Search found 31310 matches

by Valuethinker
Thu Jun 22, 2017 1:21 pm
Forum: Investing - Theory, News & General
Topic: Argentina issuing 100-year bond.
Replies: 39
Views: 3127

Re: Argentina issuing 100-year bond.

It's a very interesting question. It's clearly a risky asset, and an unusual one at that for a bond, since its duration is much longer than almost anyone's lifetime. As Benjamin Graham observed, at a high enough price, a even the highest quality security is a sell, and at a low enough price, a dodg...
by Valuethinker
Thu Jun 22, 2017 12:54 pm
Forum: Personal Consumer Issues
Topic: is luxury car a smarter purchase?
Replies: 89
Views: 4813

Re: is luxury car a smarter purchase?

westie wrote:buy a 3 year old Cadillac?


If you want a European style driver experience it just doesn't have it.

I'd rather have a Lexus if I was going that route.
by Valuethinker
Thu Jun 22, 2017 12:46 pm
Forum: Personal Consumer Issues
Topic: is luxury car a smarter purchase?
Replies: 89
Views: 4813

Re: is luxury car a smarter purchase?

Until $10,000 self-driving cars are available, there is not concern. That's decades off. And if they outlawed manual driving cars without phasing them out, where would we put them? America's next big business would be scrap yards. Since the update of the OP, I think the answer to the initial questi...
by Valuethinker
Thu Jun 22, 2017 12:44 pm
Forum: Personal Consumer Issues
Topic: is luxury car a smarter purchase?
Replies: 89
Views: 4813

Re: is luxury car a smarter purchase?

Isn't $20k a car a more useful benchmark, because that's much closer to what the average people pay for a new car? Actually NO because the number is $30K+ I just don't remember if that is median or average new car purchased in America. By the way your previous reply is absolutely spot on regarding ...
by Valuethinker
Thu Jun 22, 2017 12:27 pm
Forum: Personal Consumer Issues
Topic: is luxury car a smarter purchase?
Replies: 89
Views: 4813

Re: is luxury car a smarter purchase?

I still think that you are all missing a major issue - and its not technological, its socialogical. Outside of this board, whee most people seem to hate cars for some reason ???? , most Americans LOVE cars and LOVE driving. That mindset wont change overnight. Not true of this board-- look at the 10...
by Valuethinker
Thu Jun 22, 2017 12:15 pm
Forum: Personal Consumer Issues
Topic: is luxury car a smarter purchase?
Replies: 89
Views: 4813

Re: is luxury car a smarter purchase?

You are right that is very sociological. However, one thing to keep in mind from a sociological standpoint is that urbanization is still a trend, and the individual or family farmer is giving way to big-agra megafarms. Joe farmer may not want a drone to drop supplies, but his opinion won't matter i...
by Valuethinker
Thu Jun 22, 2017 11:57 am
Forum: Personal Consumer Issues
Topic: is luxury car a smarter purchase?
Replies: 89
Views: 4813

Re: is luxury car a smarter purchase?

Agreed. The average car on the road is over 10 years old. Even if fully autonomous cars were available TODAY, it would be over a decade before they became the norm. I think we are AT LEAST a decade from full autonomy being available. It would likely be several decades after that before anybody cons...
by Valuethinker
Thu Jun 22, 2017 11:48 am
Forum: Investing - Theory, News & General
Topic: International's Correlation to Energy (A Real Thing? Ended? Why?)
Replies: 8
Views: 567

Re: International's Correlation to Energy (A Real Thing? Ended? Why?)

Not sanctions...It narrows the scope of sovereign foreign immunity so that civil claims can be filed in US federal courts against a foreign state. For instance, there have subsequently been hundreds of lawsuits filed against Saudi Arabia. I see what you're saying though regarding less oil being imp...
by Valuethinker
Thu Jun 22, 2017 11:35 am
Forum: Investing - Help with Personal Investments
Topic: Portfolio for belgian (Europe) investor
Replies: 55
Views: 2407

Re: Portfolio for belgian (Europe) investor

Okay so I've sold my stocks and my actively managed fund. Now I just need to get all my cash into my investments account thanks to you guys (many many thanks) I've come up with this portfolio: Emergency fund: 3K Investment fund: 17k 75% equity iShares Core MSCI World UCITS ETF USD (Acc) (EUR) | IWD...
by Valuethinker
Thu Jun 22, 2017 11:34 am
Forum: Investing - Theory, News & General
Topic: Argentina issuing 100-year bond.
Replies: 39
Views: 3127

Re: Argentina issuing 100-year bond.

You are exposing yourself to all kind of interest rate risk and default risk over a very long period of time. That said, you don't necessarily have to hold these till maturity. If you want to make a bet on Argentinian solvency in the future, you can easily buy up these bonds, collect the coupons fo...
by Valuethinker
Thu Jun 22, 2017 10:33 am
Forum: Investing - Theory, News & General
Topic: Argentina issuing 100-year bond.
Replies: 39
Views: 3127

Re: Argentina issuing 100-year bond.

Argentina has a history of defaulting on it's debt obligations. It's defaulted several times in the past 200 years. I vaguely recall the last time being around 1999 (please correct me if I'm wrong). I can't believe anyone (person, corporate, pension, etc) in his right mind would buy this debt with ...
by Valuethinker
Thu Jun 22, 2017 8:34 am
Forum: Investing - Theory, News & General
Topic: Replacing bonds with actively managed real estate
Replies: 16
Views: 945

Re: Replacing bonds with actively managed real estate

The thing about a bond is not that it provides an income stream. Most investments do. The thing about a bond is that it is (often) a legal contract to pay you specific numbers of dollars on specific calendar dates , and the issuer has to pay it just like any other bill. To stay in business, a corpo...
by Valuethinker
Thu Jun 22, 2017 7:54 am
Forum: Personal Consumer Issues
Topic: Any BHs Had Experience With the Honda Fit?
Replies: 53
Views: 3271

Re: Any BHs Had Experience With the Honda Fit?

My wife had a Honda Jazz (same car as Fit) when we lived in Brussels. Great city car, parks anywhere and surprisingly spacious inside. I felt very uncomfortable driving it on the ring road with larger vehicles whizzing by. We never took it on trips. She loved that little car but all her driving was...
by Valuethinker
Thu Jun 22, 2017 7:52 am
Forum: Investing - Help with Personal Investments
Topic: Royalties &/or Residuals: Invest?
Replies: 6
Views: 477

Re: Royalties &/or Residuals: Invest?

My father was a Hollywood music man. I recently learned that I'll be getting between $10,000 and $50,000 a year in royalties and/or residuals from his estate. I'm 45, single, no children, net worth of about $575,000. I've completely bailed out of the legal profession, have fled from California, and...
by Valuethinker
Thu Jun 22, 2017 7:44 am
Forum: Personal Finance (Not Investing)
Topic: CIT Bank and Personal Capital
Replies: 3
Views: 186

Re: CIT Bank and Personal Capital

I recently opened a couple of savings accounts at CIT Bank (I'm pretty sure this is NOT Citi bank) but I'm unable to set them up with Personal Capital. I've emailed them about the problem but never got a response. Has anyone else been able to set up a CIT account? https://www.cit.com/about-us/ Abso...
by Valuethinker
Thu Jun 22, 2017 7:42 am
Forum: Investing - Theory, News & General
Topic: Replacing bonds with actively managed real estate
Replies: 16
Views: 945

Re: Replacing bonds with actively managed real estate

+1 History may not repeat exactly, but it may rhyme: Underwriting of loans continues to deteriorate, with more and more accommodations being made around Debt to Income ("adjustments" for student loans), down payments of 0%-3%, and in the most recent news, Fannie and Freddie not requiring ...
by Valuethinker
Thu Jun 22, 2017 7:40 am
Forum: Personal Consumer Issues
Topic: is luxury car a smarter purchase?
Replies: 89
Views: 4813

Re: is luxury car a smarter purchase?

Until $10,000 self-driving cars are available, there is not concern. That's decades off. And if they outlawed manual driving cars without phasing them out, where would we put them? America's next big business would be scrap yards. Since the update of the OP, I think the answer to the initial questi...
by Valuethinker
Thu Jun 22, 2017 7:36 am
Forum: Personal Consumer Issues
Topic: is luxury car a smarter purchase?
Replies: 89
Views: 4813

Re: is luxury car a smarter purchase?

Today, buying any car other than a self-driving car(Tesla?) is not a smart purchase. There is a revolution coming in the automobile world. Few more years, and all current car ownerships and insurance models will be history. Balderdash. Maybe in a few decades, but in a few years they will still be i...
by Valuethinker
Thu Jun 22, 2017 5:29 am
Forum: Investing - Theory, News & General
Topic: Replacing bonds with actively managed real estate
Replies: 16
Views: 945

Re: Replacing bonds with actively managed real estate

Has the real estate crash been so long ago that we now say real estate is as safe as bonds? I personally don't think lightening strikes twice, so I don't think the next bubble will be from real estate. Actually it will. If you count Sydney Melbourne Auckland Toronto Vancouver (Hong Kong probably bu...
by Valuethinker
Thu Jun 22, 2017 5:22 am
Forum: Investing - Theory, News & General
Topic: Argentina issuing 100-year bond.
Replies: 39
Views: 3127

Re: Argentina issuing 100-year bond.

Argentina has a history of defaulting on it's debt obligations. It's defaulted several times in the past 200 years. I vaguely recall the last time being around 1999 (please correct me if I'm wrong). I can't believe anyone (person, corporate, pension, etc) in his right mind would buy this debt with ...
by Valuethinker
Thu Jun 22, 2017 5:18 am
Forum: Investing - Theory, News & General
Topic: International's Correlation to Energy (A Real Thing? Ended? Why?)
Replies: 8
Views: 567

Re: International's Correlation to Energy (A Real Thing? Ended? Why?)

Thanks, Valuethinker. From what I can tell, the relationship between the price of oil and the US dollar reversed (previously a strong negative correlation) when JASTA was enacted late-Sept last year, so they've been moving pretty much in the same direction since then. The change in value of ex-US s...
by Valuethinker
Thu Jun 22, 2017 5:12 am
Forum: Investing - Theory, News & General
Topic: Irregularity of REIT ETF Dividends
Replies: 5
Views: 489

Re: Irregularity of REIT ETF Dividends

Thoughts: They are supposed to give you a high percentage of the "profits" in dividends. I am thinking that they need to work out the math and maybe had a bad quarter. Rules vary, but roughly speaking REITs have to pay out 90% of their earnings in dividends-- that's why the taxation autho...
by Valuethinker
Thu Jun 22, 2017 5:11 am
Forum: Investing - Theory, News & General
Topic: Irregularity of REIT ETF Dividends
Replies: 5
Views: 489

Re: Irregularity of REIT ETF Dividends

I own VNQI, Vanguard's ex-US REIT ETF. I notice that dividend payments are quarterly...but that sometimes they skip a quarter (or two). In 2015 and 2106 they paid a dividend in March, June, Sept, and Dec. But this year there was no March dividend. Any thoughts as to why the irregularity? I totally ...
by Valuethinker
Wed Jun 21, 2017 4:15 pm
Forum: Investing - Theory, News & General
Topic: Argentina issuing 100-year bond.
Replies: 39
Views: 3127

Re: Argentina issuing 100-year bond.

I can't believe anyone (person, corporate, pension, etc) in his right mind would buy this debt with a 100 year duration and yielding less than 8%. I think it should be more like 18%. But this is the world we live in. There are trillions of dollars chasing yield, even low grade yield like this. Mayb...
by Valuethinker
Wed Jun 21, 2017 4:12 pm
Forum: Investing - Theory, News & General
Topic: Argentina issuing 100-year bond.
Replies: 39
Views: 3127

Re: Argentina issuing 100-year bond.

https://www.bloomberg.com/news/articles/2017-06-19/argentina-plans-to-sell-first-100-year-bond-as-soon-as-monday Citigroup Inc. and HSBC Holdings Plc managed the sale. Yields on Argentine government notes rose, with the average spread over U.S. Treasuries widening 6 basis points to 4.12 percentage p...
by Valuethinker
Wed Jun 21, 2017 4:08 pm
Forum: Investing - Theory, News & General
Topic: Replacing bonds with actively managed real estate
Replies: 16
Views: 945

Re: Replacing bonds with actively managed real estate

I have an 80/20 allocation, with the bond portion split between FLBAX (long-term) and FSITX (broad quality bond index). I'm considering replacing it with real estate, for the following reasons: - Return on bonds seems dismal. Confirmed opinion from other bogleheads I've read here, and famously Buff...
by Valuethinker
Wed Jun 21, 2017 4:04 pm
Forum: Investing - Theory, News & General
Topic: Argentina issuing 100-year bond.
Replies: 39
Views: 3127

Re: Argentina issuing 100-year bond.

No it's aimed at international investors AFAIK. Argentines (middle class ones) keep apartments in Miami (or Toronto) and money in American or Uruguayan (or perhaps Panamanian) bank accounts. *They* have too much exposure to the Argentine government as it is. I don't find this argument convincing. I...
by Valuethinker
Wed Jun 21, 2017 4:03 pm
Forum: Investing - Theory, News & General
Topic: Argentina issuing 100-year bond.
Replies: 39
Views: 3127

Re: Argentina issuing 100-year bond.

Consols (perpetuities or perpetual bonds with no maturity date) were issued in Britain beginning in the 1700s. They continued to be issued as late as WWI. The British authorities redeemed the last of the outstanding consols in 2015. The UK has also more recently (2005 from memory) issued 50 year bo...
by Valuethinker
Wed Jun 21, 2017 3:47 pm
Forum: Investing - Theory, News & General
Topic: Argentina issuing 100-year bond.
Replies: 39
Views: 3127

Re: Argentina issuing 100-year bond.

I can't believe anyone (person, corporate, pension, etc) in his right mind would buy this debt with a 100 year duration and yielding less than 8%. I think it should be more like 18%. But this is the world we live in. There are trillions of dollars chasing yield, even low grade yield like this. Mayb...
by Valuethinker
Wed Jun 21, 2017 3:44 pm
Forum: Investing - Theory, News & General
Topic: Argentina issuing 100-year bond.
Replies: 39
Views: 3127

Re: Argentina issuing 100-year bond.

It not just the bond rate, you need to consider Argentina's currency. Argentina has been literally printing money to pay its bills. Even if you could get your money back before they default, you would get it back in Argentina's pesos, which would be worth much less than when you bought the bond. Ge...
by Valuethinker
Wed Jun 21, 2017 3:41 pm
Forum: Investing - Theory, News & General
Topic: Argentina issuing 100-year bond.
Replies: 39
Views: 3127

Re: Argentina issuing 100-year bond.

Consols (perpetuities or perpetual bonds with no maturity date) were issued in Britain beginning in the 1700s. They continued to be issued as late as WWI. The British authorities redeemed the last of the outstanding consols in 2015. From memory, and I'd to go back and read, in the 1930s the British...
by Valuethinker
Wed Jun 21, 2017 12:17 pm
Forum: Personal Finance (Not Investing)
Topic: Co-workers advising to buy house RIGHT NOW
Replies: 57
Views: 4377

Re: Co-workers advising to buy house RIGHT NOW

Atleast 3 co-workers have advised me in last week to buy house right now. They say home prices are only going to go up and up in this area. Every party i go to, frequent topic is "oh i should have bought 2 or 3 houses instead of just 1". These events are worrying me enough that we are dri...
by Valuethinker
Wed Jun 21, 2017 12:15 pm
Forum: Personal Finance (Not Investing)
Topic: Co-workers advising to buy house RIGHT NOW
Replies: 57
Views: 4377

Re: Co-workers advising to buy house RIGHT NOW

Last time I heard people talking like that was right before the housing crash beginning in 2006. And at the top of the dot com bubble of tech stocks. I don't know if it is true or not but supposedly one of the big investors in the 1920's was able to avoid the stock market crash in 1929 when he sold...
by Valuethinker
Wed Jun 21, 2017 12:12 pm
Forum: Investing - Help with Personal Investments
Topic: Unsure where to start with 401k choices
Replies: 12
Views: 542

Re: Unsure where to start with 401k choices

Hi Bogleheads, I'm trying to help out a family member with sorting through her 401k choices. I think I've converted her to the idea of a three fund portfolio and would like some input on the best options out of the list below. I know the ERs aren't the best with the exception of that one lonely Van...
by Valuethinker
Wed Jun 21, 2017 12:09 pm
Forum: Investing - Theory, News & General
Topic: Argentina issuing 100-year bond.
Replies: 39
Views: 3127

Re: Argentina issuing 100-year bond.

Argentina has a history of defaulting on it's debt obligations. It's defaulted several times in the past 200 years. I vaguely recall the last time being around 1999 (please correct me if I'm wrong). I can't believe anyone (person, corporate, pension, etc) in his right mind would buy this debt with ...
by Valuethinker
Wed Jun 21, 2017 12:07 pm
Forum: Investing - Help with Personal Investments
Topic: [UK expat] sanity check first portfolio
Replies: 4
Views: 319

Re: [UK expat] sanity check first portfolio

Ted Swippet and ValueThinker, many thanks. Your replies are informative and much appreciated. I have some follow-up questions. You mention not to forget emerging markets. According to the prospectus, VWRL/VWRD has about 8% in emerging markets, which I guess is the global ratio. What that fund does ...
by Valuethinker
Wed Jun 21, 2017 8:41 am
Forum: Investing - Theory, News & General
Topic: TREA/TIAA Real Estate - is investing without planning to "market time" ok?
Replies: 79
Views: 3715

Re: TREA/TIAA Real Estate - is investing without planning to "market time" ok?

...I read it that the advisor has no understanding of the question. It's not in TIAA's interest to explain to its advisors that there is a structural flaw in the fund... I'm pretty sure it's more than that. I dare say TIAA advisors have been INSTRUCTED by the home office not to engage clients in ma...
by Valuethinker
Wed Jun 21, 2017 7:22 am
Forum: Investing - Theory, News & General
Topic: TREA/TIAA Real Estate - is investing without planning to "market time" ok?
Replies: 79
Views: 3715

Re: TREA/TIAA Real Estate - is investing without planning to "market time" ok?

I don't understand the response. Certainly TIAA has made specific changes to address timing, such as the more frequent evaluations and increased restrictions on moving funds between investments. You can argue that those might be less effective than desired in the case of a 2008 repeat, but really, ...
by Valuethinker
Wed Jun 21, 2017 7:18 am
Forum: Investing - Theory, News & General
Topic: Amazon Buys Whole Foods
Replies: 93
Views: 8782

Re: Amazon Buys Whole Foods

Supermarket industry is changing radically...and quickly. Here in Indiana, two medium sized independents are gone....Marsh in Central Indiana and Stracks/Ultra/Town and Country in NW Indiana. A large co-op owned by independents in Chicago (Central Grocers - Centrella brand) is bankrupt and closed. ...
by Valuethinker
Wed Jun 21, 2017 7:12 am
Forum: Investing - Theory, News & General
Topic: Amazon Buys Whole Foods
Replies: 93
Views: 8782

Re: Amazon Buys Whole Foods

It will be interesting to see what Amazon does with Whole Food. I don't see it working where I live. There is just too much competition among different grocery stores. Fresh and Easy found that out. I see a closed former Fresh and Easy Store locally: https://en.wikipedia.org/wiki/Fresh_%26_Easy Fre...
by Valuethinker
Tue Jun 20, 2017 8:04 am
Forum: Investing - Theory, News & General
Topic: Amazon Buys Whole Foods
Replies: 93
Views: 8782

Re: Amazon Buys Whole Foods

Anyone have a guess who the other suitor is for Whole Foods? The market annalists think the price offered by Amazon is too low for Whole Foods and that one or two other big players will step in and bid for the company at a higher price. The Board will have appointed bankers to solicit offers. I am ...
by Valuethinker
Tue Jun 20, 2017 8:03 am
Forum: Investing - Theory, News & General
Topic: Amazon Buys Whole Foods
Replies: 93
Views: 8782

Re: Amazon Buys Whole Foods

Comes the economic crisis, and real family incomes are under pressure, and lo-and-behold, Aldi and Lidl started making double digit same store sales numbers. Turns out the average shopper doesn't need 10 types of crisps (potato chips) they are happy with one, at a 30% lower price. The UK is the lar...
by Valuethinker
Tue Jun 20, 2017 7:53 am
Forum: Investing - Help with Personal Investments
Topic: European lazy portfolio
Replies: 10
Views: 673

Re: European lazy portfolio

Hi everyone, I'm a contractor, doing software development in The Netherlands. So far, I've been paying off my mortgage, however I don't like putting all my money into the house. For me personally, the whole contracting thing is stress enough -- I'm looking for a safe portfolio. Which protects again...
by Valuethinker
Tue Jun 20, 2017 7:47 am
Forum: Investing - Help with Personal Investments
Topic: European lazy portfolio
Replies: 10
Views: 673

Re: European lazy portfolio

"Safe", "protects against inflation", "growth not so important", "lazy". It seems to me you have just described TIPS. Inflation Linked bonds (Real Return Bonds) are a relative rarity in Europe. Depending on your tax code, they can also cause you hairy tax pro...
by Valuethinker
Tue Jun 20, 2017 5:39 am
Forum: Investing - Theory, News & General
Topic: International's Correlation to Energy (A Real Thing? Ended? Why?)
Replies: 8
Views: 567

Re: International's Correlation to Energy (A Real Thing? Ended? Why?)

I just noticed that international and emerging markets index funds appear to have had a strong correlation with energy stocks (only looking at VGTSX, VEIEX, and VGENX) for about a decade, and that seems to have ended as of late Dec 2016. http://www.nasdaq.com/aspx/mutual-fund-chart.aspx?timeframe=1...
by Valuethinker
Mon Jun 19, 2017 3:31 pm
Forum: Personal Finance (Not Investing)
Topic: Bonus, in bitcoin
Replies: 21
Views: 1794

Re: Bonus, in bitcoin

Spouse is receiving a bonus paid in units of a cryptocurrency. Company "may" be paying the taxes on the bonus. What are the questions I need to get answered, as the finance person in the house? I am already asking: How are they reporting the bonus to IRS -- W2? In units of dollars (would ...
by Valuethinker
Mon Jun 19, 2017 12:14 pm
Forum: Personal Consumer Issues
Topic: BMW X5 2017 - Seeking advice
Replies: 40
Views: 2974

Re: BMW X5 2017 - Seeking advice

[edited]
by Valuethinker
Mon Jun 19, 2017 12:08 pm
Forum: Investing - Theory, News & General
Topic: Amazon Buys Whole Foods
Replies: 93
Views: 8782

Re: Amazon Buys Whole Foods

In some ways the UK grocery market is ahead of the US one - online shopping etc. Also when WalMart bought Asda, they said they learned a lot about own label. S o take warning from the UK. The problem is not what Amazon does with Whole Foods, the problem is what Aldi and Lidl do (I gather you have b...
by Valuethinker
Mon Jun 19, 2017 3:23 am
Forum: Investing - Theory, News & General
Topic: Moving to SF Bay Area, Considering REITs for investments
Replies: 12
Views: 1438

Re: Moving to SF Bay Area, Considering REITs for investments

I wanted to see if maybe there is an investment equivalent that I can used to diversify my portfolio like the Vanguard REIT. I would like to know how many of you may have invested in REITs in place of actually owning real estate. Are REITs a good idea for someone that wants to benefit from the stab...
by Valuethinker
Mon Jun 19, 2017 3:15 am
Forum: Investing - Theory, News & General
Topic: Is Inflation Dying of Old Age?
Replies: 82
Views: 6651

Re: Is Inflation Dying of Old Age?

NICE puts a value on 1 year of quality life extension of £30k (about USD 50k). That sounds cold, but NICE is globally admired. The actual NICE evaluations are done by committees that include medical people, medical ethicists/ philosophers, economists. It sounds cold because it is cold. I do not adm...

Go to advanced search