- I have both EFA and the Euro Pacific Growth Fund - they essentially replicate each other. Keeping with the account's focus on actively managed MFs - I will get rid of EFA from here.
- I have reduced my Bonds allocation too low in here. I am coming around to a 70-30 Stock-Bond split as a minimum. So I will increase allocation for the bond fund here.
With the above in mind, I expect the following asset allocation in this account when I rebalance at the start of May:
Fidelity Contrafund 25% ER 0.74%
Vanguard Wellington 25% ER 0.17%
American EuroPacific Growth 25% ER 0.50%
Vanguard Long Term Investment Grade Bonds 25% ER 0.12%
Some thoughts on above:
- Since Wellington is a balanced fund with some 33% bond allocation - the portfolio above is about 25 + (0.33 * 25) = 33% bonds. This is fine with my 70-30 asset allocation.
- I am not happy with 0.74% ER for Contrafund. I am going to watch its performance closely to see if its worth its expense.
- Pleasantly surprised with the low ER for Wellington. Vanguard is earning my trust.
- The range of investment choices in this account is really poor - I really need a decent Emerging Markets choice here. Well - I will have to make that deficit up in a different account.