Search found 783 matches

by msk
Sat Jun 23, 2018 11:49 am
Forum: Personal Finance (Not Investing)
Topic: Can you retire on $2M?
Replies: 122
Views: 11158

Re: Can you retire on $2M?

What is important is to be able to cut back annual expenditure following a major market fall. I checked this against history for 1966 to 2016 (50 years) and also using MonteCarlo simulations as Median Forecast. Withdraw 5% of the then CURRENT 100% Stocks portfolio annually. The remaining portfolio w...
by msk
Sat Jun 23, 2018 11:24 am
Forum: Investing - Theory, News & General
Topic: Heavy in equities?
Replies: 24
Views: 2211

Re: Heavy in equities?

One could put 30% in cash under the mattress. The returns would not be much worse than 30% in bonds. I am 100% in stocks and have been so with my liquid funds since the 1980s. Since the 1970s I also had RE but sold it all off upon retirement. Happy to be 100% stocks and waiting for a 30% to 50% mark...
by msk
Sat Jun 23, 2018 10:59 am
Forum: Personal Finance (Not Investing)
Topic: Minimizing my money worries in retirement
Replies: 15
Views: 1832

Re: Minimizing my money worries in retirement

Too complex and unnecessary. My way: simple spreadsheet listing my NW updated monthly (nothing better to do but quite unnecessary anyway; annual frequency is enough). At each end year check total current NW against NW a year ago. That gives a sort of WR. Retired for past 18 years and NW has been gro...
by msk
Thu Jun 21, 2018 6:36 am
Forum: Investing - Help with Personal Investments
Topic: What should be my stock/bond allocation?
Replies: 21
Views: 1484

Re: What should be my stock/bond allocation?

If you can live and fund your kids' college with only 5% p.a. withdrawal of your NW today, I 'd put aside one year's expenditure (CD quarterly ladder) and put the rest in 100% stocks. Repeat each year till kids are all out of college. But that's my tolerance of market volatility. YMMV. Nevertheless ...
by msk
Thu Jun 21, 2018 6:26 am
Forum: Personal Finance (Not Investing)
Topic: Is the first 100k really the hardest?
Replies: 144
Views: 39536

Re: Is the first 100k really the hardest?

LOL. There is no magical threshold. The first $10k makes it easier to get to $20k. But one day in the far future you may have such high NW that your annual expenditure is small by comparison; say, when your NW gets to $10million. Annual investment income roughly at $500k real terms and you spend onl...
by msk
Wed Jun 20, 2018 7:50 am
Forum: Personal Consumer Issues
Topic: Air conditioner compressor replacement cost
Replies: 28
Views: 2109

Re: Air conditioner compressor replacement cost

Get a second quote. If still high $ get a quote for a completely new unit. If the repair quote is more than half of the new replacement I'd just go all new. But that would be very unusual for a large unit. One third cost of new probably more typical. I recently replaced a 2 ton split unit at around ...
by msk
Mon Jun 18, 2018 6:41 am
Forum: Investing - Theory, News & General
Topic: Which boglehead rule do you break--and are ok with
Replies: 152
Views: 11182

Re: Which boglehead rule do you break--and are ok with

FIBoston wrote:
Mon Jun 18, 2018 6:34 am
100% equities. yolo.
+1
by msk
Mon Jun 18, 2018 6:35 am
Forum: Investing - Theory, News & General
Topic: A different theoretical view of SWR
Replies: 63
Views: 3713

Re: A different theoretical view of SWR

I suspect that many people who discuss WR in detail already have more than enough to retire on. And are already retired. The query to myself (before I discovered this forum) was how high should my WR be so that I neither expose myself to ever running out of money no matter how long I live, and also ...
by msk
Fri Jun 15, 2018 8:27 am
Forum: Personal Finance (Not Investing)
Topic: best way to receive large sum of money from another country
Replies: 34
Views: 2337

Re: best way to receive large sum of money from another country

Too much attention is being paid to the currency exchange charges compared to daily or monthly variations in the exchange rate itself. I regularly transfer 6 figure sums into CAD. The currency charges amounto a third of one percent or less but the exchange rate can often fluctuate more than a full p...
by msk
Tue Jun 12, 2018 5:35 pm
Forum: Investing - Help with Personal Investments
Topic: Investing when someone else gets all dividends
Replies: 80
Views: 4764

Re: Investing when someone else gets all dividends

If the future will imitate history over the past 50 years, then a 100% stocks portfolio can pay out 5% of portfolio value (including dividends) annually and the remaining portfolio should keep up with inflation forever. I suspect that the person who had set up the trust was thinking of more like a b...
by msk
Tue Jun 12, 2018 5:07 pm
Forum: Investing - Help with Personal Investments
Topic: Why don't we index the Nasdaq too?
Replies: 16
Views: 2003

Re: Why don't we index the Nasdaq too?

Recall the dot com fever? I had a load of QQQ because I could not fathom which tech stock to go heavy on. Then the crash of the dot com bubble? If I recall correctly, I lost about 60%. Now I go Whole Market Whole World :greedy
by msk
Tue Jun 12, 2018 11:51 am
Forum: Investing - Theory, News & General
Topic: You Can Market Time At Valuation Extremes
Replies: 37
Views: 4108

Re: You Can Market Time At Valuation Extremes

The problem is that what is considered "extreme" has changed over the years... Really? Humans, in seemingly all countries where records are available, seem to have demanded 5+% as real return on capital for the past 300 years. If you believe that we are not going to get that in the present environm...
by msk
Mon Jun 11, 2018 5:31 pm
Forum: Personal Finance (Not Investing)
Topic: Home equity as part of retirement asset
Replies: 24
Views: 1459

Re: Home equity as part of retirement asset

If it makes a difference to your plans, include it. Let us assume you have $2 million paid off equity in your home. That makes a difference to most people's planning. But, say, it's only $100k. Nope. You still have to live somewhere. With the former $2 million you can always move to a lower cost hou...
by msk
Mon Jun 11, 2018 5:25 pm
Forum: Personal Finance (Not Investing)
Topic: Balancing the Burden and the Benefit of Wealth
Replies: 11
Views: 1491

Re: Balancing the Burden and the Benefit of Wealth

LoL. Stage 1: have enough to be FI. A few million $ Stage 2: Have enough to ensure your kids have comfortable lives. 10+million $ Stage 3: Have enough to ensure that your grandkids have comfortable lives. 50+million $ It never ends... Start with few kids to get there quickly. 7 kids? you have a prob...
by msk
Mon Jun 11, 2018 11:15 am
Forum: Investing - Help with Personal Investments
Topic: Strategy for a prolonged bear market
Replies: 65
Views: 5409

Re: Strategy for a prolonged bear market

I have a COLA pension that meets all my basic needs. My portfolio is 100% stocks. If the market drops 30 to 40% from peak I spend $50k to buy one year Calls. Dropping further to 40 to 50% from the same peak I buy another $50k (all on margin since I do not keep cash or bonds) one year Calls. Each $50...
by msk
Sat Jun 09, 2018 11:43 am
Forum: Personal Consumer Issues
Topic: ?$ Bid for Upgrade to Business Class (per flight hour)
Replies: 17
Views: 1537

Re: ?$ Bid for Upgrade to Business Class (per flight hour)

Just an update. Finally did not bother to make a bid for an upgrade. The 5 hour flight out of Toronto was Air Canada Rouge (the cheapo version of Air Canada?) Ended up seated next to the Business Class section. Glad I saved my $. The Business Class is very basic, wider seats and free food, but I dou...
by msk
Sat Jun 02, 2018 3:59 pm
Forum: Personal Consumer Issues
Topic: Home elevator
Replies: 23
Views: 2078

Re: Home elevator

If you are building a house and do not need an elevator now you can prepare the house by putting in the shaft and pit. A shaft can be disguised as stacked closets until you need to install the elevator hardware. Actually I did consider this. Until I asked how long it would take to install one if my...
by msk
Sat Jun 02, 2018 3:52 pm
Forum: Personal Consumer Issues
Topic: Home elevator
Replies: 23
Views: 2078

Re: Home elevator

I have an elevator in my home, built 6 years ago; and I have several friends who also have home elevators. Before cutting corners in the design, I suggest you verify what are you really saving. E.g. a 3-stop elevator costs very little more than a 2-stop elevator; so I installed one that has 3 stops,...
by msk
Tue May 29, 2018 3:25 am
Forum: Personal Consumer Issues
Topic: Solid Raw wood from South Africa infestation?
Replies: 23
Views: 2460

Re: Solid Raw wood from South Africa infestation?

I had a small carving from India that had similar boreholes. No soaking with insecticides worked, so I boiled it in water for several minutes. That worked. Did not think of freezing it. But if freezing works, then it's less likely to damage the carving. Try freezing first, at least several hours, th...
by msk
Sun May 27, 2018 1:43 am
Forum: Investing - Help with Personal Investments
Topic: Indexing [investor in Emerging Market country]
Replies: 7
Views: 810

Re: Indexing [investor in Emerging Market country]

Opening an account with Interactive Brokers will very likely solve all your problems. E.g. If your local taxes target dividends, then just buy accumulating (non dividend paying ETFs) so you have only capital gains taxed only when you start cashing in after retirement. I am very wary of funds that ta...
by msk
Sun May 27, 2018 12:20 am
Forum: Personal Finance (Not Investing)
Topic: Helping Adult Children (but not too much)
Replies: 152
Views: 12449

Re: Helping Adult Children (but not too much)

As the parents age there is less time for tinkering. I am 74 :annoyed 4 kids, ages 44, 41, 22, 20. Oldest pair got the lump-sum treatment (college paid + lump sum at marriage. Value today around $160k each to cover wedding and/or deposit on home. They used the money wisely, mostly on their homes not...
by msk
Fri May 25, 2018 1:57 pm
Forum: Investing - Help with Personal Investments
Topic: How to invest $1.4 million inheritance?
Replies: 32
Views: 4396

Re: How to invest $1.4 million inheritance?

You already have your finances sorted out before receiving the inheritance. If it were me, I would just put the whole lot into VT, today. Worldwide stocks by free market weight. Post retirement I will be looking forward to plenty of capital appreciation, and as long as I keep my annual WR to 5% or l...
by msk
Fri May 25, 2018 4:23 am
Forum: Investing - Theory, News & General
Topic: Is inflation the greatest risk to retirement portfolios?
Replies: 100
Views: 8287

Re: Is inflation the greatest risk to retirement portfolios?

Tips would protect what you have already earned. But it's HARD to earn through labor! All other investments are targeted at generating earnings over and beyond what you can earn in a daily-grind job. My personal target in my youth had been that my job income during my 40s should be smaller than my "...
by msk
Fri May 25, 2018 4:08 am
Forum: Investing - Theory, News & General
Topic: If the US market cap was 5% instead of 52%, would the US vs International conversation change?
Replies: 40
Views: 2963

Re: If the US market cap was 5% instead of 52%, would the US vs International conversation change?

Pension funds are also a major factor. I suspect that in most countries government pension funds are directed to invest primarily, if not entirely, in local markets, be it stocks or RE.
by msk
Fri May 25, 2018 3:55 am
Forum: Investing - Theory, News & General
Topic: If the US market cap was 5% instead of 52%, would the US vs International conversation change?
Replies: 40
Views: 2963

Re: If the US market cap was 5% instead of 52%, would the US vs International conversation change?

As is often the case, it all depends... I am resident in a country with a very, very tiny stock market. Which means that I can pay attention to ALL the stocks, on the daily news, quarterly reports, etc. This market is so tiny that it does not even appear as Frontier. Yet, because of the lack of soph...
by msk
Wed May 23, 2018 6:01 am
Forum: Personal Consumer Issues
Topic: Just had windows installed..one of them with scratches..
Replies: 12
Views: 1330

Re: Just had windows installed..one of them with scratches..

I noticed that in the Third World replacing glass is quite trivial, in cost and effort. You call a window fabricator (it's not a particularly highly skilled job) and he comes to measure up the glass required and next day or in a few hours he returns to slip in the new glass. Yes, even if double glaz...
by msk
Wed May 23, 2018 1:46 am
Forum: Investing - Theory, News & General
Topic: Non-USA Domiciles: VT, VWRD, and WD
Replies: 12
Views: 859

Re: Non-USA Domiciles: VT, VWRD, and WD

1. VT holds just about everything, 8000(?) stocks. For me this is a nonstarter because my dividends get slapped with a 30% withholding tax. 2. VWRD holds a slightly smaller subset, 2800(?) stocks. It does not hold small caps. I hold this in one account 3. I also hold 76% IWDA, 12% WSML, 12% EIMI. Al...
by msk
Tue May 22, 2018 1:07 pm
Forum: Personal Finance (Not Investing)
Topic: Should I buy a new car?
Replies: 46
Views: 2933

Re: Should I buy a new car?

I owned a Jaguar once. And never again. I had bought a 4-year old XJ12 way back in the late 1970s in the UK and it cost me one GBP in repairs for every mile I drove it. I gave up after driving it for 12k miles. I feel fine spending 6 months income on a car, cash. Just make sure that you buy one that...
by msk
Tue May 22, 2018 12:52 pm
Forum: Personal Finance (Not Investing)
Topic: Buy an old farmhouse?
Replies: 52
Views: 5048

Re: Buy an old farmhouse?

$293k for 15 acres. Are they charging anything for the house? Charm and quiet costs. Septic tank. Well. Old everything. From my rental RE days I figured that on a 10+ year old house routine maintenance costs about 1.5% the cost of rebuilding it, p.a. You can pay it in monthly dribbles or in big whac...
by msk
Tue May 22, 2018 12:29 pm
Forum: Personal Consumer Issues
Topic: French hotel amenities...
Replies: 15
Views: 1225

Re: French hotel amenities...

You can often ask for any of the items if they are not already provided in your room. We have never been charged extra for an iron plus ironing board, nor for a kettle nor for a hair dryer. YMMV. I would expect only self-catering apartments to provide a washer and dryer either within the apartment o...
by msk
Sun May 20, 2018 4:58 am
Forum: Personal Finance (Not Investing)
Topic: Helping Adult Children (but not too much)
Replies: 152
Views: 12449

Re: Helping Adult Children (but not too much)

In order to help, the parent needs to have the ability to help. Greater ability, more options. If you know that you are going to leave at least a several million $ inheritance to each kid in a few years (because you are already at an advanced age) then why not start the inheriting earlier? Ability t...
by msk
Sat May 19, 2018 5:35 am
Forum: Investing - Help with Personal Investments
Topic: Tax implications of investing through London Stock Exchange for non-resident investors
Replies: 38
Views: 4994

Re: Tax implications of investing through London Stock Exchange for non-resident investors

Yes, you can open a Joint Account at IB with Survivor Rights. But you need some luck to have your spouse bother to learn and remember how to sign on! LOL. I tried to sort this out by having DW video how I signed on and then we keep the video on a thumb drive at a safe location. A better option is to...
by msk
Sat May 19, 2018 2:08 am
Forum: Personal Consumer Issues
Topic: Mitsubishi wall air conditioner
Replies: 34
Views: 2248

Re: Mitsubishi wall air conditioner

How much cooling you experience depends solely on the cooling capacity installed. Your local climate makes a HUGE difference. I live in a very hot climate and we need around 12,000 BTU (one ton) per 120 sq ft of typical floor space. Either that is a typo or you live on Mercury. Even in US Zone 5, 2...
by msk
Sat May 19, 2018 1:33 am
Forum: Personal Consumer Issues
Topic: Mitsubishi wall air conditioner
Replies: 34
Views: 2248

Re: Mitsubishi wall air conditioner

Phoenix has higher highs, but I'd still call Oman hotter. For example, this coming Sunday, Muscat will have a high of 90, low of 83, and 51% humidity. Phoenix will have a high of 97, a low of 71, and 13% humidity. https://weather.com/weather/tenday/l/Muscat+Oman+MUXX0003:1:MU https://weather.com/we...
by msk
Fri May 18, 2018 7:30 am
Forum: Personal Consumer Issues
Topic: Mitsubishi wall air conditioner
Replies: 34
Views: 2248

Re: Mitsubishi wall air conditioner

How much cooling you experience depends solely on the cooling capacity installed. Your local climate makes a HUGE difference. I live in a very hot climate and we need around 12,000 BTU (one ton) per 120 sq ft of typical floor space. Most climates will require much less cooling. Three bedrooms to be ...
by msk
Wed May 16, 2018 9:21 am
Forum: Personal Consumer Issues
Topic: ?$ Bid for Upgrade to Business Class (per flight hour)
Replies: 17
Views: 1537

Re: ?$ Bid for Upgrade to Business Class (per flight hour)

I have already paid for the seats next to the emergency exits for the extra leg room. I am 5'7" and DW even shorter by 5" :D Basically I am reluctant to pay an extra $100/hr/person on sort-of-domestic Air Canada (to the Caribbean), but of course there is some number that I would have no guilt about....
by msk
Wed May 16, 2018 9:06 am
Forum: Investing - Help with Personal Investments
Topic: Singapore-based British Expat Looking for Advice on New ETF Portfolio
Replies: 12
Views: 1122

Re: Singapore-based British Expat Looking for Advice on New ETF Portfolio

Just checked the performance graph of VT against VWRD over the last 5 years. As far as I can see, they overlay right on top of each other. So it looks like VWRD is diversified "enough".
by msk
Wed May 16, 2018 6:25 am
Forum: Personal Consumer Issues
Topic: ?$ Bid for Upgrade to Business Class (per flight hour)
Replies: 17
Views: 1537

Re: ?$ Bid for Upgrade to Business Class (per flight hour)

DoTheMath wrote:
Wed May 16, 2018 6:22 am
Also, you may not know this but "gypped" is a pejorative reference to the Roma (aka Gypsies). Like similar words which refer to other groups of people, it is kinder to avoid using it.
Oops! Was not aware :shock:
by msk
Wed May 16, 2018 5:53 am
Forum: Personal Finance (Not Investing)
Topic: I've bought a new home, should I sell or rent my old residence?
Replies: 21
Views: 1454

Re: I've bought a new home, should I sell or rent my old residence?

Don't be an accidental landlord! Owning rental properties is a business. If you want to get into it; do it deliberately, with carefully chosen properties. Speaking after having owned 30 rental properties for 30 years. The only times to contemplate a single, accidental rental, could be that you bough...
by msk
Wed May 16, 2018 3:39 am
Forum: Personal Consumer Issues
Topic: ?$ Bid for Upgrade to Business Class (per flight hour)
Replies: 17
Views: 1537

?$ Bid for Upgrade to Business Class (per flight hour)

Being a BH deep down inside I feel gypped when I travel Business Class, but given my age, mid 70s, I now resign to being ripped off. Context: Myself and DW have an intercontinental trip coming up and have already coughed up $10k just for the long flight legs in Business Class. Missing leg is a dayti...
by msk
Wed May 16, 2018 2:06 am
Forum: Investing - Help with Personal Investments
Topic: Singapore-based British Expat Looking for Advice on New ETF Portfolio
Replies: 12
Views: 1122

Re: Singapore-based British Expat Looking for Advice on New ETF Portfolio

Factsheet on VWRD: "Investment approach • The Fund seeks to provide long-term growth of capital by tracking the performance of the index, a market-capitalisation-weighted index of common stocks of large- and mid-cap companies in developed and emerging countries. • The Fund employs a passive manageme...
by msk
Tue May 15, 2018 6:07 am
Forum: Investing - Help with Personal Investments
Topic: Small gift from Grandma to infant - where to put it?
Replies: 21
Views: 2011

Re: Small gift from Grandma to infant - where to put it?

Grt2bOutdoors wrote:
Tue May 15, 2018 5:36 am
intent is clear - buy Disney so when child is old enough they will remember that those 10 or 9 shares of Disney were given to them from Grandma.
What a lovely thought. I wish I had it when my grandkids were small enough wallowing in Disney and watching each film 250 times :P
by msk
Tue May 15, 2018 4:29 am
Forum: Investing - Help with Personal Investments
Topic: Singapore-based British Expat Looking for Advice on New ETF Portfolio
Replies: 12
Views: 1122

Re: Singapore-based British Expat Looking for Advice on New ETF Portfolio

My 2 choices for exposure to the whole world. I own both in order to see how I get treated tax-wise a year from now. In theory they should be identical for all practical purposes. I am not liable to income nor capital gains tax and my tax residence has no tax treaty with the USA: 1. Vanguard, Irelan...
by msk
Mon May 14, 2018 10:00 am
Forum: Personal Finance (Not Investing)
Topic: Lucrative careers?
Replies: 318
Views: 24278

Re: Lucrative careers?

For someone targeting a 4-5 year degree, I'd recommend: CPA / Accounting - will always be in demand (death and taxes). Large accounting firms have partner-path careers where $200K+ not uncommon for most the successful. Services are needed in every town across America. Petroleum Engineering - highly...
by msk
Mon May 14, 2018 9:27 am
Forum: Investing - Theory, News & General
Topic: Doubling Your Money
Replies: 32
Views: 6839

Re: Doubling Your Money

50 year average history, 1966 to 2016 for the SP500: Nominal capital growth 6.6% p.a. compounded Nominal Inflation 4% p.a. compounded Dividends untaxed 3.1% p.a., taxed at 15% 2.2% p.a. Rough pace of growth in REAL terms but paying tax on dividends at 15% = 6.6+2.2-4 or ROUGHLY 4.8% p.a. It will tak...
by msk
Sun May 13, 2018 10:43 am
Forum: Personal Finance (Not Investing)
Topic: Retire Internationally for FIRE
Replies: 78
Views: 9269

Re: Retire Internationally for FIRE

Hate the humidity in Central America. Miss the snow in Portugal. Or whatever. LoL. Overheard a Canadian lady chatting with a Finnish lady a few years ago. They had both been living in the Middle East for at least a decade. Reminiscing how much they missed REAL cold that takes your breath away, and ...
by msk
Fri May 11, 2018 3:17 am
Forum: Investing - Help with Personal Investments
Topic: Accumulating ETF - Additional Units or Increase in Price
Replies: 55
Views: 3380

Re: Accumulating ETF - Additional Units or Increase in Price

Think of an accumulating ETF as a stock that never pays dividends (e.g. Microsoft in olden days or Berkshire Hathaway till now). The company pays taxes according to whatever jurisdiction it or its subsidiaries operate in. Its net worth increases and its share price reflects that. I.e. the share pric...
by msk
Tue May 08, 2018 4:00 am
Forum: Investing - Help with Personal Investments
Topic: Help with in-laws investment- 100% in stocks with 5 years left to retire
Replies: 46
Views: 3133

Re: Help with in-laws investment- 100% in stocks with 5 years left to retu

Off topic stricto sensu , but relevant to the "100% in stocks" question: I am 100% in stocks and I have been retired and invested the same way for 18 years, but also with a reasonably healthy pension. msk, 1. does 100% stocks mean your stocks are your emergency fund? If not, how did you decide the ...
by msk
Sun May 06, 2018 8:32 am
Forum: Investing - Help with Personal Investments
Topic: Help with in-laws investment- 100% in stocks with 5 years left to retire
Replies: 46
Views: 3133

Re: Help with in-laws investment- 100% in stocks with 5 years left to retu

Obviously they have a high tolerance for volatility. If they can retire totally on their pensions and SS, I see nil reason to be in anything other than 100% stocks (diversified).It really depends on how much of their stocks portfolio they will NEED to withdraw from regularly. If it is less than, say...
by msk
Fri May 04, 2018 2:34 am
Forum: Investing - Theory, News & General
Topic: Help me understand the "25x/30x cost of living" retirement goal numbers?
Replies: 17
Views: 1867

Re: Help me understand the "25x/30x cost of living" retirement goal numbers?

One major warning. What you consider as "required" to live on in retirement can easily be an under-estimate, especially if you are contemplating early retirement. Stuff happens and it's all too tempting to say that's a one-off, except the following year another one-off is required. E.g. roof repair ...