By Christine Benz, ( Morningstar)
CHICAGO ( Morningstar) -- Susan, a retired finance executive, has put together an enviable portfolio. She has chosen her investments with care, and it shows. Rather than opting for a portfolio of funds run by household-name firms (though there's not necessarily anything wrong with that), her holdings largely consist of mutual funds overseen by top-notch boutique investment managers such as Royce, Wasatch and Amana. And even more important, she has been an avid saver and a successful investor, amassing a total of more than $2.8 million as of early May. Given her reasonable living expenses, she's in a good spot, even though she could be funding 30 or more years of retirement.
|At 55, single and already retired, a retired finance executive can have an enviable portfolio but still not be best positioned to pay for another 30 or more years of leisure.|
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Apart from its equity-heavy stance, Susan's portfolio has a lot to recommend it. It consists of three separate components: a rollover IRA, Roth IRA and taxable brokerage account that is her largest pool of assets (more than $2 million). In aggregate, her portfolio leans slightly toward small- and midsize firms and growth stocks over value, but is generally very diversified by investment style, company size, and geography.