Allocating Assets In Retirement Accounts and Elsewhere

Now that I have stashed money away for some years, I have come to a reluctant conclusion.

I get too complicated about it by a multiple of ... oh ... five.

The simplest (and probably best) move I could make would be doing the classic Three Fund Portfolio -- which consists of a Total Bond Fund, Total (domestic) Stock Fund, and a Total International Stock Fund.

Instead, I dabble in a bit of this and bit of that. Where I could have one bond fund, I have five. Where I could have two stock funds, I "slice and dice," owning energy funds, small company funds, and a precious metal mining fund. Also actively managed funds and index funds.

My downfall is, I keep reading different investment books, each one detailing "the very best way to invest and grow your money!" And I take advice from each one. Which, as I wander down the Great Highway of life, sloughing off brain cells as I go, I realize is kind of ... what's the word for it? ... stupid.

So. Learn from my tortured over-thinking and do the following:

1) Choose three (or four) broad-based funds that are cheap. (This likely means "Index Funds.)

2) Choose an asset allocation based on your age and risk tolerance. (60% stocks, 40% bonds if you're under forty; 50%/50% if you are middle-aged, 60% bonds 40% stocks if you're a geezer.)

3) Start putting money into your low-cost, broadly diversified funds and stick with it (even when your investments are moving south.)

4) Think about tax efficiency. (Keep taxable bonds inside tax-sheltered IRAs and 401(k)s. Stocks in taxable investment accounts.)

5) If possible, max out IRAs and 401(k)s each year.

Which reminds me ...

If you aren't in the TAG 401(k) Plan but would like to be, Yours Truly will be holding meetings at many of our fine signator animation studios over the next few weeks.

Here are the venues:

Disney Feature - Southside Bldg. - Thurs. Aug. 16th, 3 pm Rm. 1300

Disney Toon Studios - Sonora location - Thurs., Aug. 23rd, 10 am - Conf. Rm. 103

Disney TVA - Sonora Bldg. - Tue., Aug. 21st, 10 am - Rm. 1172

Disney TVA - Empire Cntr. (Yahoo Bldg.) - Tue. Aug. 21st, 2 pm -- Rm. 5223

Bento Box Entertainment - Thur. Aug. 16th, 10 am - Main Break Rm.

Cartoon Network - Wed. Aug. 29th, 1 pm - Main Conf. Rm.

Dreamworks Animation - Tue. Aug. 14th, 2 pm - Dining Rm. B&C

Dreamworks Television (Ventura Blvd. location) - Thurs. Aug. 9th, 2 pm - Main Conf. Rm.

Film Roman - Wed. Aug. 8th, 2 pm - "Glass" Conf. Rm.

Fox TV Animation - Tue. Aug.. 28th, 3 pm - Main Conf. Rm.

Hasbro Studios - Wed. Aug. 15th, 3 pam - Production Conf. Rm.

Marvel Animation - Tue. Aug. 14th, 10 am - Main Conf. Rm.

Nickelodeon - Tue. Aug. 7th, 10 am - Main Conf. Rm.

Robin Red Breast - Wed. Aug. 8th, 11 am - Warehouse

Warner Bros. Animation - Wed. Aug. 15th, 10 am - Bldg. 34R - Main Conf. Rm.