Yes, past performance is no indication of future performance. But, I really don't like bond funds for young people, and even mid aged people in today's environment.
the best time to switch to VMRGX form VWINX was early 2009. you have already missed 250% gain. This is typical buy high sell low. if you strongly believe bond is not appropriate for young investors as Redsim does, who i don't agree with, then by all means make the switch as you wish. However i don't think that is the case for you. You will very likely sell VMRGX in the future and buy back a bond fund or hybrid fund just for the sake of chasing performance. I highly recommend reading a few books before you make any decision.
Thanks for the opinion. I didn't even know about IRA in 2009. I was too young too simple at that time. Actually the performance of VMRGX was really good last year. I missed it too. It was a good timing last year to invest on stock funds, while I invested on a bond fund. This year the stock market looks a bit volatile. So it might be a good idea to put some portions on bond funds to keep the portfolio diversified. But my problem is I don't have a lot of money on my IRA account to split on couple of funds. I guess a hybrid fund as you mentioned might be the best choice for me. Can you recommend any of them? Thanks!
already the chasing
【在 M********r 的大作中提到】 : the best time to switch to VMRGX form VWINX was early 2009. you have already : missed 250% gain. This is typical buy high sell low. if you strongly : believe bond is not appropriate for young investors as Redsim does, who i : don't agree with, then by all means make the switch as you wish. However i : don't think that is the case for you. You will very likely sell VMRGX in the : future and buy back a bond fund or hybrid fund just for the sake of chasing : performance. I highly recommend reading a few books before you make any : decision.
M*r
22 楼
Vanguard Star fund is a great hybrid fund with very low minimum. You can buy it for as little as $1000. But keep in mind, it's a hybrid fund, ie a mixture of stocks and bonds, just as the VWINX you currently own (the star fund has a higher percentage in stocks than VWINX). as such, it won't have a stellar performance in a bull market as VMRGX, which is a pure growth stock fund. If you can tolerate the volatility and the risk with a stock fund, VMRGX is a fine fund, but it may perform badly in a bear market. The whole point of my post is to tell you not to time the market. Chasing performance is the best way to ruin performance.
z*i
23 楼
说了半天,请推荐个费用低点,收益相对还可以的。 谢谢!
buy a stock performance
【在 M********r 的大作中提到】 : Vanguard Star fund is a great hybrid fund with very low minimum. You can buy : it for as little as $1000. But keep in mind, it's a hybrid fund, ie a : mixture of stocks and bonds, just as the VWINX you currently own (the star : fund has a higher percentage in stocks than VWINX). as such, it won't have a : stellar performance in a bull market as VMRGX, which is a pure growth stock : fund. If you can tolerate the volatility and the risk with a stock fund, : VMRGX is a fine fund, but it may perform badly in a bear market. The whole : point of my post is to tell you not to time the market. Chasing performance : is the best way to ruin performance.