Key insights
- An individual in their early 20s is re-evaluating their investment strategy after experiencing losses from high-risk investments. They are considering shifting towards a more conservative portfolio with a large allocation to SGOV to build liquidity for a future home purchase. The shift away from equities could slightly reduce overall market risk appetite.
In my early 20’s. Recent graduate and I was very fortunate to find a good paying job in a VHCOL area and live with family. Therefore, I’m saving a lot and am able to max out my 401k, Roth IRA, and HSA. They all hold either 100% VTI, VOO, or FXAIX. The remaining mainly goes to my investing account.
Up until recently, I’ve been using some of it to gamble with 6-12 month options and individual stocks (got lucky with google and micron run up). However, I want to shift to lower risk after losing about half my realized gains . I’ve shifted to mostly holding SGOV (~70%), VOO (10%), and the rest is international etf, and remaining individual stocks and options I’ve decided to keep open.
Now I would like to purchase my own home in about 2-3 years and been contemplating whether I should allocate 60% of the account to SGOV, 30% to individual stocks, and 10% to long term option, since I’m already fully invested into the S&P500 in my retirement accounts and I would like to hopefully build up liquidity a bit faster since it’s very pricey to buy a home where I live. I’ve been “investing” for about 6 years now but haven’t actively managed my portfolios until I’ve gotten my job recently. Any advice is appreciated!