No. of Recommendations: 9
Yup, if you haven't been heavily weighted to the top handful of S&P500 stocks in the last few years you have not beat the SPY.
That's really a couple of questions.
Q1) What directions to give to a spouse that is not particularly interested in doing active investing.
Or just do it now, before need.
Q2) How to transition from current holdings to a fund.
1: Look closely at the Vanguard LifeStrategy Funds.
Perhaps VSMGX (LifeStrategy Moderate Growth Fund) or
VASGX (LifeStrategy Growth Fund)
Totally hands off, and much easier to justify than RSP.
FWIW, this was the after-me directions I printed out for my wife. VASGX, so she would not have to try to decide.
2: Money in tax-advantaged account: Just move it right away.
Money in taxable accounts:
Holdings with short-term gains: keep until the gains will be long term.
Holdings with a loss: move right away.
Holdings with long-term capital gains, move right away.
