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The 6 Best Vanguard Index Funds for 2019 and Beyond
Investing icon Warren Buffett advises investors to stash 90% of their money in a Standard & Poor’s 500-stock index fund and keep the rest in short-term government bonds. That’s a good start for investors who want to keep things simple, but it limits your investments to large U.S. companies. So today, we’ll show you how the best Vanguard index funds can add more portfolio diversification while still keeping your strategy simple.
As an aside, a pretty well diversified low volatility (OMG), managed (OMG) fund, VMVFX beats all of the listed funds since its inception except one. The exception is barely being beat out by the SP500 fund. I realize one of the funds is a bond fund. So, what makes those funds so great for 2019?
“Investing icon Warren Buffett advises investors to stash 90% of their money in a Standard & Poor’s 500-stock index fund and keep the rest in short-term government bonds.”
Anybody know what degree of truth this statement attributed to Buffet holds? I was aware that he shifted all or most of his retirement funds to something like that nearly a decade ago, in part, because he wanted to simplify things for his wife to manage after his death.
If Buffet made such a statement directed at all investors (1) I’m not aware of it and (2) it would be preposterous advice because each individual’s situation is unique. If I had 90% of my retirement savings in the S&P 500 I’d be always on “pins & needles”, unable to sleep and, perhaps, standing out on a NYC ledge during one of those single-day thousand-point dips in the Dow.
Back to Buffet - When people have amassed mega-millions it sometimes causes them to invest / view risk differently than most of us small-fry. Some avoid the risk of stocks completely and move into bonds, thinking they can survive the remainder of their lives on what they already have. Others, like Buffet, are content to go with the averages and remain heavily invested in equities.
Comments
Anybody know what degree of truth this statement attributed to Buffet holds? I was aware that he shifted all or most of his retirement funds to something like that nearly a decade ago, in part, because he wanted to simplify things for his wife to manage after his death.
If Buffet made such a statement directed at all investors (1) I’m not aware of it and (2) it would be preposterous advice because each individual’s situation is unique. If I had 90% of my retirement savings in the S&P 500 I’d be always on “pins & needles”, unable to sleep and, perhaps, standing out on a NYC ledge during one of those single-day thousand-point dips in the Dow.
Back to Buffet - When people have amassed mega-millions it sometimes causes them to invest / view risk differently than most of us small-fry. Some avoid the risk of stocks completely and move into bonds, thinking they can survive the remainder of their lives on what they already have. Others, like Buffet, are content to go with the averages and remain heavily invested in equities.
Derf