Value Oriented Asset Allocation With Consuelo Mack [VIDEO]

Updated on

Value Oriented Asset Allocation: The mutual fund industry is being buffeted by two enormous shifts: investors are deserting actively managed funds for passive ones and they are fleeing bond funds for other sources of income. What do these changes mean for investors? In their first joint television appearance, two Morningstar all-stars give us their perspective and advice. CHRISTINE BENZ
Director of Personal Finance, Senior Columnist Morningstar, Inc. and RUSSEL KINNEL Director of Mutual Fund Research, Editor of “Morningstar FundInvestor” Morningstar, Inc. appeared on WealthTrack this week.

Video embedded below (more info below the video).

Fund mentions

Longleaf Partners (LLPFX)

Vanguard PRIMECAP Core (VPCCX)

Fidelity Tax-Free Bond (FTABX)

Royce Special Equity Multi-Cap (RSEMX)

Westwood Income Opportunity Fund (WWIAX)

Dodge & Cox International Stock Fund (DODFX)

BENZ:  GOOD INVESTOR OUTCOME

Buy a Target-Date Fund

Recommends: Vanguard Target name your retirement year fund

“I am very compelled by what we’ve seen from some of these target data products in terms of delivering good investor outcomes. I would say for investors who want to be very hands off, that a good target product would be a great place to start. So Vanguard’s target lineup is all index-based.”

PUT SOME OF YOUR INVESTMENTS ON AUTOPILOT

THE TARGET-DATE FUND APPROACH:

> Rebalance between stocks and bonds

> Buy when prices drop

> Sell when prices rise

Takes the emotion out of investing

Leave a Comment