Search found 2215 matches

Return to advanced search

Re: AA of 60/40 for your Lifetime?

There is no set it and forget it allocation that would apply to most. Need and ability to take risk vary widely among people and many times for each individual. A Target Date fund chosen at age 25 may not be right when that person reaches age 55. A life strategy fund at 60/40 might be needlessly agg...
by Dandy
Wed Aug 27, 2014 11:39 am
 
Forum: Investing - Help with Personal Investments
Topic: AA of 60/40 for your Lifetime?
Replies: 18
Views: 947

Re: International allocation

You have to be careful about percentages - is it the percent of the portfolio or the percent of your equities. I think the percent of portfolio better shows the amount of risk/exposure you are taking. I am in early retirement and have 42% equities. 11% of my portfolio is in international equities. T...
by Dandy
Wed Aug 27, 2014 8:38 am
 
Forum: Investing - Theory, News & General
Topic: International allocation
Replies: 62
Views: 3032

Re: Really dumb question from a newbie. passive investing

You have the basic point. As noted rebalancing is probably a given as you don't want to have your portfolio allocation drift too far. You should also decide when/if to moderate your level of risk as you age or life circumstances significantly change. For tax purposes you want to locate fixed income ...
by Dandy
Wed Aug 27, 2014 8:25 am
 
Forum: Investing - Theory, News & General
Topic: Really dumb question from a newbie. passive investing
Replies: 5
Views: 470

Re: Changing AA from 90/10 to 80/20

I tend to be a more moderate risk taker than most. 90 and 80% are both aggressive. If you started your investing in 2013 you have had the benefit of a strong equity market. That can do a lot to make people comfortable with risk. I would suggest that 80% might be a better equity allocation - many &qu...
by Dandy
Wed Aug 27, 2014 8:06 am
 
Forum: Investing - Help with Personal Investments
Topic: Changing AA from 90/10 to 80/20
Replies: 6
Views: 917

Re: What 5 stocks can I own forever?

So when Warren and Charlie retire or die there is no unusual risk in BH stock? I know they have a decentralized management approach but I believe they added significant value not to leave a large hole. Anyhow, it is a bit of a risk that instead of being an investment model they will just be a conglo...
by Dandy
Tue Aug 26, 2014 10:39 am
 
Forum: Investing - Help with Personal Investments
Topic: What 5 stocks can I own forever?
Replies: 58
Views: 4262

Re: strategy to get brokerage bonuses

It is a bit like the free dinner offered for attending the retirement presentation. A certain percentage that go for just the free dinner end up paying a heavy price. So, anytime there is an attractive bonus you really need to not get ensnared by fine print gotchas or being lured into products or se...
by Dandy
Tue Aug 26, 2014 7:35 am
 
Forum: Personal Finance (Not Investing)
Topic: strategy to get brokerage bonuses
Replies: 45
Views: 2613

Re: Telling my friends I paid off my house was a mistake.

Living a bit below your means and limiting or reducing debt generally makes people feel you are not as successful as you really are. After all you may drive an older car, avoided re doing the kitchen and don't have the latest home entertainment toys. On the other hand those who a spenders often look...
by Dandy
Tue Aug 26, 2014 7:29 am
 
Forum: Personal Finance (Not Investing)
Topic: Telling my friends I paid off my house was a mistake.
Replies: 57
Views: 7710

Re: Juice up your cash returns (!) [What do you consider cas

These are the types of investments that are created, packaged and or touted by financial firms to try to tap into the yearn for a better return on "safe" investments. I've seen this show before and it usually ended badly. People are afraid of bonds, think stocks are too high and that norma...
by Dandy
Tue Aug 26, 2014 7:11 am
 
Forum: Investing - Theory, News & General
Topic: Juice up your cash returns (!) [What do you consider cash?]
Replies: 11
Views: 2140

Re: What 5 stocks can I own forever?

Really there are some great companies but with the pace of change and global competition I doubt you could pick many stocks that are buy and hold forever (or even for 3 or 4 decades). The good old days of blue chips seem far away.
by Dandy
Tue Aug 26, 2014 6:56 am
 
Forum: Investing - Help with Personal Investments
Topic: What 5 stocks can I own forever?
Replies: 58
Views: 4262

Re: 100% stock AA-> At what age to add bonds?

age is bonds is a pretty good rule of thumb or in other words a good starting point. If you have the risk tolerance or need to be more aggressive fine. If you don't have a need to take more risk or are unsure of your risk tolerance then age in bonds isn't a bad starting point. At 22 that would mean ...
by Dandy
Mon Aug 25, 2014 4:01 pm
 
Forum: Investing - Theory, News & General
Topic: 100% stock AA-> At what age to add bonds?
Replies: 58
Views: 3450

Re: 100% stock AA-> At what age to add bonds?

Age in bonds is still a pretty good starting point . We should all ask ourselves if we vary from this rule of thumb by much - why. Should have a good reason. I'm not sure having a strong stomach is good enough reason. I'd say once you reach 30 or so this decision becomes more critical. Earlier than ...
by Dandy
Mon Aug 25, 2014 7:04 am
 
Forum: Investing - Theory, News & General
Topic: 100% stock AA-> At what age to add bonds?
Replies: 58
Views: 3450

Re: Backyard Shed

I would go for a slightly bigger shed than you think you need. Ist shed was destroyed by a tree so I made the replacement the next size and it was much better. Also, I sort of divided my 1st shed and regretted it. It made two smaller "rooms" and I found that flexibility of space was more i...
by Dandy
Sun Aug 24, 2014 8:47 am
 
Forum: Personal Consumer Issues
Topic: Backyard Shed
Replies: 21
Views: 1417

Re: Saving for a car

I like that you are saving ahead of time. Investing in an intermediate bond fund is ok but you have to take some risk, especially with rates so low, that instead of gaining money you will be subject to having a loss. That may delay your plans. Most times short term savings are better off by just ban...
by Dandy
Sun Aug 24, 2014 8:27 am
 
Forum: Investing - Help with Personal Investments
Topic: Saving for a car
Replies: 20
Views: 1560

Re: taxable accounts

You have not identified the goal of this money. Saving for a house?, long term supplement to retirement? I'll assume it is a longer term goal and you are above the 15% tax bracket. You can use the three fund portfolio with VG intermediate Tax Free fund replacing the Total Bond fund. So Total Stock, ...
by Dandy
Sun Aug 24, 2014 8:15 am
 
Forum: Investing - Help with Personal Investments
Topic: taxable accounts
Replies: 4
Views: 707

Re: I need "Ultra High Net Worth" investing advice please

If you have children you might want to visit a good lawyer/estate planner to discuss options like trusts and a good tax lawyer to avoid unnecessary taxes. It may seem silly but what are your goals? Do you want to invest in another business, become a land baron, run for office, help a special charity...
by Dandy
Sun Aug 24, 2014 8:07 am
 
Forum: Investing - Help with Personal Investments
Topic: I need "Ultra High Net Worth" investing advice please
Replies: 213
Views: 14524

Re: Defining "Stay the Course"

Significant life events should warrant a review of your investment approach. Your move was based on a significant event not a prediction of the market. Also, moving 4% of your portfolio from a higher risk bond fund to an intermediate risk bond fund is relatively minor in the scheme of things. When I...
by Dandy
Sat Aug 23, 2014 8:19 am
 
Forum: Investing - Theory, News & General
Topic: Defining "Stay the Course"
Replies: 41
Views: 3580

Re: How to weather market downturn with a high chance of lay

You set your portfolio allocation and then if a life changing event happens or is very likely - like a lay off then you need to adjust your approach. I was in a high probability of layoff in 2008. I kept a higher cash position/eliminated debt. Banked bonus, stopped buying company stock, cut back a b...
by Dandy
Sat Aug 23, 2014 7:35 am
 
Forum: Investing - Theory, News & General
Topic: How to weather market downturn with a high chance of layoff
Replies: 42
Views: 3175

Re: Bad(?) advice given about Target Date Retirement funds

I believe that comment was made relating to a very, very hands off investing "friend" and the risk in that one case was that the hands off friend would not have a glide path as he aged. Of course any suggestion is only as good as the detailed information supplied. If the only choices were ...
by Dandy
Thu Aug 21, 2014 4:47 pm
 
Forum: Investing - Theory, News & General
Topic: Bad(?) advice given about Target Date Retirement funds
Replies: 85
Views: 5289

Re: Do we plunder our retirement to pay off student debt?

any reasonable approach to pay off the education debt is probably good. Since the interest rates are so close I would opt for paying off the smaller debt thus freeing up extra monthly income immediately and then pay down the larger loan with the balance of the lump sum and extra monthly income. I do...
by Dandy
Thu Aug 21, 2014 4:12 pm
 
Forum: Investing - Help with Personal Investments
Topic: Do we plunder our retirement to pay off student debt?
Replies: 30
Views: 2591

Re: Which Vanguard BOND Fund ?

as pointed out corporate bonds/funds have higher risk so they should pay a higher return. So, I think you are chasing yield because your thinking return % rather than risk. If you were thinking I need to take a bit more risk on the fixed income side - hey what about the Corporate bond fund - then yo...
by Dandy
Thu Aug 21, 2014 4:03 pm
 
Forum: Investing - Help with Personal Investments
Topic: Which Vanguard bond Fund ?
Replies: 36
Views: 3140

Re: To be truly rich, take stock of your life before investi

For me it was always about securing our finances then maintaining/hopefully gradually improving our standard of living. By securing finances mean able to weather things like jobs losses (had 2), serious costly illnesses (had 1), raising and educating children (had 2) and funding a long retirement wi...
by Dandy
Thu Aug 21, 2014 9:00 am
 
Forum: Investing - Theory, News & General
Topic: To be truly rich, take stock of your life before investing
Replies: 30
Views: 4451

Re: Convincing fears on investing for now?

Almost all of us have concerns but many have learned to basically ignore them because we have had the same concerns in the past and the market does what it does. It goes up and down and it is impossible to predict what it will do next. These fears or gut feelings are often fed by the media. That bei...
by Dandy
Wed Aug 20, 2014 8:45 am
 
Forum: Investing - Help with Personal Investments
Topic: Convincing fears on investing for now?
Replies: 34
Views: 3282

Re: Should we switch our TIPS fund?

I don't believe the Short term TIPS fund has a purchase fee. I believe it used to. I went on the VG site and couldn't find that fee. I have a decent allocation to the TIPS fund and smaller allocation to Short Term TIPs. No deep thought just a bit of duration diversity. If you are concerned about ass...
by Dandy
Mon Aug 18, 2014 4:33 pm
 
Forum: Investing - Help with Personal Investments
Topic: Should we switch our TIPS fund?
Replies: 49
Views: 5383

Re: Rebalance + stay the course ... or dial it down on stock

I feel 90% is too high for almost anyone. Why do you need to be so aggressive? If the thought of another major downturn has you worried maybe it is time to reduce the risk. Most times you should only take the risk you need to.
by Dandy
Mon Aug 18, 2014 5:45 am
 
Forum: Investing - Help with Personal Investments
Topic: Rebalance + stay the course ... or dial it down on stocks
Replies: 10
Views: 1901

Re: Berkshire Hathaway - Warren Buffett - Anyone own the sto

No - not into individual stocks. Really like Buffet but wonder how well the stock will do when he and Charlie are no longer calling the shots. But, even if there were young guns I'll stick with index funds.
by Dandy
Sun Aug 17, 2014 10:59 am
 
Forum: Investing - Theory, News & General
Topic: Berkshire Hathaway - Warren Buffett - Anyone own the stock?
Replies: 110
Views: 9515

Re: 100% lifestrategy - good idea for a hands-off investor?

Since he is a committed hands off investor he is unlikely to adjust his portfolio as he ages. If that makes sense to him - you might want to consider a Target Date fund that fits his current risk tolerance. That way he can stay hands off.
by Dandy
Sun Aug 17, 2014 10:49 am
 
Forum: Investing - Help with Personal Investments
Topic: 100% lifestrategy - good idea for a hands-off investor?
Replies: 28
Views: 3268

Re: Poll for 65+ Seniors

age 66 - 42% equities - goal of 40% at age 70
by Dandy
Sun Aug 17, 2014 10:46 am
 
Forum: Investing - Help with Personal Investments
Topic: Poll for 65+ Seniors
Replies: 51
Views: 5708

Re: Windfall and fiduciary recommendations

I think your instincts are correct - there is a tendency to follow the herd i.e. what your partner or other newly wealthy are doing. You made no mention of the fees - I'll bet they are substantial. You probably do need some great tax and estate advice. You should get some feeling like a sheep headin...
by Dandy
Sun Aug 17, 2014 10:43 am
 
Forum: Investing - Help with Personal Investments
Topic: Windfall and fiduciary recommendations
Replies: 18
Views: 1480

Re: Spouse not ready to cut ties with financial advisers

Ugh - having friends or family as investment advisors. Always a potential ugly problem. In the advisors defense (possibly) not being active in buying and selling (aka churning) may not be a bad signal - after all the front end funds they put you in are probably actively managed. No excuse for allowi...
by Dandy
Sun Aug 17, 2014 10:04 am
 
Forum: Investing - Help with Personal Investments
Topic: Spouse not ready to cut ties with financial advisers
Replies: 111
Views: 8437

Re: Composition Stability of Vanguard IT Bond Index (VBILX)

I have a healthy six-figure holding of VBILX. I feel no compulsion to look under the hood I don't think there is any need to worry. But any 6 figure investment would make me curious. Mr. Bogle expressed concerns about Total Bond having too much Government and too little Corporate. The flight to qua...
by Dandy
Sat Aug 16, 2014 5:40 pm
 
Forum: Investing - Theory, News & General
Topic: Composition Stability of Vanguard IT Bond Index (VBILX)
Replies: 6
Views: 640

Re: help with Moms free cash reserves

Ally Bank, Discover Bank and Barclays Bank all have online savings accounts that pay just less than 1%. Not great but FDIC and better than .01% I have some of my yearly retirement drawdown money at Discover Bank. It pays .85% on its savings account. I set up to withdraw $X each month to go to my reg...
by Dandy
Sat Aug 16, 2014 5:17 pm
 
Forum: Investing - Help with Personal Investments
Topic: help with Moms free cash reserves
Replies: 8
Views: 758

Re: Market Timing?

Market timing is used or overused as a naughty word. You could say that staying the course is market timing because you are predicting that the market will recover or progress based on past performance. That is silly. Classic market timing has a lot of activity and a lot of educated or not so educat...
by Dandy
Sat Aug 16, 2014 9:47 am
 
Forum: Investing - Theory, News & General
Topic: Market Timing?
Replies: 20
Views: 1231

Re: Monthly Contributions - Asset Allocation

I would make your contributions agree with your target allocation. Adjust your contributions as part of your rebalancing if you need to. e.g. if you can rebalance and avoid a taxable event. I'm not a fan of equity allocations above 75 or 80%. There have been a lot of more recent suggestions by respe...
by Dandy
Sat Aug 16, 2014 8:41 am
 
Forum: Investing - Help with Personal Investments
Topic: Monthly Contributions - Asset Allocation
Replies: 10
Views: 689

Re: Do you diversify into international bond?

Not yet -- at least as a separate product. There is a small allocation in Total Bond. I don't understand enough about the risks/benefits and need. At a time of low yields it is tempting to jump into "new" fixed income products -- when I get that feeling I usually move away from the ledge a...
by Dandy
Sat Aug 16, 2014 8:33 am
 
Forum: Investing - Help with Personal Investments
Topic: Do you diversify into international bond?
Replies: 31
Views: 2027

Re: Should I Invest in both T-IRA & R-IRA?

When both alternatives have merit I usually decide to do some of both. TIRA reduces current taxes and Roth reduces future taxes. I would load up the Roth with mostly equity allocation and the load up my TIRA with mostly fixed income allocations. If you are lucky at retirement you will have a nice am...
by Dandy
Sat Aug 16, 2014 8:23 am
 
Forum: Investing - Help with Personal Investments
Topic: Should I Invest in both T-IRA & R-IRA?
Replies: 34
Views: 1277

Re: Starting a Lazy Portfolio Now

know one knows if it is a good time or a bad time to get in now. If you are concerned then put some money to work at your target allocation now and automate DCA to those funds the balance over the next 6-9 months. When the market is at a high or has had several years of very good gains I would do le...
by Dandy
Fri Aug 15, 2014 8:27 am
 
Forum: Investing - Theory, News & General
Topic: Starting a Lazy Portfolio Now
Replies: 21
Views: 3526

Re: “The more I learn, the more I realize how much I don't k

Our investment goal: Offer protection against unexpected life events and to principally maximize our (grand) children’s inheritance . These are or seem to be conflicting goals - protection and maximize don't go together for the same portfolio. So you need to make up your mind and decide on one goal...
by Dandy
Fri Aug 15, 2014 7:34 am
 
Forum: Investing - Help with Personal Investments
Topic: “The more I learn, the more I realize how much I don't know"
Replies: 18
Views: 1917

Re: Deferred Income Annuity

Or a Prudential term life policy that pays most of the face value if you are confined to a nursing home for at least 6 months, with no prospect of leaving alive. True the "living needs benefit" can come in handy especially if you bought the term policy early. Buying term at retirement age...
by Dandy
Thu Aug 14, 2014 9:43 pm
 
Forum: Personal Finance (Not Investing)
Topic: Deferred Income Annuity
Replies: 9
Views: 839

Re: Deferred Income Annuity

If you have good longevity genes they and immediate annuities make sense. If you wish to reduce your RMD (from time of purchase to time payments begin). For Deferred annuities that qualify for QLAC designation. If you want/need to spend more between time of purchase and time payments begin. It can p...
by Dandy
Thu Aug 14, 2014 5:53 pm
 
Forum: Personal Finance (Not Investing)
Topic: Deferred Income Annuity
Replies: 9
Views: 839

Re: Do you hold cash/money market outside of your emergency

I never really had a specific emergency fund. I always had a variety of liquid money options in case of emergency. If an emergency hit I could pick how to address it. Home Equity Line of Credit loan? money market check? Cash in a CD? I have about 5-10% of my portfolio in cash (includes money market,...
by Dandy
Thu Aug 14, 2014 9:16 am
 
Forum: Investing - Help with Personal Investments
Topic: Do you hold cash/money market outside of your emergency fund
Replies: 31
Views: 1974

Re: Question re- EE Bonds

Go on Treasury Direct and find out the value and what interest rates they are earning. I have old EE bonds that are paying 4% with no state tax. I'm holding them until maturity unless there is a better deal out there.
by Dandy
Sun Aug 10, 2014 10:43 am
 
Forum: Personal Finance (Not Investing)
Topic: Question re- EE Bonds
Replies: 18
Views: 1626

Re: bond duration and interest rate risk

I'm assuming the duration calc ignores the emotional aspect of investing. When interest rates rise there is a math component at work where logical reaction to the change would be reflected in the bond price. When bond prices rise there will also be an emotional reaction -- hyped by the media. Since ...
by Dandy
Sun Aug 10, 2014 10:38 am
 
Forum: Investing - Theory, News & General
Topic: bond duration and interest rate risk
Replies: 33
Views: 2854

Re: cash reserves

I recommend having a decent cash/liquid allocation but not moving money out of investments and hiding out in cash until the risk goes away. I started out building a lot of savings in my Stable Value fund before tip toeing into equities. That was not due to great strategy but due to fear and ignoranc...
by Dandy
Sun Aug 10, 2014 10:09 am
 
Forum: Investing - Help with Personal Investments
Topic: cash reserves
Replies: 19
Views: 1830

Re: Need for International Investing ?

I think you can do fine without investing internationally. It provides some diversification and the world is changing as far as where the economic growth is greatest. After WWII the US was in commanding position since other economies were severely damaged. We no longer have that advantage. So, while...
by Dandy
Sun Aug 10, 2014 9:53 am
 
Forum: Investing - Help with Personal Investments
Topic: Need for International Investing ?
Replies: 49
Views: 2599

Re: Treasuries vs CDs/Cash

I don't own any Treasuries except as a port of Total bond or short term bond index. But, they are a great safe haven when the you know what hits the fan. For that purpose I'd rather own Treasuries than gold. In a taxable account the interest isn't state taxable. I am a fan of Mr Bernstein. I have a ...
by Dandy
Sun Aug 10, 2014 9:37 am
 
Forum: Investing - Help with Personal Investments
Topic: Treasuries vs CDs/Cash
Replies: 13
Views: 1810

Re: 3.3% Vanguard 10 year CD

I have some $ in the VG 3.3% 10 yr CD. Haven't found a "safe" investment that pays more. You are aware of the inflation risk and concerns about having to sell the CD prior to maturity. I am in early retirement and want to have a decent portion of my fixed income in "safe" product...
by Dandy
Sun Aug 10, 2014 9:21 am
 
Forum: Investing - Help with Personal Investments
Topic: 3.3% Vanguard 10 year CD
Replies: 96
Views: 8890

Re: Who or what inspired you and your investing approach?

The killer B's -- Bogle and Bernstein.
by Dandy
Fri Aug 08, 2014 9:49 pm
 
Forum: Personal Finance (Not Investing)
Topic: Who or what inspired you and your investing approach?
Replies: 93
Views: 4300

Re: Short term vs Intermediate term bond funds

I'm in retirement andI have intermediate and short term bond funds. Including Total bond, short term bond index, corporate, TIPS, and muni. And some Cds for good measure. I try to have about 1/3 in short term, 1/3 in intermediate term and 1/3 in "safe" e.g CDs I like diversification and tr...
by Dandy
Fri Aug 08, 2014 11:38 am
 
Forum: Investing - Theory, News & General
Topic: Short term vs Intermediate term bond funds
Replies: 27
Views: 2523

Re: How Often to Look for Rebalancing Opportunities?

I think most people should check their portfolio frequently - even if it is to make sure it is still there. If checking makes you take action or worry too much that is a different story. I check to make sure I understand how the market affects my different holdings as well as to make sure it is stil...
by Dandy
Thu Aug 07, 2014 11:55 am
 
Forum: Investing - Help with Personal Investments
Topic: How Often to Look for Rebalancing Opportunities?
Replies: 20
Views: 1042

Re: Talk me in/out of buying a vacation house or condo...ple

I have enough trouble taking care of my home. The thought of having another is not on my radar. I like vacations to be stress free. Don't want to be cleaning, shopping for food, making beds, fixing stuff etc. Also, don't want to vacation in the same place every year. So, I say rent don't buy.
by Dandy
Wed Aug 06, 2014 12:58 pm
 
Forum: Personal Finance (Not Investing)
Topic: Talk me in/out of buying a vacation house or condo...please
Replies: 21
Views: 2700
Next

Return to advanced search