"Step away from those individual stocks. Forget I bonds and laddered portfolios of individual Treasury Inflation-Protected Securities. If you're a satisficer, they're not for you. Reduce your number of accounts and the holdings within them.A portfolio with fewer moving parts is easier to oversee and simpler to document in case your loved ones or a financial advisor needs to take the wheel."
"While they might not compel over some shorter time horizons, total-market index funds have been highly competitive with actively managed funds on a long-term basis, and they require little to no oversight. That means that satisficer portfolios should be heavy on total market index funds and even all-in-one investments like target-date funds. Satisficers should have as few accounts as possible, too."
Satisficers benefit from simplifying financial lives by avoiding individual stocks, I bonds, and laddered TIPS portfolios. Broadly diversified total-market index funds and all-in-one investments like target-date funds reduce oversight and support buy-and-hold strategies. Fewer accounts and holdings make portfolios easier to manage and simpler to document for heirs or advisors. Morningstar research indicates investors generally perform better with broad diversification than with concentrated holdings. Total-market index funds have been competitive with active managers over the long term and require minimal maintenance. Minimizing credit-card churning, loyalty chasing, and complex financing arrangements reduces friction and decision fatigue.
Read at Fast Company
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