About this Video

• Video Title: How I Invest my $421,000 Portfolio at 28 (Full Breakdown)
• Channel: WhyLearn
• Speakers: One unnamed speaker.
• Duration: 00:13:52

Introduction

This video details a 28-year-old's $421,000 investment portfolio, explaining its composition across various asset classes and outlining the speaker's plan to reach millionaire status by age 35. The speaker emphasizes that this wealth was accumulated through consistent saving, investing, and a frugal lifestyle, rather than through high-risk ventures.

Key Takeaways

• Portfolio Breakdown: The speaker breaks down their portfolio into several assets: a cash balance pension, cryptocurrencies, a Health Savings Account (HSA), a Roth IRA, cash holdings, 401(k)s, and a taxable brokerage account. Each asset's percentage of the total portfolio is detailed.
• Asset Allocation Strategy: The speaker's strategy prioritizes tax-advantaged accounts (Roth IRA, 401k, HSA) and diversifies assets to mitigate risk. Approximately 15% of the portfolio is held in cash for investment opportunities.
• Investment Philosophy: The speaker advocates for long-term investing in index funds and ETFs, emphasizing consistent contributions over speculative ventures. Dollar-cost averaging is a key component.
• 401k Discussion: The speaker addresses common criticisms of 401(k) plans, highlighting their importance in the wealth-building strategies of many millionaires.
• Million-Dollar Goal: The speaker aims to achieve a net worth of $1 million by age 35 through continued monthly investments and an anticipated 8% annual return.

1. ETFs and Mutual Funds (Roth IRA & Taxable Brokerage): In their Roth IRA, the speaker invests in QQQ, SCHD, SCHF (for international exposure), and Vanguard dividend funds. The taxable brokerage account holds a mix of individual stocks (mentioning Palantier and Blackstone as past holdings), and dividend-paying ETFs such as SCHD, VIG, VYM, and QQQ.

2. 401(k) Allocation & Fund Type: Approximately 23.4% of the speaker's portfolio is in their two 401(k) accounts. These are invested in Vanguard target-date retirement funds, which adjust their allocation to become more conservative as the retirement date approaches.

3. Plan to Reach $1 Million: The speaker plans to continue making monthly investments, primarily through dividend reinvestment. As their self-employment income stabilizes, they aim to increase contributions. They project that contributing $2,000 per month, with an 8% annual return, will allow them to reach $1 million by age 35.