I ended up going with a portfolio that took advantage of Vanguard Admiral Shares... VTSAX — Vanguard Total Stock Market Index Fund Admiral Shares — 40 % VSMAX — Vanguard Small - Cap Index Fund Admiral Shares — 10 % VTIAX — Vanguard Total International Stock Index Fund Admiral Shares — 35 % VGSLX — Vanguard REIT Index Fund Admiral Shares — 10 % VBTLX — Vanguard Total
Bond Market Index Fund Admiral Shares — 5 %
Not exact matches
Even if you are willing to accept some credit risk, and invest in something like the popular Vanguard Total
Bond Market Index fund, the SEC yield is only 2.05 % (2.17 % for
Admiral Shares, $ 10K minimum), still lower than the federally insured CD which has no credit risk.
Mutual
fund buyers can invest in Fidelity U.S. Bond Index Premium Class (0.05 %), Schwab U.S. Aggregate Bond Index Fund (0.04 %) and Vanguard Total Bond Market Index Admiral Shares (0.05
fund buyers can invest in Fidelity U.S.
Bond Index Premium Class (0.05 %), Schwab U.S. Aggregate
Bond Index Fund (0.04 %) and Vanguard Total Bond Market Index Admiral Shares (0.05
Fund (0.04 %) and Vanguard Total
Bond Market Index Admiral Shares (0.05 %).
The
bond fund returns are for the Admiral shares class, with a minimum investment of $ 50,000 for all funds compared here, except the Total Bond Market Index fund, which has a minimum investment of $ 10,
bond fund returns are for the
Admiral shares class, with a minimum investment of $ 50,000 for all
funds compared here, except the Total
Bond Market Index fund, which has a minimum investment of $ 10,
Bond Market Index fund, which has a minimum investment of $ 10,000.
The Vanguard Total
Bond Market Index Admiral fund has an expense ratio of 0.08 %.
The reported expense reductions include different classes of
fund shares, such as Investor,
Admiral ETF, Institutional, and Institutional Plus, for the 12 months ended Oct. 31, 2015; they also encompass seven
fund categories — international stock
index, international actively managed stock, international
bond index, domestic stock
index, domestic actively managed stock, target - risk and tax - exempt money
market.
I have a plan to get
Admiral shares of Vanguard Total US Stock
Market (ER of 0.06 %), then use the
bond fund and international
index fund in my 401 (k)(ERs of 0.04 % and 0.14 %) to round out my portfolio.