Suggested Portfolios

Below, we combine selected Kiplinger 25 funds into portfolios to help you meet your goals -- whether you're looking forward to retirement decades down the road or just around the corner, or you're saving for another goal, such as your child's college education. You can also read more about the importance of an investment plan.

These portfolios are designed for investors with different time horizons. If you find them too aggressive for your taste, trim each package's allotment to stocks by ten percentage points. Also, if you're investing in a taxable account, substitute Fidelity Intermediate Municipal Income for one or more of the taxable bond funds.


Long-term: 11+ years away

You wouldn't know it from the recent past, but the stock market has historically produced attractive returns over extended time periods. This portfolio is 80% in stocks, 10% in standard bonds, 5% in inflation-adjusted bonds and 5% in commodities.

Fund name
(symbol)		 % of portfolio
Vanguard Primecap Core (VPCCX) 15%
Dodge & Cox Stock (DODGX) 15%
Fidelity Contrafund (FCNTX) 15%
T. Rowe Price Mid-Cap Growth (RPMGX) 5%
T. Rowe Price Small-Cap Value (PRSVX) 10%
Dodge & Cox International Stock (DODFX) 20%
Loomis Sayles Bond  (LSBRX) 10%
Vanguard Infl-Protected Secs (VIPSX) 5%
PIMCO CommodityRealRet (PCRDX) 5%

 
Mid-term: 6 to 10 years away

As your goal for your savings begins to come into sight, you should be reducing your portfolio's risk. This basket attempts to achieve that by shifting a chunk of money out of stock funds and allocating 35% to bond funds.

Fund name
(symbol)		 % of portfolio
Dodge & Cox Stock (DODGX) 15%
Vanguard Primecap Core (VPCCX) 15%
Fidelity Contrafund (FCNTX) 10%
T. Rowe Price Small-Cap Value (PRSVX) 10%
Dodge & Cox International (DODFX) 15%
Harbor Bond (HABDX) 20%
Loomis Sayles Bond (LSBRX) 10%
Vanguard Infl-Protected Secs (VIPSX) 5%

Short-term: 3 to 5 years away

After the past year's debacle in financial markets, we don't need to tell you not to stash all of your near-term savings in volatile stocks. You should be focusing on preservation of capital at this point. This portfolio dedicates 55% to bond funds and the rest to an assortment of stock funds.

blend
Fund name
(symbol)		 % of portfolio
Vanguard Primecap Core (VPCCX) 10%
Fidelity Contrafund (FCNTX) 10%
Dodge & Cox Stock (DODGX) 10%
T. Rowe Price Small-Cap Value (PRSVX) 5%
Dodge & Cox International Stock (DODFX) 10%
Harbor Bond (HABDX) 35%
Loomis Sayles Bond (LSBRX) 10%
Vanguard Infl-Protected Secs (VIPSX) 10%

Updated April 2009

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