Spent time in the industry and have managed my own for years. I just make sure to pick an asset allocation model that meets my risk tolerance and time horizon needs/goals. Reallocate as needed, review allocations at least annually, sometimes after big run ups or downs, is my usual process. I prefer using a few low cost low turnover mutual funds, like some of those already mentioned. If you do it all in one fund, no reallocation is usually necessary, but picking the right fund becomes critically important. If you are not a MF guy, ignore most of the rest of this as it does not apply.
To do your own does take some knowledge, interest and time. If you lack one of these, you may want to stay with an advisor. One thing I have seen is advisors putting $ into too many funds, overlapping positions then occur, breakpoints may be missed and costs go up. Some of this depends on the fee structure of the advisor, the fund, and does not apply in all cases. Too many funds can make it difficult to determine your total allocation between asset classes, which sometimes is intentional, sometimes unintended.
If they can’t show you your total percentage between asset classes, run. Most can and do anymore. If they can, and you are in say 25 funds, ask why? Odds are many are the “same” class, if so then consider consolidating funds, as it makes sense. That may be the path to lower fees once it’s all consolidated. Regardless, always ask why these funds, can it be done in fewer funds?, almost always yes. Resist the urge to chase the hot fund, usually anyway... It can all be done in one fund, but I prefer 3 to 6 for my needs. That allows me to get a more refined or pure allocation in some asset classes, like international for example, but it requires more time and attention to reallocate.
If done like I am doing, most of the time spent was in the first year or two. I spend maybe 10 hours a year now between mine, my Mom’s and helping a few friends out. If you go with one fund, there is little ongoing time commitment, once you select the fund. If you have not already done so, I’d suggest taking a few risk tolerance assessments, read a few general articles about various asset allocation models, and then go for it. If you have a spouse, have them take the assessments too. You’ll find much of this on fund web sites. Good luck!
