Search found 3851 matches

by Dandy
Sat Apr 30, 2016 8:04 am
Forum: Investing - Help with Personal Investments
Topic: Fixed AA for life
Replies: 10
Views: 903

Re: Fixed AA for life

It seems a lot of people want a set it and forget it investment allocation or withdrawal rate etc. A lot should depend on your age, your health, your wealth, your remaining human capital, your pension or social security income and timing, your current and anticipated expenses, etc. To try to set an ...
by Dandy
Fri Apr 29, 2016 7:22 am
Forum: Investing - Theory, News & General
Topic: When to begin taking Social Security payments?
Replies: 31
Views: 1534

Re: When to begin taking Social Security payments?

If you feel you have less than average longevity genes then that may tilt the decision toward not waiting to take SS. But, I'd be careful using that as the only rationale - your current health and how well you take and have taken care of yourself matters too. Aside from that I think there is good re...
by Dandy
Thu Apr 28, 2016 10:58 pm
Forum: Investing - Help with Personal Investments
Topic: Is 7% in cash too much?
Replies: 13
Views: 1636

Re: Is 7% in cash too much?

No. Cash is nice to have around especially when equities are down and/or interest rates rise. Just make sure you are getting a decent return rather than accepting rates lower than what you can get at on line banks.
by Dandy
Wed Apr 27, 2016 11:06 pm
Forum: Personal Finance (Not Investing)
Topic: Should a 60 yr old buy her first house?
Replies: 27
Views: 2411

Re: Should a 60 yr old buy her first house?

If it is a dream and you can afford it you will probably regret not doing it. But, home ownership can be more expensive than you think and as you get later into retirement keeping up with the landscaping and other maintenance may be a bit much physically and outsourcing is not cheap. I'm 68 and have...
by Dandy
Wed Apr 27, 2016 6:34 am
Forum: Investing - Theory, News & General
Topic: Wade Pfau on life-cycle finance retirement planning
Replies: 15
Views: 1836

Re: Wade Pfau on life-cycle finance retirement planning

Many people can avoid this situation by working as long as they can. The shorter the retirement the less dependent they are on their retirement funds . True. But many don't have the option to continue working due to downsizing, a physically demanding job, or health issues. Others prefer not to exte...
by Dandy
Tue Apr 26, 2016 10:03 pm
Forum: Investing - Theory, News & General
Topic: Wade Pfau on life-cycle finance retirement planning
Replies: 15
Views: 1836

Re: Wade Pfau on life-cycle finance retirement planning

Interesting discussion. While not well versed in the theories I sensed that retirement investing was different than in the accumulation phase. I felt it needed to be more conservative but age in bonds was just a starting point. Top down view of allocation e.g. going from 60/40 to say 50/50 or 40/60 ...
by Dandy
Tue Apr 26, 2016 8:25 am
Forum: Investing - Help with Personal Investments
Topic: 3.5M taxable bonds
Replies: 38
Views: 3283

Re: 3.5M taxable bonds

There is something scary for me to put all my eggs in one basket even if that basket is a relatively low risk, low expense muni fund. You haven't stated what the goal for this money is other than being safe. I would consider CDs, Treasury Securities/funds, GNMA fund, even EE bonds for some assets th...
by Dandy
Tue Apr 26, 2016 8:02 am
Forum: Investing - Help with Personal Investments
Topic: $150000 investment cleanup
Replies: 12
Views: 1686

Re: $150000 investment cleanup

Vanguard dividend growth VDIGX - $11500 Vanguard energy fund VGENX- $9800 Vanguard growth and income VQNPX $16800 Vanguard heatlh care VGHCX $24000 Vanguard international VINEX $10700 Vanguard midcap growth VMGRX $4350 Vanguard statregic equity VSEQX $5700 Vanguard totoal stock market VTSAX $14000 ...
by Dandy
Tue Apr 26, 2016 7:47 am
Forum: Investing - Help with Personal Investments
Topic: Paying off mortgage instead of buying bonds
Replies: 33
Views: 2983

Re: Paying off mortgage instead of buying bonds

I like the idea of having no mortgage but pre paying shortens the term doesn't reduce the monthly expense. I favor liquidity until you reach a nice fixed income asset size to weather a severe market down turn, loss of income, illness etc. Once you have that then I would consider mortgage pay downs.
by Dandy
Mon Apr 25, 2016 10:44 pm
Forum: Personal Finance (Not Investing)
Topic: Dealing with the "waiting game"
Replies: 26
Views: 3293

Re: Dealing with the "waiting game"

Don't rush those years. When you retire the years will fly by. These are you wonder years focus on something that makes a difference in your life or others and let your savings and investing do their thing.
by Dandy
Mon Apr 25, 2016 10:40 pm
Forum: Personal Finance (Not Investing)
Topic: Have any of you overextended on housing? What were your experiences?
Replies: 42
Views: 3573

Re: Have any of you overextended on housing? What were your experiences?

I passed on the opportunity to move up from a modest to much nicer home. Never regretted it. Was able to fully fund retirement and have my kids graduate with neither them or us having any debt, had great family vacations each year which we all treasure. Paid off my mortgage early and it was a real c...
by Dandy
Mon Apr 25, 2016 10:25 pm
Forum: Personal Finance (Not Investing)
Topic: Why have a formal budget?
Replies: 82
Views: 4708

Re: Why have a formal budget?

If you are married you both need to have sufficient self discipline and a good financial sense. We never had a budget. Used to allocation $x for food and $x each for weekly expenses e.g. commuting, lunches etc. In 42 years of marriage I only asked my spouse to ease up a bit for a couple of months af...
by Dandy
Mon Apr 25, 2016 10:13 pm
Forum: Personal Finance (Not Investing)
Topic: Want a new vehicle, but can't "justify" spending?
Replies: 27
Views: 2498

Re: Want a new vehicle, but can't "justify" spending?

I think you got your money's worth with the Lexus. Life isn't all about saving and expense frugality -- sometimes you need to actually spend. If you are taking care of your retirement funding and other important goals you might enjoy the new truck without guilt or regret. You are talking to a frugal...
by Dandy
Sun Apr 24, 2016 4:31 pm
Forum: Investing - Help with Personal Investments
Topic: Me vs. Vanguard
Replies: 24
Views: 3734

Re: Me vs. Vanguard

1. Domestic/International mix for stock allocation. I had targeted 70/30, but Vanguard recommends 60/40. I don't really have strong feelings on this one - I think we're fine with either. I've heard convincing arguments for both more international and less. I favor the more modest allocation to inte...
by Dandy
Sun Apr 24, 2016 2:57 pm
Forum: Investing - Theory, News & General
Topic: how do people keep AA constant with ongoing contributions?
Replies: 23
Views: 1734

Re: how do people keep AA constant with ongoing contributions?

That said, I don't have taxable investment accounts at the moment. I reckon once I do, that might complicate things a bit.


Especially if/when VG changes the underlying allocation or composition of the TD funds.
by Dandy
Sun Apr 24, 2016 8:24 am
Forum: Investing - Theory, News & General
Topic: how do people keep AA constant with ongoing contributions?
Replies: 23
Views: 1734

Re: how do people keep AA constant with ongoing contributions?

It takes some effort. But, I always tried to remember that it was the equity vs fixed income allocation that was the major risk to focus on vs the sub allocations. If you do a lot of slicing and dicing and want to keep those sub allocations tight you will be doing a lot of juggling. My 401k had a St...
by Dandy
Sun Apr 24, 2016 8:01 am
Forum: Investing - Theory, News & General
Topic: How do you avoid bad market timing for lump sum investments?
Replies: 23
Views: 1974

Re: How do you avoid bad market timing for lump sum investments?

Since equities usually rise over time lump sum immediately usually wins. My only problem with that is I "feel" that when markets are at or near a high by some object measure not media hype, that it can make some sense to do some lump some now to get in the market and then Dollar Cost Avera...
by Dandy
Sun Apr 24, 2016 7:30 am
Forum: Investing - Help with Personal Investments
Topic: Misallocated, No Bonds - What Now?
Replies: 11
Views: 1201

Re: Misallocated, No Bonds - What Now?

One way to reduce your equity exposure would be gifting stock to charity and/or children. If you currently give a decent amount to charity then switch from writing a check to donating some shares or gift some shares to a donor advised fund. If your children/or grandchildren are in a relatively low t...
by Dandy
Sun Apr 24, 2016 7:14 am
Forum: Investing - Help with Personal Investments
Topic: Any good Rationale for putting riskier investments in Roth?
Replies: 26
Views: 2075

Re: Any good Rationale for putting riskier investments in Roth?

I have trouble with this question too. I guess it sometimes depends on what role your Roth has in your retirement spending plans. I too have a relatively low allocation to Roth and being well into retirement see my Roth as the last dollars that I want to spend. But, I'd probably tap it before dippin...
by Dandy
Sun Apr 24, 2016 7:02 am
Forum: Investing - Help with Personal Investments
Topic: Million? [Will I get there]
Replies: 41
Views: 4998

Re: Million? [Will I get there]

whether you should have more depends a lot on your investment allocation. You are doing your part by aggressively saving and keeping expenses low. Retiring in your mid 50's is a nice goal/dream. But trying to fund retirement for a longer time becomes a challenge since you may have to live off your i...
by Dandy
Sat Apr 23, 2016 1:42 pm
Forum: Investing - Theory, News & General
Topic: Explaining a Total Return Withdrawal Strategy to Clients
Replies: 24
Views: 2306

Re: Explaining a Total Return Withdrawal Strategy to Clients

I tilt a bit toward liking dividends but when there is such an emphasis on simplicity on this forum if dividend income solves your income needs that is pretty simple. Also, in theory, companies use the assets they would have paid in dividends wisely. We know that is not always the case. The field is...
by Dandy
Sat Apr 23, 2016 10:03 am
Forum: Personal Consumer Issues
Topic: Free Windows 10 Upgrade, Yes or No?
Replies: 526
Views: 56915

Re: Have you upgrade to Windows 10?

did it awhile ago and probably should have waited -- usually good to be a late adopter. Runs fine now but initially had a problem where it would disconnect from the internet frequently. After a couple of weeks that problem went away. Was it Windows 10?
by Dandy
Sat Apr 23, 2016 9:55 am
Forum: Investing - Theory, News & General
Topic: "Profits in Finance"
Replies: 4
Views: 681

Re: "Profits in Finance"

Actually I think it isn't the expense it is the thought that the extra expense is buying smart, knowledgeable people who should give them an edge on figuring out the complexities of the market and get some advantage over just "dumb" market performance. All these smart people talk a great g...
by Dandy
Fri Apr 22, 2016 10:02 pm
Forum: Investing - Theory, News & General
Topic: Anyone Have a Near Retirement Strategy for Sequence of Return Risk?
Replies: 88
Views: 7213

Re: Anyone Have a Near Retirement Strategy for Sequence of Return Risk?

reducing equity exposure a bit is one way. Thinking of how to fund expenses in order to delay collecting Social Security can be important too. That might mean having some fixed income in a CD ladder and Savings account vs having it all in an intermediate bond fund.
by Dandy
Fri Apr 22, 2016 9:39 pm
Forum: Investing - Help with Personal Investments
Topic: One bond fund, two, or three?
Replies: 33
Views: 3122

Re: One bond fund, two, or three?

I think people should think fixed income vs bonds/bond funds. I'm retired with about 60% fixed income allocation. Goal is asset preservation. TIRA -- I have Intermediate bonds as part of Balanced Index and Wellesley Income funds, TIPS funds, Short Term Investment grade and index funds, and a CD ladd...
by Dandy
Fri Apr 22, 2016 5:06 pm
Forum: Investing - Theory, News & General
Topic: VBIAX or VSMGX: Is international still mandatory?
Replies: 7
Views: 731

Re: VBIAX or VSMGX: Is international still mandatory?

I spent some time with Morgan Stanley but didn't learn about investing so much from that job or any financial services job. Learned more from good reading and this forum. I'm 68 married and recently simplified my TIRA portfolio a bit by eliminating International Index, total bond and total Stock mar...
by Dandy
Fri Apr 22, 2016 4:43 pm
Forum: Investing - Help with Personal Investments
Topic: Social Security timing
Replies: 8
Views: 902

Re: Social Security timing

Yes. Married couples, especially if they have a spouse with much lower earnings and great genes (not jeans!) it makes all the sense in the world. The bigger the income floor the better. You will be using more of your 401k now but less after age 70 and won't have market risk (or gain) to factor into ...
by Dandy
Thu Apr 21, 2016 2:32 pm
Forum: Investing - Theory, News & General
Topic: Bond Fund Strategy?
Replies: 26
Views: 2709

Re: Bond Fund Strategy?

I like diversity in fixed income especially in retirement and especially if the fixed income allocation is large. I prefer people to think fixed income vs bonds/or bond funds to open up their thinking to a wider selection of products. If you are in the accumulation phase your allocation seem fine - ...
by Dandy
Mon Apr 18, 2016 11:37 pm
Forum: Investing - Theory, News & General
Topic: Creating a diversified bond portfolio - beyond VG's Total Bond fund
Replies: 24
Views: 3257

Re: Creating a diversified bond portfolio - beyond VG's Total Bond fund

Diversity in stocks means owning "the market" in market-weight amounts. I am gathering that diversity in bonds does not necessarily mean owning "the market" in market-weight amounts. Is that about it? I'm just a little guy, so I generally respect Total Bond Market for the role i...
by Dandy
Mon Apr 18, 2016 8:37 pm
Forum: Investing - Theory, News & General
Topic: Creating a diversified bond portfolio - beyond VG's Total Bond fund
Replies: 24
Views: 3257

Re: Creating a diversified bond portfolio - beyond VG's Total Bond fund

I agree that diversifying fixed income usually makes some sense. I think many are too focused on bond funds and usually intermediate bond funds vs the whole range of fixed income options. Not saying you need them all by any means but why eliminate without consideration Stable Value funds, short term...
by Dandy
Mon Apr 18, 2016 6:01 pm
Forum: Investing - Theory, News & General
Topic: Delaying SS Benefits?
Replies: 38
Views: 3767

Re: Delaying SS Benefits?

Many/most pensions are not inflation protected and often drop in half for the surviving spouse. A larger inflation protected income floor for life is usually a valuable thing to have. Maybe even more valuable than a larger nest egg.
by Dandy
Mon Apr 18, 2016 5:46 pm
Forum: Investing - Theory, News & General
Topic: Whats with the hedge fund hating?
Replies: 60
Views: 4116

Re: Whats with the hedge fund hating?

Hedge funds usually seem to be very expensive, swing for the fences actively managed. I believe the managers also got a nice tax break by counting some forms of income as cap gains. As I understand it many charge 2% of assets plus 20% of the gains. If true that is why it makes sense to swing for the...
by Dandy
Fri Apr 08, 2016 9:19 am
Forum: Investing - Theory, News & General
Topic: Retirement
Replies: 32
Views: 2866

Re: Retirement

A doctor that was engaged in cancer research. That was his life and the challenge and thrill of making some progress keeps him going - he is at least 84. For some that keep working it is passion for the job, some have to work financially and for others it really is all they know - they don't know wh...
by Dandy
Fri Apr 08, 2016 5:33 am
Forum: Personal Finance (Not Investing)
Topic: IRS cashed unsigned check
Replies: 40
Views: 4159

Re: IRS cashed unsigned check

Technically, it shouldn't have been cashed. It may be that the IRS has an agreement with the bank to guarantee the deposit. I know we had something like that if checks were not perfect the bank would accept them if we guaranteed them. Not sure it applied to no signature . When you think about the ti...
by Dandy
Thu Apr 07, 2016 7:41 am
Forum: Investing - Theory, News & General
Topic: How many basis points matter to you?
Replies: 36
Views: 2156

Re: How many basis points matter to you?

If the choice is same fund only 1 bp lower - the lower bp wins. But that isn't usually the choice in real life. You are usually choosing between 2 different funds with different, even if slightly different, strategies, allocations etc. So, the real question is how do you weigh the difference between...
by Dandy
Wed Apr 06, 2016 10:21 pm
Forum: Investing - Theory, News & General
Topic: Are you planning to leave an "estate"?
Replies: 74
Views: 6653

Re: Are you planning to leave an "estate"?

I sure hope to leave an estate for my children and it does fill another role of providing some financial security for us. But, I plan to also gift a decent amount as our finances permit to them while we are alive. One is for a selfish reason of seeing them and our grandchildren enjoy life a bit more...
by Dandy
Wed Apr 06, 2016 8:03 am
Forum: Investing - Help with Personal Investments
Topic: is foreign investing really worth it
Replies: 90
Views: 5361

Re: is foreign investing really worth it

I've modified your question a bit. Now imagine you were a Japanese investor in Japan in the 1980's. How do you feel about the answer now? While not directed at me I'll make some comments. Japan sure looked like a powerhouse back then and had a fair share of the world's economy. They seemed at that ...
by Dandy
Tue Apr 05, 2016 11:35 pm
Forum: Investing - Help with Personal Investments
Topic: is foreign investing really worth it
Replies: 90
Views: 5361

Re: is foreign investing really worth it

Your comments make much sense, but for some reason they do not necessary apply. The example that comes to mind is Israel.a dangerous place, but with an extremely vibrant stock market that has done really well (check Tel Aviv 100), and a degree of innovation that is unmatched. How can that be explai...
by Dandy
Tue Apr 05, 2016 9:53 pm
Forum: Investing - Help with Personal Investments
Topic: is foreign investing really worth it
Replies: 90
Views: 5361

Re: is foreign investing really worth it

so the idea of some kind of "American Exceptionalism" didn't even occur to me Interesting that some of the "exceptional americans" are recent immigrants e.g. Google and Tesla leaders. So I don't believe the US has a lock on exceptional people. The fact that we have, until recent...
by Dandy
Tue Apr 05, 2016 6:52 pm
Forum: Investing - Help with Personal Investments
Topic: is foreign investing really worth it
Replies: 90
Views: 5361

Re: is foreign investing really worth it

If you are interested in currency diversification you can do that without investing in international equities can't you? Currency differences can help or hurt.
by Dandy
Tue Apr 05, 2016 1:57 pm
Forum: Investing - Theory, News & General
Topic: Are Bogleheads too conservative?
Replies: 135
Views: 12853

Re: Are Bogleheads too conservative?

I'm sure many including me are. Simple doesn't equal conservative. Complex doesn't equal aggressive. I think the question is too conservative for who? in what circumstances -- age, risk tolerance, need and ability to take risk, goal of growth vs asset preservation, etc. I'm retired and in very good ...
by Dandy
Tue Apr 05, 2016 1:24 pm
Forum: Investing - Help with Personal Investments
Topic: is foreign investing really worth it
Replies: 90
Views: 5361

Re: is foreign investing really worth it

I'm not against international equity investing just don't think global weighting is needed for everyone. If you only evaluate the risks and merits of the companies included in the fund you may understate the geographic, political, corruption, degree of regulation and other risks outside of the compa...
by Dandy
Tue Apr 05, 2016 7:54 am
Forum: Investing - Help with Personal Investments
Topic: Safe withdrawal rate with zero growth
Replies: 38
Views: 2754

Re: Safe withdrawal rate with zero growth

While your buddy will get some good advice here he can afford to get a session with a good fee only financial advisor who will delve into his personal situation and give him an interactive discussion of a plan that is tailored to his needs/risk tolerance. Once he gets such a plan it still might be g...
by Dandy
Mon Apr 04, 2016 5:50 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Dividend Check Bounced!
Replies: 15
Views: 4990

Re: Vanguard Dividend Check Bounced!

I was in change of a bill payment unit a long time ago and received a call from a very irate vendor who we paid and the bank bounced the check. My company was a major insurance company who had a zero balance account with that bank. That means we didn't keep money in the account and at the end of the...
by Dandy
Mon Apr 04, 2016 5:30 pm
Forum: Investing - Help with Personal Investments
Topic: is foreign investing really worth it
Replies: 90
Views: 5361

Re: is foreign investing really worth it

Do not disagree at all. But I'm reminded that the world is not static, and we often vastly underestimate the extent of change (as I type this on my iPad from a hotel room in Seoul). The US was once considered an emerging market. So the question is do you want some chips on the table before all of t...
by Dandy
Mon Apr 04, 2016 3:30 pm
Forum: Investing - Help with Personal Investments
Topic: is foreign investing really worth it
Replies: 90
Views: 5361

Re: is foreign investing really worth it

There is a whole lot of logic for investing with a global allocation. If we did a poll I wonder what percent of the membership has such a global weighted equity allocation? Or if they can't due to legacy investments or poor 401k choices -- would they if they could? I'm assuming a small percentage - ...
by Dandy
Mon Apr 04, 2016 6:44 am
Forum: Investing - Help with Personal Investments
Topic: is foreign investing really worth it
Replies: 90
Views: 5361

Re: is foreign investing really worth it

I don't think there is a black and white case for every investor to have a global or near global equity allocation. But, you can't make the determination of what international equities you should allocate to by focusing on the relatively poor performance over the last few years. That might tell you ...
by Dandy
Sun Apr 03, 2016 1:02 pm
Forum: Investing - Theory, News & General
Topic: "Monitor Your Portfolio Once This Year, Then Ignore It"
Replies: 53
Views: 6542

Re: "Monitor Your Portfolio Once This Year, Then Ignore It"

However, as with many things published or stated here on this forum, "not looking" is a metaphor for learning not to respond to how things move around. There are lots of good reasons people should absolutely be looking at their portfolios frequently. One of those is what was just mentione...
by Dandy
Sun Apr 03, 2016 12:02 pm
Forum: Investing - Theory, News & General
Topic: Jack Bogle - Two Fund Portfolio
Replies: 28
Views: 3300

Re: Jack Bogle - Two Fund Portfolio

Warren Buffet does seem to really stand by the 10% short-term bonds (cash) figure. He followed up by saying, explicitly, that holding 20, 30, or 40% bonds is "silly". I believe what Buffet is leaving to his wife is 90% S&P 500 and 10% short term Treasuries? In any event her 10% short ...
by Dandy
Sun Apr 03, 2016 9:32 am
Forum: Investing - Theory, News & General
Topic: Expense Ratio Difference
Replies: 6
Views: 665

Re: Expense Ratio Difference

Its all about rewarding larger customers with lower costs when it comes to VG classes. Some justification since larger customers/accounts are cheaper to service. A 401k at a company may have thousands of customers choosing Total Stock. If VG is not the record keeper and just supplies the fund it may...

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