Is Our Approach Too Conservative?

[Kanto]

Is Our Approach Too Conservative?

I am in my early 30`s and my wife is in her mid 30`s. We have one child who is 6 months old. I make about 4,000,000 a year my wife usally makes 5,000,000+ but will be PT for the next year or so.

Investments

Me
iDeco 68,000 a month - All Rakuten wrapped VT
Tsumitate - 全世界株式（オール・カントリー)
Taxable - More 全世界株式（オール・カントリー) and 先進国債券インデックス

Wife
iDeco 12,000 a month - 70%Developed/10% Developed Bonds/10% Japanese Stock/10% Japanese Bonds
Tsumitate- ｅＭＡＸＩＳ Ｓｌｉｍ 先進国株式インデックス
Taxable - Nothing

Son-JNISA
全世界株式（オール・カントリー) (Maxed)

Perhaps it is just FOMO due to the preformance of the technology sector, however I wonder if I am better off putting more into low cost American funds such as VOO or its domestic equivalents. Part of me even wants to invest in QQQ or Nasdaq funds, however I feel that sector may be too inflated at the moment and historicly the NASDAQ is not deversified to be considered a long term hold.

[adamu]

You're investing a large % of your income and are almost 100% in stocks besides a few bonds in your wife's account. That doesn't sound conservative to me at all!

[Kanto]

You're investing a large % of your income and are almost 100% in stocks besides a few bonds in your wife's account. That doesn't sound conservative to me at all!

I am about 10% bonds with 先進国債券インデックス at the moment, Sorry I should have written the funds in English, the names blend together.

At 40 years old I will rebalance to 20%

[RetireJapan]

Your current approach seems to be somewhat aggressive, which is fine as long as you understand what you are doing (I'm 100% stocks at 43).

Overweighting the US or tech sectors does seem like FOMO/greed.

If I were going to try an active play at the moment I might overweight emerging markets, but that is not a recommendation

[fools_gold]

Perhaps it is just FOMO due to the preformance of the technology sector, however I wonder if I am better off putting more into low cost American funds such as VOO or its domestic equivalents. Part of me even wants to invest in QQQ or Nasdaq funds, however I feel that sector may be too inflated at the moment and historicly the NASDAQ is not deversified to be considered a long term hold.

I think your instincts are right here. Different sectors, regions, and asset classes will outperform at different times, but the standard advice is to ignore this and stick to your allocation and rebalance when necessary. You may miss out on spectacular gains, but you reduce the risk of spectacular losses. It can be hard to resist the urge to meddle, which is why I have a little play money to satisfy any wayward urges.