On Mar 25, 2:10 pm, beliav...@[EMAIL PROTECTED]
wrote:
>
> Suppose you throw three darts, and they all fall on equity ETFs. Does
> that mean you put all your money in stocks?
> And if one dart falls on an equity ETF and the other two fall on bond
> ETFs, you are only 33% in stocks? I hope you don't really manage your
> saving in this manner.
That's a good point and I should have been more specific.
When I amass about 100x more than the buy and sell brokerage
commissions in savings (or about $2000), it's time to invest. Then I
throw one "dart". Given that the majority of ETFs are equity-based
and my age, it's OK for me. I do this for both Roth IRA and regular
savings, not counting plain money-market savings as the emergency
fund.
In my 401k, I just invest in the age-based fund.
In both cases, the average return even after this slump is over 15%
per year for the past 5 years or so. I reckon I beat most
professionally-managed funds.
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