Comments on: Money’s Ultimate Mutual Fund Guide 2006

By: jim

jim — Tue, 21 Feb 2006 15:24:08 +0000

Looks like the total international stock index fund is a mix of the European Stock Index Fund, Pacific Stock Index Fund, and Emerging Markets Stock Index Fund so you're diversifying across those three funds. This actually sounds pretty good because you get exposure to international markets without putting all your eggs in one particular geographic region (unless you consider 50%+ in Europe too many of your eggs in one basket). Emerging markets can be volatile so it may be safer to only have 15% in that, with 30% in the Pacific and 50% in Europe. It looks like January was a particularly good year (1yr updated as of 1/31/06 shows 25.6% whereas 1yr updated as of 12/31/05 shows only 15.57%, look under the Performance tab for the fresher info) If you're serious about this fund, I'd check out the Prospectus.

By: JM

JM — Tue, 21 Feb 2006 15:06:16 +0000

This is the one I was referring to Vanguard Total International Stock Index Fund [Edited to make it a link]

By: jim

jim — Mon, 20 Feb 2006 19:53:20 +0000

JM – I like emerging market funds but I coudlnt’ find a “Vanguard Total International” fund, only Vanguard International Value and International Growth funds, both of which look pretty solid. (Value has a 0.5% expense ratio, Growth a 0.6%) Did you mean those funds?

I like how they change a 2% redemption fee if you redeem within 2 months, teach you some good habits.

By: JM

JM — Mon, 20 Feb 2006 15:27:51 +0000

You said…

“A very large portion of my 401(k) currently sits in the Emerging Markets fund because it’s had tremendous returns.”

I have recently looked at investing more in emerging market, but was concerned due to its recent run up. Are you still bullish on emerging market going forward despite it’s huge success this past year? A lot of what I’ve read suggests no more than 5-10% should be in emerging market due to its volatility…any thoughts on that?

Also, what do you think of a broader international fund such as Vanguard’s total international (which has a portion in emerging market)?

BTW, keep up the great work on the blog…I thoroughly enjoy reading it!

By: MyMoneyBlog

MyMoneyBlog — Mon, 20 Feb 2006 05:33:20 +0000

Carnival of Investing #10

Welcome to the 10th edition of the Carnival of Investing. Whew, with hosting my Reverse Carnival last week and then putting this one together, I forgot how much time it takes. Thanks to all the submitters, and then also all previous Carnival hosts! Wit…