XLU - If I Had To Retire With Just 2 Funds It Would Be These
2024-05-31 07:57:01 ET
Summary
- Holding a large number of funds in your portfolio is often overrated and unnecessary.
- We share the two funds we would pick if we could only retire with 2 of them.
- We share the strengths and weaknesses of each fund and why they complement each other so effectively.
Many investors like to build portfolios made up of many ETFs, CEFs, individual stocks, bonds, and preferred equities. One of the big reasons for this is simply for diversification, so that if they happen to make one or two grave mistakes, like buying Lumen Technologies ( LUMN ) or Medical Properties Trust ( MPW ) for their high dividend yields or betting on a high-growth speculative tech stock like Teladoc ( TDOC ) at $290 a share and ending up with just $11 a share three and a half years later, their entire investment portfolio does not get destroyed. While this certainly makes a lot of sense when investing in individual stocks, it makes much less sense when investing in well-diversified ETFs and CEFs....
If I Had To Retire With Just 2 Funds, It Would Be These