Search found 4307 matches

by stemikger
Thu Jul 27, 2017 5:03 pm
Forum: Investing - Help with Personal Investments
Topic: 100% Stock Portfolio For Late Starter?
Replies: 16
Views: 839

Re: 100% Stock Portfolio For Late Starter?

WhiteMaxima wrote:You can always do balanced fund if your can't tolerate too much loss. A balanced fund is 40% US, 30% ex-US 30% Bond and TIPS. At 40s, betting 100% in stock is kind of risky.


Which balanced fund? The Vanguard Balanced Index is 60/40 stocks/bonds all U.S.
by stemikger
Thu Jul 27, 2017 5:01 pm
Forum: Investing - Help with Personal Investments
Topic: 100% Stock Portfolio For Late Starter?
Replies: 16
Views: 839

Re: 100% Stock Portfolio For Late Starter?

Let’s say you're 40 yrs. old and a first time investor with a 25 year time horizon to retire. You don't mind volatility and want to be 100% stocks for the rest of your life. You also keep a significant cash reserve (18 months to 2 years savings) in cash equivalents. What are your thoughts on this? ...
by stemikger
Thu Jul 27, 2017 4:45 pm
Forum: Investing - Theory, News & General
Topic: Vanguard's Global Wellesley Income and Global Wellington Funds in registration
Replies: 16
Views: 1951

Re: Vanguard's Global Wellesley Income and Global Wellington Funds in registration

I doubt this has Jack's blessing but would love to hear his comments. Jack is not a big fan of MPT where mutual funds individually aren't always good investments in and of themselves but are designed to be used in combination with other funds. He thinks in practice this just encourages speculation ...
by stemikger
Tue Jul 25, 2017 6:17 pm
Forum: Investing - Help with Personal Investments
Topic: Two-Fund Portfolio Role Call
Replies: 57
Views: 6319

Re: Two-Fund Portfolio Role Call

Two funder here. I use the Vanguard Institutional Index Fund (which is the Vanguard 500 Index for Institutions) and the Blackrock U.S. Debt Index Fund (which is the equivalent to Vanguard's Total Bond Market Index). I just changed my asset allocation from 65/35 to 60/40. I have a small IRA which is...
by stemikger
Tue Jul 25, 2017 8:23 am
Forum: Investing - Theory, News & General
Topic: Murphy's Law Of Retirement
Replies: 56
Views: 8460

Re: Murphy's Law Of Retirement

If you have enough in bonds during the downturns, you take from the bonds.

Also, I plan to be flexible with my withdrawal rate.
by stemikger
Mon Jul 24, 2017 3:34 pm
Forum: Investing - Theory, News & General
Topic: The Quest for Perfection
Replies: 120
Views: 6103

Re: The Quest for Perfection

In response to these comments, as well as some others: This is too complex. I like mine better. One fund. The Vanguard Balanced Index Fund. In all respect to those suggesting I backtest your tie, that's amusing, but I spent a lot of time constructing this proposal and intended it as a starting poin...
by stemikger
Fri Jul 21, 2017 9:45 am
Forum: Investing - Theory, News & General
Topic: Advise to mass distribute (Dave?)
Replies: 8
Views: 398

Re: Advise to mass distribute (Dave Ramsey?)

We plan on going on the Dave show to do our debt free scream in the next couple of months. He always asks: What would you say is the key to getting out of debt? (We paid off our house at 30 years old.) My first thoughts are: 1. Get your spouse on the same page. 2. Read about how to handle windfalls...
by stemikger
Thu Jul 20, 2017 7:36 am
Forum: Investing - Theory, News & General
Topic: The Death of Buy and Hold
Replies: 25
Views: 3086

Re: The Death of Buy and Hold

zaboomafoozarg wrote:
bligh wrote:OP, Did you, a client or a friend of yours write the book?


Definitely not the author, since he died 6 months ago :(


This took a tragic turn. My condolences to his family
by stemikger
Thu Jul 20, 2017 7:33 am
Forum: Personal Finance (Not Investing)
Topic: Another nice J. Bogle article
Replies: 1
Views: 385

Re: Another nice J. Bogle article

Thanks Dan. I too love reading these interviews with Jack. He is a hero of mine and I can't get enough of his common sense advice.
by stemikger
Thu Jul 20, 2017 7:14 am
Forum: Investing - Help with Personal Investments
Topic: Can anyone convince me I need international stock in my portfolio?
Replies: 162
Views: 7629

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

I know there's a lot of debate here about whether international stock is really needed in a portfolio. I've read a lot of it and I still don't know what I think. Looking at the last 30 years, except for a few short periods, international stocks would have just been a drag on overall portfolio retur...
by stemikger
Thu Jul 20, 2017 7:03 am
Forum: Investing - Theory, News & General
Topic: Slow, steady AA glide path as long as stocks hit new highs?
Replies: 21
Views: 1932

Re: Slow, steady AA glide path as long as stocks hit new highs?

John Bogle also prefers a fixed AA. Doesn't Jack subscribe to "age in bonds" or some variation of it? If so, doesn't that imply a glide path? Yes you are correct and this is where you have to dig a bit deeper if you want to follow Jack's advice. Age in Bonds has always been a rough rule o...
by stemikger
Wed Jul 19, 2017 4:17 pm
Forum: Investing - Theory, News & General
Topic: Slow, steady AA glide path as long as stocks hit new highs?
Replies: 21
Views: 1932

Re: Slow, steady AA glide path as long as stocks hit new highs?

It sounds reasonable. Like others said, if it works for you, it is the right way to do it.

I'm not a fan of glide paths. I like to stick with fixed AA and change when your situation changes or stick with it for life.

John Bogle also prefers a fixed AA.
by stemikger
Wed Jul 19, 2017 4:12 pm
Forum: Investing - Theory, News & General
Topic: The Death of Buy and Hold
Replies: 25
Views: 3086

Re: The Death of Buy and Hold

The book promotes index investing. Low fees, low expense ratios, no-load funds. Also delves into using gold, metals in an investment portfolio. I was reading it last night and decided to use their advice of putting a mixed bond fund in my IRA. I had previously been interested in a US government bon...
by stemikger
Wed Jul 19, 2017 3:36 pm
Forum: Investing - Theory, News & General
Topic: The Death of Buy and Hold
Replies: 25
Views: 3086

Re: The Death of Buy and Hold

simplesimon wrote:What principles of a buy and hold strategy does he have issues with?


+1

Don't know anything about this book, but the title sounds like financial porn.
by stemikger
Wed Jul 19, 2017 7:40 am
Forum: Investing - Theory, News & General
Topic: The Quest for Perfection
Replies: 120
Views: 6103

Re: The Quest for Perfection

This is too complex. I like mine better. One fund. The Vanguard Balanced Index Fund.
by stemikger
Tue Jul 18, 2017 7:27 pm
Forum: Personal Consumer Issues
Topic: Books not to read.
Replies: 155
Views: 11000

Re: Books not to read.

Any book that has the words "Trade" or "Trader" on the front cover.
by stemikger
Tue Jul 18, 2017 6:11 pm
Forum: Personal Consumer Issues
Topic: Books not to read.
Replies: 155
Views: 11000

Re: Books not to read.

Rich dad poor dad I disagree on this one. Some things I took away from this book is to live below your means, always be selling/improving yourself, and invest (the book pushes real estate, but it can clearly be drawn to investing. Those seem like pretty major things for investors. I think his "...
by stemikger
Mon Jul 17, 2017 10:47 am
Forum: Investing - Help with Personal Investments
Topic: Thinking out loud
Replies: 30
Views: 3280

Re: Thinking out loud

Retired in my mid sixties. In the absence of anything else about your life, IMHO I would go for 70/30. You have some time to recover in the event of a downturn. The way I look at it, when you do retire you likely won't need all of your money at one time, so you could nibble away with withdrawals in...
by stemikger
Mon Jul 17, 2017 8:45 am
Forum: Investing - Theory, News & General
Topic: Cramer makes the bull case for including bonds in your portfolio
Replies: 23
Views: 3040

Re: Cramer makes the bull case for including bonds in your portfolio

It's very close to Jack's advice. I wonder if he agrees with Jack about including social security as part of your bond allocation. In that case, something like 60/40 or 50/50 for life might be a good plan. I plan to leave it all in the Vanguard Balanced Index Fund for life. I may get chicken in my 6...
by stemikger
Mon Jul 17, 2017 8:12 am
Forum: Investing - Help with Personal Investments
Topic: Thinking out loud
Replies: 30
Views: 3280

Re: Thinking out loud

stemikger - I like to take more risk but really that 60/40 at your age and what appears to be your risk profile fits well. Keep in mind that bonds (and US Stocks) have done very well over the last 20 years so I don't think you've missed out on returns either. Another vote to stick with your plan. I...
by stemikger
Mon Jul 17, 2017 8:11 am
Forum: Investing - Help with Personal Investments
Topic: Thinking out loud
Replies: 30
Views: 3280

Re: Thinking out loud

Its interesting you have those doubts, this is a very conservative group When you invest in bonds you are increasing the risk of losing your long term purchasing power, bond don't pay well nor respond to inflation. The recent book 'Investing at Level 3" by Dr James Cloonan, founder of AAII (Am...
by stemikger
Mon Jul 17, 2017 8:06 am
Forum: Investing - Help with Personal Investments
Topic: Thinking out loud
Replies: 30
Views: 3280

Re: Thinking out loud

lostdog wrote:Stay the course. :)

60/40 for life. You're all set.


+1

:beer
by stemikger
Mon Jul 17, 2017 8:04 am
Forum: Investing - Help with Personal Investments
Topic: Thinking out loud
Replies: 30
Views: 3280

Re: Thinking out loud

There are a few things one has to accept. 1. The less stocks one owns over a long time horizon the less money one will earn from those investments. Folks on here think they can have their cake and eat it too. You can't decrease risk and think you can get the same return as a high equity investor wh...
by stemikger
Sun Jul 16, 2017 1:10 pm
Forum: Investing - Help with Personal Investments
Topic: Thinking out loud
Replies: 30
Views: 3280

Re: Thinking out loud

Thanks!

It's always good to use smart people as a sounding board. :beer
by stemikger
Sun Jul 16, 2017 10:13 am
Forum: Investing - Help with Personal Investments
Topic: Thinking out loud
Replies: 30
Views: 3280

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 g...
by stemikger
Sun Jul 16, 2017 8:42 am
Forum: Investing - Help with Personal Investments
Topic: Thinking out loud
Replies: 30
Views: 3280

Thinking out loud

Hi folks, I have never questioned my investment choices. I am happy with a two fund portfolio and not holding international. I have held this for over 20 years now. As many already know, upon retirement I plan to put it all in the balanced index fund. I am 100% confident that these two funds and one...
by stemikger
Sun Jul 16, 2017 6:40 am
Forum: Investing - Theory, News & General
Topic: Is now time to move into international stocks?
Replies: 47
Views: 4669

Re: Is now time to move into international stocks?

Nothing changes on my end. I don't own any international stocks or bonds. A simple two fund all U.S. 60/40 portfolio or one fund Vanguard Balanced Index Fund is all you need.

Stay the Course and keep it Simple!!
by stemikger
Sat Jul 15, 2017 4:47 am
Forum: Investing - Help with Personal Investments
Topic: What advice to give 21 year old?
Replies: 105
Views: 5516

Re: What advice to give 21 year old?

I think you have given him great advice. I would also have him read Jim Collins book The Simple Path to Wealth. This book started as a letter to Jim's own 21 year old daughter and how he wanted to teach her about investing. I would also have him read one of Warren Buffett's annual letters (sorry I d...
by stemikger
Sat Jul 15, 2017 12:38 am
Forum: Investing - Theory, News & General
Topic: Why Does The 60/40 Work So Well?
Replies: 81
Views: 11826

Re: Why Does The 60/40 Work So Well?

I have always been a 60/40 guy even when I was younger. So I'd like to get your opinion on why you think the 60/40 asset allocation has always worked so well. Why it has stood the test of time. I think you answered your own question. It's a portfolio that you can stick with. When the market is roar...
by stemikger
Fri Jul 14, 2017 2:08 am
Forum: Investing - Theory, News & General
Topic: 90:10 AA - what don't you believe about it?
Replies: 101
Views: 6689

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

Posted by CurlyDave Do you really think more like John Bogle? Bogle says to treat pensions and SS as equivalent to fixed income investments, i.e. bonds. In a rough way I am. I'm 53 with an asset allocation of 60/40 and plan to remain with that AA for life. Many here will say that 60/40 in retiremen...
by stemikger
Fri Jul 14, 2017 12:09 am
Forum: Investing - Theory, News & General
Topic: 90:10 AA - what don't you believe about it?
Replies: 101
Views: 6689

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

I think if you can handle 90/10 then you would probably leave a lot of money to your heirs. I don't think many people in their 50s, 60s and 70s can. I am pretty sure that I cannot which is why I hold 60/40 and save more. But yes, if you can handle the short term volatility, 90/10 could be right for ...
by stemikger
Fri Jul 14, 2017 12:04 am
Forum: Investing - Theory, News & General
Topic: 90:10 AA - what don't you believe about it?
Replies: 101
Views: 6689

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

tibbitts wrote:What I don't believe is that anybody (well, almost) was talking about 90/10 in the depths of the 2008/2009 downturn.


That is when they should have been 90/10.
by stemikger
Thu Jul 13, 2017 8:02 pm
Forum: Investing - Help with Personal Investments
Topic: Roll call Warren Buffet 90/10 portfolio
Replies: 89
Views: 13942

Re: Roll call Warren Buffet 90/10 portfolio

I like 60-40 and the Vanguard Balanced Index Fund. +1 You can't go wrong with this. As Jack has said, this is the ultimate in investing and simplicity. One fund and no stress. I guess that is why he chose to use this fund for the money he gifts to his Grandchildren. He doesn't want to worry about i...
by stemikger
Thu Jul 13, 2017 7:59 pm
Forum: Investing - Theory, News & General
Topic: Burton Malkiel's Not so random walk
Replies: 17
Views: 2662

Re: Burton Malkiel's Not so random walk

Burton Malkiel spent 28 years at Vanguard; I'm not sure when he left, anybody know? Vanguard was founded in 1975, if he was there from the very beginning, 1975 + 28 = 2003. A Random Walk Down Wall Street once was my investing Bible, but I've gotten somewhat disillusioned; I started to get queasy wh...
by stemikger
Thu Jul 13, 2017 7:53 pm
Forum: Investing - Theory, News & General
Topic: 50% Cash, 50% Stocks: The Opportunistic Portfolio
Replies: 43
Views: 4137

Re: 50% Cash, 50% Stocks: The Opportunistic Portfolio

This has elements of market timing and will definitely be a behavior problem when the market tanks and all you hear is this time it's different.

Stick to an asset allocation you can live with in good times and bad and Stay the Course. It's so much easier and stress free.
by stemikger
Wed Jul 12, 2017 6:40 am
Forum: Investing - Theory, News & General
Topic: Online Trading Academy
Replies: 26
Views: 1490

Re: Online Trading Academy

It's a scam, run away. If it seems too good to be true it is.

The only one who will make money is the people selling this crap.
by stemikger
Sun Jul 09, 2017 10:31 am
Forum: Personal Consumer Issues
Topic: How to compromise on moving
Replies: 10
Views: 1024

Re: How to compromise on moving

Now that your house is paid off can you rent a place somewhere your wife may like for 3-4 winter months where she gets what she wants and you can jointly decide after 2 or 3 years of that, whats the move going forward. May be the grass is greener and you may like laid back style or she might feel s...
by stemikger
Sun Jul 09, 2017 8:09 am
Forum: Personal Consumer Issues
Topic: How to compromise on moving
Replies: 10
Views: 1024

How to compromise on moving

Looking ahead five years, my wife want's to move and I want to stay. I have a paid off home, only have one daughter who would probably be leaving the nest by then and I love New York City. Although I don't live in New York City, I like the fact that I'm a short boat ride away. Here is the way I look...
by stemikger
Fri Jul 07, 2017 11:51 pm
Forum: Personal Finance (Not Investing)
Topic: Last 80 minutes of my career
Replies: 64
Views: 10131

Re: Last 80 minutes of my career

How exciting! This is your time to learn and do the things that matter most!

Smell those damn Roses!
by stemikger
Fri Jul 07, 2017 5:53 am
Forum: Personal Consumer Issues
Topic: Are you finding any good values at Amazon anymore?
Replies: 149
Views: 13263

Re: Are you finding any good values at Amazon anymore?

I'm still happy with Amazon Prime. I get their version of Netflix for free, I save on shipping if what I buy is Prime eligible. I also like to buy Amazon Essentials. So far, everything I bought from Amazon Essentials has been excellent and very well made. I even buy my clothes on Amazon now. I found...
by stemikger
Thu Jul 06, 2017 11:44 pm
Forum: Investing - Theory, News & General
Topic: Nominal Returns
Replies: 15
Views: 1198

Re: Forecasting stock and bond returns?

I am reading where many professionals are saying the next 10 years we should expect a 4.4% nominal return for a 60/40 balanced fund. Does that mean the real return would be something like 1.1%? Also, looking forward I am saving more, but do you think 4.4% nominal is too optimistic or too pessimisti...
by stemikger
Thu Jul 06, 2017 7:38 pm
Forum: Investing - Theory, News & General
Topic: Nominal Returns
Replies: 15
Views: 1198

Nominal Returns

I am reading where many professionals are saying the next 10 years we should expect a 4.4% nominal return for a 60/40 balanced fund. Does that mean the real return would be something like 1.1%? Also, looking forward I am saving more, but do you think 4.4% nominal is too optimistic or too pessimistic.
by stemikger
Tue Jul 04, 2017 12:30 pm
Forum: Personal Consumer Issues
Topic: Bogleheads: you should be buying 10-year old cars
Replies: 173
Views: 12843

Re: Bogleheads: you should be buying 10-year old cars

However, I would not feel safe going more than 3 hours away in a car much older than 10 years. What are you worried will happen? You do realize this fear is totally illogical, right? Not only do 10 year old cars break down very rarely, but newer cars also break down. The difference between the brea...
by stemikger
Sun Jul 02, 2017 7:03 am
Forum: Personal Finance (Not Investing)
Topic: Just found out my mom is in serious financial crisis. Need help ASAP.
Replies: 58
Views: 8910

Re: Just found out my mom is in serious financial crisis. Need help ASAP.

Are you okay with her moving in with you? Do you have any siblings? +1 If this is an option, she could probably pay off all debts in 3 to 5 years, if she keeps working. Good Luck, my Mom got in trouble with the IRS and it almost cost her a nervous breakdown - because she was hiding it from us. When...
by stemikger
Sun Jul 02, 2017 6:48 am
Forum: Personal Consumer Issues
Topic: Bogleheads: you should be buying 10-year old cars
Replies: 173
Views: 12843

Re: Bogleheads: you should be buying 10-year old cars

This could work if you didn't drive far and was mostly a local driver (which I am 80%). However, I would not feel safe going more than 3 hours away in a car much older than 10 years. Posted by Zuma However, most people here seem to live in areas where a car is necessary. I haven't owned a car in 15 ...
by stemikger
Sat Jul 01, 2017 1:18 am
Forum: Investing - Theory, News & General
Topic: Why Diversify? Why Not 100% Global Stocks
Replies: 31
Views: 2970

Re: Why Diversify? Why Not 100% Global Stocks

It's a legitimate question, but for me it has always been about risk tolerance. In 2008/09 if you were 100% in stocks, you lost 50% of your portfolio. If you were 60/40 you still lost but this time it was 30%. If you held either one of those portfolios and stayed the course, you would have been rewa...
by stemikger
Fri Jun 30, 2017 1:07 am
Forum: Investing - Theory, News & General
Topic: International Stocks - New thoughts
Replies: 83
Views: 6044

Re: International Stocks - New thoughts

Posted by Simplesauce For the people who bash Bogle on this subject, I wonder if they've really sat and read his academic work on it. I sure forgot all about it. Thoughts? Great Post. I'm 53 and have never invested in international. I am one of those people who could just put everything in the Vang...
by stemikger
Fri Jun 30, 2017 12:59 am
Forum: Investing - Theory, News & General
Topic: Warren Buffett's PBS interview
Replies: 2
Views: 777

Re: Warren Buffett's PBS interview

Thanks for posting.
by stemikger
Sat Jun 24, 2017 7:40 am
Forum: Investing - Theory, News & General
Topic: "Home Bias Blues: Investors really should get out more. The reasons for sticking to local stocks are fewer by the day."
Replies: 52
Views: 4519

Re: "Home Bias Blues: Investors really should get out more. The reasons for sticking to local stocks are fewer by the da

and then there is the counterpoint: "Jack Bogle, founder of the Vanguard Group, is not a fan of investing abroad. The creator of indexed mutual funds thinks that investing outside of the US is too risky and American investors should keep their money at home." http://www.businessinsider.co...

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