I'm starting a new series on investing that I can share with my extended family members, most of whom have Schwab accounts but little understanding about investing.
Anything I write here is meant only for my extended family members and no other readers. It is a starting point for discussion among the family members. Nothing is written in stone. These posts will be updated as conditions change. They will be linked under the "Personal Investing" tab at the top of the blog.
Personal investing.
Buckets as of January 1, 2024. All information below subject to change at any time.
I have six "buckets" for new money:
- Big Cap
- Tech
- Big Pharmaa
- Energy
- AAPL
- MISC
New money allotments, re-evaluated every six months:
- Big Cap: 40%
- Tech: 30%
- Big Pharma: 10%
- Energy: 10%
- AAPL: 0%
- MISC: 10%
Within each bucket:
- Big Cap: DE, CAT, UNP
- Tech: NVDA, AMD, AVGO, QCOM, MU, TSM, AMZN
- Big Pharma: ABBV
- Energy: CHRD
- AAPL:
- MISC: BRK
Reminder:
I am inappropriately exuberant about the US economy and the US market, I
am also inappropriately exuberant about all things Apple.
See disclaimer. This is not an investment site.
Disclaimer: this is not an investment site. Do not make any investment, financial, job, career, travel, or relationship decisions based on what you read here or think you may have read here.
All my posts are done quickly: there will be content and typographical errors. If anything on any of my posts is important to you, go to the source. If/when I find typographical / content errors, I will correct them.
Reminder: I am inappropriately exuberant about the US economy and the US market, I am also inappropriately exuberant about all things Apple.
At age 80+, with 10% in Treasuries (first time in 50 years), here is how Schwab evaluates our holdings... Risk/Reward.
ReplyDeleteUs: 8.38% 6.06%
Aggressive10.39% 4.30%
Moderately Aggressive 9.05% 3.35%
Moderate7.47%1.86%
Moderately Conservative5.98%0.63%
Conservative4.10%0.15%
Short Term2.43%-0.23%
A great example, unless I'm missing something, why people like me and my extended family members should leave investing to the professionals.
DeleteIt will be interesting to compare Treasuries bought on Monday with NVDA bought on Monday a year from now.
DeleteNo comparison! Of course NVDA will out-shine Treasuries.
ReplyDeleteBut, at our stage in life (age 80+) our risk/reward profile looks pretty darned good compared to a whole lot of folk.. Notwithstanding some pretty serious medical hits going forward, I'm inclined to think our portfolio will stand the test of time. Crazy or what? We have over 80 securities in our combined portfolios. And you know what? It looks almost like the S&P indices.
So, I'm thinking... maybe Schwab, and a whole lot of other folk, are more interested in making your money theirs than they are in making you more money~
Like the first rule is boxing, and particularly true here.."Protect yourself". Rest assured, none of these "investment" advisor" [even the fiduciary guys] really have your best interest at heart.
My notion has always been: If you are fortunate, keep your investments into two pools. (1) the amount you realistically expect to need for your remaining live span and (2) the rest as if you were twenty years old!
Old folk, like us, tend to hold back assets until they meet their maker. Crazy notion... why bequeath substantial sums to "children" who are 70 when we are deceased? Madness, I'm suggesting.
If you have a secure retirement (like most military retirees do), give it know and what how they spend/invest/waste it.
Crazy notion, eh? But that is what we'll be doing.
Keep the Faith.
You brought up at several issues:
Delete1. 80 tickers in a personal portfolio.
2. Be careful of Schwab.
3. When to start transferring portfolio assets to heirs.
I will address all those issues in my new "series" on "personal investing."
Actually, you might reconsider. Our risk/reward profile seems to suggest we're doing at least as well as the "professionals". Truth be known, we're about on par with the S&P 500; so maybe old Warren Buffet is not as terrible investor as you seem to be suggesting these days.
ReplyDeleteAnd so it goes from the Grouch~
I'm thinking; forget the "professionals". Chart your own course and you'll probably do better than the "talking heads" would misdirect you into believing... Key word? Think!!!
ReplyDeleteYou raised two issues:
Delete1. Doing better than the "professionals" / "talking heads."
2. Comparing one success with the Jones-es.
I'll address these "issues" with my new "series": "personal investing."
You raise three issues:
ReplyDelete1. Comparing one's success with the "Jones-es."
2. Warren Buffett -- BRK: I go back and forth on BRK / Warren Buffett.
3. Being content / happy with matching the S&P 500.
I'll address all these issues in my new "series" on "personal investing."