On Feb 1, 6:57 pm, "jIM" <noreplysoc...[at]hotmail.com> wrote:
- quote -

I'd half to check the index definition, but from memory (I am anchored
a bit here by the UK, where 60% of the index is 20 stocks) the total
market index is about 70% of so SP500, 20% or so mid cap, 10% small
cap.

"joetaxpayer" <joetaxpayer[at]nospam.com> wrote
- quote -

The above is in the vein of my thoughts: Tracking so many
funds takes so much effort, and I bet with no perceptible
advantage, that it will pay to consolidate.

- quote -

Remember my caveat that evidently the dividends of foreign
funds or stocks held in a taxable account may not have the
favorable treatment that domestic stocks and funds do. I am
not selling the one stock (Honda, or HMC) that I have
because someone (Japan) is taking 7% of every dividend it
pays, but I am mulling it all over. 'Sides, the stock has
appreciated greatly in the eight months I have held it.
This, with Ford and General Motors looking more tortured
everyday, always disuades one from selling /too/ quickly.

dan wrote:

- quote -

Overlap obfuscates the true allocations. Let's say the particular funds
were all just .1% expense. Would having a Fidelity and a Vanguard large
cap fund be so terrible? Maybe not, but what does it gain you?
Where I really wondered was on the 4 in 1 fund, and a couple others, all
from Fidelity, where the overlap was enough so that you couldn't just
look at funds at say "I have X% in this category".
If the ideal timing for reallocation is annually, your current number of
funds would take twice to three times the effort to reallocate as
compared to the 12 or so funds that can have you well diversified.

As others have stated, you may want to shift over time so the higher
dividend funds are in post tax accounts, along with foreign. As Elle
shared today, the foreign tax issue winds up costing you if in a tax
sheltered account. Same with dividends which are favored in post tax
accounts, but ordinary income when coming out of the pre-tax accounts.
JOE

On Feb 2, 1:25 pm, "dan" <dan.gos...[at]gmail.com> wrote:
- quote -

Do you know why you own each of those 33 funds? Many of them have
similar holdings. (How many of those funds have a top 10 position in
Microsoft, for example?). If you ask the right questions and are
willing to read about 6 hours of material, I think you could come up
with allocation yourself (and help from others).

The second step of implementing can be done over time. Do you have a
net "gain" or "loss" in the taxable account? IRAs and 401ks do not
matter. But a large gain in the taxable account might cause some
recomendations to be altered (as any sale would get taxed).

questions to ask-
how long do you have until retirement?
how much money have you saved for retirement?
how much money will you need at retirement? quick calculation- take
your current salary and divide by .04. That is a crude estimate at
best, but a place to start.
how much stocks and bonds do you feel comfortable holding? Answers
might be 100-0, 80-20, 60-40 or something else (the numbers are
percentages of stocks-bonds).
if you saw your account balance decrease by 10% in a quarter, what
would you do?
if you saw your account balance decrease by 25% in a quarter, what
would you do?
find a web site you like (such as http://www.troweprice.com/retailHome...ilHome,00.html)
Use "Investment guides and tools link) and use "retirement planning"
link. Go through the calculators or ask questions as appropriate.

Thanks, I'm going to review all the allocation tools. I'm wondering
if I should just pay someone to sort it all out as im getting a little
overwhelmed

What are the downsides to the overlap?

"Jose Bailen" <jose.bailen[at]gmail.com> wrote in message
news:1170427472.602538.216940[at]v45g2000cwv.googlegroups.com...

- quote -

I believe that ifa.com is the website of a financial advisor, so what you're
saying doesn't contradict what I said.

jIM wrote:

- quote -

This may be the source of our difference of opinion, but...

- quote -

I think the consensus of this group is that your asset allocation should
be considered across all your assets, regardless of account type (some
have extended that to include your home and even your job [human
capital]). Of course, I am NOT suggesting that short term funds should
be kept in a tax advantaged account. My point was that if the OP needs
$10,000 to satisfy his allocation and already has $50,000 set aside in a
savings account, why keep $10,000 in cash in a retirement account? It
seems that if you look at his portfolio as a whole (i.e. including the
$50,000 in savings), then his savings will serve as a volatility damper
without adding another $10,000 lead weight to his return. When he
consumes the $50,000, he could shift assets into cash in his retirement
accounts. All this of course assumes that he a) has an allocation that
demands a "cash" position, and b) has appropriate instruments available
for that short-term cash. In other words, if he needs CD-like return
for his allocation, then a CD or other vehicle of short enough duration
to meet his short-term needs is available.

-Will

On Feb 2, 1:37 am, "Andrew Koenig" <a...[at]acm.org> wrote:

- quote -

You can buy these funds through the web, through Index Funds Advisors
(http://www.ifa.com/). You have to invest a minimum of 100K, and they
charge you a 1 percent fee though.

I created my own small/micro cap value diversified portfolio of 28
stocks of undervalued companies with relatively strong earnings
record. Buying these stocks cost $224 (through Fidelity), and re-
balancing periodically the portfolio may add about 100 bucks a year.
The portfolio composition is available at http://groups.google.com/group/small...ap-value?hl=en
(files section).

On Feb 2, 7:38 am, "jIM" <noreplysoc...[at]hotmail.com> wrote:
- quote -

I agree jIM that international is probably an important sector(s) that
has been overlooked here. The OP is diversified across the US markets,
but diversification could be extended even further. The inevitable
overlap of 33 funds should also be corrected.

- quote -

All this tax talk and nobody is touting ETFs? Of course, sales in a
taxable account will still be subject to cap gains/losses. ETFs track
a sector and/or an index so 6-8 funds could thoroughly diversify the
OP. AVERAGE expenses are .09% as compared to 1.4% for mutual funds.
There are brokerage transaction fees but they can be minimized in
todays competitve online trading world. They trade midday (no missing
out on an intraday price climb). They are usually more tax efficient
than MFs as they don't spin-off capital gains. And although it
probably doesn't apply here, they can be margined and/or optioned.

On Feb 1, 7:37 pm, "dan" <dan.gos...[at]gmail.com> wrote:
- quote -

I second Joetaxpayer- there appears to be LOTS of overlap. I would
eliminate overlap

I would backup and re-read this thread. Start with the 401k and IRA
(non taxable transactions). Come up with an allocation model.

The 50% large cap, 35% mid cap and 15% small cap equity allocation
you have is good (from other threads), fewer funds would be my
recomendation. International was not discussed in those threads, so
maybe 35% Large cap, 20 % mid cap, 10% small cap 25% international
large cap and 10% international small cap might be more appropriate
for discussion purposes.

For large cap, consider putting 50% overall into FSMKX, Fidelity
Value, or some type of equity income fund.

For Mid cap, consider putting 35% overall into FSTMX, Alger Mid Cap
Growth or another Mid Cap fund or two. If you want sector funds,
divide the 35% into the sector funds you like.

For small cap, look at FSCOX, FID SM CAP INDEPEND or something else.

For international, consider one broad fund (like FSIIX or FID
DIVERSIFIED INTL).

Anything you sell in your taxable account will be a taxable event, so
maybe some research into which funds are tax efficient prior to
undertaking this would save you some money. Not sure what direction
you are trying to go... but handling 33 funds is not easy.

dan wrote:

- quote -

Yup, that was alot. 3 stocks and 33 funds? If you owned 36 stocks, well
chosen of course, I'd think that was about right. Well chosen would mean
they are diversified among many industries as well as large cap/small
cap, etc.
I can't help but wonder if the funds you have are not overkill, that
they overlap enough that many can be eliminated.
Wouldn't international overlap with Latin America and China? Isn't Latin
America an emerging market, therefore overlapping that fund?
I like China. I was in the FXI ETF up 83% last year. And I continue to
believe that overseas diversification is good, as does Jeremy Siegel
"Stock for the long run" and "The Future for Investors" author.
I'd also question including Fidelity Four-in-One Index Fund, it has
"approximately 55% in spartan 500 index fund, 15% in spartan extended
market index fund, 15% in spartan international index fund, and 15%
fidelity U.S. bond index fund." But you already have an index, and
international represented. So why this fund?
I do understand the inclusion of the health or consumer funds, you feel
those sectors will perform. I don't agree or disagree there. I do agree
that the sector funds are a good way to approach a sector you feel will
outperform.
My overall observation is beware the overlap.
JOE

- quote -

Well, here we go, there's a lot so beware

401k:
20.12% FID DIVERSIFIED INTL
19.68% SPARTAN US EQ INDEX
10.21% FID SM CAP INDEPEND
10.09% JANUS ADV FORTY S
9.78% PNX I SM CAP VAL I
6.81% FIDELITY LOW PR STK
6.71% ALGER MIDCAP GRTH I
6.68% FID VALUE
4.95% FID CONTRAFUND
4.86% FID BLUE CHIP GROWTH
0.13% OPPHMR DEV MKTS Y

IRA:
CMGB CHIPOTLE MEXICAN GRILL
CRYP CRYPTOLOGIC INC
FHKCX Fidelity China Region
FLATX Fidelity Latin America
FEMKX Fidelity Emerging Markets
FFNOX Fidelity Four-in-One Index Fund
VTIV INVENTIV HEALTH INC COM

TAXABLE:
FCASH Cash
EWW ISHARES INC MSCI MEXICO FREE INDEX FD
FDFAX FIDELITY SELECT CONSUMER STPLES PORT
FDLSX FIDELITY SELECT LEISURE
FIEUX FIDELITY EUROPE
FIGRX FIDELITY INT'L DISCOVERY
FIVFX FIDELITY AGGRESSIVE INTERNATIONAL
FLATX FIDELITY LATIN AMERICA
FLVCX FIDELITY LEVERAGED COMPANY STOCK
FNCMX FIDELITY NASDAQ COMPOSITE INDEX
FNMIX FIDELITY NEW MARKETS INCOME
FPHAX FIDELITY SELECT PHARMACEUTICAL
FSAGX FIDELITY SELECT GOLD
FSCOX FIDELITY INTL SMALL CAP OPP FUND
FSIIX SPARTAN INTL INDEX INVESTOR CLASS
FSMKX SPARTAN 500 INDEX INVESTOR CLASS
FSTMX SPRTN TOTAL MKT INDX INVESTOR CLASS
PTE POWERSHARES EXCHANGED-TRADED FD TR DYNAMIC TELECOM & WIRELES
WFMI WHOLE FOODS MKT INC

"Jose Bailen" <jose.bailen[at]gmail.com> wrote in message
news:1170364579.183285.315230[at]m58g2000cwm.googlegroups.com...

- quote -

Available only through financial advisors.

- quote -

Closed to new investors.

- quote -

There's a 2% redemption charge, according to Morningstar--but they don't say
whether that's always or just for shares held for a short period.

- quote -

Closed to new investors.

On Feb 1, 7:40 pm, "dan" <dan.gos...[at]gmail.com> wrote:
- quote -

If you use the Yahoo mutual fund screener and look for top-rated small
cap value funds with a 5-yr average rate of return of at least 15%
(that's about the long-term rate of return of small cap value stocks),
you get 5 funds. Some of them may be closed to new investors, though
(the last figure is the 5-yr average rate of return of the fund, for
instance, 18.9% for DFA U.S. Small Cap Value ):

DFSVX DFA U.S. Small Cap Value Small Value 16 521.13 M 18.90

DFAVX DFA U.S. Small Cap Value II Small Value 15 521.13 M 19.21

FRMCX Franklin MicroCap Value A Small Value 7 237.52 M 17.25

HRTVX Heartland Value Small Value 6 414.95 M
16.50

SCMVX Schneider Small Cap Value Small Value 3 914.89 M 24.31

- quote -

My suggestion would be to outline which funds are where. Because some
of suggestions made would give tax implications (for anything you sell
in a taxable account).

On Feb 1, 1:40 pm, "dan" <dan.gos...[at]gmail.com> wrote:
- quote -

What funds/stocks do you currently own (which make up your current
allocation)? Are the funds stocks held in taxable accounts or IRA/
401k/ tax advantaged accounts?

On Feb 1, 1:40 pm, "dan" <dan.gos...[at]gmail.com> wrote:
- quote -

What funds/stocks do you currently own (which make up your current
allocation)? Are the funds stocks held in taxable accounts or IRA/
401k/ tax advantaged accounts?

On Feb 1, 1:53 pm, "jIM" <noreplysoc...[at]hotmail.com> wrote:
- quote -

Here's how it breaks down amongst the accounts:
Taxable account: 56%
401k: 37%
Roth IRA: 7%


======================================= MODERATOR'S COMMENT:
Please trim the post to which you are responding. "Trim" means that except for a FEW lines to add context, the previous post is deleted.

- quote -


- quote -

Why do you think OP is overweight in small and mid caps? 50% large
cap, 35% mid cap and 15% small cap for an equity allocation looks good
to me.

- quote -

I do not think $50,000 is part of "cash allocation" for a short term
need. If someone needs a $10k cash allocation, then another $50k cash
for a short term/ immediate need, I would not count the 50k as part of
the allocation model.

primary reason- if all assets for retirement are in a 401k/Roth/IRA
and the short term cash is in another account type (taxable), I would
not want to mix apples with rocks. The need is short term and the 10k
being discussed is part of 401k and not the taxable account.

If more retirement assets were in taxable accounts, then the point
above holds less merit.