We don't know OP's investment options in their 401k. They may not be able to buy a good REIT fund in their 401k, and thus must either do so in taxable or Roth. Or perhaps the 401k space (which is described as much smaller than taxable space) is allocated to fixed income, leaving insufficient room for a big REIT tilt.I'm going to go against the crowd. VNQ is acceptable in a Roth if you are a very very conservative investor.
Normally you put your highest risk/reward or really tax inefficient investments in there. I put my VSEQX (Vanguard Strategic Equity) in it as it spins off 10% CG/dividends on average each year most of it short term CG as it's turnover ration is 60+%.
I don't think VNQ is particularly high risk/reward in most investor's portfolios.
In any case, OP can put VNQ in a Roth without being a "very very" conservative investor.
Statistics: Posted by Doctor Rhythm — Mon Aug 19, 2024 1:50 pm — Replies 13 — Views 4275