Search found 1698 matches

by hollowcave2
Sat Jan 02, 2016 12:41 pm
Forum: Investing - Theory, News & General
Topic: Lump Sum vs Dollar Cost Averaging
Replies: 9
Views: 759

Re: Lump Sum vs Dollar Cost Averaging

There's a lot on this board talking about LS vs. DCA, so if you want to see whole discussion threads on the topic, just use the search function and look for dollar cost averaging. I'm a big fan of DCA, and since you're making regular contributions already, one strategy is simply to continue that. Ho...
by hollowcave2
Sat Dec 19, 2015 1:42 pm
Forum: Investing - Help with Personal Investments
Topic: Upgrade to Brokerage Account with Vanguard
Replies: 43
Views: 4078

Re: Upgrade to Brokerage Account with Vanguard

With the new account you can sell a VG ETF and buy a VG mutual fund on the same day. Wow. Well, that is a significant benefit. I am impressed. But I also don't trade much, so I probably wouldn't make use of this benefit very often. Maybe I'll eventually do it. I just don't want to change something ...
by hollowcave2
Thu Dec 17, 2015 10:20 pm
Forum: Investing - Help with Personal Investments
Topic: Upgrade to Brokerage Account with Vanguard
Replies: 43
Views: 4078

Re: Upgrade to Brokerage Account with Vanguard

So if all of the mutual funds also went into the "Vanguard account," I wonder if I could sell an ETF and use those funds the same day to buy into a Vanguard fund. If that were possible, then I might see some benefit. As it stands right now, if I sell an ETF in the brokerage account, I have...
by hollowcave2
Thu Dec 17, 2015 7:54 pm
Forum: Investing - Help with Personal Investments
Topic: What to do with VGPMX (Vanguard Precious Metals and Mining)?
Replies: 86
Views: 10074

Re: What to do with VGPMX (Vanguard Precious Metals and Mining)?

Very good assessment in the post above. Looks like price for VGPMX will drop more from here. I expect a new all time low soon. They may have to do a reverse split on the fund. It could be a good time to buy if you have staying power and the allocation represents a small portion of your overall portf...
by hollowcave2
Thu Dec 17, 2015 6:29 pm
Forum: Local Chapters and Bogleheads Community
Topic: Sacramento Bogleheads @ McClatchy Library 10:30 AM Sat Dec 12, 2015
Replies: 4
Views: 1179

Re: Sacramento Bogleheads @ McClatchy Library 10:30 AM Sat Dec 12, 2015

I had a great time meeting other Bogleheads at the recent meeting Dec 12. What a great place to meet, too. Nice old style building. Beautiful restoration. Very inspiring and comfortable for talking about market theory. 8-) You know, Boglehead style investing is ultimately............. boring !! Stay...
by hollowcave2
Thu Dec 17, 2015 6:21 pm
Forum: Investing - Help with Personal Investments
Topic: Lump Sum or Dollar Cost Averaging Investing?
Replies: 98
Views: 4621

Re: Lump Sum or Dollar Cost Averaging Investing?

You seem to be of the Rick Ferri school: "If that's what it takes, then do it!"


LOL

I guess I'm happy to be in the Rick Ferri school !

:shock:

:moneybag
by hollowcave2
Thu Dec 17, 2015 12:56 pm
Forum: Investing - Help with Personal Investments
Topic: Lump Sum or Dollar Cost Averaging Investing?
Replies: 98
Views: 4621

Re: Lump Sum or Dollar Cost Averaging Investing?

Steve, What is the Asset Allocation you have set in your Investment Policy Statement? Are you invested to that AA? L. Thanks for the question. Yeah, I get your point about setting the proper AA. I'm at 70/30 stocks/bonds and have been for about 3 years now. I went to all stocks in 2009 (lucky). But...
by hollowcave2
Wed Dec 16, 2015 5:08 pm
Forum: Investing - Help with Personal Investments
Topic: Lump Sum or Dollar Cost Averaging Investing?
Replies: 98
Views: 4621

Re: Lump Sum or Dollar Cost Averaging Investing?

Well, if it's your own fear and greed, get over it


Easier said than done.
by hollowcave2
Wed Dec 16, 2015 4:23 pm
Forum: Investing - Help with Personal Investments
Topic: Lump Sum or Dollar Cost Averaging Investing?
Replies: 98
Views: 4621

Re: Lump Sum or Dollar Cost Averaging Investing?

Markets are often affected by psychology: greed and fear.

Fear is a big factor. Anything that gets you over investment paralysis is something to consider.

And there's no guarantees with waving a dead chicken....... except perhaps it smells a little.

:D
by hollowcave2
Wed Dec 16, 2015 3:04 pm
Forum: Investing - Help with Personal Investments
Topic: Lump Sum or Dollar Cost Averaging Investing?
Replies: 98
Views: 4621

Re: Lump Sum or Dollar Cost Averaging Investing?

OMG Here we go with the DCA vs. Lump Sum thread again !! AAhhhhhh!!!!! It's really a matter of personal experience and personal risk tolerance. It has nothing at all to do with mazimizing return. DCA is a risk management technique. So data mining over the years to compare DCA vs LS and see which on...
by hollowcave2
Mon Dec 14, 2015 2:50 pm
Forum: Investing - Help with Personal Investments
Topic: Mutual Fund Question -- New Young Investor
Replies: 10
Views: 574

Re: Mutual Fund Question -- New Young Investor

I would definitely stay the course. You're assuming the market will go down this week. But everyone knows about the Fed. Have you considered the Fed raising rates less than expected? Would this cause the market to jump up? And if that happened, how would you feel about your cash holding? You're youn...
by hollowcave2
Mon Dec 14, 2015 2:40 pm
Forum: Investing - Help with Personal Investments
Topic: Lump sum to Roth or student loans?
Replies: 23
Views: 1332

Re: Lump sum to Roth or student loans?

This choice is a matter of personal preference. If I was in your situation, I would contribute the $3K to the Roth. Here's my reasoning: The 3K will not pay off the student loan and still leaves most of the loan in place. You've already sacrificed contributing to the Roth to service your loans. Well...
by hollowcave2
Fri Oct 16, 2015 10:37 pm
Forum: Investing - Theory, News & General
Topic: Why is my stock ask "missed"?
Replies: 25
Views: 2660

Re: Why is my stock ask "missed"?

If you have a low volume highly illiquid security ( as you hinted ) then it may be that there simply weren't enough buyers at your price. The Bid-Ask spread on these stocks can also be very high, so there's a big difference between buying and selling it. Once some of the higher prices are filled, an...
by hollowcave2
Fri Oct 16, 2015 10:26 pm
Forum: Investing - Theory, News & General
Topic: Getting into bonds at this point
Replies: 26
Views: 2401

Re: Getting into bonds at this point

I'm a big fan of dollar cost averaging, but in general, not for bond funds. Bond funds are less volatile than stocks (believe it or not). Also, we just had a significant drop in intermediate and longer term bond fund NAV earlier this year, so I don't think it's a bad time to buy bonds. The problem w...
by hollowcave2
Fri Oct 16, 2015 10:17 pm
Forum: Investing - Theory, News & General
Topic: November I Bond Interest Rate Thread! [fixed goes from 0% to 0.10%]
Replies: 43
Views: 4179

Re: It's time for the "November I Bond Interest Rate?" Thread!

There hasn't been a decent fixed rate component since 2008 when it was at 1.2%, which sounds incredibly high now. The highest it's been since 2009 is 0.3%, and a lot of 6 month periods where it was at zero. Where's Mel with his 3% fixed rate bonds? :D I personally never buy I-bonds with fixed rates ...
by hollowcave2
Thu Oct 15, 2015 8:54 am
Forum: Investing - Theory, News & General
Topic: Vanguard's new structure and direct ownership
Replies: 12
Views: 2006

Re: Vanguard's new structure and direct ownership

Thanks for all of the replies. I'm just trying to understand the organizational structure of Vanguard.

Looks like ownership stays in the family anyway.
by hollowcave2
Wed Oct 14, 2015 6:06 pm
Forum: Investing - Theory, News & General
Topic: Vanguard's new structure and direct ownership
Replies: 12
Views: 2006

Vanguard's new structure and direct ownership

Like many of you, I have received an "Action Requested" message in my Vanguard account to move all of my mutual funds into a brokerage account at Vanguard Brokerage Services (VBS). We are being assured that this will cost us nothing and provide easier and more efficient investment flexibil...
by hollowcave2
Wed Oct 14, 2015 9:29 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard asking me to move funds into brokerage?
Replies: 22
Views: 3028

Re: Vanguard asking me to move funds into brokerage?

Thanks, Blues, for calling a Vanguard rep and getting some clarity for me. I guess I have officially turned into an "old fogie." I am also inclined to do nothing. I have one more question about this change. Under the current structure, if I sell an ETF in a VBS account, I have to wait unti...
by hollowcave2
Tue Oct 13, 2015 9:18 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard asking me to move funds into brokerage?
Replies: 22
Views: 3028

Re: Vanguard asking me to move funds into brokerage?

I am just trying to understand this "New Structure" at Vanguard. They want us to put everything in a brokerage. Alright, let's just be sure we know what we are doing. As I see it, if I put one of my stock certificates into a brokerage, I am no longer the direct owner. The brokerage owns it...
by hollowcave2
Tue Oct 13, 2015 8:38 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard asking me to move funds into brokerage?
Replies: 22
Views: 3028

Vanguard asking me to move funds into brokerage?

I just visited the Vanguard site and it is asking me to take action by moving funds into a new structure so that I can see them better. If I take this action, then my funds will be under a brokerage account and the old funds closed. That doesn't sound like a small shift in structure to me. I apologi...
by hollowcave2
Tue Jul 14, 2015 3:24 pm
Forum: Personal Consumer Issues
Topic: Online Auction - Coins
Replies: 12
Views: 1172

Re: Online Auction - Coins

I've taken a break from coin collecting for a couple years now, so I haven't kept up with news as much. I am sorry to learn that Teletrade no longer exists. They used to be a nice site for weekly auctions. They were bought by Stack's and Bowers. So I was motivated today to look at some coin auction ...
by hollowcave2
Sun Jul 12, 2015 10:27 pm
Forum: Personal Consumer Issues
Topic: Online Auction - Coins
Replies: 12
Views: 1172

Re: Online Auction - Coins

Can you be more specific about your interest in coins? Are you buying for an investment portfolio, like gold bullion, or are you interested in the numismatic value, like Morgan dollars? If you are a novice and plan to spend more than $100 on a coin, I'd definitely buy certified coins from PCGS, NGC,...
by hollowcave2
Thu Jun 25, 2015 5:20 pm
Forum: Investing - Theory, News & General
Topic: Vanguard on Rising Interest Rates
Replies: 1
Views: 816

Re: Vanguard on Rising Interest Rates

A rule of thumb for fixed income investors is that if your time horizon is longer than a bond's duration, you stand to benefit from rising interest rates. When interest rates rise, bond prices fall, which will result in short-term losses. But those losses will be offset by higher returns on reinves...
by hollowcave2
Thu Jun 25, 2015 5:15 pm
Forum: Investing - Help with Personal Investments
Topic: VBTLX tax-loss harvesting, similar funds?
Replies: 9
Views: 849

Re: VBTLX tax-loss harvesting, similar funds?

Capital gain/loss is treated separately from dividends and interest. In terms of total return, they may offset but not precisely.

And I would recommend the Short Term Bond Index for you, given your risk tolerance.
by hollowcave2
Thu Jun 25, 2015 11:00 am
Forum: Investing - Help with Personal Investments
Topic: VBTLX tax-loss harvesting, similar funds?
Replies: 9
Views: 849

Re: VBTLX tax-loss harvesting, similar funds?

The total bond admiral fund (VBTLX) has a duration of 5.7 years. A general rule of thumb is that your investment horizon in a bond fund should match or exceed the time frame of its duration. This helps to mitigate capital losses by reinvesting the money into shares at a lower price. Already you are ...
by hollowcave2
Thu Jun 25, 2015 10:49 am
Forum: Investing - Help with Personal Investments
Topic: Selling Fund Before Dividend Distribution & Buying it Right Back to Avoid Withholding Tax
Replies: 16
Views: 2623

Re: Selling Fund Before Dividend Distribution & Buying it Right Back to Avoid Withholding Tax

Also let's assume that there will be no tax consequences of this trade and that the trading costs will be low. I understand that you wish to have a theoretical discussion in order to understand the mechanics of distributions from funds. But we live in the real world, and the above quote is a huge a...
by hollowcave2
Thu Jun 25, 2015 10:33 am
Forum: Investing - Help with Personal Investments
Topic: Lump sum investment v. DCA v. Waiting
Replies: 53
Views: 6506

Re: Lump sum investment v. DCA v. Waiting

Of course DCA is psychological. All of investing has a psychological component. The markets can be very irrational over the short term. Welcome to one of the great debates on this board. DCA vs LS vs wait. I definitely would not wait. Waiting, or investment paralysis, is what DCA was designed to ove...
by hollowcave2
Thu Jun 18, 2015 1:27 pm
Forum: Investing - Help with Personal Investments
Topic: Mom's broker moved to Stifel; preferreds
Replies: 5
Views: 877

Re: Mom's broker moved to Stifel; preferreds

I am sure you can talk to a broker at Vanguard Brokerage Services (VBS) regarding your questions. I am also certain that VBS has a wide selection of preferred stock and other income instruments for you to make a choice. You may also benefit from talking to a Vanguard financial advisor about your mom...
by hollowcave2
Thu Jun 18, 2015 1:24 pm
Forum: Local Chapters and Bogleheads Community
Topic: Sacramento, CA Area Chapter - Master Thread
Replies: 34
Views: 6350

Re: Sacramento, CA Area Chapter - Master Thread

I attended the Bogleheads meeting in Sacramento on June 13 and I found it to be a great experience. It's nice to talk to other Bogleheads face to face. The meeting was well organized and we talked about our philosophy about asset allocation. I hope to attend more meetings this summer.

Steve
by hollowcave2
Sat Jan 03, 2015 11:00 am
Forum: Personal Finance (Not Investing)
Topic: Help With WEP Offset and Distributions
Replies: 1
Views: 370

Re: Help With WEP Offset and Distributions

Welcome to the forum.

I don't know how to answer your question, but I'll bump the post back to the top and see if our experts can help.

Good luck.
by hollowcave2
Sat Jan 03, 2015 10:57 am
Forum: Personal Finance (Not Investing)
Topic: Value ETFs
Replies: 4
Views: 579

Re: Value ETFs

Well, I wouldn't limit myself to specific regions, so the funds that focus on specific regions are out for me. The total world stock is too broad, so that basically leaves VEU, VEA, and VWO. But none of those are value equivalent. They represent blends of value and growth. If I had to pick just one ...
by hollowcave2
Sat Jan 03, 2015 10:46 am
Forum: Personal Finance (Not Investing)
Topic: Potential new job and relocation advice.
Replies: 13
Views: 1348

Re: Potential new job and relocation advice.

William, I am in the midst of changing jobs myself. IMHO, the first consideration is quality of life. That would be lifestyle, your home, if you like your job, the geographic region, extended family, kids, etc. So I would carefully weigh those first. If you feel good about those things, the finances...
by hollowcave2
Fri Jan 02, 2015 6:26 pm
Forum: Investing - Theory, News & General
Topic: Watch those cap gain distributions!
Replies: 0
Views: 541

Watch those cap gain distributions!

Wow, I have to admit that I can see a real benefit holding the "boring" index funds as compared with other more "exciting" funds. I was just looking at the cap gains distributions for some of my funds and, man, I am so glad that I hold these in my tax sheltered IRA accounts. Is i...
by hollowcave2
Thu Nov 13, 2014 7:07 pm
Forum: Investing - Theory, News & General
Topic: iBonds at zero % fixed
Replies: 84
Views: 10910

Re: iBonds at zero % fixed

Wow, the case for both I-bonds and EE bonds seems to shrink with each reset of the rates. Don't they want people to buy savings bonds anymore? The powers seem that they wished I-Bonds never had a fixed rate. And the EE rate is so paltry, the only reason to buy is the doubling feature at 20 years. Al...
by hollowcave2
Wed Jun 11, 2014 3:26 pm
Forum: Investing - Theory, News & General
Topic: "Costly Self-delusions": Happiness, Market Timing
Replies: 30
Views: 2312

Re: "Costly Self-delusions": Happiness, Market Timing

Thanks for the post and link. An excellent article.
by hollowcave2
Wed Jun 11, 2014 12:51 pm
Forum: Investing - Help with Personal Investments
Topic: Bond ETFs a certain loss?
Replies: 16
Views: 1290

Re: Bond ETFs a certain loss?

Since #1 and #2 have been commented upon, I'll comment on #3. Assertion #3 sounds like it is based on fear, speculative assumptions, and what you've heard in the media. You've offered no reasonable data to back up your assertion #3. Sure, I can think of many scenarios where #3 can happen but I can t...
by hollowcave2
Mon Jun 09, 2014 8:10 pm
Forum: Investing - Help with Personal Investments
Topic: Put Option as Insurance
Replies: 11
Views: 1156

Re: Put Option as Insurance

I agree with grabiner's advice above.

I would count your blessings and sell the stock, realizing the gains. Congratulations.
by hollowcave2
Sun May 11, 2014 10:34 am
Forum: Investing - Help with Personal Investments
Topic: Investing in Gold/Silver Coins
Replies: 37
Views: 3218

Re: Investing in Gold/Silver Coins

Adding some physical gold can help provide ballast for a portfolio and may be of some use in emergencies. I agree with the limit that LadyGeek suggested of no more than 5% of your portfolio. Realize, however, that gold does not provide any interest, needs to be in a secure place, and as an investmen...
by hollowcave2
Tue May 06, 2014 10:24 am
Forum: Investing - Theory, News & General
Topic: Term life vs Whole life
Replies: 28
Views: 3408

Re: Term life vs Whole life

I agree that term life is cheaper and more efficient than whole life. I also recognize that whole life is not universally bad and it's possible to find a decent whole life policy. But life insurance should be used for just that, insurance. I don't think whole life makes a very good investment vehicl...
by hollowcave2
Mon Feb 03, 2014 10:56 am
Forum: Investing - Theory, News & General
Topic: The Final, Definitive Thread on Dollar-Cost Averaging
Replies: 101
Views: 10126

Re: The Final, Definitive Thread on Dollar-Cost Averaging

SAMBB sums my views quite cogently in this post: I'm not sure this thread is helpful to someone who asks about DCA vs lump sum. Sure there are differences in opinion, but it seems like this thread may not be interpreted properly by a new investor. I would say, do what you feel is comfortable, as the...
by hollowcave2
Wed Jan 01, 2014 1:48 pm
Forum: Investing - Theory, News & General
Topic: REGISTRATION FOR THE 2014 BOGLEHEAD CONTEST
Replies: 537
Views: 18409

Re: REGISTRATION FOR THE 2014 BOGLEHEAD CONTEST

2124

Here's to another good year, and especially, to good health.

Steve
by hollowcave2
Wed Dec 04, 2013 10:50 pm
Forum: Investing - Theory, News & General
Topic: Investment types that can lead to a loss greater than 100%
Replies: 16
Views: 1743

Re: Investment types that can lead to a loss greater than 10

Futures
Short selling a stock, unhedged
Selling a naked call option

I believe in all of the above, potential loss is theoretically unlimited.
by hollowcave2
Wed Dec 04, 2013 10:40 pm
Forum: Investing - Help with Personal Investments
Topic: Investing lump sums
Replies: 14
Views: 1412

Re: Investing lump sums

I must say that the Bogleheads Wiki article referenced in the link above is the most objective and sane comparison between Lump Sum and Dollar Cost Averaging. It's nice to see such an article discussing the pros and cons in such an intelligent matter. I hope this answers those questions about which ...
by hollowcave2
Fri Nov 29, 2013 9:52 pm
Forum: Investing - Help with Personal Investments
Topic: Elderly parents heavily invested with Edward Jones- help
Replies: 28
Views: 8662

Re: Elderly parents heavily invested with Edward Jones- help

In reality, those fees, which she and I had already gone over, were approaching 20,000 a year. Insane! She said thanks and submitted the vanguard forms I'm not defending Edward Jones here, but I also want to be fair. How is $20K of fees being generated annually? Anyway, to add onto the discussion a...
by hollowcave2
Thu Nov 28, 2013 11:25 am
Forum: Forum Issues and Administration
Topic: Bogleheads.org should accept Bitcoin donations
Replies: 25
Views: 2220

Re: Bogleheads.org should accept Bitcoin donations

I guess I could use some education about these bitcoins. Seems to me that their only value is that people think they are worth something. Now, I guess we can say the same thing about U.S. money. But I think there is a big difference between the full faith and credit of the United States versus a pop...
by hollowcave2
Tue Nov 26, 2013 6:55 pm
Forum: Investing - Help with Personal Investments
Topic: VGPMX vanguard precious metals
Replies: 6
Views: 1506

Re: VGPMX vanguard precious metals

I also have held the fund as part of a total portfolio. I agree it has been a very bumpy ride. I haven't heard anything about changing managers and I don't think that would matter much. The entire sector is in a slump this year. It's very cyclical volatile. As for me, I'm keeping it as part of my to...
by hollowcave2
Fri Nov 01, 2013 11:00 am
Forum: Investing - Theory, News & General
Topic: How much Total Bond fund to produce $10k of steady income
Replies: 38
Views: 3952

Re: How much Total Bond fund to produce $10k of steady incom

Current yield of the BND ETF is about 2.5 %. So you would need $400,000 invested to receive 10,000 annually at that rate. With regards to your second question, yes, you basically have it right, although I am sure there are other complex factors at work. But the effect would not be instant. You would...
by hollowcave2
Fri Nov 01, 2013 10:51 am
Forum: Investing - Theory, News & General
Topic: Nov 2013 I Bond Rate - 1.38% (0.20% Fixed)
Replies: 94
Views: 8312

Re: Nov 2013 I Bond Rate - 1.38% (0.20% Fixed)

Actually, this is a simple problem to solve. If you want the newer bonds, wait until the one year mark and then sell the I bonds you purchased earlier this year and roll them into the 0.2% fixed rate I bonds. It would cost 3 months interest, but if you want to do that, you can. But that introduces ...
by hollowcave2
Fri Nov 01, 2013 10:28 am
Forum: Investing - Theory, News & General
Topic: Nov 2013 I Bond Rate - 1.38% (0.20% Fixed)
Replies: 94
Views: 8312

Re: Nov 2013 I Bond Rate - 1.38% (0.20% Fixed)

This is actually bad news . I am overwhelmed with cognitive biases: 1. I've bought my $10k worth of I Bonds early in the year, and now I feel the loss. 2. What should I do next year? Should I buy them early at 0.2% or wait? Victoria I know how you feel-- one year I got a 1% drop in my interest rate...
by hollowcave2
Fri Nov 01, 2013 10:20 am
Forum: Investing - Theory, News & General
Topic: Nov 2013 I Bond Rate - 1.38% (0.20% Fixed)
Replies: 94
Views: 8312

Re: Nov 2013 I Bond Rate - 1.38% (0.20% Fixed)

Finally!!!!!!!!!!!!!!!!! An increase in the fixed rate is a surprise and I welcome it! It's about time. I think I'll step up my automatic purchases again. Man, the EE bonds are at 0.10% Wow. That's tough. The only reason to hold EE bonds is to wait for them to double at 20 years. Almost like holdin...

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