401k Optimal Rebalancing

Hey Jeremey,

I’ve been an avid follower on the recordings. My not get a chance to be on the zoom call if you select this question

Looking to get a bit of help on my 401k investment lineup. I’m a 30 year old guy and just signed a new 4 year contract to keep working for my current company (I’ve been here since I was 24). I cannot remember when I first started at my company if I had picked my 401k investment lineup myself or just went with the “recommended” lineup they provided. Either way here is what I have currently:

22% of portfolio - “International”
American Funds New Perspective R4
EXP % - 0.77

71% of portfolio - US
Vanguard 500 Index Admiral

7% of portfolio - Bonds
Vanguard Interm-Term Bond Index Adm

Looking to see if you recommend adding the Vanguard Small and Mid Cap index funds as well to my portfolio to get the “total” US market? (Or anything other changes) Seems like that is what you recommend doing from the course.

Thanks!

Not sure why but I seem to have trouble making any changes to my account on my own…nervous I’ll screw it up somehow

  • Side Note/Question *
    Expense Ratio seemed high on the international fund but I only have two other options:
  1. American Funds New World Fund R4
    EXP % - 0.94
    10 Year Return - 7.48%

  2. Vanguard Total Intl Stock Index Admiral
    EXP % - 0.11
    10 Year Return - 5%

Would you switch the 22% international to the Vanguard one?

-Ty

Hey Ty!

I covered this in office hours on 4/7/2021 with the recording available afterwards on the course site!

If you’re not signed up for office hours, you can sign up here.