Search found 191 matches

by sean.mcgrath
Mon Jun 01, 2020 5:46 am
Forum: Personal Investments
Topic: Tax consequences of IB Stock Yield Enhancement program?
Replies: 32
Views: 1701

Re: Tax consequences of IB Stock Yield Enhancement program?

Well I had SYEP turned on for all of May and it earned me $17.14 on about a 70k investment. So that's ummm... pretty small... but it feels like free money. Yes, that seems about right: somewhere around 0.3% return. The way I look at it, assuming the 0.3% holds steady (which I doubt, I think it is h...
by sean.mcgrath
Sun May 31, 2020 2:18 am
Forum: Investing - Theory, News & General
Topic: “WHEN YOU'VE WON the game, stop playing with the money you really need.”
Replies: 233
Views: 18225

Re: “WHEN YOU'VE WON the game, stop playing with the money you really need.”

It has helped us dial in what we will need in retirement. Yes, this is the point. Years ago I'd read that people typically spend 30% less after they retire, and used that as my planning model. However, as we got closer to that age, I realized it was not what we were hoping for. Like you, it would b...
by sean.mcgrath
Sat May 30, 2020 2:39 pm
Forum: Investing - Theory, News & General
Topic: “WHEN YOU'VE WON the game, stop playing with the money you really need.”
Replies: 233
Views: 18225

Re: “WHEN YOU'VE WON the game, stop playing with the money you really need.”

Sean - understood. CyclingDuo Thank you, CD, that is helpful. Yes, I was wondering whether that was the reason; personally I would have titled the graph Household rather than "Average American." And unfortunately the graphs didn't really have sources on them. Yes, for us as well the "unit" approach...
by sean.mcgrath
Sat May 30, 2020 11:18 am
Forum: Investing - Theory, News & General
Topic: What are you up YTD? [Year To Date]
Replies: 2980
Views: 528535

Re: What are you up YTD? [Year To Date]

It's better than I'd realized -- I hadn't noticed how much it had recovered. Still down 14.8% YTD on my 90/10 portfolio (60% Intl and a fair amount of Value). Added new money to Equities a few weeks ago, which keeps me close to the 90/10.
by sean.mcgrath
Sat May 30, 2020 10:17 am
Forum: Investing - Theory, News & General
Topic: “WHEN YOU'VE WON the game, stop playing with the money you really need.”
Replies: 233
Views: 18225

Re: “WHEN YOU'VE WON the game, stop playing with the money you really need.”

You can see somewhat how spending (daily spend) changes based on age... I find it difficult to get my head around your charts. Assuming two adults in a household (understood not always true, but just to get a picture), this implies that the average Older Gen X household is spending almost $150k per...
by sean.mcgrath
Sat May 30, 2020 5:12 am
Forum: Personal Finance (Not Investing)
Topic: COVID related charitable contributions
Replies: 6
Views: 311

Re: COVID related charitable contributions

You can donate to the WHO? Is that a qualified US charity? Sounds a bit like donating to the UN. Just be wary of donating to foreign entities. You must donate to their US arm if you want a charitable deduction, many foreign charities will have a US presence for just this reason. Yes, you can donate...
by sean.mcgrath
Sat May 30, 2020 4:57 am
Forum: Personal Finance (Not Investing)
Topic: COVID related charitable contributions
Replies: 6
Views: 311

COVID related charitable contributions

Since our spending is way down while other people are having difficult times, we've been donating the "excess" to various charities (local food bank, Oxfam, WHO, Doctors without Borders and a local group that helps immigrants). I'm pretty happy with the choices, but am always impressed with the vari...
by sean.mcgrath
Thu May 28, 2020 2:12 pm
Forum: Personal Finance (Not Investing)
Topic: Employer approval for a side gig
Replies: 43
Views: 2200

Re: Employer approval for a side gig

They can put whatever they want in their policy but it doesn't mean it is "correct". This is true. Just because it is in the policy does not mean it is valid or that you are bound. Is it also in your contract? In any case, I have had numerous employees in this situation over the years. I have appro...
by sean.mcgrath
Thu May 28, 2020 1:51 pm
Forum: Personal Investments
Topic: Have you been following your IPS?
Replies: 42
Views: 1863

Re: Have you been following your IPS?

I'm mostly following it. I put new money into my Value funds (which had dropped like a rock) to stay at my planned allocation. I never sell, so that side is pretty easy. My only deviation is that I was supposed to put in more new money in April, and decided I'll leave it in the savings account until...
by sean.mcgrath
Fri May 22, 2020 2:28 pm
Forum: Investing - Theory, News & General
Topic: The Taleb Asness 'debate' in the light of Bogleheads philosophy
Replies: 146
Views: 7030

Re: The Taleb Asness 'debate' in the light of Bogleheads philosphy

with the lottery, over time there is a negative expected return (-50% generally) with the stock market as a whole, over time there is a positive expected return. arcticpineapplecorp., <<with the lottery, over time there is a negative expected return (-50% generally) >> And, why would that matters i...
by sean.mcgrath
Mon May 18, 2020 3:54 am
Forum: Personal Consumer Issues
Topic: Has Your Spending Changed Since The Shutdown?
Replies: 180
Views: 6610

Re: Has Your Spending Changed Since The Shutdown?

LadyGeek wrote:
Sun May 17, 2020 4:16 pm
I merged TheAccountant's and sean.mcgrath's threads into the on-going discussion. The combined thread is in the Personal Consumer Issues forum (how you spend your money and your time).
Thanks, Lady Geek.
by sean.mcgrath
Sun May 17, 2020 1:42 pm
Forum: Personal Consumer Issues
Topic: Has Your Spending Changed Since The Shutdown?
Replies: 180
Views: 6610

Spending habits during the great lock-up

[Thread merged into here, see below. --admin LadyGeek] I finally got around to filling out my "spend" spreadsheet for the start of the year. I knew we had been spending less, but was blown away: our total spend Jan-April YoY is down 40% (excludes savings and charitable giving, both of which went up...
by sean.mcgrath
Sun May 17, 2020 8:55 am
Forum: Non-US Investing
Topic: The Mighty USD
Replies: 47
Views: 3392

Re: The Mighty USD

Any guesses on whether the USD will continue stronger or weaker over the next 10 years? Hi Galeno, No one knows, of course, but I personally do take PPP into account. The USD goes wildly up and down vs. the Euro, but over the last thirty years on average it is very close to what PPP would predict. ...
by sean.mcgrath
Sun May 10, 2020 12:30 pm
Forum: Investing - Theory, News & General
Topic: Looking for alternative to Vanguard
Replies: 107
Views: 7065

Re: Looking for alternative to Vanguard

Interactive Brokers can do 2FA app-based authentication using their mobile app... just another option. I second IB, you get a pass key or can use the fingerprint on your phone. I really wish places would drop the custom apps (fidelity as well) and just use a standard totp code, for which tons of ap...
by sean.mcgrath
Sun May 10, 2020 3:57 am
Forum: Investing - Theory, News & General
Topic: Looking for alternative to Vanguard
Replies: 107
Views: 7065

Re: Looking for alternative to Vanguard

occambogle wrote:
Wed May 06, 2020 1:35 am
Interactive Brokers can do 2FA app-based authentication using their mobile app... just another option.
I second IB, you get a pass key or can use the fingerprint on your phone.
by sean.mcgrath
Sun May 03, 2020 1:18 am
Forum: Personal Investments
Topic: Tax consequences of IB Stock Yield Enhancement program?
Replies: 32
Views: 1701

Re: Tax consequences of IB Stock Yield Enhancement program?

You can use below website for some indications on market borrow fee rate and availability. It's very hard on predict if your stock/ETFs will be lend out a given day. The lower the availability the better chances of your stock will be lent out. https://iborrowdesk.com/ That is really helpful -- than...
by sean.mcgrath
Sat May 02, 2020 1:17 pm
Forum: Investing - Theory, News & General
Topic: Do you keep moving your cash around chasing yield?
Replies: 56
Views: 5344

Re: Do you keep moving your cash around chasing yield?

No, I do not. It sounds like too much effort for marginal benefit.

I keep 3 - 5 months' cash in our savings account. When it gets to five, I invest it.
by sean.mcgrath
Sat May 02, 2020 12:11 pm
Forum: Non-US Investing
Topic: Asset Allocation Advice - 31 Years Old
Replies: 4
Views: 452

Re: Asset Allocation Advice - 31 Years Old

It seems to me that one silver lining of market crashes is that it gives a real-life stress test to the "willingness and ability" to take risk. Based on your last post, my advice would be to decrease the equity component. Perhaps "age in bonds" would be more comfortable for you.
by sean.mcgrath
Sat May 02, 2020 11:45 am
Forum: Personal Investments
Topic: Tax consequences of IB Stock Yield Enhancement program?
Replies: 32
Views: 1701

Re: Tax consequences of IB Stock Yield Enhancement program?

Possible to know before investing how much money you can make based on your portfolio. I own intel, google shares for e.g., possible to know if I can make some money? No. It all depends on how many people want to short them. I am certain that you will make some money with those shares, but no idea ...
by sean.mcgrath
Fri May 01, 2020 7:42 am
Forum: Personal Investments
Topic: Tax consequences of IB Stock Yield Enhancement program?
Replies: 32
Views: 1701

Re: Tax consequences of IB Stock Yield Enhancement program?

So what are the risks? I know its 002%, but still there is money, and there is nothing free in this world...... Also why do they need so much information to be able to create an account? I don't think there are any risks except very theoretical. The way I look at it, I am getting compensated for so...
by sean.mcgrath
Fri May 01, 2020 2:03 am
Forum: Personal Investments
Topic: Tax consequences of IB Stock Yield Enhancement program?
Replies: 32
Views: 1701

Re: Tax consequences of IB Stock Yield Enhancement program?

When you say "I am considering stopping the program simply because it makes my statements too long :P" is that a joke? What I mean is... it doesn't actually complicate anything tax-wise right? It's just a little more interest income right? Yes, I can run date range reports and see all the details: ...
by sean.mcgrath
Thu Apr 30, 2020 12:29 pm
Forum: Personal Investments
Topic: Tax consequences of IB Stock Yield Enhancement program?
Replies: 32
Views: 1701

Re: Tax consequences of IB Stock Yield Enhancement program?

Just curious.... I believe these securities are lent mostly for shorting etc... has all the recent high volatility led to some increased income for those particpating in this? Yes, if I look at Jan-Feb vs. Mar-April, activity is up 50%. I have some value ETFs that have been getting hammered, and ha...
by sean.mcgrath
Fri Mar 06, 2020 5:40 pm
Forum: Personal Investments
Topic: Tax consequences of IB Stock Yield Enhancement program?
Replies: 32
Views: 1701

Re: Tax consequences of IB Stock Yield Enhancement program?

These are probably dumb questions but....... - When you lend a security are you still owning it? Why would entities want to borrow my ETF when they could just buy it themselves on the market? - What happens if the price of the security rises/falls significantly while it is being lent? - Is there so...
by sean.mcgrath
Wed Feb 19, 2020 1:04 pm
Forum: Personal Investments
Topic: New high income earner
Replies: 36
Views: 4744

Re: New high income earner

We are in similar situation but less salary and less debt. We are making 500k per year with roughly $1,000,000 debt. What we doing is cutting expenses as much as possible, living on $50,000 a year, paying off all debt in 4 years. ... Then literally plow 100% into retirement and taxable investments ...
by sean.mcgrath
Tue Feb 18, 2020 3:01 pm
Forum: Personal Investments
Topic: New high income earner
Replies: 36
Views: 4744

Re: New high income earner

We are in similar situation but less salary and less debt. We are making 500k per year with roughly $1,000,000 debt. What we doing is cutting expenses as much as possible, living on $50,000 a year, paying off all debt in 4 years. ... Then literally plow 100% into retirement and taxable investments ...
by sean.mcgrath
Fri Feb 07, 2020 2:34 pm
Forum: Personal Finance (Not Investing)
Topic: Downside to using Cash Back credit cards
Replies: 40
Views: 5071

Re: Downside to using Cash Back credit cards

Outside of applying for a mortgage, I have never cared about my credit score. What does it matter if Transunion thinks I am a 750 or 780? Your credit score is used for more than just taking out loans. I have a cottage in the US, and was informed last summer that one factor in determining my insuran...
by sean.mcgrath
Fri Jan 17, 2020 7:07 pm
Forum: Investing - Theory, News & General
Topic: Gold - How Do Investors Model Price?
Replies: 406
Views: 14002

Re: Gold - How Do Investors Model Price?

I'm pro modest inflation for this reason. A mild decay of money forces capital investment into wealth creation. Hoarding is a non-entrepreneur, non-capitalist, non-investor way to look at money. It is, however, probably how rent-seekers view money. I understand this has become a fashionable argumen...
by sean.mcgrath
Fri Jan 17, 2020 12:52 pm
Forum: Investing - Theory, News & General
Topic: Gold - How Do Investors Model Price?
Replies: 406
Views: 14002

Re: Gold - How Do Investors Model Price?

It looks like they are all crap. The best is Japanese Yen which only lost -10% in 30 years. Shouldn't a good store of value be more or less 0%? You left out one country--Goldlandia, the only country that still uses Gold coins as money. Where would they be on the chart? Well, if you saw watchnerd's ...
by sean.mcgrath
Fri Jan 17, 2020 11:34 am
Forum: Investing - Theory, News & General
Topic: Gold - How Do Investors Model Price?
Replies: 406
Views: 14002

Re: Gold - How Do Investors Model Price?

I have a 5 Norwegian Kroner and 1 Kroner. They have holes. Usually I am quite disciplined about keeping a thread on topic. However, given the extent to which this one has veered (or possibly due to a very nice port that I have unbottled tonight with my wife), one more side comment: US currency is t...
by sean.mcgrath
Thu Jan 16, 2020 6:43 pm
Forum: Investing - Theory, News & General
Topic: Rich people are hoarding cash
Replies: 233
Views: 34914

Re: Rich people are hoarding cash

My grandfather (born 1906) always knew that his dog and a .22LR was enough to keep 10 kids fed even if the factory closed or he got fired for helping start a union (that happened twice...) I would think shooting and eating the dog for a family of 12 would be like one meal. Wouldn’t you need several...
by sean.mcgrath
Thu Jan 16, 2020 6:28 pm
Forum: Investing - Theory, News & General
Topic: Gold - How Do Investors Model Price?
Replies: 406
Views: 14002

Re: Gold - How Do Investors Model Price?

I have a 5 Norwegian Kroner and 1 Kroner. They have holes. Usually I am quite disciplined about keeping a thread on topic. However, given the extent to which this one has veered (or possibly due to a very nice port that I have unbottled tonight with my wife), one more side comment: US currency is t...
by sean.mcgrath
Thu Jan 16, 2020 6:07 pm
Forum: Investing - Theory, News & General
Topic: Gold - How Do Investors Model Price?
Replies: 406
Views: 14002

Re: Gold - How Do Investors Model Price?

You don't have many Chinese friends. :wink: I do, but not going to touch that one for political reasons. Hopefully not a double post. Yep, I veered pretty far off topic for that one (as has this thread, for good and for bad). I couldn't help the remark, as someone from Seattle with "RSU + ESPP" sho...
by sean.mcgrath
Thu Jan 16, 2020 6:02 pm
Forum: Investing - Theory, News & General
Topic: Gold - How Do Investors Model Price?
Replies: 406
Views: 14002

Re: Gold - How Do Investors Model Price?

That is an interesting debate. There are schools for 0 and schools for 1-2%; I don't think there are many schools above 2%. I was thinking the same: if 1.5% is ideal, who hit it perfectly? But, looking at grayfox's quote above he went with price stability, so I accepted that. Personally, I have no ...
by sean.mcgrath
Thu Jan 16, 2020 5:56 pm
Forum: Investing - Theory, News & General
Topic: Gold - How Do Investors Model Price?
Replies: 406
Views: 14002

Re: Gold - How Do Investors Model Price?

In my opinion, the only good currencies in the World are U.S. Dollar, Swiss Frank, Great British Pound, Japanese Yen and Euro. The rest are crap. And I am not so sure about the Euro. Wow. What makes a currency "crap?" The Norwegian krone, Canadian/Aussie/Singapore dollars? And, of course, the Cayma...
by sean.mcgrath
Thu Jan 16, 2020 5:49 pm
Forum: Investing - Theory, News & General
Topic: Rich people are hoarding cash
Replies: 233
Views: 34914

Re: Rich people are hoarding cash

My grandfather (born 1906) always knew that his dog and a .22LR was enough to keep 10 kids fed even if the factory closed or he got fired for helping start a union (that happened twice...) I would think shooting and eating the dog for a family of 12 would be like one meal. Wouldn’t you need several...
by sean.mcgrath
Thu Jan 16, 2020 4:55 pm
Forum: Investing - Theory, News & General
Topic: Gold - How Do Investors Model Price?
Replies: 406
Views: 14002

Re: Gold - How Do Investors Model Price?

What point is "some point"? The US dollar remains far and away the dominant currency, about 62% of the world reserves. This has remained remarkably stable since about 1990, when it was less than 50%. Second place is the euro, about 20%. Third, the yen at 5%. Also, what does it matter? Reserve curre...
by sean.mcgrath
Thu Jan 16, 2020 4:50 pm
Forum: Investing - Theory, News & General
Topic: Gold - How Do Investors Model Price?
Replies: 406
Views: 14002

Re: Gold - How Do Investors Model Price?

In my opinion, the only good currencies in the World are U.S. Dollar, Swiss Frank, Great British Pound, Japanese Yen and Euro. The rest are crap. And I am not so sure about the Euro. Wow. What makes a currency "crap?" The Norwegian krone, Canadian/Aussie/Singapore dollars? And, of course, the Cayma...
by sean.mcgrath
Thu Jan 16, 2020 4:40 pm
Forum: Investing - Theory, News & General
Topic: Gold - How Do Investors Model Price?
Replies: 406
Views: 14002

Re: Gold - How Do Investors Model Price?

I have a 5 Norwegian Kroner and 1 Kroner. They have holes. 2013 1.00 NOK kr = 0.18 USD today 11 cents lost -39% 2012 1.00 CAD $ = 1.00 USD today 77 cents lost -23% 2012 1.00 SGD $ = 0.79 USD today 74 cents lost -6% OK that didn't lose so much. All the currencies that I am familiar have higher infla...
by sean.mcgrath
Thu Jan 16, 2020 1:11 pm
Forum: Investing - Theory, News & General
Topic: Gold - How Do Investors Model Price?
Replies: 406
Views: 14002

Re: Gold - How Do Investors Model Price?

In my opinion, the only good currencies in the World are U.S. Dollar, Swiss Frank, Great British Pound, Japanese Yen and Euro. The rest are crap. And I am not so sure about the Euro. Wow. What makes a currency "crap?" The Norwegian krone, Canadian/Aussie/Singapore dollars? And, of course, the Cayma...
by sean.mcgrath
Wed Jan 15, 2020 8:32 pm
Forum: Investing - Theory, News & General
Topic: Gold - How Do Investors Model Price?
Replies: 406
Views: 14002

Re: Gold - How Do Investors Model Price?

Calculate the energy costs -- pretty prohibitive and not related to state of technological advancement unless energy becomes virtually free. In that case, life is easy anyway (says the geophysicist ;-) We were assuming 1,000 years from now, when we'll have fusion reactors or miniature black hole pa...
by sean.mcgrath
Wed Jan 15, 2020 5:45 pm
Forum: Investing - Theory, News & General
Topic: Gold - How Do Investors Model Price?
Replies: 406
Views: 14002

Re: Gold - How Do Investors Model Price?

In the next 1,000 years and at the present pace of technological progress, somebody will figure out how to create gold from thin air, so there goes that argument. Well, crap, I forgot about that. Yeah, with enough energy, you can use a particle accelerator or nuclear reactor to mash other elements ...
by sean.mcgrath
Wed Jan 15, 2020 3:59 pm
Forum: Investing - Theory, News & General
Topic: Gold - How Do Investors Model Price?
Replies: 406
Views: 14002

Re: Gold - How Do Investors Model Price?

Late reply, but labor costs are not the same as salary. As your link states, it includes benefits (including SS, I would expect). The salaries are "Roughly speaking, the average hourly pay for a member of the United Auto Workers currently ranges from $28 to $38 or so for those hired before Septembe...
by sean.mcgrath
Tue Jan 14, 2020 4:11 pm
Forum: Investing - Theory, News & General
Topic: Gold - How Do Investors Model Price?
Replies: 406
Views: 14002

Re: Gold - How Do Investors Model Price?

Consider this: Back about 1915, Henry Ford raised the wages of auto workers to $5 per day. $5 is a half Eagle, which has 0.2419 troy ounce of Gold. At today's price $1562, that is $377.85 worth of Gold. 50 weeks per year x 5 days per week = 250 work days per year 250 work days x $377.85 = $94,462.5...
by sean.mcgrath
Mon Jan 13, 2020 1:15 pm
Forum: Investing - Theory, News & General
Topic: Best ETFs for shorting: IB Stock yield enhancement
Replies: 2
Views: 222

Re: Best ETFs for shorting: IB Stock yield enhancement

whodidntante wrote:
Mon Jan 13, 2020 12:37 pm
I believe IB has a page where you can check the borrow rates.

Thanks, I'll have a look -- although the rates vary daily. Will see whether it gives a hint as to which are most popular.
by sean.mcgrath
Mon Jan 13, 2020 12:32 pm
Forum: Investing - Theory, News & General
Topic: Best ETFs for shorting: IB Stock yield enhancement
Replies: 2
Views: 222

Best ETFs for shorting: IB Stock yield enhancement

Hi all, A question on how to optimize my portfolio for IB's stock lending program. I swallowed my doubts and enrolled in the IBKR "stock yield enhancement program" in December. Basically, they lend out your stocks to shorts and split the interest income with you. It is interesting to see which of my...
by sean.mcgrath
Sun Dec 15, 2019 5:57 pm
Forum: Investing - Theory, News & General
Topic: Fidelity on International Markets
Replies: 48
Views: 3737

Re: Fidelity on International Markets

As soon as any of the analysts who write these papers contradicting John Bogle acquire a track record comparable to Bogle's, I will give their arguments comparable weight. Very well said! :sharebeer Could not disagree more. When we move from respecting a giant in the industry to treating everything...
by sean.mcgrath
Sat Dec 14, 2019 3:08 am
Forum: Investing - Theory, News & General
Topic: Fidelity on International Markets
Replies: 48
Views: 3737

Re: Fidelity on International Markets

Myth 3: Pointing out that individual ex-US companies have lagged the US market for a particular three year period is rather strange way to argue for the potential diversification benefits of owning an ex-US fund. Fidelity seems to be going after a lot of straw men in that article. Myth 3: US multin...
by sean.mcgrath
Sun Dec 08, 2019 7:05 pm
Forum: Personal Finance (Not Investing)
Topic: Best source for microsoft office?
Replies: 22
Views: 1967

Re: Best source for microsoft office?

According to the German ebay sites, the German Supreme Court has ruled that you can unbundle (this is not dissimilar to American law about hardware). As far as I can tell, it is legal to buy licenses for Office at around $4 https://www.ebay.nl/itm/Lifetime-Office-2019-Pro-Plus-32-64-Bit-Genuine-key-...
by sean.mcgrath
Sun Dec 01, 2019 10:16 am
Forum: Personal Investments
Topic: Tax consequences of IB Stock Yield Enhancement program?
Replies: 32
Views: 1701

Re: Tax consequences of IB Stock Yield Enhancement program?

Hmm, when I go into my account settings to sign up, there is this in the IB Fully Paid Securities Lending Program Disclosure: Potential Adverse Tax Consequences from Receiving Cash Payments in Lieu of Dividends on Loaned Shares 1 When you lend your Fully-Paid Securities, you are entitled to receive ...
by sean.mcgrath
Sun Dec 01, 2019 10:06 am
Forum: Personal Investments
Topic: Tax consequences of IB Stock Yield Enhancement program?
Replies: 32
Views: 1701

Re: Tax consequences of IB Stock Yield Enhancement program?

In that account I have EMGF, GSLC, IEMG, REET, RZV. I earn anywhere from $3 a month to $380 a month. But it depends massively on your portfolio size (obviously) and what you hold. I don't think my IEMG has ever been borrowed, for instance. What gets borrowed also changes substantially over time. Fr...