Search found 289 matches

by Riprap
Thu Aug 27, 2015 4:54 pm
Forum: Investing - Theory, News & General
Topic: Why buy high dividend fund during a correction?
Replies: 15
Views: 2367

Re: Why buy high dividend fund during a correction?

David Jay wrote:So it may be good in theory, but: In theory, theory and practice are the same. In practice, they're not.


Quote of the month. :beer

Should be your signature line. :D
by Riprap
Wed Aug 26, 2015 5:24 pm
Forum: Investing - Theory, News & General
Topic: John Greaney reviews Vanguard Personal Advisor Services
Replies: 14
Views: 1887

Re: John Greaney reviews Vanguard Personal Advisor Services

"Fee & Commission Shaft Detector" spreadsheet. :beer
by Riprap
Tue Aug 25, 2015 10:01 pm
Forum: Investing - Theory, News & General
Topic: Graham's "margin of safety" for US stocks (6-29-15)
Replies: 33
Views: 6387

Re: Graham's "margin of safety" for US stocks (6-29-15)

Thanks for reviving this thread. I have always struggled with which bond yield to use in making the comparison as seems to be the case in this thread. Graham says, "In the ordinary common stock, bought for investment under normal conditions, the margin of safety lies in an expected earning powe...
by Riprap
Sun Aug 23, 2015 9:20 pm
Forum: Investing - Theory, News & General
Topic: Historical Asset Returns & Future Returns
Replies: 35
Views: 2321

Re: Historical Asset Returns & Future Returns

Sometimes I just push back away from my desk mesmerized at the at the intellect expended pondering the unknowable.

...and then I get right back to reading :beer
by Riprap
Sun Aug 23, 2015 4:15 pm
Forum: Investing - Theory, News & General
Topic: Historical Asset Returns & Future Returns
Replies: 35
Views: 2321

Re: Historical Asset Returns & Future Returns

I think I will always remember a quote from Gus Sauter from an Oct 2012 interview in Barrons, " A lot of people assume that market returns are driven by economic growth. But that's not really the case. A better predictor is valuation, or price-to-earnings ratios. Right now, the market is about ...
by Riprap
Sun Aug 23, 2015 8:44 am
Forum: Investing - Theory, News & General
Topic: Creating a permanent legacy?
Replies: 53
Views: 5724

Re: Creating a permanent legacy?

That's why the GST exemption is limited. It was originally $1 million. It's now equal to the estate tax exclusion amount, currently $5,430,000. For most people, the exception swallows the rule, and is sufficient to cover their entire estate. They can leave their entire estate in trust, and if one g...
by Riprap
Sat Aug 22, 2015 10:32 pm
Forum: Investing - Theory, News & General
Topic: Creating a permanent legacy?
Replies: 53
Views: 5724

Re: Creating a permanent legacy?

... Let's assume the GST exemption was used when creating a dynasty trust (or an irrevocable GST trust in a state with rules that essentially make it a dynasty trust). Through good fortune, the trust has grown exponentially through let's say four generations. Let's also say that all the income the ...
by Riprap
Sat Aug 22, 2015 10:03 pm
Forum: Investing - Theory, News & General
Topic: Creating a permanent legacy?
Replies: 53
Views: 5724

Re: Creating a permanent legacy?

bsteiner, Great intro., but I think the OP is asking about trusts that last multiple generations or forever beyond the grantor. Can you speak a bit about dynasty trusts or point us in the direction of the basics, i.e. articles or books? Any suggestions on corporate trustees would be useful as well....
by Riprap
Thu Aug 20, 2015 1:22 pm
Forum: Investing - Help with Personal Investments
Topic: Dividend Growth Investing vs Three Fund Portfolio
Replies: 20
Views: 1313

Re: Dividend Growth Investing vs Three Fund Portfolio

I am interested in no. 2. - supporting retirement from a 100% stock dividend portfolio. I think if you can withstand a 50% reduction in dividends without seriously affecting your lifestyle...go for it. Bernstein's Deep Risk and Ellis' Winning The Loser's Game drive home the point that inflation ris...
by Riprap
Thu Aug 20, 2015 12:43 pm
Forum: Investing - Help with Personal Investments
Topic: Dividend Growth Investing vs Three Fund Portfolio
Replies: 20
Views: 1313

Re: Dividend Growth Investing vs Three Fund Portfolio

I think that dividend growth investors believe that through their superior prowess, the gross amount of income from dividends will be more since they will exclude corporations who don't pay a dividend. This may be true, but says nothing about long term total returns. Dividend investors will almost a...
by Riprap
Wed Aug 19, 2015 4:28 pm
Forum: Personal Consumer Issues
Topic: What Book Are You Currently Reading? Part VI
Replies: 953
Views: 189747

Re: What Book Are You Currently Reading? Part VI

The Outsiders: Eight Unconventional CEOs and their Radically Rational Blueprint for Success by William N. Thorndike, Jr.

Spoiler: One of the CEOs is Warren Buffett
by Riprap
Wed Aug 19, 2015 2:45 pm
Forum: Personal Finance (Not Investing)
Topic: Inherited farmland - what to do next
Replies: 23
Views: 2115

Re: Inherited farmland - what to do next

Riprap - I've considered the family partnership route and potentially leveraging 2/3 of the total investment but I would hate to cause issues if my investments go south. The brother that would have the 1/3 may also pull money out without paying it back thus leaving me to pay the bills while expecti...
by Riprap
Wed Aug 19, 2015 11:31 am
Forum: Personal Finance (Not Investing)
Topic: Inherited farmland - what to do next
Replies: 23
Views: 2115

Re: Inherited farmland - what to do next

Is it possible to form a family partnership entity which owns the land? You could be a 2/3 partner and then use your 2/3 share as collateral to "leverage" into other ventures. This keeps the land whole and also provides an estate planning tool. However, the brother with the other 1/3 share...
by Riprap
Tue Aug 18, 2015 10:18 pm
Forum: Personal Finance (Not Investing)
Topic: Inherited farmland - what to do next
Replies: 23
Views: 2115

Re: Inherited farmland - what to do next

Can the land be split into more than once parcel? Buy the brother out who wants to sell and then split the land up.
by Riprap
Tue Aug 18, 2015 12:45 pm
Forum: Investing - Theory, News & General
Topic: Should you own foreign stocks?
Replies: 67
Views: 4351

Re: Should you own foreign stocks?

If I’m not mistaken, around 23 companies in the S&P 500 are no longer US flagged corporations. I have always assumed that the SP500 is considered 100% domestic stocks. This factoid further blurs the lines between foreign and domestic. I wonder what the cap weight is of those 23 companies? Regar...
by Riprap
Tue Aug 18, 2015 8:40 am
Forum: Investing - Theory, News & General
Topic: Should you own foreign stocks?
Replies: 67
Views: 4351

Re: Should you own foreign stocks?

Nice article. I am having trouble understanding the effect of the so called tax inversions on what is considered a foreign company. As U.S. companies relocate their tax domicile to another country...are they still domestic or are they foreign? Does the exchange a company is listed on determine wheth...
by Riprap
Wed Aug 05, 2015 8:50 pm
Forum: Investing - Help with Personal Investments
Topic: $13 Million Goal for Early Retirement (am I crazy?)
Replies: 128
Views: 13639

Re: $13 Million Goal for Early Retirement (am I crazy?)

letsgobobby wrote:This means money that could have been spent by you will not be.

Exactly.

I appreciate your thoughtful post, you make many excellent points.
by Riprap
Wed Aug 05, 2015 5:50 pm
Forum: Investing - Help with Personal Investments
Topic: $13 Million Goal for Early Retirement (am I crazy?)
Replies: 128
Views: 13639

Re: $13 Million Goal for Early Retirement (am I crazy?)

I'm embarassed that someone would come to this forum, ask for advice, and have a large share of responses be accusatory of the OP for not being truthful. Folks, if you disagree with the premise, no need to waste your time replying My sentiments exactly. But then again, my withdrawal rate goal as an...
by Riprap
Thu Jul 30, 2015 8:29 pm
Forum: Personal Consumer Issues
Topic: Getting Hawaiian shave ice on the East Coast
Replies: 21
Views: 1367

Re: Getting Hawaiian shave ice on the East Coast

I agree it does sound awkward, but that is generally what the item is called - at least in Hawaii. See from Wikipedia: Shave ice or Hawaiian shave ice is an ice-based dessert made by shaving a block of ice. While the product can resemble a snow cone, snow cones are made with crushed, rather than sh...
by Riprap
Thu Jul 30, 2015 7:14 pm
Forum: Personal Consumer Issues
Topic: Getting Hawaiian shave ice on the East Coast
Replies: 21
Views: 1367

Re: Getting Hawaiian shave ice on the East Coast

Is it me or does "shave ice" sound awkward? It's ice that has been shaved. Doesn't "shaved ice" sound better? Snow cone sounds even better to me.
by Riprap
Tue Jul 14, 2015 2:26 pm
Forum: Investing - Theory, News & General
Topic: Dividend stock investing or Total Return?
Replies: 41
Views: 2841

Re: Dividend stock investing or Total Return?

I use 100% equities in this strategy, but my perpetual income bucket is less than half of my retirement savings. The rest is parked in total return index growth and value. I'm confused by this. If you have 100% equities, where do the buckets come in? Cash you're spending doesn't know where it comes...
by Riprap
Tue Jul 14, 2015 1:49 pm
Forum: Investing - Help with Personal Investments
Topic: Investment value and when/if to convert all to bonds
Replies: 13
Views: 986

Re: Investment value and when/if to convert all to bonds

Otherwise bond holding in taxable accounts can be a puzzle. ^This I do have munis in taxable accounts and I take into consideration the combined effects of federal and state income taxes. There are complicating taxable factors in my situation that I would rather not go into. Suffice it to say, I th...
by Riprap
Tue Jul 14, 2015 12:00 pm
Forum: Investing - Theory, News & General
Topic: Dividend stock investing or Total Return?
Replies: 41
Views: 2841

Re: Dividend stock investing or Total Return?

LateStarter1975 wrote:I have not seen this topic addressed often in this forum.


Please tell me you're joking.
by Riprap
Tue Jul 14, 2015 11:54 am
Forum: Investing - Help with Personal Investments
Topic: Investment value and when/if to convert all to bonds
Replies: 13
Views: 986

Re: Investment value and when/if to convert all to bonds

I have an aversion to TIPS because I have an aversion to paying unnecessary taxes, something worth considering if the bulk of your investments are in taxable accounts. It's not what you earn, it's what you keep. :annoyed
by Riprap
Mon Jul 13, 2015 7:15 pm
Forum: Investing - Theory, News & General
Topic: Why do we care about price movements? Aren't earnings all that matter?
Replies: 44
Views: 3565

Re: Why do we care about price movements? Aren't earnings all that matter?

I fall into the camp that believes there are a few cases where one can invest almost exclusively in stocks and not worry about the price movements. I think Dr. Bernstein even says there are special cases where this is also true. I'm not sure the case where 40x annual living expenses is one of them, ...
by Riprap
Sun Jun 21, 2015 1:48 pm
Forum: Investing - Help with Personal Investments
Topic: Investing 11 Million Dollar Gift
Replies: 80
Views: 12760

Re: Investing 11 Million Dollar Gift

Hi. Thanks again for all the good advice. Some clarity points and questions. - I currently will be a cash gift, I did not receive it yet. - I am under the impression that when a gift is given in name to just me, my spouse (in NY) has no access or entitlement to it as long as I keep it in a seperate...
by Riprap
Fri Jun 19, 2015 10:53 pm
Forum: Personal Consumer Issues
Topic: Your Top 10 Worst Bands/ Musicians and Movies
Replies: 48
Views: 5479

Re: Your Top 10 Worst Bands/ Musicians and Movies

Here's a catchy earworm from the mother country sung by creepy Russian guy. It is speculated that the singer may be some sort of robot.

https://youtu.be/2Z4m4lnjxkY
by Riprap
Fri Jun 19, 2015 3:04 pm
Forum: Investing - Help with Personal Investments
Topic: Investing 11 Million Dollar Gift
Replies: 80
Views: 12760

Re: Investing 11 Million Dollar Gift

I am preparing myself for receipt of an 11M gift from a wealthy family member.... You might ask if the gift could be in trust rather than outright, to keep it out of your estate for estate tax purposes, and to protect it against your creditors and spouses. ... Is using a Private Bank (like a Chase ...
by Riprap
Fri Jun 19, 2015 2:11 pm
Forum: Investing - Help with Personal Investments
Topic: Investing 11 Million Dollar Gift
Replies: 80
Views: 12760

Re: Investing 11 Million Dollar Gift

I can't believe all the recommendations to pay AUM fees. All you need is three funds: Total US Stock Market (over 3k different stocks) Total Intl Stock Market (over 9k different stocks) Intermediate-term Muni Fund (or a state muni fund, depending upon where you live and whether you pay state income...
by Riprap
Sat May 30, 2015 9:49 pm
Forum: Investing - Theory, News & General
Topic: Clements blog-dividend stocks for retirement income
Replies: 58
Views: 5732

Re: Clements blog-dividend stocks for retirement income

I posted this a while back in another thread, but thought I would post it again. They seem like timeless words of wisdom from a guy who has been around the block a time or two. I have always liked dividends and Mr. Bogle's views validated for me that it is ok not to march in lock-step with the anti...
by Riprap
Sun May 24, 2015 8:01 am
Forum: Investing - Theory, News & General
Topic: another look at dividend paying stocks and valuations
Replies: 64
Views: 5341

Re: another look at dividend paying stocks and valuations

There seem to be several overlapping issues in the above discussion over weather dividends matter. In my experience most people (so, not most of the folks on this board) arguing that dividends "matter," turn out, when pressed, to believe implicitly (if not explicitly) that dividend paying...
by Riprap
Tue May 12, 2015 8:42 am
Forum: Investing - Theory, News & General
Topic: Vanguard investors: be thankful for ETFs!*
Replies: 24
Views: 3852

Re: Vanguard investors: be thankful for ETFs!*

Grabiner Thanks for the explanation. I had a pretty decent handle on the mutual fund side of things. The process for creating and redeeming ETF shares always seemed kind of fuzzy to me. I knew some sort of mechanism had to exist to keep the NAV of an ETF share from straying to far from the value of ...
by Riprap
Mon May 11, 2015 2:14 pm
Forum: Investing - Help with Personal Investments
Topic: Anybody 50/50?
Replies: 78
Views: 7021

Re: Anybody 50/50?

I was 50/50, but no longer due growth in the value of equities over the years. Due to my low withdrawal rate and the fact that most of my portfolio is in a taxable account subject to capital gains, I do not plan to rebalance to a lower ratio of equities to fixed income. I think it would be a case of...
by Riprap
Mon May 11, 2015 1:29 pm
Forum: Investing - Theory, News & General
Topic: Vanguard investors: be thankful for ETFs!*
Replies: 24
Views: 3852

Re: Vanguard investors: be thankful for ETFs!*

Could someone please point me to a reference which describes the mechanisms behind creating/redeeming shares for Vanguard's various mutual fund share classes and related ETFs? I do not understand how they "mesh" with each other. Maybe it is double secret proprietary information.. I also wo...
by Riprap
Mon May 04, 2015 12:57 pm
Forum: Investing - Theory, News & General
Topic: How to advise clients
Replies: 18
Views: 1927

Re: How to advise clients

If I (or my heirs) need assistance "managing" my investment portfolio, I think the first firm on my list would be Evanson Asset Management. Below is a link to their fee structure (which is NOT %AUM): http://www.evansonasset.com/index.cfm?Page=11 It's also a fantastic website to browse if y...
by Riprap
Thu Mar 26, 2015 1:14 pm
Forum: Personal Consumer Issues
Topic: WSJ Delivery Record - Dismal
Replies: 25
Views: 2186

Re: WSJ Delivery Record - Dismal

Boglenaut wrote:I really like my iPad, but there is still something about a physical paper that is nice.


I understand this and it took me a while to get used to the Kindle version. Now it seems odd to me to read a printed version of the WSJ. Go figure. :oops:
by Riprap
Thu Mar 26, 2015 8:52 am
Forum: Personal Consumer Issues
Topic: WSJ Delivery Record - Dismal
Replies: 25
Views: 2186

Re: WSJ Delivery Record - Dismal

When WSJ wanted >$450/yr for lousy delivery service, I switched to the Kindle version. Although not as good as the print version, it's good enough and never miss deliveries. However, I will say the bill creep with the Kindle version is getting bothersome.
by Riprap
Tue Mar 24, 2015 4:07 pm
Forum: Investing - Theory, News & General
Topic: When everyone "knows" the euro will fall
Replies: 7
Views: 1502

When everyone "knows" the euro will fall

I received this quarter's round of dividends and it's time to figure out where to place the funds, which has me looking at the European Stock Index Fund. I am going to stick to my plan, but...is it a contrarian signal when everyone "knows" the euro is going to continue to fall against the ...
by Riprap
Thu Mar 19, 2015 10:25 am
Forum: Personal Finance (Not Investing)
Topic: Trust 1041 return using TaxACT
Replies: 5
Views: 476

Re: Trust 1041 return using TaxACT

Get professional help from a CPA who is familiar with trusts and the laws applicable to trusts in your state. My ongoing relationship with a CPA for matters such as these is pretty cost effective. Presumably the trust was set up for a purpose. Why jeopardize the validity of the trust by soliciting a...
by Riprap
Wed Mar 18, 2015 9:51 am
Forum: Investing - Theory, News & General
Topic: Should William McNabb III be chairman of Vanguard's board?
Replies: 8
Views: 1399

Re: Should William McNabb III be chairman of Vanguard's boar

I'm not sure I can answer the OP's question. I will say that one of my biggest concerns is that over time Vanguard will drift from Mr. Bogle's original vision of giving the little guy a fair chance and keeping expenses low. Given that many years worth of unrealized capital gains have been built up i...
by Riprap
Mon Mar 16, 2015 3:12 pm
Forum: Personal Finance (Not Investing)
Topic: Did you buy a house because of low interest rate?
Replies: 25
Views: 2237

Re: Did you buy a house because of low interest rate?

acegolfer wrote:Q: Did you buy a house because of low interest rate?


No.
by Riprap
Mon Mar 16, 2015 1:23 pm
Forum: Investing - Theory, News & General
Topic: Why the popularity of dividends? What's the counterargument?
Replies: 70
Views: 5698

Re: Why the popularity of dividends? What's the counterargum

Timely article. Total return vs. income and dividends in today's WSJ. http://www.wsj.com/articles/whats-the-best-way-for-retirees-to-invest-their-nest-egg-1426475052 Edited to add: After reading the article, I would note that this discussion is several orders of magnitude better than the article. :o...
by Riprap
Mon Mar 16, 2015 10:17 am
Forum: Investing - Theory, News & General
Topic: John Bogle's Don't Peek Challenge
Replies: 149
Views: 14573

Re: John Bogle's Don't Peek Challenge

Not practical for me. I have all of my interest and dividends in my taxable account paid in cash. I have to decide monthly what to do with that cash. I rarely look more than monthly though.
by Riprap
Sun Mar 15, 2015 8:11 pm
Forum: Investing - Theory, News & General
Topic: Why the popularity of dividends? What's the counterargument?
Replies: 70
Views: 5698

Re: Why the popularity of dividends? What's the counterargum

I would like to throw this out for the discussion. Refer to the link below which is the panel discussion at BH13. https://vimeo.com/channels/bogleheads/122144970 At 48:00, Mr. Bogle is addressing a question concerning income from a portfolio. Alluding to total return vs. dividends, at 49:20 Mr. Bogl...
by Riprap
Sat Mar 14, 2015 2:40 pm
Forum: Investing - Theory, News & General
Topic: BOGLEHEADS 13 VIDEOS
Replies: 11
Views: 3126

Re: BOGLEHEADS 13 VIDEOS

Thank you so much Mr. Guerra for providing these videos. I sincerely appreciate them. The panel of experts session was especially valuable for me as a number of comments repeatedly made by the participants validated my personal investment approach. These presentations are yet another reason why I am...
by Riprap
Fri Mar 13, 2015 11:43 am
Forum: Investing - Help with Personal Investments
Topic: Do you really need 2.5 million to retire well?
Replies: 121
Views: 15073

Re: Do you really need 2.5 million to retire well?

Do YOU really need 2.5 million to retire well?

Yes.

More than that. I want a very low withdrawal rate and wish to leave a large financial legacy. YMMV.

There is no one size fits all answer.
by Riprap
Wed Mar 11, 2015 10:34 pm
Forum: Investing - Theory, News & General
Topic: 100% Stocks Long Term Pro/Con
Replies: 51
Views: 4245

Re: 100% Stocks Long Term Pro/Con

If you're just starting out, which I assume to mean a young person (20 or 30ish) with a secure income source, 100% equities is fine. I think you're correct to consider inflation. I think rebalancing is primarily for risk (volatility) control, not an added bonus. Invest, forget about it, and concentr...
by Riprap
Sun Mar 01, 2015 9:33 am
Forum: Investing - Theory, News & General
Topic: Dividends and Market Slides
Replies: 55
Views: 4158

Re: Dividends and Market Slides

Bill Bernstein said in Deep Value (or another of his recent mini books) that the dividend of the SP500 has never fallen by more than 50%. He said that in the context of someone living off a mostly stock portfolio with a low withdrawal rate.
by Riprap
Mon Feb 02, 2015 9:21 am
Forum: Personal Consumer Issues
Topic: Can doctors charge more than co-pay?
Replies: 51
Views: 5571

Re: Can doctors charge more than co-pay?

Grasshopper wrote:I always wonder how the people of Wal-Mart figure this stuff out. :confused


I resemble that remark.
by Riprap
Sun Feb 01, 2015 11:19 am
Forum: Personal Finance (Not Investing)
Topic: Becoming a RIA - how realistic, how to learn practically?
Replies: 4
Views: 598

Re: Becoming a RIA - how realistic, how to learn practically

I understand that becoming an RIA requires passing the Series 65 exam, and maintaining the license. However, my question for folks here who were from non-finance background and became an RIA is, how realistic is it for someone to become a RIA, and how does he learn the non-theory aspects of becomig...

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