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Archive for December, 2012

November 2012 - more of the same

December 8th, 2012 at 05:28 pm

Cash & Savings: $76,817 => $81,046 (5.51%)
Foreign Currency: $34,773 => $34,884 (0.32%)
Domestic Brokerage: $176,878 => $176,400 (-0.27%)
International Brokerage: $174,629 => $176,044 (0.81%)
401(k): $90,297 => $91,400 (1.22%)
IRA: $97,381 => $97,752 (0.38%)
Roth IRA: $12,707 => $13,047 (2.68%)
Total Assets: $663,482 => $670,573 (1.07%)

November is simply a repeat of October where I'm throwing money to water. Last month I commented on with the election over the market should be at ease somehow but obviously I underestimated how the ability of this country's politicians to play brinksmanship. Not sure if they learned that from North Korea if they did they Kim Jung-Il should be proud of himself.

Coming into December I'm considering a new approach proposed by a CFA - move almost all my domestic assets under one roof. The idea is that I have one point of contact who advises me on the grand strategy and work with a back office to pull all the numbers together to see how I should adjust my weighting in various sectors such as large cap, mid cap, bonds, and so on. The total management fee would be 1.25% annually so it's 0.25% higher than I'd prefer but let's say it frees me up from checking on my portfolio all the time. The real challenge here is that I have to liquidate most of my current domestic holdings so I can move cash into this other account and buy their funds. They have their own funds so it's different from some advisors who tell you to choose from bigger fund family, think of Kiplinger 25.
Regardless, this is not a simple decision to make and it will keep me busy this holiday season….