Portfolio advice

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What's more important is your saving %, time in the market, and staying the course.

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Not trying to be a smartarse but this is a myth. Sure its easy for the money managers to tell you this when we're coming off the greatest 50 years stretch in history. You have to remember things like the internet + the growth of the american economy over the last 50 years allowed for growth you will not see again on a broad scale across indexes ever again.It's near impossible for anyone to break into business and compete with these large stalwarts, and in the meantime the stalwarts are slowly ending their growth stories. I promise you buying the Dow 30 will not return anywhere near the past 30 years over the next 30 years. These companies today are so mature and are actually seeing declining sales all across the board

Apple had declining Sales
Ford had declining Sales
GM had declining Sales
Exxon had declining revenue

I could go on and on, but the concept of just save, and plug it away into indexing and you will be ok in the future is just silly to me. We're at 2400 on the S&P which is record levels, and companies are mostly growing share prices via buybacks not growth, and we're looking at a rising rate environment coming up.

Of course there are pockets of growth, I feel Im invested in them, but overall indexing starting today and moving forward is probably going to be a pretty mediocre ROI over the coming decades from the looks of it.

I think people should do their homework and find quality companies that they feel can grow and invest in those, bc when you buy an index, sure you get safety, but you also get a giant pile of junk thrown in there and I dont know about you but I prefer to keep the junk out of my portfolio. It's like Wayne Gretzky said, you want to skate to where the puck is going.

These tech monsters today have the most solid balance sheets of any in american history, this isn't the tech bubble the media would have you believe. I'd personally rather have a portfolio of Google,Microsoft,Apple,IBM,Facebook,Amazon vs any sort of index available to me over the coming decade or 2. Do you really wanna be invested in some no growth areas like retail or oil? There are other companies if you want more risk, but the QQQ holds all those, if anything id buy the QQQ in way bigger size if you're scared of individual name risk.

The thing is the QQQ is fine and safe, and I'd certainly own it any day well before SPY or some dow index but I hate that apple and microsoft are 20% of the weighting. I personally want more amazon,google,ibm(watson),microsoft,tesla and less apple moving forward.

I hate indexing and personally dont do it, but i had to own 1 index it would be PNQI but the problem is the fee is so high for it + you can literally build that on your own but I like it bc netflix,amazon,google,facebook make up 32% of it. I like all those names for the future, netflix im meh on it, but id rather it over apple. It also has big stakes in Eqinix and Baidu which are also tech plays that will pay big in the future.

Again you can build and diversify on your own but really do you see Amazon as risky? More than likely it extends its utter domination of retail into the stratosphere over the coming decade. Do you see Googl as risky? They have $100B almost in cash on their balance sheet, like $4B in debt, and a monopoly on search thats going nowhere

If you buy an index, you get junk like home depot, caterpillar,ford,gm, exxon, etc all these companies that grew substantially over the last 20-30 years but what are their prospects moving forward? To me they're meh at best.

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Do you really wanna be invested in some no growth areas like retail or oil

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To say growth isn't available for what I'm assuming you're referencing is oil majors, is ridiculous. LINK

Oil majors will go nowhere north for years, what makes you think otherwise? Their eps will be awful for years

Can you honestly tell me with a straight face that you think a portfolio of chevron & exxon would outperform one of Google & Amazon over the coming decade?

Diversification is code for you're too lazy to spend a little time doing some research, in that case go ahead and get mediocre returns, it takes a little bit of work to outperform the averages, not much, but it takes a little work.

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white perch

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Are these with Vanguard? How old are you?

Yes, 36

Well you just proved my point.
You totally missed what I was saying. I refuted that there is growth available for the oil industry which I backed up.

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Well you just proved my point. You totally missed what I was saying. I refuted that there is growth available for the oil industry which I backed up.

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and you completely missed my point that "indexing" makes you buy a nice chunk of slowing or even negative growth industries like housing,oil,retail amongst others. I personally prefer to only invest in growth and the only sector we can look at today and say as a whole will have growth over the coming decade is tech. Sure you can pick individual names in all sectors that will do well, but that takes time and effort,and the posters above said they want a no effort approach and all I'm saying is if you want a no risk approach but still have outsized returns it's probably going to be indexing in tech related funds and not overall market funds

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all I'm saying is if you want a no risk approach but still have outsized returns it's probably going to be indexing in tech related funds

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bullshite. There is no free lunch.