Search found 71 matches

by BuyAndHoldOn
Sat Oct 21, 2017 6:41 pm
Forum: Investing - Theory, News & General
Topic: Why do I need bonds? (I'm 30)
Replies: 59
Views: 4304

Re: Why do I need bonds? (I'm 30)

I don't think bonds should ever be used if you know you can psychologically handle a downturn. But that's not a common opinion. I plan on having one to two years worth of expenses in CDs during retirement, the rest all equity. That's the closest I will get to bonds. *If you can Economically and Psy...
by BuyAndHoldOn
Sun Oct 15, 2017 6:19 pm
Forum: Investing - Theory, News & General
Topic: What's your asset allocation and why?
Replies: 160
Views: 13828

Re: What's your asset allocation and why?

Age 31, 32 in January. I don't know if I have an asset allocation. If/as my life changed, so would my investing plans. For money I keep invested for the long term : That is in equities. I aim to be around 60/40 US/International, including Emerging Markets. Maybe a slight tilt towards EM and smaller ...
by BuyAndHoldOn
Sat Oct 07, 2017 7:41 pm
Forum: Investing - Help with Personal Investments
Topic: Should I keep my Stocks?
Replies: 42
Views: 3645

Re: Should I keep my Stocks?

Thank you all for your opinions. All my individual stocks were bought when I was an ignorant Edward Jones sheep. I will list them below to help everyone understand my position. I am just trying to understand why EJ advisors recommend putting half of your money in mutual funds and half in individual...
by BuyAndHoldOn
Sat Oct 07, 2017 7:35 pm
Forum: Investing - Theory, News & General
Topic: Length of bull market become more risky?
Replies: 15
Views: 1544

Re: Length of bull market become more risky?

I don't think so. Things can tread water for quite a while and after a number of years it will be the same as if there was no bull market. You know, market returns are 1% a year for 8 years. That would still be a bull market. What about markets that gain more than 10%+ a year? We are taught to ackn...
by BuyAndHoldOn
Sat Oct 07, 2017 1:09 pm
Forum: Personal Finance (Not Investing)
Topic: Growing old without kids or younger caring relatives
Replies: 103
Views: 17964

Re: Re:

I also agree that you can't hire someone to take care of you . Actually you can. Auntie said "You can't hire someone to care about you ." That's different. At some point: Either you can take care of yourself [with or without someone's help], or you can't. Plan accordingly. Be useful and [God willin...
by BuyAndHoldOn
Sat Oct 07, 2017 1:04 pm
Forum: Investing - Help with Personal Investments
Topic: Should I keep my Stocks?
Replies: 42
Views: 3645

Re: Should I keep my Stocks?

These stocks may or may not be good investments. [obviously] none of us really know if you should sell your stocks. Do some research and decide for yourself --> do research on on asset allocation strategies, on the specific companies, the economy - etc.. You can keep some or all of the positions; th...
by BuyAndHoldOn
Sat Oct 07, 2017 12:54 pm
Forum: Investing - Theory, News & General
Topic: Has your "risk tolerance" been tested?
Replies: 105
Views: 6518

Re: Has your "risk tolerance" been tested?

I have not been investing for very long; only been in the workforce since 2012. (Some day that will be a long time ago). Mostly I buy and hold and stick to an asset allocation. However: *I bought Energy (read: Oil & Natural Gas) stocks in the 2015 stock market downturn, only to see them plunge even ...
by BuyAndHoldOn
Sun Sep 24, 2017 5:11 pm
Forum: Investing - Theory, News & General
Topic: Research Affiliated Model Portfolios: ZERO % US stocks
Replies: 46
Views: 4685

Re: Research Associates Model Portfolios: ZERO % US stocks

Research Associates, the home of Rob Arnott, has a very neat website that displays asset classes' forecasts (see reference below) which I often review since much of its equity forecasting is based on Shiller's PE10 which I find one of the most reliable long term valuation tools. What has caught my ...
by BuyAndHoldOn
Sun Sep 24, 2017 4:59 pm
Forum: Investing - Theory, News & General
Topic: The real impacts of passive investing
Replies: 8
Views: 1989

Re: The real impacts of passive investing

According to this WSJ author, passive investing *does* move the market value of small companies in a significant manner. The sheer volume of index purchasing makes up a greater % of small companies' market caps [as compared with larger publicly traded companies]. You can decides if that is meaningfu...
by BuyAndHoldOn
Sun Sep 24, 2017 4:36 pm
Forum: Investing - Theory, News & General
Topic: Bond funds and stock funds, which one is riskier?
Replies: 23
Views: 1835

Re: Bond funds and stock funds, which one is riskier?

To justify owning a bond fund in a rising interest environment: For a bond fund with 5 year duration, e.g., if the interest rises 1%, the value of the bond fund decreases 5%. But if you hold the fund for 5 years, you get it even since the fund pays a higher interest rate. Depending on how you look ...
by BuyAndHoldOn
Sun Sep 24, 2017 4:33 pm
Forum: Investing - Help with Personal Investments
Topic: Help?! My 70 year old father is 100% invested in equities
Replies: 79
Views: 7373

Re: Help?! My 70 year old father is 100% invested in equities

TravelforFun wrote: ↑
Sat Sep 23, 2017 6:46 am
I'd send the link to this forum to your dad and hopefully after he reads it for a while, he would adjust his AA and get rid of the advisor.

I do that all the time. People's interest - if they have any - will take care of the rest.
by BuyAndHoldOn
Sat Sep 16, 2017 8:34 pm
Forum: Investing - Theory, News & General
Topic: [WSJ] Your Tolerance for Investment Risk Is Probably Not What You Think
Replies: 49
Views: 6046

Re: [WSJ] Your Tolerance for Investment Risk Is Probably Not What You Think

Assuming I have a good/stable job: I would be a buyer in an equity market downturn. Who wouldn't be? (I know, some or many would not be - but I am talking to the Bogleheads here).

I mean, I buy equities even when there isn't a downturn :) A market dip just makes everything cheaper.
by BuyAndHoldOn
Sat Sep 16, 2017 8:32 pm
Forum: Investing - Theory, News & General
Topic: Financial Page: REITs and International/Emerging Bonds
Replies: 25
Views: 2446

Re: Financial Page: REITs and International/Emerging Bonds

Very thorough and helpful analysis, siamond. About emerging market bonds: Emerging Bonds are more intriguing. It might be perceived as a risky asset class (and it is when analyzed on its own), but when used as part of a portfolio to replace some of the bonds portion, its historical high returns com...
by BuyAndHoldOn
Sat Sep 16, 2017 7:19 pm
Forum: Personal Consumer Issues
Topic: Account security - Hackers gain access to mobile and then break havoc
Replies: 157
Views: 11503

Re: Account security - Hackers gain access to mobile and then break havoc

The Equifax thing was a wake up call for me (and many others I'm sure). ( Among other precautions I have taken ) I just set up SMS two-factor Identification for the accounts that I could do that with. I read on the website below that this was a good idea. Was this wrong? https://www.consumerreports....
by BuyAndHoldOn
Sat Sep 16, 2017 3:31 pm
Forum: Investing - Theory, News & General
Topic: Distressing news -> Flight to Safety ?
Replies: 75
Views: 7011

Re: Distressing news -> Flight to Safety ?

There are Treasuries, and then there are TREASURIES If you are very brave you would buy 20-30-year Zero coupon long term Treasury Bonds. If the market tanks and the 30-year goes from 2.7% yield to 2% yield, you could have a huge capital gain. Gary Shilling (economist) has discussed this concept for...
by BuyAndHoldOn
Sat Sep 16, 2017 3:26 pm
Forum: Investing - Theory, News & General
Topic: Shiller PE over 30
Replies: 17
Views: 1456

Re: Shiller PE over 30

Investing in equities implies volatility and risk of losing money. There would be no premium otherwise. Set your AA based on your need, willingness, and ability to take risk. The market prices in future expectations. Sometimes expectations are met or exceeded, and other times they don't pan out. No...
by BuyAndHoldOn
Sat Sep 16, 2017 3:10 pm
Forum: Investing - Theory, News & General
Topic: Distressing news -> Flight to Safety ?
Replies: 75
Views: 7011

Re: Distressing news -> Flight to Safety ?

In *some* periods of crisis: The players who have to liquidate positions will dump the most valuable/most liquid assets. (Isn't this the concern with bond ETFs?) There was a selloff in Government (U.S., and global) bonds in ~1994; investment grade corporate bonds in 2007. Maybe CDs are the answer, b...
by BuyAndHoldOn
Sat Sep 16, 2017 2:35 pm
Forum: Investing - Theory, News & General
Topic: Shiller PE over 30
Replies: 17
Views: 1456

Re: Shiller PE over 30

See Slide 14 for context about CAPE/Shiller.

https://www.scribd.com/presentation/358 ... from_embed

I though the point about the US once being an "emerging market" was helpful for historical context.
by BuyAndHoldOn
Sat Sep 16, 2017 2:30 pm
Forum: Investing - Theory, News & General
Topic: Mass psychology and market crashes in Shiller and Marks articles
Replies: 6
Views: 830

Re: Mass psychology and market crashes in Shiller and Marks articles

Don't worry about commentators making comments. Bear markets are hard to predict. They are easier to identify in hindsight. Things that [can] let you know where you are in an economic/market cycle are: valuation, ISM reports (business growth), unemployment, inflation, and the yield curve. Psychology...
by BuyAndHoldOn
Sat Sep 16, 2017 2:02 pm
Forum: Investing - Theory, News & General
Topic: Distressing news -> Flight to Safety ?
Replies: 75
Views: 7011

Re: Distressing news -> Flight to Safety ?

And you will then move back into TBM when Washington is functioned like a well-oiled bipartisan machine, international bad guys all throw in the towel and are replaced with enlightened and benevolent democratic leadership and the weather and climate is just perfect coast to coast and will stay that...
by BuyAndHoldOn
Mon Sep 11, 2017 8:25 pm
Forum: Personal Finance (Not Investing)
Topic: Consumer Reports guide to the Equifax breach
Replies: 16
Views: 3139

Consumer Reports guide to the Equifax breach

This is the best set of suggestions I have found. Feel free to add more.

https://www.consumerreports.org/equifax ... ax-breach/
by BuyAndHoldOn
Sun Sep 10, 2017 2:41 pm
Forum: Investing - Theory, News & General
Topic: Do ETF's present a systemic risk?
Replies: 71
Views: 5339

Re: Do ETF's present a systemic risk?

Regarding your question about funds that employ leverage and are not ETFs: many investment firms (even index fund holders like Blackrock) use options and other derivatives that employ leverage. Hedge funds use derivatives, and were notorious at one point for using tons of borrowed money for specula...
by BuyAndHoldOn
Sun Sep 10, 2017 2:15 pm
Forum: Investing - Theory, News & General
Topic: Do ETF's present a systemic risk?
Replies: 71
Views: 5339

Re: Do ETF's present a systemic risk?

ETFs shouldn't be more risky than any other investment vehicle as long as there is sufficient liquidity - The regulators' concern is that ETF trading causes wild swings in stocks that aren't even held by the ETF. Wild swings can't happen with funds that only value once a day AFTER the markets are c...
by BuyAndHoldOn
Sun Sep 10, 2017 1:50 pm
Forum: Investing - Theory, News & General
Topic: Do ETF's present a systemic risk?
Replies: 71
Views: 5339

Re: Do ETF's present a systemic risk?

Apololgies in advance, as I did not read the entire thread. ETFs shouldn't be more risky than any other investment vehicle as long as there is sufficient liquidity - same with any other investment vehicle. In 1994, there was a global Government Bond selloff due to hedge funds unwinding their crowded...
by BuyAndHoldOn
Sat Sep 09, 2017 1:55 pm
Forum: Personal Consumer Issues
Topic: Luxury car: perception vs reality
Replies: 118
Views: 6498

Re: Luxury car: perception vs reality

... Even a modest modern car is pretty luxurious. A Honda Accord or Toyota Camry is filled with luxury that my grandparents could not have dreamed of during the Depression. Personally, I hate spending money on depreciating assets. Luxury cars depreciate a lot more, and the Camry rides just fine. I ...
by BuyAndHoldOn
Sat Sep 09, 2017 1:50 pm
Forum: Investing - Theory, News & General
Topic: Yes Virginia, you can lose money in bonds
Replies: 36
Views: 4864

Re: Yes Virginia, you can lose money in bonds

Investment grade & US Treasury bonds are for capital preservation. They hopefully will do a little better than inflation, but everyone's inflation rate can be different. Do you have a lot of medical expenses? Live in an expensive part of the country? Etc.
by BuyAndHoldOn
Fri Sep 01, 2017 7:06 pm
Forum: Investing - Help with Personal Investments
Topic: Are total bond funds much risker than cd's?
Replies: 10
Views: 1586

Re: Are total bond funds much risker than cd's?

You can look at the past history of Total Bond to see how much it has dropped in the past. I would not consider it a volatile holding, myself. ...if it did "tank"(your words), that could also be a buying opportunity. The interest would be reinvested to buy into the fund at a reduced price, giving yo...
by BuyAndHoldOn
Sun Aug 27, 2017 3:48 pm
Forum: Investing - Help with Personal Investments
Topic: 85/15 too aggressive at age 35?
Replies: 104
Views: 10389

Re: 85/15 too aggressive at age 35?

I am a little younger than the 'OP' (not by much) - and 100% of my retirement accounts (HSAs, etc.) are in equities. In my taxable account: I'm moving towards 60/40 equities/fixed income. [point is] If your accessible [non-retirement] money is sufficient, you could have a higher allocation to equit...
by BuyAndHoldOn
Sat Aug 05, 2017 10:14 am
Forum: Investing - Help with Personal Investments
Topic: 85/15 too aggressive at age 35?
Replies: 104
Views: 10389

Re: 85/15 too aggressive at age 35?

I am a little younger than the 'OP' (not by much) - and 100% of my retirement accounts (HSAs, etc.) are in equities. In my taxable account: I'm moving towards 60/40 equities/fixed income. [point is] If your accessible [non-retirement] money is sufficient, you could have a higher allocation to equiti...
by BuyAndHoldOn
Sun Jul 16, 2017 1:11 pm
Forum: Investing - Theory, News & General
Topic: Is the Total US Stock Market too concentrated?
Replies: 51
Views: 4289

Re: Is the Total US Stock Market too concentrated?

This might leave an investor who invests in 100% US stocks exposed to certain sectors and not adequately diversified. Could you explain this a bit more? What sectors do you think are being under weighted? Here is my take. For the past 20 to 30 years the market has undergone a structural change. It ...
by BuyAndHoldOn
Sun Jul 16, 2017 12:59 pm
Forum: Investing - Theory, News & General
Topic: Do Index Funds Distort Market Valuations?
Replies: 113
Views: 8400

Re: Do Index Funds Distort Market Valuations?

I wish I could find it, but there was a Wall Street Journal article a while back that discussed the valuation metrics of companies in the S&P 500 vs. outside the S&P 500. I believe they used two trucking/transport companies as an example, pointing out that the company included in the index had a hig...
by BuyAndHoldOn
Sun Jul 09, 2017 6:20 pm
Forum: Investing - Theory, News & General
Topic: Stocks and Bonds both declining.
Replies: 60
Views: 5830

Re: Stocks and Bonds both declining.

This may be obvious, but "bonds" as an asset class can be quite diverse. Total Bond Market (or equivalent) is nice because it makes 0 active bets [for better or worse] - it covers all parts of the yield curve, and does not lean heavily to certain corporate sectors. The one area it is probably overwe...
by BuyAndHoldOn
Sun Jul 09, 2017 6:04 pm
Forum: Investing - Theory, News & General
Topic: Anyone else gotten totally bored with investing?
Replies: 127
Views: 14929

Re: Anyone else gotten totally bored with investing?

I am interested in financial markets (etc.) so I continue to find investing fascinating.

But I invest boglehead style.
by BuyAndHoldOn
Sun Jul 09, 2017 5:47 pm
Forum: Investing - Theory, News & General
Topic: My Favorite Alternative Funds
Replies: 175
Views: 18667

Re: My Favorite Alternative Funds

Interesting that no one has discussed private equity. Is that too difficult to access for a non-accredited investor? I like the concept of private equity more than trading strategies for an investment approach (i.e., some actual economic activity). Not "dissing" the other approaches, I find what hed...
by BuyAndHoldOn
Thu Jun 29, 2017 9:28 am
Forum: Investing - Theory, News & General
Topic: Tax free investing with hedge funds
Replies: 2
Views: 316

Tax free investing with hedge funds

New boglehead strategy here. I hope to see a guide on the main site.

& apologies if this was posted already.

https://www.bloomberg.com/news/articles ... s-insurers
by BuyAndHoldOn
Sun Jun 18, 2017 3:02 pm
Forum: Investing - Help with Personal Investments
Topic: Producing Income in Taxable Account (Not Retired)
Replies: 19
Views: 1944

Re: Producing Income in Taxable Account (Not Retired)

Remember that any shares sold that have short term cap gains will be taxed at your ordinary rate, not the LTCG rate of 15%. Maybe you should keep out 9 months to 1 year's worth of cash, invest the rest and wait a year before using any of that money (other than the dividends). I like a strategy *lik...
by BuyAndHoldOn
Sun Jun 18, 2017 2:44 pm
Forum: Investing - Help with Personal Investments
Topic: Why do we need an emergency fund?
Replies: 70
Views: 4948

Re: Why do we need an emergency fund?

As has been pointed out on this and other threads: Once your accessible investments become sizable enough, that *is* your emergency fund. Within that framework, having sufficient cash/low risk investments on hand would be nice when funds are needed -->Timing the market is tough in equities for both ...
by BuyAndHoldOn
Sun Jun 18, 2017 2:22 pm
Forum: Investing - Theory, News & General
Topic: If everybody indexed, the only word you could use is chaos, catastrophe
Replies: 66
Views: 9023

Re: If everybody indexed, the only word you could use is chaos, catastrophe

Anything that can't go on forever won't do so in the real world. If there is a percentage at which indexing becomes less efficient than stock picking or other strategies, indexing will presumably not grow to a higher percentage than that value. Doesn't matter whether that percentages is 50%, 80%, o...
by BuyAndHoldOn
Sun Jun 18, 2017 2:13 pm
Forum: Investing - Theory, News & General
Topic: Best Financial Advice from Dad (in honor of father's day)
Replies: 78
Views: 6079

Re: Best Financial Advice from Dad (in honor of father's day)

My dad always said: [just] Buy the S&P 500. Whenever I mentioned saving money or a similar topic, he always said that.

I do total market funds, but the idea of indexing was pointed out to me in my ~mid-teens.
by BuyAndHoldOn
Sat Jun 17, 2017 7:33 pm
Forum: Investing - Theory, News & General
Topic: Risk on or Risk off? An NYU professor's take
Replies: 5
Views: 1201

Risk on or Risk off? An NYU professor's take

This guy puts out a lot of free content, FYI. Quick takeaway: Largely because of historically low interest rates, equities do not *appear* significantly overvalued by historical standards. He is referring to the risk premium, or extra compensation [theoretically] demanded by investors for holding eq...
by BuyAndHoldOn
Sun Jun 11, 2017 8:21 pm
Forum: Personal Consumer Issues
Topic: To re-paint car bumper, or wait
Replies: 12
Views: 1020

Re: To re-paint car bumper, or wait

Thanks for the suggestions, all.
by BuyAndHoldOn
Sat Jun 10, 2017 8:10 pm
Forum: Personal Consumer Issues
Topic: To re-paint car bumper, or wait
Replies: 12
Views: 1020

To re-paint car bumper, or wait

Hello, I have some minor (in my opinion) scrapes on the front bumper of my car. Are these scrapes severe enough to necessitate repair before winter/rain comes in? And/or when roads get treated with who knows what (I live in Utah, if matters) - ? The metal comes through in a few small places (indicat...
by BuyAndHoldOn
Sat Jun 03, 2017 6:28 pm
Forum: Investing - Theory, News & General
Topic: Everything keeps going up, this feels too easy?
Replies: 113
Views: 9867

Re: Everything keeps going up, this feels too easy?

Will equities be up more than they are now in 2, 5, 10; 30 years? I guess it all depends on your time frame.
by BuyAndHoldOn
Fri Jun 02, 2017 8:43 pm
Forum: Investing - Theory, News & General
Topic: Bogle: Even indexing can be too much of a good thing
Replies: 25
Views: 4874

Re: Bogle: Even indexing can be too much of a good thing

I don't think that last quartile will go to indexing anytime in the next decade or two. It's all the rage now and still less than 50% of even domestic equity assets according to that article. Many, many years away. There has been a mass exodus to indexing the last 1-3 years to the tune of 46% domes...
by BuyAndHoldOn
Fri Jun 02, 2017 8:35 pm
Forum: Investing - Theory, News & General
Topic: Does anyone treat taxable as a "someday fund"?
Replies: 86
Views: 7053

Re: Does anyone treat taxable as a "someday fund"?

mortfree wrote:..
my taxable account is labeled "I have no idea what I'm going to use this money for but I like watching it grow."

..

Same here. The indeterminate time frame can make asset allocation more challenging, but such is life. :|
by BuyAndHoldOn
Fri Jun 02, 2017 8:29 pm
Forum: Investing - Help with Personal Investments
Topic: Timing the market? :Bonds in rising interest rate environment
Replies: 22
Views: 2427

Re: Timing the market? :Bonds in rising interest rate environment

The market already prices in expectations of future interest rates. The current price of bonds includes the knowledge that the Fed is likely to raise the short term rate 1-2 more times in 2017. Precisely. The same math that is leading to this thread is also part of the inputs to the current market ...
by BuyAndHoldOn
Sun May 28, 2017 3:55 pm
Forum: Investing - Help with Personal Investments
Topic: Help - transfer HSA; rollover 403(b) to IRA
Replies: 5
Views: 531

Re: Help - transfer HSA; rollover 403(b) to IRA

HealthEquity charges 0.4% for access to Vanguard funds, so you wouldn't be saving much from switching to HealthEquity. Saturna gets good reviews here. You are correct. .033% per month on every $1,000 invested [like, this only has 120 calories - per tbsp]. I am still mulling over the decision.
by BuyAndHoldOn
Sat May 27, 2017 12:27 pm
Forum: Investing - Help with Personal Investments
Topic: Help - transfer HSA; rollover 403(b) to IRA
Replies: 5
Views: 531

Re: Help - transfer HSA; rollover 403(b) to IRA

Health equity has had some good reviews here. I wouldnt worry about volatility, you will only be out of the market for a sort time compared to your investment lifetime. There are several reasons to leave the 403 as is, but rolling it over is fine if you want to. If your income should increase, you ...
by BuyAndHoldOn
Sat May 27, 2017 7:52 am
Forum: Investing - Help with Personal Investments
Topic: Help - transfer HSA; rollover 403(b) to IRA
Replies: 5
Views: 531

Help - transfer HSA; rollover 403(b) to IRA

Greetings, And thank you in advance for your perspective. I have changed employers in the last few months, which has left me with the following situation. 1) Bank of America Health Savings Account with $13k in equity Mutual Funds (invested Boglehead style); and a $1k cash account balance. After leav...
by BuyAndHoldOn
Tue Mar 14, 2017 9:51 am
Forum: Investing - Theory, News & General
Topic: Fewer investment grade corporate bonds due to tax proposal?
Replies: 7
Views: 620

Re: Fewer investment grade corporate bonds due to tax proposal?

You are a relatively new poster, but discussions of proposed legislation are off topic (see forum policies) and this thread will be locked. #1, Thank you (and ValueThinker!) for the comments. #2, sorry about the rules issue. This seemed a pertinent topic to me, and investing-related - I didn't mean...