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Vanguard Institutional Total International Stock Market Index Trust – DO NOT Buy Vanguard Target Date Funds! SAVE $70,000 || Vanguard Index Funds

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Vanguard Institutional Total International Stock Market Index Trust – 10 Tips

MY EXACT Dividend Stock Portfolio — See it in M1 Finance! ||
https://m1.finance/k8qmCoo7rDQu
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************************************************* In this video we are talking about an alternative to owning Vanguard Target Date Funds in your retirement account and how you can save over $70,000 in doing so.

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42 Comments

  1. I Sound Great
    July 30, 2021 at 9:07 am

    Very disingenuous click bait headline. Should read, how to perform better than a Vanguard Target Date Fund. Vanguard is perfect for idiots like me, the same type that buy a nice reliable boring used car.

  2. Gib Gob
    July 30, 2021 at 9:07 am

    Wow this video is just a clever advertisement for m1finance. Totally already lost all trust in anything you have to say. I'm out

  3. Iz R de M
    July 30, 2021 at 9:07 am

    Thanks Joe on your video.. Im 49 and I know I'm late in the game but finally getting started on investing…

  4. A Very Merry Meridian
    July 30, 2021 at 9:07 am

    Great info! Moving my target date funds over now 🙂

  5. Home hospice
    July 30, 2021 at 9:07 am

    But how do I get my HR Dept to give me the pretax benefit?

  6. Hunter Stanford
    July 30, 2021 at 9:07 am

    i have VFIFX, but I think you have good points. does M1 offer something that vanguard doesn't though? seems like i could just sell my current shares and purchase the ETFs through vanguard for the same expense ratios/outcome and not mess with a new interface. cheers.

  7. ReyMore
    July 30, 2021 at 9:07 am

    How you plan to move your 401k without the penalty fees or no having to quite your job ..

  8. Jaredd Franco
    July 30, 2021 at 9:07 am

    What if I open an Roth IRA with Schwab.. do I have to open up a new Roth IRA for M1 finance? Or does those funds automatically transfer?

    Thanks in advance! New investor newbie of 2 weeks! I’m happy to come across ur channel

  9. genderfluid
    July 30, 2021 at 9:07 am

    Wait, if you add all the expense ratio, isn’t it more more than .15%? (.03+.08+.08+.04 = .23%) am i wrong?

  10. Julia Belankina
    July 30, 2021 at 9:07 am

    Hi, thank you. I just come across your video and checked out your channel, thank you for explaining finances in the terms that everyone can understand.

    I have a question about this video. In the UK we get tax relief of 20%. So if I put £100 into my pension extra £20 will be added to my pension pot by the government. If I buy ETFs through standard investment ISA I would loose than benefit. How can I calculate if lower fees worth loosing out on the 20% tax relief.

  11. wiz man
    July 30, 2021 at 9:07 am

    This was a great video and exactly what I needed to know. Wooooooo Hooooooooo HAHAHAHA🤣🤣🤣

  12. Izik Ilyaguyev
    July 30, 2021 at 9:07 am

    Thank you for info! But why cant I invest in IRA with Vanguard as well? How is M1 better then Vanguard when it comes to IRAs? Thanks!

  13. Eric Dahl
    July 30, 2021 at 9:07 am

    A lot of people are paying their local Financial Advisor and losing 2% out the back end. I'll stick with my target fund

  14. Sin Johnson
    July 30, 2021 at 9:07 am

    Luv that nice work what if… u already own a 2065 retirement fund how do I sell or transfer my retirement fund into index/etfs funds ??? On vanguard of course

  15. Mark Freeman
    July 30, 2021 at 9:07 am

    I guess I'm lucky. My employer 401k offers the Vanguard target date funds and the ER is already .05.

  16. Cesar Cordova
    July 30, 2021 at 9:07 am

    Great video. Thank u for posting

  17. karen soriano
    July 30, 2021 at 9:07 am

    I started a new job after graduating college and I got a Vanguard Target Retirement 2060 Inv with my employer. Here I am receiving mail from them and being too scared to even look at it because I never learned anything about investing or even retirement. This made it so easy to understand!! Thank you!!!

  18. Brady Detwiler
    July 30, 2021 at 9:07 am

    Your point about reducing expense ratios via M1 by mimicking the investment portfolio of a good target fund is well taken, but did you consider the impact of employer match contributions for target funds? For example, if a company offers a 5% match with a target fund, why wouldn't I take the free money? Won't I come out ahead if I have more money to invest in a target fund then I would with the M1 portfolio that does not have employer match contributions?

  19. Tarredandfeatherable
    July 30, 2021 at 9:07 am

    I don't know why Vanguard even bothers with 10% bonds. Why not just go all stocks until you reach over 60K? Otherwise the protection having 10% in bonds is meaningless..it's a waste of money. Those target date funds are wide open to being cut in half during major crashes. Happened to me in 08.

  20. sean petrie
    July 30, 2021 at 9:07 am

    In regards to rebalancing, would you not want/need to sell and rebuy shares based on the new percentages or allocation? Or are we just modifying percentages for newly purchased shares?

  21. Lois
    July 30, 2021 at 9:07 am

    It wouldn’t save me much if anything because my target retirement funds (target 2065) are in my brokerage. Eventually I’d have to rebalance over a certain account balance which is taxable. I’d reach that rather quickly at over 2k/month contributions increasing and capping out at 4K/month by 29 in my brokerage. I’m 25. [Yes I do max my Roth IRA and contribute to an employee 5% matching plan (TSP); and these I manage more individually, because of the tax benefits.]

  22. Susan Greenstein
    July 30, 2021 at 9:07 am

    What about doing this on the Vanguard platform? Why use something else? Thank you

  23. Fattie
    July 30, 2021 at 9:07 am

    using your example if you had 30 years to retire would you still keep the bonds at 10 percent or no bonds at all for the first 10 or 20 years?

  24. Cali Sav
    July 30, 2021 at 9:07 am

    Hi Joe. Quick question hopefully you can answer I'm 31 and looking to invest for the next 35 years I have a vanguard account roth Ira looking for very high growth and return what would it take for me to become millionaire by 65?

  25. Anand Allan
    July 30, 2021 at 9:07 am

    Even though the Expense Ratio are very low on these ETFs, the ROI of the target date fund will offset the cost. I used VFFVX that has a 10.08% return since inception.

  26. Andres Santana
    July 30, 2021 at 9:07 am

    Great info. To bad that M1 does not have the option to create a roth ira for my kids under my account as Vanguard does. I am definitely doing this on my acct.

  27. Lucy Caicedo
    July 30, 2021 at 9:07 am

    What if that is the only decent choice in your 401k . ?

  28. Christopher Loeser
    July 30, 2021 at 9:07 am

    Isn’t there a difference between Target Date Funds and Target Date Index Funds, i.e. the Index versions having a much lower net expense ratio?

  29. John
    July 30, 2021 at 9:07 am

    Most people are going to do just fine with a target date fund. Yeah, the fee are slightly more expensive than if you just build your own portfolio, but a lot of people to do not have the discipline to do that. Target date fund takes care of that for them and allows them to just focus on plugging money into their 401k, IRA, or whatever like it's a savings account and not have to worry about the investing part of it.

  30. Atit Thekdi
    July 30, 2021 at 9:07 am

    What is m1finance? My 401k is with vanguard can I still use this method?

  31. benjab
    July 30, 2021 at 9:07 am

    I watched up to the 60 second marker.

    All I saw was a pinkie toe with no nail repeat the title of the video broken across several exclamatory bits of empty value. I even listened to the sentence about not wasting my time and getting straight to the point. If you have to waste my time saying that you arent going to waste my time, you have already wasted my time.

    Holy christ dude this video is buzzfeed clickbait bullshit. If you really have info for anyone, just actually say it. Watching you babble about your title for 10% of your video kills every cell in yoir viewers body. I lost a buzz just getting through your intro, and I have hella good weed.

    Now im wasting my time on a tutorial for you about not wasting anybodys time by not telling them that you wont be wasting their time.

    Fuck you.

  32. Joanna Dion
    July 30, 2021 at 9:07 am

    He states an Investment Return of 10% is high, but he's "just comparing the two, not factoring in inflation". That number matters, though. The same inputs, except with a more realistic (IMO) Investment Return of 6%, result in a difference of <$28k. Also bear in mind if you're single, you'll only be able to contribute $6k per year to an IRA, not $12k like his example states, which is a difference of <$14k. But I guess that doesn't make for as exciting of a video title…

  33. peterockin it
    July 30, 2021 at 9:07 am

    Target date fund expense ration: 0.15%
    Individually added up: .03 + .08 + .08 + .04 = 0.23%

    Maybe a stupid question but.. How does that save?

  34. B Thompson
    July 30, 2021 at 9:07 am

    I have owned a Vanguard TDF for many years and I'm averaging a 9.8% return. Are you a CFP, series 7 broker or series 66 investment adviser? Are you offering to rebalance and manage M1 ETF portfolios for investors you don't even know? There are tools built into TDFs that provide automatic planning and risk mitigation for busy people who are not candidates for what you're recommending. Automation and consistency directly through Vanguard's TDFs plays a part in a diversity of retirement planning approaches. Show us your actual ETF and TDF portfolio(s) with at least a 5-year history comparing outcomes.

  35. Joshua Hedrick
    July 30, 2021 at 9:07 am

    I would do a 3 fund pie cutting out BNDX as it is hedged to the US dollar so its pretty much going to track exactly the same as BND and thus is redundant and does not offer any risk reduction. I would go 65%VTI, 25% VXUS, 10%BND.

  36. James C
    July 30, 2021 at 9:07 am

    Is there a way to find out exactly when vanguard changes their allocation and not just update every January 1st?

  37. Thomas Clark
    July 30, 2021 at 9:07 am

    Great video!

  38. Desert Doug
    July 30, 2021 at 9:07 am

    Hello Joe,
    One question: I have a Webull and a Robinhood investment account. Do you think I also need a M1 account too? Thank you! Desert Doug

  39. Michael Dziadaszek
    July 30, 2021 at 9:07 am

    Stonks only go up! Buy them all!!!

  40. Phil LaFond
    July 30, 2021 at 9:07 am

    What advantage does M1 provide? Why not just buy the ETFs in your Vanguard account directly?

  41. Gi C
    July 30, 2021 at 9:07 am

    Clarify please, if you select those vanguard funds (the same as the target retirement fund offered by Vanguard) you still going to pay individual fund you selected to make up the extract the same model as the target retirement fund by Vanguard. You now have to pay individual expense ratio on each fund that you picked. I calculated each fund based on the each individual expense ratio you pay more than 0.15%. On fund is 0.04%, another is 0.08%, another one is 0.08%, and the last one is 0.03, adding them together we have 0.23%. This will be the expense ratio you will need to pay on each fund even you use M1 finance. I might be wrong on this. https://www.youtube.com/channel/UCRo8u0dQk1yH9OYp6JQsC4A

  42. Austin Le
    July 30, 2021 at 9:07 am

    amazing video. i think the majority of people do these just for simplicity sake. im glad i did my research and learned so much from your videos to get a portfolio that works best for me. thanks again joe!