In article <f0e5a6c.0402271856.6589afee[at]posting.google.com> , zxcvar wrote:
- quote -

When you say stock, do you mean a mutual fund, such as index fund?

Or you have some speficic stocks in mind?

A reasonable rule would be to use a, say, 60% of one thing and 40% of
another. You would switch between 60% stock and 40% bond vs. 60% bond
vs. 40% stock, based on which is more, earnings of the companies you
invested in, per invested dollar, vs. yield of the bonds, per invested
dollar. Obviously you would want to avoid switching too often when
interest rates move, etc, but you get the idea. If stocks become more
expensive than bonds, you can buy more bonds, and if stocks are
relatively cheap, you buy more stocks. Tax considerations or
transaction costs may require that you do not switch too often, which
is fine.

i

Greetings! I am making a trust to give income to my wife & two
children after my death. I have to instruct the trustee about
investments.

What mixture of stocks and bonds shall I use? [a] 30% stock & 70% bond
or [b]50% stock and 50% bond or [c] 70% stock & 30% bond.With thanks.