Search found 718 matches

by dharrythomas
Sat Feb 11, 2017 4:30 pm
Forum: Investing - Help with Personal Investments
Topic: About Wellington VWENX
Replies: 14
Views: 1513

Re: About Wellington VWENX

I recommend LifeStrategy or Target Retirement, take your pick. Low cost, includes international stocks, Vanguard does the rebalancing, index funds.
by dharrythomas
Fri Feb 10, 2017 5:32 pm
Forum: Investing - Help with Personal Investments
Topic: 69 year old getting nervous
Replies: 12
Views: 4285

Re: 69 year old getting nervous

I recommend you simplify and then relax. Roll the 401(k) into you Vanguard IRA. Leave the cash, CDs and taxable investment account just the way it is except to take dividends and capital gains into you checking account rather than reinvest. Take both the Roth and the Traditional IRA into TargetRetir...
by dharrythomas
Wed Feb 08, 2017 9:14 pm
Forum: Investing - Theory, News & General
Topic: Why go with an 80% stock / 20% bond portfolio?
Replies: 328
Views: 17729

Re: Why go with an 80% stock / 20% bond portfolio?

Ben Graham said all investors should be somewhere between 75/25 & 25/75. He lived, learned, and managed money through the Great Depression, is considered the Dean of Financial Analyst profession and the Father of Value Investing. If he tells me I can't handle 100% stocks and that I need more ret...
by dharrythomas
Fri Feb 03, 2017 7:14 pm
Forum: Investing - Help with Personal Investments
Topic: Federal Thrift Savings Plan (30 Years Old)
Replies: 22
Views: 1614

Re: Federal Thrift Savings Plan (30 Years Old)

Put it all in the L2050 fund, put all of you contributions into L2050 and don't look at it until you turn 40. Avoid debt and maintain an emergency fund. 10% of your salary, with 5% matching and a pension should be enough, but NOT if you leave it invested in the G fund. Don't worry over it the way we...
by dharrythomas
Fri Feb 03, 2017 7:05 pm
Forum: Investing - Theory, News & General
Topic: Best way to fund your Donor Advised Fund
Replies: 31
Views: 1790

Re: Best way to fund your Donor Advised Fund

Thanks...I guess I'll skip the DAF and go straight from IRA to Charity.
by dharrythomas
Thu Feb 02, 2017 7:28 pm
Forum: Investing - Theory, News & General
Topic: Best way to fund your Donor Advised Fund
Replies: 31
Views: 1790

Re: Best way to fund your Donor Advised Fund

If you're over 59.5 isn't funding it straight out of your IRA an even better tax option, or did I miss a restriction.
by dharrythomas
Sun Jan 29, 2017 2:59 pm
Forum: Investing - Theory, News & General
Topic: "Don't Overcomplicate Your Portfolio"
Replies: 27
Views: 4658

Re: "Don't Overcomplicate Your Portfolio"

Forgot 4) as I age, simpler is better. According to studies after the early 50s my ability to manage money is on the decline (considering the mistakes I made/make near my peak, the future may not be pretty).
by dharrythomas
Sun Jan 29, 2017 2:56 pm
Forum: Investing - Theory, News & General
Topic: "Don't Overcomplicate Your Portfolio"
Replies: 27
Views: 4658

Re: "Don't Overcomplicate Your Portfolio"

Taylor, Thanks. I'm finally to the point of realizing that broad based indexes are good enough and have simplified our portfolio. 1) it's easier 2) I think my returns would have been better and 3) my wife doesn't have my unhealthy interest in this stuff so if something happens to me, simple is defin...
by dharrythomas
Sun Jan 29, 2017 2:50 pm
Forum: Investing - Theory, News & General
Topic: Oil Speculators, are you greedy or fearful?
Replies: 26
Views: 1951

Re: Oil Speculators, are you greedy or fearful?

What I've determined is that the odds for me are worse with commodities than the odds in a casino (and I hate to gamble). The markets can remain irrational longer than I can stay solvent and there is an unsymmetrical distribution of information. In other words, I'm the sucker at the table. Even thou...
by dharrythomas
Sun Jan 29, 2017 2:33 pm
Forum: Investing - Help with Personal Investments
Topic: Roth IRA Vanguard Fund Help
Replies: 5
Views: 401

Re: Roth IRA Vanguard Fund Help

We use LifeStrategy in our Roth accounts and Target Retirement type funds in all traditional accounts. Set it and forget it. Vanguard does the rebalancing.
by dharrythomas
Sun Jan 29, 2017 2:30 pm
Forum: Investing - Help with Personal Investments
Topic: On the Int'l Funds fence
Replies: 18
Views: 1224

Re: On the Int'l Funds fence

Over the long term, returns are similar so it probably doesn't make much difference. You pay slightly higher expenses for a diversification benefit (specific market risk and currency risk) that may or may not appear. I do think that if you hedge international equities, you are wasting your time--pay...
by dharrythomas
Sun Jan 29, 2017 9:05 am
Forum: Investing - Help with Personal Investments
Topic: Suggestions for Retirement Portfolio - Dual Career Feds
Replies: 23
Views: 1672

Re: Suggestions for Retirement Portfolio - Dual Career Feds

I think you can simplify and relax. If you just keep up with inflation, you'll have above the median income in the country before you add SS and any withdrawals. You are doing fine. I'd put the TSPs in the appropriate LifeCycle Fund and the Roth in Vanguard LifeStrategy Growth Fund. You're probably ...
by dharrythomas
Sat Jan 28, 2017 1:25 pm
Forum: Investing - Theory, News & General
Topic: Dow hits 20,000. What next? Share your strategy
Replies: 107
Views: 9055

Re: Dow hits 20,000. What next? Share your strategy

Now that the dow is at all time record highs, what is your plan going forward? Boglechu: Easy question: Stay-the-course. Best wishes. Taylor I'm trying to follow Jack Bogle's advise and not do anything. Thanks Taylor and David Bach of "The Automatic Millionaire". (We did make Roth IRA con...
by dharrythomas
Sat Jan 28, 2017 12:59 pm
Forum: Investing - Theory, News & General
Topic: Bill Bernstein "If You Can"
Replies: 18
Views: 4638

Re: Bill Bernstein "If You Can"

bertilak wrote:Image


Perfect 8-)
by dharrythomas
Sat Jan 21, 2017 7:27 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard TR or balanced index fund???
Replies: 28
Views: 2042

Re: Vanguard TR or balanced index fund???

I see no reason. Since it is in a Roth, you can change your mind along the way with no tax consequences. If you'd said you were in Balanced Index I'd have said the same thing. The thing I struggle with myself is that I honestly feel, quite seriously, is that staying the course is more important tha...
by dharrythomas
Sat Jan 21, 2017 7:07 pm
Forum: Investing - Help with Personal Investments
Topic: Portafolio Allocation - Wealth Preservation - Moving away from wealth managers
Replies: 17
Views: 1203

Re: Portafolio Allocation - Wealth Preservation - Moving away from wealth managers

A couple of other people have tried to make this point nicely but you haven't addressed it directly so I'll be blunt. Why do you want a portfolio that is 80% US if you are neither a citizen no a resident of the US? Most of the discussions here are US centric and most of the portfolios also. I have m...
by dharrythomas
Sat Jan 21, 2017 6:15 pm
Forum: Investing - Help with Personal Investments
Topic: Plenty of income, need portfolio help and advice badly :)
Replies: 12
Views: 2035

Re: Plenty of income, need portfolio help and advice badly :)

I'd route the taxable funds to pay off the lake property. I like free cash flow because something can always go wrong. You are carrying $300K in debt for illiquid assets that could very well be unsalable at the very time you've got other things going wrong. Our situation was very different as we got...
by dharrythomas
Thu Jan 19, 2017 8:10 pm
Forum: Investing - Theory, News & General
Topic: Mathematics of international asset allocation
Replies: 44
Views: 4395

Re: Mathematics of international asset allocation

The biggest thing wrong with the model is that you're using expected values for 5 variables. You're guessing and need to be right 5 times.

You're covering up the imprecision of the process and hiding it behind a precise answer to your equation.
by dharrythomas
Wed Jan 18, 2017 9:57 pm
Forum: Investing - Theory, News & General
Topic: Target Date Fund - Retirement Years
Replies: 29
Views: 2798

Re: Target Date Fund - Retirement Years

I'm almost 70 and DW is 66. DW has been using a target date fund for a number of years to avoid the hassle of rebalancing. I'm contemplating moving from essentially a four fund portfolio to either a target date or LS fund for all the usual reasons - automatic rebalancing, simplicity, etc. The switc...
by dharrythomas
Fri Jan 13, 2017 6:45 pm
Forum: Investing - Theory, News & General
Topic: Over what time period should stocks NOT lose money
Replies: 50
Views: 4123

Re: Over what time period should stocks NOT lose money

I don't think there is any timeline where anything is safe. People are incredibly bad at forecasting. Around the world, just in the 19-somethings, without trying to be all inclusive: Private property was confiscated in Russia, China, Eastern Europe, Cuba--foreign investment was nationalized and that...
by dharrythomas
Sun Dec 04, 2016 12:05 am
Forum: Investing - Theory, News & General
Topic: Rick Ferri's reason to avoid International Bonds
Replies: 7
Views: 1538

Re: Rick Ferri's reason to avoid International Bonds

We own them in Target Retirement and LifeStrategy funds. I think the diversification benefit is not worth the cost and trouble, so I wouldn't bother with it in an individual fund. But it doesn't bother me enough to avoid the fund of funds in tax-free/deferred accounts.

Good luck.
by dharrythomas
Sat Dec 03, 2016 11:58 pm
Forum: Investing - Theory, News & General
Topic: Military Pension (Or any pension) - Roth vs. Traditional for 401K
Replies: 21
Views: 3009

Re: Military Pension (Or any pension) - Roth vs. Traditional for 401K

I'll have a Reserve pension in 5 years and a federal civilian pension when I retire. I started investing in IRAs in 1984, switched to Roth IRAs when they became available and contributed some to 401(K) and TSP. Since the Roth TSP has been available, I've used it and now put everything in the Roth. M...
by dharrythomas
Sat Dec 03, 2016 11:17 am
Forum: Investing - Theory, News & General
Topic: I'm A Lapsed Indexer. Is Value Investing Better?
Replies: 24
Views: 3760

Re: I'm A Lapsed Indexer. Is Value Investing Better?

Park, The Bogle interview is a good article. Thanks, I went back and read it again. The paragraph before the quote you extracted, Mr Bogle said that if you could control the behavioral aspects, 3 to 1 leverage would be better. He didn't recommend that either. Mr Bogle recognizes the theoretical and ...
by dharrythomas
Sat Dec 03, 2016 10:24 am
Forum: Investing - Help with Personal Investments
Topic: Reading journey - where to next?
Replies: 16
Views: 1354

Re: Reading journey - where to next?

Livesoft is right. Most of us would have been better off in a single Target Retirement fund from the start. Tweaking your asset allocation as the latest fad on factors change is the opposite of staying the course. The more I learned, the more I was tempted to tweak it and add stuff. I finally simpli...
by dharrythomas
Fri Dec 02, 2016 2:13 pm
Forum: Investing - Help with Personal Investments
Topic: Pay off mortgage?
Replies: 107
Views: 7559

Re: Pay off mortgage?

We paid ours off early and don't regret it. We increased savings by about 50%. Then we backed off some as I realized that we're on track. When Warren Buffett moved back to Omaha in the 1950s, he paid cash for his house (about 1/6 of his net worth)--I'm pretty sure I have no business taking more risk...
by dharrythomas
Fri Dec 02, 2016 1:32 pm
Forum: Investing - Theory, News & General
Topic: I'm calling a bond bottom.
Replies: 31
Views: 6900

Re: I'm calling a bond bottom.

My crystal ball is cloudy. When we bought our second house in 1999, we borrowed at 7% and I never thought rates would get lower. I don't see far enough into the future to predict interest rates between market forces, government interference, and geopolitical shocks. My forecasting is cloudy in other...
by dharrythomas
Fri Dec 02, 2016 1:18 pm
Forum: Investing - Theory, News & General
Topic: I'm A Lapsed Indexer. Is Value Investing Better?
Replies: 24
Views: 3760

Re: I'm A Lapsed Indexer. Is Value Investing Better?

One good reason a value investor should have fixed income is that Benjamin Graham (the father of value investing) in "The Intelligent Investor" states that 50:50 should be the baseline for all investors and that everyone should be between 75:25 and 25:75 no matter how conservative or enter...
by dharrythomas
Fri Dec 02, 2016 9:55 am
Forum: Investing - Theory, News & General
Topic: Warren Buffett Books
Replies: 22
Views: 2036

Re: Warren Buffett Books

Snowball was an excellent read. Being an authorized biography, there were some personal details there that would be lacking elsewhere and some background on business ideas that I haven't seen elsewhere. While there is no explicit language, the book deals with his family issues. I'd recommend everyth...
by dharrythomas
Fri Nov 11, 2016 10:50 pm
Forum: Investing - Help with Personal Investments
Topic: To ROTH or Not To ROTH...That Is The Question.
Replies: 15
Views: 1650

Re: To ROTH or Not To ROTH...That Is The Question.

The tax rate calculation is an incomplete analysis. One advantage to a Roth is the ability to not have required distributions. If you want to leave money to heirs, Roth is the way to go. On the other hand, if you want to make charatible contributions, a traditional account would be better. Then ther...
by dharrythomas
Fri Nov 11, 2016 2:20 pm
Forum: Investing - Theory, News & General
Topic: "Stealth Wealth: I’m Just an Ordinary Average Guy"
Replies: 331
Views: 54737

Re: "Stealth Wealth: I’m Just an Ordinary Average Guy"

Neither a physician nor earning a physician like income. Just living below my means. I don't know that I'd define us as wealthy or furgal, we're above average but far from PAWs (The Millionaire Next Door). I'm only saving 15% in my Roth TSP plus moving taxable investments into Roth IRAs. Our house i...
by dharrythomas
Sun Oct 30, 2016 1:19 pm
Forum: Investing - Theory, News & General
Topic: Extracting Roth TSP balance
Replies: 4
Views: 520

Re: Extracting Roth TSP balance

Once you have a civilian job, it is easy. Even if you had money in a Traditional IRA, you can roll it all into the TSP. That would drive your Traditional IRA balance to zero.
by dharrythomas
Sun Oct 30, 2016 1:12 pm
Forum: Investing - Theory, News & General
Topic: Warren Buffett(himself) has never invested in an Index fund, WHY?
Replies: 32
Views: 4144

Re: Warren Buffett(himself) has never invested in an Index fund, WHY?

Warren Buffett, if what was written about his taxes is true, has more money than most of us are ever going to have invested outside of Berkshire. I read his reported income was $11M last year and his salary is $100K. Berkshire was one of the companies his investment partnership bought in the 1960s. ...
by dharrythomas
Sun Oct 09, 2016 3:06 pm
Forum: Personal Finance (Not Investing)
Topic: Crossing the line (becoming a miser)
Replies: 71
Views: 9542

Re: Crossing the line (becoming a miser)

This is an issue of values and priorities. If you want to ensure that you don't become a miser, set up a systematic giving program the same way you have a systematic saving and investing program. I'd recommend a charity or religious institution instead of giving to the endowment of an educational in...
by dharrythomas
Sat Oct 08, 2016 8:03 pm
Forum: Investing - Theory, News & General
Topic: John Bogle the Toyota of investing
Replies: 12
Views: 1732

Re: John Bogle the Toyota of investing

Then what is the rationale of taking the funds away from Wellington Management? What he'd have been asking was for the board to take the funds from Wellington and give them to him. I understand the votes were close the way he did it. I love what happened and the results, but there is a reason it has...
by dharrythomas
Sat Oct 01, 2016 10:20 pm
Forum: Investing - Theory, News & General
Topic: If you own Vanguard Total Stock Market, do you re-invest dividends?
Replies: 75
Views: 9736

Re: If you own Vanguard Total Stock Market, do you re-invest dividends?

We reinvest. We spent years periodically investing in taxable so already have a large number of tax lots. Hope never to sell again except maybe to fund Roth IRA for us or 529 plan for grandkids.
by dharrythomas
Mon Sep 26, 2016 8:00 am
Forum: Investing - Help with Personal Investments
Topic: Track asset allocation with TSP
Replies: 16
Views: 1394

Re: Track asset allocation with TSP

I've had a TSP account for years and I don't know of any way to do this. For all its benefits, the TSP does not work and play well with others. If you want to do the things that fit in the standard pattern, it's great, otherwise not so user friendly.

Good luck
by dharrythomas
Sat Sep 17, 2016 7:42 pm
Forum: Investing - Theory, News & General
Topic: The coming municipal bond crisis
Replies: 51
Views: 7980

Re: The coming municipal bond crisis

I'm not sure what having this issue priced in has to do with holding Total Bond. Total Bond does not hold municipal bonds.
by dharrythomas
Thu Sep 15, 2016 8:18 pm
Forum: Investing - Theory, News & General
Topic: Percent of DIY Assets?
Replies: 3
Views: 751

Re: Percent of DIY Assets?

In addition how would you allocate our funds? My TSP is in a LifeCycle Fund. My Traditional IRA is in a Target Retirement Fund. My wife's IRA and both of our Roths are in LifeStrategy Funds. But, I set it all up myself to include the taxable portion. So am I all DIY or am I using an advisor if I'm l...
by dharrythomas
Mon Sep 12, 2016 2:29 pm
Forum: Investing - Theory, News & General
Topic: Do Bogleheads Budget?
Replies: 113
Views: 14452

Re: Do Bogleheads Budget?

I don't think you can call what we do budgeting. We take saving/investing and tithes/contributions off the top and as long as the wife is paying cash as we go, I don't pay any attention to the rest. :oops: The again I don't make as much as many of the folks here and never could figure out how to liv...
by dharrythomas
Fri Sep 02, 2016 7:12 pm
Forum: Investing - Help with Personal Investments
Topic: Got [a bad deal] on muni bonds
Replies: 66
Views: 6009

Re: Got [a bad deal] on muni bonds

I am NOT recommending the purchase of individual bonds, municipal or otherwise, and I don't deal with brokers, but paying more than the face value of a bond does not mean you got ripped off. Most of the time, both individuals and funds pay other than face value for bonds. Bonds pay a dividend that r...
by dharrythomas
Wed Aug 31, 2016 9:10 pm
Forum: Investing - Theory, News & General
Topic: How to give unsolicited advice
Replies: 54
Views: 3911

Re: How to give unsolicited advice

Generally don't.

I don't convince many people even if they have some interest. I'm pretty sure that my wife just humors me. The only ones that I think I sold on my debt is dangerous, save and invest mantra are my two daughters.
by dharrythomas
Sun Aug 28, 2016 1:34 pm
Forum: Investing - Theory, News & General
Topic: "How to Tell if Your Retirement Nest Egg Is Big Enough"
Replies: 61
Views: 14289

Re: "How to Tell if Your Retirement Nest Egg Is Big Enough"

Thanks for posting, how does this article pertain if you have not yet won the game? For example: 50 years old (with 10-15 years from retirement - flexible) and maybe 50-60% of what I'd like to have at retirement? Rai, If you've got 50-60% of what you need, are 10-15 years out, and are consistently ...
by dharrythomas
Sat Aug 27, 2016 11:28 am
Forum: Investing - Theory, News & General
Topic: Looking ahead to 2030.
Replies: 11
Views: 1772

Re: Looking ahead to 2030.

So what? It matters, but there is no way to know and nothing you can do about it. Unless everything collapses, you'll be better off investing than if you don't. If it does, Jared Diamond in Collaspe found that while everyone starved in Greenland, the rich starved last, so you'll have that going for ...
by dharrythomas
Sat Aug 27, 2016 9:57 am
Forum: Investing - Theory, News & General
Topic: glide path vs. fixed asset allocation [POLL]
Replies: 50
Views: 4667

Re: glide path vs. fixed asset allocation [POLL]

Glide Path, though it's hard to argue with fixed allocation except that your value at risk can get very high. We talk in percentages but feel the lose in absolute dollar terms. With interest rates at current levels, it's hard for me to view bonds as low risk, at least the risk is different, related ...
by dharrythomas
Fri Aug 26, 2016 8:52 am
Forum: Investing - Theory, News & General
Topic: "Build Your Own Lazy Portfolio"
Replies: 4
Views: 1066

Re: "Build Your Own Lazy Portfolio"

Taylor,

Thanks for posting.

Harry
by dharrythomas
Mon Aug 22, 2016 6:40 pm
Forum: Investing - Help with Personal Investments
Topic: Debt Free - Now What
Replies: 37
Views: 3816

Re: Debt Free - Now What

Consider the Roth option in the TSP. Tax wise, it is better than taxable investing. You can always pull out the contributions without penalty (I don't recommend it). I also think there is no better or cheaper retirement plan in existence than the TSP, and I've been in several with several leading fi...
by dharrythomas
Mon Aug 22, 2016 6:31 pm
Forum: Investing - Help with Personal Investments
Topic: How do you view debt?
Replies: 108
Views: 7451

Re: How do you view debt?

Solomon said it best thousands of years ago: The borrower is servant to the lender. Proverbs 22:7 Read and understand "The Richest Man in Babylon" Debt is dangerous and excessive spening will get you in trouble. You are paying more for your purchases in order to enjoy them sooner. For most...
by dharrythomas
Sat Aug 20, 2016 4:56 pm
Forum: Investing - Help with Personal Investments
Topic: Am I devastatingly far behind on retirement savings and how can I catch up?!
Replies: 40
Views: 6672

Re: Am I devastatingly far behind on retirement savings and how can I catch up?!

You're set up fine for 29! If you and your spouse set up to save 15% of your income in 401(k)s, get a reasonable house and pay it off (transaction costs on real estate are a killer), pay cash for cars, pay cash for vacations, and set aside some for Roth IRAs, stay married (nothing burns up money lik...
by dharrythomas
Sat Aug 20, 2016 2:31 pm
Forum: Investing - Theory, News & General
Topic: John Bogle says it is ok to just hold US stock index and Bond index, no international stocks
Replies: 45
Views: 5735

Re: John Bogle says it is ok to just hold US stock index and Bond index, no international stocks

The way I understand Bogle's position is that over the long-term returns are similar so why take risk. Others see benefit in various time periods. I think there are three possible answers over your investment lifespan, unfortunately you only get the answer at the end of the game and you don't have a...
by dharrythomas
Fri Aug 19, 2016 9:07 pm
Forum: Investing - Theory, News & General
Topic: High RMD’s, would you do anything different?
Replies: 54
Views: 5787

Re: High RMD’s, would you do anything different?

I've accumulated less than you, but I'm making all contributions to Roth accounts. That tax free compounding is worth more than a taxable account. Next year, I'll be selling stuff from our taxable accounts in order to fund Roth IRAs. If you've got a Roth 401(k), use that and roll over to an IRA to a...

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