Search found 114 matches

by bob_m10
Mon Dec 04, 2017 9:05 am
Forum: Investing - Theory, News & General
Topic: 10-Year Treasury Note Index (TNX) (what does it mean)
Replies: 11
Views: 1000

Re: 10-Year Treasury Note Index (TNX) (what does it mean)

It's the yield with the decimal point shifted one place to the right. So, the 10 year yields 2.362. You're setting 23.62 as the quote. Ok and this yield changes daily because of trades? Does this yield set the bench mark or starting point when the Treasurey holds an auction? Thanks Unlike the marke...
by bob_m10
Sat Dec 02, 2017 8:18 pm
Forum: Investing - Theory, News & General
Topic: 10-Year Treasury Note Index (TNX) (what does it mean)
Replies: 11
Views: 1000

Re: 10-Year Treasury Note Index (TNX) (what does it mean)

It's the yield with the decimal point shifted one place to the right. So, the 10 year yields 2.362. You're setting 23.62 as the quote. Ok and this yield changes daily because of trades? Does this yield set the bench mark or starting point when the Treasurey holds an auction? Thanks I'll try to be b...
by bob_m10
Sat Dec 02, 2017 2:50 pm
Forum: Investing - Theory, News & General
Topic: 10-Year Treasury Note Index (TNX) (what does it mean)
Replies: 11
Views: 1000

Re: 10-Year Treasury Note Index (TNX) (what does it mean)

stlutz wrote:
Sat Dec 02, 2017 12:07 pm
It's the yield with the decimal point shifted one place to the right. So, the 10 year yields 2.362. You're setting 23.62 as the quote.
Ok and this yield changes daily because of trades? Does this yield set the bench mark or starting point when the Treasurey holds an auction? Thanks
by bob_m10
Sat Dec 02, 2017 11:44 am
Forum: Investing - Theory, News & General
Topic: 10-Year Treasury Note Index (TNX) (what does it mean)
Replies: 11
Views: 1000

10-Year Treasury Note Index (TNX) (what does it mean)

I am confused about the price of a 10-Year Treasury Note Index (TNX). Why does this price fluctuate when the market is open? I assume this is because of trades like stocks but each note has different coupon rates which presumably would bring different costs? Yesterday the market closed at 26.32, wha...
by bob_m10
Fri Dec 01, 2017 12:28 am
Forum: Investing - Help with Personal Investments
Topic: Balanced fund in Taxable (How bad)
Replies: 10
Views: 1071

Re: Balanced fund in Taxable (How bad)

livesoft wrote:
Thu Nov 30, 2017 8:23 pm
Spreadsheet is already made and available. See this thread: viewtopic.php?t=208818
Perfect.
by bob_m10
Fri Dec 01, 2017 12:27 am
Forum: Investing - Help with Personal Investments
Topic: Balanced fund in Taxable (How bad)
Replies: 10
Views: 1071

Re: Balanced fund in Taxable (How bad)

The problem with a balanced fund is not that the fund is inherently tax-inefficient (if it is an index fund), but that it locks you into its allocation. If you hold LifeStrategy Moderate Growth, and you want to hold fewer bonds, or bonds in a different account, or a different type of bonds, you hav...
by bob_m10
Thu Nov 30, 2017 8:09 pm
Forum: Investing - Help with Personal Investments
Topic: Balanced fund in Taxable (How bad)
Replies: 10
Views: 1071

Balanced fund in Taxable (How bad)

Hi All, The general advice is not to use a balanced fund, like life strategy in a taxable account (25%+ bracket) . Better to use all stocks in taxable and balance with bonds in a tax advantage account. I understand why but I wanted to see actually how bad it would be for me to start a taxable accoun...
by bob_m10
Thu Nov 23, 2017 8:30 am
Forum: Investing - Help with Personal Investments
Topic: Unexpected drop in fund
Replies: 8
Views: 1118

Re: Unexpected drop in fund

One other suggestion. Quit looking at price charts. Start looking at growth charts such as Morningstar's. Here are two charts for your fund, APHMX. https://s8.postimg.org/sqew9mglh/Captura_de_pantalla_2017-11-22_a_la_s_10.27.48_PM.png https://s8.postimg.org/j5v9mn439/Captura_de_pantalla_2017-11-22_...
by bob_m10
Thu Nov 23, 2017 12:47 am
Forum: Investing - Theory, News & General
Topic: Vanguard has switched to brokerage only accounts
Replies: 126
Views: 22053

Re: Vanguard has switched to brokerage only accounts

How do I know if I have a brokerage account? When I log in to my TIRA, I get a white screen which shows total assets and then directly under a link titled My name - Traditional IRS brokerage - Account Number. When I click on the link it takes me almost to another account (different tabs) where I see...
by bob_m10
Sat Nov 11, 2017 2:08 pm
Forum: Investing - Help with Personal Investments
Topic: Is short term tips etf appropriate for part of emergency fund?
Replies: 21
Views: 1559

Re: Is short term tips etf appropriate for part of emergency fund?

TIPS are corrected for inflation by the government adding an increment to the principal to offset inflation. TIPS are also marketable bonds and as such are sensitive to interest rates, losing value when real interest rates go up and vice versa. When TIPS are corrected based on CPI changes I believe...
by bob_m10
Sat Nov 11, 2017 10:29 am
Forum: Investing - Help with Personal Investments
Topic: Is short term tips etf appropriate for part of emergency fund?
Replies: 21
Views: 1559

Re: Is short term tips etf appropriate for part of emergency fund?

TIPS are corrected for inflation by the government adding an increment to the principal to offset inflation. TIPS are also marketable bonds and as such are sensitive to interest rates, losing value when real interest rates go up and vice versa. When TIPS are corrected based on CPI changes I believe...
by bob_m10
Sat Nov 11, 2017 9:36 am
Forum: Investing - Help with Personal Investments
Topic: Is short term tips etf appropriate for part of emergency fund?
Replies: 21
Views: 1559

Re: Is short term tips etf appropriate for part of emergency fund?

TIPS are corrected for inflation by the government adding an increment to the principal to offset inflation. TIPS are also marketable bonds and as such are sensitive to interest rates, losing value when real interest rates go up and vice versa. When TIPS are corrected based on CPI changes I believe...
by bob_m10
Thu Nov 02, 2017 10:34 pm
Forum: Personal Consumer Issues
Topic: Mouse In Apartment
Replies: 55
Views: 6108

Re: Mouse In Apartment

1 seal all openings, around pipes, everywhere. Steel wool. Foam. Etc. 2 buy a large bag of small wood snap traps (springy old fashioned kind). Bait with Jiff peanut butter (sweetest one). Set them near all access points and hiding places. Check and reset daily. Done. I do this several times per yea...
by bob_m10
Thu Nov 02, 2017 11:23 am
Forum: Investing - Help with Personal Investments
Topic: Tax Managed Balanced Fund vs Total Stk Mkt plus Tax Exempt Bond Index
Replies: 28
Views: 2252

Re: Tax Managed Balanced Fund vs Total Stk Mkt plus Tax Exempt Bond Index

1210sda wrote:
Wed Nov 01, 2017 2:40 pm
bob_m10 wrote:
Sun Oct 29, 2017 4:47 pm
More info here:
https://www.bogleheads.org/wiki/Vanguar ... tributions
Thank you Bob. This helps a lot in my decision making.

I couldn't find similar info on VBIAX, the balanced index fund. Do you know if there's any ??

1210
I don't sorry. Bob
by bob_m10
Wed Nov 01, 2017 4:05 pm
Forum: Investing - Help with Personal Investments
Topic: American Funds vs. benchmark on American Funds website?
Replies: 25
Views: 1315

Re: American Funds vs. benchmark on American Funds website?

American Funds are really well-managed funds. The problem is paying the load. There are now share classes (available through advisors) that are no-load and have relatively low expense ratios. We've owned American Funds Balanced (R6) ER.29 in a 401K for 10 years. Has similar performance to Vanguard ...
by bob_m10
Sun Oct 29, 2017 5:14 pm
Forum: Investing - Theory, News & General
Topic: Taxes and capital distributions
Replies: 8
Views: 546

Re: Taxes and capital distributions

Not sure what you mean by "indirectly", but I can't see the relevance of the manager buying shares. If the fund manager sells underlying securities at more than what he paid for them, that's a capital gain. It's irrelevant whether the cash resulting from the sale is stockpiled or used to purchase o...
by bob_m10
Sun Oct 29, 2017 5:08 pm
Forum: Investing - Theory, News & General
Topic: Taxes and capital distributions
Replies: 8
Views: 546

Re: Taxes and capital distributions

oldcomputerguy wrote:
Sun Oct 29, 2017 4:55 pm
That being said, it's worth mentioning that, if the sale of an underlying security results in a capital loss, that loss (unlike the gain) is not distributed to the shareholder, but is held by the fund to offset capital gains.
Interesting info, thanks for including.
by bob_m10
Sun Oct 29, 2017 4:47 pm
Forum: Investing - Help with Personal Investments
Topic: Tax Managed Balanced Fund vs Total Stk Mkt plus Tax Exempt Bond Index
Replies: 28
Views: 2252

Re: Tax Managed Balanced Fund vs Total Stk Mkt plus Tax Exempt Bond Index

it would be nice if they offered a tax managed version of life strategy funds...basically offer different asset allocation funds that were for high net worth taxable investors. i would be happy to switch to a 65/35 fund that is tax exempt on the bonds. it helps behaviorally not see one individual h...
by bob_m10
Sun Oct 29, 2017 4:15 pm
Forum: Investing - Theory, News & General
Topic: Taxes and capital distributions
Replies: 8
Views: 546

Re: Taxes and capital distributions

A mutual fund manager may from time to time buy and sell underlying securities within the fund. When the underlying securities are sold at a gain, this generates a capital gain within the fund itself. These capital gains are passed on to the fund shareholders. So the shareholder is liable for the c...
by bob_m10
Sun Oct 29, 2017 12:51 pm
Forum: Investing - Theory, News & General
Topic: Taxes and capital distributions
Replies: 8
Views: 546

Taxes and capital distributions

Hi, I am trying to understand how capital distributions work in terms of taxes in a mutual fund. Specifically, how shareholders of the mutual funds are taxed when another member sells their shares. I was trying to think about a simple example with 2 shareholders in a mutual fund, A and B. If B sells...
by bob_m10
Sat Oct 21, 2017 9:40 am
Forum: Investing - Theory, News & General
Topic: Vanguard's Global Wellesley Income and Global Wellington Funds in registration [now available]
Replies: 117
Views: 27790

Re: Vanguard's Global Wellesley Income and Global Wellington Funds in registration [now available]

The target equity regional allocation for the Vanguard Global Wellington Fund is 57.0% North America, 30.9% Europe, 12.1% Pacific, and 0% Emerging Markets. The target equity allocation for the Vanguard Global Wellesley Income Fund is 45.4% North America, 42.9% Europe, 6.2% Pacific, and 5.5% Emerging...
by bob_m10
Wed Oct 18, 2017 1:00 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe:Better To Face The Correction
Replies: 51
Views: 6779

Re: Larry Swedroe:Better To Face The Correction

What does Market timing really mean? Does it mean adjusting your AA slightly or in a big way? What if you are in a TD fund, is that Marketing timing for me to stay to on its internal glide path? Thanks
by bob_m10
Thu Sep 28, 2017 5:31 am
Forum: Investing - Theory, News & General
Topic: Vanguard's Wellesley Income fund is incredible
Replies: 133
Views: 33937

Re: Vanguard's Wellesley Income fund is incredible

I was playing around with Backtest Portfolio and if you pick the default Boglehead Three fund 80/20, it will be hard to find a time frame in the last 30 years where it beats Wellesley. 2009 to current is the only one I found. Must have been a good run for bonds the past 30 years unless I am not usin...
by bob_m10
Wed Sep 27, 2017 7:53 am
Forum: Investing - Theory, News & General
Topic: Vanguard's Wellesley Income fund is incredible
Replies: 133
Views: 33937

Re: Vanguard's Wellesley Income fund is incredible

Interesting post on Wellesley. Curious does the bond allocation of Wellesley hold anything in TIPS? Bob
by bob_m10
Thu Sep 21, 2017 10:20 pm
Forum: Investing - Theory, News & General
Topic: No More Saving???
Replies: 114
Views: 11068

Re: No More Saving???

Say you are a number of years away from retirement and feel you can reach your FI with a more conservative AA. Should you adjust down? I am not in that position but curious if folks that are close to there number put the brakes on.
by bob_m10
Wed Sep 20, 2017 11:41 am
Forum: Investing - Theory, News & General
Topic: Table in BH Guide to investing - Did I miss something?
Replies: 6
Views: 1100

Re: Table in BH Guide to investing - Did I miss something?

As to the title of the chart indicates, those are annualized returns, so yes, per annum. What was maybe less clear is that those nominal returns. I just did a quick run with a data table added to the Simba spreadsheet . Those numbers are indeed correct, except that: 1. the title of the chart refers...
by bob_m10
Wed Sep 20, 2017 6:26 am
Forum: Investing - Theory, News & General
Topic: Table in BH Guide to investing - Did I miss something?
Replies: 6
Views: 1100

Re: Table in BH Guide to investing - Did I miss something?

As to the title of the chart indicates, those are annualized returns, so yes, per annum. What was maybe less clear is that those nominal returns. I just did a quick run with a data table added to the Simba spreadsheet . Those numbers are indeed correct, except that: 1. the title of the chart refers...
by bob_m10
Mon Sep 18, 2017 6:23 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Vanguard Debunks Dividend Myth
Replies: 112
Views: 12407

Re: Larry Swedroe: Vanguard Debunks Dividend Myth

Bond funds are different, just as bonds are different - it's important not to conflate interest and dividends as is often done. Whether to withdraw or reinvest the interest is simply a matter of your cash needs. The NAV does change when income is distributed - it drops by an equal amount. Can you e...
by bob_m10
Mon Sep 18, 2017 4:44 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Vanguard Debunks Dividend Myth
Replies: 112
Views: 12407

Re: Larry Swedroe: Vanguard Debunks Dividend Myth

Bond funds are different, just as bonds are different - it's important not to conflate interest and dividends as is often done. Whether to withdraw or reinvest the interest is simply a matter of your cash needs. The NAV does change when income is distributed - it drops by an equal amount. Can you e...
by bob_m10
Mon Sep 18, 2017 4:20 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Vanguard Debunks Dividend Myth
Replies: 112
Views: 12407

Re: Larry Swedroe: Vanguard Debunks Dividend Myth

Let's say your strategy is current income replacement/boosting rather than future savings, i.e. you want to take increasing dividend payments starting now while building/not removing the principle. How do you handle the non-dividend stocks? That's the mindset we are trying to avoid - taking 'income...
by bob_m10
Thu Sep 14, 2017 6:34 am
Forum: Personal Finance (Not Investing)
Topic: Anyone else freeze their credit score?
Replies: 126
Views: 12086

Re: Anyone else freeze their credit score?

We froze our credit years ago because of identity theft. My wife and I had to do separate freezes with each agency for a total of 6.
by bob_m10
Wed Sep 06, 2017 9:48 pm
Forum: Investing - Help with Personal Investments
Topic: Mutual fund family and picks for 50k
Replies: 26
Views: 2521

Re: Mutual fund family and picks for 50k

bloom2708 wrote:
Wed Sep 06, 2017 3:10 pm
Target 2035 is ~67/33. If this matches your desired allocation, It think it is the only fund you should have in your 401k.
Isn't that ~80/20 for VG 2035?
by bob_m10
Wed Sep 06, 2017 8:29 pm
Forum: Investing - Help with Personal Investments
Topic: Don't know where to start at all
Replies: 21
Views: 1827

Re: Don't know where to start at all

Good evening everybody, as my title says " I don't know how to start my investing path". A little bit about where I am right now, I'm 27 my wife is 28 both of us work as a servers( we don't have any retirement plans in our jobs. No kids maybe in 3 years. We work a lot and our tips are daily cash. W...
by bob_m10
Tue Sep 05, 2017 12:05 am
Forum: Personal Finance (Not Investing)
Topic: Jason Zweig's tax bomb example
Replies: 28
Views: 3882

Re: Jason Zweig's tax bomb example

^A cap gain distribution always lowers the share price, regardless of what types of assets the fund invests in. For dividend distributions, AFAIK all bond ETFs behave like stock ETFs--the price also drops. But the distributions tend to be more frequent (monthly is common), so the tax consequences a...
by bob_m10
Mon Sep 04, 2017 4:01 pm
Forum: Personal Finance (Not Investing)
Topic: Jason Zweig's tax bomb example
Replies: 28
Views: 3882

Re: Jason Zweig's tax bomb example

Big time "buying the dividend". https://investor.vanguard.com/investing/taxes/buying-dividend?lang=en Easiest to just stick to tax efficient index funds. :beer JW This isn't just a buying the dividend though. It is also the risk that a fund with large unrealized capital gains on the books may sell ...
by bob_m10
Mon Sep 04, 2017 8:00 am
Forum: Personal Finance (Not Investing)
Topic: Jason Zweig's tax bomb example
Replies: 28
Views: 3882

Re: Jason Zweig's tax bomb example

No. Some, or most of that 22K was a return of his principle. He bought the shares just before the distribution, and thus received the distribution. However, he gets to pay the tax on that distribution even though he did not participate fully in the gains. The moral of this story is to pay attention...
by bob_m10
Mon Sep 04, 2017 6:34 am
Forum: Personal Finance (Not Investing)
Topic: Jason Zweig's tax bomb example
Replies: 28
Views: 3882

Re: Jason Zweig's tax bomb example

No. Some, or most of that 22K was a return of his principle. He bought the shares just before the distribution, and thus received the distribution. However, he gets to pay the tax on that distribution even though he did not participate fully in the gains. The moral of this story is to pay attention...
by bob_m10
Mon Sep 04, 2017 12:19 am
Forum: Personal Finance (Not Investing)
Topic: Jason Zweig's tax bomb example
Replies: 28
Views: 3882

Jason Zweig's tax bomb example

I was re-reading my Bogleheads Guide to Investing today and came across the section concerning tax bombs that could sneak up on investors. The book referenced a column by Jason Zweig, (link below) where he explains that a new investor (Dr. X) having to pay an unsuspected tax bill of $9K shortly afte...
by bob_m10
Mon Sep 04, 2017 12:02 am
Forum: Investing - Theory, News & General
Topic: Taxable account, all about retirement
Replies: 23
Views: 2942

Re: Taxable account, all about retirement

OP - Putting all your taxable money in cash equivalents with 10 - 15 years until retirement and no identified purchase in mind seems overly conservative to me. Keep in mind that without a mortgage payment you can simply fund a lot of spending out of cash flow. Good point, we will have extra cash fl...
by bob_m10
Sun Sep 03, 2017 10:51 pm
Forum: Investing - Theory, News & General
Topic: Taxable account, all about retirement
Replies: 23
Views: 2942

Re: Taxable account, all about retirement

OP - Putting all your taxable money in cash equivalents with 10 - 15 years until retirement and no identified purchase in mind seems overly conservative to me. Keep in mind that without a mortgage payment you can simply fund a lot of spending out of cash flow. Good point, we will have extra cash fl...
by bob_m10
Sat Sep 02, 2017 7:52 pm
Forum: Investing - Theory, News & General
Topic: Taxable account, all about retirement
Replies: 23
Views: 2942

Re: Taxable account, all about retirement

thanks all for taking the time to post. Very informative.
by bob_m10
Sat Sep 02, 2017 10:42 am
Forum: Investing - Theory, News & General
Topic: Taxable account, all about retirement
Replies: 23
Views: 2942

Taxable account, all about retirement

Hello, My wife and I will be fortunate to pay off our mortgage shortly and been thinking about investing that payment into a taxable account. We view the taxable account as potential pre-retirement spending although nothing specific planned. We are also and thinking it should have a more conservativ...
by bob_m10
Thu Aug 31, 2017 10:13 pm
Forum: Investing - Help with Personal Investments
Topic: Lifestrategy tax question
Replies: 15
Views: 1710

Re: Lifestrategy tax question

A balanced fund in taxable can actually cut in both directions. On the one hand you can't alter stock/bond allocation in taxable and on the other hand you don't have to pay a tax cost for the fund itself to stay balanced to its composition. This confuses me, is it true that you don't have to pay a ...
by bob_m10
Wed Aug 30, 2017 1:21 pm
Forum: Investing - Help with Personal Investments
Topic: VG tax exempt or VG total bond fund for me?
Replies: 10
Views: 974

Re: VG tax exempt or VG total bond fund for me?

My opinion is that at the 28% and below, total bond makes a lot of sense. At the 28% bracket, total bond earns you a touch less after taxes, but it is more diversified than the tax exempt fund so it is worth the small yield hit IMHO. Last time I looked it was only a 7bp (or .07%) delta. How do you ...
by bob_m10
Wed Aug 30, 2017 1:02 pm
Forum: Investing - Theory, News & General
Topic: Cant get my head around this..All Bonds in non-taxable OR...
Replies: 23
Views: 3647

Re: Cant get my head around this..All Bonds in non-taxable OR...

If you are in a higher tax bracket is it ever advisable to spilt your bonds in a taxable account between Intermediate term tax exempt and Total bond as an example? That way everything is not in muni? I know we should look at all accounts as one portfolio but many folks don't like to see any one acc...
by bob_m10
Wed Aug 30, 2017 6:37 am
Forum: Investing - Theory, News & General
Topic: Cant get my head around this..All Bonds in non-taxable OR...
Replies: 23
Views: 3647

Re: Cant get my head around this..All Bonds in non-taxable OR...

If you are in a higher tax bracket is it ever advisable to spilt your bonds in a taxable account between Intermediate term tax exempt and Total bond as an example? That way everything is not in muni? I know we should look at all accounts as one portfolio but many folks don't like to see any one acco...
by bob_m10
Tue Aug 29, 2017 12:01 pm
Forum: Personal Consumer Issues
Topic: Beginner Mountain Bike
Replies: 59
Views: 3512

Re: Beginner Mountain Bike

Unless you're already experienced with bike maintenance, your local bike shop (LBS) is your best bet. If you buy there, the bike often comes with free or discount maintenance. This can end up being cheaper than buying used and paying for a 'tune up' to get the bike in good condition. Bikes at that ...
by bob_m10
Sat Aug 26, 2017 12:15 pm
Forum: Investing - Help with Personal Investments
Topic: Roth conversion (Timing)
Replies: 10
Views: 789

Re: Roth conversion (Timing)

So I am confused on this point, if I convert in Dec 2017 and then roll a 401k over sometime in 2018, will that some how affect my 2017 returns? No, it does not affect 2017 at all. The conversion will be taxed (if it is taxed at all) with your 2017 taxes. But it would mean you could not do the back ...
by bob_m10
Sat Aug 26, 2017 11:08 am
Forum: Investing - Help with Personal Investments
Topic: Roth conversion (Timing)
Replies: 10
Views: 789

Re: Roth conversion (Timing)

If you can convert in December, that keeps all the paperwork in one tax year instead of spreading it out over two tax filings. It also avoids the problem if you roll a 401k into the tIRA the following year. However, if you do that, you should NOT use the back door at all until that tIRA is gone. So...