Search found 4306 matches

by triceratop
Fri Jun 22, 2018 10:37 pm
Forum: Investing - Theory, News & General
Topic: Are mutual funds safer than ETFs?
Replies: 15
Views: 1491

Re: Are mutual funds safer than ETFs?

My broker has discounted ($0) trades only for a certain limited number per year. I guess they must be promoting something else — my welfare?

In reality broker’s incentives are a bit more subtle than to encourage people to trade, trade, trade.
by triceratop
Fri Jun 22, 2018 8:12 pm
Forum: Investing - Theory, News & General
Topic: Ex-dividend days: Is there typically anything out of the ordinary?
Replies: 34
Views: 2578

Re: Ex-dividend days: Is there typically anything out of the ordinary?

Wait, if you sell after the exdiv day you should get the dividend right? I don't understand why that person donating theirs wouldn't get the dividend. The record day is when it settles but the exdiv day determines who gets the dividend. Isn't that its entire purpose? If you sell it takes 2 days for...
by triceratop
Fri Jun 22, 2018 7:44 pm
Forum: Investing - Theory, News & General
Topic: Why won't Vanguard drop VTI & VOO expense to 0.03?
Replies: 26
Views: 1954

Re: Why won't Vanguard drop VTI & VOO expense to 0.03?

Okay here’s a fun one: which class of Vanguard investors would have preferred for Vanguard to have an expense ratio exactly 1bp higher in 2017?

Livesoft cannot answer because I know he already knows the answer.
by triceratop
Fri Jun 22, 2018 4:41 pm
Forum: Investing - Theory, News & General
Topic: "Find out if your fund is declaring a dividend this month"
Replies: 40
Views: 3778

Re: "Find out if your fund is declaring a dividend this month"

Maybe investors traders do not rationally approach this problem? See this academic paper: Reconsidering Returns (apologies if this seems like something I've posted before -- there have been a number of fund/etf dividend price adjustment threads in the past few days) A notable finding is that funds i...
by triceratop
Fri Jun 22, 2018 3:02 pm
Forum: Investing - Theory, News & General
Topic: "Find out if your fund is declaring a dividend this month"
Replies: 40
Views: 3778

Re: "Find out if your fund is declaring a dividend this month"

I mean, sure, fine, but why does that hypothesis make sense to surmise? We don't have continuously-open financial markets for continuous price discovery of non-dividend-related events, which is what you're really observing, no? Other things are happening in the financial and non-financial world, so...
by triceratop
Fri Jun 22, 2018 1:03 pm
Forum: Investing - Theory, News & General
Topic: Why Active can never beat Passive
Replies: 33
Views: 2881

Re: Why Active can never beat Passive

My quibble to the active management arithmetic is that it assumes active management adds no value to even the passive managers. If stock returns are higher due to the beneficial effects of efficient allocation of capital by active management to productive activities, then that is a pure win for ever...
by triceratop
Fri Jun 22, 2018 12:57 pm
Forum: Investing - Theory, News & General
Topic: Ex-dividend days: Is there typically anything out of the ordinary?
Replies: 34
Views: 2578

Re: Ex-dividend days: Is there typically anything out of the ordinary?

What happens if the ex-dividend day is on a Saturday? The price drops on Monday? Ex-div is not set by the company issuing the dividend, it is sort of set up by the exchange. For stocks, which settle T+3 or Trade plus 3 days, ex-div is 3 trading days before "Record Date". Record date is what really ...
by triceratop
Fri Jun 22, 2018 12:16 pm
Forum: Investing - Help with Personal Investments
Topic: How can I find out % return on Vanguard Total Bond Index?
Replies: 9
Views: 816

Re: How can I find out % return on Vanguard Total Bond Index?

If you reinvest the dividend distribution you can compute historical returns by using this morningstar link. What Money Market fund do you have? You can possibly add that ticker to make a comparison.
by triceratop
Fri Jun 22, 2018 11:31 am
Forum: Investing - Theory, News & General
Topic: "Find out if your fund is declaring a dividend this month"
Replies: 40
Views: 3778

Re: "Find out if your fund is declaring a dividend this month"

I mean, sure, fine, but why does that hypothesis make sense to surmise? We don't have continuously-open financial markets for continuous price discovery of non-dividend-related events, which is what you're really observing, no? Other things are happening in the financial and non-financial world, so ...
by triceratop
Fri Jun 22, 2018 10:27 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: How To Use Benchmarks
Replies: 6
Views: 446

Re: Larry Swedroe: How To Use Benchmarks

I removed some off-topic comments. Please keep the discussion focused on the investing and steer clear of personal attacks.
by triceratop
Fri Jun 22, 2018 9:59 am
Forum: Investing - Theory, News & General
Topic: Why Active can never beat Passive
Replies: 33
Views: 2881

Re: Why Active can never beat Passive

But we don't say active funds cannot beat passive funds, so there is no lie. Yes, you can interpret the argument that way but that is a misinterpretation. And yes, the typical resource to cite for it being hard to pick active funds is the SPIVA reports. Maybe "we" don't say that, but the title of t...
by triceratop
Fri Jun 22, 2018 9:24 am
Forum: Investing - Theory, News & General
Topic: Why Active can never beat Passive
Replies: 33
Views: 2881

Re: Why Active can never beat Passive

This is just untrue, insofar as it concerns the actively managed universe and not one serendipitous fund. As an investor, I don't care about the active or passive universe. I care about my account. Just mine, not yours, not the whole world's. Mine, mine, mine. Some active investors will greatly out...
by triceratop
Thu Jun 21, 2018 6:41 pm
Forum: Investing - Theory, News & General
Topic: Are mutual funds safer than ETFs?
Replies: 15
Views: 1491

Re: Are mutual funds safer than ETFs?

1) The liquidity event was not in any ETF that Bogleheads would ever touch with a 10-foot pole. And, as I recall, the liquidity was not even in ETFs but instead in ETNs, which are not the same thing. And they definitely were not in 1940-act ETFs which is the products recommended to long-term investo...
by triceratop
Thu Jun 21, 2018 6:28 pm
Forum: Investing - Help with Personal Investments
Topic: [100% stock, uncomfortable with international]
Replies: 34
Views: 2415

Re: [100% stock, uncomfortable with international]

What do you get compensated for by adding the added currency risk? The currency risk is incidental (and bad!). What you get instead is more diversification. I don't understand your point of "target less currency risk with small cap stocks". Small cap stocks typically have less exposure to foreign m...
by triceratop
Thu Jun 21, 2018 5:55 pm
Forum: Investing - Help with Personal Investments
Topic: [100% stock, uncomfortable with international]
Replies: 34
Views: 2415

Re: [100% stock, uncomfortable with international]

What do you get compensated for by adding the added currency risk? The currency risk is incidental (and bad!). What you get instead is more diversification. I don't understand your point of "target less currency risk with small cap stocks". Small cap stocks typically have less exposure to foreign m...
by triceratop
Thu Jun 21, 2018 5:33 pm
Forum: Investing - Help with Personal Investments
Topic: [100% stock, uncomfortable with international]
Replies: 34
Views: 2415

Re: [100% stock, uncomfortable with international]

Hi bg5, you are not alone in putting 100% in domestic US equity. I'm personally 100% in VFIAX and never considered adding international stock into the AA. Why? because (1) simplicity (2) plenty of "international exposure" through VTSAX or VFIAX (3) no need for the added currency risk (4) ER for int...
by triceratop
Thu Jun 21, 2018 2:44 pm
Forum: Forum Issues and Administration
Topic: Server Maintenance - Today June 21, 2018 at 15:45 EDT
Replies: 18
Views: 1243

Re: Server Maintenance - Today June 21, 2018 at 15:45 EDT

livesoft wrote:
Thu Jun 21, 2018 2:43 pm
What? Just let me fi

ni
so long and thanks for all the fi
by triceratop
Thu Jun 21, 2018 2:17 pm
Forum: Personal Finance (Not Investing)
Topic: What is/ was your career and would you recommend it now?
Replies: 131
Views: 8419

Re: What is/ was your career and would you recommend it now?

Professor, 2003 - present (Finance major) Would I recommend it now? Depends on who you are. If you love to read hundreds of research papers, spending weeks solving problems, are passionate about teaching, have patience dealing with students every month, then yes. The hurdle to become a tenured prof...
by triceratop
Thu Jun 21, 2018 1:33 pm
Forum: Investing - Theory, News & General
Topic: Factor Investing Makes Someone Money, But Maybe Not You
Replies: 70
Views: 4014

Re: Factor Investing Makes Someone Money, But Maybe Not You

So, what to do here? Should we all dump all SCV and international/emerging market and just use total international and total stock market? Heck, dump it all for Vanguard total stock market VTSAX? That makes Vanguard executives money. Perhaps the only thing left to do is to buy US treasury bills and...
by triceratop
Thu Jun 21, 2018 1:11 pm
Forum: Investing - Help with Personal Investments
Topic: Where to invest $50K+ down payment money for five years?
Replies: 68
Views: 5235

Re: Where to invest $50K+ down payment money for five years?

What would really happen:

Your emergency fund would remain at 60k and you would save for 1 year into a 80k short-term savings pot which you would spend on the not-an-emergency expected event of a house payment.
by triceratop
Thu Jun 21, 2018 1:01 pm
Forum: Investing - Help with Personal Investments
Topic: Where to invest $50K+ down payment money for five years?
Replies: 68
Views: 5235

Re: Where to invest $50K+ down payment money for five years?

My emergency fund is 60K. My annual saving is about 60K. I would not buy a house costs more than 400K. So, my 20% down payment is about 80K. Why do I need to save for a house down payment? I don't. Between my emergency fund and my annual savings, I have enough money for a house down payment. An eme...
by triceratop
Thu Jun 21, 2018 12:27 pm
Forum: Investing - Help with Personal Investments
Topic: US Small Cap Value Funds
Replies: 13
Views: 917

Re: US Small Cap Value Funds

Seems then like Vanguard's advantage is just the much smaller expense ratio, but IJS will give you better performance in capturing the SCV premium. But you pay 25 bps for that. Vanguard charges 0.07% so you really only pay 18bp extra for that. By the way let's not make this out to be a Vanguard cos...
by triceratop
Thu Jun 21, 2018 12:08 pm
Forum: Investing - Help with Personal Investments
Topic: Where to invest $50K+ down payment money for five years?
Replies: 68
Views: 5235

Re: Where to invest $50K+ down payment money for five years?

My emergency fund is 60K. My annual saving is about 60K. I would not buy a house costs more than 400K. So, my 20% down payment is about 80K. Why do I need to save for a house down payment? I don't. Between my emergency fund and my annual savings, I have enough money for a house down payment. An eme...
by triceratop
Thu Jun 21, 2018 11:26 am
Forum: Investing - Theory, News & General
Topic: Does an IPS really need to be 5 pages long to be valuable?
Replies: 56
Views: 2366

Re: Does an IPS really need to be 5 pages long to be valuable?

Mine has 2709 characters and has not been modified since last November (when I clarified how taxes would impact my decision -- I currently do not hold corporate bonds for tax reasons). It has a total of 346 words. My IPS: ==============================================================================...
by triceratop
Thu Jun 21, 2018 11:14 am
Forum: Investing - Theory, News & General
Topic: US T bills - first time user
Replies: 113
Views: 8504

Re: US T bills - first time user

Selling a Treasury one business day before settlement or having one mature on the settlement date of a new Treasury purchased either on the open market or at auction is "allowed" by (SEC?) regulations. Sure, but we see enormous variation amongst various brokers' policies regarding equity/stock ETFs...
by triceratop
Thu Jun 21, 2018 10:26 am
Forum: Investing - Theory, News & General
Topic: US T bills - first time user
Replies: 113
Views: 8504

Re: US T bills - first time user

Purchased my first US T bill (13 week) at auction this week with 25% of what I had in Schwab Prime MM at 1.83%. Investment rate on the auction results was 1.936% and with our state tax rate that corresponds to 2.03% taxable equivalent. I plan to do this every 4 weeks until I have a rolling ladder w...
by triceratop
Thu Jun 21, 2018 9:30 am
Forum: Investing - Theory, News & General
Topic: US T bills - first time user
Replies: 113
Views: 8504

Re: US T bills - first time user

Purchased my first US T bill (13 week) at auction this week with 25% of what I had in Schwab Prime MM at 1.83%. Investment rate on the auction results was 1.936% and with our state tax rate that corresponds to 2.03% taxable equivalent. I plan to do this every 4 weeks until I have a rolling ladder w...
by triceratop
Wed Jun 20, 2018 11:42 pm
Forum: Investing - Help with Personal Investments
Topic: Merrill Edge best choice for higher net worth accounts?
Replies: 60
Views: 7983

Re: Merrill Edge best choice for higher net worth accounts?

another vote for fidelity or vanguard. They pay more for funds waiting to be invested. Bank america reward money market pays .07% interest for platinum. think 0.14% for merill sweep?? Vanguard and Fidelity pay alot more, around 1%. Or you could own ETF ICSH - iShares Ultra Short-Term Bond. SEC yiel...
by triceratop
Wed Jun 20, 2018 4:42 pm
Forum: Investing - Help with Personal Investments
Topic: Short-term Treasury ETF vs just buying Treasuries
Replies: 38
Views: 2325

Re: Short-term Treasury ETF vs just buying Treasuries

You're right, it was an assumption purely of mine that on a retail investor site such as bogleheads.org the OP would likely be interested in buying less than $100,000 of T-bills in a single trade.
by triceratop
Wed Jun 20, 2018 4:33 pm
Forum: Investing - Help with Personal Investments
Topic: Short-term Treasury ETF vs just buying Treasuries
Replies: 38
Views: 2325

Re: Short-term Treasury ETF vs just buying Treasuries

Apparently you're not missing anything. Us mortals however are missing $100,000 to drop into T-bills.
by triceratop
Wed Jun 20, 2018 4:11 pm
Forum: Investing - Help with Personal Investments
Topic: Short-term Treasury ETF vs just buying Treasuries
Replies: 38
Views: 2325

Re: Short-term Treasury ETF vs just buying Treasuries

- If I buy at an auction I just get the same price as everyone else, right? The idea is to avoid the bid/ask spread? Yes. The spread on treasuries is typically miniscule, so buying/selling in the secondary market isn't a big deal. If you plan to ladder, you can buy at auction and set up the "autoro...
by triceratop
Wed Jun 20, 2018 3:16 pm
Forum: Investing - Theory, News & General
Topic: Ex-dividend days: Is there typically anything out of the ordinary?
Replies: 34
Views: 2578

Re: Ex-dividend days: Is there typically anything out of the ordinary?

For example, if all 30 companies represented in the Dow Jones index paid a 2% dividend on the same day, would the Dow drop by 2%? In the case of the DJIA, yes. Interesting; thank you very much. I assume the same would be true for a market-cap based index like the S&P 500? Also, a follow-up a questi...
by triceratop
Wed Jun 20, 2018 2:57 pm
Forum: Investing - Help with Personal Investments
Topic: Dollar cost averaging small cap value in taxable
Replies: 3
Views: 248

Re: Dollar cost averaging small cap value in taxable

KyleAAA wrote:
Wed Jun 20, 2018 2:54 pm
IJS has been quite tax efficient in the past and will probably continue to do so. I would feel comfortable holding it in taxable. VTI might be slightly better in taxable but not by a significant amount.
VTI has been worse in taxable.
by triceratop
Wed Jun 20, 2018 2:52 pm
Forum: Investing - Theory, News & General
Topic: Ex-dividend days: Is there typically anything out of the ordinary?
Replies: 34
Views: 2578

Re: Ex-dividend days: Is there typically anything out of the ordinary?

I have a related question on this topic: how does the payments of dividends affect stock indices? For example, if all 30 companies represented in the Dow Jones index paid a 2% dividend on the same day, would the Dow drop by 2%? In the case of the DJIA, yes. However, not all stock indices are stock ...
by triceratop
Wed Jun 20, 2018 2:24 pm
Forum: Investing - Help with Personal Investments
Topic: Short-term Treasury ETF vs just buying Treasuries
Replies: 38
Views: 2325

Re: Short-term Treasury ETF vs just buying Treasuries

^ Of course, that is not an issue if you buy at auction and hold your ladder to maturity.
by triceratop
Wed Jun 20, 2018 1:48 pm
Forum: Forum Issues and Administration
Topic: Is there a way to block someone?
Replies: 22
Views: 2831

Re: Is there a way to block someone?

There is no means to block someone on the forum. Of course, it could be done with browser-side scripts I suppose (not that I endorse doing so, it is just technologically feasible).

I'm going to lock this thread to avoid personal attacks and off-topic conversation.
by triceratop
Wed Jun 20, 2018 9:12 am
Forum: Investing - Theory, News & General
Topic: Ex-dividend days: Is there typically anything out of the ordinary?
Replies: 34
Views: 2578

Re: Ex-dividend days: Is there typically anything out of the ordinary?

You would expect the price of a stock to drop by the amount of the dividend on ex-dividend day. There are other things at play here though. Good news could boost the stock price even with the announced dividend. In any case, the price is lower than it would have been if there had been no dividend a...
by triceratop
Tue Jun 19, 2018 8:30 pm
Forum: Investing - Theory, News & General
Topic: General Electric booted from Dow Jones Industrial Average
Replies: 47
Views: 5021

Re: General Electric booted from Dow Jones Industrial Average

Despite all the griping about the DJIA, the Dow has pretty well paralleled the S&P 500 (and predecessors); ballpark, the Dow has always been roughly equal to the S&P times ten. Certainly, the cap-weighted S&P is a better measure than the crazy DJIA, and a total market index would be better than the...
by triceratop
Tue Jun 19, 2018 6:49 pm
Forum: Personal Consumer Issues
Topic: Which Supermarket are you?
Replies: 155
Views: 7487

Re: Which Supermarket are you?

Aldi, Trader Joe's and 99 ranch / H-mart. It helps to be in Socal where some of these are plentiful.

The latter have excellent fish options.
by triceratop
Tue Jun 19, 2018 4:00 pm
Forum: Investing - Theory, News & General
Topic: Expanded commission-free ETFs at Etrade
Replies: 11
Views: 633

Re: Expanded commission-free ETFs at Etrade

Of note: commission-free multifactor access.
by triceratop
Tue Jun 19, 2018 2:28 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 6639
Views: 1435184

Re: U.S. stocks in freefall

Vanguard's about to pay out dividends on many funds. I'm tempted to buy today, but I'm also tempted to wait until after the ex-dividend date. I'll wait to see if tomorrow drops enough to get me to buy the dividend. I assume you are talking about a taxable account? In a retirement account there is n...
by triceratop
Tue Jun 19, 2018 11:57 am
Forum: Investing - Help with Personal Investments
Topic: Bond Dividend / Cost Basis Question
Replies: 6
Views: 153

Re: Bond Dividend / Cost Basis Question

I use the monthly Bond Dividends to invest in Fidelity's International Index Fund (FTIPX) Is this a bad idea? Should I really have my Bond dividends set to reinvest? There is nothing wrong with either option. It is arguably easier to "set and forget" reinvestment of Fidelity Bond into Fidelity Bond...
by triceratop
Tue Jun 19, 2018 11:53 am
Forum: Investing - Help with Personal Investments
Topic: Bond Dividend / Cost Basis Question
Replies: 6
Views: 153

Re: Bond Dividend / Cost Basis Question

You are down the 4K because you took the money out of the fund in the form of dividends. This is not true. S/He is down 4K because yields increased. What he did with the bond dividends is another matter. If he needed to spend the dividends then that is simply what he had to do. But the total return...
by triceratop
Tue Jun 19, 2018 10:42 am
Forum: Investing - Theory, News & General
Topic: Smart and Not-so-Smart Beta ETF closures
Replies: 2
Views: 344

Re: Smart and Not-so-Smart Beta ETF closures

Four international currency-hedged minimum volatility funds and nine multifactor single sector (US) funds. That sounds like perhaps not bad ideas but rather specific and narrow ones. I guess they just never attracted enough assets. Though on second thought I kind of think currency hedging some inte...
by triceratop
Tue Jun 19, 2018 10:20 am
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 6639
Views: 1435184

Re: U.S. stocks in freefall

I merged Oak&Elm's thread "Anyone Buying Today?" into this one as the topics are essentially the same.

No, I'm not buying today. I'll be buying at the end of the month, though.

I do see that my FNDE purchases that I thought I got at a good price on a RBD last month are now down over 5%. Oh well.
by triceratop
Mon Jun 18, 2018 11:33 pm
Forum: Personal Consumer Issues
Topic: Help Buying Mens Shoes for Work and Dating
Replies: 97
Views: 8323

Re: Help Buying Mens Shoes for Work and Dating

I think HongKonger's perspective is a lot less common than she thinks. I agree. Superficial people usually are not aware that they are superficial. I believe many of you talk about your wives not noticing such things. Try talking to some 30 something single gals in the market for a serious chap. I’...
by triceratop
Mon Jun 18, 2018 5:24 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: The Battle Of Passive Strategies
Replies: 62
Views: 5626

Re: Larry Swedroe: The Battle Of Passive Strategies

Don't pay attention to M* for tax cost ratios, their numbers are not reliable. However, SP600 ETFs like IJS/VIOV are incredibly tax efficient. See e.g. this thread and related ones: https://www.bogleheads.org/forum/viewtopic.php?t=242137 I would be surprised if vanilla DFA funds (not tax-managed) we...
by triceratop
Mon Jun 18, 2018 1:05 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: The Battle Of Passive Strategies
Replies: 62
Views: 5626

Re: Larry Swedroe: The Battle Of Passive Strategies

I want to observe that whether the exposure is worth it depends entirely on future factor excess returns which are of course unknowable. And the same thing can be said about whether owning ANY stocks and bond are worth it. Precisely true, though of course that exposure is basically free cost-wise. ...
by triceratop
Mon Jun 18, 2018 11:15 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: The Battle Of Passive Strategies
Replies: 62
Views: 5626

Re: Larry Swedroe: The Battle Of Passive Strategies

When a fund has deeper factor exposure, less market beta exposure needs to be taken on to achieve the same tilt: a more efficient portfolio. Also cost differences are less than one would think because one can use less of the more expensive factor fund and more of the cheaper core / TSM fund to achi...