Search found 605 matches

by MIpreRetirey
Thu Aug 17, 2017 10:27 am
Forum: Personal Finance (Not Investing)
Topic: Reverse Mortgage Considerations
Replies: 57
Views: 4183

Re: Reverse Mortgage Considerations

What happens if, for example, you use 300k of your line of credit and then the value of the property falls below the loan value when the loan is called? Does the lender simple get a haircut? I'm asking b/c I don't know. I suppose the lender does a LTV ratio and won't lend more than x percent of the...
by MIpreRetirey
Wed Aug 16, 2017 11:52 am
Forum: Investing - Theory, News & General
Topic: Can Bogle's philosophy lead to alt 3-fund investment phobia, nihilism, decision paralysis, etc.
Replies: 11
Views: 1240

Re: Can Bogle's philosophy lead to alt 3-fund investment phobia, nihilism, decision paralysis, etc.

I'm thinking the main, #1, rule is to not put retirement savings in company stock. That's all. Keep retirement investments diversified.
by MIpreRetirey
Tue Aug 15, 2017 10:01 pm
Forum: Investing - Theory, News & General
Topic: Two nice charts on default and duration risk
Replies: 11
Views: 1040

Re: Two nice charts on default and duration risk

jbolden1517,
Ahh. It makes some sense to me. I prefer to look at a bigger picture.
by MIpreRetirey
Tue Aug 15, 2017 9:07 pm
Forum: Investing - Theory, News & General
Topic: Two nice charts on default and duration risk
Replies: 11
Views: 1040

Re: Two nice charts on default and duration risk

And for Sharpe ratios: (I'm guessing VG's HYCorp - VWEHX would be the #4 fund in 2nd chart? Morn* calls the fund an avg. B rating.) --from 01/1986 per VWEHX opening.--at least for PV data-- ST.Treas. - .82 10 yr - .48 LT.treas - .49 VWEHX - .58 If SD is the 68% probability band, is SQRT(.68) = .825...
by MIpreRetirey
Tue Aug 15, 2017 9:00 pm
Forum: Investing - Theory, News & General
Topic: Two nice charts on default and duration risk
Replies: 11
Views: 1040

Re: Two nice charts on default and duration risk

jbolden1517 said: Well the entire thing would be a mix of the (1) from the second chart. All 3 types of treasuries have no credit risk, they just have varying duration risk. If you mean the first chart note the dates there are from 1928 not 1983. Your dates are wrong. Well, I did mean the 2nd chart ...
by MIpreRetirey
Tue Aug 15, 2017 8:24 pm
Forum: Investing - Theory, News & General
Topic: Two nice charts on default and duration risk
Replies: 11
Views: 1040

Re: Two nice charts on default and duration risk

And for Sharpe ratios: (I'm guessing VG's HYCorp - VWEHX would be the #4 fund in 2nd chart? Morn* calls the fund an avg. B rating.) --from 01/1986 per VWEHX opening.--at least for PV data-- ST.Treas. - .82 10 yr - .48 LT.treas - .49 VWEHX - .58 If SD is the 68% probability band, is SQRT(.68) = .825 ...
by MIpreRetirey
Tue Aug 15, 2017 8:00 pm
Forum: Investing - Theory, News & General
Topic: Two nice charts on default and duration risk
Replies: 11
Views: 1040

Re: Two nice charts on default and duration risk

This is an open topic? :) I was going to comment on my looking at HYCorp. for investing sense. But I wanted to see a correlating timeframe on these two charts. I don't know why these data don't seem to jibe! Try to visually plot my data from portfolio visualizer with your second chart. What's wrong?...
by MIpreRetirey
Sun Aug 13, 2017 2:28 pm
Forum: Investing - Theory, News & General
Topic: New Dividends Appreciation data series - backtesting
Replies: 103
Views: 7050

Re: New Dividends Appreciation data series - backtesting

It's surprising to me that DIV GR yield is very close to TSM. I would have guessed it would be higher considering it is a dividend strategy. I suspect this has to do with the fact that Dividend Growth (e.g. VDAIX) is about growing dividends, and not about High Dividend Yield (e.g. VHDYX), which doe...
by MIpreRetirey
Thu Jul 13, 2017 4:15 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security: Collecting at 70
Replies: 17
Views: 1854

Re: Social Security: Collecting at 70

I just got off the phone with my local SS office and they verified what I had stated earlier. I did a file/suspend in January 2014, when I attained FRA. I will receive a letter/notification from them this December, telling me that my claim is changing status effective January. I will start receivin...
by MIpreRetirey
Thu Jul 13, 2017 12:12 pm
Forum: Investing - Theory, News & General
Topic: William Bernstein on Meb Faber's podcast
Replies: 54
Views: 6934

Re: William Bernstein on Meb Faber's podcast

^^ Yep. Well, technically, sure, anything that has value is technically an asset. More of a philosophy/method of whether to include it as an asset/liability instead of just a cost of living. I don't think it's really crazy to say a primary residence is not an "investment", I think is what ...
by MIpreRetirey
Thu Jul 13, 2017 11:16 am
Forum: Investing - Theory, News & General
Topic: William Bernstein on Meb Faber's podcast
Replies: 54
Views: 6934

Re: William Bernstein on Meb Faber's podcast

I listened to the podcast the day it came out but did not have a chance to listen to the last 10 minutes, which I just listened to yesterday. He had one interesting point at the end. He said your house should not be considered part of your portfolio. He said if you sell it you have to rent or buy s...
by MIpreRetirey
Thu Jul 13, 2017 10:36 am
Forum: Investing - Theory, News & General
Topic: Burton Malkiel's Not so random walk
Replies: 17
Views: 2749

Re: Burton Malkiel's Not so random walk

Anyone see him as guest on Wealthtrack-w/Consuelo Mack (replay at website). from 7/8/2017.
http://wealthtrack.com/
Explains his reasoning for using other assets as bond surrogates.
by MIpreRetirey
Wed Jul 12, 2017 5:51 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security: Collecting at 70
Replies: 17
Views: 1854

Re: Social Security: Collecting at 70

The complete sentence that is confusing is: For requests for voluntary suspension received April 30, 2016 and later, unless requested at an earlier point, we deem a beneficiary to have submitted a request for reinstatement of benefits the month before the month of attainment of age 70, with benefits...
by MIpreRetirey
Wed Jul 12, 2017 5:30 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security: Collecting at 70
Replies: 17
Views: 1854

Re: Social Security: Collecting at 70

unless requested at an earlier point, we deem a beneficiary to have submitted a request for reinstatement of benefits the month before the month of attainment of age 70 I read the' unless requested at an earlier point' as applying to requesting reinstatement (at an earlier date than)(auto one month...
by MIpreRetirey
Wed Jul 12, 2017 3:50 pm
Forum: Personal Finance (Not Investing)
Topic: Social Security: Collecting at 70
Replies: 17
Views: 1854

Re: Social Security: Collecting at 70

It should be automatic: "The Program Service Centers (PSC) use automated systems to process voluntary delayed retirement credit (VDRC) reinstatements at age 70. For requests for voluntary suspension received April 30, 2016 and later , unless requested at an earlier point, we deem a beneficiary...
by MIpreRetirey
Sat Jul 08, 2017 7:39 pm
Forum: Investing - Theory, News & General
Topic: Recent absence of advantage for the "classic factors strategy"
Replies: 17
Views: 1368

Re: Recent absence of advantage for the "classic factors strategy"

I posted in the Merriman: the one fund everyone should own. thread: With Port.Vis. and SCV as an asset class back to 1972: SCV outperformed TSM in 1975-1985, 1991-1993, and (s/b) 2000-2002. But what these time periods represent are terrible times for large-cap and/or large-growth, I think. Sort of d...
by MIpreRetirey
Fri Jul 07, 2017 12:26 pm
Forum: Investing - Theory, News & General
Topic: accounting for 2% default in HYcorp -?
Replies: 10
Views: 650

Re: accounting for 2% default in HYcorp -?

OK Thanks for replies. I'll have to re-read the long post again in a few. Maybe it's in there. I still need to check wiki and google. I understand the lowering yield of all bonds of equal credit rating from 1980 to 2015. I'll re-read for the mechanics of the 2% default (and when/where is that paid b...
by MIpreRetirey
Thu Jul 06, 2017 3:06 pm
Forum: Investing - Theory, News & General
Topic: accounting for 2% default in HYcorp -?
Replies: 10
Views: 650

Re: accounting for 2% default in HYcorp -?

Wow. Thinking a little harder: If we own a bought a bond, and it defaults, what we lose is only that income, which lowers our yield, which causes the NAV to "sell off" by investors in our fund. That makes better sense? So, the whole of defaults (less recoveries) is a loss of the funds inco...
by MIpreRetirey
Thu Jul 06, 2017 2:59 pm
Forum: Investing - Theory, News & General
Topic: accounting for 2% default in HYcorp -?
Replies: 10
Views: 650

Re: accounting for 2% default in HYcorp -?

^^ Here's one link to Damoraran defaults by ratings pdf. http://people.stern.nyu.edu/adamodar/pdfiles/cfovhds/Riskfree&spread.pdf Actually, I was only asking for the math of accounting for the -2%. (less recovery rate,as you added.) After thinking about what happens if a bond in my fund defaults...
by MIpreRetirey
Thu Jul 06, 2017 11:30 am
Forum: Investing - Theory, News & General
Topic: accounting for 2% default in HYcorp -?
Replies: 10
Views: 650

accounting for 2% default in HYcorp -?

How/where do we account for the (maybe)2% default rate of corp bonds in a HYcorp bond fund. Maybe particularly VG's VWEHX, if the fund makes a difference to the ?
Don't follow when it's said that the return of HYcorp bond is 2% less than it's yield. Really?
Appreciate answers.
by MIpreRetirey
Thu Jul 06, 2017 10:27 am
Forum: Investing - Theory, News & General
Topic: High Stock Returns in a Low-Growth World?
Replies: 63
Views: 5373

Re: High Stock Returns in a Low-Growth World?

Besides buybacks. But any examples of selling cash supply to buy shares of investments. Country future net worth ( next year, next decade) is sum of current cash and assets plus growth of assets. I'll have to read some on GDP, GNP. I probably forgot more than I even knew.
by MIpreRetirey
Tue Jul 04, 2017 3:27 pm
Forum: Investing - Theory, News & General
Topic: Simplest "Nobody Knows Nothing" Don't Peek Portfolio?
Replies: 20
Views: 3038

Re: Simplest "Nobody Knows Nothing" Don't Peek Portfolio?

I agree that it helps on avoiding tinkering. In fact, it makes me not want to tinker. I have a large % Target Date.
by MIpreRetirey
Tue Jul 04, 2017 12:52 pm
Forum: Investing - Theory, News & General
Topic: Paul Merriman: The One Fund Every Investor Should Own
Replies: 89
Views: 11808

Re: Paul Merriman: The One Fund Every Investor Should Own

Economic stuff happens. Looking at a comparison of TSM, SV, Mid-blend, of annual returns for the asset classes only, from 1972-present: SV did it's work in 3 periods: approx: 1975-1985, 1991-1993, & 2000-2007. All these were marked by (at least for much of these periods) troubling market/economi...
by MIpreRetirey
Mon Jul 03, 2017 10:16 am
Forum: Personal Finance (Not Investing)
Topic: Unfounded Fear?
Replies: 16
Views: 1491

Re: Unfounded Fear?

Are you just worried about house value stability?
I think your local home sales temperature is partially a factor of the employment picture locally. And then the relative affordability of a home for those still employed in the area.
by MIpreRetirey
Mon Jul 03, 2017 9:42 am
Forum: Investing - Theory, News & General
Topic: What happens if the fund provider goes bankrupt?
Replies: 12
Views: 1513

Re: What happens if the fund provider goes bankrupt?

I don't get it. What does the MF (eg: VTSMX) or fund family (eg: Vanguard) have as it's own assets? Not your shares. My VG shares in all their MFs are held by a trust. I see this as like a trust that you leave as a will when you passed. The trust (fund) is managed by a trustee. The trustee then has ...
by MIpreRetirey
Sun Jul 02, 2017 12:50 pm
Forum: Investing - Theory, News & General
Topic: Total Bond Fund in a rising rate environment
Replies: 59
Views: 4530

Re: Total Bond Fund in a rising rate environment

I'm thinking it definitely is just a matter of two things. In the short term there is always the volatility. In the short term a 15/85 AA (from avg. variance) has min. volatility. And a 30-35/70 AA has max sharp ratio, I believe. So either of these beat a IT mostly treasury bond fund as a 0/100 AA. ...
by MIpreRetirey
Sun Jul 02, 2017 9:35 am
Forum: Investing - Theory, News & General
Topic: Foretelling Global Stock Returns, 1980-2015
Replies: 18
Views: 1848

Re: Foretelling Global Stock Returns, 1980-2015

One takeaway point in the OP is that “high growth markets are not necessarily good investments — unless they can be purchased at low valuations.” Fortunately, it seems that broad emerging market index funds do regularly go on sale every few years (red arrows below), providing good buying opportunit...
by MIpreRetirey
Mon Jun 19, 2017 4:15 pm
Forum: Investing - Theory, News & General
Topic: Is accelerating an equities glide path a market timing strategy?
Replies: 1
Views: 287

Re: Is accelerating an equities glide path a market timing strategy?

Just to contrast your proposal. What if, instead, you decided on the actual future glide path of AA as a discrete AA for each year in the future? Like at age 60 (or 5 yrs. b4 retirement, or some such) you are 35/65, age 65 you are 40/60, age 70 you are 45/55, age 75 you are 50/50, etc. Then rebalanc...
by MIpreRetirey
Sun Jun 18, 2017 4:29 pm
Forum: Investing - Theory, News & General
Topic: Safemax with varying AA
Replies: 41
Views: 2424

Re: Safemax with varying AA

{...snip...} For a given portfolio, you calculate the annual returns for that year. For a portfolio that is 50/50 that just means you take the average of equity & bond returns for that year. Once you have a sequence of portfolio returns, there's a formula for calculating the maximum you can wit...
by MIpreRetirey
Sun Jun 18, 2017 4:27 pm
Forum: Investing - Theory, News & General
Topic: [Wiki] - Percentage Gain and Loss (for new investors)
Replies: 115
Views: 6805

Re: [Wiki] - Percentage Gain and Loss (for new investors)

One more trying of your infinite patience. Since all examples in the page explain a two time period compound return (and how it is not the arithmetic addition of returns), who would/wouldn't concede that a better title would be "Compounding Percentage Gains and Losses."? To me it would. E...
by MIpreRetirey
Sun Jun 18, 2017 4:07 pm
Forum: Investing - Theory, News & General
Topic: [Wiki] - Percentage Gain and Loss (for new investors)
Replies: 115
Views: 6805

Re: [Wiki] - Percentage Gain and Loss (for new investors)

One more trying of your infinite patience. Since all examples in the page explain a two time period compound return (and how it is not the arithmetic addition of returns), who would/wouldn't concede that a better title would be "Compounding Percentage Gains and Losses."? To me it would. E...
by MIpreRetirey
Sun Jun 18, 2017 3:56 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Persistent Returns Remain Elusive
Replies: 15
Views: 2569

Re: Larry Swedroe: Persistent Returns Remain Elusive

TD2626 wrote, A black swan is an unexpected event. By nature, no one can predict it. If it was predictable, it would not be a black swan. We've never had a scenario where there was >50% indexing so we can't predict what would happen. Wouldn't index funds just sell(buy) all securities they hold equal...
by MIpreRetirey
Sun Jun 18, 2017 3:44 pm
Forum: Investing - Theory, News & General
Topic: [Wiki] - Percentage Gain and Loss (for new investors)
Replies: 115
Views: 6805

Re: [Wiki] - Percentage Gain and Loss (for new investors)

One more trying of your infinite patience. Since all examples in the page explain a two time period compound return (and how it is not the arithmetic addition of returns), who would/wouldn't concede that a better title would be "Compounding Percentage Gains and Losses."? To me it would. Ex...
by MIpreRetirey
Sun Jun 18, 2017 3:01 pm
Forum: Investing - Theory, News & General
Topic: [Wiki] - Percentage Gain and Loss (for new investors)
Replies: 115
Views: 6805

Re: [Wiki] - Percentage Gain and Loss (for new investors)

No concern. The intent was for the fine edge of who and what this is for.
by MIpreRetirey
Sun Jun 18, 2017 12:41 pm
Forum: Investing - Theory, News & General
Topic: [Wiki] - Percentage Gain and Loss (for new investors)
Replies: 115
Views: 6805

Re: [Wiki] - Percentage Gain and Loss (for new investors)

Yea. Afterwards, per siamond's comment, and others'. This reeks of compound growth and anticipation of compound growth. If it were about the title, it would just be about converting percentage notation into equivalent decimal and fractional notation as a multiplication or division factor (or operati...
by MIpreRetirey
Sun Jun 18, 2017 12:30 pm
Forum: Investing - Theory, News & General
Topic: A bit more on Tontines
Replies: 8
Views: 1322

Re: A bit more on Tontines

So the rate of patent applications on tontine ideas is rising? I won't hold my breath, though. Interesting about the re-naming a kid with a deceased kids name (the beneficiary.) Never heard that one, myself. Guess they were enrolling their kids in the tontine in hopes of getting a long-term benefit....
by MIpreRetirey
Sat Jun 17, 2017 9:18 pm
Forum: Investing - Theory, News & General
Topic: [Wiki] - Percentage Gain and Loss (for new investors)
Replies: 115
Views: 6805

Re: [Wiki] - Percentage Gain and Loss (for new investors)

Re-submission. Percentages are actually a multiplication operation. 1st, the percentages must be converted to a decimal or fractional representation. +10% is equivalent to a decimal multiplication of 1.1 -10% is equivalent to a decimal multiplication of 0.9 And then you can see how a gain of 10% fol...
by MIpreRetirey
Sat Jun 17, 2017 9:04 pm
Forum: Investing - Theory, News & General
Topic: [Wiki] - Percentage Gain and Loss (for new investors)
Replies: 115
Views: 6805

Re: [Wiki] - Percentage Gain and Loss (for new investors)

^^^ Thanks! I would use two different numbers than 10% for P1 and P2, such as 7% and 11% because then they could not be mixed up. And the new numbers are prime numbers. I would agree, but I'm trying to accommodate those who don't work with math on a daily basis. Take easy first steps, but learn the...
by MIpreRetirey
Sat Jun 17, 2017 8:30 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Prime Money Market Fund (VMMXX) breaks 1.00 (% not $)
Replies: 139
Views: 17040

Re: Vanguard Prime Money Market Fund (VMMXX) breaks 1.00 (% not $)

Almost 2 yrs. ago, listening to tips from this board, I saw my main goto for short term( VFSTX VG short term IG) looking like a loss for the rest of the year. I bought 1 yr(1.25), 2 yr(1.45) and 3yr(3.0) CDs for my laddered income as starting withdrawals. Good move. I also found my local CU that pay...
by MIpreRetirey
Sat Jun 17, 2017 4:57 pm
Forum: Investing - Theory, News & General
Topic: [Wiki] - Percentage Gain and Loss (for new investors)
Replies: 115
Views: 6805

Re: [Wiki] - Percentage Gain and Loss (for new investors)

For buy and hold, it's compounded Pf = Pin(1+r1)(1+r2) ... (1+rn) For arithmetic you set up a separate cash account that pays nothing. Every time you have a gain you put it in the cash account. Every time you have a loss you take it from the cash account and re-invest it. Pf + cash = Pin[(1+r1 + r2 ...
by MIpreRetirey
Sat Jun 17, 2017 4:28 pm
Forum: Investing - Theory, News & General
Topic: [Wiki] - Percentage Gain and Loss (for new investors)
Replies: 115
Views: 6805

Re: [Wiki] - Percentage Gain and Loss (for new investors)

I wonder if the wiki could better use an article on compound returns vs. arithmetic returns which would include this compound growth of percentage gains/losses? Compound return is for 'buy and holders', generally. Arithmetic returns are for those who 'spend their returns', generally. And then there'...
by MIpreRetirey
Fri Jun 16, 2017 6:13 pm
Forum: Investing - Theory, News & General
Topic: Volatility and Arithmetic mean returns
Replies: 4
Views: 400

Re: Volatility and Arithmetic mean returns

Using excel I get: 1.055230398 =AVERAGE(23/24,26/23,28/26) 1.0527266 =GEOMEAN(23/24,26/23,28/26) 0.005171771 =VARP(23/24,26/23,28/26) 0.071915026 =STDEVP(23/24,26/23,28/26) If you are looking for the (approximate) relationship between arithmetic mean, geometric mean and standard deviation see m Ron...
by MIpreRetirey
Fri Jun 16, 2017 4:38 pm
Forum: Investing - Theory, News & General
Topic: Volatility and Arithmetic mean returns
Replies: 4
Views: 400

Re: Volatility and Arithmetic mean returns

Using excel I get: 1.055230398 =AVERAGE(23/24,26/23,28/26) 1.0527266 =GEOMEAN(23/24,26/23,28/26) 0.005171771 =VARP(23/24,26/23,28/26) 0.071915026 =STDEVP(23/24,26/23,28/26) If you are looking for the (approximate) relationship between arithmetic mean, geometric mean and standard deviation see m Ron...
by MIpreRetirey
Fri Jun 16, 2017 3:59 pm
Forum: Investing - Theory, News & General
Topic: Volatility and Arithmetic mean returns
Replies: 4
Views: 400

Re: Volatility and Arithmetic mean returns

Using excel I get: 1.055230398 =AVERAGE(23/24,26/23,28/26) 1.0527266 =GEOMEAN(23/24,26/23,28/26) 0.005171771 =VARP(23/24,26/23,28/26) 0.071915026 =STDEVP(23/24,26/23,28/26) If you are looking for the (approximate) relationship between arithmetic mean, geometric mean and standard deviation see m Ron...
by MIpreRetirey
Fri Jun 16, 2017 7:13 am
Forum: Investing - Theory, News & General
Topic: Safemax with varying AA
Replies: 41
Views: 2424

Re: Safemax with varying AA

Not non-sensical in my view at all. It's been my starting approach, and still generally my way, what with the step in income upon taking SS. My two links, yes were the VPW and Simba backtest data threads, but I meant to try a search for 'TIPS' at the top box on those threads. Much effort and discus...
by MIpreRetirey
Fri Jun 16, 2017 7:03 am
Forum: Investing - Theory, News & General
Topic: [Wiki] - Percentage Gain and Loss (for new investors)
Replies: 115
Views: 6805

Re: [Wiki] - Percentage Gain and Loss (for new investors)

I didn't read the entire thread or the whole wiki article, but some things in the article don't seem correct. Question: When is this equation true? P + (10%) - (10%) = P. Answer: It's never true. The 10% can't "float" by itself. It refers to 10% of what? If you say: P + (10% of P) - (10% ...
by MIpreRetirey
Fri Jun 16, 2017 6:12 am
Forum: Investing - Theory, News & General
Topic: Volatility and Arithmetic mean returns
Replies: 4
Views: 400

Volatility and Arithmetic mean returns

Arithmetic mean return ; start and yr ending values data set: (2400, 2300, 2600, 2800) A.M.R. = Geom. mean return = CAGR Var. = [(1+r1)^2 + (1+r2)^2 + (1+r3)^2]/(1+A.M.R.) = [(23/24)^2 + (26/23)^2 + (28/26)^2]/1.0527266 = 3.187958668 SD = SQRT(Var.) = 1.785485555 Geom. mean return (CAGR) = nth root ...
by MIpreRetirey
Fri Jun 16, 2017 5:32 am
Forum: Investing - Theory, News & General
Topic: Do you think about volatility drag on your portfolio?
Replies: 211
Views: 13622

Re: Do you think about volatility drag on your portfolio?

To get back on track; aren't we supposed to be saying: Arith. mean return = (Pf/Pin - 1) * (1/n data points) ; data(2400,2500,2600) , A.M.R. = ((2600/2400) - 1) * 1/2 = .4.167% avg. ret. Geo. mean return = nth root(Pf/Pin) - 1 ; SQRT(2600/2400) -1 = 4.08329% CAGR Arith. mean value is totally someth...
by MIpreRetirey
Fri Jun 16, 2017 3:34 am
Forum: Investing - Theory, News & General
Topic: Do you think about volatility drag on your portfolio?
Replies: 211
Views: 13622

Re: Do you think about volatility drag on your portfolio?

To get back on track; aren't we supposed to be saying: Arith. mean return = (Pf/Pin - 1) * (1/n data points) ; data(2400,2500,2600) , A.M.R. = ((2600/2400) - 1) * 1/2 = .4.167% avg. ret. Geo. mean return = nth root(Pf/Pin) - 1 ; SQRT(2600/2400) -1 = 4.08329% CAGR Arith. mean value is totally somethi...
by MIpreRetirey
Fri Jun 16, 2017 2:54 am
Forum: Investing - Theory, News & General
Topic: [Wiki] - Percentage Gain and Loss (for new investors)
Replies: 115
Views: 6805

Re: [Wiki] - Percentage Gain and Loss (for new investors)

post from the 'volatility drag' thread: The arithmetic mean is the arithmetic average of multiplications. . See wiki on variance drain: m. See the 2nd link from the 1st post in this thread: m. https://www.bogleheads.org/forum/viewtopic.php?f=10&t=199092&p=3410275#p3410275