Reply to As an advisor, into the shark tank...

Forum Index » Money and Finances

Reply to "As an advisor, into the shark tank..."

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous][quote]My only nit is just to note that there's a bit of a straw man being built though, as indexing doesn't mean having some simplistic asset allocation where you only own one fund. For example, you could give a very simplistic answer to the hypothetical question you posed and answer that everyone should put 1/3 of their money (dollar cost averaging) in each of a US total stock market index fund, international total stock market (ex-US) index fund and a total bond fund (rebalancing annually) and that person would have a decent allocation mix that has a very good chance of accomplishing their goals with low fees and low hassle, while also protecting against some of the bear market risks you're mentioning. You can obviously create much more complex allocations than that (and there may be sub-components of an allocation where it's easier to generate alpha versus an applicable benchmark - small caps or emerging markets, for example, where an active fund is more appropriate), but a simple strategy like that can actually be just fine for many people.[/quote]
NP here. I see I have a fellow Boglehead posting in DCUM[/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics