Search found 749 matches

by RNJ
Sun Jan 21, 2018 2:36 pm
Forum: Investing - Theory, News & General
Topic: What's your U.S. : International ratio?
Replies: 104
Views: 25834

Re: What's your U.S. : International ratio?

50/50 as policy, but have let international outstrip US (let EM & Int Small run), so more like 47/53 now. Still within rebalancing bands.
by RNJ
Sat Jan 13, 2018 11:26 am
Forum: Investing - Theory, News & General
Topic: "The Pain of Discipline or the Pain of Regret?"
Replies: 32
Views: 3045

"The Pain of Discipline or the Pain of Regret?"

Nice piece from Lawrence Hamtil: "With the relentless rise of equities over the past year, several clients have inquired of me whether they should be more aggressively postured with their investment portfolios. Sensing that, for some, prior fears of market downturns have now been replaced with 'fear...
by RNJ
Sun Jan 07, 2018 9:09 pm
Forum: Investing - Theory, News & General
Topic: Memo to those who have won the game: it's time to quit playing
Replies: 210
Views: 17755

Re: Memo to those who have won the game: it's time to quit playing

I've taken a different approach. By just about any measure we're in good financial shape. My wife and I are 8 yrs apart in age (I'm older), averaging ~50 between us. I've used her age minus 10 as the bond allocation. Though we haven't been there for years (stocks have run up too quickly), we've used...
by RNJ
Fri Jan 05, 2018 9:14 am
Forum: Investing - Theory, News & General
Topic: REITs under new tax law
Replies: 21
Views: 3341

Re: REITs In Taxable - New Tax Law

I thought the pass-through provisions have a sunset to them (i.e. not permanent). If so, there is a risk that you'll enjoy preferential tax treatment for a while and then things will snap right back to where they were in 2017. Yes. And it's not clear that the pass-through provisions will pass throu...
by RNJ
Fri Jan 05, 2018 8:02 am
Forum: Investing - Theory, News & General
Topic: REITs under new tax law
Replies: 21
Views: 3341

Re: REITs In Taxable - New Tax Law

From Seeking Alpha : https://seekingalpha.com/article/4133193-reits-2018-impact-tax-reform "The last time an omnibus tax reform passed into law, it was not a good day for the REIT sector. The Tax Reform Act of 1986 did many things to simplify the tax code, but it also placed strict limitations on lo...
by RNJ
Fri Jan 05, 2018 6:25 am
Forum: Investing - Help with Personal Investments
Topic: Can I retire now?
Replies: 44
Views: 4652

Re: Can I retire now?

Given the OP's age, income streams, and the amount of assets he's accumulated, I don't think this is even a close call: No, don't retire. You have an opportunity to create a bulletproof retirement. Work & save for a while longer, insulate yourself (as best you can) from "worst case scenarios": seque...
by RNJ
Thu Jan 04, 2018 11:25 am
Forum: Personal Finance (Not Investing)
Topic: Selling individual muni bonds- estate executor has question
Replies: 9
Views: 461

Re: Selling individual muni bonds- estate executor has question

I was in a similar position a few years back. What I learned is that the muni market is very different from the market for corporates, treasuries. Typically, specific munis are thinly traded, the markets are opaque, and there is the potential to get hosed on sales. In short, any "losses" will likely...
by RNJ
Wed Jan 03, 2018 9:04 am
Forum: Investing - Help with Personal Investments
Topic: Mortgage Math
Replies: 13
Views: 1498

Re: Mortgage Math

Thanks so much for all of your thoughtful replies. Our charitable deductions exceed the standard deduction and we live in a high tax state & municipality. Prepaying in the past (we purchased in 2011) was a no-brainer as our rate was 3.75% on a 30 year note; beyond an emergency fund, there was no wa...
by RNJ
Wed Jan 03, 2018 6:17 am
Forum: Investing - Help with Personal Investments
Topic: Mortgage Math
Replies: 13
Views: 1498

Re: Mortgage Math

Thanks so much for all of your thoughtful replies. Our charitable deductions exceed the standard deduction and we live in a high tax state & municipality. Prepaying in the past (we purchased in 2011) was a no-brainer as our rate was 3.75% on a 30 year note; beyond an emergency fund, there was no way...
by RNJ
Fri Nov 17, 2017 5:35 pm
Forum: Investing - Theory, News & General
Topic: An hour with David Swensen at Council of Foreign Relations
Replies: 25
Views: 2802

Re: An hour with David Swensen at Council of Foreign Relations

There is a transcript of the interview. Here is one of many great nuggets: "You know, I have never been a big fan of quantitative approaches to investment. And the fundamental reason is that I can’t understand what’s in the black box. And if I don’t know what’s in the black box, and there’s underpe...
by RNJ
Fri Nov 17, 2017 8:07 am
Forum: Investing - Theory, News & General
Topic: An hour with David Swensen at Council of Foreign Relations
Replies: 25
Views: 2802

Re: An hour with David Swensen at Council of Foreign Relations

There is a transcript of the interview. Here is one of many great nuggets: "You know, I have never been a big fan of quantitative approaches to investment. And the fundamental reason is that I can’t understand what’s in the black box. And if I don’t know what’s in the black box, and there’s underper...
by RNJ
Tue Oct 31, 2017 1:51 pm
Forum: Investing - Theory, News & General
Topic: Global Market Portfolio as a single ETF?
Replies: 28
Views: 2051

Re: Global Market Portfolio as a single ETF?

50% VT
25% BND
25% BNDX

Not a perfect match, but not too shabby.
by RNJ
Mon May 01, 2017 8:49 am
Forum: Investing - Theory, News & General
Topic: Transferring ETF shares to charity
Replies: 17
Views: 1200

Re: Transferring ETF shares to charity

The charity should provide you with the value.

Suggestion: If you intend to make charitable contributions by donating appreciated securities - or even if you don't - think about opening a donor advised fund (we use Vanguard). Makes life much simpler.
by RNJ
Fri Apr 07, 2017 1:39 pm
Forum: Investing - Theory, News & General
Topic: State Farm 5 year CD at 2.30% - any hesitation in investing with them?
Replies: 11
Views: 2822

Re: State Farm 5 year CD at 2.30% - any hesitation in investing with them?

As the title says, State Farm is offering 2.30% APY on 5 year CDs. The catch is the early withdrawal penalty is 545 days of interest. 1.5 years is pretty steep. What are the best CD products out there when considering penalties? I'm excluding brokered CDs since there's no set exit price - that crea...
by RNJ
Tue Feb 07, 2017 2:58 pm
Forum: Personal Consumer Issues
Topic: Sinking funds - where to hold?
Replies: 18
Views: 2095

Re: Sinking funds - where to hold?

JimmyD wrote:I keep my seven sinking funds at Capital One 360. Works great for my needs.

With respect to Taylor's comment above, I'm still in the accumulation phase and prefer to keep these sinking funds independent of my portfolio.

If I were retired, I'd agree to just use a bond fund.
Thanks!
by RNJ
Tue Feb 07, 2017 2:57 pm
Forum: Personal Consumer Issues
Topic: Sinking funds - where to hold?
Replies: 18
Views: 2095

Re: Sinking funds - where to hold?

I'd appreciate any thoughts about this approach, as well as a sense of what other people are doing (i.e., do people here use dedicated sinking funds?). RNJ: I believe that it is usually unnecessary to complicate a portfolio with a separate emergency or dedicated sinking-fund if the expected (or une...
by RNJ
Tue Feb 07, 2017 11:03 am
Forum: Personal Consumer Issues
Topic: Sinking funds - where to hold?
Replies: 18
Views: 2095

Re: Sinking funds - where to hold?

Reviving old thread. I use Baird Intermediate for tax-exempt bond holdings (SEC yield 2.10%). This doubles as an emergency fund. Given some uncertainty re quarterly tax payments & salary distributions, as well as several $$$ home maintenance projects this coming year, I've decided to be a bit more p...
by RNJ
Tue Feb 07, 2017 10:45 am
Forum: Investing - Help with Personal Investments
Topic: Invest Emergency Fund in Bonds
Replies: 11
Views: 1561

Re: Invest Emergency Fund in Bonds

I think it is fine too. The idea that an emergency fund needs to be absolutely non-volatile seems unnecessary. Risk would actually show up only when the fund is down and an emergency requiring use of a lot of the money develops. Each investor has to judge for themselves what those odds are. Next af...
by RNJ
Tue Jan 10, 2017 1:38 pm
Forum: Investing - Theory, News & General
Topic: International Value Index
Replies: 1
Views: 380

Re: International Value Index

Dunno. In the meantime, SFNNX, PXF, & EFV are all available. I've used each for TLHs. Since early 2016 it's been SFNNX. Has the benefits of being a fund (no issues re spreads) and is the cheapest of the group (.34%).
by RNJ
Sun Jan 08, 2017 9:02 am
Forum: Investing - Help with Personal Investments
Topic: Better to teach kids about investing with ETFs or individual stocks?
Replies: 19
Views: 1249

Re: Better to teach kids about investing with ETFs or individual stocks?

We've got lots of very important things to do in our lives that are not particularly exciting: buying insurance, annual physicals, doing homework, tying shoes. In my opinion, investing should fall in this category if for no other reason than starting good habits - behavioral, intellectual - early.
by RNJ
Tue Jan 03, 2017 5:54 pm
Forum: Investing - Theory, News & General
Topic: 2017 and on - Bond Strategy
Replies: 12
Views: 4038

Re: 2017 and on - Bond Strategy

In retirement accounts I hold only Treasury and TIPS funds (VFIUX & FSIYX). In taxable, only the safest (credit risk) intermediate-term bond fund I could find (BMBIX). Yes, giving up some yield. I've learned to live with it. Wow, that muni fund is quite a bit better quality than VWITX at Vanguard! ...
by RNJ
Tue Jan 03, 2017 9:16 am
Forum: Investing - Theory, News & General
Topic: 2017 and on - Bond Strategy
Replies: 12
Views: 4038

Re: 2017 and on - Bond Strategy

In retirement accounts I hold only Treasury and TIPS funds (VFIUX & FSIYX). In taxable, only the safest (credit risk) intermediate-term bond fund I could find (BMBIX). Yes, giving up some yield. I've learned to live with it. Wow, that muni fund is quite a bit better quality than VWITX at Vanguard! ...
by RNJ
Tue Jan 03, 2017 12:11 am
Forum: Investing - Theory, News & General
Topic: 2017 and on - Bond Strategy
Replies: 12
Views: 4038

Re: 2017 and on - Bond Strategy

In retirement accounts I hold only Treasury and TIPS funds (VFIUX & FSIYX).

In taxable, only the safest (credit risk) intermediate-term bond fund I could find (BMBIX). Yes, giving up some yield. I've learned to live with it.
by RNJ
Fri Dec 30, 2016 2:38 am
Forum: Investing - Theory, News & General
Topic: "Maybe instead of chanting 'U-S-A', investors should be thinking 'C-A-P-E'?"
Replies: 18
Views: 2652

Re: "Maybe instead of chanting 'U-S-A', investors should be thinking 'C-A-P-E'?"

I am open to buying gval but I have not managed to overcome my doubts. I'm sold on the idea of international diversification and that valuations matter. What I'm not sure about is the wisdom of rebalancing into the cheapest countries every year. It seems prone to catching a falling knife or getting...
by RNJ
Thu Dec 29, 2016 10:31 pm
Forum: Investing - Theory, News & General
Topic: "Maybe instead of chanting 'U-S-A', investors should be thinking 'C-A-P-E'?"
Replies: 18
Views: 2652

Re: "Maybe instead of chanting 'U-S-A', investors should be thinking 'C-A-P-E'?"

Yes, the U.S. CAPE is high, but what other country would you feel comfortable investing in? Frankly, I don't feel "comfortable" investing anywhere. But that's the point - investing is risky. If one is completely comfortable, there is a possibility of not understanding the risks being taken, complac...
by RNJ
Fri Dec 09, 2016 4:27 pm
Forum: Investing - Theory, News & General
Topic: Do you think Slice and Dice makes it harder to stay the course?
Replies: 40
Views: 2948

Re: Do you think Slice and Dice makes it harder to stay the course?

I haven't seen any recommended changes for a small-cap and value-tilted slice-and-dice portfolio in more than 10 years, so I believe it has staying power and is pretty trivial to use and stay the course. I have never invested in gold, international bonds, micro caps, frontier markets, commodities. ...
by RNJ
Tue Dec 06, 2016 2:41 am
Forum: Investing - Help with Personal Investments
Topic: How much risk do we need to take? Retired at age 47.
Replies: 56
Views: 7300

Re: How much risk do we need to take? Retired at age 47.

Watch how low you go with equities. One or (hopefully) both of you may be around another 50 years. Also, don't discount possibility of wanting to work in the future.

Good job & good luck.
by RNJ
Tue Dec 06, 2016 1:20 am
Forum: Investing - Theory, News & General
Topic: Sequence of returns risk. Using puts to hedge.
Replies: 26
Views: 2493

Re: Sequence of returns risk. Using puts to hedge.

Depending on your age, couldn't you buy a TIPS ladder of the # of years you want to hedge?
by RNJ
Sat Dec 03, 2016 6:24 am
Forum: Investing - Theory, News & General
Topic: What percentage of international do you hold?
Replies: 127
Views: 8731

Re: What percentage of international do you hold?

50% of equities in a roughly 65/35 portfolio.
by RNJ
Fri Dec 02, 2016 10:26 am
Forum: Investing - Theory, News & General
Topic: What exactly happened in Japan...and can it happen here?
Replies: 39
Views: 7453

Re: What exactly happened in Japan...and can it happen here?

Inquiring Bogleheads want to know: I'm very fuzzy about why the Japanese market took a huge dive and stayed down for so many years. Can some of the pundits on this board explain it simply? The "Japan" situation is usually used as a rationale for maintaining a significant amount of international div...
by RNJ
Mon Sep 12, 2016 11:53 am
Forum: Investing - Theory, News & General
Topic: Jason Hsu and William Bernstein Like Overbalancing
Replies: 27
Views: 5264

Re: Jason Hsu and William Bernstein Like Overbalancing

Key to remember that what looks cheap/expensive now can become far more so and over a long period of time before any realignment or mean reversion. Tread lightly.

Full disclosure: I do this.
by RNJ
Tue Aug 16, 2016 3:31 pm
Forum: Investing - Theory, News & General
Topic: Someone wants to pay me to manage their finances
Replies: 46
Views: 5725

Re: Someone wants to pay me to manage their finances

No way. Dangerous for all concerned. Vanguard PAS if they have neither the time nor inclination to manage for themselves.
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: 605

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: 206
Views: 19557

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: 2075

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: 2075

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, pension fun...
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: 126
Views: 20750

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: 126
Views: 20750

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
Tue Jun 07, 2016 9:47 am
Forum: Investing - Theory, News & General
Topic: Signs You Own the Right Portfolio
Replies: 18
Views: 3605

Clements: 11 Signs You Own the Right Portfolio

Excellent* piece from Jonathan Clements:

http://www.jonathanclements.com/home/20 ... -portfolio

*small quibble with #11.
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: 126
Views: 20750

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: 5958

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: 888

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: 2548

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 happen...
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: 2548

"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 sentiment ...