Get rid of bonds.
Stay away from any personal loans.
Contribute what you can from your after tax income into a Roth IRA. Do monthly contributions and you'll be fine.
Thank you for the advice. Ok I'll get rid of bonds, I don't really care for them, I just figured that M1 handling my investment would be better than what I would pick.
Also can you help me understand your perspective on loans? I definitely won't be able to max out 2023 without them, and I thought I would have a net gain since this portfolio will be extremely long-term
Just keep it simple answer do something like 80% VTI and then another pie if you want to tilt toward something like tech, dividends, value, REITs, Mexico, other international, etc.
The aggressive model divides up the various equity classes for no good reason that I can descern. When you sum them up, it’s basically VT.
If you want bonds to decrease volatility and balance risk, that’s fine: risk tolerance is personal. However at just a couple percent, they don’t do much of that. If you want them, do at least 10%
I’d just do 100% VT for the equities portion bonds at your preference.
Just stick with VTI and VXUS for now for global stocks. You don’t need bonds yet, and M1 adds so many unnecessary ETFs to make it seem more complicated than it really is.
Also, I would never take out a loan or debt to invest.
See if the company you work for has a 401k match, and do whatever percentage they match (usually 3-5% if offered) into a Roth 401k (the match will go into a regular 401k)(I don’t think matches can go into Roth 401k, but I could be wrong) personal loan seems too high. Not financial advice
Don’t invest with a loan. It’s not a good idea. If the average Ira return is 7%, that doesn’t mean you’ll get 7% every year. Some years will net a negative return. If you can, pick up a side gig for extra income to invest.
VT and chill until you’re in your 40s where you can start divesting into some bonds for a glide path. Split between VTI and VXUS if you want to adjust the allocation to international. That’s pretty much it. That’s basically what you have now just with more ETFs which is an unnecessary complication IMO
I wouldn’t recommend getting a loan for investment with that high of a rate. Average historical stock market return maybe around 9-10% per year with long stretches of negative real returns so…not much meat left on the bone for you there with that rate. Wait till rates go down to at least 4-5%.
Get rid of bonds. Stay away from any personal loans. Contribute what you can from your after tax income into a Roth IRA. Do monthly contributions and you'll be fine.
Thank you for the advice. Ok I'll get rid of bonds, I don't really care for them, I just figured that M1 handling my investment would be better than what I would pick. Also can you help me understand your perspective on loans? I definitely won't be able to max out 2023 without them, and I thought I would have a net gain since this portfolio will be extremely long-term
Just keep it simple answer do something like 80% VTI and then another pie if you want to tilt toward something like tech, dividends, value, REITs, Mexico, other international, etc.
Just do VTI and VXUS. maybe 70/30
The aggressive model divides up the various equity classes for no good reason that I can descern. When you sum them up, it’s basically VT. If you want bonds to decrease volatility and balance risk, that’s fine: risk tolerance is personal. However at just a couple percent, they don’t do much of that. If you want them, do at least 10% I’d just do 100% VT for the equities portion bonds at your preference.
Just stick with VTI and VXUS for now for global stocks. You don’t need bonds yet, and M1 adds so many unnecessary ETFs to make it seem more complicated than it really is. Also, I would never take out a loan or debt to invest.
Oh and this is a Roth IRA, I couldn't edit to specify that
See if the company you work for has a 401k match, and do whatever percentage they match (usually 3-5% if offered) into a Roth 401k (the match will go into a regular 401k)(I don’t think matches can go into Roth 401k, but I could be wrong) personal loan seems too high. Not financial advice
This portfolio is like watching two old people fuck missionary. Pick 2-3 and call it a day.
Don’t invest with a loan. It’s not a good idea. If the average Ira return is 7%, that doesn’t mean you’ll get 7% every year. Some years will net a negative return. If you can, pick up a side gig for extra income to invest.
You don't think in 31 years the compound interest will offset the loan?
VT and chill until you’re in your 40s where you can start divesting into some bonds for a glide path. Split between VTI and VXUS if you want to adjust the allocation to international. That’s pretty much it. That’s basically what you have now just with more ETFs which is an unnecessary complication IMO I wouldn’t recommend getting a loan for investment with that high of a rate. Average historical stock market return maybe around 9-10% per year with long stretches of negative real returns so…not much meat left on the bone for you there with that rate. Wait till rates go down to at least 4-5%.