Search found 86 matches

by gundlached
Wed Dec 06, 2017 10:57 pm
Forum: Personal Consumer Issues
Topic: I received a speeding ticket via mail from IA - should I pay it?
Replies: 72
Views: 4913

Re: I received a speeding ticket via mail from IA - should I pay it?

For chump change of $100 I would just pay and just not cut a break in traffic to the next person with an Iowa license plate you encounter
by gundlached
Tue Dec 05, 2017 8:09 pm
Forum: Personal Finance (Not Investing)
Topic: Received promotion offer at work and trying to negotiate the pay increase portion.
Replies: 31
Views: 2353

Re: Received promotion offer at work and trying to negotiate the pay increase portion.

Considering the bonus I'd take #2. Outside offers are often more because they need to lure someone like you out of your current org, which is a nuisance for most. With the bonus that's around 14%. And you can always still entertain other offers. What reason would your boss have to lie to you abt the...
by gundlached
Tue Oct 17, 2017 8:29 am
Forum: Personal Consumer Issues
Topic: What are you driving? And would you buy your current ride again?
Replies: 130
Views: 7679

Re: What are you driving? And would you buy your current ride again?

2016 Toyota Avalon XLE bought new. At the time, used car prices were nosebleed, so why not just buy a new one. I love it and would buy again. No problems so far and it is really a joy to drive. It was actually a pretty good deal compared to a V6 Camry or Accord (about the same price). I guess the ol...
by gundlached
Thu Jul 20, 2017 2:55 pm
Forum: Investing - Help with Personal Investments
Topic: Windfall: Buy or wait?
Replies: 31
Views: 4007

Re: Windfall: Buy or wait?

That scary feeling is your risk tolerance. The time to invest is now, but your allocation to stocks should likely be lower than you realize. If investing now at 90/10 is scary to you, than it will always be scary to you.

I am 60/40 and comfortable holding through all of the concerns you stated.
by gundlached
Fri Jul 14, 2017 7:12 pm
Forum: Investing - Theory, News & General
Topic: How are folks handling the unprecedented rise in the market ?
Replies: 166
Views: 20048

Re: How are folks handling the unprecedented rise in the market ?

Staying the course with 60/40 at age 32. If it crashes, I shall back up the truck.

Buying a house makes me more nervous than my retirement account.
by gundlached
Thu Jun 01, 2017 2:08 pm
Forum: Investing - Theory, News & General
Topic: What do you hold while waiting for a good CD?
Replies: 20
Views: 2169

Re: What do you hold while waiting for a good CD?

oldcomputerguy wrote:
If you’d prefer a CD with a nice yield premium instead of a Treasury of similar duration, what do you do while waiting?
I invest in index funds and get on with my life.
This made my day. Not at all helpful, but still made my day.
by gundlached
Sat May 27, 2017 1:44 pm
Forum: Investing - Help with Personal Investments
Topic: Move cash from Ally to Vanguard?
Replies: 5
Views: 1435

Re: Move cash from Ally to Vanguard?

I prefer cash in fdic account like Ally vs. MM. Then again, I am a worrywart.
by gundlached
Tue May 09, 2017 8:31 pm
Forum: Personal Finance (Not Investing)
Topic: Boglehead Debt Free Scream! 174K in 53 months
Replies: 24
Views: 4042

Re: Boglehead Debt Free Scream! 174K in 53 months

I love it I love it I love it

But now the real fun begins
by gundlached
Tue May 02, 2017 8:18 am
Forum: Investing - Help with Personal Investments
Topic: Buying Individuals Stocks In A Roth IRA?
Replies: 7
Views: 1135

Re: Buying Individuals Stocks In A Roth IRA?

"Your scientists were so preoccupied with whether or not they could, they didn’t stop to think if they should."
-Jurassic Park
by gundlached
Fri Apr 21, 2017 9:19 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe says "Goodbye."
Replies: 336
Views: 44506

Re: Larry Swedroe says "Goodby."

:oops:
Thanks, Larry.
by gundlached
Tue Mar 07, 2017 5:47 pm
Forum: Investing - Help with Personal Investments
Topic: how often do you shrug at your IPS? [Investment policy statement]
Replies: 50
Views: 4717

Re: how often do you shrug at your IPS?

I never included emergency fund in my IPS. Natural selection has ensured that, by nature, I never ever mess around with the emergency fund--no written statement is necessary.

My IPS is important to me primarily to prevent me from changing my AA on a whim.
by gundlached
Sat Feb 25, 2017 9:37 am
Forum: Investing - Theory, News & General
Topic: Extreme Valuations, and why you should reconsider
Replies: 307
Views: 25259

Re: Extreme Valuations, and why you should reconsider

gundlached If the ERP is still within historical norms but largely because real yield is low, is it "reaching for yield" to ignore a nominal predictor like CAPE? For example, would an investor with a risk tolerance of 60/40 have cause to adjust the AA toward more bonds? First, the answer ...
by gundlached
Fri Feb 24, 2017 11:57 pm
Forum: Investing - Theory, News & General
Topic: Market Run Ups - Now vs. Then
Replies: 88
Views: 7821

Re: Market Run Ups - Now vs. Then

I've lived through the 2000 and 2008-2009 market crashes....different circumstances, both devastating. I'm far more diversified now than before, and I have an asset allocation better suited to weather deep dives, etc. - and yet, my stomach still gets queasy when I see run ups. It's hard to shake of...
by gundlached
Fri Feb 24, 2017 8:38 pm
Forum: Investing - Theory, News & General
Topic: Extreme Valuations, and why you should reconsider
Replies: 307
Views: 25259

Re: Extreme Valuations, and why you should reconsider

willthrill Sorry you can protest all you want but it literally makes no sense without considering what I told you. If you based it on belief that valuations are too high, I completely agree that is market timing. If you base it on your assumptions changing it is clearly not market timing. Don't kno...
by gundlached
Thu Jan 26, 2017 12:16 pm
Forum: Investing - Theory, News & General
Topic: Any opinions on VDIGX vs VIG? (Vanguard Div Growth vs Div Apprec)
Replies: 12
Views: 1807

Re: Any opinions on VDIGX vs VIG? (Vanguard Div Growth vs Div Apprec)

I would avoid both like the plague. Lots of old people who think dividends are magical free money have piled into high dividend funds in search for yield and bid up prices. Just look at the P/B's of those funds (over 4). They might keep going up for a while, but eventually they will crash hard. Of ...
by gundlached
Thu Jan 26, 2017 9:32 am
Forum: Investing - Theory, News & General
Topic: Any opinions on VDIGX vs VIG? (Vanguard Div Growth vs Div Apprec)
Replies: 12
Views: 1807

Re: Any opinions on VDIGX vs VIG? (Vanguard Div Growth vs Div Apprec)

I would avoid both like the plague. Lots of old people who think dividends are magical free money have piled into high dividend funds in search for yield and bid up prices. Just look at the P/B's of those funds (over 4). They might keep going up for a while, but eventually they will crash hard. Of ...
by gundlached
Sat Jan 21, 2017 11:16 pm
Forum: Personal Consumer Issues
Topic: Getting Subaru Legacy(4Cyl 2.5L or V6 3.6R?)
Replies: 56
Views: 9588

Re: Getting Subaru Legacy(4Cyl 2.5L or V6 3.6R?)

The only problem with the 3.6 is you have to buy the upper trim with it, which makes it a ~$35k car. Then you paid $35k for a Legacy. Huh?? The MSRP for the Legacy Limited (top trim level) is $29,660 for the 2.5 and $32,460 for the 3.6. So, the larger engine costs nearly $3k more, but it doesn't ta...
by gundlached
Sat Jan 21, 2017 10:14 pm
Forum: Personal Consumer Issues
Topic: Getting Subaru Legacy(4Cyl 2.5L or V6 3.6R?)
Replies: 56
Views: 9588

Re: Getting Subaru Legacy(4Cyl 2.5L or V6 3.6R?)

I've noticed what seems to be a Boglehead forum trend of Subaru enthusiasts. I've never owned a Subaru. I'm sure like most car buying, much of it is personal preference. I'm curious, from the Subaru owners on here what makes you a Subaru fan as opposed to other brands like Toyota, Honda, etc.? Than...
by gundlached
Sat Jan 21, 2017 9:59 pm
Forum: Personal Consumer Issues
Topic: Getting Subaru Legacy(4Cyl 2.5L or V6 3.6R?)
Replies: 56
Views: 9588

Re: Getting Subaru Legacy(4Cyl 2.5L or V6 3.6R?)

I test drove 2016 3.6 Legacy V6 and 4Cyl. They only had 1 V6 on the lot...it clearly is not their bread and butter. They are selling to people who care more about awd than 6cyl. I wouldn't consider the 4cyl. The V6 is a much better driving experience. I wound up with a V6 Toyota Avalon because it wa...
by gundlached
Thu Jan 05, 2017 5:15 pm
Forum: Personal Finance (Not Investing)
Topic: MA no longer offers state-run tax e-filing
Replies: 6
Views: 885

Re: MA no longer offers state-run tax e-filing

A note for MA state filers who appreciate their excellent system allowing direct entry and efiling of your state taxes through the state web site-- it's gone. They've switched to a new "improved" online revenue system, and no longer do that. They have agreements with commercial providers ...
by gundlached
Thu Jan 05, 2017 4:29 pm
Forum: Investing - Help with Personal Investments
Topic: FUSEX vs DODGX in 401k
Replies: 1
Views: 370

Re: FUSEX vs DODGX in 401k

Hello, Both FUSEX and VFINX are S&P500 index funds. DODGX is an actively managed large cap value fund. DODGX had a good year. Over a 10 year period, it trails S&P 500. Both time periods are likely arbitrary. DODGX sector weightings can vary greatly from the index and can change over time. 20...
by gundlached
Wed Dec 14, 2016 10:40 pm
Forum: Investing - Theory, News & General
Topic: Are bond funds really low-risk?
Replies: 43
Views: 4360

Re: Are bond funds really low-risk?

No they are not. If you want something that is extremely unlikely to fall in value, you should seek money market or bank account. Stable value is also low risk.

Bonds will rise and fall. They are a risky asset. Though far less risky than stocks.
by gundlached
Fri Dec 09, 2016 8:00 pm
Forum: Local Chapters and Bogleheads Community
Topic: How Did You Become A Boglehead? What Led You Here?
Replies: 168
Views: 17602

Re: How Did You Become A Boglehead? What Led You Here?

Morningstar led me here. It actually took me a while to embrace the index fund approach.
by gundlached
Thu Oct 13, 2016 12:44 pm
Forum: Investing - Theory, News & General
Topic: Is Morningstar Premium worth it?
Replies: 18
Views: 3189

Re: Is Morningstar Premium worth it?

I have it and use it regularly--mainly to look at various bond funds (for investing, tsk tsk) and find out what is going on with company specific stocks and actively managed equity funds (for entertainment).

That said, if you are a true Boglehead, you really do not need it.
by gundlached
Wed Oct 12, 2016 9:18 am
Forum: Investing - Theory, News & General
Topic: The Case for Consumer Staples in Your Portfolio
Replies: 13
Views: 1423

Re: The Case for Consumer Staples in Your Portfolio

The long-term performance of Consumer Staples is pretty great. However, would you not be concerned that an overweight to this sector would expose you to uncompensated risk in an interest-rate sensitive area? And there are also valuation concerns for a sector that is currently trading at forward PE o...
by gundlached
Sun Oct 09, 2016 8:22 am
Forum: Investing - Help with Personal Investments
Topic: Best Options for Emergency & Car Replacement Funds at VG
Replies: 8
Views: 1136

Re: Best Options for Emergency & Car Replacement Funds at VG

I am of the opinion that 100% of emergency fund belongs in MM, FDIC bank account, or ibonds past 1 year withdrawal limit.

I would focus on investing the rest of the portfolio and leave emergency in a safe place.

Ymmv
by gundlached
Fri Oct 07, 2016 4:02 pm
Forum: Personal Consumer Issues
Topic: Johnnie Walker Blue worth the cost?
Replies: 70
Views: 7280

Re: Johnnie Walker Blue worth the cost?

JWB is not about the quality, it is about the price tag. It is guaranteed to impress.

I would personally prefer Lagavulin 16 year for ~$70.

JWB has more novelty though.
by gundlached
Sun Oct 02, 2016 11:11 am
Forum: Investing - Theory, News & General
Topic: Which Bond Fund As Emergency Fund?
Replies: 39
Views: 7200

Re: Which Bond Fund As Emergency Fund?

Call me old fashioned, but Emergency Fund is bank account, CD, or Ibonds.

Anything else is being conservative with your fixed income, not "emergency fund".
by gundlached
Sat Oct 01, 2016 3:47 pm
Forum: Personal Finance (Not Investing)
Topic: Does your employer use SAT/ACT scores?
Replies: 51
Views: 3723

Re: Does your employer use SAT/ACT scores?

If new college grad includes them, I would give them a look.

Wouldn't care for anyone else.
by gundlached
Mon Sep 26, 2016 8:55 am
Forum: Personal Finance (Not Investing)
Topic: When (or whether) to have a second child
Replies: 37
Views: 4677

Re: When (or whether) to have a second child

I vote yea to kid #2. You need an heir, and a spare.
by gundlached
Sat Sep 03, 2016 9:53 pm
Forum: Investing - Theory, News & General
Topic: Evaluating the tax efficiency of TIPS
Replies: 11
Views: 1352

Re: Evaluating the tax efficiency of TIPS

grabiner wrote:TIPS should be among the most tax-efficient bonds.


The hazards of relying on the internet for financial advice.

Taxes need to be paid annually on the inflation component. Cash flow problems.
by gundlached
Sat Sep 03, 2016 8:24 am
Forum: Investing - Theory, News & General
Topic: Selling all equities, discuss why I'm wrong. :)
Replies: 260
Views: 35474

Re: Selling all equities, discuss why I'm wrong. :)

Hi all, I just wanted to write out my decision for selling all my equity positions yesterday and see what people think. (I'm expecting people to think this was a *bad* decision) A little background: From 2007 until now I was 70% equities, 10% REIT, and 20% bonds. The bonds were half treasuries and ...
by gundlached
Fri Sep 02, 2016 8:56 am
Forum: Investing - Help with Personal Investments
Topic: Moving more $ into cash - anybody else?
Replies: 14
Views: 2187

Re: Moving more $ into cash - anybody else?

I am staying the course. Equity allocation will not be changing. However, I am using more discipline with "cash" (i.e. emergency fund). In the past, I have succumbed to weakness and put "cash" into intermediate and short term bonds. Now I am keeping "cash" in high yield...
by gundlached
Fri Aug 19, 2016 10:36 pm
Forum: Investing - Theory, News & General
Topic: an in depth look at the low volatility factor
Replies: 9
Views: 1167

Re: an in depth look at the low volatility factor

Nate I have significant investment in the fund so that should speak for itself. The biggest issue for me is that I have no doubt that low vol predicts low volatility, and it does so across assets. But valuations matter. And recent research shows that low vol in stocks has two regimes, one when it's...
by gundlached
Wed Aug 17, 2016 9:35 pm
Forum: Investing - Help with Personal Investments
Topic: Please help me choose a non-municipal bond fund for my taxable account
Replies: 26
Views: 2009

Re: Please help me choose a non-municipal bond fund for my taxable account

I think you've dismissed CDs too quickly. First, you can buy brokered CDs at Vanguard, and get a yield premium of at least 50 basis points over Treasuries of same maturity. Second, it would require only one additional account to get CDs with higher yields and less term risk (due to early withdrawal...
by gundlached
Wed Aug 17, 2016 8:57 pm
Forum: Investing - Help with Personal Investments
Topic: Please help me choose a non-municipal bond fund for my taxable account
Replies: 26
Views: 2009

Re: Please help me choose a non-municipal bond fund for my taxable account

Having lived through 2008/2009, I agree 100% with your aversion to munis. They are not US treasuries by a stretch.

Heck, I don't even trust CD early withdrawals during market turmoil.
by gundlached
Sat Aug 13, 2016 9:31 pm
Forum: Personal Finance (Not Investing)
Topic: Any lawyers out there. Bike hits car, minor and parents have no insurance
Replies: 91
Views: 9045

Re: Any lawyers out there. Bike hits car, minor and parents have no insurance

I would let it go. Not a lawyer.

I'd rake an uninsured motorist over the coals. Not a kid on a bike.
by gundlached
Thu Aug 11, 2016 3:22 pm
Forum: Investing - Help with Personal Investments
Topic: Would you get into [FSMEX - Fidelity Select Medical Equipment] now or wait?
Replies: 24
Views: 2353

Re: Would you get into [FSMEX - Fidelity Select Medical Equipment] now or wait?

Thanks for posting, it is actually interesting that this segment of the health sector is up so much YTD. That said, if you are looking for "quality" tilt, I would use VIG (Vanguard Dividend Appreciation). FSMEX is a satellite holding--I wouldn't go more than 5% and that would be your entir...
by gundlached
Thu Aug 11, 2016 11:05 am
Forum: Investing - Theory, News & General
Topic: Anyone looking at changing AA in presence of Current Valuations?
Replies: 71
Views: 4651

Re: Anyone looking at changing AA in presence of Current Valuations?

I have not touched overall split of equity vs. bond (still 60/40) I did, however, blow away my REITs (part of equity) and replaced with VTI (Total US Stock Market ETF). This decision was based in part on the following thread: https://www.bogleheads.org/forum/viewtopic.php?t=194420 I also changed out...
by gundlached
Wed Aug 10, 2016 10:36 am
Forum: Personal Consumer Issues
Topic: Talked myself out of buying a new car. What do you think
Replies: 31
Views: 3420

Re: Talked myself out of buying a new car. What do you think

10 year old car with >100K miles

I'd think seriously about replacement perhaps before the winter. I wouldn't want to put more $ into maintenance.
by gundlached
Sat Aug 06, 2016 10:02 pm
Forum: Investing - Theory, News & General
Topic: Avoid International?
Replies: 103
Views: 11817

Re: Avoid International?

International stocks have underperformed for the last 20 years, as have all international index funds since their inception. There are no broad international index funds you can invest in that have outperformed the US. There is no proof besides backtests that there was ever any outperformance to da...
by gundlached
Tue Aug 02, 2016 3:56 pm
Forum: Investing - Help with Personal Investments
Topic: Fixed Income Question...Short Term Bonds or I Bonds
Replies: 15
Views: 2438

Re: Fixed Income Question...Short Term Bonds or I Bonds

I agree that they are a good option for the retail investor who can afford to surrender liquidity for the full term of the CD. However, I would not count on the early withdrawal option as part of an investment thesis to insure against rising interest rates. That is what made it a "slam dunk&qu...
by gundlached
Mon Aug 01, 2016 9:42 pm
Forum: Investing - Help with Personal Investments
Topic: Healthcare and biotech sector
Replies: 6
Views: 1209

Re: Healthcare and biotech sector

How big is the biotech position vs. additional annual contributions to portfolio? And are you early in career? If you are going to be adding significantly more principal from earnings, I would probably just leave it to avoid cap gains and chalk it up to an investment made as a young man or woman. W...
by gundlached
Mon Aug 01, 2016 9:12 pm
Forum: Investing - Help with Personal Investments
Topic: Fixed Income Question...Short Term Bonds or I Bonds
Replies: 15
Views: 2438

Re: Fixed Income Question...Short Term Bonds or I Bonds

I was on the verge of pulling the trigger on moving into a CD ladder, however, I gave the terms a close read. I concluded that the early withdrawal option you reference is often explicitly conditional on the consent of the bank...and at best just not stated. It is not a guarantee in most cases. Thi...
by gundlached
Sun Jul 31, 2016 11:06 pm
Forum: Investing - Help with Personal Investments
Topic: Healthcare and biotech sector
Replies: 6
Views: 1209

Re: Healthcare and biotech sector

How big is the biotech position vs. additional annual contributions to portfolio? And are you early in career? If you are going to be adding significantly more principal from earnings, I would probably just leave it to avoid cap gains and chalk it up to an investment made as a young man or woman. Wh...
by gundlached
Sun Jul 31, 2016 10:54 pm
Forum: Investing - Help with Personal Investments
Topic: Fixed Income Question...Short Term Bonds or I Bonds
Replies: 15
Views: 2438

Re: Fixed Income Question...Short Term Bonds or I Bonds

I think you would be better off shifting a large portion of your fixed income to good direct CDs (purchased directly from a bank or credit union). I explain much of my reasoning in this blog post, which is part 2 of a 3-part series: CD 5-Year Report Card: Part 2 (Risk and Return) . I am a few years...
by gundlached
Sat Jul 30, 2016 11:04 am
Forum: Personal Consumer Issues
Topic: Yet another new/used car post. Help me replace a car
Replies: 39
Views: 3817

Re: Yet another new/used car post. Help me replace a car

I like the Toyota Avalon too (I have one). Comfy and reliable. I love mine--I have the XLE. Perfect for a long commute--silent and comfortable. I spend up to half an hour each day just waiting on the Mass Ave bridge from Cambridge to Boston. I just sink into my black leather seat in my silent cockp...
by gundlached
Sat Jul 30, 2016 11:01 am
Forum: Investing - Theory, News & General
Topic: Vanguard Dividend Growth just closed (effective *now*)
Replies: 62
Views: 8346

Re: Vanguard Dividend Growth just closed (effective *now*)

nedsaid wrote:Don't worry. Just chase the ETF version.


In the eternal words of Kevin Spacey in Superman Returns: "...WRONG!"
by gundlached
Thu Jul 28, 2016 9:14 am
Forum: Investing - Help with Personal Investments
Topic: 100 % Wellesley Admiral (VWIAX)?
Replies: 35
Views: 5714

Re: 100 % Wellesley Admiral (VWIAX)?

Would welcome input regarding a 100% Wellesley (VWIAX) retirement portfolio in an IRA account. I appreciate that no International equities are included, but the conservative asset allocation, low expense ratio and absence of international bond holdings in other all-in-one funds (Target, Life Strate...
by gundlached
Sat Jul 23, 2016 9:00 am
Forum: Investing - Theory, News & General
Topic: Reliving the Nightmare of the Crisis
Replies: 119
Views: 11759

Re: Reliving the Nightmare of the Crisis

With all the mentions of margin, options, single stocks, market timing, futures, and 100% stock portfolios lately, I thought the forum could use some context in the form of reliving the financial crisis. What are your favorite threads or news stories from that time? What are some memories that stuc...