A diversified portfolio: 5% Inflation-Adjusted Income & moderate growth For Life

Usual concept is to hold 60% in stocks and 40% in bonds. While there are different methods/selections in to which stocks/bonds, I am using following allocations in 401K for each ongoing monthly contributions. Following are list of funds with contribution amounts.

     VEMAX( Vanguard Emerging Markets Stock Index Fund Admiral Sh )  5%

   VGENX ( Vanguard Energy Fund Investor Shares )   5%

   VGHCX ( Vanguard Health Care Fund Investor Shares ) 20%

   VGSLX ( Vanguard Real Estate Index Fund Admiral Shares) 10%

   VFIAX ( Vanguard 500 Index Fund Admiral Shares) 20%

   VWINX    Vanguard Wellesley Income Fund Investor Shares  (20%)

   VUSTX   Vanguard Long-Term Treasury Fund Investor Shares (20%)

No	Fund name	Annual dividends
1	VEMAX	4
2	VGENX	4
3	VGHCX	10
4	VGSLX	6
5	VFIAX	6
6	VUSTX	4

                                         Total 34/6 ~6%

Again I am not reinvesting all dividends automatically. All dividends sits in Vanguard money market account  with 1.X% monthly return. Again my intent is use this money in case of a deep corrections in the markets.  So far, last year above portfolio gave 5K dividends and moderate growth of 8%. Again last year is an exception with all time highs, but for past decade, my other portfolio is returning above average returns.  In my other portfolio, I am using 80% stocks and 20% bonds. ( other one is IRA and I am using little bit individual stocks too.  But same set of funds with different compositions.

The possible range of expected annual portfolio returns for the given period is 7.11% to 12.15%. 

I am not a financial analyst. I am not an expert in money, monetary policy, investment theories, theorems. My blog article should not be taken as advice, financial or otherwise, or as a statement of the right or proper way to do things. What I am is a regular IT guy, middle-aged, with a life full of past mistakes, most of which, I hope, I have learned enough from to continue forward in a positive direction.