Where it is right now Investing Strategy Wise

The investing sites, for employer 401(k) always seem to have tools and quizzes to assist in how someone invests.

For the current one I am on (Vanguard) it has some tools to help someone decide, based on answering some questions, the mix of investments that matches what is answered.

So I did that questionnaire and it came back saying I should invest thus

Copied from Vanguard:

Here's your recommended investment mix:
30.0% Stocks
 70.0% Bonds
 0.0% Short-term reserves


And here is where I am actually at
Your current investment mix
How existing money in your account is invested
 94.8% Stocks
 5.1% Bonds
 0.1% Short-term reserves


A huge difference

So yesterday I found a tool in the site that shows how, historically, my mix would have done, the Portfolio Analysis

This is total bonus gold as it gives me a good, theoretical, idea how the future may progress. There has been TONS of volatility in the past so this is a good thing for me.

Copied from Vanguard:
Risk/return allocation analysis
This is how a model asset allocation similar to yours performed over a historical time frame.

Historical risk/return (1926–2014)
Average return 10.1%
Best year 51.6% (1933)
Worst year –40.7% (1931)
Years with a loss 25 of 89 (28.1%)
info These returns are based on broad market indexes; the returns of your holdings might have been more volatile.


The only allocation analysis that performed better in the historical was a fully stock allocation and it had an Average return of 10.2%.
Not a large difference and I like the fact I have diversity beyond 100% stock in there. Not a huge amount of diversity at this moment, but my allocations are now set to diversify and have more index funds in them than even a year ago.

Go see if your investment website gives you something similar to analyze how you are and could be doing, and so help yourself out.