Search found 159 matches

by kathyauburn
Thu Oct 12, 2017 10:05 am
Forum: Investing - Theory, News & General
Topic: Offensive Valuations
Replies: 45
Views: 4030

Re: Offensive Valuations

Why in the world would I buy more shares of this "business" (S&P 500) right now, at a multiple of twice the historical average? Because everyone else is doing it? I heard someone the other day say that when he worked in the financial industry during the '87 crash, a poll (by fax!) was taken. The qu...
by kathyauburn
Thu Oct 12, 2017 10:00 am
Forum: Investing - Theory, News & General
Topic: Rebalancing - Personal Philosophies
Replies: 43
Views: 3413

Re: Rebalancing - Personal Philosophies

archerydoc wrote:
Sun Oct 08, 2017 4:56 pm
I am curious how often others are rebalancing their portfolios. I am also interested to hear personal opinions regarding the "best" time(s) of year to perform this essential activity.
I do not rebalance. Too much trouble. I let the fund I'm in do it for me on a daily basis.
by kathyauburn
Mon Oct 09, 2017 2:51 pm
Forum: Investing - Help with Personal Investments
Topic: Taxable Vanguard help invest $50,000
Replies: 24
Views: 1830

Re: Taxable Vanguard help invest $50,000

John Laurens wrote:
Mon Oct 09, 2017 1:51 pm
If I were you based off the info you gave, I would pay off any debt including the condo before taxable investing.

Regards,
John
Second this. Be debt free.
by kathyauburn
Mon Oct 09, 2017 2:33 pm
Forum: Investing - Theory, News & General
Topic: Has your "risk tolerance" been tested?
Replies: 97
Views: 5094

Re: Has your "risk tolerance" been tested?

Tested, yes, like so many in 2008-9. I was about 75% stocks, 9 years to go to retirement with pension. We know what happened to the stocks. But the surprise came May 2009 when our entire organization got notice that, due to an imploding state budget, we would cease to exist in 60 days. It seemed un...
by kathyauburn
Mon Oct 09, 2017 11:52 am
Forum: Investing - Theory, News & General
Topic: I'm thinking about cashing completely out of equites....
Replies: 75
Views: 8038

Re: I'm thinking about cashing completely out of equites....

Essentially, he asserts that equity investing in much riskier than most people believe, and that increased time in the market actually increasing your portfolio risk. He is a proponent of Treasury I Bonds and TIPS for the money that you need for retirement, and only use equities for money in excess...
by kathyauburn
Mon Oct 09, 2017 11:47 am
Forum: Investing - Theory, News & General
Topic: I'm thinking about cashing completely out of equites....
Replies: 75
Views: 8038

Re: I'm thinking about cashing completely out of equites....

I note that Vanguard's terminal retirement portfolio AA is 30/70. The government's TSP is 20/80. In all of the testing and calculations I've done (and the testing includes my comfort level), these are the ratios that allow me to sleep well at night and not worry about whether my money will run out....
by kathyauburn
Mon Oct 09, 2017 11:46 am
Forum: Investing - Theory, News & General
Topic: I'm thinking about cashing completely out of equites....
Replies: 75
Views: 8038

Re: I'm thinking about cashing completely out of equites....

I note that Vanguard's terminal retirement portfolio AA is 30/70. The government's TSP is 20/80. In all of the testing and calculations I've done (and the testing includes my comfort level), these are the ratios that allow me to sleep well at night and not worry about whether my money will run out.
by kathyauburn
Mon Oct 09, 2017 11:43 am
Forum: Investing - Theory, News & General
Topic: I'm thinking about cashing completely out of equites....
Replies: 75
Views: 8038

Re: I'm thinking about cashing completely out of equites....

I'm 56 years old and I have all the money I will ever need based on my lifestyle (boring). With the market overdue for a correction does it ever make sense to completely liqudate ones exposure to risk. I'm currently at a 50/50 mix. Thoughts? My short answer is no. My more detailed response is conta...
by kathyauburn
Mon Oct 09, 2017 11:39 am
Forum: Investing - Theory, News & General
Topic: Bogle himself is saying we will expect like 3% for the next decades
Replies: 137
Views: 13149

Re: Bogle himself is saying we will expect like 3% for the next decades

https://www.youtube.com/watch?v=KF1RodFhFwc This is very depressing. Even the master himself is saying we will get something like measly 3% from the market and the fun times are over. Really? :( Not fair. I guess due to exposure of everyone to these markets indexing is just not that profitable anym...
by kathyauburn
Mon Oct 09, 2017 11:36 am
Forum: Investing - Theory, News & General
Topic: Does anyone hold cash?
Replies: 58
Views: 5518

Re: Does anyone hold cash?

Blueskies123 wrote:
Wed Oct 04, 2017 7:38 am
I keep two years of expenses in cash now that I am retired.
I think this makes sense. I do the same.
by kathyauburn
Mon Oct 09, 2017 9:26 am
Forum: Investing - Theory, News & General
Topic: Has your "risk tolerance" been tested?
Replies: 97
Views: 5094

Re: Has your "risk tolerance" been tested?

The events that can harm your savings have a fairly high correlation with the events that can harm your income, so attempting to make sure that th the worst-case scenario is tolerable is a more appropriate goal. Well said. What I do to build in the worst-case scenario that you mention--and thus get...
by kathyauburn
Mon Oct 09, 2017 9:03 am
Forum: Investing - Theory, News & General
Topic: Has your "risk tolerance" been tested?
Replies: 97
Views: 5094

Re: Has your "risk tolerance" been tested?

One thing people should be aware of is that their risk tolerance may change as their circumstances change. For example, when someone retires they lose their human capital. They are vulnerable to the sequence of return risk and no longer can rely on their human capital to help recoup their losses. A...
by kathyauburn
Sun Oct 08, 2017 11:31 am
Forum: Investing - Help with Personal Investments
Topic: TSP to Vanguard?
Replies: 116
Views: 13829

Re: TSP to Vanguard?

I retired in January 2015 from the Federal Government. I chose to transfer 100% of my TSP into a diversified set of Vanguard index funds. For me, the TSP was a great vehicle for accumulating assets, but I viewed the withdrawal options as restrictive and over-controlled. Further, I do not wish to to...
by kathyauburn
Sat Oct 07, 2017 12:37 pm
Forum: Investing - Theory, News & General
Topic: Has your "risk tolerance" been tested?
Replies: 97
Views: 5094

Re: Has your "risk tolerance" been tested?

People talk about choosing an allocation they can stick with, but many times it sounds like they pick something they think they can get through with teeth clenched, knuckles white - in other words...."gutting it out". I think it is a very poor approach, even if you actually do manage to stay the co...
by kathyauburn
Sat Oct 07, 2017 12:33 pm
Forum: Investing - Theory, News & General
Topic: Has your "risk tolerance" been tested?
Replies: 97
Views: 5094

Re: Has your "risk tolerance" been tested?

I think the real test is if and when the market goes down and stays down for years. Most people here have been conditioned to think it bounces back up. That isn't always the case. Look at 30s. Look at mid 60s to 1982. Or worse look at Japan. Agree. That's why I said we were just lucky in 08-09 that...
by kathyauburn
Sat Oct 07, 2017 12:28 pm
Forum: Investing - Theory, News & General
Topic: Has your "risk tolerance" been tested?
Replies: 97
Views: 5094

Re: Has your "risk tolerance" been tested?

Lesson: regardless of your position, there is no such thing as job security. Those are words of wisdom. Teaching was the closest thing I came to having a job that was really secure ("so long as people continue *******, teacher jobs will always be there"). I thought govt was the next best thing, but...
by kathyauburn
Sat Oct 07, 2017 12:24 pm
Forum: Investing - Theory, News & General
Topic: Has your "risk tolerance" been tested?
Replies: 97
Views: 5094

Re: Has your "risk tolerance" been tested?

whodidntante wrote:
Sat Oct 07, 2017 10:27 am
BolderBoy wrote:
Sat Oct 07, 2017 10:26 am
2007-2009 my advisor had me 90/10 (wide variety of VERY risk things) and I watched 50% of my portfolio disappear. In 2009 (just before March), he sold and went to cash. :(
That's painful to read.
It sure is.
by kathyauburn
Sat Oct 07, 2017 9:40 am
Forum: Investing - Theory, News & General
Topic: Has your "risk tolerance" been tested?
Replies: 97
Views: 5094

Re: Has your "risk tolerance" been tested?

So I have two questions for the group that may give others who are reading this some food for thought. First, has the risk tolerance that presumably went into determining your asset allocation actually been battle tested by market downturns? kathyauburn, I was 100/0 with individual Telecom stock du...
by kathyauburn
Sat Oct 07, 2017 9:34 am
Forum: Investing - Theory, News & General
Topic: Has your "risk tolerance" been tested?
Replies: 97
Views: 5094

Re: Has your "risk tolerance" been tested?

My wife and I both agreed that we should do absolutely nothing. And as I've said, the right description of 2008-2009 was not "we stayed the course" but "we froze like deer caught in the headlights." I'm a fraidycat and have always had "too conservative" an allocation. As a matter of fact in 2007 I ...
by kathyauburn
Sat Oct 07, 2017 9:29 am
Forum: Investing - Theory, News & General
Topic: Has your "risk tolerance" been tested?
Replies: 97
Views: 5094

Re: Has your "risk tolerance" been tested?

Absolutely I was tested in 2008-09. This thread says it all: https://www.bogleheads.org/forum/viewtopic.php?f=10&t=25126&hilit=I+can%27t+believe Some really great words of wisdom in that post you cited. I like this in particular: Nothing can be said that will help. One lesson only - if you can't su...
by kathyauburn
Sat Oct 07, 2017 9:16 am
Forum: Investing - Theory, News & General
Topic: Has your "risk tolerance" been tested?
Replies: 97
Views: 5094

Re: Has your "risk tolerance" been tested?

Sheepdog wrote:
Sat Oct 07, 2017 9:14 am
Absolutely I was tested in 2008-09. This thread says it all: viewtopic.php?f=10&t=25126&hilit=I+can%27t+believe
Very interesting. Thanks for sharing that. And what might have happened had less intelligent people been at the helm during that period?
by kathyauburn
Sat Oct 07, 2017 8:57 am
Forum: Investing - Theory, News & General
Topic: Has your "risk tolerance" been tested?
Replies: 97
Views: 5094

Has your "risk tolerance" been tested?

One key determinant of a sensible asset allocation is "risk tolerance." I contend that the phrase "risk tolerance" means very little when people are initially confronted with the idea, and as a result people create their portfolios, at least initially, with very little to no understanding of what th...
by kathyauburn
Fri Oct 06, 2017 1:33 pm
Forum: Investing - Help with Personal Investments
Topic: Return Assumptions over Next 15 years
Replies: 13
Views: 1098

Re: Return Assumptions over Next 15 years

My invested assets are roughly 80% stocks (for the most part, invested in the entire market), 15% bonds, and 5% REITs. Like many of us, I have a spreadsheet with certain assumptions built in to track retirement savings projections. I am in my mid 50's....the spreadsheet distinguishes between return...
by kathyauburn
Tue Oct 03, 2017 10:02 am
Forum: Investing - Help with Personal Investments
Topic: TSP to Vanguard?
Replies: 116
Views: 13829

Re: TSP to Vanguard?

grabiner wrote:
Fri May 13, 2016 8:34 pm
The main reason to keep the TSP is the G fund.
That is indeed A reason, and a very good one. It is not the only one, however. The other reasons are the lowest fees in existence, the lowest fees in existence, and the lowest fees in existence.
by kathyauburn
Tue Oct 03, 2017 10:00 am
Forum: Investing - Help with Personal Investments
Topic: TSP to Vanguard?
Replies: 116
Views: 13829

Re: TSP to Vanguard?

tompillion wrote:
Fri May 13, 2016 3:04 pm
I retired two years ago from civil service, and have been debating moving my TSP to Vanguard
BAD idea! The TSP is the best thing going in the investment world.

Stop debating. Do something else.
by kathyauburn
Sun Jul 30, 2017 6:04 pm
Forum: Investing - Help with Personal Investments
Topic: Do I Have Enough In My Emergency Fund?
Replies: 22
Views: 2936

Re: Do I Have Enough In My Emergency Fund?

2 years. You want to have enough cash/equivalents so that you can draw from that in the inevitable stock/bond downturn to come. You also want to have ample cash both to live on and to add to your stock/bond investments when they decline. Takes a lot of cash! 2 years is borderline absurd and not rea...
by kathyauburn
Sun Jul 30, 2017 1:50 pm
Forum: Investing - Help with Personal Investments
Topic: All at once or bit by bit?
Replies: 11
Views: 1043

Re: All at once or bit by bit?

A like a combined approach. Put in half now and then DCA the rest. Or better yet, put in half and then add to it only when the market turns down a certain percentage--say, 5%. That way, you're actually *hoping* for a pullback or another 50% retracement like we had in 2008. There's nothing wrong with...
by kathyauburn
Sun Jul 30, 2017 1:39 pm
Forum: Investing - Help with Personal Investments
Topic: Do I Have Enough In My Emergency Fund?
Replies: 22
Views: 2936

Re: Do I Have Enough In My Emergency Fund?

2 years. You want to have enough cash/equivalents so that you can draw from that in the inevitable stock/bond downturn to come. You also want to have ample cash both to live on and to add to your stock/bond investments when they decline. Takes a lot of cash!
by kathyauburn
Sat Jul 29, 2017 3:25 pm
Forum: Personal Finance (Not Investing)
Topic: Job dilemma
Replies: 31
Views: 3526

Re: Job dilemma

The tenor of your post (pros/cons) and my gut feeling lead me to this recommendation: stay where you are. A move such as this has to be about more than money unless money is the primary thing missing from your current situation. Another point: More information always makes tough decisions much easie...
by kathyauburn
Sat Jun 10, 2017 4:51 am
Forum: Personal Finance (Not Investing)
Topic: Where do you keep your Savings?
Replies: 24
Views: 3593

Re: Where do you keep your Savings?

I keep a few different online bank accounts. 1 for Emergency Fund 1 for Car Savings 1 for Vacation Savings 1 for Expected large annual expenses such as insurance premiums I feel that this leads to an extra $20-30k that could be invested throughout the year. Does anyone have a similar situation? Tha...
by kathyauburn
Sat Jun 10, 2017 4:46 am
Forum: Personal Finance (Not Investing)
Topic: (Very) Early Retirement vs Parenthood
Replies: 74
Views: 5296

Re: (Very) Early Retirement vs Parenthood

Ditch the kids. There are more than enough people in the world.
by kathyauburn
Fri Jun 09, 2017 12:40 pm
Forum: Personal Finance (Not Investing)
Topic: Regret early retirement/downsizing
Replies: 230
Views: 41007

Re: Regret early retirement/downsizing

I am not there yet. My fear is that I like seeing my assets go up every month. I am not sure I am ready to see them stay stagnant or go down. So I am still working. I'm less than 6 years away and I wonder about this too. I get a lot of satisfaction seeing assets go up over time and don't know how I...
by kathyauburn
Fri Jun 09, 2017 12:29 pm
Forum: Personal Finance (Not Investing)
Topic: I spend 6.1% of my Gross income on rent
Replies: 80
Views: 11143

Re: I spend 6.1% of my Gross income on rent

I'm at 5.5%, but I own. The 5.5 is all condo fee. Includes everything. However, in retirement, I will not mind spending 33% on rent in Europe because the safety net is, well, safer there. In the U.S., I've always felt that I needed a bigger buffer because job loss can lead to health insurance loss o...
by kathyauburn
Fri Jun 09, 2017 12:24 pm
Forum: Personal Finance (Not Investing)
Topic: Meeting with retirement guru, specializes in federal govt employees
Replies: 72
Views: 8195

Re: Meeting with retirement guru, specializes in federal govt employees

You probably know this, but do not ever let someone talk you into leaving the TSP. It's the best thing going. G fund alone is worth staying in for. It's the single best thing I've gotten out of working for the Feds. I moved all of my previous retirement accounts INTO it.
by kathyauburn
Fri Jun 09, 2017 12:00 pm
Forum: Personal Finance (Not Investing)
Topic: Regret early retirement/downsizing
Replies: 230
Views: 41007

Re: Regret early retirement/downsizing

One of my retirement gifts was a wooden plaque that just said "Simplify". It sits in a hallway and I pass it many times a day. I've lived that word and have never regretted it. One of the great benefits of this notion is not only the freedom it brings you but also the time it brings you to read thi...
by kathyauburn
Fri Jun 09, 2017 11:54 am
Forum: Personal Finance (Not Investing)
Topic: Regret early retirement/downsizing
Replies: 230
Views: 41007

Re: Regret early retirement/downsizing

No regrets! I retired in 2000 at age 53, although I did part time contract work off and on for the next three years. I think it helps to transition rather than going cold turkey. I was a very techie techie with a megacorp, and while the first 25 years had been great the last five the job became les...
by kathyauburn
Fri Jun 09, 2017 9:29 am
Forum: Investing - Help with Personal Investments
Topic: Keep money I'll need in the bank? Or account?
Replies: 14
Views: 1459

Re: Keep money I'll need in the bank? Or account?

Bank money market accounts pay 1%. CDs longer than 1 year pay a bit more. There are no attractive vehicles today for saving money safely. The Federal G fund pays a bit more than 2%, but you have to be a Fed to get that.
by kathyauburn
Fri Jun 09, 2017 9:09 am
Forum: Investing - Theory, News & General
Topic: 100% Stock Portfolio?
Replies: 138
Views: 8515

Re: 100% Stock Portfolio?

rattlenap wrote: are unafraid of the volatility in the stock market
Has that belief been tested? Did you ride out the 2008 50% market decline while adding to your portfolio rather than selling?
by kathyauburn
Fri Jun 09, 2017 9:07 am
Forum: Investing - Help with Personal Investments
Topic: Keep money I'll need in the bank? Or account?
Replies: 14
Views: 1459

Re: Keep money Ill need in the bank? Or account?

sport wrote:I would not put any money in the stock market if I might need it within 10 years.
Agree.
by kathyauburn
Mon May 15, 2017 12:09 pm
Forum: Investing - Help with Personal Investments
Topic: Safe, low volatility ETFs with monthly dividend payout
Replies: 14
Views: 1020

Re: Safe, low volatility ETFs with monthly dividend payout

avalpert wrote:What are you trying to accomplish?


Monthly income. Stability of principal.
by kathyauburn
Mon May 15, 2017 12:09 pm
Forum: Investing - Help with Personal Investments
Topic: Safe, low volatility ETFs with monthly dividend payout
Replies: 14
Views: 1020

Re: Safe, low volatility ETFs with monthly dividend payout

Can anyone recommend one or more safe, low volatility ETFs with monthly dividend payouts? Thanks. I don't know what your definition of "low volatility" covers. Short term bond funds (above) have the lowest volatility but the lowest dividends. An Intermediate bond fund will pay out more, b...
by kathyauburn
Mon May 15, 2017 12:07 pm
Forum: Investing - Help with Personal Investments
Topic: Safe, low volatility ETFs with monthly dividend payout
Replies: 14
Views: 1020

Re: Safe, low volatility ETFs with monthly dividend payout

There aren't any actual money market ETFs because share price is determined by the market anyway, no matter how stable the NAV, and you might have it moving a penny. So that structure isn't offered. Without understanding the reasoning and motivation it's hard to say but here are a few levels of rel...
by kathyauburn
Mon May 15, 2017 10:23 am
Forum: Investing - Help with Personal Investments
Topic: Safe, low volatility ETFs with monthly dividend payout
Replies: 14
Views: 1020

Re: Safe, low volatility ETFs with monthly dividend payout

Clever_Username wrote:It sounds like you're looking for a bond fund.

(Edit) Or a money market. Those are low volatile and have monthly payouts.


That might work. Any suggestions?
by kathyauburn
Mon May 15, 2017 10:20 am
Forum: Investing - Help with Personal Investments
Topic: Safe, low volatility ETFs with monthly dividend payout
Replies: 14
Views: 1020

Safe, low volatility ETFs with monthly dividend payout

Can anyone recommend one or more safe, low volatility ETFs with monthly dividend payouts? Thanks.
by kathyauburn
Sun May 14, 2017 6:44 am
Forum: Investing - Help with Personal Investments
Topic: Thoughts on state employee pension.
Replies: 10
Views: 1414

Re: Thoughts on state employee pension.

Just picked up a county job that has a mandatory 7% towards the pension. It is 10 years to become vested. Problem is I was not using this employment for a career path so I'm not certain I will ever be fully vested. I was pretty thrown off that it was a mandatory state retirement system, so apparent...
by kathyauburn
Sun May 14, 2017 6:29 am
Forum: Personal Finance (Not Investing)
Topic: Regret early retirement/downsizing
Replies: 230
Views: 41007

Re: Regret early retirement/downsizing

Different people are different. If I had had the money, I could have happily retired at age 24. I'm a creative person who can write, make music, pursue publishing and countless other projects. I don't get my energy or motivation from social situations or other people. I don't need or want validation...
by kathyauburn
Sat May 06, 2017 3:24 pm
Forum: Personal Finance (Not Investing)
Topic: Capital One 360 New Money Market Account, 1% on over 10k
Replies: 99
Views: 24748

Re: Capital One 360 New Money Market Account, 1% on over 10k

Got this reply after 3 days from CapOne: We've confirmed that our Money Market Accounts cannot currently be accessed through third party financial tools. Because of this, your Money Market Account details can only be seen through our website. Since this account is hot off the press, we're still wor...
by kathyauburn
Fri Mar 24, 2017 8:12 am
Forum: Investing - Theory, News & General
Topic: The $1,124,176 Car.
Replies: 99
Views: 10042

Re: The $1,124,176 Car.

CyclingDuo wrote:Sorry it didn't work out for you.


I'm not. I love the lessons it taught me. We all know that life lessons are sometimes expensive.