A. We recommend a 3-index fund portfolio for most investor, if you stick to it, you will be beating majority of individual investors and many fund managers.
For details of this 3-index fund portfolio, please visit our Smart Investment section.
However, you can deviate from this standard portfolio, probably for one or more of the following reasons:
1. You have legacy investments that makes no sense to sell them and reap a big capital gain tax bill.
2. You want to avoid the potential downside of the bond portfolio's performance when the interest rates rise.
3. You want to get exposure to International Bonds which are not covered by this 3-index fund portfolio.
4. You want to create a little excitement for yourself by betting on a few stocks. However, never mistaken yourself as the next Warren Buffet just because you had a good run on your stock picks.