Date: Tue, 19 Jul 2005 10:51:11 CST
From: "Elle" 
Newsgroups: misc.invest.financial-plan
Subject: Re: Life Cycle Funds?
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 wrote
> Lets just say for argumet sake that i am comfortable with the more
> conservative returns of the VTIVX and choose it to be my main
> retirement vehicle. Aside from money market and CD reserves what might
> be a good stategy to diversify this potential portfolio? Or rather,
> what might be a stategy to make this more aggressive while i have the
> time to be more aggressive? How do i do this without being redundant?

Being more aggressive to me means buying more stocks, either more
international stocks or more domestic stocks or both.

According to Vanguard's site, VTIVX is broken down as follows
71% VTSMX
12% VEURX
11% VBMFX
5% VPACX

According to Morningstar.com , VTSMX breaks down as follows:
Capitalizaton, % of VTSMX holdings
Giant, 41%
Large, 30%
Medium 20%
Small 7%
Micro 2.6%

So about half (= 71%*(41% + 30%)) of VTIVX is in large and giant domestic
stocks. Consider buying a fund with more Micro thru Medium stocks, or those
listed with Vanguard as "Domestic Stock - More Aggressive" at
http://flagship3.vanguard.com/VGApp/hnw/FundsIndexOnly

Consider also an emerging markets fund like VEIEX.

Again, I would try some of the portfolio allocation tools (at the link I
listed bfore) to get specific ideas on where to diversify to reflect a
higher risk tolerance than VTIVX by itself reflects.

You can ask this question at misc.invest.mutual-funds, too, for still more
diversity in responses, though there might be some consensus on ratcheting
up your micro thru medium domestic stock positions and international stock
positions.