Portfolio(I)
Rx - Prescription for Jenn

03/22/2022 - Portfolio(I)

It is a good opportunity to add more cash to future retirement @ portfolio(I).

There is not much to consider in what to invest for diversity if the Portfolio(I) is in an employer- or government-sponsored contribution account such as TSP, 401(k), 403(b). It can be more flexible if the portfolio(I) is in an individual retirement account or brokerage account.

Beside our favorite SP500 index funds/ETFs, there are investment elements which can be helpful to strengthen and bring diversity to the Portfolio(I).

  • SP500 index fund/ETF - SPY - 40% of the Portfolio(I)

  • Energy/Utility index fund/ETF - VPU (Vanguard Utilities ETF) - 15% of the Portfolio(I)
    To increase the weight of energy/utility sector in investment. How frustrate would you feel if there is an outage? How many electronic devices do you have? Also, utility sector is more resilient during economic downturn.

  • NASDQ index fund/ETF - QQQ (Invesco QQQ ETF) - 25% of the Portfolio(I)
    Technology is not only the fast forward sector of an economy but also it is an important element that supports and advances other industries. Therefore, increase investment in this section should bring higher return to the portfolio.

  • Defense index fund/ETF - XAR (SPDR S&P Aerospace & Defense ETF) - 10% of the Portfolio(I)
    It is very obvious why softwaterinvestment.com would include this element in Portfolio(I). The rising power of autocracy around the globe should bring a loud siren and an awake to the dream that autocracy is a friend of democracy. Do not rely on NO invasion from enemy but depend on the full readiness of defense - SUN TZU, The Art of War. So as Portfolio(I)

  • Manufacture index fund/ETF - VIS (Vanguard Industrials ETF) - 10% of the Portfolio(I)
    The choice of manufacture index is the extension of investment in defense. Defense would require a heavy investing in manufacture to bring about production for defense needs.

Other sectors of SP500 are equally important for our economy, such banking, services, hospitality, consumer products. However, from view point of return on investment, the abovementioned sectors should increase overall performance for Portfolio(I).


Note: the ETFs mentioned above, SPY, VPU, QQQ, XAR, VIS are not a recommendation nor an advertisement for the companies who provide those ETF. Nevertheless, they have good rating from Morningstar. As usual, investors should always study the subjects and consider the risks and personal tolerance before investing.


03/13/2020 - Rx - Prescription for Jenn

It is time to double the doses.