asset allocation

Reacting to a Stock Market Increase

by Michael on Jan 8, 2014 · 2 comments

A reader named Jorio recently wrote in to ask: The stock market has skyrocketed. How can I harvest some of the gains and protect them from a “bubble burst”? Indeed, 2013 saw a huge runup in the stock market, with the S&P 500 rising nearly 30% and the Dow increasing […]

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Setting Financial Goals for 2014

by Michael on Jan 1, 2014

Welcome to 2014! I’m not sure about you, but we don’t have any major, life-changing resolutions for the year ahead. That said… We do have some financial goals for the next 12 months. What sort of goals? Since we don’t have any debt, we’re primarily focused on our investment accounts.

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In case you missed it, Vanguard recently released data looking average portfolio size and stock allocation as a function of age. It’s an imperfect analysis in that it focuses on retirement plan participants at Vanguard. Thus, it’s a non-random sample and limited to defined contribution plan holdings. But still… Those […]

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As a followup to my Betterment review, I just wanted to highlight a recent change in their investment strategy. In short, they’ve decided to modify their bond allocation to increase diversification. They’re doing this through the inclusion of a broader selection of domestic bonds as well as the addition of […]

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Our Asset Allocation Spreadsheet

by Michael on Aug 14, 2013 · 3 comments

Okay… As requested, I’ve pulled together a generic version of the asset allocation spreadsheet that I mentioned in my post about deciding when to rebalance. While I keep mine in Google Docs, I discovered some limitations that impacted the flexibility of the spreadsheet when I was building the generic version […]

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I’ve talked in the past about why you should rebalance your portfolio. In short, you do so to maintain your desired risk profile. But how do you decide when to rebalance? While it’s good to keep things in check, there’s no sense in going overboard. While some rebalance at set […]

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Over the past week or two, I’ve been playing around with a new (to me) online investment tracking service called Personal Capital. If you haven’t heard of it, it’s sort of like Mint, but with a focus on investing. Whereas Mint seems to target people who are just starting out, […]

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How to Handle a Windfall

by Michael on Jun 3, 2013 · 12 comments

A couple of weeks ago, someone won a nearly $600M jackpot — though it was “only” $380M if they took the lump sum cash option. And then, a few days later, the news broke that Yahoo! was buying Tumblr for cool $1.1B, making their founder fantastically wealthy. Time and again, […]

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