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Getting Fidgety with My Index Funds

Posted on 8/9/14 at 9:08 pm
Posted by Joshjrn
Baton Rouge
Member since Dec 2008
27185 posts
Posted on 8/9/14 at 9:08 pm
I'm a passive, weekly set it and forget it investor, but I'm currently getting the itch the move my holdings from something completely passive VTSAX to something only slightly less passive like VDADX. My thought process is that a large cap, dividend heavy fund might be more inclined to better weather what I feel is a likely downturn in the next couple of years than the market as a whole.

Someone please talk me out of the slippery slope I'm staring down of 1. fricking with my investment strategy because of my uneducated opinion of what the market might do 2. for a fund that has been in existence for a length of time roughly equivalent to a medium stretch of celebrity rehab.
Posted by TheHiddenFlask
The Welsh red light district
Member since Jul 2008
18384 posts
Posted on 8/10/14 at 7:16 am to
Large cap dividend plays will underperform significantly in an environment where interest rates rise materially.

Not a good idea.

ETA: also a terrible slippery slope. Don't start that shite.
This post was edited on 8/10/14 at 7:17 am
Posted by Sigma
Fairhope, AL
Member since Dec 2005
3643 posts
Posted on 8/10/14 at 8:06 am to
If things do turn south significantly, just focus on the discounts you are getting with every purchase. It keeps me going.
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