In a collaboration with exchange traded fund experts, CNBC has rolled out an all-ETF diversified portfolio for the investor looking to save toward retirement.
“We wanted investors to have some exposure to most asset classes, that would be stocks, bonds, cash, commodities and even real estate, depending upon your age,” Kim Arther, founding partner of Main Management LLC, said on CNBC. “And you can do all of this with ETFs that are liquid, transparent and diversified.”
On Wednesday, Arthur described a suitable portfolio for a 30-year-old investor that leans toward stocks.
Younger investors will want more exposure to stocks since the asset “grows and ages along with you,” CNBC reporter Bob Pisani explained in the interview.
Specifically, the ETF portfolio for an individual who is 30 years old, with more than 30 years until retirement, includes core stock and bond holdings, along with opportunity picks that could pop up.
- SPDR S&P 500 (NYSEArca: SPY) 17.5%
- Schwab U.S. Dividend Equity (NYSEArca: SCHD) 7.5%
- Vanguard Mid Cap (NYSEArca: VO) 5%
- First Trust Health Care AlphaDEX (NYSEArca: FXH) 5%
- Vanguard FTSE All-World ex-US (NYSEArca: VEU) 17.5%
- WisdomTree Emerging Markets Equity Income (NYSEArca: DEM) 5%
- EGShares Emerging Markets Consumer Titans (NYSEArca: ECON) 7.5%
- PowerShares S&P International Low Volatility (NYSEArca: IDLV) 5%
According to the CNBC ETF Advisory Council guidelines, the portfolio can hold 2 “core,” broad-based ETFs – in this case, one domestic and one international.