Why doesn't this board have 'rate my portfolio' threads like Veeky Forums has 'rate my routine' threads?
I'm gonna start investing this year, have about $20k to start and can add another $10k per year after that.
In structuring my portfolio, I was thinking something along the lines of:
SPY (S&P 500 index fund)
VBR (small cap value index fund)
STZ (alcohol company)
real-estate investment trust, perhaps AAT or PSB
international/european fund TBD
Reasoning:
SPY is obvious, it's had consistent returns since it started and it tracks the largest companies of the largest economy in the world.
VBR: small value stocks have outperformed large growth historically, although at a higher standard deviation. Also provides some additional diversification within the American market.
STZ: low correlation with the above assets, will live through any economic downturns because people love to get their drink on regardless. Has some wild ups and downs but on a long enough scale, that shouldn't make a big difference.
REITs: low correlation with all the above, relatively stable returns.
international/European fund: I'd like to diversify outside the US as well, but haven't done much research yet, any advice welcome.
The percentages are not decided, but the safer assets will probably be represented more.
What does Veeky Forums think? I realize this is novice stuff, but that's because, well, I'm a novice.
