Search found 2199 matches

by Munir
Thu Mar 23, 2017 1:41 pm
Forum: Investing - Theory, News & General
Topic: Why buy short-term bond funds when you can get 1% in savings acct?
Replies: 27
Views: 1655

Re: Why buy short-term bond funds when you can get 1% in savings acct?

VFSUX (Short Term Investment Grade fund) has a duration of 2.6 years and an SEC yield of 2.05%. I have transferred some IRA intermediate bond fund assets to it recently while also maintaining a hefty allocation in a 1% on-line savings account of personal funds. They have slightly different goals and...
by Munir
Thu Mar 23, 2017 9:57 am
Forum: Investing - Theory, News & General
Topic: Why buy short-term bond funds when you can get 1% in savings acct?
Replies: 27
Views: 1655

Re: Why buy short-term bond funds when you can get 1% in savings acct?

How about using both: a short term bond fund such as short Term Investment Grade (VFSUX) and a savings account in whatever percentage allocation that you like?
by Munir
Mon Mar 20, 2017 1:35 pm
Forum: Investing - Theory, News & General
Topic: The Three-Fund Portfolio
Replies: 1733
Views: 937322

Re: The Three-Fund Portfolio

This is the best and most observant question that I have seen on the subject of the 3 fund portfolio or on any other portfolio. It is particularly relevant to those of us who are older and have high allocations in the Total Bond Index. I am also not an expert but it would seem that our bond portfol...
by Munir
Sat Mar 18, 2017 1:16 am
Forum: Investing - Help with Personal Investments
Topic: suggestions for short term bond fund
Replies: 4
Views: 411

Re: suggestions for short term bond fund

VFSUX- Vanguard Short Term Investment Grade
by Munir
Thu Mar 16, 2017 10:00 am
Forum: Investing - Help with Personal Investments
Topic: Why did VBILX (Intermediate Bond Fund) drop so much in late 2016?
Replies: 25
Views: 1201

Re: Why did VBILX (Intermediate Bond Fund) drop so much in late 2016?

Would someone help me understand why VBILX (Vanguard Intermediate-Term Bond Index Fund) dropped approximately 5% late last Fall? I had just put money into that fund (I should have DCA'd instead of putting in a lump sum!), and now I am down more than 5%. If I knew the cause, I might be able to avoid...
by Munir
Sat Mar 11, 2017 1:21 pm
Forum: Personal Consumer Issues
Topic: How to Die
Replies: 167
Views: 22482

Re: How to Die

I'm glad this thread has been revived, as it's timely for me-- my husband died in January, I have cancer, and I'm now receiving palliative care only. After talking to friends and relatives, I'm leaning toward hiring a professional guardian to be my "Advance Directives" person. I'd almost ...
by Munir
Sat Mar 11, 2017 11:14 am
Forum: Personal Consumer Issues
Topic: How to Die
Replies: 167
Views: 22482

Re: How to Die

Thank you kiddoc. Looks like there is something similar in NC called an MOST, Medical Orders for Scope of Treatment. Oregon has the POLST- Physician's Orders for Life Sustaining Treatment which is actually a set of orders by the patient's physician that are drawn up by the patient and the physician...
by Munir
Fri Mar 10, 2017 9:54 pm
Forum: Personal Consumer Issues
Topic: How to Die
Replies: 167
Views: 22482

Re: How to Die

I wouldn't call advance directives a sham. They don't always work but most of the time they do. It's worth having them and also convincing your family and health care providers now to be ready to execute them when the time comes. I just pointed out that you don't have to convince your family member...
by Munir
Fri Mar 10, 2017 4:01 pm
Forum: Investing - Help with Personal Investments
Topic: Shortening My Duration
Replies: 5
Views: 369

Re: Shortening My Duration

Sounds OK to me. I use short-term corporate bond index (VSCSX) instead of VFSUX because the former has an ETF share class. (VCSH). Do you have a plan to increase your bond fund duration at some point? What is it? I will probably exchange some money from VCSH/VSCSX to BND/VBTLX after next week's FOM...
by Munir
Fri Mar 10, 2017 3:46 pm
Forum: Personal Consumer Issues
Topic: How to Die
Replies: 167
Views: 22482

Re: How to Die

My stepson's wife has serious MS and wants to prepare for possible progression. She is unable to find anyone who it willing to carry out her wishes to act as her Health Car Agent. She even ask my wife. She is still competent to sign an Advance Directive (also called a Living Will). She is not dumb,...
by Munir
Fri Mar 10, 2017 3:08 pm
Forum: Investing - Help with Personal Investments
Topic: Shortening My Duration
Replies: 5
Views: 369

Shortening My Duration

I am an 79 year old retiree with 70% of my IRA (which has most of my portfolio) in fixed income (55% bond funds and 15%cash) and 30% equities. I have been shortening the duration of my bond funds by shifting periodically from intermediate bond funds to the Short Term Investment Grade (VFSUX)- the la...
by Munir
Wed Mar 08, 2017 12:27 pm
Forum: Personal Consumer Issues
Topic: How to Die
Replies: 167
Views: 22482

Re: How to Die

Another part of the healthcare equation that a lot of people don't understand is when I'm getting ready to put someone to sleep for a procedure and they have an advanced directive or DNR. They are asking me to give them lethal doses of medication and then if something "goes wrong" I'm not...
by Munir
Tue Feb 28, 2017 2:55 pm
Forum: Personal Finance (Not Investing)
Topic: 2016 Oregon Form 1099-G shows Kicker instead of Refund
Replies: 18
Views: 3980

Re: 2016 Oregon Form 1099-G shows Kicker instead of Refund

You should also figure what your deduction would have been had you elected to itemize state and local sales taxes instead of SIT. The refund should not be taxable on the 1040 to the extent that sales taxes could have been itemized in lieu of SIT. In a high SIT state, you may well have needed to pur...
by Munir
Mon Feb 27, 2017 4:52 pm
Forum: Investing - Help with Personal Investments
Topic: VBILX vs VBTLX [Vanguard Intermediate-Term vs. Total Bond]
Replies: 49
Views: 4811

Re: VBILX vs VBTLX [Vanguard Intermediate-Term vs. Total Bond]

Over this period or any other, comparing directly to VTSMX+VFITX doesn't really answer the question about whether it would help. One way to frame the question is that if choosing an allocation to equities and nominal bonds, does limiting the bond portfolio to treasuries enable a larger allocation t...
by Munir
Fri Feb 24, 2017 11:03 am
Forum: Investing - Help with Personal Investments
Topic: VBILX vs VBTLX [Vanguard Intermediate-Term vs. Total Bond]
Replies: 49
Views: 4811

Re: VBILX vs VBTLX [Vanguard Intermediate-Term vs. Total Bond]

I don't know why there isn't enough emphasis in discussions in this forum on total return and duration when intermediate bond funds are being compared but most of the talk is about 2008! I think that is because many investors hold bonds to offset the risk in equities. A bond fund that is down 14% d...
by Munir
Wed Feb 22, 2017 9:00 pm
Forum: Investing - Help with Personal Investments
Topic: VBILX vs VBTLX [Vanguard Intermediate-Term vs. Total Bond]
Replies: 49
Views: 4811

Re: VBILX vs VBTLX [Vanguard Intermediate-Term vs. Total Bond]

I think what some consider a minuscule difference in return is not that small if 60-70% of your portfolio is in bond funds. Looking at total returns of different periods of the past decade should be one of the factors that can help in choosing a fund. The Intermediate Investment Grade fund had a tra...
by Munir
Wed Feb 22, 2017 10:42 am
Forum: Investing - Help with Personal Investments
Topic: VBILX vs VBTLX [Vanguard Intermediate-Term vs. Total Bond]
Replies: 49
Views: 4811

Re: VBILX vs VBTLX [Vanguard Intermediate-Term vs. Total Bond]

Took a quick look at what happened when rates increased late last year. VBTLX dropped about 4%, VBILX dropped about 5%. So a noticeable difference but to me at least not one that is significant or worrisome. For me, both VBILX and VBTLX have longer than desirable durations. I suggest adding VFIDX (...
by Munir
Tue Feb 21, 2017 8:01 pm
Forum: Investing - Help with Personal Investments
Topic: VBILX vs VBTLX [Vanguard Intermediate-Term vs. Total Bond]
Replies: 49
Views: 4811

Re: VBILX vs VBTLX [Vanguard Intermediate-Term vs. Total Bond]

I struggled with the same question. I think that in 20+ years the difference in your portfolio using one vs the other will be minimal and no way to tell which will be "better". However, a choice needs to be made and I opted for VBILX. I was leaning this way because VBTLX has a high percen...
by Munir
Tue Feb 21, 2017 2:31 pm
Forum: Investing - Help with Personal Investments
Topic: VBILX vs VBTLX [Vanguard Intermediate-Term vs. Total Bond]
Replies: 49
Views: 4811

Re: VBILX vs VBTLX [Vanguard Intermediate-Term vs. Total Bond]

I think there is a significant difference other than the MBS holdings, long term bonds, and different allocations to corporates and US government instruments. The significant difference to me in this rising interest rates environment is duration . Most experts agree that longer duration is a disadva...
by Munir
Tue Feb 14, 2017 1:51 am
Forum: Forum Issues and Administration
Topic: [Bogleheads Sites Are Ad-Free]
Replies: 45
Views: 3070

Re: [Bogleheads Sites Are Ad-Free]

At the risk of sounding rude, what part of NO ADS do some posters not understand -per Mel's post? this site already uses advertising to support its operation through the use of Amazon affiliate links. ....But if you have concerns about ads for Fidelity or Vanguard creating the appearance of a prefe...
by Munir
Sun Feb 12, 2017 5:31 pm
Forum: Forum Issues and Administration
Topic: [Bogleheads Sites Are Ad-Free]
Replies: 45
Views: 3070

Re: [Bogleheads Sites Are Ad-Free]

At the risk of sounding rude, what part of NO ADS do some posters not understand -per Mel's post?
by Munir
Sat Feb 11, 2017 1:31 pm
Forum: Forum Issues and Administration
Topic: [Bogleheads Sites Are Ad-Free]
Replies: 45
Views: 3070

Re: [Bogleheads Sites Are Ad-Free]

Keep it ad free, please. The income from ads as described by White Coat mostly benefits the Boglehead Convention but not necessarily those posting on the Forum (not directly, anyway). Will send a contribution today to the web site.
by Munir
Sat Feb 11, 2017 12:55 pm
Forum: Investing - Theory, News & General
Topic: How to use Vanguard Portfolio Watch for rebalancing
Replies: 82
Views: 33068

Re: How to use Vanguard Portfolio Watch for rebalancing

Off topic: I have four Vanguard bond funds in varying amounts. How can I calculate the average duration of the whole bond portfolio?
by Munir
Fri Feb 10, 2017 3:21 pm
Forum: Investing - Theory, News & General
Topic: Total Bond is safe. Is it prudent?
Replies: 39
Views: 3987

Re: Total Bond is safe. Is it prudent?

A mix of Total Bond Market, Intermediate Investment Grade, Core Bond Fund, and Short Term Investment Grade (& cash) meets my needs as a retiree with 70% fixed income in my portfolio.
by Munir
Thu Feb 09, 2017 2:35 pm
Forum: Personal Consumer Issues
Topic: What Movie Have You Recently Watched?
Replies: 2541
Views: 649515

Re: What Movie Have You Recently Watched?

Have plowed through a couple of TV shows recently: The Man in the High Castle It's 1962. Axis powers have won WWII, the US west of the Rockies is controlled by the Japanese Imperial Army, everything to the east is controlled by Nazi Germany. Really intense. First season is a bit of a slow burn, but...
by Munir
Wed Feb 08, 2017 12:16 pm
Forum: Personal Consumer Issues
Topic: What Movie Have You Recently Watched?
Replies: 2541
Views: 649515

Re: What Movie Have You Recently Watched?

"The Crown"- an excellent 10 part series on Netflix streaming about the reign of the current Queen Elizabeth. Great acting, interesting details never known before to the public, very rich photography. It's great all around. There are five more seasons (each 10 episodes) to follow over the...
by Munir
Tue Feb 07, 2017 10:18 am
Forum: Investing - Help with Personal Investments
Topic: Are junk bonds really as risky as a total market index fund?
Replies: 17
Views: 1658

Re: Are junk bonds really as risky as a total market index fund?

I would not understand assets based on simplistic labels such as "they are like stocks." In the first place junk bonds aren't stocks, not any way anyhow. They are bonds. Junk bonds are more volatile than most bonds but they are not as volatile as stocks. Yes junk bonds could default more ...
by Munir
Mon Feb 06, 2017 11:45 am
Forum: Personal Consumer Issues
Topic: What Movie Have You Recently Watched?
Replies: 2541
Views: 649515

Re: What Movie Have You Recently Watched?

"The Crown"- an excellent 10 part series on Netflix streaming about the reign of the current Queen Elizabeth. Great acting, interesting details never known before to the public, very rich photography. It's great all around. There are five more seasons (each 10 episodes) to follow over the ...
by Munir
Sat Feb 04, 2017 3:53 pm
Forum: Investing - Theory, News & General
Topic: Bogle advocating bonds=age-15?
Replies: 20
Views: 1861

Re: Bogle advocating bonds=age-15?

Is there an error in labeling the very first graph in this article? Under Bogle's model portfolio, the blue color is labeled as "US Treasury Bond Funds". Bogle has never advocated treasuries only in his model portfolios as far as I know.
by Munir
Fri Jan 27, 2017 10:32 am
Forum: Local Chapters and Bogleheads Community
Topic: HAPPY 93RD BIRTHDAY, TAYLOR!
Replies: 199
Views: 7754

Re: HAPPY 93RD BIRTHDAY, TAYLOR!

Taylor, add me to the list of your well-wishers. Thank you for all the help you have provided so many.
by Munir
Fri Jan 20, 2017 8:31 pm
Forum: Investing - Theory, News & General
Topic: RMD question
Replies: 20
Views: 2597

Re: RMD question

I added the Short Term Investment Grade Fund to my IRA recently for the express purpose of using it as the RMD source of funds and to shorten the combined duration of my bond funds. I have enough money in it to cover the next three years of RMDs. I might replenish it every year or two depending on w...
by Munir
Wed Jan 18, 2017 9:22 pm
Forum: Investing - Help with Personal Investments
Topic: Short and Intermediate Term Bond Funds
Replies: 14
Views: 2093

Re: Short and Intermediate Term Bond Funds

I am about your age and struggling with an AA. I like your allocation and wonder what is the general return you have received during the last year. Also given the downside of the bond market are you experiencing any losses? Thanks In my IRA (79 year old retiree), I have: 50% Intermediate Investment...
by Munir
Tue Jan 17, 2017 5:39 pm
Forum: Investing - Help with Personal Investments
Topic: Short and Intermediate Term Bond Funds
Replies: 14
Views: 2093

Re: Short and Intermediate Term Bond Funds

In my IRA (79 year old retiree), I have: 50% Intermediate Investment Grade (VFIDX) 20% Short Term Investment Grade (VFSUX) 15% Vanguard Core Bond Fund (VCOBX) 15% Total Bond Market Index (VBTLX) Of the total portfolio, the above bond funds form 55%, equities (Total Stock Market Index Fund) 30%, and ...
by Munir
Tue Jan 17, 2017 5:16 pm
Forum: Investing - Help with Personal Investments
Topic: Should Bond Funds be Considered a Fixed Income Investment?
Replies: 30
Views: 2064

Re: Should Bond Funds be Considered a Fixed Income Investment?

If a bond fund is not fixed income what is it? It certainly isn't equity. It is not a commodity or any of the other things that are sometimes called alternate investments so I think I am left calling it fixed income. It's an investment vehicle that may or may not fulfill the definition of fixed inc...
by Munir
Sun Jan 15, 2017 2:32 pm
Forum: Investing - Help with Personal Investments
Topic: Cardinal Sin - went to cash the day before 2016 election
Replies: 56
Views: 6406

Re: Cardinal Sin - went to cash the day before 2016 election

You are 40 years old and have a long time horizon. How about the Vanguard Balanced Index Fund (VBIAX)? Plan on staying in it long term and adding periodically. You might even consider DCA into it.
by Munir
Sat Jan 14, 2017 3:00 pm
Forum: Investing - Theory, News & General
Topic: Bogle says 50-50 short/intermediate bonds
Replies: 45
Views: 5872

Re: Bogle says 50-50 short/intermediate bonds

Does anyone know what rationale Jack Bogle gave for holding a 50:50 portfolio of short and intermediate bond funds (a recommendation that I agree with)? I cannot find a transcript or video of his conversation that deal with those specific comments.The available documentation only deals with his comm...
by Munir
Thu Jan 12, 2017 11:31 pm
Forum: Investing - Theory, News & General
Topic: Bogle says 50-50 short/intermediate bonds
Replies: 45
Views: 5872

Re: Bogle says 50-50 short/intermediate bonds

I'm a bit confused. Bond funds that have lost value owing to a higher interest rate will still generate the same returns as before. The only losses I see - perhaps I am missing something? - is if I sell the bonds, i.e. generating a loss in the principal. Newer bonds will have a higher interest rate...
by Munir
Thu Jan 12, 2017 10:04 pm
Forum: Investing - Theory, News & General
Topic: Bogle says 50-50 short/intermediate bonds
Replies: 45
Views: 5872

Re: Bogle says 50-50 short/intermediate bonds

How can one watch the whole interview or read a transcript without becoming a "member" of CNBC? All I get pn the web site is a short clip of the interview dealing with Trump when I want to hear/see what Bogle says about bonds.
by Munir
Sun Jan 08, 2017 3:18 pm
Forum: Investing - Help with Personal Investments
Topic: Advice on choosing a Vanguard bond fund
Replies: 25
Views: 8604

Re: Advice on choosing a Vanguard bond fund

Jack Bogle's statement that the Total Bond Market Fund (VBTLX) is over-loaded with US government instruments is correct and that one can safely increase the total return by adding investment quality corporate bonds. The word "risk" has been used loosely as a scare tactic that keeps investo...
by Munir
Sun Jan 08, 2017 2:43 pm
Forum: Investing - Theory, News & General
Topic: Bogle worried Vanguard is getting too big
Replies: 68
Views: 12273

Re: Bogle worried Vanguard is getting too big

It's clear that different groups of investors have varying needs and expectations from Vanguard. I have had Vanguard for decades and have been very happy with their service and competence on all levels (I'm a Flagship client). However, my needs are minimal and I only get in touch with them 2-3x/year...
by Munir
Sat Jan 07, 2017 1:18 pm
Forum: Investing - Theory, News & General
Topic: Treasury returns historically almost match corporate bonds?
Replies: 9
Views: 919

Re: Treasury returns historically almost match corporate bonds?

If you look at the Vanguard chart for intermediate bond funds you can see the significant difference in total return between treasury and corporate funds i.e. corporates ahead. Theoretical arguments about long term scenarios are mere speculations. Call risks and defaults among the Vanguard quality c...
by Munir
Sat Jan 07, 2017 10:23 am
Forum: Investing - Theory, News & General
Topic: Thoughts on a Bogle quote
Replies: 29
Views: 2474

Re: Thoughts on a Bogle quote

Toons wrote:
joe8d wrote:I've come to the opinion that one only needs TSM or S&P 500 for stock allocation.



+1
One doesn't really need more to attain financial goals.


+1.
by Munir
Fri Jan 06, 2017 5:28 pm
Forum: Investing - Help with Personal Investments
Topic: M*: "Bond Fund Duration May Overstate Rate Sensitivity"
Replies: 1
Views: 290

M*: "Bond Fund Duration May Overstate Rate Sensitivity"

http://news.morningstar.com/articlenet/article.aspx?id=786602 A M* article on bond fund durations dated 1/5/17 on their web site is full of graphs and calculations dealing with reported durations vs. empirical durations. It concludes with this statement: "The takeaways for investors are twofold...
by Munir
Thu Jan 05, 2017 11:02 am
Forum: Investing - Help with Personal Investments
Topic: Choice Of Bond Funds For Retirees Late In Life
Replies: 11
Views: 1705

Re: Choice Of Bond Funds For Retirees Late In Life

Unless you have a " time certain" DOA date of 10 years Max., I'd just keep a diversified bond folio in any DCP' s , and laddered tax exempts in the taxable portion like I have. (We're in our mid seventies.) we are keeping a 40/60 folio for now until about age 80 when I plan on another &qu...
by Munir
Tue Jan 03, 2017 5:51 pm
Forum: Investing - Help with Personal Investments
Topic: Choice Of Bond Funds For Retirees Late In Life
Replies: 11
Views: 1705

Re: Choice Of Bond Funds For Retirees Late In Life

Thank you for all the responses. I will be transferring some funds from intermediate bond funds and purchase the Short Term Investment Grade Fund from which I will withdraw necessary distributions such as RMDs.
by Munir
Tue Jan 03, 2017 1:22 am
Forum: Investing - Help with Personal Investments
Topic: Bond Duration for Retiree?
Replies: 4
Views: 846

Re: Bond Duration for Retiree?

If you are in the RMD phase, or just planning to liquidate some of your bond funds, it would be worthwhile to have a portion of your IRA portfolio in short term bond funds so as not to be forced to liquidate intermediate funds when you don't want to. This is especially important in a rising rate env...
by Munir
Mon Jan 02, 2017 1:12 pm
Forum: Investing - Help with Personal Investments
Topic: Choice Of Bond Funds For Retirees Late In Life
Replies: 11
Views: 1705

Re: Choice Of Bond Funds For Retirees Late In Life

arcticpineapplecorp: Thank you for your reply. My main concern is the value of the fixed income portion of my portfolio over the next ten years-- which is my timeline. 70% of the portfolio is in fixed income and about 80% of that in bond funds- all intermediate. Should I shift some of those intermed...
by Munir
Mon Jan 02, 2017 11:38 am
Forum: Investing - Help with Personal Investments
Topic: Choice Of Bond Funds For Retirees Late In Life
Replies: 11
Views: 1705

Re: Choice Of Bond Funds For Retirees Late In Life

Yeah, you might shift a bit more to lower duration on average or just do some liability matching, like with a TIPS ladder for at least part of your fixed income. Or CD ladder, if you're willing to trade inflation risk for perhaps a bit higher expected return. If there is a succession of interest ra...
by Munir
Sun Jan 01, 2017 8:49 pm
Forum: Investing - Help with Personal Investments
Topic: Choice Of Bond Funds For Retirees Late In Life
Replies: 11
Views: 1705

Choice Of Bond Funds For Retirees Late In Life

It is often mentioned that the "sweet spot" in bond fund investment is the intermediate bond fund. For a retiree in his late seventies or over whose life expectancy is less than 10 years, I wonder how applicable that advice is unless one is planning to leave the bulk of the portfolio to hi...
by Munir
Fri Dec 30, 2016 6:17 pm
Forum: Investing - Theory, News & General
Topic: What's up with VBMFX? [Vanguard Total Bond Market]
Replies: 33
Views: 4542

Re: What's up with VBMFX? [Vanguard Total Bond Market]

novicemoney: I stand corrected. ogd is more knowledgeable in these matters than I am.

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