Evaluating Managed Funds

[Ed Miller]

Thanks buffett. I'm actually learning something about investing, I think. [img]/images/graemlins/smile.gif[/img]

Trying to pick individual stocks has been frustrating for me so far (granted, I haven't put much time into it), because every time I think I've found a good one, I catch some big red flag or fatal flaw or something in the 10-K. Who knew building a Marketocracy portfolio could be so stresful. [img]/images/graemlins/tongue.gif[/img]

I'm sure I'll get the hang of it.

Right now my Microsoft 401k is 100% in Vanguard Value Index Fund Investor Shares (VIVAX). I just let it sit there since I left the company in 2003 because I didn't know anything better to do with it.

I want to roll it over to a Vanguard IRA. I think I might move a significant percentage to Fairholme and spread the rest between some other Vanguard Index funds. Something like:

Fairholme - 40%
Vanguard 500 Index Fund Investor Shares (VFINX) - 20%
Vanguard Small-Cap Index Fund Investor Shares (NAESX) - 20%
Vanguard Total International Stock Index Fund (VGTSX) - 20%

I don't know if this portfolio is too aggressive.. FWIW, I'm 26 and optimistic about my future earning power.

Just kinda throwing this out there for a sanity check before I rollover.