Search found 5065 matches

by aristotelian
Sat Jan 19, 2019 10:17 pm
Forum: Investing - Theory, News & General
Topic: How much money does one need to setup a private S&P 500 fund?
Replies: 43
Views: 2187

Re: How much money does one need to setup a private S&P 500 fund?

If you have the time to invest, I think it's a cool idea (not that I would recommend it). You would have hundreds of opportunities to harvest tax losses. You could do it through Robinhood and pay no fees (as long as they stay in business). One consideration in setting it up would be a big enough num...
by aristotelian
Sat Jan 19, 2019 10:01 pm
Forum: Personal Finance (Not Investing)
Topic: Divorce w/child. Spouse wants to move.
Replies: 46
Views: 2420

Re: Divorce w/child. Spouse wants to move.

The child is only 2 years old, a couple years away from starting school. I am fairly certain that ex has no legal right to move to southwest city with child. I would do what I could though to make her happy to move to that city. I would just want a larger chunk of assets, to make up for the fact th...
by aristotelian
Sat Jan 19, 2019 9:51 pm
Forum: Personal Finance (Not Investing)
Topic: Best Credit Card for International Travel
Replies: 27
Views: 1363

Re: Best Credit Card for International Travel

+1 for Cap One Quicksilver. Great all purpose card. I also just picked up Barclay Arrival+. If you don't mind canceling in a year, the annual fee is waived for the first year. 70,000 points ($700) for $5K spending in the first 3 months, plus 2 points per dollar spent and 5% miles back when redeemed....
by aristotelian
Sat Jan 19, 2019 7:46 pm
Forum: Investing - Theory, News & General
Topic: What does 20% extra of portfolio allocated to equities get you?
Replies: 70
Views: 2448

Re: What does 20% extra of portfolio allocated to equities get you?

After all this time hearing discussion about it, I still fail to see why the efficient frontier should matter at all to the retail investor. You can't 'eat' a risk-adjusted return, only a real one. What does it matter if your risk-adjusted return was very high but your real returns were insufficien...
by aristotelian
Sat Jan 19, 2019 6:38 pm
Forum: Investing - Theory, News & General
Topic: What does 20% extra of portfolio allocated to equities get you?
Replies: 70
Views: 2448

Re: What does 20% extra of portfolio allocated to equities get you?

KlangFool wrote:
Sat Jan 19, 2019 6:21 pm
aristotelian,

Yes, but a person needs to have enough fixed income and the emergency fund to survive short-term employment in a recession. Or else, the person may not survive long enough for the long-term return to show up.

KlangFool
Don't get me wrong. I am close to 30% in bonds and cash.
by aristotelian
Sat Jan 19, 2019 6:21 pm
Forum: Investing - Theory, News & General
Topic: What does 20% extra of portfolio allocated to equities get you?
Replies: 70
Views: 2448

Re: What does 20% extra of portfolio allocated to equities get you?

staythecourse, aristotelian, Excellent points, thank you for clarifying! This is very well explained in several of Jack's books with data/simulations regarding ERs and returns and it is certainly a huge difference compounded over time. Once one is at lowest ER as possible with additional 0.8%-2.2% ...
by aristotelian
Sat Jan 19, 2019 6:17 pm
Forum: Investing - Theory, News & General
Topic: What does 20% extra of portfolio allocated to equities get you?
Replies: 70
Views: 2448

Re: What does 20% extra of portfolio allocated to equities get you?

arcticpineapplecorp, I am doing a lousy job explaining this. I need to go back to find the research material on the efficient frontier. KlangFool Klangfool, I believe the EF research is about getting a disproportionate reduction in volatility . I don't think it denies that you get lower long term r...
by aristotelian
Sat Jan 19, 2019 4:46 pm
Forum: Investing - Theory, News & General
Topic: What does 20% extra of portfolio allocated to equities get you?
Replies: 70
Views: 2448

Re: What does 20% extra of portfolio allocated to equities get you?

I find this data fascinating on the percentage of equities against performance and how much risk one is taking. If I am reading the numbers correctly, most people need to be more conservative and not take as much risk for a 0.8%-2.2% increased return for every 20% on equities? 2% doesn't sound like...
by aristotelian
Sat Jan 19, 2019 1:08 pm
Forum: Personal Finance (Not Investing)
Topic: HSA Bank: ongoing bad experience
Replies: 12
Views: 1060

Re: HSA Bank: ongoing bad experience

Yes, but undercontributing by the same amount next year is the same as removal, so that would be an easy fix. Is that documented somewhere, like Publication 969? I don't remember seeing anything like that, but it's a big .pdf, too... If he wants someone to calculate the earnings for him, I would su...
by aristotelian
Sat Jan 19, 2019 12:27 pm
Forum: Personal Finance (Not Investing)
Topic: HSA Bank: ongoing bad experience
Replies: 12
Views: 1060

Re: HSA Bank: ongoing bad experience

The excise tax on an over-contribution is 6% or $30.00. This may be a case where spending the $30 is worth avoiding all the aggravation. https://www.wageworks.com/employees/support-center/support-and-faq/healthcare/hsa/what-happens-if-i-contribute-to-my-hsa-more-than-the-maximum-annual-limit-that-t...
by aristotelian
Sat Jan 19, 2019 9:48 am
Forum: Investing - Theory, News & General
Topic: The NY Times calls us a cult but in a good way
Replies: 26
Views: 3251

Re: The NY Times calls us a cult but in a good way

I am okay with "cultlike in their devotion". I would vehemently reject "cultists" with Bogle the "spiritual leader of their financial lives." I have much respect, gratitude, and admiration for Mr. Bogle but there is nothing spiritual about it.
by aristotelian
Fri Jan 18, 2019 4:30 pm
Forum: Personal Finance (Not Investing)
Topic: Should I buy a house in the Bay area or give up?
Replies: 91
Views: 6294

Re: Should I buy a house in the Bay area or give up?

Why do you want to buy a house? I'm scared that house prices in the Bay area will keep rising and be out of my reach forever. So my thought is lock in a house now or in the near future to avoid being priced out forever This is a phenomenon referred to as "Fear of Missing Out". It has caused countle...
by aristotelian
Fri Jan 18, 2019 3:10 pm
Forum: Investing - Help with Personal Investments
Topic: Should I dump our wealth planner/financial advisor?
Replies: 38
Views: 2821

Re: Should I dump our wealth planner/financial advisor?

You may have needed their help in the past and benefited from it. Maybe not, in which case it is a sunk cost. The only question is what you want to do with your money now . If you had $1M cash right now, would you pay $10,000 annually to have them manage it for you? If the answer is no, then the onl...
by aristotelian
Fri Jan 18, 2019 2:10 pm
Forum: Investing - Theory, News & General
Topic: My trend following strategy and experience
Replies: 157
Views: 5490

Re: My trend following strategy and experience

I don't get the logic of trend following. If you were to time the market, wouldn't you want to get out at the peak, when the market is still trending up, instead of when the market has already started going down? ... Both Paul Merriman and Meb Faber use a trend following system ... I have talked ex...
by aristotelian
Fri Jan 18, 2019 12:59 pm
Forum: Investing - Theory, News & General
Topic: My trend following strategy and experience
Replies: 157
Views: 5490

Re: My trend following strategy and experience

I don't get the logic of trend following. If you were to time the market, wouldn't you want to get out at the peak, when the market is still trending up, instead of when the market has already started going down? Personally, if I were to time the market, I would be more inclined to look at valuation...
by aristotelian
Fri Jan 18, 2019 11:01 am
Forum: Investing - Help with Personal Investments
Topic: Wife's 401k investment options are bad...options?
Replies: 11
Views: 444

Re: Wife's 401k investment options are bad...options?

You definitely want to do the 457. 457 is even better than 403b because you can access the funds without penalty. I would only do the wife's 401k if she is getting a match, otherwise max your plans first.
by aristotelian
Fri Jan 18, 2019 10:55 am
Forum: Investing - Theory, News & General
Topic: U.S. stocks in free fall
Replies: 10123
Views: 1785394

Re: U.S. stocks in free fall

Since we didn't [quite] see a recession during the Christmas Crash, does that mean the Longest Bull Market Ever is ongoing? The reports said "Well, it looks like the BM is over, unless | but | if ..." The bears will say "That wasn't a bear market. We are in the longest bull market in history and it...
by aristotelian
Fri Jan 18, 2019 10:42 am
Forum: Investing - Help with Personal Investments
Topic: Where Do HSAs Fit in Asset Location?
Replies: 47
Views: 2565

Re: Where Do HSAs Fit in Asset Location?

I have been putting my HSA entirely in bonds. My reasoning is that if my HSA account value exceeds out of pocket medical costs, then the excess will be taxed at ordinary rates, so it makes the most sense to put low-return, tax-inefficient assets in the HSA, especially since I have reason to hope th...
by aristotelian
Fri Jan 18, 2019 9:35 am
Forum: Investing - Theory, News & General
Topic: 2019 Hedge Fund Contest
Replies: 141
Views: 6511

Re: 2019 Hedge Fund Contest

Is a loss of over 100% a bust out? Or do we assume unlimited helicopter angel money? I want to see how low it can go. https://www.reddit.com/r/wallstreetbets/comments/agovgl/only_invest_what_you_can_afford_to_lose_they_said/ warning, this subreddit is not for the faint of heart; however, this perso...
by aristotelian
Fri Jan 18, 2019 8:55 am
Forum: Investing - Theory, News & General
Topic: Bogle "5% Gold"
Replies: 60
Views: 5560

Re: Bogle "5% Gold"

The physical gold we hold is just for 'insurance against the unknown'*, as David Stein puts it, not as an investment with a positive expected return. I fully anticipate that the real return will be negative in the long-term, but I'm okay with that in such a small portion of our overall net worth (a...
by aristotelian
Thu Jan 17, 2019 2:44 pm
Forum: Investing - Help with Personal Investments
Topic: 57 yr old w/$14K
Replies: 24
Views: 3587

Re: 57 yr old w/$14K

Even setting aside fees, going to a broker is a poor choice. He should set aside that money in a simple savings account and keep it for a rainy day when he will surely need it. He is not in a position to invest in stocks, and no broker in the world is going to turn $14K into enough money for him to ...
by aristotelian
Thu Jan 17, 2019 1:26 pm
Forum: Investing - Help with Personal Investments
Topic: Backdoor Roth IRA - Did I screw up?
Replies: 6
Views: 512

Re: Backdoor Roth IRA - Did I screw up?

azianbob wrote:
Thu Jan 17, 2019 1:23 pm
Can't you just convert the TIRA to Roth as well and only be taxed on that portion and still not have to pay tax on the $5,500?
He could, but that would be a huge tax hit if it was a big 401k.
by aristotelian
Thu Jan 17, 2019 9:01 am
Forum: Investing - Theory, News & General
Topic: my review of my HSA with Saturna brokerage
Replies: 166
Views: 44745

Re: my review of my HSA with Saturna brokerage

The in kind transfer posted today. 100% of VTSAX that was held at Saturna is still 100% VTSAX in the Fidelity HSA. I want to convert this from VTSAX to FZROX sometime today. Have never converted shares on Fidelity's site before, I'm sure it's easy. Anyone have any quick tips to do it? I obviously w...
by aristotelian
Wed Jan 16, 2019 3:42 pm
Forum: Investing - Help with Personal Investments
Topic: Why are you NOT buying rental properties?
Replies: 212
Views: 13986

Re: Why are your NOT buying rental properties?

I discount that return for concentration risk and illiquidity. In my city, market rents are barely enough to cover taxes, insurance and maintenance. Would be cash flow negative with a mortgage on it. And 4% appreciation is optimistic for 18 years. It's happened in some markets but can't bank on it....
by aristotelian
Wed Jan 16, 2019 2:53 pm
Forum: Investing - Theory, News & General
Topic: 2019 Hedge Fund Contest
Replies: 141
Views: 6511

Re: 2019 Hedge Fund Contest

whodidntante wrote:
Wed Jan 16, 2019 1:51 pm
Is a loss of over 100% a bust out? Or do we assume unlimited helicopter angel money?
I want to see how low it can go.
by aristotelian
Wed Jan 16, 2019 2:49 pm
Forum: Investing - Help with Personal Investments
Topic: stuck forever in alternative funds after tax loss harvesting?
Replies: 12
Views: 629

Re: stuck forever in alternative funds after tax loss harvesting?

What do you have against SCHB and SCHF? Maybe my only beef with SCHF is that it doesn't have diversification into emerging markets from what I read: "If you’re an emerging markets or BRICS fan, SCHF isn’t for you." https://investorplace.com/2014/08/international-etfs/ I see. Well, at least you can ...
by aristotelian
Wed Jan 16, 2019 2:27 pm
Forum: Investing - Help with Personal Investments
Topic: Overcontributed to 401k, now what?
Replies: 6
Views: 656

Re: Overcontributed to 401k, now what?

Great now another curve ball. Vanguard is now telling me *their* system is showing $54,900+ contributed in 2018 on their backend system, but my interface on the Vanguard website is showing $55,100+ contributed in 2018. So the question is... did I overcontribute in 2018? Which begs the question, how...
by aristotelian
Wed Jan 16, 2019 12:46 pm
Forum: Personal Consumer Issues
Topic: Netflix Recommendations
Replies: 39
Views: 2780

Re: Netflix Recommendations

mindgap wrote:
Wed Jan 16, 2019 12:24 pm
Gomorrah - awesome show
I loved this show! You might like La Casa del Papel (Money Heist).
by aristotelian
Wed Jan 16, 2019 12:43 pm
Forum: Personal Consumer Issues
Topic: Are You Dumping Netflix?
Replies: 164
Views: 9068

Re: Are You Dumping Netflix?

Cable company makes tons of money charging folks like my Grandmother $250 a month. They increase by $5 a month and she barely notices - just accepts it as what has to be. Cable company has historically been flush with tons of cash. NetFlix charges less than what it pays for content - pours $13B int...
by aristotelian
Wed Jan 16, 2019 12:39 pm
Forum: Personal Consumer Issues
Topic: Gillette Mach 3 alternatives
Replies: 81
Views: 5737

Re: Gillette Mach 3 alternatives

Not sure if OP would consider ditching cartridges altogether, but I got fed up with different proprietary systems that are always getting phased out. Switched to traditional Dual Edge Safety Razor and will never, ever go back to cartridge. IMO, they are the like the index funds of shaving. Simple, n...
by aristotelian
Wed Jan 16, 2019 11:15 am
Forum: Personal Consumer Issues
Topic: Are You Dumping Netflix?
Replies: 164
Views: 9068

Re: Are You Dumping Netflix?

I am holding Netflix stock. :)

I am currently watching a few shows on Hulu but will happily switch back to Netflix in a month or two. They could double their prices and still be cheaper than cable.
by aristotelian
Wed Jan 16, 2019 8:39 am
Forum: Investing - Help with Personal Investments
Topic: VOO Dividends--How to avoid double tax when wanting to spend them?
Replies: 14
Views: 646

Re: VOO Dividends--How to avoid double tax when wanting to spend them?

As others noted, the reinvested shares purchased at a higher price will have a higher cost basis. You get taxed on the dividend, but then you only get taxed on future gains. If you are curious, you should be able to view the specific lots to see the cost basis of each lot, at least in a taxable brok...
by aristotelian
Tue Jan 15, 2019 6:31 pm
Forum: Personal Finance (Not Investing)
Topic: My Withdrawal Strategy - Poke holes in it
Replies: 18
Views: 1995

Re: My Withdrawal Strategy - Poke holes in it

You can convert tax deferred to Roth and realize capital gains without withdrawing. Make sure you take advantage of space in your lower tax brackets to the fullest extent possible. At this point, I don't see an advantage to doing conversions from tax deferred to Roth. We already have one Roth setup...
by aristotelian
Tue Jan 15, 2019 4:21 pm
Forum: Investing - Help with Personal Investments
Topic: Super Aggressive MF or ETFs?
Replies: 20
Views: 1099

Re: Super Aggressive MF or ETFs?

Some people like Small Cap Value ETF's such as SLYV and VIOV. The theory is that smaller companies should be riskier, therefore they should have higher returns over time. That is probably the limit of the aggressiveness folks here will generally recommend. Beyond that, the whole idea of ETF's and mu...
by aristotelian
Tue Jan 15, 2019 3:59 pm
Forum: Personal Consumer Issues
Topic: Hawaii vacation, any recommendations?
Replies: 30
Views: 2560

Re: Hawaii vacation, any recommendations?

Sans Souci Beach. Just steps past Waikiki but way less crowded and actually some pretty good snorkeling.
by aristotelian
Tue Jan 15, 2019 3:55 pm
Forum: Personal Finance (Not Investing)
Topic: My Withdrawal Strategy - Poke holes in it
Replies: 18
Views: 1995

Re: My Withdrawal Strategy - Poke holes in it

- My order of tapping the accounts (spend down) would be ; Cash account --> Taxable accounts -->Tax deferred --> Roth You can convert tax deferred to Roth and realize capital gains without withdrawing. Make sure you take advantage of space in your lower tax brackets to the fullest extent possible. ...
by aristotelian
Tue Jan 15, 2019 7:19 am
Forum: Personal Finance (Not Investing)
Topic: Help me pick a retirement date. Or enough is enough?
Replies: 33
Views: 4070

Re: Help me pick a retirement date. Or enough is enough?

Seems like you are being very conservative in all scenarios. I don't see a financial reason for you to keep working. How do your numbers look if you retire today? What are your annual expenses? Generally people that reach $1.4M plus a pension do not end up eating dog food.
by aristotelian
Mon Jan 14, 2019 10:02 pm
Forum: Personal Finance (Not Investing)
Topic: SEP IRA vs Solo 401k - What am I not getting?
Replies: 28
Views: 1032

Re: SEP IRA vs Solo 401k - What am I not getting?

If I understand correctly, the solo 401k is better than a SEP IRA in nearly every way. Particularly with contribution limits. So why would anyone open a SEP IRA? Or am I missing something? I don't think you are missing anything. I do not understand why SEP IRA's exist. Because some of us opened SEP...
by aristotelian
Mon Jan 14, 2019 7:40 pm
Forum: Personal Consumer Issues
Topic: Taking expensive DSLR on kayak?
Replies: 41
Views: 2040

Re: Taking expensive DSLR on kayak?

We did a white water rafting trip in Costa Rica where one of the tour guides used a DSLR to take pictures. I'm not sure what kind of set up he used, but it must have been waterproof because his buddy capsized his kayak. I remember it being something like this: https://www.bhphotovideo.com/c/product/...
by aristotelian
Mon Jan 14, 2019 6:06 pm
Forum: Investing - Help with Personal Investments
Topic: After tax contribution OR roth conversion?
Replies: 31
Views: 819

Re: After tax contribution OR roth conversion?

Even if he is retiring at 40, that would even be scarier to me since he has so much more time for the tax-deferred accounts to grow, assuming he doesn't withdraw too much from them. Remember, the more you are able to save when you are young, the more time you have for compounding to work. And when ...
by aristotelian
Mon Jan 14, 2019 4:17 pm
Forum: Investing - Help with Personal Investments
Topic: After tax contribution OR roth conversion?
Replies: 31
Views: 819

Re: After tax contribution OR roth conversion?

Even if he is retiring at 40, that would even be scarier to me since he has so much more time for the tax-deferred accounts to grow, assuming he doesn't withdraw too much from them. Remember, the more you are able to save when you are young, the more time you have for compounding to work. And when ...
by aristotelian
Mon Jan 14, 2019 3:47 pm
Forum: Investing - Help with Personal Investments
Topic: After tax contribution OR roth conversion?
Replies: 31
Views: 819

Re: After tax contribution OR roth conversion?

In Roth, the contributions and growth are both tax-free (after the money is in the Roth). In After-tax, the contributions remain tax-free but the growth will be taxed later on. So as far as which one to hold, the Roth is definitely better. Now, if your tax-deferred accounts look like they will be w...
by aristotelian
Mon Jan 14, 2019 3:31 pm
Forum: Investing - Help with Personal Investments
Topic: Portfolio HELP - time to stop the bleeding from AUM fee
Replies: 34
Views: 2373

Re: Portfolio HELP - time to stop the bleeding from AUM fee

You have gotten good advice. I don't have much to add except to say that you should not let the complexity of the portfolio from leaving the financial advisor immediately. Just doing that will be saving you $5K annually on the brokerage account. The only thing I will add is that you should keep a cl...
by aristotelian
Mon Jan 14, 2019 2:09 pm
Forum: Investing - Help with Personal Investments
Topic: After tax contribution OR roth conversion?
Replies: 31
Views: 819

Re: After tax contribution OR roth conversion?

If you are currently in a high tax bracket, I would *not* want to do Roth conversions now. You would be better off simply paying the 10% penalty after you are retired. Due to so much pretax savings in 401k, 403b, 457, etc, we will probably end up mostly in the 12% tax bracket. Might actually be in ...
by aristotelian
Mon Jan 14, 2019 1:08 pm
Forum: Investing - Help with Personal Investments
Topic: After tax contribution OR roth conversion?
Replies: 31
Views: 819

Re: After tax contribution OR roth conversion?

If you are currently in a high tax bracket, I would *not* want to do Roth conversions now. You would be better off simply paying the 10% penalty after you are retired.
by aristotelian
Mon Jan 14, 2019 12:21 pm
Forum: Personal Finance (Not Investing)
Topic: SEP IRA vs Solo 401k - What am I not getting?
Replies: 28
Views: 1032

Re: SEP IRA vs Solo 401k - What am I not getting?

knightrider wrote:
Mon Jan 14, 2019 12:10 pm
If I understand correctly, the solo 401k is better than a SEP IRA in nearly every way. Particularly with contribution limits. So why would anyone open a SEP IRA? Or am I missing something?
I don't think you are missing anything. I do not understand why SEP IRA's exist.
by aristotelian
Mon Jan 14, 2019 7:32 am
Forum: Investing - Help with Personal Investments
Topic: low volatility funds in a Roth IRA
Replies: 12
Views: 879

Re: low volatility funds in a Roth IRA

You said that you know your approach contradicts Bogleheads philosophy but you don't care. Why would you then ask advice of Bogleheads? It is possible that low vol stocks have lower risk. I see no reason as to why they would "outperform" long term. If anything, they would have a lower risk premium a...
by aristotelian
Sun Jan 13, 2019 9:37 pm
Forum: Personal Finance (Not Investing)
Topic: Tax filing software
Replies: 42
Views: 2257

Re: Tax filing software

Triple digit golfer wrote:
Sun Jan 13, 2019 8:06 pm
What are the pros/cons of a download version vs online? Seems unnecessary to download.
I need to do returns for my kids and you get five returns with download vs only one online.
by aristotelian
Sun Jan 13, 2019 5:14 pm
Forum: Personal Finance (Not Investing)
Topic: Tax filing software
Replies: 42
Views: 2257

Re: Tax filing software

Why not give Credit Karma a shot and post back here with the results? I'm skeptical of free products and wondering to whom my information is being sold to allow them to offer it for free. That is a different question than you started with. If you are looking for a free program, it will probably wor...