Search found 11600 matches

by pkcrafter
Thu Jul 20, 2017 8:22 pm
Forum: Investing - Theory, News & General
Topic: The Quest for Perfection
Replies: 109
Views: 4664

Re: The Quest for Perfection

Well, they say elegance and beauty are in the eye of the beholder, so go for it if that's your calling, but be aware that there is something about your quest for the perfect portfolio that raises a bit of a behavioral warning. There is no perfect portfolio. Even if you did hit on it, it would not th...
by pkcrafter
Thu Jul 20, 2017 6:42 pm
Forum: Investing - Help with Personal Investments
Topic: Expense ratio % vs. Return %
Replies: 5
Views: 410

Re: Expense ratio % vs. Return %

Gabe, the answer is FSITX is U.S. bond index with a risk rating of AA, same as Vanguard's total bond mkt index fund. FTBFX is total bond with a risk rating of BBB, so it is essentially somewhat riskier. For instance, in 2008, FTBFX lost 5.5% and FSITX gained 3.7%.

Paul
by pkcrafter
Thu Jul 20, 2017 5:26 pm
Forum: Investing - Theory, News & General
Topic: Expense Ratios, how high is too high
Replies: 72
Views: 3819

Re: Expense Ratios, how high is too high

What would be the highest expense ratio you would be willing to pay for a particular investment. I have several funds in an IRA with what seems high expense ratios, 1.18%, 1.17%, .71% and another .44%. EJ Adviser put me in these, along with some that have lower expense ratios such as 0.05. I'm movi...
by pkcrafter
Thu Jul 20, 2017 10:34 am
Forum: Investing - Help with Personal Investments
Topic: Does this portfolio suck? [Slovakia - EU]
Replies: 12
Views: 889

Re: Does this portfolio suck?

Maybe consider using VT if available. It is Vanguard's Total World index, which holds 56% U.S and 44% non-U.S. VWRL is usually a better choice than VT for non-US investors. VWRL is not US domiciled. For NRAs this generally sidesteps some potentially ugly and unwanted US dividend and estate tax cons...
by pkcrafter
Wed Jul 19, 2017 9:08 pm
Forum: Investing - Help with Personal Investments
Topic: FOSFX OR VEA??
Replies: 5
Views: 313

Re: FOSFX OR VEA??

I'm guessing oilcan looked at past returns. FOSFX is a growth fund and growth has had a good run. FOSFX has beaten the index for the past few years, but the index outperformed from 2008-2014.

Oilcan, over longer periods of time value beats growth, but in short periods, growth wins sometimes.

Paul
by pkcrafter
Wed Jul 19, 2017 8:40 pm
Forum: Investing - Help with Personal Investments
Topic: Wellington VWELX or 3 fund portfolio
Replies: 20
Views: 3170

Re: Wellington VWELX or 3 fund portfolio

Explorer wrote:
pkcrafter wrote:Looks like both investor shares and admiral shares are closed according to the page you pulled up.

Paul


Wellington is open if you purchase in a VG account...

Thanks, I could not find a closed notice, but my Vanguard page looks a bit different than Gregc's.


Paul
by pkcrafter
Wed Jul 19, 2017 8:21 pm
Forum: Investing - Theory, News & General
Topic: Risk, Return, and Rebalancing
Replies: 104
Views: 3212

Re: Risk, Return, and Rebalancing

Treasuries generally have a high negative correlation to equities in a flight to quality situation like a stock market crash or sometimes even only in a correction. That's not really true. In 2008 the stock market crashed and bonds tanked, for instance. False. TBM was up 5.05% in 2008. It was also ...
by pkcrafter
Wed Jul 19, 2017 7:36 pm
Forum: Investing - Theory, News & General
Topic: Risk, Return, and Rebalancing
Replies: 104
Views: 3212

Re: Risk, Return, and Rebalancing

Let's have a look at the chart on the bottom of this page on Risk and Time. http://www.norstad.org/finance/risk-and-time.html Paul If you cut off that chart at 20 years, will the final std deviation numbers be any different? P.S. I think that the OP is correct. As your planning horizon gets shorter...
by pkcrafter
Wed Jul 19, 2017 7:30 pm
Forum: Investing - Theory, News & General
Topic: Risk, Return, and Rebalancing
Replies: 104
Views: 3212

Re: Risk, Return, and Rebalancing

As much as I have read and thought about the topic I don't really care for ANY Of the financial definition of risk. In the end risk is you don't have X dollars when you need to have X dollars. It is up to each individual to figure out how to do that. If that means LMP great. If that means pensions ...
by pkcrafter
Wed Jul 19, 2017 5:44 pm
Forum: Investing - Theory, News & General
Topic: Well, I guess this is news, definition of risk averse
Replies: 2
Views: 348

Well, I guess this is news, definition of risk averse

'Risk Averse' by investopedia. :shock: A risk-averse investor dislikes risk, and therefore will stay away from adding high-risk stocks or investments to their portfolio and in turn will often lose out on higher rates of return. Investors looking for "safer" investments will generally stick...
by pkcrafter
Wed Jul 19, 2017 5:10 pm
Forum: Investing - Help with Personal Investments
Topic: Wellington VWELX or 3 fund portfolio
Replies: 20
Views: 3170

Re: Wellington VWELX or 3 fund portfolio

Looks like both investor shares and admiral shares are closed according to the page you pulled up.

Paul
by pkcrafter
Wed Jul 19, 2017 4:45 pm
Forum: Investing - Help with Personal Investments
Topic: Just finished reading Boglehead's Guide to Investing
Replies: 18
Views: 1005

Re: Just finished reading Boglehead's Guide to Investing

This was my second time reading the book. I have some questions please. But first I must state this: after reading the book I must say that unless you have been in 2 down markets you really don't how you will react. This is absolutely true and many investors find out the hard way. People are natura...
by pkcrafter
Wed Jul 19, 2017 4:14 pm
Forum: Investing - Help with Personal Investments
Topic: Wellington VWELX or 3 fund portfolio
Replies: 20
Views: 3170

Re: Wellington VWELX or 3 fund portfolio

I have all of my 401k in Wellington Admiral. This is mostly because most of my other choices in my 401k are not that good. Since I am over 59.5 I sweep all of what I can into my IRA every year (they don't allow me to move the company contributions). Too bad it is closed to new investors so I cannot...
by pkcrafter
Wed Jul 19, 2017 3:36 pm
Forum: Investing - Help with Personal Investments
Topic: Does this portfolio suck? [Slovakia - EU]
Replies: 12
Views: 889

Re: Does this portfolio suck?

Welcome, I agree with mhalley that your proposed portfolio is too heavy in small cap. Maybe consider using VT if available. It is Vanguard's Total World index, which holds 56% U.S and 44% non-U.S. Here's info on that fund https://personal.vanguard.com/us/funds/snapshot?FundIntExt=INT&FundId=0628...
by pkcrafter
Wed Jul 19, 2017 11:21 am
Forum: Investing - Theory, News & General
Topic: Risk, Return, and Rebalancing
Replies: 104
Views: 3212

Re: Risk, Return, and Rebalancing

Let's have a look at the chart on the bottom of this page on Risk and Time.

http://www.norstad.org/finance/risk-and-time.html

Paul
by pkcrafter
Wed Jul 19, 2017 9:41 am
Forum: Investing - Help with Personal Investments
Topic: Schwab's Modern Approach to Asset Allocation - Comments
Replies: 28
Views: 2346

Re: Schwab's Modern Approach to Asset Allocation - Comments

Thanks for posting, it is interesting. I think there are some good ideas here, but... Investors should never try to time the market by making radical short-term shifts. But investors can benefit by over- or under-weighting various asset classes during certain periods. Schwab has developed an approac...
by pkcrafter
Tue Jul 18, 2017 6:17 pm
Forum: Investing - Help with Personal Investments
Topic: Investment Strategy/ Asset Allocation
Replies: 2
Views: 283

Re: Investment Strategy/ Asset Allocation

Welcome to the forum, Hey Everyone! This will be my first post since I found Bogleheads a couple of days ago. I recently started investing and have been trying to the best of my abilities to understand the investment world. That being said, there are still questions that I have with regards to nume...
by pkcrafter
Tue Jul 18, 2017 1:17 pm
Forum: Investing - Theory, News & General
Topic: "The Benefits of Elegantly Simple Portfolio Construction"
Replies: 7
Views: 1174

Re: "The Benefits of Elegantly Simple Portfolio Construction"

bertilak wrote: I note the word "ephemeral" in the first quote above. I remember seeing huge differences in Efficient Frontier curves resulting from minor adjustments to the input . Yes, I often refer to the market as a chameleon, ever changing it's color and look. am: You would think that...
by pkcrafter
Tue Jul 18, 2017 12:24 pm
Forum: Investing - Help with Personal Investments
Topic: Need investing advice
Replies: 11
Views: 653

Re: Need investing advice

@dbltrbl Why do you say that? Why not to invest now? Also, if I'd find something, then where to put how much? I believe dbltrbl is saying that because you are apparently 100% stock and you cannot afford to see a 30%-50% drop in assets right now, even if it's temporary. Once you find a job again, an...
by pkcrafter
Tue Jul 18, 2017 11:57 am
Forum: Investing - Help with Personal Investments
Topic: Portfolio options
Replies: 4
Views: 387

Re: Portfolio options

Welcome, When you say you follow Merriman's recommendation, which of the three are you following? What Marriman is suggesting is we all slice and dice, which means cutting up the total market into sections and overweighting some of them. Merriman is a good guy and occasionally posts here, but his re...
by pkcrafter
Tue Jul 18, 2017 11:03 am
Forum: Investing - Help with Personal Investments
Topic: Simple 401k Rollover Question
Replies: 6
Views: 285

Re: Simple 401k Rollover Question

JCrack, your options are quit you job and roll the 401k to an IRA and then convert it to a Roth. This will work if your income will be lower when you go back to school. The other option is to just leave the 401k where it is now and roll it to a 401k with your new employer when done with school http:...
by pkcrafter
Mon Jul 17, 2017 11:09 pm
Forum: Investing - Help with Personal Investments
Topic: Low cost index funds/Fidelity
Replies: 21
Views: 1607

Re: Low cost index funds/Fidelity

Glad to see things are working out for you. You are on the right track.

Paul
by pkcrafter
Mon Jul 17, 2017 4:40 pm
Forum: Investing - Help with Personal Investments
Topic: Total Stock Index Fund vs SP 500
Replies: 25
Views: 2379

Re: Total Stock Index Fund vs SP 500

I understand that the total index fund and SP500 returns are really close. Question: lf the large companies in the SP 500 are down for the next 10 years and the mid and small caps are up for the next 10, does this mean the total stock index with have a better return the the SP 500???? The real poss...
by pkcrafter
Mon Jul 17, 2017 4:10 pm
Forum: Investing - Help with Personal Investments
Topic: backtesting different indexes
Replies: 10
Views: 503

Re: backtesting different indexes

indexonly, I just happened to come across some small cap performance data that may interest you. I posted it in Theory, and here's a direct link to the data.

https://www.raymondjames.com/melvillewe ... rmance.pdf


Paul
by pkcrafter
Mon Jul 17, 2017 4:05 pm
Forum: Investing - Theory, News & General
Topic: Some interesting market data from Raymond James
Replies: 1
Views: 396

Some interesting market data from Raymond James

Lots of market performance data from Raymond James/Ibbotson in first half. :happy Investor data in last half (Dalber) :(

https://www.raymondjames.com/melvillewe ... rmance.pdf


Paul
by pkcrafter
Sun Jul 16, 2017 9:14 pm
Forum: Investing - Help with Personal Investments
Topic: Selling Wife's Equal Sector Weight ETF - any landmines I'm missing?
Replies: 10
Views: 695

Re: Selling Wife's Equal Sector Weight ETF - any landmines I'm missing?

Anyway, her ROTH is handled by her parents' financial adviser who has had it all invested in this one fund for many years. My plan is to leave the guy (who doesn't charge us anything, but still....) Doesn't charge? Maybe, but I've never heard of it before. Maybe it's a contingency of your parents a...
by pkcrafter
Sun Jul 16, 2017 8:23 pm
Forum: Investing - Theory, News & General
Topic: Do Index Funds Distort Market Valuations?
Replies: 78
Views: 4163

Re: Do Index Funds Distort Market Valuations?

What is the external-to-the-market definition, determination, or calculation, of over- and under-valued? Unless there's a market-external authority the words are meaningless. Naturally, most market participants disagree with each other about appropriate security prices most of the time . That's bec...
by pkcrafter
Sun Jul 16, 2017 8:15 pm
Forum: Investing - Theory, News & General
Topic: DImensions of investment risk.
Replies: 15
Views: 535

Re: DImensions of investment risk.

Think for a moment about a sine wave. It has two attributes: Amplitude and Frequency, each with its own measurement. Note than risk is often given as a single number that is represented as one axis on a risk vs. expected return graph, but, does risk really have TWO dimensions similar to a sine wave...
by pkcrafter
Sun Jul 16, 2017 4:17 pm
Forum: Investing - Theory, News & General
Topic: Do Index Funds Distort Market Valuations?
Replies: 78
Views: 4163

Re: Do Index Funds Distort Market Valuations?

One criticism that's been leveled at cap-weighted index funds, especially since becoming so popular, is that they increase the mis-valuation of the market by making overvalued stocks more overvalued and undervalued stocks more undervalued. Sour grapes. This doesn't make any sense to me. Was the mar...
by pkcrafter
Sun Jul 16, 2017 11:55 am
Forum: Investing - Theory, News & General
Topic: When to reduce risk?
Replies: 18
Views: 1457

Re: When to reduce risk?

Thanks to this forum, I am almost half-way to my target retirement balance. I am using Core Four portfolio with 20% bond. My goal is to have 40% bond during retirement. One thing that I do not understand is when to reduce risk? Should I start increasing bond allocation when my portfolio reaches cer...
by pkcrafter
Sun Jul 16, 2017 11:17 am
Forum: Investing - Theory, News & General
Topic: Is the Total US Stock Market too concentrated?
Replies: 51
Views: 3684

Re: Is the Total US Stock Market too concentrated?

I've been learning more about how in the past 20 years, the US stock market has diminished in regards to the amount of publicly traded companies. This might leave an investor who invests in 100% US stocks exposed to certain sectors and not adequately diversified. Has John Bogle commented on this ph...
by pkcrafter
Sun Jul 16, 2017 9:13 am
Forum: Investing - Help with Personal Investments
Topic: Thinking out loud
Replies: 30
Views: 3185

Re: Thinking out loud

Warren Buffett's 90/10 AA was for his wife. I don't think it's a general recommendation for everyone. In Buffett's case, his wife could conceivably lose 90% of her holding and still have a comfortable retirement. When this topic comes up (which it does quite often), many folks say, the market can go...
by pkcrafter
Sun Jul 16, 2017 8:53 am
Forum: Investing - Help with Personal Investments
Topic: Low cost index funds/Fidelity
Replies: 21
Views: 1607

Re: Low cost index funds/Fidelity

neveragain, are you planning to move out of EJ?

Fidelity is a good choice, but they might suggest you use their management or higher cost funds, but you don't have to. The index funds are excellent.

Paul
by pkcrafter
Sat Jul 15, 2017 11:25 pm
Forum: Investing - Theory, News & General
Topic: What we know about robo advisors
Replies: 10
Views: 1232

Re: What we know about robo advisors

Thanks for putting this together.

Here's another reference

Investment News: When it comes to investment returns, not all robos measure up

http://www.investmentnews.com/article/2 ... measure-up


Paul
by pkcrafter
Sat Jul 15, 2017 7:29 pm
Forum: Investing - Theory, News & General
Topic: In Pursuit of the Perfect Portfolio: Robert C. Merton
Replies: 5
Views: 1239

Re: In Pursuit of the Perfect Portfolio: Robert C. Merton

Thanks, very interesting, and I agree with Ned, the last 30 minutes will keep you watching. Also interesting that the same question, "Pursuit of the Perfect Portfolio" was posed to Fama, Markowitz, Shiller and Sharpe.

Paul
by pkcrafter
Sat Jul 15, 2017 1:32 pm
Forum: Investing - Help with Personal Investments
Topic: After moving from Ameriprise to Vanguard
Replies: 11
Views: 1068

Re: After moving from Ameriprise to Vanguard

You have to the choice to leave funds as is, sell them, or in the case of VG mutual funds, exchange them. You my want to make sure that the cost basis information transferred. There is a link on top of our account that takes you to cost basis information. If selling, you may want to consider tax co...
by pkcrafter
Sat Jul 15, 2017 12:15 pm
Forum: Investing - Help with Personal Investments
Topic: After moving from Ameriprise to Vanguard
Replies: 11
Views: 1068

Re: After moving from Ameriprise to Vanguard

My conventional was finally moved over. The Vanguard rep / transfer protocol gave me the impression that it would all move to a money market. Apparently not so - everything was moved over as is. It is confusing to me at this moment, as I'm sitting there with 7 mutual funds and 3 ETFs in a brokerage...
by pkcrafter
Sat Jul 15, 2017 12:00 pm
Forum: Investing - Help with Personal Investments
Topic: new 401k: Go w/ Target Retirement since other funds are higher ER?
Replies: 3
Views: 240

Re: new 401k: Go w/ Target Retirement since other funds are higher ER?

What an odd selection of choices. This almost dictates you use a target fund. There is an international index, but no U.S. market index and no bonds. I guess it wouldn't matter because the TR funds are very attractive at such a low ER. Pick one by desired AA, not by date.

Paul
by pkcrafter
Sat Jul 15, 2017 10:58 am
Forum: Investing - Theory, News & General
Topic: 90:10 AA - what don't you believe about it?
Replies: 101
Views: 6554

Re: 90:10 AA - what don't you believe about it?

The fact is that Buffett's wife could lose 90% of that portfolio and still have plenty to live on. So, the question is can you do that too? Stocks are risky, and I don't mean volatility, I mean there is no net down below. It is possible to lose your invested money. What are you going to say, yeah, ...
by pkcrafter
Sat Jul 15, 2017 10:41 am
Forum: Investing - Theory, News & General
Topic: 90:10 AA - what don't you believe about it?
Replies: 101
Views: 6554

Re: 90:10 AA - what don't you believe about it?

The fact is that Buffett's wife could lose 90% of that portfolio and still have plenty to live on. So, the question is can you do that too? Stocks are risky, and I don't mean volatility, I mean there is no net down below. It is possible to lose your invested money. What are you going to say, yeah, ...
by pkcrafter
Sat Jul 15, 2017 9:25 am
Forum: Investing - Theory, News & General
Topic: Financial Comprehension
Replies: 7
Views: 701

Re: Financial Comprehension

Thanks grok, someone else told me that as well. I didn't have a problem and I'm not a member or logged in, etc. What do you think of the difference between literacy and comprehension. Is the distinction important? From the interview You write that “the main job” of an advisor is to “manage a client’...
by pkcrafter
Sat Jul 15, 2017 9:06 am
Forum: Investing - Theory, News & General
Topic: 90:10 AA - what don't you believe about it?
Replies: 101
Views: 6554

Re: 90:10 AA - what don't you believe about it?

Clarification on the Buffet remark. The strategy you mention comes out of a section of Warren Buffett's 2013 letter to Berkshire Hathaway shareholders where he says his will stipulates that cash be delivered to a trustee for his wife's benefit and that 90% of that cash go into a "very low cost&...
by pkcrafter
Sat Jul 15, 2017 8:20 am
Forum: Investing - Theory, News & General
Topic: Financial Comprehension
Replies: 7
Views: 701

Financial Comprehension

Meir Statman, finance professor at Stanford, and author of a new book, Finance for Normal People, makes a distinction between financial literacy and financial comprehension. Here's what he said in an interview with Think Advisor (11/16) Financial literacy is understanding [concepts like] compound in...
by pkcrafter
Fri Jul 14, 2017 3:01 pm
Forum: Investing - Theory, News & General
Topic: Fascinating Morningstar Article - Mutual Fund Flows
Replies: 25
Views: 2536

Re: Fascinating Morningstar Article - Mutual Fund Flows

Nisiprius, I didn't write that correctly. This is what I wrote: When this party ends, those short-sighted investors will sell index funds and find some active value funds that will look better... This is what I should have wrote, and apologies for my dim view to the "average" investor. Sho...
by pkcrafter
Thu Jul 13, 2017 11:24 pm
Forum: Investing - Help with Personal Investments
Topic: Corporate Bond Website?
Replies: 34
Views: 1810

Re: Corporate Bond Website?

Within the next several months, I'd like to invest in a number of individual investment grade corporate bonds that term anywhere from 2 to 5 years. These bonds would be held until the maturity date so my principal would not be affected by rising rates. I have a long history investing in stocks, but...
by pkcrafter
Thu Jul 13, 2017 10:57 am
Forum: Investing - Help with Personal Investments
Topic: Helping a friend transfer from EJ
Replies: 5
Views: 541

Re: Helping a friend transfer from EJ

Thank you! The value is under 20K and there are 7 funds that are transferrable. The plan is to place them all in one Vanguard fund. The way I read the Vanguard fee schedules, the fee would be $35 each for "mutual funds for other companies". The Vanguard representative did confirm that the...
by pkcrafter
Thu Jul 13, 2017 10:15 am
Forum: Investing - Help with Personal Investments
Topic: How do I break up my Target Retirement Fund into the underlying funds held in my Roth IRA?
Replies: 13
Views: 1036

Re: How do I break up my Target Retirement Fund into the underlying funds held in my Roth IRA?

The 3-fund is basically what you want. The only thing missing is international bonds.

viewtopic.php?f=10&t=88005

If you post your available fund options, with tickers (if any) and expense ratios, we can help you choose.


Paul
by pkcrafter
Thu Jul 13, 2017 9:43 am
Forum: Investing - Help with Personal Investments
Topic: bond index
Replies: 7
Views: 407

Re: bond index

alex is correct, no ticker, but you can find the same fund with a ticker to do a comparison. Here's a link to what appears to be the same fund. Scroll about half way down and on the right side you will see fund performance compared to the benchmark you posted. Note that the funds don't track the ind...
by pkcrafter
Thu Jul 13, 2017 8:56 am
Forum: Investing - Help with Personal Investments
Topic: bond index
Replies: 7
Views: 407

Re: bond index

What is the name of the fund you are interested in? Is it the same name? It might be they have created a fund and then created a tracking index - one of a kind.

Paul

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