Search found 3653 matches

by JoMoney
Sat Dec 03, 2016 11:48 pm
Forum: Personal Finance (Not Investing)
Topic: Do You Consider Dividends As Income?
Replies: 46
Views: 2258

Re: Do You Consider Dividends As Income?

... How do you all characterize capital appreciation? I don't need to "characterize" it for any purpose other than taxes. Everything that's left after I've taken what's needed for my expenses/budget is just savings/investments. And you don't think it is helpful to distinguish between inco...
by JoMoney
Sat Dec 03, 2016 9:21 pm
Forum: Personal Finance (Not Investing)
Topic: Do You Consider Dividends As Income?
Replies: 46
Views: 2258

Re: Do You Consider Dividends As Income?

avalpert wrote:...
How do you all characterize capital appreciation?

I don't need to "characterize" it for any purpose other than taxes. Everything that's left after I've taken what's needed for my expenses/budget is just savings/investments.
by JoMoney
Sat Dec 03, 2016 7:37 pm
Forum: Personal Finance (Not Investing)
Topic: Do You Consider Dividends As Income?
Replies: 46
Views: 2258

Re: Do You Consider Dividends As Income?

My spending is within a budget and everything else is added to my savings and investments. Both my dividends and my paycheck get deposited in my Vanguard account settlement fund. Outside of taxes, it's kind of irrelevant as to what source I decide to account as the money I spend.
by JoMoney
Sat Dec 03, 2016 7:00 pm
Forum: Investing - Theory, News & General
Topic: Growth of Earnings/Share over last decade
Replies: 10
Views: 567

Re: Growth of Earnings/Share over last decade

FWIW, even if it was fueled with borrowing and spending cash hordes, the growth in book value went from $474.91 (6/30/2006) to $765.12(6/30/2016) or $638.10 inflation adjusted back to 2006 terms. Which is a "real" growth of 3% annualized, + another 2% in dividends, and no change in the P/B...
by JoMoney
Sat Dec 03, 2016 3:17 pm
Forum: Personal Consumer Issues
Topic: DNS services
Replies: 6
Views: 547

Re: DNS services

There are potential privacy concerns using any DNS. Google has a statement about it with regard to their public DNS service https://developers.google.com/speed/public-dns/privacy
by JoMoney
Fri Dec 02, 2016 8:19 pm
Forum: Investing - Theory, News & General
Topic: Forget the 4% safe withdrawal rule -- use RMDs instead.
Replies: 34
Views: 3533

Re: Forget the 4% safe withdrawal rule -- use RMDs instead.

I've probably got quite a bit of time before I begin drawing down my assets, but when I do, using an RMD 1/x methodology for the equity portion is what I plan to do.... Coupled with pension, social security, a "bucket" like strategy for emergency/contingency savings, and in much later year...
by JoMoney
Thu Dec 01, 2016 1:57 am
Forum: Personal Consumer Issues
Topic: Owning a Chromebook
Replies: 66
Views: 7031

Re: Owning a Chromebook

Last year sometime around now I bought a $300 Target gift card for 10% off, it looks like this year that same sale will happen on December 4th (one day only). Earlier this spring they had an Acer CB3-131 on sale for $116 (not sure if this was only in a specific store, as the deal wasn't online), so ...
by JoMoney
Tue Nov 29, 2016 6:59 pm
Forum: Investing - Theory, News & General
Topic: "Factor investing"
Replies: 221
Views: 17285

Re: "Factor investing"

Bonds = Promise to pay a certain amount of interest plus return of principle over a precise time period If you're buying high quality bonds with a maturity/duration targeted at your expected need of the money there is no concern about market volatility. There is no such promise with equity investmen...
by JoMoney
Tue Nov 29, 2016 3:15 pm
Forum: Personal Consumer Issues
Topic: Owning a Chromebook
Replies: 66
Views: 7031

Re: Owning a Chromebook

Unless you disable the 'secure boot' and put your Chromebook in developer mode, the majority of the software you can install are just "browser extensions", and the installation has to go through Google's "Chrome Store" where they validate/approve what's allowed. Sometimes malicio...
by JoMoney
Sun Nov 27, 2016 3:49 pm
Forum: Forum Issues and Administration
Topic: Append Date&Time to quoted posts?
Replies: 5
Views: 250

Re: Append Date&Time of quoted posts?

The forum software shows me the posts date/time in my local region, which i'm sure is offset quite a bit from most users, so if someone quoted the date/time as part of the post it would only be accurate for the person posting/quoting.
by JoMoney
Wed Nov 23, 2016 3:24 pm
Forum: Investing - Theory, News & General
Topic: Approaching the S&P 500 like Benjamin Graham
Replies: 13
Views: 1923

Re: Approaching the S&P 500 like Benjamin Graham

A lot has changed since Benjamin Graham last updated The Intelligent Investor. Accounting principles, and the types of industry that makeup the market in particular. The types of assets on the books of an IT company can be quite a bit different than what a manufacturing company of fifty years ago mi...
by JoMoney
Wed Nov 23, 2016 1:03 am
Forum: Personal Consumer Issues
Topic: Owning a Chromebook
Replies: 66
Views: 7031

Re: Owning a Chromebook

...also, there is a AWS (Amazon WorkSpaces) client available for Chrome, so if you're willing to pay a monthly fee, you could run a full Windows desktop from your Chromebook that way as well. Personally, I think the price of AWS is still a bit much for personal use, but the prices are dropping and m...
by JoMoney
Tue Nov 22, 2016 11:44 pm
Forum: Personal Consumer Issues
Topic: Owning a Chromebook
Replies: 66
Views: 7031

Re: Owning a Chromebook

This discussion has me thinking that my next computer will be a Chromebook, but for now I will probably not retire my 6-year old Windows machine, since I like being able to download programs from time to time. For instance, in the last few days I needed to scan a bunch of documents, so I downloaded...
by JoMoney
Mon Nov 21, 2016 6:40 pm
Forum: Personal Consumer Issues
Topic: Poker Training Software
Replies: 30
Views: 2388

Re: Poker Training Software

The best way to improve your poker skills is to play. Got any local casinos? Better yet, ask some of the guys in the group if they want to play on an off week for lower stakes. You'll get general playing experience and you'll learn how they play in particular. This ^^^ Software can't teach you 'pok...
by JoMoney
Mon Nov 21, 2016 6:34 am
Forum: Investing - Theory, News & General
Topic: DFA vs Vanguard (I know, I know)
Replies: 32
Views: 3366

Re: DFA vs Vanguard (I know, I know)

...over the last 10 years or so there seems to not have been much difference between vanguards small value fund vs DFA, at least domestically (in actuality, vanguard has outperformed DFA but this could just be due to lack of value/small premium)... DFSVX has an average market-cap of $1,468Mil, and ...
by JoMoney
Sun Nov 20, 2016 11:53 pm
Forum: Personal Consumer Issues
Topic: Owning a Chromebook
Replies: 66
Views: 7031

Re: Owning a Chromebook

I bought a Samsung Chrome-'Box' a few years back as a toy and to see if I could us it as a media device to play videos/online content on my TV. It worked great for that, and since most everything I do is on a web page these days it seems it's been great for everything else to. I haven't powered up m...
by JoMoney
Sun Nov 20, 2016 1:39 pm
Forum: Personal Consumer Issues
Topic: Next-Generation Streaming Service for TV/Internet
Replies: 11
Views: 1487

Re: Next-Generation Streaming Service for TV/Internet

The bandwidth and capability of streaming video over most of the cellular data networks is already quite doable. The problem is the data caps most of the mobile networks have, and the fees/expense to go over... but some carriers may offer some video sites that don't count against the data caps http:...
by JoMoney
Sat Nov 19, 2016 12:16 am
Forum: Investing - Theory, News & General
Topic: Has Goals-Based Investing Ruined Modern Portfolio Theory (MPT)?
Replies: 10
Views: 1429

Re: Has Goals-Based Investing Ruined Modern Portfolio Theory (MPT)?

MPT never made any sense to me. The charts of squiggles moved around too much depending the time period selected, and I can't tell a couple percent of standard deviation apart unless I carefully measure it. The length of time changes a lot about how it feels as well. The upside of standard deviation...
by JoMoney
Thu Nov 17, 2016 9:52 pm
Forum: Investing - Help with Personal Investments
Topic: Info on small stocks
Replies: 5
Views: 547

Re: Info on small stocks

Small stocks today aren't the same as they were in decades past, the way people think about them , the costs and methods people use to trade them , and laws have changed with regard to institutional investing and who can even invest in securities that the average man might be consider less than &quo...
by JoMoney
Thu Nov 17, 2016 9:24 pm
Forum: Investing - Help with Personal Investments
Topic: If you started from scratch, TODAY?
Replies: 31
Views: 4010

Re: If you started from scratch, TODAY?

I would lump it all into a low-cost S&P 500 or Total Stock Market index fund, and get back to work trying to save as much as possible. http://www.afr.com/personal-finance/managed-funds/index-fund-pioneer-jack-bogle-lets-fly-at-active-managers-hedge-funds-and-etfs-20161020-gs6iu0 ... I started of...
by JoMoney
Mon Nov 14, 2016 12:53 am
Forum: Investing - Help with Personal Investments
Topic: Warren Buffett Does Recommend The 90/10 Portfolio
Replies: 30
Views: 3514

Re: Warren Buffett Does Recommend The 90/10 Portfolio

... I think his advice translates to 3-4 years worth of expenses in safe bonds with the rest in stocks. Makes sense to me. If you were withdrawing 4% annually, a 10% bond allocation would cover 2.5 years of withdrawals without touching the stock allocation, and likely 5+ years if you were doing a v...
by JoMoney
Sat Nov 12, 2016 5:26 am
Forum: Investing - Theory, News & General
Topic: Shark Tank's Kevin O'Leary creates ETF
Replies: 45
Views: 5685

Re: Kevin O'Leary Fund

Low volatility funds are indeed less volatile over the long run. USMV, for example has a beta of only 0.68 compared with 1.00 for VTI. The problem is that fund only has 5 years of history. That's not enough to decide if it truly is less volatile. Logically speaking though, isn't owning the entire m...
by JoMoney
Fri Nov 11, 2016 9:49 pm
Forum: Investing - Theory, News & General
Topic: Passive Investing Math Wrong?
Replies: 25
Views: 2237

Re: Passive Investing Math Wrong?

To be clear, the math is not wrong but the assumptions may not match reality, raising questions about applicability when you loosen those assumptions to talk about the real world or other systems ... As a proof it provides useful intuition about a simplified market, but that doesn't mean it extends...
by JoMoney
Fri Nov 11, 2016 9:38 pm
Forum: Investing - Theory, News & General
Topic: Are we naive to expect historical returns from indexing?
Replies: 28
Views: 4110

Re: Are we naive to expect historical returns from indexing?

Let us say in a bad scenario, over 20-30 years of indexing we only get about . Pretty bad right? Nobody is getting rich from that, maybe beating inflation, but that's it. 1. "3% annual growth rate with dividends reinvested" is +100% ambiguous. Real or nominal or have you even thought abou...
by JoMoney
Fri Nov 11, 2016 5:34 am
Forum: Investing - Theory, News & General
Topic: Shark Tank's Kevin O'Leary creates ETF
Replies: 45
Views: 5685

Re: Kevin O'Leary Fund

According to S&P, the per share "Book Value" of the assets accounted for on the balance sheets of the S&P 500 companies 15 years ago (6/30/2001) was $345.87 As of 6/30/2016 the per share book value of the S&P 500 was $765.12 That's $419.25 of book value "capital appreciati...
by JoMoney
Sun Nov 06, 2016 9:37 am
Forum: Personal Consumer Issues
Topic: MacBook Air/ Chromebook
Replies: 37
Views: 2542

Re: MacBook Air/ Chromebook

I love my Chromebooks (I have one that I travel with, and a 'Chromebox' that's hooked up to my TV and I use at home). I haven't used my old Windows PC in years and don't miss it. I imagine at some point there might be some application that I need Windows (or possibly Linux or Mac OS) for, I've toyed...
by JoMoney
Sun Nov 06, 2016 12:12 am
Forum: Investing - Theory, News & General
Topic: Are we naive to expect historical returns from indexing?
Replies: 28
Views: 4110

Re: Are we naive to expect historical returns from indexing?

...Then again, if we don't index and if market is efficient, then what other choices do we have? Picking stocks is a fools game and market is more efficient than it was in 1950-2000 due to information availability... It would be naive for most of us to expect to compete against professional athlete...
by JoMoney
Thu Nov 03, 2016 11:10 pm
Forum: Investing - Theory, News & General
Topic: Smart-Beta funds?
Replies: 18
Views: 1470

Re: Smart-Beta funds?

John Bogle started the first "Smart-Beta" funds before "Smart-Beta" was even a term. While at Vanguard he started the first "Value" and "Growth" index mutual funds, but he actually warned buyers against jumping back and forth between them, and not to expect lo...
by JoMoney
Thu Nov 03, 2016 5:14 am
Forum: Personal Consumer Issues
Topic: Any recs for a Linux-compatible laptop?
Replies: 62
Views: 4090

Re: Any recs for a Linux-compatible laptop?

I love Chromebooks. I've seen plenty of people install a flavor of Linux they prefer instead of using the Google Chrome OS pretty easily, and you can be pretty sure the hardware is compatible (since the Chrome OS is built on Linux)... and they're dirt cheap.
by JoMoney
Tue Nov 01, 2016 2:38 pm
Forum: Investing - Theory, News & General
Topic: [MarketWatch] These charts say bull market’s ‘best days’ are still ahead
Replies: 5
Views: 788

Re: [MarketWatch] These charts say bull market’s ‘best days’ are still ahead

Maybe... but be prepared for the 'worst days' that are still ahead.

Here's the chart I like (from Jeremy Siegel's "Stocks For the Long Run")
Image
by JoMoney
Mon Oct 31, 2016 2:57 pm
Forum: Investing - Theory, News & General
Topic: Cap Weighted Index vs Equal Weighted Index
Replies: 14
Views: 1030

Re: Cap Weighted Index vs Equal Weighted Index

One of the oldest and most watched indices around is equal weighted, the Dow DJIA. Nothing fundamentally wrong with the approach. It is different and yes does inherently tilt to small caps. If you want to buy the "market" then you need to buy a market cap weighted index. The DJIA is not &...
by JoMoney
Sun Oct 30, 2016 3:50 pm
Forum: Investing - Theory, News & General
Topic: One Fund Portfollio [Vanguard Balanced Fund?]
Replies: 10
Views: 1335

Re: One Fund Portfollio [Vanguard Balanced Fund?]

Because of its frequent rebalancing, and potentially higher distributions from bonds (although not so much of an issue in the current interest rate environment), it may have tax ramifications that could be better managed by keeping the bonds separate. The expense ratio is slightly higher. The bond a...
by JoMoney
Sun Oct 30, 2016 3:27 pm
Forum: Investing - Theory, News & General
Topic: 2017 401K and IRA Contribution Limits
Replies: 12
Views: 1955

Re: 2017 401K and IRA Contribution Limits

Thanks for the link to the IRS announcement. https://www.irs.gov/uac/newsroom/irs-announces-2017-pension-plan-limitations-401k-contribution-limit-remains-unchanged-at-18000-for-2017 ... The limitation for defined contribution plans under Section 415(c)(1)(A) is increased in 2017 from $53,000 to $54,...
by JoMoney
Sat Oct 29, 2016 6:05 pm
Forum: Investing - Theory, News & General
Topic: How much international?
Replies: 78
Views: 6235

Re: How much international?

My international allocation is 0% I think for a U.S. investor, anything between 0% and market weights is within the realm of reasonable. For the past 20+ years I've heard people arguing about "Efficient Frontiers" and how if you mix just the right amount of international, over just the rig...
by JoMoney
Sat Oct 29, 2016 3:44 pm
Forum: Investing - Theory, News & General
Topic: Warren Buffett(himself) has never invested in an Index fund, WHY?
Replies: 32
Views: 3953

Re: Warren Buffett(himself) has never invested in an Index fund, WHY?

FWIW, Buffett has a million dollar bet that the 'Vanguard 500 Index Fund Admiral Shares (VFIAX)' fund will beat the hedge funds picked by someone else. http://longbets.org/362/ He (or his company) sold long dated put options on the S&P500 (and some other indexes), essentially betting/insuring ag...
by JoMoney
Sat Oct 29, 2016 3:30 pm
Forum: Investing - Theory, News & General
Topic: Warren Buffett(himself) has never invested in an Index fund, WHY?
Replies: 32
Views: 3953

Re: Warren Buffett(himself) has never invested in an Index fund, WHY?

Warren Buffett buys individual businesses that he understands, at a price he thinks is reasonably beneficial to him/the holding company he operates. The market is extremely competitive with regard to pricing investments, getting an advantage is not an easy task, but it's something that over time Buf...
by JoMoney
Fri Oct 28, 2016 8:29 pm
Forum: Investing - Theory, News & General
Topic: Factor-Based Investing: Risk-Adjusted Returns, PortfolioVisualizer.com, and the "Multi-Factor Efficient Space"
Replies: 16
Views: 1797

Re: Factor-Based Investing: Risk-Adjusted Returns, PortfolioVisualizer.com, and the "Multi-Factor Efficient Space"

...does this in some way reconcile the “3-Fund Folks” with the “Factor Posse,” as each style basically ends up on the zero alpha, multi-factor efficient space... It's just the "efficient market" reconciliation of the modeled relationship between risk and return. There are "3 Fund Fol...
by JoMoney
Fri Oct 28, 2016 6:15 pm
Forum: Investing - Theory, News & General
Topic: Impact of fleeing index investors on Index Mutual Funds: studies?
Replies: 32
Views: 2603

Re: Impact of fleeing index investors on Index Mutual Funds: studies?

...I'd actually bet the answer is likely "yes, the SEC has looked at the impacts if investors start fleeing such funds in masse"... SEC Proposes Liquidity Management Rules For Mutual Funds And ETFs https://www.sec.gov/news/pressrelease/2015-201.html Just to be clear, that's a result of pe...
by JoMoney
Fri Oct 28, 2016 3:42 pm
Forum: Investing - Theory, News & General
Topic: Impact of fleeing index investors on Index Mutual Funds: studies?
Replies: 32
Views: 2603

Re: Impact of fleeing index investors on Index Mutual Funds: studies?

JoMoney wrote:...I'd actually bet the answer is likely "yes, the SEC has looked at the impacts if investors start fleeing such funds in masse"...

SEC Proposes Liquidity Management Rules For Mutual Funds And ETFs
https://www.sec.gov/news/pressrelease/2015-201.html
by JoMoney
Fri Oct 28, 2016 3:38 pm
Forum: Investing - Theory, News & General
Topic: Impact of fleeing index investors on Index Mutual Funds: studies?
Replies: 32
Views: 2603

Re: Impact of fleeing index investors on Index Mutual Funds: studies?

If we're talking about the un-linked Roger Lowenstein OpEd, where speaking about the SEC he says: " With retail investors flocking to index funds, does the agency fully understand the risks if investors should start to flee such funds en masse? And do investors understand the risks? " It's...
by JoMoney
Thu Oct 27, 2016 3:18 pm
Forum: Investing - Theory, News & General
Topic: Crazy NonBH Strategy of Playing Options on ETFs?
Replies: 15
Views: 1040

Re: Crazy NonBH Strategy of Playing Options on ETFs?

There is an index, CBOE S&P 500 BuyWrite Index (BXM) that tracks performance of a similar strategy, except without the subjective "...I got this feeling (still have it) that the SP500 is getting over-valued to a non-sustainable extent" and the options are usually rolled monthly instead...
by JoMoney
Wed Oct 26, 2016 3:18 pm
Forum: Investing - Help with Personal Investments
Topic: BND instead of a saving account
Replies: 7
Views: 1061

Re: BND instead of a saving account

I used Vanguards Short-Term Bond Index ( VBISX / VBIRX ) for a long time and treated it like a savings account. It holds a large chunk of treasuries, and enough other investment grade stuff to give it a competitive yield. The same could be said of BND, but it's longer average duration would be a no-...
by JoMoney
Wed Oct 12, 2016 3:47 pm
Forum: Investing - Theory, News & General
Topic: REIT Funds "Duration"
Replies: 2
Views: 568

Re: REIT Funds "Duration"

As was said above, I don't think "Duration" is the right term to compare what I think you're looking for... and no, I've never seen a REIT fund that reports that, but information about their leases is frequently in the individual companies annual reports, and other investment data for the ...
by JoMoney
Sat Oct 08, 2016 3:52 pm
Forum: Investing - Theory, News & General
Topic: Is there anywhere to get Non-Book/Price Value Factor Loadings
Replies: 2
Views: 269

Re: Is there anywhere to get Non-Book/Price Value Factor Loadings

You could look at Morningstar's style box, like the Instant X-ray They evaluate value/growth based on Forward looking measures 50.0%: Price/Prospective Earnings Historical based measures 50.0%: Price/book 12.5% Price/sales 12.5%, Price/cash flow 12.5%, Dividend yield 12.5% http://corporate.morningst...
by JoMoney
Thu Oct 06, 2016 4:09 am
Forum: Investing - Theory, News & General
Topic: Wall Street "May Day" May 1, 1975
Replies: 1
Views: 458

Wall Street "May Day" May 1, 1975

While looking over another thread ( https://www.bogleheads.org/forum/viewtopic.php?f=10&t=200803 ) I watched a Bloomberg video where they briefly mentioned an event I hadn't heard of before - "May Day" May 1, 1975 when the SEC de-regulated the fixed commissions involved with stock brok...
by JoMoney
Tue Oct 04, 2016 11:31 am
Forum: Investing - Theory, News & General
Topic: Adjusting the x% spending rule
Replies: 27
Views: 2684

Re: Adjusting the x% spending rule

I wonder if there's been any studies that look at how well people adapt to variable incomes in retirement. I would think people who spent their working careers with a variable income, like some independent contractors, business owners, or someone who worked predominantly on commissions would be at l...
by JoMoney
Sat Oct 01, 2016 4:23 pm
Forum: Investing - Theory, News & General
Topic: Intriguing: S&P 1000 ETF (70% S&P 400/30% S&P 600)
Replies: 6
Views: 876

Re: Intriguing: S&P 1000 ETF (70% S&P 400/30% S&P 600)

I hate seeing "index funds" switch indices. Seems to me, they should just start a new fund. It loses continuity and makes me mistrust the management in that I wonder if I can rely on them when picking an investment to "stay the course" with. That being said, I like the S&P me...
by JoMoney
Sat Oct 01, 2016 3:51 pm
Forum: Investing - Theory, News & General
Topic: Sustainable dividend yield
Replies: 10
Views: 1313

Re: Sustainable dividend yield

Things can be outside of a theoretical economic 'equilibrium' for decades, so even if it was true, I'm not sure it would be actionable information. Have corporations remained a "constant proportion of the economy" ? I don't have numbers handy, but I don't think corporations, or natural res...
by JoMoney
Fri Sep 30, 2016 4:51 pm
Forum: Investing - Theory, News & General
Topic: Buybacks and investment grade bonds
Replies: 16
Views: 1267

Re: Buybacks and investment grade bonds

Let's say that because of the equity risk premium investors demand 5-7% returns on their money What's the mechanism behind investors "demanding" returns. . .Microsoft can't predict what their share price is going to be, right? Right, but there is some consensus guess (that may be wrong) a...
by JoMoney
Fri Sep 30, 2016 4:31 pm
Forum: Investing - Theory, News & General
Topic: Lower risk, higher returns?
Replies: 18
Views: 1894

Re: Lower risk, higher returns?

I'm not a fan of the idea of the EMH and it's relation to the idea of "risk premiums". I like the way Benjamin Graham framed it: ... there has developed the general notion that the rate of return which the investor should aim for is more or less proportionate to the degree of risk he is re...

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