Search found 351 matches

by johnanglemen
Mon Feb 08, 2016 6:05 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Customer Service
Replies: 87
Views: 6412

Re: Vanguard Customer Service

After two attempts, I received an answer from Vanguard as to the cause of the dividend posting issue. It turns out it was human error and should not happen again. Curious to know what would have happened if I hadn't checked my expected dividends that get posted to my brokerage account. Would Vangua...
by johnanglemen
Thu Feb 04, 2016 7:22 pm
Forum: Investing - Help with Personal Investments
Topic: Possible to purchase excess SIPC coverage?
Replies: 10
Views: 590

Re: Possible to purchase excess SIPC coverage?

The fraud at firms like MFGlobal involved improper use of more than $1 billion in customer money. If you read through the detailed history, they were improperly withdrawing more in customer funds than the limit on Vanguard's entire excess policy *every day* toward the end of October 2011. I buy insu...
by johnanglemen
Thu Feb 04, 2016 6:37 pm
Forum: Investing - Help with Personal Investments
Topic: Possible to purchase excess SIPC coverage?
Replies: 10
Views: 590

Possible to purchase excess SIPC coverage?

SIPC only covers up to $500K at a brokerage, and the excess SIPC coverage purchased by brokerages is woefully inadequate (e.g. Vanguard has $250 million in coverage across all customers). Is there any way for high net worth clients to purchase their own insurance against the bankruptcy or fraud of a...
by johnanglemen
Wed Feb 03, 2016 11:53 pm
Forum: Investing - Theory, News & General
Topic: Wrong cost basis method used by Vanguard
Replies: 38
Views: 3829

Re: Wrong cost basis method used by Vanguard

Folks, this problem has been happening with Vanguard for at least 3 years. It's not a January 2016 issue. It's not an upgraded account issue (my account isn't upgraded). It's a longstanding problem with their "cost basis vendor" that they are well aware of, but have not been able to fix. I...
by johnanglemen
Thu Jan 28, 2016 5:57 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard wire transfers getting lost?
Replies: 0
Views: 210

Vanguard wire transfers getting lost?

I have made multiple sales at Vanguard over the past week, with the proceeds set to wire to an Ally bank account that I have used multiple times in the past. None of these wires have actually posted to Ally, but they show as sent on Vanguard's side. Both institutions blame the other side. Is anyone ...
by johnanglemen
Fri Jan 15, 2016 4:00 am
Forum: Investing - Help with Personal Investments
Topic: Please confirm my understanding of the TLH window
Replies: 3
Views: 355

Re: Please confirm my understanding of the TLH window

I did sell all shares. So I guess that's a good-to-go, right?
by johnanglemen
Fri Jan 15, 2016 12:21 am
Forum: Investing - Help with Personal Investments
Topic: Please confirm my understanding of the TLH window
Replies: 3
Views: 355

Please confirm my understanding of the TLH window

If I sold a security at a loss on 12/15/15, I can repurchase it on 1/15/16 without incurring a wash sale, right?
by johnanglemen
Sun Jan 10, 2016 7:50 pm
Forum: Investing - Help with Personal Investments
Topic: True or false: Reinvested dividends aren't 100% "in the market"
Replies: 12
Views: 764

Re: True or false: Reinvested dividends aren't 100% "in the market"

Thanks livesoft. That explanation was helpful. I wonder if I actually have a deeper underlying question, then. Each equity fund holds stocks in companies. Those companies pay cash dividends to the fund quarterly. In my mind, the dividend is -- for at least some nonzero length of time -- sitting in c...
by johnanglemen
Sun Jan 10, 2016 6:53 pm
Forum: Investing - Help with Personal Investments
Topic: True or false: Reinvested dividends aren't 100% "in the market"
Replies: 12
Views: 764

Re: True or false: Reinvested dividends aren't 100% "in the market"

Let's imagine that, like in some other countries, the dividend isn't paid out, and instead is retained as part of NAV. Other than taxation, in what way do you think the result would be different? Please be specific with numbers. PJW Consider three prices: 1) Thursday's NAV 2) Thursday's NAV minus t...
by johnanglemen
Sun Jan 10, 2016 6:41 pm
Forum: Investing - Help with Personal Investments
Topic: True or false: Reinvested dividends aren't 100% "in the market"
Replies: 12
Views: 764

Re: True or false: Reinvested dividends aren't 100% "in the market"

False. Look up ex-dividend date (don't worry, I did it for you). Friday, in your example, is the day on which the NAV is adjusted downward to take account of the dividend. Thursday's NAV included it, and Friday's share balance accounted for it. Previous confusing thread title or not, there is no ca...
by johnanglemen
Sun Jan 10, 2016 6:33 pm
Forum: Investing - Help with Personal Investments
Topic: True or false: Reinvested dividends aren't 100% "in the market"
Replies: 12
Views: 764

True or false: Reinvested dividends aren't 100% "in the market"

(I'm starting a new thread for this since I gave the other one a bad title and it's gotten confusing.) My basic claim is as follows: If you own shares of a fund on Thursday, and continue to hold them through Friday, you're fully invested in the market. Duh. But say that fund declares a dividend on T...
by johnanglemen
Sun Jan 10, 2016 6:13 pm
Forum: Investing - Help with Personal Investments
Topic: Do ETFs get you more time in the market than mutual funds?
Replies: 14
Views: 565

Re: Do ETFs get you more time in the market than mutual funds?

Those "other things" have no impact on the dividend amount. If the fund has received $1.00 per share in dividends, it has to pay those out. I understand that. But if I've selected dividend reinvestment, it's going to pay them out by purchasing shares on my behalf at the fund's next availa...
by johnanglemen
Sun Jan 10, 2016 6:07 pm
Forum: Investing - Help with Personal Investments
Topic: Dividend reinvestment -- trade date
Replies: 10
Views: 317

Re: Dividend reinvestment -- trade date

If you hold mutual fund shares at a broker that is not the mutual fund company itself, it takes an extra day usually to have the mutual fund bookkeeping to be reported to your broker and your brokerage account updated. If you held the shares directly at the mutual fund company, you would see the up...
by johnanglemen
Sun Jan 10, 2016 6:00 pm
Forum: Investing - Help with Personal Investments
Topic: Do ETFs get you more time in the market than mutual funds?
Replies: 14
Views: 565

Re: Do ETFs get you more time in the market than mutual funds?

I have $10,000 in mutual fund $FOO when the market closes on Thursday. I'm its only shareholder. It declares a dividend that is worth $1000 to me. When the market opens on Friday, the value of the fund first falls $1000 because it has to "pay out" my dividend. Then the value rises $1 mill...
by johnanglemen
Sun Jan 10, 2016 5:31 pm
Forum: Investing - Help with Personal Investments
Topic: Do ETFs get you more time in the market than mutual funds?
Replies: 14
Views: 565

Re: Do ETFs get you more time in the market than mutual funds?

I have $10,000 in mutual fund $FOO when the market closes on Thursday. I'm its only shareholder. It declares a dividend that is worth $1000 to me. When the market opens on Friday, the value of the fund first falls $1000 because it has to "pay out" my dividend. Then the value rises $1 milli...
by johnanglemen
Sun Jan 10, 2016 5:23 pm
Forum: Investing - Help with Personal Investments
Topic: Do ETFs get you more time in the market than mutual funds?
Replies: 14
Views: 565

Re: Do ETFs get you more time in the market than mutual funds?

I see. But it is still correct to say that you are out of the market 4 days a year with mutual fund dividend reinvestments, even if ETF reinvestments are even worse -- isn't it? This is interesting, I had never considered it. I thought dividend reinvestment implied uninterrupted time in the market....
by johnanglemen
Sun Jan 10, 2016 5:13 pm
Forum: Investing - Help with Personal Investments
Topic: Dividend reinvestment -- trade date
Replies: 10
Views: 317

Re: Dividend reinvestment -- trade date

Brokers may do different things, but I don't understand how a broker can give someone a dividend reinvestment price of the 12/18 NAV, but attach a trade date to it of 12/21. That seems internally inconsistent within the same broker, and possibly even illegal? If the trade substantively happened on ...
by johnanglemen
Sun Jan 10, 2016 5:10 pm
Forum: Investing - Help with Personal Investments
Topic: Do ETFs get you more time in the market than mutual funds?
Replies: 14
Views: 565

Re: Do ETFs get you more time in the market than mutual funds?

Dividend reinvestment happens immediately with mutual funds. With ETFs, the pay date is a few days after the ex-date. Your broker will reinvest then. The exact timing of reinvestment depends upon the broker. So, your dividend money is out of the market for a few days with ETFs. I see. But it is sti...
by johnanglemen
Sun Jan 10, 2016 5:06 pm
Forum: Investing - Help with Personal Investments
Topic: Dividend reinvestment -- trade date
Replies: 10
Views: 317

Re: Dividend reinvestment -- trade date

Here are the dates Vanguard uses: https://investor.vanguard.com/mutual-funds/all-vanguard-funds#tab=overview And relevant to your other thread, here are the dates for VG ETFs: https://personal.vanguard.com/us/funds/etf/all#upperTB=distTBI&lowerTB=overTBI (for both, click on the "distributi...
by johnanglemen
Sun Jan 10, 2016 5:05 pm
Forum: Investing - Help with Personal Investments
Topic: Dividend reinvestment -- trade date
Replies: 10
Views: 317

Re: Dividend reinvestment -- trade date

Brokers do different things. ETFs and mutual funds are very different with respect to when shares are purchased in a dividend re-investment plan. Please read this thread: https://www.bogleheads.org/forum/viewtopic.php?t=87742 and others like it. Brokers may do different things, but I don't understa...
by johnanglemen
Sun Jan 10, 2016 4:44 pm
Forum: Investing - Help with Personal Investments
Topic: Do ETFs get you more time in the market than mutual funds?
Replies: 14
Views: 565

Do ETFs get you more time in the market than mutual funds?

Is it correct to say that you're out of the market 4 days a year if you hold mutual funds that have quarterly distributions even if you use automatic dividend reinvestments (because you miss the price action on the reinvest date itself), whereas with ETFs, you could theoretically reinvest dividends ...
by johnanglemen
Sun Jan 10, 2016 4:39 pm
Forum: Investing - Help with Personal Investments
Topic: Dividend reinvestment -- trade date
Replies: 10
Views: 317

Re: Dividend reinvestment -- trade date

By the way, they also claim that Vanguard itself does this: They said: "I have again reached out to our Corporate Actions department, and they have stated that while not 100% sure, they believe that we will use the pay date as the trade date. They believe this to be the case, as the mutual fund...
by johnanglemen
Sun Jan 10, 2016 4:36 pm
Forum: Investing - Help with Personal Investments
Topic: Dividend reinvestment -- trade date
Replies: 10
Views: 317

Dividend reinvestment -- trade date

I hold some Vanguard mutual funds at Interactive Brokers. I noticed recently that for dividend reinvestments, IB records the trade date as the Payable Date of the distribution...even though I (properly) get the shares at the NAV they close at on the reinvest date. Their back office says that Payable...
by johnanglemen
Thu Jan 07, 2016 4:45 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Customer Service
Replies: 87
Views: 6412

Re: Vanguard Customer Service

missing
by johnanglemen
Thu Jan 07, 2016 1:28 am
Forum: Investing - Help with Personal Investments
Topic: Better to hold Total Stock or Emerging Markets in tax-sheltered?
Replies: 3
Views: 402

Re: Better to hold Total Stock or Emerging Markets in tax-sheltered?

Given your assumptions, shouldn't your calculation for EM be: (3% * 65% * 39.6%) + (3% * 35% * 20%) - (3% * 6%) = 0.80 ? Yes, duh -- thanks! My takeaway is, I think the numbers might be somewhat closer than your calculations; but the key is the FTC, and either the 7% rule is wrong, the Wiki is usin...
by johnanglemen
Thu Jan 07, 2016 12:17 am
Forum: Investing - Help with Personal Investments
Topic: Have I been messing up my estimated taxes all this time?
Replies: 6
Views: 898

Re: Have I been messing up my estimated taxes all this time?

There is no way to see the actual dividend; you would have to dig into the financial records which aren't published. The most sensible method, if you need to compute quarterly income, is to prorate the foreign tax. If you received $100, $200, $200, and $300 in paid dividends, and the reported divid...
by johnanglemen
Wed Jan 06, 2016 11:54 pm
Forum: Investing - Help with Personal Investments
Topic: Have I been messing up my estimated taxes all this time?
Replies: 6
Views: 898

Have I been messing up my estimated taxes all this time?

It occurs to me I've been making a logic error in figuring my estimated taxes that may explain past issues. When I figure my estimated taxes each quarter, I input the dividends received thus far as reported by Vanguard (e.g. in Transaction History or in the "Dividends & Capital Gains" ...
by johnanglemen
Wed Jan 06, 2016 11:27 pm
Forum: Investing - Help with Personal Investments
Topic: Better to hold Total Stock or Emerging Markets in tax-sheltered?
Replies: 3
Views: 402

Better to hold Total Stock or Emerging Markets in tax-sheltered?

I am in the top federal tax bracket and also have high state taxes. Because of those high state taxes, I am typically in AMT. I'm trying to decide whether it's better to hold Total Stock or Emerging Markets in my tax-sheltered accounts. These are two funds I hold anyway as part of my asset allocatio...
by johnanglemen
Wed Jan 06, 2016 1:26 pm
Forum: Investing - Help with Personal Investments
Topic: Proper protocol for purchasing ETFs?
Replies: 17
Views: 1119

Re: Proper protocol for purchasing ETFs?

If people just ignore the premium/discount, why is it brought up on this forum so often? Is it actionable or not?
by johnanglemen
Wed Jan 06, 2016 6:57 am
Forum: Investing - Help with Personal Investments
Topic: Proper protocol for purchasing ETFs?
Replies: 17
Views: 1119

Re: Proper protocol for purchasing ETFs?

I want to swap into something that I would be comfortable holding forever. I would not be comfortable holding VMMSX forever given that it's actively managed (this is a taxable account) and has a 0.96% ER. What is it about the amount that changes how one would deal with the premium/discount issue? Ho...
by johnanglemen
Wed Jan 06, 2016 6:47 am
Forum: Investing - Help with Personal Investments
Topic: Proper protocol for purchasing ETFs?
Replies: 17
Views: 1119

Proper protocol for purchasing ETFs?

I need to tax loss harvest Vanguard Emerging Markets Fund (VEMAX). I've been putting it off because as far as I know, all of the appropriate replacements for this are ETFs; but the time has come. The reason I avoid ETFs is because it seems like there's a lot of rigamarole (premium/discount, spreads....
by johnanglemen
Mon Jan 04, 2016 2:34 am
Forum: Investing - Help with Personal Investments
Topic: IRA contribution maximum
Replies: 1
Views: 199

IRA contribution maximum

You can contribute to an IRA for 2015 up until April 2016. However, is your contribution maximum the income you earned from 1/1/15 to 12/31/15? Or from 1/1/15 to 4/15/16? I assume the former but double checking. Thanks.
by johnanglemen
Sat Jan 02, 2016 12:46 am
Forum: Investing - Theory, News & General
Topic: Why is a Vanguard Developed+Emerging combo so far off from International when it comes to small caps?
Replies: 5
Views: 546

Re: Why is a Vanguard Developed+Emerging combo so far off from International when it comes to small caps?

Ahh yes, it says in the disclaimer at the bottom: "The FTSE Emerging Markets All Cap China A Transition Index is an interim index that will gradually increase exposure to small-capitalization stocks and China A-shares while proportionately reducing exposure to other stocked based on their weigh...
by johnanglemen
Sat Jan 02, 2016 12:36 am
Forum: Investing - Theory, News & General
Topic: Why is a Vanguard Developed+Emerging combo so far off from International when it comes to small caps?
Replies: 5
Views: 546

Why is a Vanguard Developed+Emerging combo so far off from International when it comes to small caps?

This page indicates that Vanguard Total International is 16.2% small, by Vanguard's definition of small: https://institutional.vanguard.com/VGApp/iip/site/institutional/investments/portfoliodetails?fundId=1870 That same page says that Total International is 17.20% emerging and 82.80% developed. Howe...
by johnanglemen
Mon Dec 28, 2015 6:23 pm
Forum: Investing - Help with Personal Investments
Topic: More capital loss carryovers than can use in lifetime
Replies: 21
Views: 1562

Re: More capital loss carryovers than can use in lifetime

Earlier I made a point of saying you should buy a not-substantially-identical fund. This doesn't actually matter since you're realizing gains, not losses (and so wash sales aren't an issue). So as livesoft says, you could conceivably move between classes of the same fund in some cases.
by johnanglemen
Mon Dec 28, 2015 5:09 pm
Forum: Investing - Help with Personal Investments
Topic: More capital loss carryovers than can use in lifetime
Replies: 21
Views: 1562

Re: More capital loss carryovers than can use in lifetime

Seems like the right thing to do here is to start trading around dividend dates in order to avoid receiving (and thus paying tax on) dividends. Just before a dividend is distributed, sell and purchase a similar (but not substantially identical) fund that has already distributed its dividend. By doin...
by johnanglemen
Tue Dec 15, 2015 3:55 pm
Forum: Investing - Help with Personal Investments
Topic: Tax loss harvesting Emerging Markets
Replies: 9
Views: 528

Re: Tax loss harvesting Emerging Markets

IEMG has only been around 3 years (10/22/12), so there is no 5-year-record to compare. If you look at a chart over that period, they are highly correlated, although with IEMG including small caps and South Korea (at nearly 17%), there have been differences: http://tinyurl.com/nzvyt5q They are certa...
by johnanglemen
Tue Dec 15, 2015 3:47 pm
Forum: Investing - Help with Personal Investments
Topic: Tax loss harvesting Emerging Markets
Replies: 9
Views: 528

Re: Tax loss harvesting Emerging Markets

It seems just as likely that TLH'ing could actually leave you worse off than doing nothing at all. johnanglemen: That's not correct. We should nearly always take a tax-loss benefit when it is available or we may lose it forever. I simply exchange into a money market or bond fund and exchange back a...
by johnanglemen
Tue Dec 15, 2015 2:53 pm
Forum: Investing - Help with Personal Investments
Topic: Tax loss harvesting Emerging Markets
Replies: 9
Views: 528

Tax loss harvesting Emerging Markets

I know a lot of people here use IEMG as a tax loss harvesting partner for Vanguard Emerging Markets (VEMAX). However, as far as I can tell, the two holdings do not perform similarly at all: Over three months: VEMAX (-6.78%), IEMG (-2.79%) Over six months: VEMAX (-22.12%), IEMG (-18.08%) Over one yea...
by johnanglemen
Thu Oct 01, 2015 3:15 am
Forum: Investing - Theory, News & General
Topic: Four Vanguard International Equity Index changing/broadening indexes
Replies: 80
Views: 9427

Re: Four Vanguard International Equity Index changing/broadening indexes

The foreign market is 20% emerging and 15% small (according to FTSE's definitions; the indexes are only 10% small but FTSE defines large-cap as the top 85% of the market). Thus, a market weighting is 68% developed large, 17% emerging large, 12% developed small, 3% emerging small. If you held 68% De...
by johnanglemen
Thu Oct 01, 2015 3:00 am
Forum: Investing - Help with Personal Investments
Topic: Approximating total international -- wiki outdated?
Replies: 0
Views: 253

Approximating total international -- wiki outdated?

It appears that the wiki is, or will be, outdated about how to approximate total international (https://www.bogleheads.org/wiki/Approximating_total_international_stock_market), now that Vanguard Developed Markets and Vanguard Emerging Markets both contain small-caps. Could someone offer the breakdow...
by johnanglemen
Thu Oct 01, 2015 2:56 am
Forum: Investing - Help with Personal Investments
Topic: Which of these is the best tax loss harvest partner for Vanguard Total Stock?
Replies: 6
Views: 855

Which of these is the best tax loss harvest partner for Vanguard Total Stock?

Is there any reason to prefer one of these to another when tax-loss harvesting Vanguard Total Stock (VTSAX): 1. Schwab Total Stock Market Index Fund (SWTSX) 2. Fidelity Spartan® Total Market Index Fund (FSTVX) 3. Vanguard Large Cap Index Fund (VLCAX) ...or is there another fund I should be consideri...
by johnanglemen
Mon Aug 24, 2015 2:32 am
Forum: Investing - Theory, News & General
Topic: Is there consensus on reinvesting dividends or taking in cash?
Replies: 8
Views: 1010

Re: Is there consensus on reinvesting dividends or taking in cash?

If you reinvest a dividend and then need to sell to rebalance, you will have a capital-gains tax on the shares you bought with the reinvested dividend. You will pay a tax if you have capital gains. The tax rate will be less than or equal to the tax rate you would pay on any interest earned if you h...
by johnanglemen
Sat Aug 22, 2015 9:53 pm
Forum: Investing - Help with Personal Investments
Topic: TLH both the primary and alternate fund at once?
Replies: 5
Views: 661

TLH both the primary and alternate fund at once?

I have share lots of both Vanguard Total International (VTIAX) and Vanguard FTSE All-World Ex-US (VFWAX) that have meaningful losses I'd like to tax loss harvest. However, ordinarily I use VFWAX as my replacement for VTIAX. Can anyone suggest a third fund I could TLH into? I had to recognize some su...
by johnanglemen
Thu Aug 06, 2015 2:17 pm
Forum: Investing - Help with Personal Investments
Topic: Real time / modern broker?
Replies: 3
Views: 212

Real time / modern broker?

Can anyone recommend another place to hold Vanguard funds that doesn't have all the ancient problems of Vanguard's interface, such as the fact that information only gets updated once a night?
by johnanglemen
Tue Apr 21, 2015 3:05 pm
Forum: Investing - Help with Personal Investments
Topic: Does realizing a gain provide "downside protection"?
Replies: 22
Views: 1384

Re: Does realizing a gain provide "downside protection"?

I do have flesh and blood professionals, but you'd be surprised at how much better the advice on this board can be... I am actually surprised that you are surprised at this kind of strategy, because in my mind it was a no-brainer way to print money. Would definitely like to hear more of your though...
by johnanglemen
Tue Apr 21, 2015 2:32 pm
Forum: Investing - Help with Personal Investments
Topic: Does realizing a gain provide "downside protection"?
Replies: 22
Views: 1384

Re: Does realizing a gain provide "downside protection"?

Also worth noting that "It is the FDIC's goal to make deposit insurance payments within two business day of the failure of the insured institution. " (https://www.fdic.gov/consumers/banking/facts/payment.html). Granted, this may be different during an apocalypse, and it's still after the m...
by johnanglemen
Tue Apr 21, 2015 2:28 pm
Forum: Investing - Help with Personal Investments
Topic: Does realizing a gain provide "downside protection"?
Replies: 22
Views: 1384

Re: Does realizing a gain provide "downside protection"?

Interest rates generally move in tandem, so yeah maybe. But interest rates diverge all the time. Are you sure you want to do this though? You're looking at $4000/year (minus taxes + deduction of interest you pay to IB) per $1 million you arbitrage. The arbitrage opportunity could sour (or even disa...

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