Build an Investment Portfolio from Scratch

Simple Portfolios Beat Complex Ones

Low-cost index fund portfolios consistently outperform actively managed funds over 10+ years. The complexity the industry sells you is not necessary.

The Three-Fund Portfolio

1. Total US stock market: VTI or VOO
2. International stocks: VXUS or VTIAX
3. US bonds: BND or VBTLX

Sample allocation for 35-year-old: 60% US stocks, 30% international, 10% bonds. Shift gradually toward bonds as you age.

Account Order

1. Tax-advantaged first: Solo 401k, IRA, SIPP
2. Efficient investments in taxable: Low-turnover index funds
3. Inefficient investments in tax-advantaged: Bonds, REITs

Dollar-Cost Averaging

Fixed amount on fixed schedule regardless of market conditions. For freelancers: fixed percentage of every client payment instead of fixed dollar amount.

Rebalance Annually

When allocation drifts more than 5% from target, sell overweighted, buy underweighted.

Free to start. No bank connection. No KYC. Works in 20+ countries.

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