Is my portfolio spread across too many funds given my age?

My advisor with a well-known company has my retirement portfolio in 20 or more funds (30 percent is in ETFs) and four cash funds. It's very confusing. They claim to be a fiduciary. The money is safe but returns given this year (4.9 percent) have not been good enough in my opinion. I'm 65 years old and my spouse is 64. Is my portfolio spread across too many funds given my age?

Retirement, Asset Allocation, Choosing an Advisor, ETFs
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3 weeks ago

Twenty four plus funds is likely far too many.  If I were to review your portfolio, I'd likely see a lot of duplicative positions — same companies, same industries, same geographies, same bond maturities, etc.  This is called the pu pu platter approach, and it is common among advisors or firms that don't express any real opinion on the markets.  However, your return so far this year is actually pretty good and raises another alarm in my head.  I suspect you have a lot of large-cap U.S. equity spread out among several different funds.  So while you have a great many funds, I wonder if your portfolio is actually very diversified after all.

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