Search found 469 matches

by RetiredCSProf
Thu Sep 17, 2020 4:31 pm
Forum: Personal Investments
Topic: splitting investments between accounts
Replies: 17
Views: 1435

Re: splitting investments between accounts

"ROTH IRA BROKERAGE" means it's a brokerage account so you can buy/sell ETFs, stocks, bonds, CDs, and mutual funds, and you use a settlement fund. By contrast, "ROTH IRA" can hold only mutual funds, and there's no need or use of a settlement fund. You can do many of the same things in that account:...
by RetiredCSProf
Thu Sep 17, 2020 3:12 pm
Forum: Investing - Theory, News & General
Topic: Total Bond Index and IShares GOVT
Replies: 11
Views: 881

Re: Total Bond Index and IShares GOVT

The relative composition of corporate debt, mortgage-backed securities, US Treasuries, and other government-related debt varies across similar investment-grade US core bond index funds, such as Vanguard's BND / VBTLX, iShares AGG, and Fidelity's FXNAX As stated in its policy, VBTLX "invests by sampl...
by RetiredCSProf
Thu Sep 17, 2020 9:45 am
Forum: Investing - Theory, News & General
Topic: Total Bond Index and IShares GOVT
Replies: 11
Views: 881

Re: Total Bond Index and IShares GOVT

I am not invested in Vanguard Total Bond Fund; however, I have been looking at it as I am rethinking my bond portfolio. TBM does not track to the Bloomberg Barclay US Aggregate bond market index, which is 23% corporate credit, 42% mortgage-backed securities, and 35% gov. The more I look at bond fund...
by RetiredCSProf
Tue Sep 15, 2020 3:37 pm
Forum: Personal Investments
Topic: Where to invest fixed income?
Replies: 26
Views: 3220

Re: Where to invest fixed income?

Hey CSProf, did you ever say what you wanted to prioritize for this allocation (i.e. income, total return, etc.)? I think you need to structure your bond allocation based on that. It doesn't have to be complex. You can just do a total bond market index, a dash of international and EM, and then allo...
by RetiredCSProf
Mon Sep 14, 2020 6:36 pm
Forum: Personal Investments
Topic: Where to invest fixed income?
Replies: 26
Views: 3220

Re: Where to invest fixed income?

bog007 wrote: Mon Sep 14, 2020 4:27 pmvasix
I don't know anything about "vasix"

I searched for it on my Fido account -- it says I would need to pay a $75 transaction fee to purchase it.
by RetiredCSProf
Mon Sep 14, 2020 3:25 pm
Forum: Personal Investments
Topic: Where to invest fixed income?
Replies: 26
Views: 3220

Re: Where to invest fixed income?

Here's one idea... many BHers like to "take risk on the equity side." What that often means is owning only US Treasuries for fixed income, as that will preserve capital and provide downside protection. If that doesn't keep up with inflation, you have to take on extra risk but instead of doing it wi...
by RetiredCSProf
Mon Sep 14, 2020 2:10 pm
Forum: Personal Finance (Not Investing)
Topic: Financial Elder Abuse/Neglect/Inheritance Theft - lawsuit or mediation?
Replies: 71
Views: 5800

Re: Financial Elder Abuse/Neglect/Inheritance Theft - lawsuit or mediation?

I am sorry for your loss and the stressful situation that you are in. My only similar experience ended in a settlement. I hired a licensed, bonded, and insured general contractor to remodel my home. Toward the end of the project, I realized that the general contractor had overcharged me by about $20...
by RetiredCSProf
Mon Sep 14, 2020 9:56 am
Forum: Personal Investments
Topic: Energy Sector ETF - Hold or Sell?
Replies: 19
Views: 956

Re: Energy Sector ETF - Hold or Sell?

Maybe rethink your convictions? I purchased some shares of ISHARES TR GL CLEAN ENE ETF (ICLN) in my Roth account almost a year ago -- I have about a 50% gain.
by RetiredCSProf
Sun Sep 13, 2020 7:19 pm
Forum: Personal Investments
Topic: Where to invest fixed income?
Replies: 26
Views: 3220

Re: Where to invest fixed income?

In lieu of a concise BH philosophy on bond fund investing, I'm trying to apply basic BH concepts. My goals for fixed income are to preserve capital, earn some interest (keep pace with inflation), and provide some downside protection when equities slide (enough to cover annual RMDs). My current fixed...
by RetiredCSProf
Sat Sep 12, 2020 10:27 pm
Forum: Personal Investments
Topic: Do you invest in IGOV or BWX? Seeking advice.
Replies: 4
Views: 487

Re: Do you invest in IGOV or BWX? Seeking advice.

You may get more responses if you edit your title to provide some explanation, such as "International Gov Bond funds," and not just the acronyms. Or, ask a more general question about investing in international bond funds. I have seen several BH posts about investing in Vanguard International ex-US ...
by RetiredCSProf
Sat Sep 12, 2020 9:53 pm
Forum: Personal Investments
Topic: What Blend of These 2 Fidelity Funds Approximates TSM
Replies: 12
Views: 904

Re: What Blend of These 2 Fidelity Funds Approximates TSM

VXF -- ETF version of Vanguard extended equity (VEXAX) is an alternative to FSMAX for extended equity
by RetiredCSProf
Fri Sep 11, 2020 5:23 pm
Forum: Personal Investments
Topic: Where to invest fixed income?
Replies: 26
Views: 3220

Re: Where to invest fixed income?

The AA of my rollover IRAs is quickly becoming more bond-heavy as I convert equities to Roth. In a few years, I am likely to be at 40 / 60 in my tax-deferred space -- so I am paying more attention to the bond funds. Vanguard's Total Bond ETF (BND) seeks results that correspond to the Bloomberg Barcl...
by RetiredCSProf
Thu Sep 10, 2020 7:57 pm
Forum: Personal Investments
Topic: Where to invest fixed income?
Replies: 26
Views: 3220

Where to invest fixed income?

I am 72, retired, and have about $250K invested in bond funds in rollover-IRAs, split between Fido and TRowe. The market dip a few months ago revealed that the bond funds in my Fido portfolio (recommended by a Fido advisor three years ago) need re-positioning. The funds dipped deeper than I expected...
by RetiredCSProf
Tue Sep 08, 2020 2:01 pm
Forum: Personal Investments
Topic: "international" equity as in the three-fund portfolio
Replies: 25
Views: 2052

Re: "international" equity as in the three-fund portfolio

Just to clarify or confuse the whole concept of "international" equity, Fidelity adds something called GeoRevenue Portfolio Exposure : "Traditional methods of analyzing a fund’s or index’s geographic exposure may fail to capture true geographic exposures in an increasingly globalized world. Traditio...
by RetiredCSProf
Mon Sep 07, 2020 4:00 pm
Forum: Personal Finance (Not Investing)
Topic: Reserve 2-3 years of RMDs in MM, ST Bond, or Ultra ST?
Replies: 1
Views: 215

Reserve 2-3 years of RMDs in MM, ST Bond, or Ultra ST?

I have moved enough into MM to cover my estimated RMD for 2021. I am deciding whether to reserve enough in Short Term (ST) bond funds or Ultra Short Term bond funds to cover estimated RMDs for 2022 and 2023. The other options are to hold more in MM or to hold more in intermediate-term bond funds. I ...
by RetiredCSProf
Mon Sep 07, 2020 3:19 pm
Forum: Personal Finance (Not Investing)
Topic: Large 2020 TIRA to Roth Conversion
Replies: 24
Views: 1717

Re: Large 2020 TIRA to Roth Conversion

If the $200K Roth conversion causes your taxable income to exceed $250K and if you are filing MFJ, you will be subject to the 3.8% NIIT in addition to the 24% income tax rate. Also, keep in mind that IRMAA is based on MAGI, not on taxable income.
by RetiredCSProf
Sun Sep 06, 2020 4:24 pm
Forum: Personal Finance (Not Investing)
Topic: Rice & Beans [limiting food expenses]
Replies: 96
Views: 13894

Re: Rice & Beans [limiting food expenses]

I like to purchase produce and fresh fish at my local Farmer's Market once a week. That way, I can purchase foods "in season" and find that they have a longer "shelf life." Reduce spoilage by following storage guidelines. For example, my Subzero refrigerator recommends the following: 1. Separate eth...
by RetiredCSProf
Fri Sep 04, 2020 10:31 pm
Forum: Personal Investments
Topic: What's the advantage of a Schwab/Fidelity local office for a hybrid advisor client?
Replies: 6
Views: 673

Re: What's the advantage of a Schwab/Fidelity local office for a hybrid advisor client?

My accounts at Fidelity are self-directed with an assigned advisor at their local office. I liked my first advisor a lot, but he was promoted to a VP position, and I was eventually re-assigned to a second advisor, whom I like as well. The first advisor was willing to walk me through the online websi...
by RetiredCSProf
Tue Sep 01, 2020 12:57 pm
Forum: Personal Investments
Topic: My Roth is TRP Capital Apprec fund....bad choice?
Replies: 15
Views: 698

Re: My Roth is TRP Capital Apprec fund....bad choice?

I am 72, retired, and have been invested with TRowe for over 35 years. I hold more than $250K in TRowe, which gives me access to their personal advisory services (in a self-directed account). Several of the funds that I hold are currently closed to new investors. I recently called TRowe for advice o...
by RetiredCSProf
Sat Aug 29, 2020 10:15 pm
Forum: Personal Investments
Topic: Vanguard craziness RE: Apple
Replies: 31
Views: 4438

Re: Apple shares at Vanguard 8/29?

Fido has an alert on their website regarding Apple and Tesla shares splitting -- likely similar issues at Vanguard.
"Apple and Tesla Holders: please note that while these stocks go through their stock splits this weekend, some parts of the experience are still in the midst of updating."
by RetiredCSProf
Fri Aug 28, 2020 5:22 pm
Forum: Personal Investments
Topic: When to move out of an underperforming mutual fund
Replies: 21
Views: 1948

Re: When to move out of an underperforming mutual fund

The bigger question is how do these funds fit into your overall portfolio? If you make the changes, will you be tilting toward a riskier overall portfolio? I have been considering dropping TRowe Equity Income (PRFDX) as well. I purchased it initially in 2012 to balance against my purchase of TRowe B...
by RetiredCSProf
Fri Aug 28, 2020 2:29 pm
Forum: Personal Investments
Topic: TRBCX [T. Rowe Price Blue Chip Growth Fund]
Replies: 22
Views: 1097

Re: TRBCX [T. Rowe Price Blue Chip Growth Fund]

The manager of TRowe Blue Chip Growth has been at the helm for many years. He is 60 years old and plans to retire in two years. Keep this is mind in making your decision. Also, TRBCX is now offered as an active ETF as well.
by RetiredCSProf
Thu Aug 27, 2020 12:57 pm
Forum: Personal Investments
Topic: Fidelity on-line Roth conversions not working
Replies: 6
Views: 581

Re: Fidelity on-line Roth conversions not working

I had the same problem and was able to perform the Roth conversion by going through their "trade" screen. When I am converting Fido MFs from tax-deferred to Roth, I prefer to call Fido to perform the conversion in after-hours trading. There is a "window" a couple hours after the market officially cl...
by RetiredCSProf
Wed Aug 26, 2020 5:09 pm
Forum: Personal Investments
Topic: Suggestions for 100x moonshots
Replies: 71
Views: 8730

Re: Suggestions for 100x moonshots

Be prepared for volatility. I've done well in semiconductors -- but the worst year was down 50%. In the past decade, I've had good returns in Global Technology funds, such as the IXN ETF. A few stock suggestions for the next decade: Nio -- manufactures electric cars in China NextEra Energy Partners ...
by RetiredCSProf
Tue Aug 25, 2020 11:08 pm
Forum: Personal Investments
Topic: Introduction of Active ETFs at TRowe
Replies: 14
Views: 1069

Introduction of Active ETFs at TRowe

TRowe Price recently introduced four of their active large-cap MFs as active ETFs: Blue Chip Growth, Dividend Growth, Equity Income, and Growth Stock https://www.prnewswire.com/news-releases/t-rowe-price-launches-its-first-ever-active-exchange-traded-funds-301106738.html I have a rollover IRA at TRo...
by RetiredCSProf
Sun Aug 23, 2020 7:25 pm
Forum: Personal Finance (Not Investing)
Topic: Roth Conversion Strategy with Loss of Stretch IRA
Replies: 21
Views: 1611

Re: Roth Conversion Strategy with Loss of Stretch IRA

Also, consider the NIIT tax in deciding the amount to convert to Roth each year. If filing status is MFJ, the 3.8% NIIT tax takes a bite before you hit the top of the 24% bracket.
by RetiredCSProf
Sun Aug 16, 2020 10:39 pm
Forum: Personal Investments
Topic: Talk me out of Covid 19 timing
Replies: 119
Views: 7879

Re: Talk me out of Covid 19 timing

The future of bonds is really murky right now, this is probably the most complex asset class and I feel that it's more speculation putting money into bonds right now than into equities regardless of whether or not the S and P dives tomorrow. Maybe cash makes more sense right now. +1 The post said "...
by RetiredCSProf
Sun Aug 16, 2020 9:46 pm
Forum: Personal Consumer Issues
Topic: Car shopping PHEV / ICE / or all electric?
Replies: 114
Views: 8281

Re: Car shopping PHEV / ICE / or all electric?

RocketShipTech wrote: Sun Aug 16, 2020 9:37 pm

For that kind of ROI I’d be happy parking it in the driveway
I live in a condo and share the driveway with my neighbors -- no way to park the car in the driveway, without blocking entrance to my neighbor's condo.
by RetiredCSProf
Sun Aug 16, 2020 9:32 pm
Forum: Personal Consumer Issues
Topic: Car shopping PHEV / ICE / or all electric?
Replies: 114
Views: 8281

Re: Car shopping PHEV / ICE / or all electric?

I'm glad the OP shared their journey. Unfortunately I missed this thread, but I'm surprised nobody suggested a Honda Clarity to her. It met most of her requirements on paper - 55-60 mile EV range, PHEV, has a pretty nice interior, and you can get a great price for it - about $30-31k OTD in SoCal on...
by RetiredCSProf
Fri Aug 14, 2020 9:33 pm
Forum: Personal Consumer Issues
Topic: Car shopping PHEV / ICE / or all electric?
Replies: 114
Views: 8281

Re: Car shopping PHEV / ICE / or all electric?

I am female. As I mentioned, I share the car with my son. So, no gender bias. FWIW, the first car I ever purchased was a new Volvo 164, which I enjoyed driving. I chose the 330e over the Volvo XC60 for several reasons: 1) In So Cal, we often find ourselves parking in narrow spaces; the XC60 is three...
by RetiredCSProf
Fri Aug 14, 2020 6:55 pm
Forum: Personal Consumer Issues
Topic: Car shopping PHEV / ICE / or all electric?
Replies: 114
Views: 8281

Re: Car shopping PHEV / ICE / or all electric?

Yes, I purchased the newest model (G20) of the BMW 330e PHEV. I am able to get about 22 miles on a single charge, even while running the A/C. (Running on gas only, it gets 28 mpg.) The previous 330e model gave me 12 hybrid miles on a single charge, but only 6 miles with A/C. Lots of user-friendly up...
by RetiredCSProf
Mon Aug 10, 2020 1:05 pm
Forum: Personal Investments
Topic: Cash in portfolio
Replies: 9
Views: 829

Re: Cash in portfolio

I have been retired for several years. I generally exclude my "cash reserves" in calculating my AA. Otherwise, I would need to rebalance my investment portfolio every time I have a windfall or make a major purchase. OTOH, three year's worth of expenses in cash in retirement seems excessive to me, un...
by RetiredCSProf
Sun Aug 09, 2020 9:27 pm
Forum: Personal Investments
Topic: Organize fidelity brokerage account
Replies: 10
Views: 1014

Re: Organize fidelity brokerage account

My TRowe account has MF's only -- because that's what they offer. My Fido accounts (rIRA and Roth IRA) are a mix of ETFs, MFs, and MM. Trades between a non-Fido MF and a Fido MF is a two-step process; otherwise, no issues with mixing. Since Fido eliminated minimum balances in MFs and eliminated tran...
by RetiredCSProf
Wed Aug 05, 2020 6:52 pm
Forum: Personal Consumer Issues
Topic: Paying cash for a new car... should I let them run my credit?
Replies: 114
Views: 9332

Re: Paying cash for a new car... should I let them run my credit?

Do they take credit cards? I think this varies by region. I believe the max is $3k to $5k in my area (southern California) which is good for a deposit or down payment, but not enough to buy a new car obviously. Yes, I recently purchased a new car in SoCal. The maximum they would take on a c/c towar...
by RetiredCSProf
Mon Aug 03, 2020 10:39 pm
Forum: Personal Finance (Not Investing)
Topic: Leasing for someone who never leased a car
Replies: 33
Views: 2706

Re: Leasing for someone who never leased a car

About three years ago, I leased a car for the first time. The lease coincided with lifestyle changes that reduced my annual mileage from 8K to 5K (pre-Covid). I paid for 30K miles (10K per year), but drove the leased car only 13K miles. I liked the car well enough to consider a lease-buyout. The man...
by RetiredCSProf
Mon Aug 03, 2020 10:04 pm
Forum: Personal Finance (Not Investing)
Topic: 529 accounts, kids home due to covid, Room and Board
Replies: 28
Views: 2854

Re: 529 accounts, kids home due to covid, Room and Board

When a dependent student completes the FAFSA, they include a 529 plan owned by parent(s) as the parent's asset. When an independent student completes the FAFSA, parent's assets are omitted from the FAFSA form. Thus, for an independent student, the 529 plan is treated in the same way as a plan owned...
by RetiredCSProf
Mon Aug 03, 2020 4:46 pm
Forum: Personal Finance (Not Investing)
Topic: 529 accounts, kids home due to covid, Room and Board
Replies: 28
Views: 2854

Re: 529 accounts, kids home due to covid, Room and Board

Will this be income to OP? Broken Man 1999 Withdrawals from a 529 plan count as "income" to the beneficiary (student) if the student applies for financial aid the following year as an independent. For example, suppose that the student will turn 24 the following year and will continue as an undergra...
by RetiredCSProf
Mon Aug 03, 2020 4:23 pm
Forum: Personal Consumer Issues
Topic: Paying cash for a new car... should I let them run my credit?
Replies: 114
Views: 9332

Re: Paying cash for a new car... should I let them run my credit?

I recently purchased a new car. The manufacturer was offering a $2,000 rebate on the condition that I lease the car or finance a loan through their financial services. ... Read the loan contract for details on early payoff. It is a tactic used by some dealers to tell you that you have to make so ma...
by RetiredCSProf
Sun Aug 02, 2020 5:11 pm
Forum: Personal Finance (Not Investing)
Topic: 529 accounts, kids home due to covid, Room and Board
Replies: 28
Views: 2854

Re: 529 accounts, kids home due to covid, Room and Board

Will this be income to OP? Broken Man 1999 Withdrawals from a 529 plan count as "income" to the beneficiary (student) if the student applies for financial aid the following year as an independent. For example, suppose that the student will turn 24 the following year and will continue as an undergra...
by RetiredCSProf
Sat Aug 01, 2020 6:27 pm
Forum: Personal Finance (Not Investing)
Topic: 529 accounts, kids home due to covid, Room and Board
Replies: 28
Views: 2854

Re: 529 accounts, kids home due to covid, Room and Board

I am in this situation, but have chosen not to charge my son R&B out of his 529 fund. My son's school (public state university that is largely a commuter school) shows $8704 for R&B in the Cost of Attendance (COA) for commuter students and $13,156 for R&B for off-campus housing for the full academic...
by RetiredCSProf
Fri Jul 31, 2020 8:47 pm
Forum: Personal Consumer Issues
Topic: Paying cash for a new car... should I let them run my credit?
Replies: 114
Views: 9332

Re: Paying cash for a new car... should I let them run my credit?

I recently purchased a new car. The manufacturer was offering a $2,000 rebate on the condition that I lease the car or finance a loan through their financial services. One dealership told me that I would receive the rebate if I borrowed at least $10,000 on the vehicle and made at least 4 payments (t...
by RetiredCSProf
Thu Jul 30, 2020 11:15 pm
Forum: Personal Investments
Topic: Gifts to a minor: UTMA, 529, or parent held brokerage
Replies: 8
Views: 743

Re: Gifts to a minor: UTMA, 529, or parent held brokerage

When my son was young, I invested in all three. 1) UTMA savings account. My FA, at the time, recommended that I withdraw most of the savings in this account before filling out financial aid package for college -- having assets in student's account is more heavily weighed than assets in parent's acco...
by RetiredCSProf
Sun Jul 26, 2020 9:19 pm
Forum: Personal Consumer Issues
Topic: Buying a new or used piano - advice needed
Replies: 41
Views: 1926

Re: Buying a new or used piano - advice needed

I purchased a grand piano about four years ago. My son and I both play. My son's piano teacher recommended a piano warehouse about an hour's drive from our house. The teacher met us at the warehouse to help us choose. We narrowed our choice to three pianos: (1) A 1920's Steinway with a completely ne...
by RetiredCSProf
Sun Jul 26, 2020 5:32 pm
Forum: Personal Finance (Not Investing)
Topic: Grandparents help college funding
Replies: 15
Views: 1424

Re: Grandparents help college funding

My Mom funded my son's 529 fund. Parents can be designated as the owners of the 529, even when grandparents fund it. This is because it is a completed gift to the beneficiary. The only downside is that the 529 assets are included in parents' assets when the beneficiary (if a dependent) applies for s...
by RetiredCSProf
Sat Jul 25, 2020 4:37 pm
Forum: Personal Investments
Topic: Adding short term TIPS in 50:50 three fund Portfolio?
Replies: 8
Views: 804

Re: Adding short term TIPS in 50:50 three fund Portfolio?

About two years ago, TRowe recommended that I switch my short-term bond investment in Short-Term Bond (PRWBX) to Limited Duration TIPS (TRBFX). Both have an average duration of 1.87 years. At the same time, they recommended reducing from 10% to 7% invested in short-term bonds in a 60/40 retirement p...
by RetiredCSProf
Thu Jul 23, 2020 12:58 pm
Forum: Personal Investments
Topic: Tax implications of leaving assets in a 529 until death
Replies: 44
Views: 2493

Re: Tax implications of leaving assets in a 529 until death

I was puzzled by the warning as well. My son will have about a $60K balance in his 529 plan when he graduates from college next year. He's planning on grad school, but that is tentative. I've been thinking about changing the AA to be more aggressive, but now I'm wondering if that makes sense. Here's...
by RetiredCSProf
Thu Jul 23, 2020 8:38 am
Forum: Personal Investments
Topic: Tax implications of leaving assets in a 529 until death
Replies: 44
Views: 2493

Re: Tax implications of leaving assets in a 529 until death

Here's what it says in the Plan Description for the Vanguard 529 Plan that I own: "If the Beneficiary dies, you may select a new Beneficiary, authorize a payment to a beneficiary of the Beneficiary, or authorize a payment to the estate of the Beneficiary." "A payment to a beneficiary of the Benefici...
by RetiredCSProf
Wed Jul 22, 2020 10:49 pm
Forum: Personal Investments
Topic: Tax implications of leaving assets in a 529 until death
Replies: 44
Views: 2493

Re: Tax implications of leaving assets in a 529 until death

The owner can change the AA in the 529 fund only twice per calendar year (or upon changing the beneficiary). Including the 529 fund in your overall AA can be overly restrictive, unless you plan to rebalance your portfolio infrequently. To achieve the result suggested by mstrcvdstr : You can continue...
by RetiredCSProf
Wed Jul 22, 2020 7:53 pm
Forum: Personal Investments
Topic: Tax implications of leaving assets in a 529 until death
Replies: 44
Views: 2493

Re: Tax implications of leaving assets in a 529 until death

Found yet another useful link: https://www.foxnews.com/story/transferring-529-ownership-and-the-phantom-vacation-tax-deduction My takeaway: If you die while holding ownership of the account, and your daughter becomes the owner of the account (being the original beneficiary), she cannot use that mon...