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Asset Allocation Model from A Random Walk Down Wall Street

A Sample Asset Allocation and Portfolio Model From "Unconventional Success" Book

A Random Walk Down Wall Street: The Time-Tested Strategy for Successful Investing was first written in 1973 by Burton Malkiel. This book is considered as an investing classic, pioneering the controversial idea that stock prices are random and thus diversification is crucial for success. Here is an sample allocation based on a 75% stock/25% bond asset allocation model.

  

Stock (75%)Bond (25%)
43% Total US Stock Market
22% Total International Stock Market
10% REIT
20% Treasuries/TIPS/High-Quality Corporate Bonds
5% Cash or Money Market Fund

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Fund Mojo "Top Fund Master" List for this Asset Allocation Model

Top Mutual Funds for the suggested asset allocation model

Large Blend funds

  

Mid-Cap Blend funds

  

Small Blend funds

  

World Stock funds

  

Foreign Large Blend funds

  

Diversified Emerging Mkts funds

  

Specialty-Real Estate funds

  

Intermediate Government funds

  

Inflation-Protected Bond funds

  

Ultrashort Bond funds