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Posted: 3/13/2006 10:14:21 PM EDT
[Last Edit: 3/13/2006 10:15:35 PM EDT by sigarkar]
where would you place your deferred comp?

Aggressive growth
Moderately Aggressive
Moderate
Moderately Conservative
Conservative



P­lease include why.

ETA: you will also receive a pension to cover all your expenses. this deferred comp is for either more investing or starting a business.
Link Posted: 3/13/2006 10:16:59 PM EDT
Rob a bank
Link Posted: 3/13/2006 10:19:20 PM EDT

Originally Posted By FieroLoki:
Rob a bank



that would be, um, VERY aggressive growth?
Link Posted: 3/13/2006 10:23:04 PM EDT
Depends on how much you have, and just how many tears you will shed if it goes down the drain. I would go moderate risk, aim for about 10-12% growth and call it good. If you are 30 years out from retirement you can afford more risk, but if you're that close it would suck to lose it all.
Link Posted: 3/13/2006 10:23:39 PM EDT

Originally Posted By FieroLoki:
Rob a bank



You'd be guaranteed three hots and a cot for your retirement.

I'd split it about 50/50 between general market equity index funds and bonds index funds. You don't want to be taking huge risks that close to retirement.
Link Posted: 3/13/2006 10:30:58 PM EDT

Originally Posted By mcgredo:

Originally Posted By FieroLoki:
Rob a bank



You'd be guaranteed three hots and a cot for your retirement.

I'd split it about 50/50 between general market equity index funds and bonds index funds. You don't want to be taking huge risks that close to retirement.



the moderate fund has 25% bond funds.

the moderately aggressive fund has 15% bond funds.

i was a bit surprised to see the funds broken down this way. i would have expected more small-cap funds for aggressive growth over international. i've not thought of international funds as being all that great in returns due to their unpredictability. i guess i'm wrong.
Link Posted: 3/13/2006 10:45:39 PM EDT

Originally Posted By sigarkar:

Originally Posted By mcgredo:

Originally Posted By FieroLoki:
Rob a bank



You'd be guaranteed three hots and a cot for your retirement.

I'd split it about 50/50 between general market equity index funds and bonds index funds. You don't want to be taking huge risks that close to retirement.



the moderate fund has 25% bond funds.

the moderately aggressive fund has 15% bond funds.

i was a bit surprised to see the funds broken down this way. i would have expected more small-cap funds for aggressive growth over international. i've not thought of international funds as being all that great in returns due to their unpredictability. i guess i'm wrong.



I have some of my investments through the federal thrift savings plan. The only three funds they have that make any money are the C (common stock), S (small cap) and I (international) funds. The returns for the last ten years averaged 9% for common stock (basically an S&P 500 index fund) 9.75% for the S fund (Wilshire 4500 index fund) and 5.67 for the I fund. Of course the international stuff fluctuates much more wildly than the other stock funds do, it had some real peaks and valleys over the last decade.

www.tsp.gov/rates/monthly-history.html

Of course those funds are about as simplistic as it gets, there are about 50,000 funds out there just begging to skim 10% off your profit. If you feel you can delay retirement a few years to let a lagging market recover you could put the bulk of it in stock index funds, otherwise play it safe with bonds.
Link Posted: 3/13/2006 11:34:36 PM EDT
you don't go aggressive unless you can afford to lose it.
I wish I would have invested in real estate 10 years before I quit working. prices around here have gone crazy. What use to be $2500. an acre 12 years ago (I quit working 2 years ago) is now anywhere from $35,000. per acre to $190,000. an acre. Some of that is close to 20 miles out of town.
Link Posted: 3/14/2006 5:00:17 AM EDT
NFA weapons.
Link Posted: 3/14/2006 5:03:04 AM EDT
10 years left? You have to be moderately conservative.
Link Posted: 3/14/2006 5:13:26 AM EDT
Like others have said, it depends on how much you have to invest. Common practice is to go "low risk" at this stage.

Link Posted: 3/14/2006 5:18:05 AM EDT
Link Posted: 3/14/2006 5:25:58 AM EDT
[Last Edit: 3/14/2006 5:26:26 AM EDT by dolanp]
On the contrary if you are starting to retire in 10 years and you don't have any money then conservative will get you nowhere. Not only do you have to have money at retirement, you need to be able to keep it growing while you're retired to make any meaningful continual withdrawals from it. A comfortable retirement these days needs about $1 million.

I'd go moderately aggressive, definitely less than 25% bonds.
Link Posted: 3/14/2006 5:28:41 AM EDT
[Last Edit: 3/14/2006 5:29:12 AM EDT by quijanos]

Originally Posted By Wave:
I'm at aggressive growth with 10%....I'll let you know how it turns out in 12 years or so.




After 6 mine seems to be doing very well
Link Posted: 3/14/2006 7:01:09 AM EDT
I have 6 to 8 years left. Not much in comp. but I put mine in pretty aggressive funds, including a real estate fund. I watch the fund values every week. Gotta have enough $ for bullets and powder after I retire!
Link Posted: 3/14/2006 7:06:31 AM EDT
My advice is: don't take investment advice from a bunch of whacky gun guys on the internet.
Link Posted: 3/14/2006 7:14:10 AM EDT

Originally Posted By tommygun2000:
NFA weapons.



+1
Link Posted: 3/14/2006 7:31:47 AM EDT
With ten years left, you need to focus more on keeping what you've got rather than making more. this is assuming you've been saving for retirement for most of your working years.

Conservative or moderately conservative is the way to go.
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