Our Terms of Service and Privacy Policy have changed.

By continuing to use this site, you are agreeing to the new Privacy Policy and Terms of Service.

5 of 7
BACKNEXT
Staying the course
Name: Geo Verna
Age: 43
Hometown: Windsor, Calif.


My wife and I are in our early 40's and one year after Lehman Brothers and two years after the Dow's all time highs, we have not changed our strategy for saving for retirement.

Currently, we're 20% in bonds, 40% in large-cap stocks, 25% in small-cap stocks and 15% in international stocks. We're mostly in index funds and we revisit this quarterly and yearly, adjusting as needed. Both our companies offer 401(k) matching and we contribute the maximum. We also set up an automatic withdrawl from our savings each month into a tax-exempt bond fund.

From the high in October 2007 to the low in March 2009, our portfolio fell 43%. But as of September, it is down just 18% from the 2007 highs. Year-over-year its down 7%.

The two stocks that tanked the most are also the two biggest gainers since March: Powershares ETF Trust Golden Drg and Vanguard REIT Index fund.

Sure, as time goes on we will modify our allocation percentages, but we are staying with the path that we set to follow.

NEXT: Cashing out at the highs
Last updated September 14 2009: 2:51 PM ET
Email | Print | Share  |  RSS
 
google my aol my msn my yahoo! netvibes
Paste this link into your favorite RSS desktop reader
See all CNNMoney.com RSS FEEDS (close)
More Galleries
World's Top Employers for New Grads For an exclusive CNNMoney list, research firm Universum Global surveyed business students at colleges around the world to see where they most want to work. More
Brexit voices: In or out? CNNMoney speaks to British people to find out their views ahead of the referendum on EU membership. More
10 key facts about the U.S. economy Unemployment is down, gas is cheap and America is growing. But just how strong is it? More

Special Offer