Search found 388 matches

by Elbowman
Tue Nov 29, 2016 8:47 pm
Forum: Investing - Help with Personal Investments
Topic: vnjux muni bond fund what to do
Replies: 3
Views: 469

Re: vnjux muni bond fund what to do

my concern is with the current bond market. Try not to be concerned, not because there is nothing concerning happening, but because there is nothing you can do about it. Here is a helpful rule for the individual investor: By the time you hear the news, it is too late to act on it. The professionals...
by Elbowman
Fri Nov 11, 2016 4:21 pm
Forum: Personal Finance (Not Investing)
Topic: Term Life vs Universal Life
Replies: 11
Views: 588

Re: Term Life vs Universal Life

It's been discussed a bazillion times: https://www.google.com/search?sitesearch=bogleheads.org&q=universal+life+insurance . Short answer is Universal Life is bad as an investments because it has high fees. It is only useful when you actually need "permanent" life insurance, which is ve...
by Elbowman
Wed Nov 02, 2016 7:35 pm
Forum: Investing - Help with Personal Investments
Topic: Can you evaluate my financial situation?
Replies: 33
Views: 1802

Re: Can you evaluate my financial situation?

BogleMelon wrote:Ok gentlemen, what else you have for me as an evaluation? please feel free to fry me up if something I mentioned seem wrong!
Just that you will need to play some catch-up as you are a little behind on your savings. Given your income vs. spending you should be fine though if you start saving now.
by Elbowman
Wed Nov 02, 2016 7:29 pm
Forum: Investing - Help with Personal Investments
Topic: Can you evaluate my financial situation?
Replies: 33
Views: 1802

Re: Can you evaluate my financial situation?

Don't I need these US small cap companies in my portfolio? "Need"? No. You will be fine without them. Look at a graph of the S&P 500 vs Total Stock Market, they are very similar. If you want to you could include a little bit of the Extended Market Index in your Roth IRAs, but you were...
by Elbowman
Wed Nov 02, 2016 7:21 pm
Forum: Investing - Help with Personal Investments
Topic: Can you evaluate my financial situation?
Replies: 33
Views: 1802

Re: Can you evaluate my financial situation?

BogleMelon wrote:One thing I don't quite understand, why the saving rate always compared to the gross income not to the take home pay? I can not choose not to spend the taxes and keep it to myself, for example
You can if you invest pre-tax :D
by Elbowman
Wed Nov 02, 2016 7:19 pm
Forum: Investing - Help with Personal Investments
Topic: Can you evaluate my financial situation?
Replies: 33
Views: 1802

Re: Can you evaluate my financial situation?

The cheapest mutual fund in my 401K is one that follows S&P 500, ER is 0.75% That's good enough to make it worthwhile. The strategy would be to hold only that in your 401k and then hold Total International Stock Market and Total Bond Market your Roth IRAs to balance your portfolio. If it make y...
by Elbowman
Fri Oct 28, 2016 8:07 pm
Forum: Investing - Help with Personal Investments
Topic: Portfolio Diversifying question with Target 2040 and others.
Replies: 19
Views: 1493

Re: Portfolio Diversifying question with Target 2040 and others.

For what it's worth, there is another thread going on right now which suggests that given the current valuations, holding international stocks is the more aggressive move. Given that TR 2040 is 35% international but only 12% bonds, and if the expected returns in the thread I linked are correct, then...
by Elbowman
Fri Oct 14, 2016 10:42 am
Forum: Investing - Help with Personal Investments
Topic: An alternate to DNP [DNP Select Income Fund Inc.]
Replies: 21
Views: 1484

Re: An alternate to DNP

I mean... sure, this board has lots of different opinions, and maybe a couple follow this style of investing and have the advice you are looking for. But you have 200+ posts, and you are asking about a leveraged stock fund with an ER of either 1% or 1.6%, depending on how you measure. Surely you alr...
by Elbowman
Wed Oct 05, 2016 5:25 pm
Forum: Investing - Help with Personal Investments
Topic: Maximizing tax advantaged space
Replies: 2
Views: 277

Re: Maximizing tax advantaged space

Government savings bonds (I and EE) are tax deferred. If the fixed rate of I Bonds ever get back to the 1%+ range I will probably buy some.
by Elbowman
Thu Sep 29, 2016 7:14 pm
Forum: Investing - Help with Personal Investments
Topic: Seen the light, need advice.
Replies: 18
Views: 1818

Re: Seen the light, need advice.

Trad 401ks are usually better for most circumstances. Here's why: Pre-retirement costs: living expenses, mortgage, children, retirement savings. Post-retirement costs: living expenses. You typically need less money in retirement to maintain the same lifestyle, so your tax rate is typically lower. W...
by Elbowman
Thu Sep 29, 2016 6:30 pm
Forum: Investing - Help with Personal Investments
Topic: FBIOX is killing me. [Fidelity Select Biotechnology]
Replies: 48
Views: 2596

Re: FBIOX is killing me.

Honestly, not to get political, but when I woke up and saw this, I had a feeling this could happen. I should have gone with my gut and sold when I saw the tweet. Words matter. The big crash and very slow "recovery" happened after this. It worries me what might happen after November. It co...
by Elbowman
Wed Sep 28, 2016 7:34 pm
Forum: Investing - Help with Personal Investments
Topic: Seen the light, need advice.
Replies: 18
Views: 1818

Re: Seen the light, need advice.

Trad 401ks are usually better for most circumstances. Here's why:

Pre-retirement costs: living expenses, mortgage, children, retirement savings.
Post-retirement costs: living expenses.

You typically need less money in retirement to maintain the same lifestyle, so your tax rate is typically lower.
by Elbowman
Wed Sep 28, 2016 7:12 pm
Forum: Investing - Help with Personal Investments
Topic: Anyone feel like ripping this asset allocation to shreds?
Replies: 58
Views: 3296

Re: Anyone feel like ripping this asset allocation to shreds?

For someone who is retired, it is 80% good, 20% commodities, which probably averages out to "good enough" if you stick with it. Could use some TISM. It is pretty conservative, but to know if it is too conservative for you we need more information (retirement savings vs. required income).
by Elbowman
Fri Sep 23, 2016 7:34 pm
Forum: Investing - Theory, News & General
Topic: Rolling a 401k from previous employer to an IRA or new 401k
Replies: 7
Views: 467

Re: Rolling a 401k from previous employer to an IRA or new 401k

If you are over the income limits for contributing to a Roth IRA but would still like to, then there is an advantage to choosing the 401k. Having a Trad IRA limits your ability to do a Backdoor Roth conversion.
https://thefinancebuff.com/the-backdoor ... ow-to.html
by Elbowman
Fri Sep 23, 2016 7:28 pm
Forum: Investing - Help with Personal Investments
Topic: New portfolio!
Replies: 6
Views: 403

Re: New portfolio!

You've done a good job setting up a solid portfolio! The only thing I could recommend is to read a few books on investing if you haven't yet. The big threat now is that you panic during a downturn and change your plan (and people have a knack for doing this at the worst possible time). The more you ...
by Elbowman
Thu Sep 22, 2016 7:47 pm
Forum: Investing - Theory, News & General
Topic: Extreme Maximization of College Financial Aid
Replies: 88
Views: 5081

Re: Extreme Maximization of College Financial Aid

First of all, everyone on this thread who takes advantage of the backdoor Roth conversion can get off their high horse. I'm one of those who enjoys these types of analyses so I figured I'd ask this forum whether I'm overlooking anything (from a purely financial perspective) other than my own need to...
by Elbowman
Wed Sep 21, 2016 10:03 am
Forum: Investing - Help with Personal Investments
Topic: My future in your hands...
Replies: 26
Views: 4101

Re: My future in your hands...

Hi beachlife86, First of all, your future is in YOUR hands! :D You need to do some reading, because while we can give you a good strategy we can't make you stick with it during tough times, which is essential. You need to understand why it's good and believe it. I recommend reading "If You Can&...
by Elbowman
Tue Sep 13, 2016 8:52 pm
Forum: Investing - Help with Personal Investments
Topic: I am going to stop tilting. Sanity check.
Replies: 66
Views: 6432

Re: I am going to stop tilting. Sanity check.

The way I see it, when it comes to investing there is the big stuff: 1) Save early and often 2) Keep costs low (including taxes) 3) Be broadly diversified 4) Stay the course and there is the little stuff: 1) Tilting 2) Target Retirement vs. roll your own 3) Lump sum vs. (reasonably short) DCA 4) etc...
by Elbowman
Mon Sep 12, 2016 11:08 am
Forum: Investing - Theory, News & General
Topic: An "out of sample" test of two specific factor-based portfolios published pre-2008
Replies: 76
Views: 5540

Re: An "out of sample" test of two specific factor-based portfolios published pre-2008

The book promised updates to all the performance data on a website, but, a few years after the crash, when I checked, the website was defunct and the author did not answer an email I sent him. The book is apparently still being sold by Amazon (!) so I have no idea what the story is. Larry, the fact...
by Elbowman
Sun Sep 11, 2016 4:28 pm
Forum: Personal Finance (Not Investing)
Topic: Auto Glass in Air Vents
Replies: 4
Views: 483

Auto Glass in Air Vents

Hi Folks! My Google searches have not been as fruitful as I would have liked, so I am hoping someone here has had experience with this. I have a 2007 Chevrolet Malibu LT, and my windshield was smashed in by a vandal. I had it replaced and the car was cleaned, but when I started it and began experime...
by Elbowman
Thu Sep 08, 2016 3:34 pm
Forum: Investing - Theory, News & General
Topic: Fidelity and new Factor-based ETF's
Replies: 6
Views: 583

Re: Fidelity and new Factor-based ETF's

Ugh... eventually the prices for the new factors will come down enough that I can't use ER as an excuse. Then I will be forced to evaluate why I don't either 1) include the whole Factor Zoo in my portfolio or 2) drop SCV. :(
by Elbowman
Wed Aug 31, 2016 2:34 pm
Forum: Investing - Help with Personal Investments
Topic: Opening a taxable account to take "shots" in the market?
Replies: 12
Views: 689

Re: Opening a taxable account to take "shots" in the market?

There is no financial "sense", but some people take a small fraction of their retirement savings and do this for the purpose of entertainment. You should treat it the same way as going to a casino. It's never something you should do if your only goal is to make money, but rather a luxury t...
by Elbowman
Fri Aug 26, 2016 9:47 am
Forum: Investing - Help with Personal Investments
Topic: Now the time to open S&P 500 Roth IRA?
Replies: 14
Views: 984

Re: Now the time to open S&P 500 Roth IRA?

None of us know for sure where the market will be next month or next year, and you need to disabuse yourself of the the idea that accurate, short term market predictions are possible. You don't by stocks because of where the S&P will be next year, you buy them because of where it will be in 30 y...
by Elbowman
Tue Aug 23, 2016 8:04 pm
Forum: Investing - Help with Personal Investments
Topic: Beginner Help Investing for Retirement
Replies: 20
Views: 1347

Re: Beginner Help Investing for Retirement

Here's the deal: given that you have complete control over your investment choices (no company 401(k)), you should be able to follow a very simple (and very good) strategy. 1) Everything you invest in should be zero load, and less than 0.15% ER. 2) It is possible (and is debated here constantly) tha...
by Elbowman
Mon Aug 22, 2016 3:49 pm
Forum: Investing - Help with Personal Investments
Topic: Sold startup at age 25, need portfolio help!
Replies: 12
Views: 2678

Re: Sold startup at age 25, need portfolio help!

The last thing I'm wondering about is if I the 36-48 month time horizon for dollar cost averaging is appropriate. I really don't want to do it all in one lump sum, but not sure if 48 months is too much time... It probably is too long. A common recommendation I see here is to lump sum half and DCA t...
by Elbowman
Fri Aug 19, 2016 6:58 pm
Forum: Investing - Theory, News & General
Topic: Are there other reasons besides volatility to avoid 100% equities?
Replies: 115
Views: 7761

Re: Are there other reasons besides volatility to avoid 100% equities?

1) Either you have an ENORMOUS emergency fund, in which case your "100% stocks portfolio" is really just mental accounting, or you can't really guarantee any particular holding period. 2) When everyone whose financial opinion I respect (most of whom have much more experience than me) recom...
by Elbowman
Wed Aug 17, 2016 7:33 pm
Forum: Investing - Help with Personal Investments
Topic: ETF for grandchildren
Replies: 4
Views: 347

Re: ETF for grandchildren

Especially if you biased against international, VTI seems like a no-brainer. The caveat is if they are to use these funds for college, in which case 100% stock is probably to aggressive for the seven year old.
by Elbowman
Wed Aug 17, 2016 10:29 am
Forum: Investing - Theory, News & General
Topic: Better growth? Or on how the value premium ends
Replies: 211
Views: 12255

Re: Better growth? Or on how the value premium ends

As I've mentioned before, this is why I like VBR. When Larry Swedroe submits some apocalyptic post about how real returns for TSM will be 2% over the next 20 years, and how we better have SCV and EM, I think "good thing I have VBR! With two thirds the loading of DFA, I'll still do fine if value...
by Elbowman
Tue Aug 16, 2016 7:20 pm
Forum: Investing - Help with Personal Investments
Topic: How should I classify this employee stock program for allocation purposes?
Replies: 3
Views: 291

Re: How should I classify this employee stock program for allocation purposes?

Assuming the money in the CD is always YOURS, personally, I would not allocate ANY of the possible future returns. I always treated my stock options and held ESPP shares as added bonus money in my financial planning. There are just too many things that could happen with them thru time. Once they pr...
by Elbowman
Mon Jul 25, 2016 10:33 am
Forum: Investing - Help with Personal Investments
Topic: Advice on using Not great Bond Fund in 401k
Replies: 11
Views: 1044

Re: Advice on using Not great Bond Fund in 401k

would balancing be best achieved by allocating some future 401K contributions to the higher ER fund MWTRX to or to make future purchases in my Vanguard taxable account In my opinion, this depends on if you will still be maximizing your 401k contributions in either case . In other words, if the taxa...
by Elbowman
Sat Jul 23, 2016 8:39 pm
Forum: Investing - Help with Personal Investments
Topic: New to investing
Replies: 9
Views: 687

Re: New to investing

Looks like a fine portfolio! Just be prepared for ~50% declines in stock values, which will happen several times over your lifetime.
by Elbowman
Fri Jul 22, 2016 8:56 pm
Forum: Investing - Theory, News & General
Topic: U.S. Stock Market Increasingly Detached from U.S. Economy
Replies: 19
Views: 2587

Re: U.S. Stock Market Increasingly Detached from U.S. Economy

I'm not sure what the rationale is for paralleling the economy rather than paralleling the market. I'll give it a shot, though this may be a dumber version of what qwertyjazz just said. When you buy TSM (or better yet, Total World), you can take some amount of comfort in thinking "either I wil...
by Elbowman
Fri Jul 22, 2016 8:38 pm
Forum: Investing - Theory, News & General
Topic: Is buy low, sell high the same as market timing?
Replies: 29
Views: 2079

Re: Is buy low, sell high the same as market timing?

Who cares what it's called? You can transact in the market based on valuations, gut feelings, your horoscope, or whatever. What you should care about is if it's a good decision (ex ante). +1. I feel most of the value in the saying "buy low, sell high" is not what it tells you to do, but w...
by Elbowman
Fri Jul 22, 2016 12:12 pm
Forum: Investing - Help with Personal Investments
Topic: 403(b) after tax contribution
Replies: 4
Views: 361

Re: 403(b) after tax contribution

What you have found is sometimes referred to on this forum as a Mega Backdoor Roth IRA. That link has many previous posts on this topic, you should check them out. I think it may actually be the case that whether or not you can do this depends on your company's plan. It's really valuable if you have...
by Elbowman
Tue Jul 19, 2016 9:14 pm
Forum: Investing - Help with Personal Investments
Topic: help me with bonds
Replies: 34
Views: 2757

Re: help me with bonds

article and efficient frontier graph both show that bonds reduce returns that is what holds me back The goal of your portfolio is not to have the highest average return, it is to have the highest probability of producing at least what you need . Here is the example that makes it clear for me: imagi...
by Elbowman
Mon Jul 18, 2016 7:26 pm
Forum: Personal Finance (Not Investing)
Topic: mortgage vs investing
Replies: 43
Views: 2047

Re: mortgage vs investing

It would help to know your marginal tax rate and what retirement accounts you have available for contribution. Mortgage vs. taxable investing is one question, and there I'd prefer mortgage. But mortgage vs. tax-advantaged investing is different, there I'd prefer tax-advantaged accounts.
by Elbowman
Fri Jul 15, 2016 10:40 am
Forum: Investing - Help with Personal Investments
Topic: Beginner question on taxable account
Replies: 5
Views: 459

Re: Beginner question on taxable account

Aside from unexpected events that would force me to withdraw money and take a tax hit, what is the best way to manage a taxable account? - should I just refrain from touching investments in my taxable account, and use it only when I'm retired and possibly in a lower tax bracket? Normally, unexpecte...
by Elbowman
Fri Jul 15, 2016 10:27 am
Forum: Personal Finance (Not Investing)
Topic: Student Loan Payoff Assistance
Replies: 12
Views: 1025

Re: Student Loan Payoff Assistance

campy2010 wrote:Everything you describe is exactly correct. Put the extra payment toward the highest interest loan, pay the minimum on the others until the high interest loan is paid off.
+1
by Elbowman
Fri Jul 15, 2016 10:21 am
Forum: Investing - Theory, News & General
Topic: Options trading
Replies: 33
Views: 2154

Re: Options trading

prettybogle wrote:Yes I am conflicted in my decision on options trading - trying very hard to resist the urge.
Ah yes, I know that urge. For me it was poker :twisted: . Be careful not to rationalize an urge to gamble as "investing".
by Elbowman
Thu Jul 14, 2016 8:37 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Dividend ETF
Replies: 10
Views: 1023

Re: Vanguard Dividend ETF

Not now. Investors have been chasing yield for almost eight years now. It doesn't seem like a good time to pursue this strategy. When the market hates dividends, that is the time to buy in, not when everyone and his brother are chasing them. +1. Wait for when an article titled "The Death of Di...
by Elbowman
Thu Jul 14, 2016 8:32 pm
Forum: Investing - Theory, News & General
Topic: Options trading
Replies: 33
Views: 2154

Re: Options trading

Gah! So much noise about all time highs! You expect the market to, on average, go up, right? In that case "all time highs" should be the norm, and "temporarily below the all time high" the exception.
by Elbowman
Thu Jul 14, 2016 8:27 pm
Forum: Investing - Help with Personal Investments
Topic: investing an inheritance
Replies: 35
Views: 3827

Re: investing an inheritance

This market has me on the sidelines. You have you on the sidelines :happy . There is no magic solution which will give you high return without risk. You just have to come to terms with what you can and can't know. What you can't know: if the stock market will crash right after you invest your inher...
by Elbowman
Thu Jul 14, 2016 11:46 am
Forum: Investing - Help with Personal Investments
Topic: Portfolio allocation feedback
Replies: 4
Views: 589

Re: Portfolio allocation feedback

A couple things: The good: You are diversified (within equities), and have low costs. These are probably the two most important (non-behavioral) factors in investing. A reality check: That is a 100% equity portfolio. 100% equity doesn't mean certain doom, but you should at least be honest with yours...
by Elbowman
Wed Jul 13, 2016 10:37 am
Forum: Investing - Help with Personal Investments
Topic: Where to invest taxable funds? Help please
Replies: 9
Views: 858

Re: Where to invest taxable funds? Help please

Total Stock Market is pretty tax efficient. I think the straight forward choice for taxable funds earmarked for retirement is to put them is Vanguard Total Stock Market Index in your taxable account, and maintaining the 67/33 stock/bond ratio for your portfolio as a whole (which may mean increasing ...
by Elbowman
Tue Jul 12, 2016 8:08 pm
Forum: Investing - Help with Personal Investments
Topic: Fund in taxable account and too good to be true?
Replies: 13
Views: 1731

Re: Fund in taxable account and too good to be true?

2. Vanguard Extended Duration Treasury Index Fund ETF Shares- EDV Am I missing something here? The returns look too good to be true. WOW! Finally, a bond fund for people who prefer the volatility of emerging market stocks. The return you are seeing is from bond yields decreasing over the last 8 yea...
by Elbowman
Mon Jul 11, 2016 11:37 am
Forum: Investing - Help with Personal Investments
Topic: Critique my investment plan
Replies: 18
Views: 1573

Re: Critique my investment plan

3. After maxing out Roth IRA, should I keep putting money in to the taxable account? Balance is 90% stocks - 10% bonds. As I will keep the bonds in 403b, I will keep this balance as it is or should I change the allocation? In general retirement savings should not go into taxable until you have maxe...
by Elbowman
Sun Jul 10, 2016 12:33 am
Forum: Investing - Help with Personal Investments
Topic: Would like a 3 fund 401k. Can it be done with these 3 funds?
Replies: 4
Views: 594

Re: Would like a 3 fund 401k. Can it be done with these 3 funds?

I'm thinking 3 fund portfolio 50% VINIX 30% WAPSX 20% RERFX Thoughts please Yes, you can make a reasonable three-fund portfolio using those funds in your 401k. You could instead create a three-fund portfolio across all three accounts using only Vanguard Institutional Index VINIX) in the 401k and us...
by Elbowman
Fri Jul 08, 2016 11:58 am
Forum: Personal Finance (Not Investing)
Topic: Can we start another forum section? [Taxation of Social Security benefits]
Replies: 60
Views: 4882

Re: Can we start another forum section?

I think this is definitely a "teach a man to fish" scenario. Rather than creating a section where responses are limited to those who already understand the hump, your mission should be to teach people who post often about it, creating more people who can give good advice.
by Elbowman
Thu Jul 07, 2016 7:44 pm
Forum: Investing - Theory, News & General
Topic: Monetary policy is (barely) carrying the world
Replies: 29
Views: 1773

Re: Monetary policy is (barely) carrying the world

technovelist wrote:I think this is correct, and the actionable advice is: have some exposure to a money that they can't print.
Governments can't print profitable companies, so most bogleheads already have substantial exposure to assets which can't be printed.
by Elbowman
Thu Jul 07, 2016 7:34 pm
Forum: Investing - Help with Personal Investments
Topic: S&P only good fund in my 401k. Worth investing less in 401k and more in taxable account?
Replies: 8
Views: 628

Re: S&P only good fund in my 401k. Worth investing less in 401k and more in taxable account?

Another no vote. First, the benefit of avoiding capital gains tax, avoiding dividend tax, and paying income tax at a lower bracket (typical in retirement) is substantial, I wouldn't count on a significantly larger benefit from SCV. Second, avoiding taxes is risk free return, while small caps come wi...

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