Search found 204 matches

by acanthurus
Mon Aug 21, 2017 3:46 pm
Forum: Investing - Theory, News & General
Topic: New Schwab U.S. Aggregate Bond ETF (SCHZ)
Replies: 35
Views: 6387

Re: New Schwab U.S. Aggregate Bond ETF (SCHZ) & SWAGX

In looking at SWAGX ....this seems to be tracking somewhat below the index? Can anyone shed some light on that? https://s30.postimg.org/mcctt4yc1/image.jpg Maybe SCHZ (ETF) is the preferred route for many? It just tracked badly in February as it was new and getting going. Move the start date to 3/2...
by acanthurus
Mon Aug 21, 2017 12:38 pm
Forum: Investing - Theory, News & General
Topic: New Schwab U.S. Aggregate Bond ETF (SCHZ)
Replies: 35
Views: 6387

Re: New Schwab U.S. Aggregate Bond ETF (SCHZ) & SWAGX

In looking at SWAGX ....this seems to be tracking somewhat below the index? Can anyone shed some light on that? https://s30.postimg.org/mcctt4yc1/image.jpg Maybe SCHZ (ETF) is the preferred route for many? It just tracked badly in February as it was new and getting going. Move the start date to 3/2...
by acanthurus
Sat Aug 19, 2017 2:40 pm
Forum: Personal Consumer Issues
Topic: Help with overanalyzing purchases
Replies: 17
Views: 1184

Re: Help with overanalyzing purchases

I've been able to get over financial anxiety and feel financially secure, but I still want to be resourceful and make wise purchases. That often leads to over-analysis and wasted time. My expensive hobbies are increases which I'm fine with, but can be tough to assess how to best spend the $. Any ti...
by acanthurus
Wed Aug 16, 2017 11:51 am
Forum: Investing - Help with Personal Investments
Topic: Did I create a taxable event?
Replies: 2
Views: 329

Re: Did I create a taxable event?

You are fine. No taxable event. The settlement fund is just a place where the sale proceeds get placed temporarily within the Roth brokerage account. The money never left the Roth account.
by acanthurus
Mon Aug 14, 2017 12:08 pm
Forum: Investing - Help with Personal Investments
Topic: Taxable account at Vanguard or Fidelity.
Replies: 9
Views: 873

Re: Taxable account at Vanguard or Fidelity.

You could also transfer Investor Class shares, but then you'd be subject to the higher ER, and the $49.95 trading fee at Fidelity when you go to sell. I believe the Fidelity 49.95 charge is for new fund purchases only. Selling should be free, and additional share purchases for an existing fund you ...
by acanthurus
Sat Aug 12, 2017 1:38 pm
Forum: Investing - Theory, News & General
Topic: Options as a Tax Loss Harvesting Tool
Replies: 16
Views: 1220

Re: Options as a Tax Loss Harvesting Tool

It definitely looks like this can get very complicated with the more permutations of the equity & the equity option & the index option being considered. So far we've been addressing calls without addressing expensive deep in the money puts vs using the cheap call, and we haven't gotten into implicat...
by acanthurus
Sat Aug 12, 2017 12:51 pm
Forum: Investing - Theory, News & General
Topic: Options as a Tax Loss Harvesting Tool
Replies: 16
Views: 1220

Re: Options as a Tax Loss Harvesting Tool

The NASDAQ article in my original post seems to indicate (in the section under "Harvesting ETF Losses") that an index ETF such as SPY and an option on the index itself such as SPX would create a wash sale. But I'm not a tax guy either so.... :?
by acanthurus
Sat Aug 12, 2017 12:57 am
Forum: Personal Consumer Issues
Topic: Upgrade car suspension or wait few more years
Replies: 17
Views: 1282

Re: Upgrade car suspension or wait few more years

If it passes a bounce test and you can't see any oil leaking from the shocks on visual inspection, it's probably still safe. If it fails a bounce test and/or you see oil leaking, you should replace them.
by acanthurus
Fri Aug 11, 2017 12:54 pm
Forum: Investing - Theory, News & General
Topic: Options as a Tax Loss Harvesting Tool
Replies: 16
Views: 1220

Re: Options as a Tax Loss Harvesting Tool

1) The purchase of the buy option creates the wash sale and the cost basis of the option is adjusted upwards. If the option expires you get the lost. If you exercise the option the cost of the shares is increased by the previous lost. Yep, that's the idea. The option is almost always going to be so...
by acanthurus
Thu Aug 10, 2017 4:55 pm
Forum: Investing - Theory, News & General
Topic: Options as a Tax Loss Harvesting Tool
Replies: 16
Views: 1220

Re: Options as a Tax Loss Harvesting Tool

Doesn't work. The IRS has remained mute on what substantially identical is when mutual funds are involved. Not the same with stocks. There are published "rules". The sale of a stock and an option to buy the same stock are substantially identical. See for example http://fairmark.com/capgain/wash/wso...
by acanthurus
Wed Aug 09, 2017 9:08 pm
Forum: Investing - Theory, News & General
Topic: Rebalancing with Account Restrictions
Replies: 5
Views: 621

Re: Rebalancing with Account Restrictions

I think most people do it annually or quarterly, depending on how closely they watch their portfolio. Usually the market is not so volatile as to require more than quarterly rebalancing. If you're interested in seeing the effects of monthly vs. quarterly vs. annual rebalancing on your own portfolio ...
by acanthurus
Wed Aug 09, 2017 8:59 pm
Forum: Investing - Theory, News & General
Topic: Options as a Tax Loss Harvesting Tool
Replies: 16
Views: 1220

Options as a Tax Loss Harvesting Tool

I only recently became aware of the wash sale avoidance strategy described in the following links. Since tax loss harvesting seems to be a popular topic, and since options are not frequently discussed here, I thought this might be of interest to some. The general idea is to sell your stock/index ETF...
by acanthurus
Mon Aug 07, 2017 11:47 pm
Forum: Investing - Theory, News & General
Topic: Final word: Bonds in Tax-Deferred or Taxable?
Replies: 10
Views: 1055

Re: Final word: Bonds in Tax-Deferred or Taxable?

I would think this is a question that anyone who has done their own taxes and who owns a calculator could answer. There doesn't need to be a one-size-fits-all solution. And it could change year-to-year depending on your income - I could very easily see an early retiree opting for taxable bonds in a ...
by acanthurus
Mon Aug 07, 2017 11:25 pm
Forum: Personal Consumer Issues
Topic: Drinking water price craziness
Replies: 80
Views: 7161

Re: Drinking water price craziness

The pH of distilled, deionized, or reverse osmosis water is of no real importance. There is virtually nothing in the water except for a trace amount of carbonic acid, formed when the water came into contact a little bit of CO2 in the air. Because the filtering process removed all the buffering agent...
by acanthurus
Thu Aug 03, 2017 11:47 am
Forum: Local Chapters and Bogleheads Community
Topic: Your USER NAME...what does it mean?
Replies: 369
Views: 28951

Re: Your USER NAME...what does it mean?

It is the genus name for a particular genera of saltwater fish. Technically I should have capitalized it I guess... Hello fellow aquatically inspired username person :) I limit my fish keeping skills to the complexity level of African rift lake cichlids or medium-light-level planted tanks though. I...
by acanthurus
Thu Aug 03, 2017 10:51 am
Forum: Local Chapters and Bogleheads Community
Topic: Your USER NAME...what does it mean?
Replies: 369
Views: 28951

Re: Your USER NAME...what does it mean?

It is the genus name for a particular genera of saltwater fish. Technically I should have capitalized it I guess...
by acanthurus
Thu Aug 03, 2017 9:01 am
Forum: Investing - Theory, News & General
Topic: Swedroe: Volatility As A Strategy
Replies: 56
Views: 4646

Re: Swedroe: Volatility As A Strategy

http://www.etf.com/sections/index-investor-corner/swedroe-volatility-strategy In this article Larry describes investing in the sale of volatility insurance. It turns out that in diverse markets (equities, bonds, currencies, commodities) realized volatility most often is less than expected volatilit...
by acanthurus
Thu Aug 03, 2017 8:29 am
Forum: Investing - Theory, News & General
Topic: Swedroe: Volatility As A Strategy
Replies: 56
Views: 4646

Re: Swedroe: Volatility As A Strategy

As I mentioned, I'm on the opposite side of this trade. I think we are seeing the birth of a new asset class (volatility) with derivatives over the next several decades becoming a mainstream investment. So I mostly agree with Larry. Also the annual return from short volatility is 8%. Which makes se...
by acanthurus
Thu Aug 03, 2017 7:38 am
Forum: Personal Consumer Issues
Topic: Best "investment tip" I have gotten from Bogleheads
Replies: 44
Views: 6032

Re: Best "investment tip" I have gotten from Bogleheads

As a card-carrying economist, I construe the word "investment" more broadly than most folks, and it therefore hit me today that the suggestion to acquire an Instant Pot (electronic pressure cooker) , something that never would have occurred to me had I not seen enthusiastic endorsement here, has a ...
by acanthurus
Thu Aug 03, 2017 7:26 am
Forum: Investing - Theory, News & General
Topic: Swedroe: Volatility As A Strategy
Replies: 56
Views: 4646

Re: Swedroe: Volatility As A Strategy

As I mentioned, I'm on the opposite side of this trade. I think we are seeing the birth of a new asset class (volatility) with derivatives over the next several decades becoming a mainstream investment. So I mostly agree with Larry. Also the annual return from short volatility is 8%. Which makes se...
by acanthurus
Wed Aug 02, 2017 2:11 pm
Forum: Investing - Theory, News & General
Topic: Greenspan: Look Out When Bonds Pop
Replies: 58
Views: 8205

Re: Greenspan: Look Out When Bonds Pop

There are tremendous risks. Low interest rates imply low returns on unleveraged investments. The price of investment rises to a level where their returns are slightly higher than those of low risk investments. For example the credit risk premium on junk bonds is normally about 3%. Since investors a...
by acanthurus
Thu Jul 27, 2017 8:54 pm
Forum: Investing - Help with Personal Investments
Topic: Inherited stocks
Replies: 6
Views: 518

Re: Inherited stocks

Agree re: more information needed. Could you provide a list of the stocks with your stepped up basis and your effective tax rate? In any case, if you intend to sell then call up a brokerage and ask for free trades for moving $125k over to them via ACATS transfer. Fidelity is offering 200 free trades...
by acanthurus
Thu Jul 27, 2017 2:23 pm
Forum: Investing - Theory, News & General
Topic: Anybody with substantial gains in FANG stocks ?
Replies: 22
Views: 1984

Re: Anybody with substantial gains in FANG stocks ?

+470% in a taxable account on AAPL since 2008. Every time it hits up against my 5% single holding limit I sell 1/3. I've done that twice already. At this point I'm playing with the house's money.
by acanthurus
Wed Jul 26, 2017 3:58 pm
Forum: Investing - Help with Personal Investments
Topic: What is the portfolio role of a leveraged bond fund like PONDX?
Replies: 44
Views: 1792

Re: What is the portfolio role of a leveraged bond fund like PONDX?

Risk parity portfolios usually include more asset classes than stocks or bonds. I have no opinion on if it's better than a three fund portfolio. I just like learning about different investing strategies. Ray Dalio is a good person to listen to/read about if you're interested in this stuff. I have n...
by acanthurus
Wed Jul 26, 2017 2:58 pm
Forum: Investing - Help with Personal Investments
Topic: What is the portfolio role of a leveraged bond fund like PONDX?
Replies: 44
Views: 1792

Re: What is the portfolio role of a leveraged bond fund like PONDX?

Let's hate something we don't understand. There is a lot of that in the world these days. Here is something you might be able to wrap your head around: a Sharp Ratio 2.07. That is pretty high meaning it delivers a lot of return for the risk. I very much agree with you about the negative comments re...
by acanthurus
Wed Jul 26, 2017 2:52 pm
Forum: Investing - Help with Personal Investments
Topic: What is the portfolio role of a leveraged bond fund like PONDX?
Replies: 44
Views: 1792

Re: What is the portfolio role of a leveraged bond fund like PONDX?

If you want to understand why someone would lever up on bonds, look into Risk Parity portfolios. Leveraging up on an asset class like bonds usually accompanies decreasing your stock exposure. The total risk-adjusted return of the portfolio over long periods of time can be higher. Can you provide a ...
by acanthurus
Wed Jul 26, 2017 2:31 pm
Forum: Investing - Help with Personal Investments
Topic: What is the portfolio role of a leveraged bond fund like PONDX?
Replies: 44
Views: 1792

Re: What is the portfolio role of a leveraged bond fund like PONDX?

But what is the role of a leveraged bond fund like PONDX in a portfolio? I mean sure you get great returns (for now) but it has some equity-like risk so it's no free lunch. I understand the basics of asset allocation. Certainly this type of fund does not fill the roll of a total bond fund due to th...
by acanthurus
Tue Jul 25, 2017 11:43 pm
Forum: Investing - Theory, News & General
Topic: Are bitcoins nonsense?
Replies: 73
Views: 4543

Re: Are bitcoins nonsense?

I use mine to buy tulips.
by acanthurus
Tue Jul 25, 2017 2:00 pm
Forum: Investing - Help with Personal Investments
Topic: Low risk return over 2.8%? Suggestions?
Replies: 18
Views: 1838

Re: Low risk return over 2.8%? Suggestions?

Risk is return. If the market is discounting the cash flows of an asset such that it's yielding substantially more, there is probably a very good reason for it.
by acanthurus
Tue Jul 25, 2017 1:57 pm
Forum: Investing - Theory, News & General
Topic: John Bogle Has Been Right About Investing In International Stocks
Replies: 505
Views: 31811

Re: John Bogle Has Been Right About Investing In International Stocks

Of course, this post, all my posts preceding it, and all my posts that follow, are merely my opinions. I've been following this thread but staying clear of participating until now. I think you are making very pointed, clearly delineated, and apropos criticisms of the original post. I think people a...
by acanthurus
Sun Jul 23, 2017 1:55 pm
Forum: Personal Finance (Not Investing)
Topic: Investing Education and Mansplaining
Replies: 128
Views: 8020

Re: Investing Education and Mansplaining

One of the most difficult lessons I learned in my twenties was that it wasn't what I thought that mattered, it was how I thought that mattered. If I let the immaterial aspects of the presentation of an idea or an argument dissuade me from considering its merits, I am only doing myself a disservice. ...
by acanthurus
Sat Jul 22, 2017 10:48 am
Forum: Personal Consumer Issues
Topic: Netflix, Your Current Favorite Show
Replies: 202
Views: 23670

Re: Netflix, Your Current Favorite Show

1) Million Dollar Baby was absolutely amazing. Best Eastwood film of the modern era IMO.

2) Twin Peaks - How have I never seen this before? Fantastically weird and entertaining.
by acanthurus
Fri Jul 21, 2017 4:50 pm
Forum: Investing - Help with Personal Investments
Topic: Best Short Term, Liquid Investments
Replies: 28
Views: 4000

Re: Best Short Term, Liquid Investments

Reaching out in duration for extra yield seems to give outsized risk for the return it provides in recent history. VSCSX has provided significantly better risk-adjusted returns against a total market bond fund since it's inception in 2010. If the credit quality doesn't bother you I don't know if the...
by acanthurus
Thu Jul 20, 2017 10:35 pm
Forum: Investing - Help with Personal Investments
Topic: Unwise to contribute to the same equity index fund in both taxable and IRA account? [Preparing for TLH]
Replies: 17
Views: 1415

Re: Unwise to contribute to the same index fund in both taxable and IRA account? [Preparing for TLH]

You could use a third fund in the IRA accounts like Vanguard Large Cap Index to completely avoid any wash sale issues, now or in the future. It charges 6bps and covers slightly more of the market than the S&P500 index.

https://personal.vanguard.com/us/funds/ ... IntExt=INT
by acanthurus
Wed Jul 19, 2017 11:54 am
Forum: Investing - Help with Personal Investments
Topic: Buying the "three" Vanguard funds through Fidelity???
Replies: 10
Views: 968

Re: Buying the "three" Vanguard funds through Fidelity???

You will typically not have access to the lower cost admiral share versions through other brokerages. So Vanguard will charge you a slightly higher expense ratio if you hold their funds elsewhere, and you'll typically have to pay a $75 sales charge when you buy. If you want Vanguard mutual funds, it...
by acanthurus
Wed Jul 19, 2017 11:05 am
Forum: Investing - Help with Personal Investments
Topic: Simple Real Time Spreadsheet for Allocation %?
Replies: 14
Views: 664

Re: Simple Real Time Spreadsheet for Allocation %?

Google Sheets has this built in. Just type in =GOOGLEFINANCE(AAPL,"price") into a cell to get the 20-minute delayed price of Apple for example.
by acanthurus
Tue Jul 18, 2017 8:04 pm
Forum: Personal Consumer Issues
Topic: Books not to read.
Replies: 155
Views: 11999

Re: Books not to read.

The Millionaire Next Door by Stanley and Danko. Victoria May I ask why this one is not recommended? I am not Victoria, but "survivor bias" is a very common (and valid) criticism of the book. I just finished "Fooled by Randomness" by Taleb and he mentions this book in particular ...
by acanthurus
Tue Jul 18, 2017 11:05 am
Forum: Personal Finance (Not Investing)
Topic: Fidelity interest rates
Replies: 20
Views: 2169

Re: Fidelity interest rates

Can you buy brokered CDs at Fidelity? You can get 1.3% on a 3-month CD from some banks via your brokerage account if you don't mind tying the money up for a bit. If this is for an e-fund you could ladder out at 3,6,9 months and get an average 1.4% FDIC insured. For some reason brokered CD rates are ...
by acanthurus
Tue Jul 18, 2017 2:49 am
Forum: Investing - Help with Personal Investments
Topic: Selling Wife's Equal Sector Weight ETF - any landmines I'm missing?
Replies: 10
Views: 766

Re: Selling Wife's Equal Sector Weight ETF - any landmines I'm missing?

in_reality wrote:What is EQL doing differently such that it doesn't behave like other funds that load on small value?

It's equal sector weight, but cap weighted within each sector, so it won't show nearly as much mid/small cap tilt as RSP equal weight indexes.
http://www.alpsfunds.com/overview/EQL
by acanthurus
Sun Jul 16, 2017 1:00 pm
Forum: Investing - Help with Personal Investments
Topic: Index funds vs ETFs with leverage [Netherlands]
Replies: 3
Views: 183

Re: Index funds vs ETFs with leverage [Netherlands]

On this forum and many others there are warnings about the dangers of investor leverage. I don't know where this 100:1 leverage comes from? I can't really say much more than to say: don't do this. The volatility of markets will wipe out leveraged investors on the downside. Even if markets go up in ...
by acanthurus
Sun Jul 16, 2017 12:39 am
Forum: Investing - Theory, News & General
Topic: Is the Total US Stock Market too concentrated?
Replies: 51
Views: 4026

Re: Is the Total US Stock Market too concentrated?

Nate79 wrote:Vanguard's TSM holds over 3500 different stocks. How many different stocks would be good enough for you?

The absolute number of stocks is a bad metric for diversification in a cap weighted index.
by acanthurus
Sat Jul 15, 2017 7:32 pm
Forum: Investing - Theory, News & General
Topic: Market vs Limit order
Replies: 50
Views: 3497

Re: Market vs Limit order

This is a good question. According to Fido's website: VTI Friday close = $126.23 bid = $125.25 ask = $126.50 Does this mean that the very last transaction had a sell price of $126.23? If I had put in a market order for a single share at the last moment (after that last guy paid $126.23), would I ha...
by acanthurus
Fri Jul 14, 2017 11:00 pm
Forum: Investing - Help with Personal Investments
Topic: After moving from Ameriprise to Vanguard
Replies: 11
Views: 1129

Re: After moving from Ameriprise to Vanguard

My experience was that I had to have my assets in a money market account before the transfer if I wanted it directly available in my brokerage sweep account after. It sounds like you'll have to submit sales orders now at Vanguard. Hopefully that won't cost you anything but be sure to look at fees ch...
by acanthurus
Fri Jul 14, 2017 10:29 pm
Forum: Personal Consumer Issues
Topic: To buy or not to buy... [a new car]
Replies: 43
Views: 3887

Re: To buy or not to buy...

The entire sedan segment is on sale right now due to poor sales. Hyundai has up to $6750 off the current Sonata. The large four door sedan market might get even worse, so who knows what deals could be had in a year.
by acanthurus
Fri Jul 14, 2017 2:35 pm
Forum: Investing - Help with Personal Investments
Topic: What do do with $30-$50 "leftover" money in IRA accounts?
Replies: 8
Views: 671

Re: What do do with $30-$50 "leftover" money in IRA accounts?

Get approved for a cash secured options account level (usually "level 1" at most brokerages w/o margin approval) in your IRA. Buy some ATM or just barely OTM naked calls a week or two out on something like SPY, TLT, LQD, GLD, whatever you want to gamble on. You'll either solve your problem...
by acanthurus
Fri Jul 14, 2017 2:27 pm
Forum: Investing - Help with Personal Investments
Topic: Why "Exchange" Funds Instead of "Sell" Funds?
Replies: 12
Views: 1037

Re: Why "Exchange" Funds Instead of "Sell" Funds?

I accidentally did a "sell" recently instead of an exchange at Vanguard. I was able to buy into the new fund the next day. The new fund luckily did not change in NAV during the one day I didn't own it, so that part was a wash. The annoying part? I now have a pittance in interest payments i...
by acanthurus
Fri Jul 14, 2017 1:35 pm
Forum: Personal Consumer Issues
Topic: how to destroy hard disk with personal info
Replies: 99
Views: 7559

Re: how to destroy hard disk with personal info

As HDD cases seem to aluminum or plastic, then it must be something ferrous inside that's vibrating. Have never tried to access the HDD afterwards, just assumed it was deleted. They've got a neodymium magnet inside for the voice coil motor that positions the read head, although it's typically prett...
by acanthurus
Fri Jul 14, 2017 10:55 am
Forum: Personal Consumer Issues
Topic: Electronics question [broken monitor]
Replies: 27
Views: 1690

Re: Electronics question [broken monitor]

how much for shipping those $4 capacitors? Digikey will ship up to 1/2 pound via USPS first class mail for $2.41. Given the price of capacitors he may have included shipping in the $4 number There was a lot of fear mongering over some light soldering work in this thread. Electronics hobbyists recap...
by acanthurus
Fri Jul 14, 2017 7:46 am
Forum: Investing - Theory, News & General
Topic: Fascinating Morningstar Article - Mutual Fund Flows
Replies: 25
Views: 2654

Re: Fascinating Morningstar Article - Mutual Fund Flows

pkcrafter is right in that when the big bear strikes then the short sighted hot money that chased returns and good performing fashions in the market and bought the respective index funds and index etf`s with their low expense ratios will panic and sell just like it always has happened in history. T...
by acanthurus
Fri Jul 14, 2017 6:52 am
Forum: Investing - Theory, News & General
Topic: Fascinating Morningstar Article - Mutual Fund Flows
Replies: 25
Views: 2654

Re: Fascinating Morningstar Article - Mutual Fund Flows

Schwab has 2.9T in total client assets. Fidelity 5.4T, Vanguard 4T.

https://www.brokerage-review.com/invest ... b-aum.aspx
https://www.brokerage-review.com/invest ... y-aum.aspx
https://www.brokerage-review.com/invest ... d-aum.aspx

And if you want to see where they make their money:
https://www.sec.gov/Archives/edgar/data ... 17x10q.htm

Publicly traded companies having to disclose things has a lot benefits :)