Re: Index fund decision: Vanguard or Fidelity Target Retirement
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In fact, FSIIX (foreign) and FSTMX (total US) are better than the corresponding Vanguard funds in tax-deferred accounts.
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Is it just a lower expense ratio?
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Yes.
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Jeff, thanks for the advice, I will probably do that. My concern is down the road when my Vanguard fund changes its' allocations to adjust for less risk tolerance or any decent-sized change, I'll have to either make my own investing decisions or have to find similar funds to match if I want to approximate that fund and that takes time and effort.
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It takes time and effort but not an unseemly amount and it adds .11%+Transaction Fees to your return. In the future, I think the only thing that will change with the Vanguard fund is the percentages allocated to the funds it's invested in--not the selection of funds. Annual rebalancing should be fine.
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