S**C
发帖数: 2964 | 1 Just an example, cliche if you will, and applicable to other fund families.
Target Retirement 2015 44 % bonds
Target Retirement 2020 35 %
Target Retirement 2025 27 %
Target Retirement 2030 20 %
Target Retirement 2035 12 %
Target Retirement 2040 10 %
Target Retirement 2045 10 %
Target Retirement 2050 10 %
Target Retirement 2055 10 %
Target Retirement 2060 10 %
27% bond for someone with 13 years left to retirement, and 20% for someone
with 18 years left to retirement, I mean really? Too many people misjudged
themselves, thinking they knew their risk tolerance and then threw towel in
late 2008 to early 2009. I'd say unless one is tested in real situation,
better be careful than sorry. | s********z
发帖数: 5411 | 2 suppose you retire at 60, you have another 25 years to live after that.
What do you want? 60% in bond?
This is the product from one company and you don't have to buy it. The fact
that this doesn't fit your risk profile doesn't mean it is bad for everyone
. With interests rate at record low, bonds are super super risky now.
【在 S**C 的大作中提到】
: Just an example, cliche if you will, and applicable to other fund families.
: Target Retirement 2015 44 % bonds
: Target Retirement 2020 35 %
: Target Retirement 2025 27 %
: Target Retirement 2030 20 %
: Target Retirement 2035 12 %
: Target Retirement 2040 10 %
: Target Retirement 2045 10 %
: Target Retirement 2050 10 %
: Target Retirement 2055 10 %
| S**C
发帖数: 2964 | 3 I suspect you miss my main message, which is the silliness of the industry
wide "target 20xx", and investors' over-confidence on their untested risk
tolerance.
Bond is an universe far more broader than treasury, I expect people like
Gross, Arnott, Fuss, Gundlack, Rivelle, Hasenstab et al. to continue find
value outside treasury for their investors.
Interest is obvious low, how about equities? US corporate gross margins now
is at highest level ever, above 50% more than historical average, "this time
is different" huh?
Bond is not just for generate current income, a bond-light portfolio such as
VG 2035 have not much room to rebalance when the market drops significantly.
fact
everyone
【在 s********z 的大作中提到】
: suppose you retire at 60, you have another 25 years to live after that.
: What do you want? 60% in bond?
: This is the product from one company and you don't have to buy it. The fact
: that this doesn't fit your risk profile doesn't mean it is bad for everyone
: . With interests rate at record low, bonds are super super risky now.
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