what type of index funds do you own and reccomend

Clocker

Golden Member
Sep 17, 2000
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I cant decide between Vanguard or Fidelity. What are your picks and why. For myself I think i will stick with passive investment strategies.
 
Dec 10, 2005
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I use Vanguard, but not through my choice, just happens to be what my dad uses and set one up for me.
 

FP

Diamond Member
Feb 24, 2005
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Vanguard FTW.

Their S&P 500 fund is great. My index fund investments are spread 40% S&P500, 30% small caps and 20% foreign.

Oh and dollar cost average if you can.
 

DaveSimmons

Elite Member
Aug 12, 2001
40,730
670
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VFINX, VEXMX, VGTSX, grow!

VEXMX and VGTSX are good choices to put into your tax-sheltered accounts (Roth IRA & 401k rollover), while VFINX in your non-sheltered account will have lower capital gains to pay every year.
 

alrocky

Golden Member
Jan 22, 2001
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Domestic:
Vanguard Total Stock Market Index Fund Investor Shares (VTSMX)
or
Vanguard 500 Index Fund Investor Shares (VFINX)
Vanguard Extended Market Index Fund Investor Shares (VEXMX)

International:
Vanguard Total International Stock Index Fund (VGTSX)
which is comprised of --
1 Vanguard European Stock Index Fund (VEURX) 58.3%
2 Vanguard Pacific Stock Index Fund (VPACX) 26.9%
3 Vanguard Emerging Markets Stock Index Fund VEIEX) 14.8%
or
those 3 funds separately
or
Vanguard Developed Markets Index Fund (VDMIX)
and
Vanguard Emerging Markets Stock Index Fund Investor Shares (VEIEX)

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or
Vanguard Target Retirement 2050 Fund (VFIFX)
which is comprised of --
1 Vanguard Total Stock Market Index Fund 71.8%
2 Vanguard European Stock Index Fund 10.7%
3 Vanguard Total Bond Market Index Fund 10.1%
4 Vanguard Pacific Stock Index Fund 5.2%
5 Vanguard Emerging Markets Stock Index Fund 2.2%

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A 2 stock fund portolio:
(VTSMX)
(VGTSX)

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(VFIFX) or any similar TR fund from another mutual fund company should be okay.



 

DaveSimmons

Elite Member
Aug 12, 2001
40,730
670
126
> (VFIFX) or any similar TR fund from another mutual fund company should be okay.

For IRA and rollover IRA accounts I'd avoid this (with its 10% in bonds) in favor of their pure stock index funds.

Chances are most jobs with 401ks will have second-rate stock funds, so you can put more into the bond funds in those 401ks to reach whatever overall amount you want in bonds, while leaving your permanent investments in the best possible stock funds.

That is if you want 10% of your total investments in bonds, keep 100% of your IRA money in stock index funds, while putting 20% or more of your 401k contributions into a bond fund to make up for it.

(This is based on my opinion that having second-rate bond funds does less damage than second-rate 401k stock funds)