I can tell you are struggling with many of the terms and the suggestions. First off, it's normal to be overwhelmed, but you have come to a great place to learn and you will be able to sort out your portfolio rather quickly once you get up to speed on the basics. Personally, I found some of the Boglehead books and wiki articles a bit difficult to understand. They are all very good, but for someone just starting out, they can be a little overwhelming. I found JL Collins book "The Simple Path to Wealth" was the best resource for me initially. You can search for this book online, or just find his website and read his stock manifesto (which is essentially what he published online before he compiled it in to a book). You can probably read this in a day and then return to this site and have a much better understanding of what all the replies are suggesting.I don't understand why a bond fund (such as BND) is recommended.
The performance is dismal except when comparing it to period when stock prices plummeted.
Is BND (and similar bond funds) just a very low-risk/low-return place to keep cash?
At a high level:
1) Your taxable account will require some effort to unwind so you don't unnecessarily create taxable gains.
2) Your retirement accounts (IRAs, 401(k), Roth IRAs) will be very easy to unwind because you can sell and rebuy index funds without creating a taxable event. You can simply sell everything in to your settlement fund and then buy index funds according to your desired asset allocation (which you will need to determine by reading the book I recommended or by reading one of the Boglehead books or the Wiki).
Don't rush. Start by educating yourself so you understand the basics, then you can adjust your portfolio.
Statistics: Posted by MangoSmoothie — Tue Apr 09, 2024 12:38 am — Replies 23 — Views 1131