VXUS
Vanguard Total International Stock ETF
stock NASDAQ ETF

VTI+VXUS in a taxable account, VT in a Roth IRA.

No, more [VXUS](https://investor.vanguard.com/investment-products/etfs/profile/vxus). It's the international one; [VTI](https://investor.vanguard.com/investment-products/etfs/profile/vti) is domestic stock.

I'm in the boring stuff like VOO, VXUS, SCHD and some target funds. Not primarily going for dividends yet but wanted to dip in a little.
Average salary is about $50-60k but the US is a big place. It's really situational on the job you get and where you live that determines on how much you could invest.

“I heard diversification is good but I also read just sticking to ETFs is better.”
Like previous guy said: investing in ETFs is inherently diversification. Also, of the 4 individual stocks you bought, 3 of them are already included in VOO, so you didn’t diversify further anyways. You could add small and mid cap ETFs and international to diversify further. You could look into VTI, VT, and VXUS. VT is an easy way to hold the entire stock market. Many ppl go with VTI (all US) and VXUS (international). These are just some ideas. Figure out what works for you

A portion in the global stock market, a portion in diversified municipal bonds duration matched to any obligations, and a portion to broad insurance in various forms. Cash in municipal money market funds.
I would also hire CPAs and lawyers to optimize my taxes and protect my wealth using LLCs and various types of trusts.
$50M in VTI+VXUS would cost around $20k/year, which might make index replication strategies start to look attractive if cheaper than the fund cost. Especially if combined with aggressive tax loss harvesting. That said, it’s close enough that I would probably still stick with funds. I would use global market cap weights, but I wouldn’t use VT due to the extra expense and FTC. Plus, I would still have VT in my retirement accounts, and I wouldn’t want to risk wash sales.
Federally tax exempt bonds, like munis, would likely provide the highest return for bonds, since the dividend on the equity portion of the $50M would put me in the highest tax bracket. Similarly, municipal money market funds would be a good place for cash.
Insurance might be the most interesting and complex question for me. I would look for broad ways to reduce risks that I am currently unable to mitigate. I would also need to deal with risks inherent to owning $50M. Physical security, land, and insurance policies would all be important.

i will keep that in mind.
still id go 35 + 15 with VTI + VXUS. It’s because i prefer a 70/30% allocation instead of VT’s 60/40

Personally, I would probably diversify a little bit.
Some in private lending, some RE, bunch in VT or VTI/VXUS, etc
Just spread out the risk so you aren’t overweight towards one asset class

No, I meant that FSKAX has a lower expense ratio than VTI. Similarly, FTIHX has a lower ER than VXUS.

23 year old, you don't BND. Just VOO VXUS 50% 50%

Add VXF to round out the US market. Add VXUS to have the whole international market.
* VT = 60% VTI + 40% VXUS
* VTI = 80% VOO + 20% VXF
* VT = 48% VOO + 12% VXF + 40% VXUS

I've gone through the same dilemma.
I started with a 10% US tilt last year, but decided to change to market caps this year because 1) if markets are truly efficient, it just makes the most sense. I don't know enough to bet an extra 10% on the US, and 2) market caps make it easy to integrate holdings across multiple accounts. I can use VT. Target date funds and robo-advisors go with market caps. Overall it just gives me flexibility and ease.
As far as VT versus VTI + VXUS. VT is less to mess with. It naturally adjusts to market caps as the weightings change over time. It makes it less tempting to try to time the market or react and change US/ex-US allocations in response to the headlines. Screwing around with things can easily cost a lot and possibly more than the foreign tax credit.
VTI + VXUS gives you flexibility to tilt your allocation (although you could also do that with VTI + VT). VXUS gives you access to the foreign tax credit which is about 0.2%. So on a million dollar portfolio at 60/40 weights, that's $800 for an extra line on a tax form when your "income" might be about $40k if you're withdrawing 4% from your portfolio.
I think either VT or VTI + VXUS are great choices. You have to weigh the pros and cons for yourself.
I don't know that I would sell the VT that you have... it will probably cost you more than you will gain. If you want to "switch" to VTI + VXUS, just add them around your VT position.
If you prefer simplicity or are a helpless fiddler that might try to change allocations and time the market, stick with VT. If you don't mind the extra "work" and want the foreign tax credit, go with VTI + VXUS.

When was the last VTI or VXUS ER increase?

Great question/debate! I actually don't hold much international exposure in my core portfolio - I'm primarily US-focused. But when I do venture internationally, I prefer country-specific ETFs for tactical positions rather than broad international funds.
For most investors though, I think VXUS makes the most sense if you want international exposure. The 'slicing and dicing' approach (VEA + VWO or going even more granular) really only makes sense if you have strong convictions about overweighting specific regions.
The complexity costs are real: More rebalancing needed, Multiple expense ratios (even if low), Analysis paralysis on allocation percentages, and tendency to performance chase.
My approach is different - I'll occasionally hold country-specific ETFs (like EWJ, EWA, etc.) when I see a specific opportunity, but these are tactical trades, not permanent allocations. I will also go with a futures currency play like a few months ago I was short the Yen. Otherwise, I stick with US markets where I have more conviction.
If you're committed to permanent international allocation, VXUS keeps it simple. The difference between VXUS and a complex international sleeve is likely minimal compared to other portfolio decisions.
I take it your current international allocation is light or zero?

Complex, costly and somewhat actively managed. I doubt you can outperform VXUS, but I would wish that for you! Your efforts are impressive!

Things aren’t always more complex for no reason.
My international allocation is split between emerging markets and developed at 72% to 28%. Mind you this is just the international part of my portfolio. I prefer funds that are a little less weighted on large caps, hence not choosing VTI and VXUS.
36% AVDE (Avantis Developed Tilt)
36% AVDV (Avantis SC Value)
14% AVEM (Avantis Emerging Tilt)
14% AVES (Avantis Emerging Value)

VTI + VXUS is only more tax efficent than VT in a taxable brokerage account.
If you think 70% US / 30% International is what you want, and it's not performance chasing, but the long term allocation you're going to stick with, then it probably makes sense to just use VTI + VXUS.
If you currently own VT in a taxable brokerage account, you could consider selling any shares at a loss to buy VTI + VXUS, and make future contributions as VTI + VXUS at the ratio you want.
In a Roth IRA (or other tax advantaged account) you can just exchange everything to get to what you want to be at.

Is this in an IRA? If yes, sure, it’s easy enough to sell VT and shift all to VTI/VXUS, which is my preference. If not, then just allocate the future funds however you want.

VT/VTI+VXUS allocation help

In your Roth IRA, I would just sell everything and put it into SWSTX and VXUS. There’s no real logical reason to hold onto individual stocks in there unless you’re trying to essentially gamble - since you’re in grad school, I have to assume this is money you wouldn’t be withdrawing for 25+ years.

I'm currently allocating my **Roth IRA** as follows:
* **60% VTI**
* **30% VXUS**
* **10% AVUV**
In my **taxable brokerage account**, I'm holding:
* **IVV**, with about **$10K in unrealized gains**
* **IWM**, with **$1,300 in unrealized**
* **ARKW**, with **$3K in unrealized gains**
* **Some shares of NVDA**, **AGG**, **FEJBAX**, and **FQZCQX**
I'm planning to sell **ARKW**, **FEJBAX**, and **FQZCQX**, which would result in approximately **$217 in state tax**. My question is about what to do with **IVV** and **IWM**.
I was advised to **keep IVV and IWM**, and instead of selling them to replicate my Roth IRA allocation in the brokerage account (60% VTI, 30% VXUS, 10% AVUV), I could simply **add VXUS and AVUV** alongside them.
However, I’m in a **unique tax position** right now where **federal capital gains tax would be 0%**, and I’d only owe around **$900 in state tax** if I sold IVV and IWM. That opens up the option to **restructure my brokerage to mirror my Roth IRA** with VTI, VXUS, and AVUV.
# My main questions are:
1. **Would it be wiser to sell IVV and IWM now** and align both accounts with the same asset allocation (VTI/VXUS/AVUV), even with the $900 in state tax?
2. **Or is that unnecessary**, and I’m just splitting hairs by over-optimizing?
3. Is there **anything else I should consider adding** to my brokerage for greater diversification or tax efficiency?