I will go:
Cash - 25%
Company Rsu - 28%
Index funds - 29%
401K - 16%
Individual stocks - 2%
Crypto - 0
Real estate - 0
Debts - 0
I just started out sometime back and wanted to know what is the general trend. Thanks :)
Edit: Age- 24, total value- $130k
I will go:
- If you are just starting out and have a long time horizon consider upping your risk by getting more cash into stocks and individual stocks.
- 10% rsu
40% retirement funds, almost all sitting on cash instead of index/mutual funds
25% cash in savings/CDs
I trade on my retirement account, have it deployed only a few a year if I spot a trade I want to take.
- You’re very similar to me.
There seems to be a religion nowadays of the “right” financial strategy (e.g., 100% passive equity index fund if you’re in your 20s).
IMO, that kind of thinking is short-sighted and reflects surface-level understanding of finance. It fails to take into account the possibilities of Black Swans, that the past never predicts the future. It’s the result of bad math, basically a macroeconomic view of the world.
Good luck to that religion, but It’s much more rational to be conservative with your wealth, even if you give up some theoretical average gains based on BS macroeconomics and bad logic.
- When that stuff is expounded by top investers like buffet, it's worth considering. And does work for most people who would have otherwise done active investing funds, or are emotional traders (most people, it's hard not to be at first. Hopefully don't blow all your money in beginning period).
But indexing's underlying thesis is that the US economy will go up overall. Indexing would not have worked for the Japanese market, or any other country that has been stagnant for the last 20-30 years.
- Anything less than 100% VOO can be proven long term inferior. There is a google tech talk about this.
- 2.5 years experience
50% equity in real estate asset (Seattle)
15% employer stock
10% Facebook (I know, f**k me) VGT, AMZN, Xilinx
25% 401k in US large cap index
Few hundred bucks cash (precarious, gotta change this).
- 60% real estate
Thinking about moving money out of stock into something more valuable :)