 Guys, welcome back to the Independent Investor Channel. In this video, I'm going to jump in and I'm going to talk about a topic that doesn't get covered very often through YouTube. And that is the importance of fixed income in a small capacity in the portfolio. This represents a small percentage of my total overall wealth, but I thought it more beneficial to do as opposed to not do. And I'm going to share with you the portfolio makeup, the holdings that make up in M1 Finance, the Vanguard, long, short and intermediate term duration, both on the corporate and the government debt side of the house. I think it's an important addition. And in a holistic approach, I look to share this small piece to my portfolio with you guys. I'll leave the portfolio in the description as well as in the comments section down below. Kick over, check it out. Use it if you'd like. If not, no problem at all. We're looking to share how it is that I seek out my wealth-building strategy using multiple accounts. This is one of three M1 accounts that I use and this just so happens to be the fixed income element to the portfolio. So let's jump in and see what makes up my fixed income portfolio with M1 Finance. And I thought it would be prudent to come in and update you for transparency's sake. My Vanguard bond ETF portfolio, this is something that I do not do very often, but we have been getting crushed. I've probably entered into the bond market at historically the worst time in the last hundred years, so where the stock market can be very, very good and it can be not so good. This is one of those not so good times, especially in the bond market. But no problem. We're off a couple hundred dollars in this and I can live with that. The whole focus of this is to add some fixed income into the portfolio. This is an avenue that a lot of people scoff at and it's one that a lot of people do not believe in and I have come full circle with the importance of having some fixed income in the portfolio. Now, this, relatively speaking, is a very, very low aspect of my portfolio. However, in line with my fundamental wealth-building philosophy, this works to set up on a twenty five dollar schedule every month and fund and that's what I do. I fund this with about twenty five bucks every month or every two weeks, something like that, and it works. I think over time it's going to build up to something special. My strategic goal up through this is to get to fifty or a hundred grand in this and I think it's going to be a nice supplement to the portfolio when I hold a lot of equities on the top end of the portfolio. It'll help balance the bottom end of the portfolio having those fixed income pieces in place and we're one point six percent toward our goal. We'll get there and I have no doubt in that and if I can't get there then I will take this philosophy and I will transfer it to the next generation, i.e. my kids, because I think bonds do fit into and have a very important place in a portfolio. They really do help buffer the storm and volatility. They do pay a nice dividend and the dividends have been paid here that such a small amount the capital depreciation in the bond market has accelerated to the downside to such an extent that there's no way that the dividends could have matched that or offset those losses which is totally fine. I look to be in a nice position here to have built this up now while the bond market has been suffering and I'll look for some appreciation to make this up and we'll chronicle it through the channel as we continue to mature with this portfolio but we've had this less than a year. So, just to express to you guys how new this is and how cool it is for me to come on and share this idea with you guys. I do share this portfolio openly with the audience and we're affiliated with M1 Finance and we can receive a small compensation but the portfolio is very, very real and if you ever wanted to add a little bit of fixed income to the portfolio you could do so and you can see here 250, 200 in between 150 and 250 on the top end here that's all for these spackling of intermediate short term and long term I do have the extra duration I just went in through in there as well and this portfolio renders over 3% of a dividend cumulatively across all of these different holdings but you can see here how I've got the breakdown 15 and 15. We're right on the target here just a little under here at 14.9 and 15 on the intermediates short terms here at 14 and 13 respectively and then down the line here these are custom you can adjust these however you want like I said there's no right or wrong answer. The idea here is just to introduce capital to each of these Vanguard ETFs and I really like investing this way they have done really well for me in the past and I really shouldn't have sold. I probably sold during banana market crazy times and decided to raise some capital and take some profit. Wish I wouldn't have done that and the older I get the less selling or liquidating I do and the more accumulating of assets that I do which I think this is indicative of that strategy and I like it. I think it's great. I think it's prudent for a lot of investors. I think it would cost you nothing to go ahead and add a bond element to the portfolio would cost you zero and you could keep it in check with the amount of funding that you make to the portfolio. In other words you might set a portfolio goal of you know $10,000 in this and it may take you 10 20 years to get there no problem right it's not hurting you. This doesn't hurt me. I don't lose sleep over this. I invest in the bond market and I've got a little allocation to fixed income and that's great. I've got a drop point to build on as I approach later years and life and you know it's really really important to have that element of the portfolio as opposed to not having it in the portfolio. So I do share this openly I will drop this in the comments section as well to make it more accessible to you guys. This does a couple of things. It introduces you to how I seek some fixed income and M1 finance again this is something that I do not showcase very often and also to showcase the aesthetics and the capability of M1 finance that's this fits perfectly with the passive niche and the passive investing approach that I take in the stock market. I look to embolden this portfolio over time and we will and I will share that with the audience here as we grow this fixed income portfolio and hope for better times because as of late I've just been absolutely slaughtered but we live to fight another day and good on me for coming on and sharing even during bad times what it can look like and more importantly what we expect to transpire going into the future in a small portfolio like this as we continue to fund and look for better days on the horizon. So guys I appreciate it and we'll kick you back and we'll conclude the video. So guys we've come out of the M1 finance comprised of the fixed income piece. This is an interesting way of seeking the 3%. This is a nice hedge or buffer against inflation within my total portfolio. I'm looking to build this up to some sizable wealth. I just started the portfolio I've had it less than a year so to be interesting to chronicle the performance obviously it's come off of a little bit with the recent volatility in the market the interest rates have kind of gone bananas in this so it'll be interesting to build this account up see how it performs over time. If you appreciate information like this I'd invite you to subscribe to the channel leave your comments at the bottom of the video hit the notification bell for me and share the message with those folks out there looking to get intermediate introductory information to the stock market if you think that they would appreciate the information guys thank you so much for tuning into this video and good luck in your investment future.