Meeting with my Financial Advisor

I have a large sum of money that I need to discuss with my FA. We are going to discuss where it needs to be put. At 40, do I go conservative or, in your opinions to I go high risk, high return? I am leaning high return. In your opinions, I have my own, what would you consider a high return? Just wanted to get some feed back. I could do 50-50.

TIA

 

60% stocks 40% bonds would be considered balanced at age 40.

80/20 if you want to get aggressive.

If you want to set it and forget it find a Target Retirement fund or Lifegoal fund

 

Definitely set it an forget it. Just want to maximize my return without going overboard. Thanks for the input.

 

A target fund would be your best bet then. You tell them your age and your risk comfort level and they adjust your asset allocation for you each year without you even thinking about it.


As you your previous question, what do I consider a high rate of return? I'd say 12%.

 

I will definitely mention this. See what he says. Again, thanks. So this would be more like an IRA vehicle or just a mutual fund?

 

It is a mutual fund, although those type of funds are offered in IRA's and 401Ks for the people that don't want to actively monitor theirs.

 

Not sure I want to go the IRA route, that is why I asked.

 

Bond funds will kick out a lot of income. Even if it's reinvested you've got to pay taxes. I'd check the IRA, unless you have one maxed out. Does your wife have one?

Index funds generally have LOW capital gains. Depending on the index, the income will be minimal as well.

If I'm you, I go 80/20 and I consider 18% HIGH return...but the risk associated with that is pretty damn high as well.

 

Blow off your advisor and put all ofit in VWELX.

 

Did you misunderstand my response? It is offered stand alone and as an option within IRA's and 401Ks