How to Invest $10,000 While Learning About Tilting Your Portfolio

I'm Tyler, a former financial advisor and portfolio manager. Now I make financial content for free so you don't have to pay for it.

1. Core Investment in Low-Cost Index Funds

I’d invest $7,000 in a low-cost index fund that tracks the S&P 500, like Vanguard's VOO. This would provide exposure to some of the world’s most successful companies, serving as my core holding through good times and bad.

2. Small-Cap Growth Exposure

Then, I’d invest $1,500 in a small-cap growth fund like Vanguard's VBK. With this investment, I would own shares in smaller companies that are higher risk but have the potential for higher rewards. Many might fail, but some will make it, and I got in earlier.

3. Value Fund for Stability

For the remaining $1,500, I’d invest in a value fund, like Fidelity's FVAL. This fund invests in companies that may not be the most fashionable choices right now, but possess strong balance sheets and potential upside, often trading at a discount.

4. Investment Accounts to Use

This type of investment can be made in a 401k, Roth IRA, or taxable brokerage account, depending on your goals, risk tolerance, and investment timeline.

5. Conclusion

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