Malkiel’s stock recommendation: 82% top 50 US and 18% top 50 international

Here is my new and improved ultra precise answer to your question of which index fund readers should put their money in.

82% in XLG and 18% in FEZ.

This is my implementation of Burton Malkiel’s very strong admonition on page 202 of the 50th anniversary hardcover edition of A Random Walk Down Wall Street.

.

He writes in pretty plain English, but I will translate it one more level into plainer English,

.

You’re nuts if your stock market investments do not match this.

.

If Peter Lynch and Warren Buffett were to read this, I suspect they would say, “close enough” to their admonitions to put your money in index funds.

,

So this is Malkiel, not me. It is Lynch and Buffett not me. I am not interested in arguing with anyone whose ego is entangled in which stocks or mutual funds he owns.

.

I see no reason to do further research until some new research refutes this Malkiel advice. Plus, it is generally impossible to create a better system for choosing WHICH stocks to buy or sell and WHEN because if everyone follows the same system of stock picking or timing, it stops working.

.

The 82% XLG 18% FEZ formula makes no attempt to pick stocks other than by market cap and continent and no attempt to time the market, both quite thoroughly proven to be futile.