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Upset-North-2211 t1_j6o3szs wrote

I would buy VTI instead of either of these MFs. More tax efficient, lower expense ratio, better diversification and 100% stock are most appropriate for a Roth.

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Cruian t1_j6o5znx wrote

>More tax efficient

No it isn't, since this is an IRA. Taxes don't matter.

>better diversification

Only better than VFIAX. Worse than the TDF. The TDF fully includes VTSAX, as well as VTIAX, and VBTLX, and VTABX.

>lower expense ratio

At the cost of diversification.

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Upset-North-2211 t1_j6o8phm wrote

Owning bonds in a Roth is dumb. Own bonds in your 401k or IRA. Over the long haul maximizing growth in the tax free account wins.

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Upset-North-2211 t1_j6o8u9z wrote

Read any article on tax efficient asset placement to learn about this.

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Cruian t1_j6oa0ls wrote

I misread your use of tax efficient originally

The diversification points still stand.

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