Search found 2060 matches

by Munir
Sat May 28, 2016 11:42 am
Forum: Personal Finance (Not Investing)
Topic: Grandparent paying tuition directly
Replies: 14
Views: 1148

Re: Grandparent paying tuition directly

Discussed at length in the Kitces piece on grandparents & 529s linked by articpineapple. Where would I find this link? I think he means the article below by Kitces that was quoted by arcticpineapplecorp in a previous thread https://www.kitces.com/blog/grandparent-owned-529-plans-gifting-appreci...
by Munir
Sat May 28, 2016 1:09 am
Forum: Investing - Theory, News & General
Topic: Jack Bogle - Two Fund Portfolio
Replies: 43
Views: 5825

Re: Jack Bogle - Two Fund Portfolio

I agree with the concept, but instead of VBILX, and because of its long duration, I use a VBTLX and VFIDX combination which approximates the portfolio of VBILX but with a shorter duration. VBILX is the Intermediate Bond Index Fund- duration 6.6 years VFIDX is the Intermediate Investment Grade Fund- ...
by Munir
Mon May 23, 2016 1:50 pm
Forum: Investing - Theory, News & General
Topic: Bernstein says emergency fund part of your "asset allocation?"
Replies: 59
Views: 4676

Re: Bernstein says emergency fund part of your "asset allocation?"

alpenglow wrote:I think it is reasonable to say that most people here separate their investment AA from their emergency fund.


Mine IS part of my portfolio.
by Munir
Wed May 18, 2016 9:13 am
Forum: Personal Consumer Issues
Topic: What Movie Have You Recently Watched?
Replies: 1629
Views: 340167

Re: What Movie Have You Recently Watched?

"Theeb"- a great movie about a child's life in the Arabian desert. It portrays a very realistic picture of the challenges to merely survive during WWI. Excellent acting, photography, and direction.
by Munir
Mon May 16, 2016 3:05 pm
Forum: Investing - Theory, News & General
Topic: Bond Index Funds - The turning tide from active
Replies: 45
Views: 3555

Re: Bond Index Funds - The turning tide from active

If one is interested in a similar asset allocation to VBILX but with a shorter duration, would a combination of VBTLX 60% and VFIDX 40% accomplish that goal? It would be 47% corporate, but not sure what the rest would be.
by Munir
Mon May 16, 2016 10:50 am
Forum: Investing - Theory, News & General
Topic: Bond Index Funds - The turning tide from active
Replies: 45
Views: 3555

Re: Bond Index Funds - The turning tide from active

I think Intermediate-Term Bond Index (with 50/50 corporate and government bonds) is the an excellent choice which overcomes some of the downsides of TBM fund. +1 I use Intermediate-Term Bond Index instead of TBM. Is any one concerned with the Intermediate Bond Index's (VBILX) longer duration of 6.5...
by Munir
Sun May 15, 2016 6:21 pm
Forum: Investing - Theory, News & General
Topic: Bond Index Funds - The turning tide from active
Replies: 45
Views: 3555

Re: Bond Index Funds - The turning tide from active

I think Intermediate-Term Bond Index (with 50/50 corporate and government bonds) is the an excellent choice which overcomes some of the downsides of TBM fund. It is actually 58% US government and 40% corporate which is fine. The only drawback is its longer duration by about one year over the other ...
by Munir
Sun May 15, 2016 10:02 am
Forum: Investing - Theory, News & General
Topic: Bond Index Funds - The turning tide from active
Replies: 45
Views: 3555

Re: Bond Index Funds - The turning tide from active

I think Intermediate-Term Bond Index (with 50/50 corporate and government bonds) is the an excellent choice which overcomes some of the downsides of TBM fund. It is actually 58% US government and 40% corporate which is fine. The only drawback is its longer duration by about one year over the other ...
by Munir
Sun May 15, 2016 2:03 am
Forum: Investing - Theory, News & General
Topic: Bond Index Funds - The turning tide from active
Replies: 45
Views: 3555

Re: Bond Index Funds - The turning tide from active

I think Intermediate-Term Bond Index (with 50/50 corporate and government bonds) is the an excellent choice which overcomes some of the downsides of TBM fund. It is actually 58% US government and 40% corporate which is fine. The only drawback is its longer duration by about one year over the other ...
by Munir
Sat May 14, 2016 9:18 pm
Forum: Investing - Theory, News & General
Topic: Bond Index Funds - The turning tide from active
Replies: 45
Views: 3555

Re: Bond Index Funds - The turning tide from active

The love affair with the poorly-performing Total Bond Index Fund continues. Oh...... :happy Hi Munir, What is your bond strategy? Best. Hi abuss, I apologize for the snarky comment of the "love-affair with TBM". My bond holdings currently are a mix of Intermediate Investment Grade and TBM...
by Munir
Sat May 14, 2016 8:10 pm
Forum: Investing - Theory, News & General
Topic: Bond Index Funds - The turning tide from active
Replies: 45
Views: 3555

Re: Bond Index Funds - The turning tide from active

The love affair with the poorly-performing Total Bond Index Fund continues. Oh...... :happy
by Munir
Sat May 14, 2016 3:52 pm
Forum: Investing - Theory, News & General
Topic: Bond Index Funds - The turning tide from active
Replies: 45
Views: 3555

Re: Bond Index Funds - The turning tide from active

The benefit of a total bond index fund is that it's diversified, simple and low cost. The disadvantage is you have no control over the allocation to sectors. If that bothers you, an alternative is to design your own fixed sector weighted index portfolio by using individual index funds from differen...
by Munir
Sat May 14, 2016 12:09 pm
Forum: Investing - Theory, News & General
Topic: Bond Index Funds - The turning tide from active
Replies: 45
Views: 3555

Re: Bond Index Funds - The turning tide from active

Interesting to note that Vanguard just started in March a new actively-managed bond fund called the Core Bond Fund (VCOBX). Its benchmark is Barclays US Agg Float Adj Index, expense ratio 0.15% (for the Admiral version), and duration 5.6 years.
by Munir
Wed May 11, 2016 11:51 am
Forum: Investing - Theory, News & General
Topic: Classic Bernstein 2 — Choosing Portfolio Bond Duration
Replies: 41
Views: 5279

Re: Classic Bernstein 2 — Choosing Portfolio Bond Duration

If that situation happens in an equity fund, what would a manager do? Is it any different for a bond fund? Indexed equity funds will continue to hold what the index holds (avoiding discussion of sampling v full replication - out of scope of conversation) what an active equity fund manager would do ...
by Munir
Tue May 10, 2016 1:04 pm
Forum: Investing - Theory, News & General
Topic: Classic Bernstein 2 — Choosing Portfolio Bond Duration
Replies: 41
Views: 5279

Re: Classic Bernstein 2 — Choosing Portfolio Bond Duration

I respectfully disagree. Taking risk with corporate bonds does not equate to taking the far greater risk with equities. Default rates for high quality corporates have been overblown. A transient drop in the NAV of corporate bond funds for a few months in 2008 should not determine the longterm cours...
by Munir
Mon May 09, 2016 7:36 pm
Forum: Investing - Theory, News & General
Topic: Classic Bernstein 2 — Choosing Portfolio Bond Duration
Replies: 41
Views: 5279

Re: Classic Bernstein 2 — Choosing Portfolio Bond Duration

I think it makes great sense to avoid corporates. As one goes down the quality spectrum, the bonds gain equity like characteristics. It's simply more efficient to take one's risk on the equity side. Dave I respectfully disagree. Taking risk with corporate bonds does not equate to taking the far gre...
by Munir
Sun May 08, 2016 8:09 pm
Forum: Local Chapters and Bogleheads Community
Topic: HAPPY BIRTHDAY, MR. BOGLE! May 8, 2016
Replies: 52
Views: 3185

Re: HAPPY BIRTHDAY, MR. BOGLE! May 8, 2016

Happy Birthday and best wishes for a long life. Thank you for all you have contributed to so many.
by Munir
Thu May 05, 2016 7:31 am
Forum: Investing - Help with Personal Investments
Topic: Core Bond Fund Corporate Holdings:Update 5/5
Replies: 8
Views: 879

Re: Core Bond Fund Corporate Holdings

Update: I received the message below from my Flagship rep this morning: "I dug a little deeper and I believe I have the data you are seeking. The following data is updated as of 04/30/2016: Vanguard Core Bond Fund Admiral Shares Number of bonds: 446 Number of Corporate bonds: 285 Market Value o...
by Munir
Wed May 04, 2016 11:56 pm
Forum: Investing - Theory, News & General
Topic: Classic Bernstein 2 — Choosing Portfolio Bond Duration
Replies: 41
Views: 5279

Re: Classic Bernstein 2 — Choosing Portfolio Bond Duration

diyfp wrote:Based on this, why are most Bogleheads in the Total Bond Index instead of the Intermediate Bond Index?


In addition to the reasons listed by others, could another reason be that the Intermediate Bond Index has a longer duration (6.5 vs. 5.7) which may be worrisome if rates go up?
by Munir
Fri Apr 29, 2016 10:35 pm
Forum: Investing - Help with Personal Investments
Topic: Core Bond Fund Corporate Holdings:Update 5/5
Replies: 8
Views: 879

Re: Core Bond Fund Corporate Holdings

So 211 bonds - seems like the answer reflected the number of bonds in the portfolio rather then the percent of assets held in corporates. Dale Agreed. And that wouldn't be surprising. I would expect fewer different treasury issues than corporate issues, even if a majority of the assets were in trea...
by Munir
Fri Apr 29, 2016 7:59 pm
Forum: Investing - Help with Personal Investments
Topic: Core Bond Fund Corporate Holdings:Update 5/5
Replies: 8
Views: 879

Re: Core Bond Fund Corporate Holdings

The Core Bond Fund is supposed to generally track the Barclays US Agg Float Adj Index with a fair amount of discretion allowed to the managers. This index includes US government bonds, MBS, and corporate bonds among others and is not predominantly corporate bonds. I was under the impression the Core...
by Munir
Fri Apr 29, 2016 3:57 pm
Forum: Investing - Help with Personal Investments
Topic: Core Bond Fund Corporate Holdings:Update 5/5
Replies: 8
Views: 879

Core Bond Fund Corporate Holdings:Update 5/5

In response to my question as to what % of the Core Bond Fund's holdings are corporate bonds, I received this answer from my Flagship rep: "Of the 307 bonds in the Vanguard Core Bond Fund, 211 of them are corporate bonds. That is effectively 69% of the bonds in the fund." Could this be acc...
by Munir
Sun Apr 24, 2016 10:29 am
Forum: Investing - Theory, News & General
Topic: Allan Roth on why bond funds are better than individual bonds
Replies: 63
Views: 5397

Re: Alan Roth on why bond funds are better than individual bonds

smartinwate wrote:Unfortunately one can't read the entire article unless one is a subscriber.


I was able to access the whole article thru entering the title of the article on Google.
by Munir
Sun Apr 24, 2016 10:27 am
Forum: Investing - Theory, News & General
Topic: Allan Roth on why bond funds are better than individual bonds
Replies: 63
Views: 5397

Re: Alan Roth on why bond funds are better than individual bonds

smartinwate wrote:Unfortunately one can't read the entire article unless one is a subscriber.


See post below.
by Munir
Wed Apr 20, 2016 11:57 am
Forum: Investing - Theory, News & General
Topic: Vanguard Publishes Duration and Holdings Of Core Bond Fund
Replies: 14
Views: 1964

Re: Vanguard Publishes Duration and Holdings Of Core Bond Fund

What is the % of corporate bonds in this fund's portfolio? Other than being a managed fund, having a medium quality credit instead of highest quality of its holdings, and having the possibility of acquiring up to 5% of junk bonds, how is this fund different from the Total Bond Market fund? This fun...
by Munir
Wed Apr 20, 2016 9:26 am
Forum: Investing - Help with Personal Investments
Topic: One bond fund, two, or three?
Replies: 33
Views: 3304

Re: One bond fund, two, or three?

Alphonse, You may want to consider waiting a couple of months and checking out the duration and holdings of the new Core Bond Fund (VCOBX). It is similar to VFIDX with probably more US treasuries/govt.securities but not as much as TBM. It's duration will be shorter than the Intermediate Bond Index F...
by Munir
Tue Apr 19, 2016 1:04 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Publishes Duration and Holdings Of Core Bond Fund
Replies: 14
Views: 1964

Re: Vanguard Publishes Duration and Holdings Of Core Bond Fund

When asking earlier about corporate vs. government bond holdings in this fund on the Vanguard blog, I just noticed Vanguard's reply below: "Vanguard | April 11, 2016 1:44 pm The Core Bond Fund’s profile on vanguard.com will include the portfolio composition and distribution of credit quality.. ...
by Munir
Tue Apr 19, 2016 12:43 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Publishes Duration and Holdings Of Core Bond Fund
Replies: 14
Views: 1964

Re: Vanguard Publishes Duration and Holdings Of Core Bond Fund

lack_ey wrote:All TBD I would say. This is an old snapshot from very early on, not very indicative.


Makes sense. Thanks. (I assume TBD means "to be decided").
by Munir
Tue Apr 19, 2016 12:35 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Publishes Duration and Holdings Of Core Bond Fund
Replies: 14
Views: 1964

Re: Vanguard Publishes Duration and Holdings Of Core Bond Fund

What is the % of corporate bonds in this fund's portfolio?

Other than being a managed fund, having a medium quality credit instead of highest quality of its holdings, and having the possibility of acquiring up to 5% of junk bonds, how is this fund different from the Total Bond Market fund?
by Munir
Tue Apr 19, 2016 3:02 am
Forum: Investing - Theory, News & General
Topic: Vanguard Publishes Duration and Holdings Of Core Bond Fund
Replies: 14
Views: 1964

Vanguard Publishes Duration and Holdings Of Core Bond Fund

https://personal.vanguard.com/us/funds/snapshot?FundId=1520&FundIntExt=INT#tab=2 The holdings include 31% Treasury/Agency and a duration of 5.6 years. I couldn't find an SEC yield. As far as credit quality, 24% are US government and 38% are not rated. Total number of bonds is 307. Will these num...
by Munir
Tue Apr 12, 2016 4:28 pm
Forum: Investing - Theory, News & General
Topic: Annuities and longevity risk, analyzing the problem
Replies: 45
Views: 3978

Re: Annuities and longevity risk, analyzing the problem

Larry,

Am I understanding you correctly that for an anuuitant who is 78 (spouse 75) who are applying for a joint & survivor contract, it is preferrable to use the SPIA and not the longevity annuity?
by Munir
Tue Apr 12, 2016 4:17 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Target Funds Rank #1
Replies: 7
Views: 1215

Re: Vanguard Target Funds Rank #1

Let's be accurate. The number 1 applies to assets. Morningstar has performed a spectacular service with this comprehensive and nuanced report. Let's not simplify the depth and complexity of the analysis. Lev In a table near the end of the report, Vanguard and Black Rock were the only two organizati...
by Munir
Mon Apr 11, 2016 10:40 am
Forum: Investing - Help with Personal Investments
Topic: When will Vanguard publish holdings, duration, and yield of Core Bond Fund?
Replies: 5
Views: 562

When will Vanguard publish holdings, duration, and yield of Core Bond Fund?

Vanguard has yet too publish the duration, yield, and holdings (such as % of corporate holdings) of the new Core Bond fund (VCOBX) even though the initial subscription period has been long completed. My Flagship rep says it will be "some time in the future". I am surprised that so many ind...
by Munir
Tue Apr 05, 2016 4:10 pm
Forum: Investing - Theory, News & General
Topic: Are Bogleheads too conservative?
Replies: 135
Views: 13815

Re: Are Bogleheads too conservative?

Sticking to the long-term plan, our basic portfolio is -- Vanguard Total Stock Market Index Fund Admiral Shares (VTSAX) Vanguard Total International Stock Index Fund Admiral Shares (VTIAX) Vanguard Intermediate-Term Bond Index Fund Admiral Shares (VBILX) Vanguard Intermediate-Term Investment-Grade ...
by Munir
Tue Apr 05, 2016 12:43 pm
Forum: Investing - Theory, News & General
Topic: Are Bogleheads too conservative?
Replies: 135
Views: 13815

Re: Are Bogleheads too conservative?

Sticking to the long-term plan, our basic portfolio is -- Vanguard Total Stock Market Index Fund Admiral Shares (VTSAX) Vanguard Total International Stock Index Fund Admiral Shares (VTIAX) Vanguard Intermediate-Term Bond Index Fund Admiral Shares (VBILX) Vanguard Intermediate-Term Investment-Grade ...
by Munir
Sat Apr 02, 2016 1:26 am
Forum: Investing - Theory, News & General
Topic: Listen to Jack on this one [prefer Intermediate-term bond index]
Replies: 48
Views: 5984

Re: Listen to Jack on this one [prefer Intermediate-term bond index]

One potential drawback of the Intermediate Bond Index is the duration of 6.5 years which is longer than TBM's 5.6 years duration. Is this difference not considered significant anymore in a time of possible rising rates in the future? Another not-mentioned fund is the new Core Bond Fund whose duratio...
by Munir
Mon Mar 28, 2016 11:11 am
Forum: Investing - Theory, News & General
Topic: [Vanguard Core Bond Fund opens to investors]
Replies: 107
Views: 13721

Re: [Vanguard Core Bond Fund opens to investors]

Now that the initial subscription period for this fund is over, when will we know the asset allocation, types of bonds, duration etc..?
by Munir
Wed Mar 23, 2016 12:03 pm
Forum: Investing - Theory, News & General
Topic: I love the Total Bond Market fund
Replies: 22
Views: 3730

Re: I love the Total Bond Market fund

I worry about someone "falling in love" with a mutual fund. Financial decisions are supposed to be made on a rational basis and not in a state of passion. A person in love will start searching for rational reasons to justify his state of love. My impression is that this love affair with TB...
by Munir
Tue Mar 22, 2016 1:34 am
Forum: Investing - Theory, News & General
Topic: [Vanguard Core Bond Fund opens to investors]
Replies: 107
Views: 13721

Re: [Vanguard Core Bond Fund opens to investors]

Core Bond could have the shorter duration around 5.6 of TBM and the higher ratio of corporates like the Intermediate Bond Index since its M* x-ray box shows a lower quality bond holdings than TBM.
by Munir
Sat Mar 19, 2016 1:22 pm
Forum: Investing - Help with Personal Investments
Topic: VG Core Bond Fund
Replies: 5
Views: 489

Re: VG Core Bond Fund

nisiprius wrote: the two funds have different style boxes--the core bond fund has "medium" credit quality while Total bond has "high" credit quality.


nisiprius,

Where did you find the style box for the core bond fund?
by Munir
Sat Mar 19, 2016 12:05 am
Forum: Investing - Theory, News & General
Topic: [Vanguard Core Bond Fund opens to investors]
Replies: 107
Views: 13721

Re: [Vanguard Core Bond Fund opens to investors]

VBILX has a longer duration and lower credit rating but also has a 50:50 balance between corporates and government issues and best performance. If you change to past tense for the performance phrase, the statement is fine. We have had a long, secular period of falling interest rates, which is a str...
by Munir
Fri Mar 18, 2016 12:40 pm
Forum: Investing - Theory, News & General
Topic: [Vanguard Core Bond Fund opens to investors]
Replies: 107
Views: 13721

Re: [Vanguard Core Bond Fund opens to investors]

Vanguard's intermediate bond funds all have some drawbacks. TBM is the most encompassing and very "safe" but also has MBS (which some don't like) and is the worst performer under "normal" circumstances in this group. VBILX has a longer duration and lower credit rating but also ha...
by Munir
Mon Mar 14, 2016 7:55 pm
Forum: Investing - Help with Personal Investments
Topic: When to simplify due to cognitive decline?
Replies: 39
Views: 4342

Re: When to simplify due to cognitive decline?

Agree. As a retiree, I wish Vanguard would create a Balanced Index with 40:60 allocation in addition to the current 60:40.... Perhaps Vanguard LifeStrategy Conservative Growth Fund (VSCGX)? I currently own the VSCGX fund. Another fund close to it is the Target Retirement 2010 with 35% equities. How...
by Munir
Mon Mar 14, 2016 4:37 pm
Forum: Investing - Help with Personal Investments
Topic: When to simplify due to cognitive decline?
Replies: 39
Views: 4342

Re: When to simplify due to cognitive decline?

Truly a question for the ages - pun intended. I'd love to have just one fund but don't like the LS or TD offerings and the fact that they change. Balanced Index is my main TIRA fund but it is a bit more aggressive than I'd like. To soften the aggressiveness adds more funds/complexity. Wellesley see...
by Munir
Sun Mar 13, 2016 4:07 pm
Forum: Investing - Theory, News & General
Topic: Bogle - "Since 1990, US stocks grew 10%, Intl grew 6%"
Replies: 56
Views: 6297

Re: Bogle - "Since 1990, US stocks grew 10%, Intl grew 6%"

That there are experts whom I respect who have opposing views on the role of international stocks in a portfolio only confirms what I already knew to be true: this is an unsolvable problem. Although it can be fun to argue the merits of your own choice regarding international stocks, this argument i...
by Munir
Sun Mar 13, 2016 1:40 pm
Forum: Investing - Theory, News & General
Topic: Bogle - "Since 1990, US stocks grew 10%, Intl grew 6%"
Replies: 56
Views: 6297

Re: Bogle - "Since 1990, US stocks grew 10%, Intl grew 6%"

Bogle has said in the past that he doesn't think there is a need for any international holdings but up to 20% of equities being international is "OK". Vanguard currently has 40% international in their Target Date and Life Strategy funds' equities. Vanguard also has 30% international bonds ...
by Munir
Thu Mar 10, 2016 5:36 pm
Forum: Investing - Theory, News & General
Topic: [Vanguard Core Bond Fund opens to investors]
Replies: 107
Views: 13721

Re: [Vanguard Core Bond Fund opens to investors]

How will the portfolio of the new fund be different from Total Bond Fund? Duration? Yield? Corporate vs. government bond ratio? Are these facts not available yet? If so, any guesses?
by Munir
Thu Mar 10, 2016 2:27 pm
Forum: Investing - Theory, News & General
Topic: Where I Disagree with Vanguard - Alan Roth
Replies: 23
Views: 6003

Re: Where I Disagree with Vanguard - Alan Roth

Alan Roth invented the Roth IRA back in 1939, so I would at least consider what he has to say. I assume you are joking. The Roth IRA was named after Senator William Roth from Delaware. From Wikipedia: "William Victor "Bill" Roth, Jr. (July 22, 1921 – December 13, 2003) was an America...
by Munir
Mon Mar 07, 2016 1:12 pm
Forum: Personal Finance (Not Investing)
Topic: Medicare Part D
Replies: 34
Views: 2272

Re: Medicare Part D

Humana Walmart Plan. You don't have to use Walmart Pharmacy. Use their mail order pharmacy- much cheaper.
by Munir
Mon Feb 22, 2016 4:26 pm
Forum: Personal Consumer Issues
Topic: AWD or FWD? and van repair question.
Replies: 23
Views: 1665

Re: AWD or FWD? and van repair question.

AWD will affect gas mileage negatively too, maybe two or three mpg. I do believe all things being equal (tires etc) that AWD will perform better in slippery conditions so I am all in favor of that. Is all-wheel drive the same as four-wheel drive? If not, what is the difference? AWD refers to a vehi...

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