Search found 2301 matches

by marcopolo
Mon Oct 21, 2019 10:50 pm
Forum: Investing - Theory, News & General
Topic: [Paul Merriman: This strategy beats a total stock market fund]
Replies: 54
Views: 3927

Re: Paul Merriman article

Jags4186 wrote:
Mon Oct 21, 2019 10:46 pm
I think the article is an error. Paul Merriman never recommends holding SCG or LCG as stand alone asset classes. He recommends holding them as part of a blend asset class.
He wrote the article.
by marcopolo
Mon Oct 21, 2019 10:40 pm
Forum: Investing - Theory, News & General
Topic: [Paul Merriman: This strategy beats a total stock market fund]
Replies: 54
Views: 3927

Re: Paul Merriman article

Interesting reading different takes on Merrimans article. I listen to him all the time through his podcasts and articles on his site and appreciate his advice. To me what I read in this article isn't changing any of his beliefs. He first talks about the Total Stock Market vs the SP 500 and their pe...
by marcopolo
Mon Oct 21, 2019 4:22 pm
Forum: Personal Investments
Topic: Retiring and Getting Over The Fear of Quitting?
Replies: 84
Views: 9212

Re: Retiring and Getting Over The Fear of Quitting?

You really have to be honest with yourself when calculating your expected expenses (healthcare included). It won't be 100% accurate but with most things in life, you prepare the best you can and then pull the trigger. The problem is that you can't be anywhere near accurate, particularly for a long ...
by marcopolo
Mon Oct 21, 2019 3:56 pm
Forum: Investing - Theory, News & General
Topic: [Paul Merriman: This strategy beats a total stock market fund]
Replies: 54
Views: 3927

Re: Paul Merriman article

He may not have mentioned SCG on his podcast, but the linked article we are discussing includes these quotes: "The four most important U.S. equity asset classes are large-cap growth, large-cap value, small-cap growth, and small-cap value." "But here’s an even better idea for the equity part of your...
by marcopolo
Mon Oct 21, 2019 3:04 pm
Forum: Investing - Theory, News & General
Topic: [Paul Merriman: This strategy beats a total stock market fund]
Replies: 54
Views: 3927

Re: Paul Merriman article

How does one distinguish these changes from performance chasing. Bogle told Merriman his 10 fund strategy was too complex, Merriman created Two Funds For Life in response. I am not sure how that answers the question. I am not necessarily against added complexity, if it provides a commensurate benef...
by marcopolo
Mon Oct 21, 2019 2:03 pm
Forum: Investing - Theory, News & General
Topic: [Paul Merriman: This strategy beats a total stock market fund]
Replies: 54
Views: 3927

Re: Paul Merriman article

How does one distinguish these changes from performance chasing. Bogle told Merriman his 10 fund strategy was too complex, Merriman created Two Funds For Life in response. I am not sure how that answers the question. I am not necessarily against added complexity, if it provides a commensurate benef...
by marcopolo
Mon Oct 21, 2019 1:18 pm
Forum: Investing - Theory, News & General
Topic: [Paul Merriman: This strategy beats a total stock market fund]
Replies: 54
Views: 3927

Re: Paul Merriman article

Mr. Merriman is a scholar of the market and an honest man and his most recent article is interesting. https://www.marketwatch.com/story/the-total-market-index-isnt-all-its-cracked-up-to-be-2019-10-21?mod=home-page In the past Mr. Merriman has recommended as the "ultimate portfolio" 10 funds each at...
by marcopolo
Sun Oct 20, 2019 4:43 pm
Forum: Personal Consumer Issues
Topic: Updgrade car for new safety features?
Replies: 67
Views: 3131

Re: Updgrade car for new safety features?

on the other hand, i think buying a new car for these safety features is silly. i think rear ends are the most common collision and no safety feature is gonna stop another car from hitting you. if other words, youre spending a lot of money for a completely marginal, if any, benefit. +1. OP's cars a...
by marcopolo
Sat Oct 19, 2019 10:27 pm
Forum: Investing - Theory, News & General
Topic: Safe Withdrawal Rate in today’s low yield environment
Replies: 44
Views: 3692

Re: Safe Withdrawal Rate in today’s low yield environment

The 4% wasn't based on global investing returns, which is the only reasonable approach today. My guess - and that's all it is - is that in 20 or 30 years Bogleheads will have settled somewhere in the 2-3% range. If you believe that, why would you invest at all? Buy TIPS, or an Annuity. Although, in...
by marcopolo
Sat Oct 19, 2019 9:09 pm
Forum: Investing - Theory, News & General
Topic: Safe Withdrawal Rate in today’s low yield environment
Replies: 44
Views: 3692

Re: Safe Withdrawal Rate in today’s low yield environment

Currently, 5-yr TIPS provide a 0.04% pre-tax, real yield, i.e., nothing. US stocks may provide about 3.39%-3.53% real, pre-tax (i.e., 1/PE10, or dividend yield plus historical real earnings growth), but I doubt that because I expect the average valuation to be lower in the future than today. 10 yea...
by marcopolo
Sat Oct 19, 2019 6:57 pm
Forum: Personal Finance (Not Investing)
Topic: Can you claim financial independence with kids still in school
Replies: 77
Views: 5175

Re: Can you claim financial independence with kids still in school

Listen to your wife. She has plans, she just hasn’t quite elaborated other than to drop the hint that you have to get them to “fully launched”. Let me give you an example of what is involved in that - kid graduates college, kid gets first apartment - you will be furnishing part or all of it. That i...
by marcopolo
Sat Oct 19, 2019 6:53 pm
Forum: Personal Finance (Not Investing)
Topic: For those who are FI: At what point did you begin to relax?
Replies: 66
Views: 7801

Re: For those who are FI: At what point did you begin to relax?

Wife and I are in our late 30s in HCOL. We are working toward FI and my motivation is mostly fear. I grew up with parents who had money troubles despite a high middle class income, and I don't want to have that anxiety in our life. We are DI2K and our net worth is about 30% of the way to FI. Kids a...
by marcopolo
Sat Oct 19, 2019 6:43 pm
Forum: Personal Finance (Not Investing)
Topic: Can you claim financial independence with kids still in school
Replies: 77
Views: 5175

Re: Can you claim financial independence with kids still in school

Hi . I would like to know how others feel about this . We are doing fairly well in terms of meeting our financial goals . We have kids still in school (middle and high). Whenever , I feel that may be we can ease up a little bit and cut down on the work , my DW reminds me that our kids are a long wa...
by marcopolo
Sat Oct 19, 2019 6:24 pm
Forum: Investing - Theory, News & General
Topic: Safe Withdrawal Rate in today’s low yield environment
Replies: 44
Views: 3692

Re: Safe Withdrawal Rate in today’s low yield environment

There have been a dozen threads on this in the past month. You might want to google them. The 4% rule has worked fine in lower interest rate environments that today (see the 40s and 50s) and high valuations (those 1998 people with their 32 PE10s are doing fine). Will it continue going forward? Who ...
by marcopolo
Sat Oct 19, 2019 6:19 pm
Forum: Personal Finance (Not Investing)
Topic: Can you claim financial independence with kids still in school
Replies: 77
Views: 5175

Re: Can you claim financial independence with kids still in school

Hi . I would like to know how others feel about this . We are doing fairly well in terms of meeting our financial goals . We have kids still in school (middle and high). Whenever , I feel that may be we can ease up a little bit and cut down on the work , my DW reminds me that our kids are a long wa...
by marcopolo
Sat Oct 19, 2019 2:22 pm
Forum: Investing - Theory, News & General
Topic: Safe Withdrawal Rate in today’s low yield environment
Replies: 44
Views: 3692

Re: Safe Withdrawal Rate in today’s low yield environment

There have been a dozen threads on this in the past month. You might want to google them. The 4% rule has worked fine in lower interest rate environments that today (see the 40s and 50s) and high valuations (those 1998 people with their 32 PE10s are doing fine). Will it continue going forward? Who ...
by marcopolo
Sat Oct 19, 2019 1:11 pm
Forum: Investing - Theory, News & General
Topic: John Bogle’s formula says 1% real stock returns likely over next decade
Replies: 187
Views: 18686

Re: John Bogle’s formula says 1% real stock returns likely over next decade

What I meant - although I didn't explicitly point it out - was that no matter the circumstance, saving is a difficult task regardless of cash flow in a household. In other words, nobody ever said it was going to be easy regardless of one's household cash flow of income and expenses. So "who cares" ...
by marcopolo
Fri Oct 18, 2019 10:11 pm
Forum: Investing - Theory, News & General
Topic: John Bogle’s formula says 1% real stock returns likely over next decade
Replies: 187
Views: 18686

Re: John Bogle’s formula says 1% real stock returns likely over next decade

I have a question for HomerJ, and those advocating for CAPE10. So right now, I'm at 100% stocks and am holding for the long term. It's nice, but it's alot of heartache sometimes and alot of sitting around doing nothing. Can I get a better return by getting out of the market or moving into bonds whe...
by marcopolo
Fri Oct 18, 2019 9:20 pm
Forum: Investing - Theory, News & General
Topic: John Bogle’s formula says 1% real stock returns likely over next decade
Replies: 187
Views: 18686

Re: John Bogle’s formula says 1% real stock returns likely over next decade

I have a question for HomerJ, and those advocating for CAPE10. So right now, I'm at 100% stocks and am holding for the long term. It's nice, but it's alot of heartache sometimes and alot of sitting around doing nothing. Can I get a better return by getting out of the market or moving into bonds whe...
by marcopolo
Fri Oct 18, 2019 9:14 pm
Forum: Investing - Theory, News & General
Topic: John Bogle’s formula says 1% real stock returns likely over next decade
Replies: 187
Views: 18686

Re: John Bogle’s formula says 1% real stock returns likely over next decade

What I meant - although I didn't explicitly point it out - was that no matter the circumstance, saving is a difficult task regardless of cash flow in a household. In other words, nobody ever said it was going to be easy regardless of one's household cash flow of income and expenses. So "who cares" ...
by marcopolo
Thu Oct 17, 2019 10:18 pm
Forum: Personal Finance (Not Investing)
Topic: What percent of net worth should a persons house be?
Replies: 139
Views: 8924

Re: What percent of net worth should a persons house be?

......it keeps changing so I'd rather use net-worth measure. Also I'm 38 and will stay in this house till my kids (who are under the age of 5) finish high-school and possibly longer. Huh? Will stay in this house until your pre-schoolers finish high school? Then what's This about you will be moving ...
by marcopolo
Thu Oct 17, 2019 7:20 pm
Forum: Personal Finance (Not Investing)
Topic: Legacy/Inheritance
Replies: 61
Views: 6200

Re: Legacy/Inheritance

Nobody needs that much. Up to you, but consider giving a portion to charity, perhaps which they could control in your memory. You might look into a Donor Advised Fund or even setting up a foundation in your name. I am all for people contributing as much as they feel comfortable to charities of thei...
by marcopolo
Thu Oct 17, 2019 5:12 pm
Forum: Personal Finance (Not Investing)
Topic: What percent of net worth should a persons house be?
Replies: 139
Views: 8924

Re: What percent of net worth should a persons house be?

That makes little sense to me. My "income" each year, as you describe it, is what i choose it to be. I just pulled out over a $1M from my portfolio to spend on building our house. I assure you i did NOT have a $1M of "income" If you pay cash for the house, then that money is not available to withdr...
by marcopolo
Thu Oct 17, 2019 3:26 pm
Forum: Personal Finance (Not Investing)
Topic: What percent of net worth should a persons house be?
Replies: 139
Views: 8924

Re: What percent of net worth should a persons house be?

But, if you are Financially Independent (and/or retired), then it seems to me that home value to net worth becomes a better measure than a typical debt to income ratio. How would one even compute that? If someone truly has no income they cannot be financially independent or support themselves as a ...
by marcopolo
Thu Oct 17, 2019 2:37 pm
Forum: Personal Finance (Not Investing)
Topic: What percent of net worth should a persons house be?
Replies: 139
Views: 8924

Re: What percent of net worth should a persons house be?

But, if you are Financially Independent (and/or retired), then it seems to me that home value to net worth becomes a better measure than a typical debt to income ratio. How would one even compute that? If someone truly has no income they cannot be financially independent or support themselves as a ...
by marcopolo
Thu Oct 17, 2019 2:01 pm
Forum: Personal Finance (Not Investing)
Topic: What percent of net worth should a persons house be?
Replies: 139
Views: 8924

Re: What percent of net worth should a persons house be?

By the way...my opinion on the % of net worth for a home....I don't think it should be tied to Net worth. As with most mortgage instruments, I would look at debt to income ratio and see what I can afford that is way below what the Dodd-Frank law indicates is an acceptable DTI. I always love the "ca...
by marcopolo
Wed Oct 16, 2019 11:24 pm
Forum: Personal Finance (Not Investing)
Topic: How to save HSA receipts?
Replies: 14
Views: 1370

Re: How to save HSA receipts?

I don't bother saving receipts. I expect I will have plenty of medical expenses later in life. If not, even better. I will consider myself so fortunate, I will happily pay a little more in taxes. I do too, but having the receipts also allows the HSA serve as a back up emergency fund for non-medical...
by marcopolo
Wed Oct 16, 2019 10:48 pm
Forum: Personal Finance (Not Investing)
Topic: How to save HSA receipts?
Replies: 14
Views: 1370

Re: How to save HSA receipts?

I don't bother saving receipts.

I expect I will have plenty of medical expenses later in life.
If not, even better. I will consider myself so fortunate, I will happily pay a little more in taxes.
by marcopolo
Tue Oct 15, 2019 12:42 pm
Forum: Personal Investments
Topic: Withdrawal Plan. McClung or Allocation Bands?
Replies: 46
Views: 2904

Re: Withdrawal Plan. McClung or Allocation Bands?

I would add that McClung's 20% increase in value of your equities to trigger re-balancing is supposed to be inflation adjusted. So, if you start with $1M in equities, you would re-balance only when your equities become $1.2M after adjusting for inflation. So, if you had 20% inflation in the interve...
by marcopolo
Tue Oct 15, 2019 12:10 am
Forum: Personal Investments
Topic: Withdrawal Plan. McClung or Allocation Bands?
Replies: 46
Views: 2904

Re: Withdrawal Plan. McClung or Allocation Bands?

Not the stock allocation, the value of the equities in the portfolio. Stocks going from $1M to $1.2M, not stocks going from 40% to 60% of the portfolio. Sorry, I haven't read McClung's book... When saying stocks up 20%, is that a relative 20%? For example, in a 50/50 portfolio, stocks rising a rela...
by marcopolo
Mon Oct 14, 2019 4:23 am
Forum: Investing - Theory, News & General
Topic: Understanding impact of dividends on "Total Gain" column
Replies: 5
Views: 643

Re: Understanding impact of dividends on "Total Gain" column

I think you are asking what the "Total Gain" column in Fidelity (or Vanguard) represents. It seems many of the answers here have focused more on explaining how dividends affect returns. Hopefully, that is also helpful to you. To answer your original questions, at least for Fidelity (i don't have a V...
by marcopolo
Sat Oct 12, 2019 12:22 am
Forum: Personal Investments
Topic: Retirees, when did you start really planning your retirement?
Replies: 53
Views: 4682

Re: Retirees, when did you start really planning your retirement?

I have never thought about retirement until early 50s. The goal of life is not how to prepare for retirement, but how best to use your life before that turning point. Since my early 50s, I saved crazy and achieved FI. I have practiced LBYM all my life. As long as I will do OK in retirement, I will ...
by marcopolo
Fri Oct 11, 2019 10:48 pm
Forum: Personal Investments
Topic: Retirees, when did you start really planning your retirement?
Replies: 53
Views: 4682

Re: Retirees, when did you start really planning your retirement?

I have never thought about retirement until early 50s. The goal of life is not how to prepare for retirement, but how best to use your life before that turning point. Since my early 50s, I saved crazy and achieved FI. I have practiced LBYM all my life. As long as I will do OK in retirement, I will ...
by marcopolo
Fri Oct 11, 2019 1:13 am
Forum: Investing - Theory, News & General
Topic: 529 and FIRE
Replies: 29
Views: 2999

Re: 529 and FIRE

Should we contribute to 529s or save in a taxable account? My wife and I are both doctors starting our careers in our early 30s. We have 2 kids, ages 2 years and 2 months. We are maxing out our tax-sheltered accounts and are saving aggressively with the goal of being financially independent with $3...
by marcopolo
Fri Oct 11, 2019 1:02 am
Forum: Personal Consumer Issues
Topic: Best No Annual Fee Visa Credit Card with Cash Back
Replies: 56
Views: 4622

Re: Best No Annual Fee Visa Credit Card with Cash Back

I second the fidelity visa card for everyday purchases.

We also use the Amex blue preferred card for groceries.
Instead of getting Amazon card, we buy Amazon gift cards at grocery store (get 6% on amex). Better discount, and one less card to deal with.
by marcopolo
Thu Oct 10, 2019 7:31 pm
Forum: Personal Finance (Not Investing)
Topic: Married with Separate bank accounts
Replies: 44
Views: 3549

Re: Married with Separate bank accounts

Wife and I have had separate accounts for decades, a joint account many years ago. After our mortgage was paid, and our credit union wanted us to pay for the joint account, we closed it. We have no reason to count on the other to put $$$ into an account for joint bills. We no longer have any joint ...
by marcopolo
Thu Oct 10, 2019 6:20 pm
Forum: Personal Finance (Not Investing)
Topic: Married with Separate bank accounts
Replies: 44
Views: 3549

Re: Married with Separate bank accounts

Wife and I have had separate accounts for decades, a joint account many years ago. After our mortgage was paid, and our credit union wanted us to pay for the joint account, we closed it. We have no reason to count on the other to put $$$ into an account for joint bills. We no longer have any joint ...
by marcopolo
Thu Oct 10, 2019 5:18 pm
Forum: Personal Finance (Not Investing)
Topic: Psychologically adverse to start drawing down in retirement
Replies: 77
Views: 7112

Re: Psychologically adverse to start drawing down in retirement

Has not been a problem yet. But, I wonder if some of that has to due with relatively stable markets. Retired early 2018. Spending on what we want, end of 2018 drop felt like a blip, maybe things will be different in a prolonged down turn, but so far we are happily enjoying spending what we have accu...
by marcopolo
Thu Oct 10, 2019 3:57 pm
Forum: Investing - Theory, News & General
Topic: A great example of single stock risk
Replies: 51
Views: 5230

Re: A great example of single stock risk

dbr wrote:
Thu Oct 10, 2019 12:24 pm
J295 wrote:
Thu Oct 10, 2019 12:21 pm
:beer
Apple
Google
Microsoft
Amazon
Yep, risk is upside as well as downside. It can be very rewarding or brutally punishing.
Oh. I thought maybe he was predicting these stocks would be the next to crash and burn...
by marcopolo
Thu Oct 10, 2019 12:20 am
Forum: Personal Finance (Not Investing)
Topic: Married with Separate bank accounts
Replies: 44
Views: 3549

Re: Married with Separate bank accounts

Just out of curiousity, a few question for those that keep separate investments. Do you manage the portfolio as separate or combined for things such as asset allocation, rebalancing, and tax efficient placement? Do you do tax loss harvesting. How do you make sure there are not wash sales triggered a...
by marcopolo
Wed Oct 09, 2019 2:11 pm
Forum: Investing - Theory, News & General
Topic: highly compensated employee (HCE) Time bomb?
Replies: 91
Views: 8332

Re: highly compensated employee (HCE) Time bomb?

...If you pass 2? Or more of these you are in essence prevented from using a 401k to save for retirement... I'm not an expert, all I know is what I went through personally. But I certainly wasn't prevented from using a 401k. I just had a dollar limit that was a less than the maximum available to no...
by marcopolo
Sun Oct 06, 2019 12:24 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe's "Rules of Prudent Investing"
Replies: 32
Views: 4308

Re: Larry Swedroe's "Rules of Prudent Investing"

Are you sure there are Larry's rules? How do you square the following: The more complex the investment, the faster investors should run. Complex products are designed to be sold, not bought. Investors can be sure the complexity is designed to favor the issuer, not the investor. Investment firms do ...
by marcopolo
Sat Oct 05, 2019 11:06 pm
Forum: Personal Investments
Topic: Small Value Portfolio Placement?
Replies: 6
Views: 451

Re: Small Value Portfolio Placement?

I'm a three fund investor adding small value index fund. To make it simple, I have been adding 15% small value in each fund. SYLV in Roth, DFA US Targeted Value I in 401k and VIOV in taxable. My question is, should I put all of my small value in the tax deferred account and if so should I put it al...
by marcopolo
Sat Oct 05, 2019 10:26 pm
Forum: Personal Finance (Not Investing)
Topic: Bay Area teacher saving half my income – why the doubt? (and asking more questions)
Replies: 493
Views: 26490

Re: Bay Area teacher saving half my income – why the doubt? (and asking more questions)

OP: congrats on one of the most tax-optimized budgets I've ever seen! To be able to save $50k/year and only spend $5k/year on income taxes and health insurance COMBINED is quite remarkable. Just a quick update since Covered California (our state health exchange) has posted information on insurance ...
by marcopolo
Sat Oct 05, 2019 10:18 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe's "Rules of Prudent Investing"
Replies: 32
Views: 4308

Re: Larry Swedroe's "Rules of Prudent Investing"

Are you sure there are Larry's rules? How do you square the following: The more complex the investment, the faster investors should run. Complex products are designed to be sold, not bought. Investors can be sure the complexity is designed to favor the issuer, not the investor. Investment firms do ...
by marcopolo
Sat Oct 05, 2019 9:22 pm
Forum: Personal Finance (Not Investing)
Topic: Long term care insurance [looking for information]
Replies: 52
Views: 3020

Re: Long term care insurance [looking for information]

Welcome to Bogleheads! LTCi is a very contentious subject here. I’m a believer. I recommend this book. https://www.amazon.com/Simple-LTC-Solution-Long-Term-Partnership-ebook/dp/B07BJD62NT/ref=sr_1_1?keywords=Scott+Olson&qid=1570326475&sr=8-1 Cheers I haven't read the linked book. But, the fact that...
by marcopolo
Sat Oct 05, 2019 5:47 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe's "Rules of Prudent Investing"
Replies: 32
Views: 4308

Re: Larry Swedroe's "Rules of Prudent Investing"

Are you sure there are Larry's rules? How do you square the following: The more complex the investment, the faster investors should run. Complex products are designed to be sold, not bought. Investors can be sure the complexity is designed to favor the issuer, not the investor. Investment firms do n...
by marcopolo
Sat Oct 05, 2019 5:33 pm
Forum: Personal Finance (Not Investing)
Topic: Combined deductible and non-deductible TIRA contributions
Replies: 31
Views: 1093

Re: Combined deductible and non-deductible TIRA contributions

The reason to separate is that you know exactly which is which No big deal to have two separate Ira accounts or three if you have a roth "Which is which" does not help in any way. Only the non-deductible contributions get different tax-treatment. The earnings in the account to which you made non-de...
by marcopolo
Fri Oct 04, 2019 11:13 pm
Forum: Personal Finance (Not Investing)
Topic: Combined deductible and non-deductible TIRA contributions
Replies: 31
Views: 1093

Re: Combined deductible and non-deductible TIRA contributions

It doesn’t matter if your IRAs are in one account or kept separate. However it matters to the IRS as they consider all your Traditional IRAs as if they were all in one account, including IRAs held at different custodians. To understand the pro rata rule, see the examples near the end of our Backdoo...
by marcopolo
Fri Oct 04, 2019 11:04 pm
Forum: Personal Finance (Not Investing)
Topic: Combined deductible and non-deductible TIRA contributions
Replies: 31
Views: 1093

Re: Combined deductible and non-deductible TIRA contributions

keep the non deductible ira in a separate account and maintain a file with all the IRS returns think its form 8606 DO NOT CO MINGLE traditional with non ded iras What is the purpose of keeping them separate? I am not sure i see downside to co-mingling. Your 8606 forms will keep track of basis. Even...