Search found 712 matches

by RNJ
Tue Jun 14, 2016 6:06 am
Forum: Investing - Theory, News & General
Topic: Options for low risk bonds in taxable account
Replies: 4
Views: 418

Re: Options for low risk bonds in taxable account

A couple of options to pair with your PA fund:

Baird Quality Intermediate Municipal (BMBIX) - a national fund with high quality holdings, a large % of which are pre-refunded; shorter duration than PA fund.

VG Limited Term Tax Exempt (VMLUX) - a shorter duration national fund.
by RNJ
Sat Jun 11, 2016 11:27 am
Forum: Investing - Theory, News & General
Topic: What is your overall portfolio weighted expense ratio
Replies: 118
Views: 6384

Re: What is your overall portfolio weighted expense ratio

It's the first # I see when I open up my spreadsheet (updated automatically): .18% for a small, value and globally tilted portfolio.
by RNJ
Wed Jun 08, 2016 3:31 pm
Forum: Investing - Theory, News & General
Topic: M Faber: "Institutional Investors are Delusional"
Replies: 16
Views: 1702

Re: M Faber: "Institutional Investors are Delusional"

Here's the BNY Mellon-FT Remark report of institutional investors Meb Faber referenced, probably worth a look: https://www.bnymellon.com/_global-assets/pdf/our-thinking/institutional-investment-in-alternative-assets.pdf#page=8 Another by SSGA-FT Remark: https://www.ssga.com/investment-topics/asset-...
by RNJ
Wed Jun 08, 2016 2:41 pm
Forum: Investing - Theory, News & General
Topic: M Faber: "Institutional Investors are Delusional"
Replies: 16
Views: 1702

M Faber: "Institutional Investors are Delusional"

http://mebfaber.com/2016/06/07/institutional-investors-delusional/ From the article: "I was skimming this recent publication from BNY Mellon and FT remark when a particular graphic caught my eye. Below is a survey from 400+ real money institutional respondents (we’re talking endowments, pensio...
by RNJ
Tue Jun 07, 2016 10:05 am
Forum: Investing - Theory, News & General
Topic: "6 Reasons The Rich Should Pay-Off Their Mortgage"
Replies: 76
Views: 9765

Re: "6 Reasons The Rich Should Pay-Off Their Mortgage"

There is one big reason. The rich would not experience a significant decrease in liquidity if they pay-off their mortgage. Depends on the size of the mortgage. I would argue that if paying-off your mortgage leaves you without liquid assets, you are not rich. You just blew my mind. I would think it ...
by RNJ
Tue Jun 07, 2016 9:49 am
Forum: Investing - Theory, News & General
Topic: "6 Reasons The Rich Should Pay-Off Their Mortgage"
Replies: 76
Views: 9765

Re: "6 Reasons The Rich Should Pay-Off Their Mortgage"

1) I am not seeing any reason why rich people are different than more moderate income people. There is one big reason. The rich would not experience a significant decrease in liquidity if they pay-off their mortgage. Depends on the size of the mortgage. I would argue that if paying-off your mortgag...
by RNJ
Mon Jun 06, 2016 6:14 pm
Forum: Investing - Theory, News & General
Topic: "6 Reasons The Rich Should Pay-Off Their Mortgage"
Replies: 76
Views: 9765

Re: "6 Reasons The Rich Should Pay-Off Their Mortgage"

Call_Me_Op wrote:
randomguy wrote:1)

I am not seeing any reason why rich people are different than more moderate income people.


There is one big reason. The rich would not experience a significant decrease in liquidity if they pay-off their mortgage.


Depends on the size of the mortgage.
by RNJ
Mon Jun 06, 2016 6:13 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Advisor Services suggests plan....
Replies: 41
Views: 4827

Re: Vanguard Advisor Services suggests plan....

saltycaper wrote:I would go with VAS if I were you.


Yes. And I like the larger allocation to International.
by RNJ
Mon Jun 06, 2016 1:19 pm
Forum: Investing - Theory, News & General
Topic: Opportunistic rebalancing and handling flexibility
Replies: 8
Views: 479

Re: Opportunistic rebalancing and handling flexibility

I've been moving my portfolio to a 4 fund Vanguard portfolio and decided on a opportunistic band method for re-balancing using a relative % threshold and target. I am going with a 20% relative threshold band and 10% tolerance band. With 20% relative threshold and 10% tolerance band, I think you wil...
by RNJ
Wed Jun 01, 2016 9:41 am
Forum: Investing - Theory, News & General
Topic: "Wall Street Turns to ETFs to Sidestep Illiquidity in Bond Mkt"
Replies: 18
Views: 2156

Re: "Wall Street Turns to ETFs to Sidestep Illiquidity in Bond Mkt"

Interesting related thread started by Rick Ferri, with a relevant table by Robert T: https://www.bogleheads.org/forum/viewtopic.php?t=85719 Money quote from Rick: "In a down market, restricted trading is always paid for by the sellers of ETF shares in the form of price discounts. This doesn't h...
by RNJ
Wed Jun 01, 2016 1:41 am
Forum: Investing - Theory, News & General
Topic: "Wall Street Turns to ETFs to Sidestep Illiquidity in Bond Mkt"
Replies: 18
Views: 2156

"Wall Street Turns to ETFs to Sidestep Illiquidity in Bond Mkt"

From Bloomberg: Wall Street Turns to ETFs to Sidestep Illiquidity in Bond Market http://www.bloomberg.com/news/articles/2016-05-31/wall-street-turns-to-etfs-to-sidestep-illiquidity-in-bond-market "While it’s easy to buy ETFs, concern is growing that it may not be as simple to get out when senti...
by RNJ
Sun May 29, 2016 7:36 am
Forum: Investing - Theory, News & General
Topic: Asset Allocation Conundrum
Replies: 25
Views: 1905

Re: Asset Allocation Conundrum

You've been prudent and disciplined, thus far. Not easy to do. A couple of thoughts: How might you feel and (more importantly) react if your $550k portfolio became a $340k portfolio (80/20 in 2008) over a relatively short period of time? Also, are your insurance needs covered? Life? Disability? Give...
by RNJ
Wed May 18, 2016 4:20 pm
Forum: Investing - Help with Personal Investments
Topic: A very large sum and a unique situation
Replies: 24
Views: 2614

Re: A very large sum and a unique situation

I'd suggest Vanguard Personal Advisor Services (not any other brokerage) for the investing part. . . . . . One thing to consider. If the one son is managing the money for all 3 families, I would absolutely have someone else manage it . For me, that would be Vanguard PAS. If the son is only managing...
by RNJ
Wed May 18, 2016 9:40 am
Forum: Investing - Theory, News & General
Topic: safe alternative to stock market
Replies: 62
Views: 6486

Re: safe alternative to stock market

Maybe the best thing to do is re-assess your current asset allocation and the rationale for choosing it. Do you have an IPS?
by RNJ
Wed May 18, 2016 7:15 am
Forum: Investing - Theory, News & General
Topic: safe alternative to stock market
Replies: 62
Views: 6486

Re: safe alternative to stock market

FDIC insured high yield savings accounts or CDs.
by RNJ
Mon May 16, 2016 2:43 pm
Forum: Investing - Theory, News & General
Topic: DEMSX vs VSS
Replies: 7
Views: 377

Re: DEMSX vs VSS

I'd rather have the DFA fund than any of the ETFs in the space, that's for sure. If there's one place DFA's not-a-slave-to-an-index, so-called patient trading can really help, it's got to be small cap EM. +1 IF this is the space you want to be in. VSS may be the only game in town for what it does (...
by RNJ
Mon May 16, 2016 1:36 pm
Forum: Investing - Theory, News & General
Topic: DEMSX vs VSS
Replies: 7
Views: 377

Re: DEMSX vs VSS

Well, emerging markets small cap (small cap value, mostly, reaching heavily through mids, with some micro caps) and ex-US small cap (though actually more mid cap than small cap) don't exactly have the same asset coverage. It makes sense that the more specialized fund that concentrates in the parts ...
by RNJ
Mon May 16, 2016 1:30 pm
Forum: Investing - Theory, News & General
Topic: DEMSX vs VSS
Replies: 7
Views: 377

Re: DEMSX vs VSS

You do understand that these are completely different types of funds, right? If not, you might want to do some more research before making the switch.
by RNJ
Sat May 14, 2016 5:57 am
Forum: Investing - Theory, News & General
Topic: Jim Cramer doesn’t beat the market
Replies: 61
Views: 6820

Re: Jim Cramer doesn’t beat the market

Toons wrote:Cramer is entertaining. :happy



Cramer is entertainMENT.
by RNJ
Thu May 12, 2016 11:41 am
Forum: Investing - Help with Personal Investments
Topic: Portfolio Checkup Requested on 3 Year Boglehead Anniversary
Replies: 14
Views: 2280

Re: Portfolio Checkup Requested on 3 Year Boglehead Anniversary

Hi. I don't like the idea of paying off the mortgage - though I might if your mortgage rate was higher. Using the "mortgage as a negative bond" model, the after-tax difference between what you're earning on your bond funds and paying out for a mortgage might be thought of as the premium yo...
by RNJ
Tue May 10, 2016 12:57 pm
Forum: Investing - Help with Personal Investments
Topic: Too Chicken for NJ Municipal Bonds?
Replies: 12
Views: 1540

Re: Too Chicken for NJ Municipal Bonds?

I'm in the same position. I opted out of VNJUX - I didn't like the duration or the single state risk (I use BMBIX - Baird Intermediate Quality). That said, you could do something similar to what Grabiner is suggesting by splitting your $ between VNJUX and Vanguard's NJ money market fund, current SEC...
by RNJ
Fri May 06, 2016 10:56 am
Forum: Investing - Theory, News & General
Topic: Indexed annuities
Replies: 32
Views: 2308

Re: Indexed annuities

nimzojim wrote:These annuities appear to be mostly a scam presented to aging retirees using fear factor techniques but I would love to hear from anyone who disagrees and can present a good case for owning them.


I think that about sums it up.
by RNJ
Fri May 06, 2016 6:14 am
Forum: Investing - Theory, News & General
Topic: "When the Rich Jump Ship"
Replies: 6
Views: 2164

"When the Rich Jump Ship"

From The Atlantic:

"The accepted wisdom says to sit tight when the market tanks, but a couple of groups don’t heed that advice."

http://www.theatlantic.com/business/archive/2016/05/when-the-rich-jump-ship/481326/
by RNJ
Fri May 06, 2016 6:10 am
Forum: Investing - Help with Personal Investments
Topic: 57, widowed, looking for best path to invest windfall
Replies: 20
Views: 2939

Re: 57, widowed, looking for best path to invest windfall

I'm sorry for your loss. I was in just your position a few years ago. Not easy. Re paying off the mortgage, I also don't think there is any hurry to pay it off. Not paying it off allows more flexibility for your mother and also functions as an inflation hedge. And given the nature of your family's l...
by RNJ
Tue May 03, 2016 1:00 pm
Forum: Investing - Theory, News & General
Topic: Total World ETF Taxable
Replies: 9
Views: 1048

Re: Total World ETF Taxable

Completelr reasonable holding, IMHO. The er will likely come down over time. The few extra basis points is the price of simplicity and compensating for home bias - a pretty good deal. And why would you miss out on a TLH opportunity? Have you checked out ACWI (iShares' MSCI World Index) as a TLH par...
by RNJ
Mon May 02, 2016 10:01 am
Forum: Investing - Theory, News & General
Topic: Total World ETF Taxable
Replies: 9
Views: 1048

Re: Total World ETF Taxable

Completely reasonable holding, IMHO. The er will likely come down over time. The few extra basis points is the price of simplicity and compensating for home bias - a pretty good deal. And why would you miss out on a TLH opportunity? Have you checked out ACWI (iShares' MSCI World Index) as a TLH part...
by RNJ
Sun May 01, 2016 11:49 am
Forum: Investing - Theory, News & General
Topic: 529 plans: "off-label" uses?
Replies: 7
Views: 846

529 plans: "off-label" uses?

In a recent thread ( https://www.bogleheads.org/forum/viewtopic.php?t=189955 ), in the context of finding "low hanging fruit" in financial planning,a reference was made to "off-label" uses for 529 plans. I'm not finding much in search. Could anyone elaborate? Thanks.
by RNJ
Sun May 01, 2016 1:30 am
Forum: Investing - Theory, News & General
Topic: Tax loss harvesting: in rare occasions for the boglehead?
Replies: 17
Views: 1802

Re: Tax loss harvesting: in rare occasions for the boglehead?

TL harvests may also be used to offset future capital gains. My use of TLH is opportunistic. If I find, for example, an emerging markets lot or entire allocation is showing a "worthwhile" loss, I sell, booking the loss, and then purchase a predetermined TLH "partner" (e.g., VWO <...
by RNJ
Fri Apr 29, 2016 3:34 pm
Forum: Investing - Help with Personal Investments
Topic: Emerging Markets?
Replies: 15
Views: 1506

Re: Emerging Markets?

RNJ... No, we do not have an IPS...we do have a fairly well-defined handle on the basic tenets as described in the wiki, but not a formal or elaborate statement as such. It is only in the past 2 years that DW and I have begun actively managing this portion of our investment portfolio, with the inte...
by RNJ
Fri Apr 29, 2016 3:02 pm
Forum: Investing - Help with Personal Investments
Topic: Emerging Markets?
Replies: 15
Views: 1506

Re: Emerging Markets?

A couple of points. When holding particularly volatile asset classes (e.g., small value, emerging markets) I believe it is imperative to have tax-loss partners at the ready and make the jump from one to the other immediately or ASAP. If one is not prepared to do that then it is a mistake in process...
by RNJ
Fri Apr 29, 2016 2:50 pm
Forum: Investing - Help with Personal Investments
Topic: Emerging Markets?
Replies: 15
Views: 1506

Re: Emerging Markets?

A couple of points. When holding particularly volatile asset classes (e.g., small value, emerging markets) I believe it is imperative to have tax-loss partners at the ready and make the jump from one to the other immediately or ASAP. If one is not prepared to do that then it is a mistake in process ...
by RNJ
Thu Apr 21, 2016 4:35 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard versus David Swenson
Replies: 28
Views: 3932

Re: Vanguard versus David Swenson

Swensen's "Unconventional Success" was one of the first books to open my eyes to indexing, asset class investing, etc. It continues to be a touchstone for me. But my portfolio looks nothing like a "Swensen". This is mostly because I am in a situation nearly identical to yours and...
by RNJ
Thu Apr 21, 2016 4:42 am
Forum: Investing - Help with Personal Investments
Topic: How to think about cash balance plan?
Replies: 1
Views: 310

How to think about cash balance plan?

My dear spouse is a partner in a large professional practice, and participates in the partnership's CBP. The plan has a 0% - 4% "collar" meaning that if the plan underperforms (negative return in a given year) additional funds must be added, while returns exceeding 4% reduce pretax contrib...
by RNJ
Tue Apr 19, 2016 8:59 pm
Forum: Investing - Theory, News & General
Topic: What are you up YTD? [Year To Date]
Replies: 1004
Views: 155594

Re: What are you up YTD? [Year To Date]

65% stocks.

Up roughly 5.5% ytd.

EDIT: I've been leaning into Internationl and EM, now 52% of equities - up from 50%
by RNJ
Mon Apr 18, 2016 9:46 am
Forum: Investing - Theory, News & General
Topic: Everyone Worries Too Much About 'Black Swans'
Replies: 39
Views: 4407

Re: Everyone Worries Too Much About 'Black Swans'

I think we often overlook "personal" Black Swans that have nothing to do with the markets: illness, disability, death or illness of a working spouse/partner, permanent loss of high-paying job.
by RNJ
Mon Apr 18, 2016 9:40 am
Forum: Investing - Theory, News & General
Topic: Everyone Worries Too Much About 'Black Swans'
Replies: 39
Views: 4407

Re: Everyone Worries Too Much About 'Black Swans'

...In my case it is better for me to be 100% invested in the stock market & use any black swans as a opportunity to buy more stocks that are on sale. Buy more with what? The nature of the black swan is that you'll lose at least your job, maybe your health, maybe your life. This isn't just theor...
by RNJ
Thu Apr 14, 2016 8:03 pm
Forum: Investing - Theory, News & General
Topic: Vanguard International Value (VTRIX) or iShares EAFE Value (EFV)?
Replies: 2
Views: 450

Re: Vanguard International Value (VTRIX) or iShares EAFE Value (EFV)?

Why those two? Some questions: Do you want a fund or an ETF? Active or passive? If passive, cap weighted or some other scheme? Personally, I TLH between PXF and SFNNX - both quasi-passive (I think I just now coined that term), RAFI-designed. I prefer the latter because it's cheaper and I don't parti...
by RNJ
Wed Apr 13, 2016 4:14 pm
Forum: Investing - Theory, News & General
Topic: Rebalancing in a taxable account isn't so simple
Replies: 54
Views: 4827

Re: Rebalancing in a taxable account isn't so simple

75% of our portfolio is in taxable accounts. Here are some guidelines from our IPS, reconfigured for your purposes: 1) Take all distributions in cash. 2) Funnel distributions and new contributions to lagging assets. 3) Harvest losses aggressively. 4) Avoid selling shares with taxable gains. 5) [If ...
by RNJ
Tue Apr 12, 2016 9:30 am
Forum: Investing - Theory, News & General
Topic: Rebalancing in a taxable account isn't so simple
Replies: 54
Views: 4827

Re: Rebalancing in a taxable account isn't so simple

Another issue about reinvesting distributions is that it may be cumbersome to calculate tour cost basis when it does come time to sell.
by RNJ
Tue Apr 12, 2016 9:09 am
Forum: Investing - Theory, News & General
Topic: Rebalancing in a taxable account isn't so simple
Replies: 54
Views: 4827

Re: Rebalancing in a taxable account isn't so simple

75% of our portfolio is in taxable accounts. Here are some guidelines from our IPS, reconfigured for your purposes: 1) Take all distributions in cash. 2) Funnel distributions and new contributions to lagging assets. 3) Harvest losses aggressively. 4) Avoid selling shares with taxable gains. 5) [If y...
by RNJ
Tue Apr 05, 2016 2:36 pm
Forum: Investing - Help with Personal Investments
Topic: Can't decide whether to sell stocks with unrealized gains or the ones that are down a lot
Replies: 6
Views: 885

Re: Can't decide whether to sell stocks with unrealized gains or the ones that are down a lot

Sell them all. VT is lower now because emerging markets and small-foreign are down. So sell them all and buy VT. If you cannot bring yourself to sell all now, then start by selling some of all of them now. You can slowly build up your VT over time. Yes. And/or, you can make your charitable contribu...
by RNJ
Mon Apr 04, 2016 10:24 am
Forum: Investing - Theory, News & General
Topic: Short-Term Treasury Bond Index FSBAX in taxable?
Replies: 5
Views: 822

Re: Short-Term Treasury Bond Index FSBAX in taxable?

I believe Bill Bernstein advises maintaining an allocation to ST Treasuries in taxable. Something like 1/3 each of CDs, Treasuries and Tax-exempt fund(s). Hey RNJ, thanks for the reply! Can you point me to where Bill Bernstein says this? I'd like to read it, if its in an article. See "Rational...
by RNJ
Sat Apr 02, 2016 11:48 am
Forum: Investing - Theory, News & General
Topic: Short-Term Treasury Bond Index FSBAX in taxable?
Replies: 5
Views: 822

Re: Short-Term Treasury Bond Index FSBAX in taxable?

I believe Bill Bernstein advises maintaining an allocation to ST Treasuries in taxable. Something like 1/3 each of CDs, Treasuries and Tax-exempt fund(s).
by RNJ
Wed Mar 30, 2016 10:11 am
Forum: Investing - Theory, News & General
Topic: Unconventional Investing
Replies: 19
Views: 2098

Re: Unconventional Investing

I am very interested in building sound investing principles and have been very satisfied with the boglehead approach. I assessed our risk tolerance, devised a stock vs bond allocation, used low cost admiral funds to fill each subset, and designed an excel spreadsheet to help me rebalance quarterly ...
by RNJ
Sat Mar 19, 2016 1:32 pm
Forum: Investing - Theory, News & General
Topic: What bond funds do you use, and why?
Replies: 55
Views: 4272

Re: What bond funds do you use, and why?

Taxable (roughly 20% of fixed income): ~50/50 Baird Quality Intermediate Muni (BMBIX) / PenFed 3% CDs. Looking for high quality and good behavior in bad times.

Non-taxable: VG Intermediate Term Treasury (VFIUX) & Fidelity Spartan Inflation-Protected Index (FSIYX). Zero credit risk.
by RNJ
Thu Mar 17, 2016 2:43 pm
Forum: Personal Finance (Not Investing)
Topic: Mortgage prepayments & savings targets
Replies: 20
Views: 2105

Re: Mortgage prepayments & savings targets

Helpful, interesting, and diverging replies - thanks. By way of background, we max out all retirement space and our 529s are nearing capacity for both our 10 and 7 year olds. We have ~26 years left on a 30 yr mortgage at 3.75% (39.6% bracket). We'll almost certainly be out of the house in 15 years (...
by RNJ
Thu Mar 17, 2016 12:54 pm
Forum: Personal Finance (Not Investing)
Topic: Mortgage prepayments & savings targets
Replies: 20
Views: 2105

Mortgage prepayments & savings targets

Should mortgage prepayments "count" towards annual savings targets? Thanks!
by RNJ
Sun Mar 06, 2016 11:02 am
Forum: Investing - Theory, News & General
Topic: Poll: Active Funds in Which You Invest
Replies: 76
Views: 5033

Re: Poll: Active Funds in Which You Invest

Baird Quality Intermediate Muni (BMBIX)
VG Intermediate Treasury (VFIUX)

Rules-based/Quasi-passive:
Schwab Fundamental International Large Co Index
Schwab Fundamental International Small Co Index

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