Search found 171 matches

by spdoublebass
Tue Aug 22, 2017 3:00 pm
Forum: Investing - Help with Personal Investments
Topic: Adjusting AA as retirement nears
Replies: 26
Views: 2486

Re: Adjusting AA as retirement nears

I plan to retire next year. I went from 80/20 to 60/40 over the last two years. Have about 12 to 15 yrs expenses (depending on spending and taxes) in fixed income, of which 4 years is in cash or CDs. Budget also has a 20% cushion (overseas vacations, charitable giving, gifting) if things get tight....
by spdoublebass
Tue Aug 22, 2017 1:00 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Announces Plans To Launch Total Corporate Bond ETF
Replies: 15
Views: 1260

Re: Vanguard Announces Plans To Launch Total Corporate Bond ETF

Fclevz wrote:
Tue Aug 22, 2017 10:46 am
Interestingly, iShares also has a 'total treasury' ETF (GOVT). I wonder if Vanguard will come out with one of those too?
+1
by spdoublebass
Tue Aug 22, 2017 12:59 pm
Forum: Investing - Theory, News & General
Topic: Total World (VT, VTWSX) Tilt? Simplicity...
Replies: 22
Views: 1775

Re: Total World (VT, VTWSX) Tilt? Simplicity...

Huh, really? Why?? I'm not sure. I am obviously not (not claim to be) an advanced investor. To keep numbers easy, I would just say VT is a 50/50 US/INT split. So anything in VT you'd cut in half and have about that in VTI. Which is the case for most holdings. In the case of BRK.A and BRK.B I do not...
by spdoublebass
Tue Aug 22, 2017 11:54 am
Forum: Investing - Theory, News & General
Topic: Total World (VT, VTWSX) Tilt? Simplicity...
Replies: 22
Views: 1775

Re: Total World (VT, VTWSX) Tilt? Simplicity...

I WOULD hold VT if the ER was lower. Instead I hold VTI/VXUS at cap with each other. I respect you and the others that split VT into VTI/VXUS. VT=.11 50/50 VTI/VXUS = .075 That's a difference of .035.....I like the simplicity and the float. Be aware there are some differences. BRK.A is .25% of VT a...
by spdoublebass
Tue Aug 22, 2017 11:47 am
Forum: Investing - Theory, News & General
Topic: Total World (VT, VTWSX) Tilt? Simplicity...
Replies: 22
Views: 1775

Re: Total World (VT, VTWSX) Tilt? Simplicity...

We hold Vanguard Total World Index for simplicity. It is true that your savings rate is the most important. Combined, this is a good and simple plan. If you decide to go with this fund, stay the course and go live your life. Look at it once a year. Add Total Bond fund when your goals change. Can lo...
by spdoublebass
Mon Aug 21, 2017 8:46 pm
Forum: Investing - Theory, News & General
Topic: Total World (VT, VTWSX) Tilt? Simplicity...
Replies: 22
Views: 1775

Re: Total World (VT, VTWSX) Tilt? Simplicity...

I also use a combination of VT, VBR, and VSS. I think just VT would be fine. But you have to buy into the philosophy behind VT and not get "worried" if/when the U.S. goes below 50%. I guess I should have been more clear. I used the word worry, I was trying to ask is there a downside if/when the US ...
by spdoublebass
Mon Aug 21, 2017 8:03 pm
Forum: Investing - Theory, News & General
Topic: Total World (VT, VTWSX) Tilt? Simplicity...
Replies: 22
Views: 1775

Re: Total World (VT, VTWSX) Tilt? Simplicity...

columbia wrote:
Mon Aug 21, 2017 7:14 pm
One would think that this fund would have enough to warrant an Admiral share. VG website indicates $12.8 billion (which is apparently not enough).
Yes, I agree.
However, the admiral shares typically have the same ER as the ETF's, which is what I mainly use. I hope the ER keeps coming down.
by spdoublebass
Mon Aug 21, 2017 8:01 pm
Forum: Investing - Theory, News & General
Topic: Total World (VT, VTWSX) Tilt? Simplicity...
Replies: 22
Views: 1775

Re: Total World (VT, VTWSX) Tilt? Simplicity...

A1. I do tilt but would not call it necessary. Just out of curiosity, what tilts do you choose to add to Total World? Simplicity is of course fantastic, but one step further is that I do not want to tinker. I read many posts on the forum about people making changes....especially to their internatio...
by spdoublebass
Mon Aug 21, 2017 1:37 pm
Forum: Investing - Theory, News & General
Topic: Total World (VT, VTWSX) Tilt? Simplicity...
Replies: 22
Views: 1775

Total World (VT, VTWSX) Tilt? Simplicity...

I've read many/most of the posts on this forum regarding the issues I'll bring up. Mainly I'm looking for clarification on if my understanding of certain things are correct. When I first started out, I was overambitious and dove into many funds. Since then, I've only simplified things. Currently I h...
by spdoublebass
Wed Aug 16, 2017 11:20 am
Forum: Investing - Theory, News & General
Topic: Social Security for Millennials
Replies: 159
Views: 18249

Re: Social Security for Millennials

I'm a millennial, 34. Yes, I'm counting on SS, but I don't think about it. I'm trying to prepare like SS will be gravy as mentioned above. I know many of us millennials are concerned about this, but from the folks I know who made $50K a year and are retireing on a small nest egg (maybe 100-200K) and...
by spdoublebass
Tue Aug 15, 2017 5:19 pm
Forum: Investing - Theory, News & General
Topic: REITs a disappointment, yet still useful
Replies: 19
Views: 2531

Re: REITs a disappointment, yet still useful

Question on the topics of REIT's: I understand REITs are included in index funds such as TSM, SCV, and even international funds. My question is are there advantages to holding them separately in retirement? I am comfortable with the amount I hold, I have over market weight with the index funds I use...
by spdoublebass
Mon Aug 07, 2017 8:23 pm
Forum: Investing - Theory, News & General
Topic: Should TBM Be Your Only Bond Fund?
Replies: 33
Views: 4928

Re: Should TBM Be Your Only Bond Fund?

Doc, Would you mind expanding a little on your thought here? GVI appears to have 56% treasuries versus BNDs ~42%. The only real difference is GVI doesn't seem to have MBS (or not much). What characteristics of GVI would you prefer over BND. The MBS is almost all Government Agency. There is also ~35...
by spdoublebass
Mon Aug 07, 2017 1:18 am
Forum: Investing - Help with Personal Investments
Topic: 2 Bond Questions
Replies: 20
Views: 1908

Re: 2 Bond Questions

TBM ( VBMFX ) has the following maturity breakdown: Under 1 Year 0.2% 1 - 3 Years 22.3% 3 - 5 Years 21.4% 5 - 10 Years 39.2% 10 - 20 Years 3.8% 20 - 30 Years 12.5% Over 30 Years 0.6% That's 44% in short-term bonds, 39% in intermediate-term bonds, and 17% in long-term bonds. It contains bonds of all...
by spdoublebass
Sun Aug 06, 2017 5:32 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Non-US AA
Replies: 6
Views: 630

Re: Vanguard Non-US AA

There is an open question relative to investor identity. The world market reflects the views of the average global investor. So, I asked Bill Sharpe about this and he pointed out that a US retiree would get a correcting tilt from shorter-term US treasuries using the companion riskless portfolio whi...
by spdoublebass
Sun Aug 06, 2017 12:42 am
Forum: Investing - Help with Personal Investments
Topic: 2 Bond Questions
Replies: 20
Views: 1908

Re: 2 Bond Questions

I've been thinking about bonds again and reread this post. There is so much good information in here. Discloser I still (from my OP until now) only hold TBM and a very small amount in International Bond BNDX . I do have 2 follow up questions. 1. I'm keeping this very simple. Say you are 80/20 now an...
by spdoublebass
Fri Aug 04, 2017 1:35 am
Forum: Investing - Theory, News & General
Topic: US and International Bond Fund Allocation
Replies: 109
Views: 8108

Re: US and International Bond Fund Allocation

A little off topic..... Why does Vanguard have these Global Bond Funds available only to Non Us investors? https://americas.vanguard.com/institutional/mvc/detail/mf/overview?portId=9136&assetCode=BOND##overview This has been brought up in the forum before, but doesn't usually go anywhere. I'm guess...
by spdoublebass
Thu Aug 03, 2017 11:46 pm
Forum: Investing - Theory, News & General
Topic: US and International Bond Fund Allocation
Replies: 109
Views: 8108

Re: US and International Bond Fund Allocation

A little off topic.....

Why does Vanguard have these Global Bond Funds available only to Non Us investors?

https://americas.vanguard.com/instituti ... ##overview

This has been brought up in the forum before, but doesn't usually go anywhere.
by spdoublebass
Thu Aug 03, 2017 3:23 pm
Forum: Investing - Help with Personal Investments
Topic: Quick Question regarding tilting until retirement
Replies: 22
Views: 1535

Re: Quick Question regarding tilting until retirement

All of these comments were VERY helpful. When you read about things you don't always get the full picture. I am and have been very happy with my tilts, but it was hard to find information on what happens 30 years from now. I'm just trying to get as much in my IPS as possible so I can't change anythi...
by spdoublebass
Tue Aug 01, 2017 7:35 pm
Forum: Investing - Help with Personal Investments
Topic: Quick Question regarding tilting until retirement
Replies: 22
Views: 1535

Re: Quick Question regarding tilting until retirement

if my portfolio is 400-500K is that too much risk to hold 25% of my portfolio in small cap tilts? 25% is not a tilt, in my view. That's a core holding. Whether it's too risky is a question only you can answer. Small Cap Value is an "aggressive" fund (Vanguard's description) that has had fairly sign...
by spdoublebass
Tue Aug 01, 2017 6:57 pm
Forum: Investing - Help with Personal Investments
Topic: Quick Question regarding tilting until retirement
Replies: 22
Views: 1535

Re: Quick Question regarding tilting until retirement

Reasonable tilts are just fine in retirement. I guess that is my question. What is a reasonable tilt? I've learned quickly in this forum that while it's great to get reassurance, you have to be careful because everyone's financial situation is not the same. As described above my equities are 50% VT...
by spdoublebass
Tue Aug 01, 2017 1:37 am
Forum: Investing - Theory, News & General
Topic: US and International Bond Fund Allocation
Replies: 109
Views: 8108

Re: US and International Bond Fund Allocation

Perhaps I am simply being incredibly naive in looking at this info in this way. I wish someone would point out how, if that's the case. Because I don't understand why not to hold an international bond fund with 80% of its bonds rated AAA/AA/A and none below BBB, ~80% government and almost all the r...
by spdoublebass
Mon Jul 31, 2017 4:55 pm
Forum: Investing - Help with Personal Investments
Topic: Quick Question regarding tilting until retirement
Replies: 22
Views: 1535

Re: Quick Question regarding tilting until retirement

Could also implement a Larry portfolio and hold a strong SCV tilt, but less equities overall. For me, if I were getting close to retirement, and SCV had a pop-up similar to Novenber 2016, I'd probably transition to 100% broad market. I believe the value in SCV is its added risk and thus return over...
by spdoublebass
Mon Jul 31, 2017 3:01 pm
Forum: Investing - Help with Personal Investments
Topic: Quick Question regarding tilting until retirement
Replies: 22
Views: 1535

Re: Quick Question regarding tilting until retirement

Removing funds that are only small parts of your portfolio is primarily for simplicity. Sometimes when starting out, people see the huge list of funds available and figure that to be diversified they need a lot of funds. Or perhaps their "financial advisor" has saddled them with 15-20 funds for his...
by spdoublebass
Mon Jul 31, 2017 1:06 pm
Forum: Investing - Help with Personal Investments
Topic: Quick Question regarding tilting until retirement
Replies: 22
Views: 1535

Re: Quick Question regarding tilting until retirement

If by "bonds" you mean short or intermediate term high quality bonds (what is recommended here) then they don't matter for the tilt. Those sorts of bonds mainly dilute the allocation. If you were 90% bonds you could still do 7.5% TSM, 2.5% SV. If you were on 3::1 leverage you would do 300% TSM, 100...
by spdoublebass
Mon Jul 31, 2017 12:33 pm
Forum: Investing - Help with Personal Investments
Topic: Quick Question regarding tilting until retirement
Replies: 22
Views: 1535

Re: Quick Question regarding tilting until retirement

Tilting to SCV is based on the belief that, over time, SCV stocks will do better than TSM (total market). The reason for this may be (1) SCV has higher risk that TSM, or (2) it is a behavioral anomaly. Whatever the explanation is, there is no guarantee that the long-term higher return of SCV will p...
by spdoublebass
Mon Jul 31, 2017 11:38 am
Forum: Investing - Help with Personal Investments
Topic: Quick Question regarding tilting until retirement
Replies: 22
Views: 1535

Quick Question regarding tilting until retirement

I'm hoping this will be my last question for a while. This forum really is unbelievable for helping people like myself avoid big mistakes. My question is this: if one tilts, should they hold the tilt up until retirement? This is a fictitious example. If your equities are: 75% total stock market 25% ...
by spdoublebass
Fri Jul 28, 2017 4:11 pm
Forum: Investing - Help with Personal Investments
Topic: 100% Stock Portfolio For Late Starter?
Replies: 35
Views: 2879

Re: 100% Stock Portfolio For Late Starter?

Age 34 really isn't a late start. At age 34 I suggest about 20 - 25% in bonds. Here is some information on bond allocation which you might find helpful. About 20 - 25% in bonds is expected to substantially reduce volatility (risk), with only a relatively slight decrease in return. Graph, "An E...
by spdoublebass
Fri Jul 28, 2017 2:36 pm
Forum: Investing - Help with Personal Investments
Topic: 100% Stock Portfolio For Late Starter?
Replies: 35
Views: 2879

Re: 100% Stock Portfolio For Late Starter?

Yes person B is safer. I also think person B's plan is potentially more reflective of reality. Since asset allocation reflects the amount of risk you're exposed to, it makes more sense that it would change gradually over time. Person A dramatically changes their risk exposure the day they make the ...
by spdoublebass
Fri Jul 28, 2017 2:07 am
Forum: Investing - Help with Personal Investments
Topic: 100% Stock Portfolio For Late Starter?
Replies: 35
Views: 2879

Re: 100% Stock Portfolio For Late Starter?

Person A is at greater risk if there is a crash soon before adding bonds. Person B will have more shares in bonds up until the moment person A moves to 50/50, at which point person A might have more since they would have had greater expected return at 100% stocks. If you're not asking who comes out...
by spdoublebass
Fri Jul 28, 2017 1:15 am
Forum: Investing - Help with Personal Investments
Topic: 100% Stock Portfolio For Late Starter?
Replies: 35
Views: 2879

Re: 100% Stock Portfolio For Late Starter?

Just to piggy back on Rattlenap's hypothetical question.... is there any benefit by adding bonds earlier vs later in ones investing timeframe? I'm keeping this example very basic: Person A stays 100% Stock until a few years before retirement. Then they add bonds and get to a 50/50 AA. Person B start...
by spdoublebass
Thu Jul 27, 2017 9:39 am
Forum: Investing - Help with Personal Investments
Topic: Critique my AA
Replies: 5
Views: 472

Re: Critique my AA

Just curious and only asking....

Why did you choose VIGI over VYMI?
If you like Value tilts VYMI is more in that direction. Or since you tilt Value in domestic did you want growth for international?
On the other hand VIGI does have more average volume than VYMI.

Discloser: I do not hold either.
by spdoublebass
Thu Jul 27, 2017 8:32 am
Forum: Investing - Help with Personal Investments
Topic: Sector percentages/tilting?
Replies: 15
Views: 855

Re: Sector percentages/tilting?

This link: m shows that FTSE Global All Cap only contains 1894 US stocks out of 7733 total, compared to the 3606 in Total Stock, which probably accounts for most of the difference between Total World and the fusion of Total International and Total Stock. but I did not know that what's inside of VSS...
by spdoublebass
Thu Jul 27, 2017 7:57 am
Forum: Investing - Help with Personal Investments
Topic: Sector percentages/tilting?
Replies: 15
Views: 855

Re: Sector percentages/tilting?

Total Stock includes Small Value and Total International includes Small International. Total World isn't a fusion of Total Stock and Total International, since, as you point out, Total World has 7849 stocks, while Total International has 6176 stocks and Total Stock has 3606 stocks. So, Total World ...
by spdoublebass
Thu Jul 27, 2017 6:57 am
Forum: Investing - Help with Personal Investments
Topic: Sector percentages/tilting?
Replies: 15
Views: 855

Re: Sector percentages/tilting?

Total World contains the vast majority of stocks available in the US and Internationally, except for micro stocks and frontier stocks. But Small Value and Small International don't contain those either. If you compare the lists of stocks, you will find 95%+ overlap (i.e. 95%+ of Small Value and Sma...
by spdoublebass
Thu Jul 27, 2017 6:49 am
Forum: Investing - Help with Personal Investments
Topic: Sector percentages/tilting?
Replies: 15
Views: 855

Re: Sector percentages/tilting?

100% of VBR & VSS are represented in VT, so I am not sure what your statement about 0% overlap is referring to. Having said that, this looks like a perfectly reasonable AA for someone that wants to hold close to market-weight for US vs. Ex-US, but with a tilt towards Small/Value. Not sure what ...
by spdoublebass
Thu Jul 27, 2017 2:02 am
Forum: Investing - Help with Personal Investments
Topic: Sector percentages/tilting?
Replies: 15
Views: 855

Re: Sector percentages/tilting?

100% of VBR & VSS are represented in VT, so I am not sure what your statement about 0% overlap is referring to. Having said that, this looks like a perfectly reasonable AA for someone that wants to hold close to market-weight for US vs. Ex-US, but with a tilt towards Small/Value. Not sure what ...
by spdoublebass
Wed Jul 26, 2017 7:39 pm
Forum: Investing - Help with Personal Investments
Topic: Sector percentages/tilting?
Replies: 15
Views: 855

Re: Sector percentages/tilting?

Maybe you should tell us a little more about yourself. I'd venture to guess that you're pretty young and have a stable job? At the first glance, and shooting in the dark about your background, your portfolio is quite aggressive, but given the way you positioned it, I don't see anything wrong with i...
by spdoublebass
Wed Jul 26, 2017 5:09 pm
Forum: Investing - Help with Personal Investments
Topic: Sector percentages/tilting?
Replies: 15
Views: 855

Sector percentages/tilting?

I'd first like to say thanks to this forum. I joined around April and can't imagine where I'd be without this forum. I'm very grateful I found this forum at the same time I started inventing. I went back an read my first few posts and am very grateful for all of the patience the forum showed me. I'm...
by spdoublebass
Wed Jul 26, 2017 5:09 pm
Forum: Investing - Help with Personal Investments
Topic: Sector percentages/tilting?
Replies: 1
Views: 260

Sector percentages/tilting?

I'd first like to say thanks to this forum. I joined around April and can't imagine where I'd be without this forum. I'm very grateful I found this forum at the same time I started inventing. I went back an read my first few posts and am very grateful for all of the patience the forum showed me. I'm...
by spdoublebass
Wed Jul 26, 2017 1:41 am
Forum: Investing - Theory, News & General
Topic: US and International Bond Fund Allocation
Replies: 109
Views: 8108

Re: US and International Bond Fund Allocation

So, if the world market consisted of yourself and the Harvard endowment fund, you would duplicate their allocation, although you have completely different objectives, risk tolerance, time horizon. Doesn't this make you suspect something is not right ? Every time I respond, I feel like I'm defending...
by spdoublebass
Tue Jul 25, 2017 11:01 pm
Forum: Investing - Theory, News & General
Topic: US and International Bond Fund Allocation
Replies: 109
Views: 8108

Re: US and International Bond Fund Allocation

Because he's the average investor and the market portfolio risk is the average risk of the market. No, he is not! The 100T capitalization of the workd market is not made of 100's of million of retail investors, each with a few 100's of thousands worth portfolios, but by a few thousansd of very larg...
by spdoublebass
Tue Jul 25, 2017 6:29 pm
Forum: Investing - Theory, News & General
Topic: US and International Bond Fund Allocation
Replies: 109
Views: 8108

Re: US and International Bond Fund Allocation

Sharpes argument is that this is a risk less portfolio. Meaning you are getting what is happening in the world. It's mainly advocated for people in retirement. This is crazy! That portfolio is riskless only relative to the overall risk in the world's financial markets. Why would a retiree put himse...
by spdoublebass
Tue Jul 25, 2017 1:17 pm
Forum: Investing - Theory, News & General
Topic: US and International Bond Fund Allocation
Replies: 109
Views: 8108

Re: US and International Bond Fund Allocation

Right now, the world market looks like: 30% US stocks 27% non-US stocks 22% US bonds 21% non-US bonds Hi, can you provide the source for this info? I've seen several comments in the media to the effect that the Global stock/bond split is more like 40/60 vs the 57/43 shown here. I'm sure there is a ...
by spdoublebass
Mon Jul 24, 2017 1:10 am
Forum: Investing - Theory, News & General
Topic: US and International Bond Fund Allocation
Replies: 109
Views: 8108

Re: US and International Bond Fund Allocation

Yet, for some strange reason, you feel that for bonds each individual investor should replicate the world distribution. Currencies, maturities, risks, etc. as if each individual investor had the very same needs as all the other investors. In fact, why not push this line of reasoning even further: T...
by spdoublebass
Sat Jul 22, 2017 6:26 pm
Forum: Investing - Help with Personal Investments
Topic: Can anyone convince me I need international stock in my portfolio?
Replies: 162
Views: 8434

Re: Can anyone convince me I need international stock in my portfolio?

There are just so many different ways to look at things. Nissan replaced Ford a while back for NYC taxi cabs. I just like having the International exposure.
by spdoublebass
Sat Jul 22, 2017 3:47 pm
Forum: Investing - Theory, News & General
Topic: US and International Bond Fund Allocation
Replies: 109
Views: 8108

Re: US and International Bond Fund Allocation

Long term bond index has 40% of treasuries and yields .7% less than long term corporate. It is an individual choice. More in general, if given my present capital and my target 20 years down the road, there were an investment grade yield that allows my to get there, I'd be a fool to add stocks or sh...
by spdoublebass
Sat Jul 22, 2017 3:10 pm
Forum: Investing - Theory, News & General
Topic: US and International Bond Fund Allocation
Replies: 109
Views: 8108

Re: US and International Bond Fund Allocation

All I read on this forum is how people should have short duration bonds. Then I read something like this and it makes me wonder. Am I supposed to have longer term bonds if I have an investing timeframe of 30+ years? I have total Bond market now, but I'm asking if I were to add something would it be...
by spdoublebass
Sat Jul 22, 2017 9:42 am
Forum: Investing - Theory, News & General
Topic: US and International Bond Fund Allocation
Replies: 109
Views: 8108

Re: US and International Bond Fund Allocation

[quote="Thesaints" Of course I am! Why should I buy 20% of short-term bonds, when I know that I won't need that money for many many years ? Remember that the total allocation of bonds is nothing else than the average of many diverse needs and targets. I know my own needs (in fact I'm a wor...
by spdoublebass
Sat Jul 22, 2017 12:17 am
Forum: Investing - Theory, News & General
Topic: US and International Bond Fund Allocation
Replies: 109
Views: 8108

Re: US and International Bond Fund Allocation

In 2014, stocks differed by 16.7% but bonds only differed by 2.9% In 2015, stocks differed by 4.7% but bonds only differed by 0.7% In 2016, stocks differed by 8.0% but bonds only differed by 2.1% Interestingly, foreign bonds outperformed US bonds in each year, while the reverse happened with stocks...
by spdoublebass
Fri Jul 21, 2017 6:48 pm
Forum: Investing - Theory, News & General
Topic: US and International Bond Fund Allocation
Replies: 109
Views: 8108

Re: US and International Bond Fund Allocation

Question on international bonds. Are most of the objections because the vanguard international bond fund (BNDX) does not yield as much as total bond market? If the yield was higher on international bonds would less people object? I'm just curious. I went with a small portion to international bonds j...