Bogleheads.org

But without the huge increases in tuition, how would universities be able to hire such absolutely necessary positions as Assistant Vice Chancellor for the Academic Support of Inclusive Excellence? The government isn't doing so bad on the deal, either. The US Government Will Make A Record $51 Billion...

Why to use banks? Credit unions are much better. I looked into joining a credit union I was eligible to join, and they had a $5 monthly account fee. I stuck with my regional bank that has a modest balance requirement to avoid monthly fees. Look at banks and credit unions individually to see where t...

I'm getting a vibe that as long as someone's financial advice is couched in simplicity and anti-consumerism (which has a fair amount of support among Bogleheads), then very suspect advice like retiring at 30 with a 4% SWR gets a pass. Anyone else suggesting this would be excoriated on this forum. No...

I'd rather the government incentivize people who don't contribute to IRAs to do so as opposed to worrying about those who do. But that's politics for you.

For whatever reason, low-cost indexing investing (at all levels, from personal to pension fund and so on) is not universally recognized as THE way to invest. This is an expensive lesson for those who choose to ignore it. Caveat emptor, always. If I spend my money foolishly, I am to blame. Unfortunat...

I seem to remember Bogle back in the day saying that TIPS were a new product and he wasn't fond of products without a track record. However, here is a thread from 2010 that quotes him as seeing TIPS in a positive light:

Bogle TIPS Quote

Data from the NY Fed show that the federal funds rate in June 2003 was 1.0% and increased steadily over the next three years to 5.25%. This frightening run up in interest rates caused the Vanguard Total Bond Fund to turn in a total return on only around 8% over this period (best-guess using the dat...

Perhaps most importantly, Mr Bogle urges the Fed to increase rates..

Agreed!

Rich in Michigan wrote:You are about to feel like Clark Griswald ending up in the wrong neighborhood in St. Louis.

It just seems to me that if an obligation to pay back what we owe isn't contractual as well as moral, then...chaos. Agreed, but we live in a world where such things are seen as antiquated and old-fashioned and besides, they inhibit us from doing what we want to do. John Adams had a quote about this...

If you live with her, as long as she pays her portion of the household bills all should be well. You need to make it clear that you won't support her relatives with your money (including paying her bills after she sends her money overseas). If that is acceptable, then don't let what she does with he...

The NFCC is a good move, no bankruptcy talk unless they can't help. She can't afford a $70 a month phone. Get a Tracfone, she can get a yearly contract for 10% of her current cost. She should be able to lower her cable bill by keeping internet service and watching TV livestreamed through Hulu and ne...

I seem to remember William Bernstein in The Investor's Manifesto saying that rebalancing every 2 or 3 years worked well (I hope I'm remembering that right).

You might want to double check the definition of the word "simplicity" and then compare it with your post regarding using only top of the line high end equipment for skiing. This awesome quote made me think that perhaps we can add a new entry to this classic list . All in good humor, of c...

If you're going to need the money in a year or less, I'd put it in an FDIC-insured online savings bank like Ally, Capital360 (formerly ING Direct), or Barclay's. They're paying between .75% and 1.00% interest (but are subject to change at anytime). This advice assumes that your credit union is payin...

Tampa's tax fraud epidemic gets national scrutiny "Out in the street, everybody is doing it," said Chief Jane Castor. "We're hearing stories about high school kids doing this. It's just incredible." "I've been in law enforcement for 28 years," Castor told reporters, &q...

Living like a poor person in a poor country is now hipster, I see. Imagine everyone not buying much at all, and then imagine living in Cuba. But I repeat myself. I find the whole 'atoning for the sins of the environmentally wasteful' thing a bit like wearing a hair-shirt. But that's me. If you like ...

THIS IS YELLING. I THINK WE CAN DROP THIS NOW AND GET BACK ON SUBJECT

The W funds are low cost and conservatively managed, so I wouldn't agonize over the choice. I'd go with index funds or TR/LifeStrategy, but that's me!

There's some great answers posted here already, but I'll add the example of Japan to the mix. The world's leading economy in the 1980's has had a stock market that's been down around 60% from its highs for ~20 years. It can happen, there's nothing magic about equities that means you always win given...

LifeStrategy Growth was my first Vanguard fund (and the only one for years) and I was delighted when they ditched the Asset Allocation Fund component from its allocation- LifeStrategy funds are now a pure 3-fund index play. If you don't mind the occasional rebalancing, go with the 3 funds and save a...

Great article, Rick!

As a part of Target Retirement funds, yes.

My international equities (40% of my total equity holdings) are 100% in Vanguard Total International Stock Index. I am occasionally tempted to add Vanguard International Small Cap Index, but right now I'm keeping it simple.

I can't find the source now, but when they make the change later this year, Target Retirement Income will look approximately like this: 21% Total Stock Market Index 09% Total International Stock Market Index 40% Total Bond Market Index 15% Total International Bond Index 15% Short Term TIPS Index Tha...

Email notifications from Vanguard are not reliable because Vanguard does not send a notification to the old email address when the email address is changed online. This is incorrect. I changed my email registered with Vanguard last year and they sent me a notice to my old email on file that I had c...

Age +5 in bonds due to need/willingness/ability to take risks in early retirement.

Gary Spiegel, 54, a woodworker in upstate New York, was persuaded to buy into three private placements after he grew tired of the volatile stock market and withdrew all of his money in March 2010. Much of that money, $100,000, went into a company that was supposed to produce a bilingual television ...

I'm a huge Vanguard advocate but I think having assets at more than one financial institution makes sense- the eggs are not all in one basket that way. It's not a big deal to me, but it just seems sensible.

I have one other institution I keep assets in (a 457 plan).

I've moved my money elsewhere as well. I wonder about the economics of this situation- they seem to be actively chasing business away.

Very true, Taylor- along with "Investing For Dummies", these titles by Eric Tyson are excellent reads for the average person. I've recommended them to friends and co-workers before.

Random Musings wrote:Where is Sudhi when you need him most?

Glad someone else remembered Sudhi!

I was looking into this a while back. If I remember right, 7 years after the target date is reached, every TR fund becomes the same AA as Target Retirement Income fund (30% equities / 70% fixed income). For instance, TR 2015 currently has 54.93% equities. In 2022, that would be 30% equities. So TR 2...

I answered 'somewhat'. I own Total Stock, Total International, and REIT Index as far as equities go.

Hard to believe this still happens. Around 25 years ago I joined a credit union that incorporated my SSN as my account number- it was printed on every check they sent me. I immediately canceled my membership.

"One way to make sure you have nothing at the end of the trail is to invest nothing," Bogle said. "You have got to avoid being intimidated by the market's ups and downs. Stay out of the trading; don't pay the croupier," he said, a reference to the worker who collects and pays al...

I think it's fair to say that: 1) no institution out there is immune from mistakes (please let me know if there is one out there!) and 2) Vanguard's best features are its fund offerings, low cost, and shareholder ownership. I like #2 and luckily have not encountered #1 at Vanguard yet. Sorry you had...

[Political quote from article removed by admin LadyGeek]

Horrid idea.

Another security-related surprise, you don't get notified by email (i.e., at the old address) if someone logs in and changes your email address. So email notifications are not a reliable way to detect unauthorized activity. This is not true. Last week I changed my email address on file at Vanguard ...

Thanks for all the responses. BTW, I talked to my brother about this, (not sure if this is the right forum or not) but he recommended putting it in AGNC, apparently high dividend paying stock... I'll have to look into that later. Be careful. A savings account is very stable and FDIC-insured (and su...

I have a friend who was heavily into internet stocks and penny stocks circa 2000 who would feel like a king if he would have been in the Total Stock Market Index this last dozen years.

Age: early 40s 100% Vanguard LifeStrategy Growth Fund (20% Total Bond Market, 56% TSM, 24% TISM) Simple, clean, easy Excellent! Just keep adding TIPS as you need to water down risk with age. I started with LS Growth too... Just to chime in- I also started out with LS Growth years ago, it's a solid ...

HSBC apparently doesn't want online banking customers anymore, reducing their interest rate to .20%. I imagine they have their reasons

ING seems like a reasonable choice (or Ally etc.)

It would be great to have such a discussion, but the mods are going to descend on this thread soon. Content yourself with commenting on the 3rd 'how much international equity should I own' thread of the week

The bottom line is- nobody knows nothin'. Set an AA you can live with and stay the course.

In early retirement- approximately 40% equities / 60% fixed income roughly: 15% total stock market index 10% REIT index 15% total international stock index 10% short term bond index 25% total bond market index 25% TIPS fund reason: need and willingness to take risk. I prefer simplicity as well. Over...

That's a great philosophy. Happy New Year all!

May you be able to purchase a new board name with your winnings!

Happy New Year to all!

Excellent article, thanks for posting. Finally, the “wet bias” among active money managers has been rampant since the financial crisis. Many have been calling for rain the whole time, whether it’s the secular bear market that won’t go away, a bond Armageddon caused by rising interest rates, a Canadi...

The history of 'Plan B' on this board troubles me- a concept introduced during a steep market decline, which was unsettling. And the plan itself is basically, 'sell low when you're at the end of your rope'. People need to make "Plan A" conservative enough that they feel no need for a "...

The market is highly efficient at processing information. That means everything knowable about stocks is already incorporated into prices. Thus, if the market expects China's economy to grow faster than Europe's, that's already reflected in prices. What matters to future returns is how the actual o...