Search found 108 matches

by robertmcd
Wed Feb 14, 2018 5:05 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 5576
Views: 1262028

Re: U.S. stocks in freefall

Very strange day with bond yields rising alongside equities. CPI print seemed to matter for about 5 minutes with futures down sharply then everything was great again throughout the day. I think reality is going to set in again tomorrow or Friday, especially if we have another rise in yields.
by robertmcd
Wed Feb 14, 2018 3:16 pm
Forum: Personal Finance (Not Investing)
Topic: How to choose best cost basis for funds
Replies: 5
Views: 352

Re: How to choose best cost basis for funds

When you switch to spec id it will convert the avg cost shares into their specific lots if they were purchased after Jan 1,2012. If purchase before then, it is up to you to keep track of the specific tax lots. Spec id is easy. Keep not reinvesting dividends and purchase in whatever $ increments you ...
by robertmcd
Wed Feb 14, 2018 2:41 pm
Forum: Investing - Theory, News & General
Topic: Best Treasury Bond Fund/ETF for Taxable Accounts
Replies: 17
Views: 1952

Re: Best Treasury Bond Fund/ETF for Taxable Accounts

This being a bond fund, I believe capital gains would either be the same (if short term) or less (if long term) than the taxes on the ordinary income. So couldn't long term capital gains actually be a better way to generate total return than with income?
by robertmcd
Wed Feb 14, 2018 1:26 pm
Forum: Investing - Theory, News & General
Topic: Best Treasury Bond Fund/ETF for Taxable Accounts
Replies: 17
Views: 1952

Re: Best Treasury Bond Fund/ETF for Taxable Accounts

I would say use VGIT at vanguard or SCHR if you are at schwab. Negligible difference. If you believe that low cost active management can add value then use VFIUX if you can afford the 50k for admiral shares. I believe vanguard can make up 3 basis points of difference long term vs. the index. In the ...
by robertmcd
Mon Feb 05, 2018 6:44 pm
Forum: Investing - Theory, News & General
Topic: Inverse VIX ETN down 80% after hours
Replies: 42
Views: 5171

Re: Inverse VIX ETN down 80% after hours

That is what I am getting, that the default of these instruments is going to cause an even bigger spike in vol (since they are selling vol) which could spill over to s&p 500 futures for example. I think tomorrows open could make it in the history books if we have some kind of flash crash or systemat...
by robertmcd
Mon Feb 05, 2018 6:34 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 5576
Views: 1262028

Re: U.S. stocks in freefall

Looks like XIV is busted and will have to liquidate. There is also a large imbalance between the long vol and short vol products. I hate to mention Cramer but he is talking about this. We could be in store for a historic flash crash at the open quickly capitalized on by the algos.
by robertmcd
Mon Feb 05, 2018 4:47 pm
Forum: Personal Consumer Issues
Topic: Rolex
Replies: 45
Views: 4681

Re: Rolex

HQ milton has nice pre owned models. Jomashop would be a good gray market dealer to look at, but honestly with a Rolex, the discounts you can find on a new model are not worth the loss of the papers and certificate, etc. Buy it from the store, keep the box and papers pristine, take it in for servici...
by robertmcd
Mon Feb 05, 2018 3:44 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 5576
Views: 1262028

Re: U.S. stocks in freefall

Treasuries rallying. I think this downturn could go on for weeks and even years at a slow death pace as rates get back to normal and stocks get crushed, if price discovery and valuations continue to matter as they are right now. However, last week the Japanese central bank put an unlimited order for...
by robertmcd
Fri Feb 02, 2018 10:18 am
Forum: Investing - Help with Personal Investments
Topic: How to Minimize capital gains when selling at Vanguard
Replies: 4
Views: 522

Re: How to Minimize capital gains when selling at Vanguard

I was planning on lowering my overall equity exposure, and I have an assortment of etf's and funds, I think excel in the only way i can do this efficiently. It really surprised me that vanguard didn't have a sort for this. The equation in excel will be $ gain*(.15 or .25 for capital gains)/market va...
by robertmcd
Wed Jan 31, 2018 11:37 am
Forum: Investing - Help with Personal Investments
Topic: How to Minimize capital gains when selling at Vanguard
Replies: 4
Views: 522

How to Minimize capital gains when selling at Vanguard

I am trying to sell some of my appreciated ETF's and mutual funds at vanguard to rebalance, and I am trying to figure out how to sort them and select the shares I want to sell. Basically I want to pay as little $ in taxes per $ of equities I get out. So I can get back to 50/50 from 60/40 for the low...
by robertmcd
Tue Oct 03, 2017 10:14 pm
Forum: Investing - Help with Personal Investments
Topic: Help with private investment opportunity
Replies: 47
Views: 3015

Re: Help with private investment opportunity

I see no problem in investing in something private with less than a 20x return in 3 yrs. I feel as though all of this really comes down to one thing, how risky is this investment as a company, and will it go to zero (lots of scenarios where this could occur but none seem likely), and will it be more...
by robertmcd
Tue Oct 03, 2017 9:34 pm
Forum: Investing - Help with Personal Investments
Topic: Help with private investment opportunity
Replies: 47
Views: 3015

Re: Help with private investment opportunity

I guess I got the responses that I expected from this thread. All the research that I have done on this site has made me dislike private equity, especially when I read articles by swedroe on how it performs when risk adjusted compared to the s&p 500, let alone small cap value. Granted that is under ...
by robertmcd
Tue Oct 03, 2017 5:00 pm
Forum: Investing - Help with Personal Investments
Topic: Help with private investment opportunity
Replies: 47
Views: 3015

Re: Help with private investment opportunity

We are longtime friends with one of the main founders, and he is doing it as a favor.
by robertmcd
Tue Oct 03, 2017 3:13 pm
Forum: Investing - Help with Personal Investments
Topic: Help with private investment opportunity
Replies: 47
Views: 3015

Re: Help with private investment opportunity

Thank you tyrion. That is the point I am trying to find, and it is the million dollar question when it comes to asset allocation. It is similar to my decision to not drop 200k into stocks right away in order to try and earn a 3% real return. I basically decided that I could lose 50k and not want to ...
by robertmcd
Tue Oct 03, 2017 2:34 pm
Forum: Investing - Help with Personal Investments
Topic: Help with private investment opportunity
Replies: 47
Views: 3015

Re: Help with private investment opportunity

I was more looking towards advice from bogleheads on times they invested in a private startup or in their own company when they had the ability to take the risk, and what % of their net worth they put into their company. I am a major skeptic when it comes to VC or angel investing, but this company i...
by robertmcd
Tue Oct 03, 2017 1:55 pm
Forum: Investing - Help with Personal Investments
Topic: Help with private investment opportunity
Replies: 47
Views: 3015

Help with private investment opportunity

Okay here is where I am at: Age 23 60k income (could increase to 100k-120k if I can move jobs, the market was/is tough since I graduated, but I've been interviewing and have come close to landing a better job) 97k in taxable (stock funds) 13k in roth ira (stock funds) 87k in cds (for future downpaym...
by robertmcd
Wed Aug 23, 2017 9:31 pm
Forum: Investing - Help with Personal Investments
Topic: Stocks On Sale - What do you buy?
Replies: 64
Views: 6794

Re: Stocks On Sale - What do you buy?

TSM is not more value or more growth. Exactly 0 exposure to either. It is the most diverse/efficient way to get a beta exposure of exactly 1, meaning it moves exactly with the market. Because it is the market. Back to the original post. When stuff tanks you should buy to rebalance back to whatever y...
by robertmcd
Wed Aug 23, 2017 2:33 pm
Forum: Investing - Theory, News & General
Topic: AQR seeks to offer ETFs
Replies: 5
Views: 646

Re: AQR seeks to offer ETFs

Not gonna lie I'm pretty excited about this. If they do it right they could offer the best multi factor etfs, for example they calculate the value, momentum, and quality characteristics daily vs quarterly/annually like some other funds.
by robertmcd
Wed Aug 23, 2017 2:02 pm
Forum: Personal Consumer Issues
Topic: Credit Card for Student with no credit history
Replies: 9
Views: 739

Re: Credit Card for Student with no credit history

Get the discover it card. They are very generous with approvals as well as credit limit increases and it earns 2% on everything/10% on rotating categories the first year. Also lets you see your fico score.
by robertmcd
Tue Aug 22, 2017 12:57 pm
Forum: Investing - Help with Personal Investments
Topic: 29 Years Old: Am I Too Conservative
Replies: 15
Views: 1697

Re: 29 Years Old: Am I Too Conservative

Since you have 15 months cash on hand already. I would get a little more aggressive at least with the 105k you have in short term treasuries in taxable. I would look at shifting that towards some higher yielding fixed income such as intermediate term treasuries or paying off the higher interest mort...
by robertmcd
Tue Aug 22, 2017 12:30 pm
Forum: Investing - Help with Personal Investments
Topic: Long-term Strategy – Mega backdoor ROTH and 529
Replies: 9
Views: 959

Re: Long-term Strategy – Mega backdoor ROTH and 529

I would stick with maxing out the mega backdoor roth, in addition to a regular roth, then going to taxable. By the time your kids go to college you could end up with a huge amount in the 529 that you can't use for education expenses. A trad 401k, large roth ira, and large taxable savings gives you s...
by robertmcd
Fri Aug 18, 2017 2:21 pm
Forum: Investing - Help with Personal Investments
Topic: Company switching 401k funds. VTTSX vs VILVX
Replies: 3
Views: 322

Re: Company switching 401k funds. VTTSX vs VILVX

No difference in fund construction. Your plan must have reached enough assets to qualify for the institutional shares which vanguard charges a lower expense ratio for. That's good news for you, same fund with lower expenses.
by robertmcd
Mon Jul 31, 2017 4:40 pm
Forum: Investing - Theory, News & General
Topic: A Secret of the Index Fund’s Success?
Replies: 25
Views: 3718

Re: A Secret of the Index Fund’s Success?

Indexing works because it is cheap. I have also opined that well constructed indexes screen out the truly horrible "lottery stocks" that Larry Swedroe talks about. I call these the "anti-factors". If you can just screen out the "anti-factors", your performance will be good and the well constructed ...
by robertmcd
Fri Jul 07, 2017 5:26 pm
Forum: Investing - Theory, News & General
Topic: My Favorite Alternative Funds
Replies: 198
Views: 26584

Re: My Favorite Alternative Funds

The "advisor" I would assume everyone on this forum is using for access to AQR, DFA, and Stone Ridge is FPL capital management. It is 1k a year for their most basic level of services, but includes everything an individual investor looking to invest in these funds would need.
by robertmcd
Fri Jun 23, 2017 1:43 pm
Forum: Investing - Theory, News & General
Topic: Ultimate Buy and Hold - 8 slices vs 4
Replies: 719
Views: 311206

Re: Ultimate Buy and Hold - 8 slices vs 4

Just as an FYI about EFV's supposedly high ER, I have heard that it makes quite a bit from securities lending revenue, even though ishares only gives back 75% to fund holders. Someone else can chime in about the true cost after securities lending.
by robertmcd
Wed Jun 21, 2017 1:33 pm
Forum: Investing - Help with Personal Investments
Topic: Is a Total Stock Market Index enough...
Replies: 36
Views: 6187

Re: Is a Total Stock Market Index enough...

There are dozens of combos like what nura posted that have outperformed TSM over 5,10,15,20,25,30 yr periods, etc. The problem is whether you can stick to your plan when it is underperforming the market. Look at vanguard's small cap value fund YTD returns vs. vanguard total stock market. Would you b...
by robertmcd
Tue Jun 20, 2017 9:44 am
Forum: Investing - Help with Personal Investments
Topic: Ally Bank No penalty CD for parking cash, is there a catch?
Replies: 40
Views: 10769

Re: Ally Bank No penalty CD for parking cash, is there a catch?

Do I need to contact them to get my rate bumped since I am in the 10 day window?
by robertmcd
Tue Jun 20, 2017 9:40 am
Forum: Investing - Help with Personal Investments
Topic: Does a tax managed fund belong in a roth acct
Replies: 8
Views: 984

Re: Does a tax managed fund belong in a roth acct

No, tax managed funds seek to minimize capital gains and/or dividends, both of which have no tax cost in an IRA. Especially do not use it if if contains municipal bonds.
by robertmcd
Tue Jun 20, 2017 9:14 am
Forum: Personal Finance (Not Investing)
Topic: Ally Bank 11 month [No-Penalty CD]
Replies: 382
Views: 31726

Re: Ally no penalty 11 month CD rate increased to 1.50% this morning

Is it possible to continue to add funds to the original CD over time?
by robertmcd
Mon Jun 05, 2017 2:16 pm
Forum: Investing - Theory, News & General
Topic: S&P 500 vs TSM for Small cap value tilt
Replies: 40
Views: 3670

Re: S&P 500 vs TSM for Small cap value tilt

So the CRSP and S&P total market indices do not screen to eliminate the low profitability small cap growth "black hole" stocks, but their respective value and growth funds do? What I am getting at is that I am wondering if the blend indices are simply based on market cap alone. For example then it c...
by robertmcd
Wed May 24, 2017 5:07 pm
Forum: Investing - Help with Personal Investments
Topic: VTSMX vs Schwab Total Stock Market Index Fund
Replies: 29
Views: 5131

Re: VTSMX vs Schwab Total Stock Market Index Fund

I would consider Vanguard's to be better for a few reasons: I am more confident that vanguard will hold the ER at .04 or even lower it over the next 30 years than schwab. Therefore if I have capital gains and I am locked in for the rest of my life I would rather be at vanguard than schwab. Vanguard'...
by robertmcd
Tue May 16, 2017 2:32 pm
Forum: Investing - Help with Personal Investments
Topic: Small Cap + Emerging Market Fund
Replies: 5
Views: 560

Re: Small Cap + Emerging Market Fund

EWX is a good emerging markets small cap fund. High ER but the securities lending revenue brings it down quite a bit.
by robertmcd
Fri May 12, 2017 9:08 am
Forum: Investing - Theory, News & General
Topic: What are the benefits of turning-off dividend reinvestment (and capital gains too)?
Replies: 15
Views: 2284

Re: What are the benefits of turning-off dividend reinvestment (and capital gains too)?

Using dividends to rebalance into what you are currently underweight in

When selling shares, able to sell the specific lots that have the smallest amount of gains. Or sell the shares that are at a loss to tax loss harvest.
by robertmcd
Thu May 11, 2017 10:48 am
Forum: Investing - Help with Personal Investments
Topic: Objectively critique an AXA recommended portfolio.
Replies: 16
Views: 1292

Re: Objectively critique an AXA recommended portfolio.

I cannot even objectively critique this portfolio. The surrender fees alone tell the whole story about AXA. If one is willing to pay for an advisor there are some great options out there. Buckingham asset management or an advisor that is part of the BAM alliance, evanson asset management, cardiff pa...
by robertmcd
Wed May 10, 2017 12:58 pm
Forum: Investing - Help with Personal Investments
Topic: Best TDA ETF to replicate Total International Stock Fund
Replies: 9
Views: 668

Re: Best TDA ETF to replicate Total International Stock Fund

I checked and it looks like it is not on the list. In that case use approx 80% VEA and 20% VWO. Look at the emerging markets percentage in total international to rebalance according to market weight.
by robertmcd
Wed May 10, 2017 12:55 pm
Forum: Investing - Help with Personal Investments
Topic: Best TDA ETF to replicate Total International Stock Fund
Replies: 9
Views: 668

Re: Best TDA ETF to replicate Total International Stock Fund

Is VXUS not available at TD? It's the etf share class of total international stock.
by robertmcd
Wed May 10, 2017 11:48 am
Forum: Investing - Help with Personal Investments
Topic: Intermediate-Term Treasury vs Intermediate-Term Government ?
Replies: 8
Views: 1504

Re: Intermediate-Term Treasury vs Intermediate-Term Government ?

I would recommend the intermediate term treasury fund if you can meet the 50k minimum for admiral shares. I believe bond funds can benefit from active management, and I really like vanguard's low cost active bond funds. I would also consider buying 5-7 yr brokered cd's if liquidity is not an issue. ...
by robertmcd
Tue May 09, 2017 12:09 pm
Forum: Investing - Help with Personal Investments
Topic: Where to park my fat stacks [money]?
Replies: 20
Views: 2856

Re: Where to park my fat stacks [money]?

I would definitely consider using vanguard for their excellent fixed income offerings in addition to tax efficient mutual funds. I would go with: 30% Total Stock Market and Total International split up at market weight (to rebalance I just glance at what % US the VT Vanguard total world stock curren...
by robertmcd
Wed Apr 19, 2017 9:07 am
Forum: Investing - Help with Personal Investments
Topic: I bonds May 2017
Replies: 66
Views: 11014

I bonds May 2017

So what is the current state of I bonds right now? Should I wait to buy my $10,000 in May? I have never used them before but I am currently putting away funds in CDs for a house downpayment in the next 2-7 years and I am wondering if they are a good deal.
by robertmcd
Mon Apr 17, 2017 3:19 pm
Forum: Personal Finance (Not Investing)
Topic: Capital One 360 $200 bonus (and now $300 checking bonus)
Replies: 221
Views: 30728

Re: Capital One 360 $200 bonus

If I want to close my account after I get the bonus, how do I get my 1099 from them next year for taxes?
by robertmcd
Thu Mar 23, 2017 1:03 pm
Forum: Investing - Theory, News & General
Topic: Blog on emerging Markets, and investors underweighting them
Replies: 103
Views: 19392

Re: Blog on emerging Markets, and investors underweighting them

I know it has not necessarily given the best returns over the past 2 years , but in looking at its performance in recent history vs other emerging markets funds, I think it is the best choice vs. EMV outside of DFA. It also has a low ER and reasonable spreads
by robertmcd
Thu Mar 23, 2017 9:30 am
Forum: Investing - Help with Personal Investments
Topic: International Allocation
Replies: 16
Views: 2629

Re: International Allocation

I think right now at current valuations international diversification is very smart. I think anywhere from 40-60% international stock makes sense for a young investor. I can understand for near retirees that a tilt towards international could be a scary proposition. I am currently matched up my US s...
by robertmcd
Thu Mar 23, 2017 9:22 am
Forum: Investing - Theory, News & General
Topic: Why buy short-term bond funds when you can get 1% in savings acct?
Replies: 29
Views: 4461

Re: Why buy short-term bond funds when you can get 1% in savings acct?

I personally do not think there is a good reason to buy a short term bond fund, especially a treasury fund. The yield vs duration of a short term treasury fund is not near as good of a deal as a savings account with 0 duration and 1-1.25% yield. I do think 1-3 year non callable investment grade corp...
by robertmcd
Wed Mar 22, 2017 4:03 pm
Forum: Investing - Theory, News & General
Topic: Blog on emerging Markets, and investors underweighting them
Replies: 103
Views: 19392

Re: Blog on emerging Markets, and investors underweighting them

In Larry's book he recommended FNDE for Emerging Markets value. Looking at recent performance it has done very well. It has little in the way of small /mid caps though. I think a good supplement to it would be VSS or EWX. Some combos I like for international exposure: My preferred combination EFV de...
by robertmcd
Tue Mar 21, 2017 4:02 pm
Forum: Personal Finance (Not Investing)
Topic: Capital One 360 $200 bonus (and now $300 checking bonus)
Replies: 221
Views: 30728

Re: Capital One 360 $200 bonus

Just funded this. I would also like to know how long I need to keep it there before moving it back to ally?
by robertmcd
Mon Mar 20, 2017 3:22 pm
Forum: Investing - Help with Personal Investments
Topic: Short Vs. Intermediate Corp. Bonds
Replies: 6
Views: 881

Re: Short Vs. Intermediate Corp. Bonds

From what I have read from Larry Swedroe, there is not a good reason to use corporate bonds at all when you look at the risk/return tradeoff of them when implemented in an equity heavy portfolio. There risk shows up at the worst time, when stocks are doing poorly. As opposed to treasuries which bene...
by robertmcd
Thu Mar 16, 2017 2:48 pm
Forum: Investing - Help with Personal Investments
Topic: ETF advice for retirement portfolio
Replies: 7
Views: 597

Re: ETF advice for retirement portfolio

Following up what livesoft said, I would start out with a three fund portfolio using vanguard etfs (VTI, VXUS, and BND). I would not recommend implementing a factor based investing plan (tilting, diversifying across asset classes, increasing efficiency, whatever you want to call it) until you have d...
by robertmcd
Thu Mar 16, 2017 9:51 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard for Short Term (3-5 yrs) Savings?
Replies: 12
Views: 1459

Re: Vanguard for Short Term (3-5 yrs) Savings?

Welcome to the forum. For money earmarked for less than 5 years, you cannot beat the principle protection and return of FDIC insured CD's. Capital One has a 2.30% 5 year CD with a 6 month early withdrawal penalty. Andrews FCU had a 7 yr 3.00% CD with a 6 month EWP that was just discontinued but they...
by robertmcd
Wed Mar 15, 2017 3:13 pm
Forum: Investing - Help with Personal Investments
Topic: 3-fund portfolio with less downside risk
Replies: 5
Views: 1000

Re: 3-fund portfolio with less downside risk

If you want to maximize returns while minimizing downside risk (if you are willing to put your faith in backtesting and stay the course) you should read larry swedroe's book on reducing the risks of black swans. Something like 30% equities in small cap value, international small cap value, and emerg...
by robertmcd
Fri Mar 10, 2017 3:47 pm
Forum: Investing - Help with Personal Investments
Topic: New Investor Wanting a Tax-Efficient Approach
Replies: 5
Views: 496

Re: New Investor Wanting a Tax-Efficient Approach

I would use the vanguard total stock market index for your roth over VFINX (TSM is sort of a free lunch over s&p 500 when it comes to efficiency and diversification). For the taxable account at schwab I would use the ETFs for greater tax efficiency. Unfortunately at schwab, the broad market etf is n...