[USER]

Bear w/ me – I know this topic has been discussed endlessly, but I really need to get my thoughts out and hear how others handle similar feelings and mindset. I’m 23, fully independent, and grew up without financial stability.

For me, my biggest goal is to have enough saved for retirement so I don’t end up struggling like my parents, while almost maximizing returns in accounts like my Roth IRA.

I’ve been investing in VT through my Roth IRA since I was 18, and I’ve managed to have ~$57k so far. I understand the theory – VT provides global diversification, which reduces the risk of being overly concentrated in one market.

Over the next 20, or 30, or 40 years, markets will shift. Sometimes the US will outperform, and sometimes international markets will.

VT is a long-term play to capture growth globally, without having to bet on any one region’s dominance.

But here’s the thing: I still get major anxiety and FOMO when I see the performance differences between VT and VTI (essentially betting on strictly US and betting on the entire market).

The US has been crushing it for the past decade, and VTI’s returns reflect that.

I understand past performance doesn’t guarantee future results, but it’s hard not to feel like I’m leaving money on the table regardless.

Most of it is anxiety, but like stated, my goal is to also maximize my returns as best as possible, as I understand my Roth IRA will be completely tax free at retirement.

What makes it tougher is that I’m still young, and part of me wonders if I should take on more risk to chase higher returns while I have time to recover from mistakes.

At the same time, I know the “stay the course” mindset is probably the safest and smartest way to reach my goals.

I’m just not sure if my FOMO is a sign that I should reconsider my allocation or if I’m just overthinking this (probably overthinking).

For those of you who’ve been in this situation, how do you deal with FOMO? Do you ever question your allocation and consider taking on more risk?

Or do you just remind yourself to stick with the plan and focus on the long term?

Are you happy with the returns or feel I should do more?

I don’t want to end up making emotional decisions that derail my progress, but I also don’t want to look back and regret not taking advantage of opportunities while I’m young.

Any advice, stories, or insights would be greatly appreciated, especially from those who’ve faced similar struggles or made adjustments.

Thanks for reading. I’m just trying to stay on track and set myself up for a stable future for myself and (future) family.

[Beau]

SCHG, QQQM and don’t look back.
VOO and DGRW could work too, but I’d prefer the first duo of ETFs for a young buck under 30.

Stick with US ETFs.

A lot of worldwide companies exist in them anyway.

[Andrea]

How I handled it was went through the 2008 crash all while completely invested in our s&p. I never stopped investing because I know that I’m in for the very long run.

I’m not worried and I have less time until retirement than you do.

Wisdom comes with age, and you can learn from what others have experienced.

Set it, and don’t look at it again for 10 years.

[Tom]

Retired guy here. We’re at the other end of the rainbow. I never second guessed myself and just did the set and forget it method.

To me a S&P500 or Total Market Index Fund/ETF has enough international exposure that I sleep well and no FOMO.

But you need to do what allows you to sleep well.

Life is to short to always be sweating the small stuff.
At least you’re not buying bonds at your age, celebrate that!

I’m 71 with a portfolio of:
75% FSKAX
20% Annuity at 6.8%
5% HYSA at 4.3%

This yields more than enough income so we need not sell any equity if it’s down. Or if it should drop 50% we can just double our Roth conversions.

My advice is to just buy and forget you have it. Enjoy your life and somewhere down the road you’ll have enough to give yourself options.

Intentionality is a powerful thing.

[David]

Great job on starting early and building such a strong foundation at 23!

While VT offers global diversification, it’s worth considering that US markets, as captured by VTI, have consistently outperformed international markets over the past few decades and currently account for a large portion of global innovation and economic growth.

Plus, VTI inherently includes exposure to multinational companies that operate globally, so you still gain some international exposure without sacrificing performance.

While no one can predict the future, the US’s track record of strong returns, innovation, and resilience suggests it may continue to lead.

At your age, leaning into higher-growth potential like VTI could make sense, especially in a tax-advantaged account like your Roth IRA where compounding works in your favor.

Ultimately, staying invested is the key, so whatever you decide, you’re already ahead of the game!

Staying the course is generally good but also
adjusting as you go and learning is important.

Bottom line is I think you’re being too risk averse for your age and too bullish on international stocks.

Better to be overweight US large cap and especially technology sector like VGT.

While there may be short-term periods where international markets outperform (e.g., emerging market booms), the U.S. is more likely to lead in the long term due to its innovation, economic resilience, and global influence. Lean towards U.S.

markets while maintaining some international exposure for diversification.

[Alison]

I have the same fomo! I was doing a 70/30 split with SWPPX and SWISX, and I recently changed it to 80/20. It’s hard when the S&P is

outperforming all world so drastically.

I’m tempted to go all in on S&P but keep reminding myself that bogleheads recommend some all world, and to let it ride.

It’s hard!

[Eric]

I watched my family struggle financially and I get it.
You work so hard for your $, make it work for you.

S&P500 averages 10% since 1960s, I believe.

It’s the 500 best companies in the US. Hard to argue against investing in this index.

[Author]

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