Search found 5761 matches

by Phineas J. Whoopee
Mon Feb 20, 2017 5:11 pm
Forum: Investing - Help with Personal Investments
Topic: Gold vs 401k
Replies: 33
Views: 2063

Re: Gold vs 401k

Gold's drop as a currency happened well before the US$ value increased - by about two years. It hasn't dropped in $ value since the $ took off mid-2014 - the point I was making. Net, it's kept pace with the $ as a currency since then. You're right that you cheery picked 6 years ago. I'm either very...
by Phineas J. Whoopee
Mon Feb 20, 2017 4:58 pm
Forum: Investing - Help with Personal Investments
Topic: 70/30
Replies: 14
Views: 1526

Re: 70/30

Except an emergencey cash fund, all my money is in retirement 70% stock funds/30% cash. Sounds like for my 30 it is either short term bond fund, Tips or stay in cash. Is that what I am hearing? Hi Turkrota, Nervousness about bonds is a frequent concern here. Let me make a couple of points, although...
by Phineas J. Whoopee
Mon Feb 20, 2017 3:28 pm
Forum: Investing - Help with Personal Investments
Topic: How are prices determined?
Replies: 18
Views: 670

Re: How are prices determined?

... EMH says information is priced in. It doesn't directly say that it's a broad consensus estimate that's priced in. In any case all we know is that the most recent price reflects a successful transaction point between a buyer and seller who were willing to pay the price. Maybe everybody else thin...
by Phineas J. Whoopee
Mon Feb 20, 2017 2:42 pm
Forum: Investing - Help with Personal Investments
Topic: Once having achieved 30X -- share your strategy?
Replies: 40
Views: 3088

Re: Once having achieved 30X -- share your strategy?

Here's what I did, and why , and a couple of years later I answered some questions about it . I think for most investors an age-based approach to asset allocation is far more practical. I offer my plan and experience implementing it as an alternate way of thinking about AA, not as a prescription fo...
by Phineas J. Whoopee
Fri Feb 17, 2017 4:30 pm
Forum: Personal Consumer Issues
Topic: The russians are hacking me
Replies: 35
Views: 4846

Re: The russians are hacking me

Wouldn't that be the Georgians, or more particularly, somebody in Tbilisi, Georgia?
PJW
by Phineas J. Whoopee
Fri Feb 17, 2017 3:46 pm
Forum: Investing - Help with Personal Investments
Topic: 70/30
Replies: 14
Views: 1526

Re: 70/30

FIREchief wrote:TIPS!

Care to share, in the absence of any additional information from OP, such as whether the "retirement plans" are the whole portfolio or only a portion of it, and which funds might be available at what cost, your emphatic reasoning?
PJW
by Phineas J. Whoopee
Thu Feb 16, 2017 11:56 pm
Forum: Investing - Help with Personal Investments
Topic: 70/30
Replies: 14
Views: 1526

Re: 70/30

I have 70% in market and 30% in cash in retirement plans. 58 years old. Nervous about bonds as it appears interest rates are going up. Any other thoughts for my cash? Hi Turkrota, and welcome to the forum. For good advice rather than knee-jerk responses you should post in our asking portfolio quest...
by Phineas J. Whoopee
Thu Feb 16, 2017 11:33 pm
Forum: Investing - Help with Personal Investments
Topic: Gold vs 401k
Replies: 33
Views: 2063

Re: Gold vs 401k

... Gold and silver do not produce a product, provide a service, generate earnings, or pay a dividend. The companies whose stocks are in the S&P 500 index do that. Silver is an industrial material, although with less usage than when it was essential to photography. Gold is used industrially now...
by Phineas J. Whoopee
Thu Feb 16, 2017 11:22 pm
Forum: Investing - Help with Personal Investments
Topic: Gold vs 401k
Replies: 33
Views: 2063

Re: Gold vs 401k

... 28% tax? I don't follow. If I sell gold, I have to report it and pay taxes? If you had capital gain income, which is to say selling an asset for more than you paid, then yes it is taxable with certain special provisions depending on the asset. Congress specifically called out gold and silver co...
by Phineas J. Whoopee
Thu Feb 16, 2017 5:56 pm
Forum: Investing - Help with Personal Investments
Topic: Which is currently the most expensive asset class?
Replies: 4
Views: 380

Re: Which is currently the most expensive asset class?

Coato wrote:I keep hearing ...

Who do you keep hearing all that from, what is their reasoning, and are they a reliable source of accurate predictions of future market price changes?
PJW
by Phineas J. Whoopee
Wed Feb 15, 2017 7:28 pm
Forum: Investing - Theory, News & General
Topic: History of VTI
Replies: 1
Views: 474

Re: History of VTI

Vanguard's Total Stock Market Index Fund , VTSMX, had already been launched, in 1992. The year 2001 saw Vanguard's patented implementation of ETFs as mutual fund share classes come to fruition. As the article you linked to notes, it was $40 million out of $24 billion, somewhere around two tenths of ...
by Phineas J. Whoopee
Tue Feb 14, 2017 2:25 pm
Forum: Personal Finance (Not Investing)
Topic: To those who avoid FICA with HSA payroll contributions
Replies: 32
Views: 2733

Re: To those who avoid FICA with HSA payroll contributions

... Most of our assumptions are based on U.S. sovereign obligations being risk-free, and I am not persuaded by the gold fever-swamp that holding bullion is a suitable alternative. Is the risk that the Social Security Administration won't keep its promises so unthinkable that I simply shouldn't thin...
by Phineas J. Whoopee
Mon Feb 13, 2017 6:31 pm
Forum: Investing - Help with Personal Investments
Topic: Standing on the shoulders of giants - thanks
Replies: 5
Views: 591

Re: Standing on the shoulders of giants - thanks

Robert K. Merton's On the Shoulders of Giants is a fun read about the origin and history of the metaphor. Books by other authors share the title, but not the subject matter, and may be just as good or better.
PJW
by Phineas J. Whoopee
Mon Feb 13, 2017 6:03 pm
Forum: Investing - Theory, News & General
Topic: Bond Fund Distributions
Replies: 14
Views: 672

Re: Bond Fund Distributions

Hi Kolea, Without disagreeing with other posters, if you haven't already I think you would benefit from reading up on the term Yield to Maturity , YTM, which includes coupons, reinvestment of coupons, and the approach of a bond's market price to its face value over time (because who would pay much m...
by Phineas J. Whoopee
Sun Feb 12, 2017 5:03 pm
Forum: Investing - Theory, News & General
Topic: Fukushima meltdown a stressor on Japanese economy?
Replies: 11
Views: 1020

Re: Fukushima meltdown a stressor on Japanese economy?

From time to time one hears about the recession like condition or malaise in the Japanese economy. That appears to have started before the Fukushima earthquake related disaster but I would think that the Fukushima radiation situation and the heroic measures and efforts related to trying to remediat...
by Phineas J. Whoopee
Sun Feb 12, 2017 3:26 pm
Forum: Investing - Theory, News & General
Topic: What happens to company 's profit?
Replies: 11
Views: 1103

Re: What happens to company 's profit?

Thanks for the additional commentary, Valuethinker. ... In a "leveraged recapitalization" a Newco (SPV) acquires the company, thus realizing cash for existing investors (who own similar stakes in the Newco, but it is encumbered with more debt). Is that the same as a dividend recapitalizati...
by Phineas J. Whoopee
Sat Feb 11, 2017 11:49 pm
Forum: Personal Finance (Not Investing)
Topic: Bonds as savings account?
Replies: 11
Views: 1051

Re: Bonds as savings account?

... The situations is more complicated with ETFs. An ETF really is trading on the market and there really does need to be a buyer interested in the particular ETF shares you are selling... but there is some kind of complicated background I don't understand, involving "creation units" and ...
by Phineas J. Whoopee
Sat Feb 11, 2017 9:14 pm
Forum: Investing - Theory, News & General
Topic: Is a total market fund the most diversified
Replies: 157
Views: 13087

Re: Is a total market fund the most diversified

You see, Larry, you continually use loaded language , terms that have emotional as well as logical meanings, like diversification, which must be a good thing, right?, and you use it in what seem to be deliberately provocative ways. You can expect nothing other than arguments. If arguments are your i...
by Phineas J. Whoopee
Sat Feb 11, 2017 7:42 pm
Forum: Investing - Theory, News & General
Topic: What happens to company 's profit?
Replies: 11
Views: 1103

Re: What happens to company 's profit?

... If a company has $10m in its Retained Earnings account (under Equity on the Balance Sheet) then, usually, the max it can pay out to investors is $10m (legally). At least that's the case in UK law, and I believe in US law . ... Not at all in the US. It is legal, and not especially uncommon (whic...
by Phineas J. Whoopee
Fri Feb 10, 2017 12:35 pm
Forum: Investing - Theory, News & General
Topic: Do Index Funds/ETF really hold a fraction of each company it tracks?
Replies: 21
Views: 1581

Re: Do Index Funds/ETF really hold a fraction of each company it tracks?

... For the Vanguard funds we usually discuss in this forum, the answer is "yes." Well, not quite--you don't own them, and Vanguard doesn't own them; they are owned by the custodian bank --I think it's JPMorgan Chase, not sure. And I'm 99.99% sure they are held electronically, not as pape...
by Phineas J. Whoopee
Thu Feb 09, 2017 6:28 pm
Forum: Investing - Theory, News & General
Topic: New to investing. What is real returns?
Replies: 8
Views: 828

Re: New to investing. What is real returns?

^ Wakefield1 is right to point out total return is what matters. S/he is not right to suppose money 's unit of account function is only theoretical. It's one of the three essential functions, and if it doesn't apply in a given situation then it's doubtful that money truly exists there. Barter and gi...
by Phineas J. Whoopee
Thu Feb 09, 2017 12:52 pm
Forum: Investing - Theory, News & General
Topic: New to investing. What is real returns?
Replies: 8
Views: 828

Re: New to investing. What is real returns?

... How does one track inflation? Ordinarily one uses the Consumer Price Index for All Urban Consumers, CPI-U. The Bureau of Labor Statistics also publishes other versions. Don't be fooled by the noise: CPI includes food and energy. It's a separate, specialized measure, Core CPI, which excludes the...
by Phineas J. Whoopee
Wed Feb 08, 2017 9:01 pm
Forum: Investing - Theory, News & General
Topic: How steep should the glide path be?
Replies: 54
Views: 3972

Re: How steep should the glide path be?

My glide path is variable and doesn't depend on age at all. I know I'm on pace to retire much earlier than normal because of my income vs expenses. I also don't want to have to work longer than I need to. So what do I do? ... I keep a spreadsheet for this that updates whatever AA I need to be at gi...
by Phineas J. Whoopee
Wed Feb 08, 2017 4:50 pm
Forum: Investing - Help with Personal Investments
Topic: Safe Haven for short-term funds
Replies: 4
Views: 612

Re: Safe Haven for short-term funds

My son asked me this question and I recommended VSCSX, Vanguard's Short Term Bond Fund. Is that bad advice? What sort of losses might one incur in a period of rising interest rates? Hi Vanguard Fan 1367, and welcome to the forum. Looking at Vanguard's main page for its Short Term Corporate Bond Ind...
by Phineas J. Whoopee
Wed Feb 08, 2017 4:15 pm
Forum: Investing - Help with Personal Investments
Topic: Where are Dividend Announcements announced?
Replies: 3
Views: 346

Re: Where are Dividend Announcements announced?

Where can I get reliable up-to-the-minute information on dividend announcements/declarations? There are many alerts services for ex-dividend dates, but I cannot find any for declarations. Is there a single source? Hi JustinMoore, and welcome to the forum. Dividends are a subset of Corporate Actions...
by Phineas J. Whoopee
Mon Feb 06, 2017 3:25 am
Forum: Personal Finance (Not Investing)
Topic: Social Security - Seeking Advice - When To Claim
Replies: 32
Views: 3274

Re: Social Security - Seeking Advice - When To Claim

... When should they claim Social Security to maximize overall benefits ? Please let me know if any other information would be helpful. Thanks for your time and advice. When you say maximize overall benefits, what do you mean? There are at least three often talked about: 1) Quit work as soon as pos...
by Phineas J. Whoopee
Sun Feb 05, 2017 8:32 pm
Forum: Investing - Help with Personal Investments
Topic: Does the Expense Ratio only apply at time of purchase?
Replies: 13
Views: 1387

Re: Does the Expense Ratio only apply at time of purchase?

David Jay wrote:Yes, the expense ratio is the annual cost, it is taken out before you see the results in your statements.

It is slowly taken out each day the Net Asset Value is published.
PJW
by Phineas J. Whoopee
Sun Feb 05, 2017 8:26 pm
Forum: Investing - Help with Personal Investments
Topic: Does the Expense Ratio only apply at time of purchase?
Replies: 13
Views: 1387

Re: Does the Expense Ratio only apply at time of purchase?

Hi KnowNothing, and welcome to the forum. The expense ratio is ongoing. Lower sooner is better than lower later.
PJW
by Phineas J. Whoopee
Sun Feb 05, 2017 6:16 pm
Forum: Investing - Help with Personal Investments
Topic: A tale of TWO REITS . . . Does PE Matter?
Replies: 7
Views: 867

Re: A tale of TWO REITS . . . Does PE Matter?

MikeT wrote:...
The suspense is killing me: which one (or perhaps both in equal proportions) would a Bogle Head Buy?
...

I'm satisfied with the REITS in Total Stock Market, and the real estate firms (many of which are not REITS) in Total International Stock.
PJW
by Phineas J. Whoopee
Sun Feb 05, 2017 6:10 pm
Forum: Personal Finance (Not Investing)
Topic: Moody’s: Index Funds To Surpass Active In Assets By 2024
Replies: 1
Views: 289

Re: Moody’s: Index Funds To Surpass Active In Assets By 2024

I think it's important to keep in mind the Moody's research note Reuters reported on was specifically about mutual funds, not all the other participants in the equity markets. It's easy for we individual investors to forget about them.
PJW
by Phineas J. Whoopee
Sun Feb 05, 2017 6:04 pm
Forum: Personal Finance (Not Investing)
Topic: Income Drop / Social Security Benefits
Replies: 5
Views: 848

Re: Income Drop / Social Security Benefits

I 've wondered about this too. Have you checked what your estimated benefit would be based on your current record? If it already shows you would receive the max, wouldn't it stay that way even if you continue to work at a reduced salary? It depends on the calculation. The Social Security statements...
by Phineas J. Whoopee
Sun Feb 05, 2017 2:07 am
Forum: Investing - Theory, News & General
Topic: Should retirees build a reserve for RMDs?
Replies: 16
Views: 2357

Re: Should retirees build a reserve for RMDs?

... Why a TIPS ladder with positive real yields will not do it? It is the most common LDI strategy tool. A TIPS ladder, that is a portfolio of TIPS with different maturities, will have its market value fluctuate just the same as if it were held through a financial intermediary like a fund. If you'r...
by Phineas J. Whoopee
Sun Feb 05, 2017 1:37 am
Forum: Investing - Theory, News & General
Topic: Should retirees build a reserve for RMDs?
Replies: 16
Views: 2357

Re: Should retirees build a reserve for RMDs?

... If you're really unsure about it, just take the amount you would have put into cash into VISPX or directly into TIPS . At least then your cash won't be losing 1-3% each year while you're waiting for RMDs. It is not at all clear that Vanguard's Inflation-Protected Securities Fund , VIPSX , with ...
by Phineas J. Whoopee
Sun Feb 05, 2017 12:53 am
Forum: Investing - Theory, News & General
Topic: Should retirees build a reserve for RMDs?
Replies: 16
Views: 2357

Re: Should retirees build a reserve for RMDs?

Hi D Paul, There are two things: 1) Over a long retirement period, as hoped for anyhow, the fluctuations will work themselves out, except in the event of a bad sequence in which early returns are significantly negative, which would be driven by stocks. Investment-grade intermediate-term bonds simply...
by Phineas J. Whoopee
Sat Feb 04, 2017 5:30 pm
Forum: Investing - Help with Personal Investments
Topic: Looking for a temporary change in AA
Replies: 14
Views: 729

Re: Looking for a temporary change in AA

... ".S. Savings Bonds, like other securities issued by the U.S. government, can legally be held in a self-directed individual retirement account (IRA). While they are a virtually risk-free investment, putting Savings Bonds in your IRA may not be an easy thing to do. You may have to ask the cu...
by Phineas J. Whoopee
Sat Feb 04, 2017 5:04 pm
Forum: Investing - Help with Personal Investments
Topic: Looking for a temporary change in AA
Replies: 14
Views: 729

Re: Looking for a temporary change in AA

... - Can you put I-bonds in a Roth IRA or any other tax advantaged account? Potentially, yes. The non-red part is properly attributed to Kingtriton10 earlier in this thread . [The embedding of colors in quote boxes makes later attributions more difficult.] No, absolutely not. Not in any way at all...
by Phineas J. Whoopee
Fri Feb 03, 2017 7:37 pm
Forum: Investing - Help with Personal Investments
Topic: Bond Fund Selection
Replies: 12
Views: 1142

Re: Bond Fund Selection

... Only hesitation I have to not using the Vanguard fund is whether or not it's worth paying the higher ER to chase a higher yield . Part of me thinks "why not? I've got a long time until retirement." (35 years old) The other part of me thinks I already have a lot of risk by having so mu...
by Phineas J. Whoopee
Fri Feb 03, 2017 5:53 pm
Forum: Investing - Theory, News & General
Topic: Stock Investors -- Wrong Again.
Replies: 33
Views: 5330

Re: Stock Investors -- Wrong Again.

... My guess is that it's something like transactions on a down tick are sells and transactions on an uptick are buys? Or somehow related to bid / ask volumes? Surely someone here knows what it likely means. ... If you read my post just above yours you will find out for sure what the article means....
by Phineas J. Whoopee
Fri Feb 03, 2017 5:07 pm
Forum: Investing - Theory, News & General
Topic: Stock Investors -- Wrong Again.
Replies: 33
Views: 5330

Re: Stock Investors -- Wrong Again.

Claimer: I read Julie Varhage's Bloomberg article Millennials Weren't the Only Ones Making Bad Trades Last Year Taylor linked to. What it's really about is the standard inter-generational: People your age are boobies ! No, people your age are boobies and we are going to have you put in the booby-hat...
by Phineas J. Whoopee
Fri Feb 03, 2017 4:21 pm
Forum: Personal Finance (Not Investing)
Topic: Where to Park Emergency Fund to protect against inflation
Replies: 32
Views: 3622

Re: Where to Park Emergency Fund to protect against inflation

... I personally feel that the Emergency Money is a lot but my husband doesn't feel secured having less than that considering our daughter is going into college very soon and son will be going in 4 years . Now that's interesting, and I don't mean to quibble over words. I should think a college educ...
by Phineas J. Whoopee
Fri Feb 03, 2017 12:09 am
Forum: Personal Finance (Not Investing)
Topic: Different Advice Needed - Career Change to Investment
Replies: 12
Views: 1098

Re: Different Advice Needed - Career Change to Investment

Hi MorningstarFan, One should always encourage recent graduates to pursue their passions. The financial advisery predatory sales industry is fighting tooth and claw against the idea that they should suggest their clients invest in what is good for their clients , rather than what helps themselves ke...
by Phineas J. Whoopee
Thu Feb 02, 2017 11:36 pm
Forum: Investing - Help with Personal Investments
Topic: Is it normal to have mutual funds and ETF's or is either one or other?
Replies: 21
Views: 999

Re: Is it normal to have mutual funds and ETF's or is either one or other?

ff4930 wrote:... Is it not efficient to have mutual fund and etf?

Aye, there's the rub. Can you tell us what you mean by the word efficient? It's fraught with danger here.
PJW
by Phineas J. Whoopee
Thu Feb 02, 2017 11:20 pm
Forum: Investing - Help with Personal Investments
Topic: Is it normal to have mutual funds and ETF's or is either one or other?
Replies: 21
Views: 999

Re: Is it normal to have mutual funds and ETF's or is either one or other?

Mutual funds and ETFs, whose 'F' stands for Fund, are not very much different. They are traded differently, and some people prefer one or the other, but with respect to long-term asset allocation, and avoiding very much portfolio activity, they're far more similar than different. Here's our wiki art...
by Phineas J. Whoopee
Thu Feb 02, 2017 10:37 pm
Forum: Personal Finance (Not Investing)
Topic: Thoughts on Living Off Interest/Dividends
Replies: 54
Views: 5413

Re: Thoughts on Living Off Interest/Dividends

... Why would I ask to edit a snide remark that says more about you than about me? I'm sorry you see it that way. I tried to respond to what you wrote, not to what I imagined you might have written but didn't. The point is, for some companies a dividend in hand is worth more over time than a cash b...
by Phineas J. Whoopee
Thu Feb 02, 2017 8:58 pm
Forum: Personal Finance (Not Investing)
Topic: Thoughts on Living Off Interest/Dividends
Replies: 54
Views: 5413

Re: Thoughts on Living Off Interest/Dividends

RAchip wrote:... So I prefer dividends. But to each his own.

I've not seen anybody in this thread telling you that you don't prefer dividends. That's perfectly fine. You prefer what you prefer.
PJW
by Phineas J. Whoopee
Thu Feb 02, 2017 8:54 pm
Forum: Personal Finance (Not Investing)
Topic: Thoughts on Living Off Interest/Dividends
Replies: 54
Views: 5413

Re: Thoughts on Living Off Interest/Dividends

... ... What I am saying is that choosing to issue a dividend doesn't magically create returns , part of the value of the share is exchange into cash. What you are saying is the opposite. Well then we just disagree. Like RAchip said, cash balances are probably discounted. I think if you look at the...
by Phineas J. Whoopee
Thu Feb 02, 2017 8:44 pm
Forum: Personal Finance (Not Investing)
Topic: Thoughts on Living Off Interest/Dividends
Replies: 54
Views: 5413

Re: Thoughts on Living Off Interest/Dividends

I have never understood the distaste that some forum posters exhibit for dividends. They are just part of investing. If you own index funds you'll get 2-3% spit out each year. If you're old and have no earned income, they're a relatively reliable welcome income stream. It's as though some folks thi...
by Phineas J. Whoopee
Thu Feb 02, 2017 8:22 pm
Forum: Personal Finance (Not Investing)
Topic: Thoughts on Living Off Interest/Dividends
Replies: 54
Views: 5413

Re: Thoughts on Living Off Interest/Dividends

My guess is that many of the people that say buy non dividend stocks and hope for capital gains and sell regularly to get income dont actually have large portfolios and dont actually have to do that . If you have a multi-million dollar portfolio selling bits off quarterly to produce income is a hea...
by Phineas J. Whoopee
Thu Feb 02, 2017 8:08 pm
Forum: Investing - Help with Personal Investments
Topic: someone talk me out of using betterment or wealthfront as a "checking account"
Replies: 12
Views: 1074

Re: someone talk me out of using betterment or wealthfront as a "checking account"

... I very specifically said it was NOT the "keeping the lights on money" ;-) ... In Gropes & Ray's defense I didn't understand what you meant by that until you followed up. I supposed you meant it was not money you need to meet normal, expected expenses, which must include the electr...
by Phineas J. Whoopee
Thu Feb 02, 2017 6:52 pm
Forum: Investing - Theory, News & General
Topic: Schwab reduces index mutual fund ER and trade commission
Replies: 43
Views: 3468

Re: Schwab reduces index mutual fund ER and trade commission

... Schwab is basically moving its index funds to a single fee structure. Wonder if Vanguard or Fidelity will follow suit ? As correctly reported earlier in the thread, Vanguard tells us what it already spent. There's no following suit. There are only increased economies of scale, which can't go on...

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