Is a vanguard target retirement fund a good place to invest?

>>1803401

It is better than nothing. The concept is simple, since you are young, your target retirement is probably going to be like 2050 or something, in which they will put a majority amount of your funds into agressive funds such as stocks and a small amount into bonds and then readjust these ratios to put more into safe investments as you get closer to the year.

>>1803401
70% VOO
15% VO
15% VTWO

my personal mix. The target retirement plans are not agressive enough for me.

>>1803407
Not bad for your domestic allocations, but you're missing internationals entirely. I know they've been down the last three years or so, but you should know that's not a valid reason to exclude a core asset class (especially since they've been bouncing back nicely recently).

>I'd lecture you about taking a modest allocation to bonds, but I feel like that would be a waste of time with you.

>>1803539
Please lecture me instead senpai, im all ears.

>>1803549
Bonds provide a measure of diversification and stability to a portfolio. While some bond returns have been modest in recent years, historically bonds have been a stable, respectable earning class. And even today, some bond classes have notable returns, especially given their low risk. (Protip: not all bonds are the same.)

So bonds can help protect your portfolio in the inevitable times when equities are underperforming. They won't eliminate the lows, but they'll make the lows less low.

That being said, a young person probably shouldn't be allocating more than 10-20% to bonds. It's enough to get the benefits, but the long term growth you get from stocks is more important as long as your investment horizon is long enough.

>>1803564
Different poster senpai. But I am a Canadian so should I get some Canadian/USA/International bond ETFs? Or just stick to my country?

Secondly what about emerging market ETFs right now?

>>1803567
>But I am a Canadian so should I get some Canadian/USA/International bond ETFs? Or just stick to my country?
Most of your bonds should be in your home country, as long as you have a relatively stable economy and a capable central bank. However, a modest allocation (10-20%) to bonds outside your country may provide some diversification of interest rate risk, because not every country is following the same fiscal policy at the same time.

>what about emerging market ETFs right now?
Emerging markets are an important, but riskier, subset of non-domestic equity. It has its place in a well-constructed portfolio, but probably not more than a small allocation or as part of a unified international or global fund. Emerging is probably the most risky and most volatile equity allocation in the traditional asset allocation model, but there's no evidence that overweighting into it necessarily increases your overall long-term returns.