Tuesday, March 08, 2016

The Retirement Investing Thingie

... Yet again.

The Three-Fund portfolio, is a portfolio design consisting of three “total” market index funds, covering the US stock market, the international stock market, and the US taxable investment grade bond market. Investors were able to implement this portfolio beginning in 1997, when Vanguard introduced a total international index fund. The firm had introduced a total US stock market index in 1992, and a total US bond market index in 1987.

The 2015 returns for the portfolios constituent funds (investor class):

Vanguard Total Stock Market Index Fund: 0.40%
Vanguard Total International Stock Index Fund: -3.39%
Vanguard Total Bond Market Index Fund: 5.85% ...

For most investors, especially ones who don't give two hoots about following bond and equity markets ... and want low costs ... and superior results, the Three-Fund portfolio is a simple and elegant solution. In the lineup of funds offered in the Animation Guild 401(k) Plan, there are two methods that will come close to replicating the TFP.

The first is using one of Vanguard's Target Date Funds, which consist of the three funds directly above plus a dollop of international bonds, just to keep things interesting.

The second is to build your own Three-Fund portfolio from the Plan's suite of "core funds". We offer the Total International Stock Index Fund, the Vanguard Total Bond Market Indes Fund, and the S & P 500 Index, while not exactly the same as the Total Stock Market, does contain 80% of the same equities found in Total Stock.

Whichever way you choose to go, the important thing is to keep your costs low, your stock/bond portfolio well-diversified, and to keep investing through thick and thin. (The last item is the toughest of the three to do.)

So. Get started with an investing program soon. Below the fold, you will find upcoming 401(k) Enrollment meeting dates, times and locations. ...

401(k) Enrollment Meetings

Disney - Riverside
Tuesday, March 8th - 3:30 pm
Room 2401 "caffeine patch"

Disney Toon
Thursday, March 10th - 2:00pm
Room 102, 833 Sonora Ave

Robin Red Breast
Tuesday, March 15th - 2 pm
Large Conference Room
Santa Monica Bldg

Fox TV Animation
Wednesday, March 16th -
2 pm
Family Guy Conf. Rm.

Bento Box - Magnolia
Thursday, March 17th - 10 am
2nd Floor Kitchen

Bento Box - Lankershim
Thursday, March 17th - 2 pm
2nd Floor Conf. Rm.

Cartoon Network
Tuesday, March 22nd - 2 pm
Main Conference Room

Wed., March 23rd - 2 pm
Main Conference Room
321 West Olive Ave.

Sony Pictures Animation
Thurs., Mar. 24th, 2 pm
ImageWorks campus, North room 2000

Disney TVA - Empire
Tuesday, March 29th - 2 pm
Room 5223

Disney TVA - Sonora
Wed., March 30- 2 pm
2nd Floor Conf. Rm.


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