Search found 9574 matches

by Rick Ferri
Fri Oct 28, 2022 8:34 am
Forum: Investing - Theory, News & General
Topic: Three-fund portfolio manager interviews on "Bogleheads on Investing"
Replies: 5
Views: 1328

Three-fund portfolio manager interviews on "Bogleheads on Investing"

I interviewed each of the three-fund portfolio managers at Vanguard over the past year. Here are those enlightening episodes:

US Total Market Index Fund (VTSAX/VTI)
Episode 037: Gerry O‘Reilly and Rich Powers

Total International Stock Index Fund (VTIAX/VXUS)
Episode 051: Christine Franquin and Michael

Vanguard Total Bond Market Index Fund (VBTLX/BND)
Episode 045: Nick Gendron and Josh Barrickman

Funding for the Bogleheads on Investing podcast is provided by the John C. Bogle Center for Financial Literacy, a 501(c)3 non-profit organization.

Your host,
Rick Ferri
by Rick Ferri
Thu Oct 27, 2022 4:07 pm
Forum: Investing - Theory, News & General
Topic: Rick Ferri interviewed on podcast - excellent information!
Replies: 26
Views: 6080

Re: Rick Ferri interviewed on podcast - excellent information!

Leesbro63 wrote: Wed Oct 26, 2022 2:28 pm Excellent podcast. The first time I've ever heard any of the Boglehead guru's talk about my biggest worry about why it might actually be different this time...debt.
LOL! Maybe.

I've lost track of what topics can be discussed on this forum and what constitutes a permanent ban!

:D
by Rick Ferri
Thu Oct 27, 2022 1:47 pm
Forum: Investing - Theory, News & General
Topic: New "Bogleheads on Investing" podcast on international equity index fund investing
Replies: 42
Views: 13437

New "Bogleheads on Investing" podcast on international equity index fund investing

International stock investing has not delivered close to the returns of the US market for nearly fifteen years. Should investors ignore international stocks as Jack Bogle suggested, or embrace them for broader diversification? In this podcast, I discuss these questions and more with Christine Franquin, a principal and senior portfolio manager in the Vanguard Equity Index Group, and Michael Perre, also a principal in the Vanguard Equity Index Group, both of who manage and trade international index fund portfolios. Episode 051: Christine Franquin and Michael Perre on international stock index funds, host Rick Ferri Funding for the Bogleheads on Investing podcast is provided by the John C. Bogle Center for Financial Literacy , a 501(c)3 non-pr...
by Rick Ferri
Tue Oct 25, 2022 4:02 pm
Forum: Investing - Theory, News & General
Topic: Rick Ferri interviewed on podcast - excellent information!
Replies: 26
Views: 6080

My recent interview about the Bogleheads et all

I recently completed a video/podcast with Stan the Annuity Man about the Bogleheads, the 2022 Bogleheads Conference, John C. Bogle Center for Financial Literacy, the markets, pension funds, and a lot more!

Rick Ferri: A Fighter Pilot’s View of the Markets

Enjoy!

Rick
by Rick Ferri
Fri Oct 21, 2022 10:36 am
Forum: Investing - Theory, News & General
Topic: 2022 Bogleheads Conference Reports
Replies: 102
Views: 14505

Re: 2022 Bogleheads Conference Reports

During the meeting, I expressed a strong negative opinion of Vanguard's presentation. The meeting was not recorded. I think this will always be a controversial issue. Jack Bogle founded Vanguard, and the Bogleheads were founded on Jack's principles, so it's difficult not to invite a representative or two from Vanguard to speak at the conference. Their presentation this year was about the value of advice, which I knew would not go well, but it's what they wanted to do. Advice isn't available to most Vanguard investors unless you have money managed through PAS and pay 0.3%, so what is the point? I asked Joel Dickson after the presentation why people can't pay for an hour or two of advice? His answer was, they used to do that, but it wasn't e...
by Rick Ferri
Sun Oct 16, 2022 2:26 pm
Forum: Investing - Theory, News & General
Topic: 2022 Bogleheads Conference Reports
Replies: 102
Views: 14505

Re: 2022 Bogleheads Conference Reports

Sola Scriptura wrote: Sun Oct 16, 2022 2:20 pm Echoing those who have been saying that coffee service is needed all day long, please let me add tea (hot water, tea bags, sugar-free sweeteners, etc.) to that. Not everyone is a coffee drinker!
I have to admit this was an oversight on our part. I found myself looking for the coffee pot more than once!

Fortunately, there was a Starbucks in the hotel.

Rick Ferri
by Rick Ferri
Fri Oct 07, 2022 11:16 am
Forum: Investing - Theory, News & General
Topic: Is it the drop that scares you or the fear of further drops?
Replies: 114
Views: 9016

Re: Is it the drop that scares you or the fear of further drops?

The S&P 500 is trading slightly higher than where it traded two years ago. If you invested in a total market index fund in October 2020 and fell asleep for two years, you'd wake up today and your portfolio would be up about 14% including dividends. That's 7% annualized, which is about what you would have expected.
by Rick Ferri
Thu Oct 06, 2022 8:16 am
Forum: Investing - Theory, News & General
Topic: IT'S TIME! Registration for the 2022 Bogleheads Conference is NOW OPEN!
Replies: 172
Views: 29629

Re: IT'S TIME! Registration for the 2022 Bogleheads Conference is NOW OPEN!

ram wrote: Wed Oct 05, 2022 8:58 pm
Rick Ferri wrote: Fri Jul 08, 2022 10:32 am The agenda is now available on BogleCenter.net

https://boglecenter.net/2022conference/
Do we have to select one of the 2 tracks at this time or simply walk into the appropriate room on the day of the conference? Thanks.
You'll walk into the appropriate room on the day of the conference and can switch rooms whenever you like.
by Rick Ferri
Wed Oct 05, 2022 2:30 pm
Forum: Investing - Theory, News & General
Topic: IT'S TIME! Registration for the 2022 Bogleheads Conference is NOW OPEN!
Replies: 172
Views: 29629

Re: IT'S TIME! Registration for the 2022 Bogleheads Conference is NOW OPEN!

BuddyJet wrote: Wed Oct 05, 2022 2:14 pm I can no longer attend the conference, are the tickets transferable? If not, can they be donated to something or otherwise be used?

Thanks.
We have some people who are attending on a Bogle Center Scholarship and your ticket will be used for them. Thank you.
by Rick Ferri
Tue Sep 27, 2022 6:31 am
Forum: Investing - Theory, News & General
Topic: What 20 years of research into active funds tells us on the "Bogleheads on Investing" podcast with Craig Lazzara
Replies: 7
Views: 2092

What 20 years of research into active funds tells us on the "Bogleheads on Investing" podcast with Craig Lazzara

Studies that measure active manager performance versus market indices go back 100 years and they all show remarkably similar results. It is possible for active managers to outperform, but not many do, not by much, not for long, and the winners are not predictable. My recent podcast with Craig Lazzara of S&P Dow Jones Indices discusses 20 years of SPIVA research into the active versus passive debate and the persistence of active fund outperformance (or lack of it). Episode 050: Craig Lazzara on active verse passive funds . Craig Lazzara, CFA, is a Managing Director in the Core Product Management group at S&P Dow Jones Indices (S&P DJI). His responsibilities focus on providing thought leadership and educational outreach. Our discu...
by Rick Ferri
Sat Sep 24, 2022 9:14 am
Forum: Investing - Theory, News & General
Topic: Last call for Bogleheads Conference tickets!
Replies: 5
Views: 771

Re: Last call for Bogleheads Conference tickets!

This will be a GREAT conference!

See you there!

Rick Ferri
by Rick Ferri
Fri Sep 23, 2022 8:11 am
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34633

Re: What's in Rick Ferri's portfolio?

Investment skill is evident when you can consistently pick winners AND losers. I believe my track stellar record of going long losers in the Hedge Fund contest speaks for itself. :P
by Rick Ferri
Mon Sep 12, 2022 9:50 am
Forum: Investing - Theory, News & General
Topic: IT'S TIME! Registration for the 2022 Bogleheads Conference is NOW OPEN!
Replies: 172
Views: 29629

Re: IT'S TIME! Registration for the 2022 Bogleheads Conference is NOW OPEN!

The Bogleheads Conference is in 30 days!

+ 400 people are attending.
+ 300 people are attending Bogleheads University.
+ 250 people are attending the Bogleheads Banquet.

There are a few tickets remaining for the conference and Bogleheads Banquet.

Here is the agenda and registration information.

https://boglecenter.net/2022conference/
by Rick Ferri
Sat Sep 03, 2022 9:43 am
Forum: Investing - Theory, News & General
Topic: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podcast
Replies: 457
Views: 39905

Re: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podca

The one premium that can be realized in a low rate environmnet is carry (buy higher yielding/CF assets financed by a lower yielding one). If we are in an environment of lower rates for longer, the carry trade can add significanlty to expected returns. Examples of how this could be implement is the levered balanced fund, levered equity or levered well underwritten private debt via BDCs. The key is to add modest amounts & not too much leverage to the higher yielding assets. It would be interesting to hear Antti's view on this. Packer I don't have a lot of knowledge about this, are there examples of how an individual investor could do this in a reasonably low cost way that has a reasonable chance of capturing any premium? If you don't hav...
by Rick Ferri
Mon Aug 29, 2022 7:09 am
Forum: Investing - Theory, News & General
Topic: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podcast
Replies: 457
Views: 39905

Re: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podca

To the people who say “no one knows.”

Yes we do.

The interest rate on a zero coupon 10 year Treasury note is 3.0%. Hence, the total return of this security is a absolute. It will be 3.0% annualized over the next 10 years. The valuation of all long-term investment securities are in some part based off this rate.
by Rick Ferri
Sat Aug 27, 2022 7:48 pm
Forum: Investing - Theory, News & General
Topic: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podcast
Replies: 457
Views: 39905

Re: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podca

livesoft wrote: Sat Aug 27, 2022 7:02 pm ^But retirees [in theory] are not saving money for retirement yet are still subject to the same returns as everybody else. I suppose said retirees just have to decrease their expenses instead and spend less.
I think that doing detailed retirement planning is a good idea for people who are getting close to retirement. One of the speakers at the Bogleheads Conference will be Stephen Chen, Founder & CEO of NewRetirement.com. He developed a robust retirement planning tool for DIY investors. There is a small fee to use the software, but I think it's the best out there right now.
by Rick Ferri
Sat Aug 27, 2022 6:44 pm
Forum: Investing - Theory, News & General
Topic: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podcast
Replies: 457
Views: 39905

Re: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podca

quietseas wrote: Sat Aug 27, 2022 9:27 am Rick, you talked about the 60/40 three-fund portfolio a little in the beginning.
Edited: I listened again and realize you basically talked about it again at the end.

So an individual investor aged 45-65 with say $2-5M could to do reset to a new normal and draw down a begin to draw down a portfolio, he didn't disagree that a low cost 60/40 (or 70/30 or 80/20) under 10 bps ER three-fund portfolio was reasonable. Maybe with some optional value/quality/profitability (multi-factor) tilts and dividends added in. So, for many Bogleheads, stay the course applies.

The most actionable advice to younger investors was clear: save more than 10% of income, which Bogleheads as a group already do.
Basically sums it up.
by Rick Ferri
Sat Aug 27, 2022 6:42 pm
Forum: Investing - Theory, News & General
Topic: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podcast
Replies: 457
Views: 39905

Re: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podca

saolafan wrote: Fri Aug 26, 2022 10:02 pm The interview touched on how "fallen angel" bonds trade at a discount when downgraded from BBB to BB. Is that at all similar to frontrunning effects that happen when companies are sometimes removed from indices?
Yes. Similar to when a stock falls out of the S&P 500.

The amount of money that is managed with an investment grade mandate is in the trillions. When a bond falls out of investment grade, there are a lot of sellers and far fewer buyers.
by Rick Ferri
Fri Aug 26, 2022 8:55 pm
Forum: Investing - Theory, News & General
Topic: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podcast
Replies: 457
Views: 39905

Re: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podca

Spot on.

I was very happy with the speech Powell gave today. He was tough on inflation and has to be. The markets weren't happy, but that's the process of giving back what was borrowed from the future as Antti explained.
by Rick Ferri
Fri Aug 26, 2022 7:12 pm
Forum: Investing - Theory, News & General
Topic: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podcast
Replies: 457
Views: 39905

Re: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podca

Hola wrote: Fri Aug 26, 2022 5:40 pm Antti spoke a bit about long government bonds, but I couldn't decipher what was his position on that. What is your take on what Antti said about long bonds?
He stated he still expected a real return between 0.5% and 1.0%. This is lower than the historical average due in part to T-bonds increasing favorability as a smoothing asset to help counter equity volatility. In other words, they've been a good safe haven and as such prices have been driven higher and the expected return lower.
by Rick Ferri
Fri Aug 26, 2022 11:41 am
Forum: Investing - Theory, News & General
Topic: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podcast
Replies: 457
Views: 39905

Re: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podca

Nathan Drake wrote: Fri Aug 26, 2022 11:33 am
SimpleGift wrote: Fri Aug 26, 2022 10:37 am
Rick Ferri wrote: Fri Aug 26, 2022 10:14 am ...and we can make reasonable assumptions about long-term returns to use in planning.
Right, and as I understand his message, Ilmanen believes that expected real returns should be about:
  • Cash.....................0%
    Bonds...................0.5%-1.0%
    Global Equities......4.0%
All seem reasonable assumptions for planning purposes — though the future will of course vary.
Splitting hairs a bit but again his 4% is estimate is for US equities

Global equities (US and exUS) will be higher
REALLY splitting hairs, but I listened to this five times when editing. Antii said 4% real was a good number for global equities, US may be a little lower and international a little higher.
by Rick Ferri
Fri Aug 26, 2022 10:14 am
Forum: Investing - Theory, News & General
Topic: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podcast
Replies: 457
Views: 39905

Re: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podca

Kal1981 wrote: Thu Aug 25, 2022 9:56 pm The bogle thinking that no one can predict the future still holds true right? If you’re VTI/VXUS then no worries.
Bogle thinking is that no one can predict short-term market behavior, but we DO know what bong yields are, and we do know where valuations are historically, and we can make reasonable assumptions about long-term returns to use in planning.
by Rick Ferri
Thu Aug 25, 2022 4:02 pm
Forum: Investing - Theory, News & General
Topic: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podcast
Replies: 457
Views: 39905

Re: Antti Illmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podc

I highly recommend all Bogleheads listen to this podcast to learn WHY expected returns going forward will be much lower than they have been in the past 40 years.

Rick Ferri
by Rick Ferri
Thu Aug 25, 2022 1:36 pm
Forum: Investing - Theory, News & General
Topic: Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podcast
Replies: 457
Views: 39905

Antti Ilmanen, Ph.D, provides exceptional insight about investing amid low expected returns in this Bogleheads podcast

Investing Amid Low Expected Returns author Antti Ilmanen, Ph.D. is my guest on this Bogleheads on Investing podcast. Antti was a fantastic guest who provided a tremendous amount of useful information - worth listening to twice! Episode 049: Antti Ilmanen on investing amid low expected returns Antti Ilmanen, Ph.D., is a Principal and Global Co-head of the Portfolio Solutions Group at AQR Capital. Antti spent seven years as a senior portfolio manager at Brevan Howard and a decade at Salomon Brothers/Citigroup. He began his career as a central bank portfolio manager in Finland.  Antti has published extensively in finance and investment journals and has received a Graham and Dodd award, the Harry M. Markowitz special distinction award, and mul...
by Rick Ferri
Tue Aug 23, 2022 10:14 am
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34633

Re: What's in Rick Ferri's portfolio?

pmardo wrote: Tue Aug 23, 2022 10:11 am Rick, I am curious what percent of your portfolio is in SCV? Thanks!
About 25% of my total stock allocation, including REITs.
by Rick Ferri
Tue Aug 23, 2022 8:13 am
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34633

Re: What's in Rick Ferri's portfolio?

burritoLover wrote: Tue Aug 23, 2022 7:51 am The small-cap value as a substitute for private equity was interesting but why would you want to represent private equity in your portfolio?

Because I’m following a Total Economy Portfolio.
by Rick Ferri
Mon Aug 22, 2022 10:37 am
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34633

Re: What's in Rick Ferri's portfolio?

We've again spent too much time talking about the icing on the cake rather than the cake. Whether you own US SCV or International SCV or REITS or all or none is not important. What is important is your allocation to equity and fixed income. That makes up 90% of the cake. Everything else is flavoring. You have your favorite flavor and I have mine. There is no "right" answer to which is the best, at least not one that we will know for 25 years.

Successful investing is:

Philosophy (use low-cost funds, don't market time, be tax efficient, etc).
Strategy (how YOU decide to do it, including the flavor of your icing).
Discipline (stay the course, no matter what).

Rick Ferri
by Rick Ferri
Sun Aug 21, 2022 8:47 pm
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34633

Re: What's in Rick Ferri's portfolio?

Hi Tony,

I few A-4 Skyhawks and A-6 Intruders.

Rick
by Rick Ferri
Sun Aug 21, 2022 8:25 pm
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34633

Re: What's in Rick Ferri's portfolio?

And that works just fine, Ed, because it works for YOU!

Philosophy is universal
Strategy is personal.
Discipline in mandatory.

If you want to know what I mean by this, watch this video:https://youtu.be/wyxIb9BI7_o
by Rick Ferri
Sun Aug 21, 2022 8:14 pm
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34633

Re: What's in Rick Ferri's portfolio?

I was not comparing US SCV to international SCV. I noted when small-cap value outperforms, it does so globally - relative to whatever market it’s in - US or international. When SCV outperforms in the US compared to the total market, it also outperform internationally compared to total international. Thus you’ll get exposure to the FACTORS by just owning a US SCV fund. You don’t NEED an international SCV fund to get factor exposure. If you want MORE factor exposure, then either own more of a US SCV fund or buy a separate international SCV fund. I prefer not to complicate my portfolio more than it needs to be so I stick with US SCV only.
by Rick Ferri
Sun Aug 21, 2022 3:15 pm
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34633

Re: What's in Rick Ferri's portfolio?

I do not own international small-cap value. If small-cap value performs, it will happen globally and won't matter that I have only US small value. The fewer funds the better, I say.

However, if I were to use an international small value fund, it would be Avantis International Small Cap Value ETF (AVDV) or DFA International Small Cap Value ETF (DISV).

Remember, using factors is basically a life-long investment strategy. It's not a trade, and it's not investing in "the market". It is something very different. Don't go down this path if you're not fully committed to staying the course for at least 25 years. It is difficult to succeed if you do it any other way.

Rick Ferri
by Rick Ferri
Sun Aug 21, 2022 11:05 am
Forum: Investing - Theory, News & General
Topic: Two Months until the Bogleheads Conference - Don't miss out!
Replies: 11
Views: 1658

Re: Two Months until the Bogleheads Conference - Don't miss out!

I have a conflict and can’t attend this year, but I’m looking forward to viewing the video after if there is one. It’s an incredible roster of speakers and hoping in the next few years I can attend and put some faces to names (do you attend using real names or our usernames?) We have contracted with an outside company to video all the daytime speaking events on Thursday and Friday. The videos will be edited and published within a few weeks through a link on BogleCenter.net . That is the site of the John C. Bogle Center for Financial Literacy, a 501(c)3 non-profit organization that owns the Bogleheads trademark and pays ALL submitted expenses for maintaining this forum and everything else Bogleheads. You should begin using BogleCenter.net t...
by Rick Ferri
Sun Aug 21, 2022 10:48 am
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34633

Re: What's in Rick Ferri's portfolio?

I use RZV because it is concentrated SCV. AVUV is also good, and DFAT. I want SCV fund that gives me the most SCV exposure for the buck. Just curious, do you prefer RZV to VIOV? VIOV is the Vanguard S&P Small Cap 600 Value ETF. This capitalization-weighted index of all S&P 600 value stocks regardless of their value intensity. RZV is the Invesco S&P SmallCap 600 Pure Value ETF. This index separates S&P 600 value stocks into pure value and those that are less than pure (these are stocks with growth characteristics but more value characteristics, or are non-value and non-growth that are placed in the value index because they have to go someplace). The stocks are then weighted by their value scores. Thus, the index is pure valu...
by Rick Ferri
Sat Aug 20, 2022 12:55 pm
Forum: Investing - Theory, News & General
Topic: Two Months until the Bogleheads Conference - Don't miss out!
Replies: 11
Views: 1658

Re: Two Months until the Bogleheads Conference - Don't miss out!

AlwaysLearningMore wrote: Fri Aug 19, 2022 9:19 am In years gone by these conferences quickly filled to capacity. Now :confused :?:
In the years gone by, capacity was limited to 200 people and Jack Bogle was the attraction. Capacity was doubled to 400 for this conference, which was met due to the strong speaker lineup, and then we added 100 more seats. Renewed COVID fears over the summer plus high airfare held some people back from registering. We hope those issues abate soon.
by Rick Ferri
Fri Aug 19, 2022 3:40 pm
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34633

Re: What's in Rick Ferri's portfolio?

pmardo wrote: Fri Aug 19, 2022 3:26 pm Rick, I enjoyed the podcast and appreciate your advice. What ETF do you use for small cap value?
I use RZV because it is concentrated SCV. AVUV is also good, and DFAT. I want SCV fund that gives me the most SCV exposure for the buck.

I also have VSIAX in my Vanguard 401k because it’s the only one available, but it’s not great. Only half the factor concentration on RZV, AVUV, and DFAT.
by Rick Ferri
Fri Aug 19, 2022 1:46 pm
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34633

Re: What's in Rick Ferri's portfolio?

35% of my equity allocation is in total international index funds and ETFs. I don't hold any other international funds.

It's true that international has underperformed US during the extended period of falling interest rates and a strong dollar. I do not know if that will be the case going forward and have no interest in betting it will by NOT having a sizable allocation to international.

Rick Ferri
by Rick Ferri
Fri Aug 19, 2022 1:02 pm
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34633

Re: What's in Rick Ferri's portfolio?

Sounds like you parted ways with High Yield Bonds?
I like the Vanguard High-Yield Corporate Fund Admiral Shares (VWEAX), I just don't own it because I own preferred stocks in PFFD. I think the risk and return is comparable - they both hold BB/B rated securities. There is a tax benefit to owning PFFD in a taxable account.
by Rick Ferri
Fri Aug 19, 2022 12:20 pm
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34633

Re: What's in Rick Ferri's portfolio?

Several "strategy" questions are coming up that are best answered by watching the following video I did for the Sacramento Area Local Bogleheads chapter.

The Education of an Index Investor ~ Philosophy, Strategy and Discipline

Rick Ferri
by Rick Ferri
Fri Aug 19, 2022 11:02 am
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34633

Re: What's in Rick Ferri's portfolio?

Gort wrote: Fri Aug 19, 2022 10:49 am Near the very end of the podcast he mentioned that for simplicity you could just as easily use a single balanced fund such as Vanguard Balanced Index. I wonder what his thoughts are on the Life Strategy Funds at a slightly higher ER that contain international components.
Perfectly fine for tax-advantaged accounts. I prefer individual funds in a taxable account because you'll get the foreign tax credit on the international fund.
by Rick Ferri
Fri Aug 19, 2022 10:46 am
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34633

Re: What's in Rick Ferri's portfolio?

Random Musings wrote: Fri Aug 19, 2022 10:06 am Hopefully, not any MESA, besides what is held in his various funds/ETF's.

RM
:shock:

You don't understand the value here. You're supposed to SHORT my Hedge Fund Contest long picks, and go long my short picks. If you did, you would have made a lot of money over the years.

That's my story, and I'm sticking to it!

Rick Ferri
by Rick Ferri
Fri Aug 19, 2022 8:30 am
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34633

Re: What's in Rick Ferri's portfolio?

Thanks for all the kind comments. I'll try to answer questions here: Rick includes 5% cash as part of his fixed income allocation This is actually a dollar amount rather than a percentage. It's one year of living expenses. My one question would be what is your allocation to international holdings with VXUS? I hold VXUS and IXUS due to tax-loss harvesting in a taxable account. International is currently 35% of my portfolio. Any target between 30% and 40% is fine. Incredible yield on this PFFD. What's the catch? Why aren't we all using it in non-taxable accounts? It's an unfollowed asset class that sits between equity and fixed income, concentrated in the financial sector, primarily banks. There are tax benefits for use in a taxable account (...
by Rick Ferri
Thu Aug 18, 2022 12:10 pm
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34633

What's in Rick Ferri's portfolio?

Want to know how I personally invest?

What's in Rick Ferri's portfolio?

Enjoy!

RIck Ferri