Which Vanguard index funds to pick?

Apple n0name
Aug 15 40 Comments

I have about $50-60k cash that I want to invest and need to create a three fund Vanguard portfolio. I plan on keeping my money in Vanguard for about 5 years. I willing to keep the risk factor as 7/10. So far on the basis of my research I found that the following index funds are popular and can profitable in long run:

VFIAX
VTSAX
VTIAX
VIGAX
VGSTX
VBTLK

Please correct me if I am wrong and please share your input as well. I can really use some help in picking the right funds from the experienced folks who have been investing for long time.

Update: I have invested about 20k in technology stocks via robinhood. Still holding my RSU and ESPP apple stocks as well. Maxing out 401k and contributing max to ESPP as well.

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TOP 40 Comments
  • Cisco / Eng
    halalguys

    Cisco Eng

    BIO
    Tech Bro
    halalguysmore
    Why on earth would you enter the market right now? Wait to invest until the recession hits then hold for the next economic boom and sell off and buy real estate. Jesus 🤦‍♂️
    Aug 15 21
    • Samsung
      SamDouche

      Samsung

      PRE
      Samsung Electronics
      SamDouchemore
      Maybe ask your dad to predict the market then? If I were Gordon gecko then I wouldn't predict, I'd manipulate lol.
      Aug 15
    • Amazon kudobear
      Based on previous 100 years track record, the best time to invest is always now.
      Aug 15
    • Cisco / Eng
      halalguys

      Cisco Eng

      BIO
      Tech Bro
      halalguysmore
      Yeah invest before a recession. Great idea
      Aug 15
    • Amazon kudobear
      I only care about data, and track records. Based on that invest and forget is always the best bet. Timing the market usually yields much worse result. If you can time the market, you won't be here. You will be spending all you money buying 100x leveraging options.

      If you believe in recession, just make a huge short now, no one is stopping you and you sure will be making a ton of money
      Aug 15
    • Tableau / Eng Hanrahan
      @halalguys:. If a recession is so sure to come soon, wouldn't it be already priced in? Of course there will be a recession eventually but no one, yeah even you, can predict if it's weeks or years away.
      Aug 15
  • Samsung
    SamDouche

    Samsung

    PRE
    Samsung Electronics
    SamDouchemore
    VTSAX and chill
    Aug 15 8
    • Apple n0name
      OP
      I want to diversify a bit and make a three fund portfolio. Can’t handle high risk. Which other two would you recommend to mix with VTSAX?
      Aug 15
    • Intel Esoteric
      70% VTSAX
      30% VTIAX

      And chill
      Aug 15
    • Samsung
      SamDouche

      Samsung

      PRE
      Samsung Electronics
      SamDouchemore
      Define risk. VTSAX and VTIAX are still stocks. If you want to diversify, buy bonds directly from treasurydirect. Don't buy bond funds. They are pointless, really.
      Aug 15
    • Apple n0name
      OP
      My initial idea was:
      VTSAX: 65%
      VTIAX: 25%
      VBTLK: 10%
      Aug 15
    • Samsung
      SamDouche

      Samsung

      PRE
      Samsung Electronics
      SamDouchemore
      I am 100% VTSAX.
      Aug 15
  • Amazon / Eng n0v
    Vwahx. Tax advantage bond fund. Good thing for the environment we are in now.
    Aug 15 0
  • LinkedIn condomini
    Taxable accounts:
    VTSAX
    VTIAX
    VWITX + VWLTX + VMLTX

    Tax-advantaged
    VTSAX
    VTIAX
    VBTLX

    If you want small-cap-value tilt (higher returns long term), add VSIAX to each.

    And keep in mind, rebalance yearly

    Read about 3-fund portfolio (with small-cap-value tilt) here: www.firetobiz.com/investing-basics .
    Aug 15 1
    • Apple n0name
      OP
      Just read the post, thanks for sharing!!
      Aug 15
  • Shell / Supply/Log sweetbruh
    If you’re thinking longer term, don’t try to time the market, just keep throwing money in it and eventually it’ll all even out. Yeah you can try to time it and get lucky, but you could also miss the boat by sitting out
    Aug 15 0
  • Oracle / Eng aham
    Vfiax - this is s&p 500 right? If so that's good
    Aug 15 0
  • Microsoft jimmychoo
    Average dollar for a period which equals 1/3 * "investment term". Yes lower rewards, but also not trying to time the market and lose out big time.
    Aug 15 2
    • Apple n0name
      OP
      Can you please elaborate? I am not sure if I am following what you are trying to say.
      Aug 15
    • Microsoft jimmychoo
      Average dollar investing is investing/buying a fixed amount of stock/etf/something on a regular cadence. For example you could buy the etf you want every month thus dampening the risk of market volatility or short term trends. However the results it yields are lower when compared to the "market" timing approach when you get to time it adequately. And the 1/3 is basically the period over which you want to dollar invest. Of course you can dollar average invest all the way through your investment term, but the last batch will not yield any significant results. But if you're not sure of whether you will stop investing then you can carry on forever. However, I assume you want to increase the value of your cash sooner rather than later (i.e. not invest the 50k over 5 years) hence why I suggested you do it for a shorter period of your investment term.
      Aug 16
  • Lyft done2
    None
    Aug 16 0