BlackRock's Larry Fink Says the Classic 60/40 Portfolio Is Dead. Here Are the ETFs to Buy Instead.

Group 1 - BlackRock's CEO Larry Fink suggests updating the traditional 60/40 portfolio to a 50/30/20 allocation, reflecting changes in the investment landscape [1][4] - The traditional 60/40 portfolio consists of 60% stocks and 40% bonds, which can be easily managed with just two ETFs and two trades annually [2][3] - Fink's updated allocation includes 50% in stocks, 30% in bonds, and 20% in alternative assets such as private equity, real estate, and infrastructure [4][8] Group 2 - The new asset classes proposed by Fink are seen as differentiated enough to warrant inclusion in a modern portfolio, acknowledging the evolution of investment opportunities [4][5] - Suggested ETFs for real estate and infrastructure include Vanguard Real Estate Index ETF with an expense ratio of 0.13% and SPDR S&P Global Infrastructure ETF with an expense ratio of 0.4% [6][7] - The shift to a 50/30/20 allocation is not considered radical, as it merely reallocates a small percentage from bonds and stocks to new asset categories [8][9]