I’ve been learning about personal finance since the start of the year. Right now, I’ve set up my portfolio as 75% Vanguard Information Technology Index Fund (VGT), 15% Vanguard Financials Index Fund (VFH), and 10% in a single company stock (something I held before investing in VGT and VFH). I’m 45 years old.
I’m still figuring out what my asset allocation should look like long-term, so I’d love to hear how others are investing. If you’re comfortable, please share the ticker symbols of your investments.
Morgan said:
I’m in my mid-30s with 90% in stocks and 10% in bonds. This feels right for me since I’m in the middle of my career and feel secure in my job.
Same here. Late 30s with a similar allocation. I’m mostly in five big tech stocks (Nvidia, Tesla, Amazon, Microsoft, Apple) and up 70% year-to-date. I’ll probably shift in the next 3–5 years, but for now, I’m okay with the risk.
Having 75% in tech is risky, especially at 45. The tech sector has been hit hard in the past—during the early 2000s, tech lost around 85% of its value in less than three years. Even nine years later, it was still down 80%. Diversifying with something like VT could reduce your risk and improve long-term stability.
@Torin
While that’s true for 2000–2002, tech has outperformed almost every other sector since 1990 (except during that bubble). Today’s valuations aren’t like 2000. If you’re investing for the next 20 years, it’s likely tech will keep driving growth. My parents stayed out of stocks and inflation ate up their savings. A tech-heavy portfolio might be the right choice if you’re comfortable with the risk.
@Jamie
I grew up being told to avoid stocks, but I started investing in my 20s. Some stocks tanked, but others like Tesla and Amazon made up for it. Individual stocks worked better for me than just sitting in cash.
Shai said: @Torin
That’s a scary perspective. Thanks for pointing it out.
Don’t let fear hold you back. Today isn’t like 1999. Tech is the backbone of the economy now. Companies like Nvidia and Microsoft aren’t going to lose 80% unless there’s a major global disaster, in which case all bets are off.
Uma said:
What’s your age and how long until you retire?
I’m 45 with about 20 years until retirement.
With 20 years left, I’d focus on growth. A 100% equity portfolio like VOO could be a good fit for now. I wouldn’t bother with international or small/mid-cap funds at this point.
Lian said:
Your funds have done well this year, but they’re very concentrated. Why not diversify globally with VT or at least across the US with VTI?
I started out thinking I’d just pick one index fund and go from there. Learning about investing while managing work and family got overwhelming, so I didn’t focus much on diversification. I really appreciate everyone’s advice here!
I’m 36, married with no kids. My portfolio is 90% equities (15% in three individual stocks, 75% split between VGT, QQQ, and VOO, and 10% crypto) and 10% in short-term bonds. I might swap QQQ for VFH to get more exposure to the financial sector.