge play with something like natural resources/inflation adjusted T-bills/etc.
Above is assuming you 50K is lying around after you took advantage of annual Roth 401K (at least up to match but more if able) and Roth IRA contributions. You can’t beat tax-free gains albeit you won’t be able to tap this until grey-haired. There are so many resources out there but www.lynalden.com has been extremely insightful for me.
You’re 24 put it in the s&p 500 and forget about it until you’re 40
Max out a Roth IRA for the year if you haven’t already. Then do it again in April.
Set aside 6 mo emergency fund in a high yield savings account (bonus points for setting a monthly auto withdrawal to continue to fund), ensure you are doing a enough 401k contribution for company match, Roth IRA at full contribution, 10k in an index to fund (I like vtsax on vanguard platform) to at least meet the threshold to do a automatic monthly buy at a dollar amount instead of by share. If you still feel you could be saving more, try to get max contribution for 401k (lofty goal)
s&p 500
I’d specifically recommend VOO etf. Set it and forget it
Chief
Tezla
Consult a wealth advisor... find a reputable one
Do you use one. Never found value in those
Wealthfront
NIO