Search found 856 matches

by Tyler Aspect
Thu Feb 22, 2018 12:40 am
Forum: Investing - Help with Personal Investments
Topic: Still lose with bonds even at duration
Replies: 13
Views: 1023

Re: Still lose with bonds even at duration

The original poster is not taking account of the bond fund's underlying bonds' net asset value climbing back toward par at maturity. I have in my taxable account a bit of US Treasury Bill that does not pay interests. I can see its net asset value dropping during the last few months as short term yie...
by Tyler Aspect
Wed Feb 21, 2018 12:45 pm
Forum: Personal Finance (Not Investing)
Topic: Home Refinancing Advice - First Home Buyer
Replies: 9
Views: 456

Re: Home Refinancing Advice - First Home Buyer

Bad things can happen when you invest with borrowed money. Go with 30 year fixed; these ARM loans can be a bear trap.
by Tyler Aspect
Wed Feb 21, 2018 12:14 pm
Forum: Personal Finance (Not Investing)
Topic: Need Help Understanding 2017 ACA Insurance Bill for $28,690 and tax liabilities? Confused? Help?
Replies: 70
Views: 2890

Re: Need Help Understanding 2017 ACA Insurance Bill for $28,690 and tax liabilities? Confused? Help?

No salaries paid from the rental business, only direct rent paid personally. Not looking good at all on that end :( Also have royalty income from our photography portfolio's from Getty, etc, etc. But it is not a salary. No looking good. There is a $14,000 annual gift allowance and I have 2 sons. Is...
by Tyler Aspect
Wed Feb 21, 2018 12:45 am
Forum: Investing - Help with Personal Investments
Topic: Employer Sponsored 401K Fund Question
Replies: 7
Views: 450

Re: Employer Sponsored 401K Fund Question

90% stock / 10% bond is very aggressive at age 35. The market had a great run, but perhaps it is time where it no longer makes sense to be very aggressive when constructing our portfolio for the first time. As the events of the previous few weeks demonstrate that the market can go down as well. I fe...
by Tyler Aspect
Wed Feb 21, 2018 12:22 am
Forum: Personal Finance (Not Investing)
Topic: Need Help Understanding 2017 ACA Insurance Bill for $28,690 and tax liabilities? Confused? Help?
Replies: 70
Views: 2890

Re: Need Help Understanding 2017 ACA Insurance Bill for $28,690 and tax liabilities? Confused? Help?

The ACA subsidy cutoff for a family of 2 in year 2017 was $64,960. This is a hard cut-off; if your MAGI is above it then you do not get any ACA premium subsidy at all.
by Tyler Aspect
Tue Feb 20, 2018 5:11 pm
Forum: Investing - Help with Personal Investments
Topic: What do Bogleheads think of Passive income through Dividend Stocks
Replies: 49
Views: 4557

Re: What do Bogleheads think of Passive income through Dividend Stocks

You can look at this historical performance comparison from year 2006 to 2009. The chart represents a four year period, so you can imagine year 2006 as the first year of college, and year 2009 as the fourth year of college. The performance comparison is between Vanguard Equity Income (dividend appro...
by Tyler Aspect
Tue Feb 20, 2018 1:00 pm
Forum: Investing - Help with Personal Investments
Topic: Recent retiree - where to invest today
Replies: 7
Views: 797

Re: Recent retiree - where to invest today

This is all very confusing. I retired last year and rolled my company stock over ($414,000) over into two vanguard tax deferred traditional ira funds (Wellesley admiral and 2015 retirement index fund). I did this in early July. Everything was fun through January of this year. I made $30,000 from my...
by Tyler Aspect
Tue Feb 20, 2018 2:11 am
Forum: Investing - Help with Personal Investments
Topic: Flexible Premium Deferred Annuities
Replies: 4
Views: 322

Re: Flexible Premium Deferred Annuities

a bad product in search of a new name to escape its bad reputation
by Tyler Aspect
Tue Feb 20, 2018 1:43 am
Forum: Investing - Help with Personal Investments
Topic: What do Bogleheads think of Passive income through Dividend Stocks
Replies: 49
Views: 4557

Re: What do Bogleheads think of Passive income through Dividend Stocks

Hopefully we can save the original poster from a very expensive learning experience of excessive yield chasing. There is a very basic observation that states when the yield is very high, then the principle value must be extremely unstable. Works for high yield bonds as well as high yield stocks.
by Tyler Aspect
Tue Feb 20, 2018 1:25 am
Forum: Investing - Help with Personal Investments
Topic: VAIPX/TIPS: To sell or not to sell
Replies: 14
Views: 875

Re: VAIPX/TIPS: To sell or not to sell

You can think the intermediate term TIPs fund as similar to an intermediate term Treasury fund, but with the added feature of insulating you from the negative effects of inflation. Over the long term you should expect return slightly lower compared to an intermediate term Treasury fund. Don't panic,...
by Tyler Aspect
Mon Feb 19, 2018 8:08 pm
Forum: Investing - Help with Personal Investments
Topic: Need Help with How to Invest Assets
Replies: 2
Views: 285

Re: Need Help with How to Invest Assets

It seemed that you have done well with your commercial properties, but there is a point where the values of your commercial properties outstrips the amount of your stock holding then you have a lot of risk in a single industry sector - the real estate sector. You might want to pay off some of the co...
by Tyler Aspect
Mon Feb 19, 2018 7:51 pm
Forum: Investing - Help with Personal Investments
Topic: What do Bogleheads think of Passive income through Dividend Stocks
Replies: 49
Views: 4557

Re: What do Bogleheads think of Passive income through Dividend Stocks

I am student who probably won't have time to work during school. I have enough to pay for tuition in cash. I don't want the rest of my money to just sit in a 2% CD during 4+ years of school and am looking for some passive income for living expenses during school. 4 years is not a long enough time p...
by Tyler Aspect
Sat Feb 17, 2018 10:52 pm
Forum: Investing - Theory, News & General
Topic: Bond Fund Distributions as Interest Rates Rise
Replies: 3
Views: 671

Re: Bond Fund Distributions as Interest Rates Rise

I feel the yield of the intermediate term bond index fund might go up next year. That is the extent of my guess.
by Tyler Aspect
Sat Feb 17, 2018 7:12 pm
Forum: Investing - Help with Personal Investments
Topic: New Job, New Accounts/Transfers, New Allocations
Replies: 2
Views: 244

Re: New Job, New Accounts/Transfers, New Allocations

You have a number of high interest loans outstanding. I would recommend immediately starting paying back the 401k loan. Defer Roth IRA contributions until student loan #3 and #4 are paid off. Stop accumulating any new debt, etc.
by Tyler Aspect
Sat Feb 17, 2018 12:56 pm
Forum: Investing - Help with Personal Investments
Topic: Where to invest money first? Employer SIMPLE-IRA or taxable account?
Replies: 8
Views: 390

Re: Where to invest money first? Employer SIMPLE-IRA or taxable account?

It appeared the least expensive options are the Equity Growth Fund (0.67%), and the Government Bond Fund (0.47%).
by Tyler Aspect
Fri Feb 16, 2018 1:56 pm
Forum: Investing - Help with Personal Investments
Topic: Stock vs Bond
Replies: 2
Views: 355

Re: Stock vs Bond

Stocks have variable return, while bonds over the long term have stable return. I have the plot of a period of historical performance for three sample portfolios (2004 - 2014). Portfolio 1 represents a typical young investor. Portfolio 2 represents a worker nearing retirement. Portfolio 3 represents...
by Tyler Aspect
Fri Feb 16, 2018 10:17 am
Forum: Investing - Help with Personal Investments
Topic: Which should I use short term corporate or longterm bond index money for roth IRA contribution
Replies: 7
Views: 533

Re: Which should I use short term corporate or longterm bond index money for roth IRA contribution

One more point. It is a good idea to turn off in your taxable accounts dividend and capital gains distribution reinvestment and have them go toward cash. Otherwise you could have an accidental wash sale situation when you try to realize a tax loss. Read up on wash sales in our Wiki. https://www.bogl...
by Tyler Aspect
Fri Feb 16, 2018 1:32 am
Forum: Investing - Help with Personal Investments
Topic: Which should I use short term corporate or longterm bond index money for roth IRA contribution
Replies: 7
Views: 533

Re: Which should I use short term corporate or longterm bond index money for roth IRA contribution

Hi folks, here is my dilemma. This may be our last Roth IRA contribution for retirement accounts. I have put my emergency money in short term corporate bond index which it lost around $300, while I also have total bond market index which it lost $800 in my brokerage accounts. Which of these I shoul...
by Tyler Aspect
Thu Feb 15, 2018 11:08 pm
Forum: Investing - Help with Personal Investments
Topic: Starting a new account
Replies: 6
Views: 498

Re: Starting a new account

I would like to start to build a new portfolio and I don’t know how to start. The most I can start with is $500 and who can I open an account with. Thank You Hi, this is an example $500 Three Funds portfolio at Fidelity. Assuming age 20 to age 30 or so. 4 shares ITOT (iShares S&P 1500 Index) $249.6...
by Tyler Aspect
Thu Feb 15, 2018 10:52 pm
Forum: Investing - Help with Personal Investments
Topic: Selecting Bonds
Replies: 3
Views: 514

Re: Selecting Bonds

A short term bond fund typically has duration of 3 years. An intermediate term bond fund typically has duration of 7 years. A long term bond fund might have a duration of 20 years. A bond fund's duration indirectly determines for how long you should own the bond fund without much selling. After a yi...
by Tyler Aspect
Thu Feb 15, 2018 10:42 pm
Forum: Investing - Help with Personal Investments
Topic: Exchanging SEP balances Vanguard to Vanguard
Replies: 1
Views: 134

Re: Exchanging SEP balances Vanguard to Vanguard

Hello all, I'm sure I'm not the only person hitting 50 and realizing he's way too heavy in stocks in retirement accounts. Is there anything I should be concerned about in exchanging a Target 2035 retirement (SEP) balance in-full to a new Target 2025 retirement (SEP) account? Sum approx 800K. Thanks...
by Tyler Aspect
Thu Feb 15, 2018 7:32 pm
Forum: Investing - Help with Personal Investments
Topic: Disabled and need Investment Advice
Replies: 10
Views: 823

Re: Disabled and need Investment Advice

I am thinking that a CD ladder might not be suitable for you. The nature of health expense for operations are highly variable. The cost of selling brokered CDs or the early withdraw penalty should be considered. For your IRA I am thinking about a composition that is half in Short Term Bond Index, an...
by Tyler Aspect
Thu Feb 15, 2018 12:13 pm
Forum: Investing - Theory, News & General
Topic: Quick question how to use cape10 to estimate returns
Replies: 9
Views: 541

Re: Quick question how to use cape10 to estimate returns

I have been investing for more than 25 years, and I know enough to not even try predicting what my stock return is going to be next year. I will just say that future returns are inherently murky because it is in the future! PE10 is mostly about historical records - not even good enough for a current...
by Tyler Aspect
Thu Feb 15, 2018 11:42 am
Forum: Investing - Help with Personal Investments
Topic: Detailed finance background with rebalancing questions
Replies: 4
Views: 511

Re: Detailed finance background with rebalancing questions

Tyler Aspect - thank you very much for the insight. I have a question from your post though "Since you are a high income earner you have sizable taxable accounts. Your 401k account might eventually become full of bonds. Then you are forced to buy IBonds, and municipal bond funds in the taxable acco...
by Tyler Aspect
Wed Feb 14, 2018 9:30 pm
Forum: Investing - Theory, News & General
Topic: Short Term Tax Free Bond ETF
Replies: 9
Views: 758

Re: Short Term Tax Free Bond ETF

I am not going to recommend an ETF, but rather the good old US Treasury Notes on the secondary market. US Treasury Notes are very liquid, and decreasing maturity is nice for cash parking instruments.
by Tyler Aspect
Wed Feb 14, 2018 12:51 pm
Forum: Investing - Help with Personal Investments
Topic: Need Help With a SEP-IRA
Replies: 3
Views: 183

Re: Need Help With a SEP-IRA

If you want a detailed answer you should post using the format of the "Asking Portfolio Questions" sticky topic.

How about taking a look at Vanguard Balanced Index? Vanguard Target Retirement funds are often quite aggressive for young investors; Balanced Index would counter-act that to some extent.
by Tyler Aspect
Wed Feb 14, 2018 1:43 am
Forum: Investing - Help with Personal Investments
Topic: Detailed finance background with rebalancing questions
Replies: 4
Views: 511

Re: Detailed finance background with rebalancing questions

Age: 26 Double job. 114,400 and 96,600 (base pay - no holiday,overtime, etc) As of now, my risk tolerance is very high so most of my money is in FSTVX. I plan to have a 3 fund portfolio based on my research with 85% Total market, 10% total international, and 5% US bonds. Will rebalance annually as ...
by Tyler Aspect
Wed Feb 14, 2018 12:50 am
Forum: Investing - Help with Personal Investments
Topic: Newbie / Vanguard initial investment
Replies: 7
Views: 583

Re: Newbie / Vanguard initial investment

Welcome to Bogleheads. 60% stock / 40% bond is a suitable allocation figure for someone who is about 10 years away from retirement. Your selection of the Balanced Index would help you automatically balance your portfolio. Since you would still have other investments, you may still need to do some ad...
by Tyler Aspect
Tue Feb 13, 2018 9:03 pm
Forum: Investing - Help with Personal Investments
Topic: Help Choosing Bond Fund for 403(b)
Replies: 2
Views: 175

Re: Help Choosing Bond Fund for 403(b)

Guidestone Medium-Duration Bond would be the closest one to total bond market.

Beside the options you mentioned, there is also the possibility of IBonds to hold bond investments.
by Tyler Aspect
Tue Feb 13, 2018 4:59 pm
Forum: Investing - Help with Personal Investments
Topic: Continue to invest in Fid total bond (FTBFX) or 3 month CDs
Replies: 6
Views: 689

Re: Continue to invest in Fid total bond (FTBFX) or 3 month CDs

I opened a large position in Fidelity Total Bond Fund (FTBFX) in March of 2017 in my protected account. Along with dividend reinvest I have added 6 more purchases throughout the last year. Despite dividend reinvestment and continuing to add to the fund I am currently with a loss in this position. I...
by Tyler Aspect
Tue Feb 13, 2018 3:34 pm
Forum: Investing - Help with Personal Investments
Topic: Canadian Student, total Newbie. Please could you give me some feedback?
Replies: 2
Views: 129

Re: Canadian Student, total Newbie. Please could you give me some feedback?

TFSA: For US and international stocks there are unavoidable dividend with-holding taxes. Maybe you want to stick with Canadian equity and Canadian bond ETF in the TFSA account. RRSP: US equity dividends and capital gains are tax-deferred until withdrawal, but only if held in a US based ETF such as V...
by Tyler Aspect
Tue Feb 13, 2018 2:59 pm
Forum: Investing - Help with Personal Investments
Topic: Tax loss harvesting MUB
Replies: 11
Views: 922

Re: Tax loss harvesting MUB

Due to the recent market drop, I am down several thousands of dollars on my MUB (ishare MUNI bond ETF). I would like to do some tax loss harvesting. What is a reasonable alternative to MUB? Can I sell all my MUB and buy VTEB? Thanks VTEB and MUB tracks the same index: S&P National AMT-Free Municipa...
by Tyler Aspect
Tue Feb 13, 2018 11:45 am
Forum: Investing - Help with Personal Investments
Topic: Please Review portfolio
Replies: 4
Views: 371

Re: Please Review portfolio

Welcome to Bogleheads. You have $243k of rental property mortgages at around 4.8% interest. The best usage of taxable money is to pay off the rental mortgage, with a guaranteed rate of 4.8% return. Your rental property mortgage also represents as negative bonds, so that as the entire portfolio goes ...
by Tyler Aspect
Mon Feb 12, 2018 11:49 pm
Forum: Investing - Help with Personal Investments
Topic: Tax loss harvesting MUB
Replies: 11
Views: 922

Re: Tax loss harvesting MUB

I would buy a secondary market Treasury Bill or Note that matures in a bit longer than one month. When it matures then buy back MUB.

(added link)
https://www.bogleheads.org/wiki/Wash_sale
by Tyler Aspect
Mon Feb 12, 2018 11:40 pm
Forum: Investing - Help with Personal Investments
Topic: Help me NOT pay for a financial planner!
Replies: 15
Views: 1759

Re: Help me NOT pay for a financial planner!

Hmm, what do you think would happen if you phone in to cancel the meeting? Just tell your wife that you prefer unbiased anonymous advice from Bogleheads. That advice from people paid with asset under management fees cannot be trusted.
by Tyler Aspect
Mon Feb 12, 2018 11:23 pm
Forum: Investing - Help with Personal Investments
Topic: realized startup equity / schwab private client
Replies: 15
Views: 785

Re: realized startup equity / schwab private client

Well, did you think a Schwab check on your portfolio was going to result in their approval of what you were doing before? Their goal was to recruit you into their managed service. They are very good at what they do. These free portfolio checks are never free. Somehow you got into a mental frame that...
by Tyler Aspect
Mon Feb 12, 2018 10:46 pm
Forum: Investing - Theory, News & General
Topic: Day trading for a living/career?
Replies: 95
Views: 6617

Re: Day trading for a living/career?

The expected return of repeated trading is negative. Whenever you buy or sell these are always the counter-party on the other side. Fairness would dictate an even outcome between you and the counter-party over a long series of trades. Now adding the cost of trading such as the spread and commission ...
by Tyler Aspect
Mon Feb 12, 2018 5:01 pm
Forum: Investing - Help with Personal Investments
Topic: Is it stupid of me to comprise almost all of my portfolio with high dividend funds/etfs?
Replies: 16
Views: 971

Re: Is it stupid of me to comprise almost all of my portfolio with high dividend funds/etfs?

Some of us cautioned you not to fall into the trap of dividend stocks, but you still did. The obsession with income instruments have destroyed many people's portfolios. There are some very good reasons why the Three Fund portfolio is the standard recommendation of Bogleheads. Mistakes in the taxable...
by Tyler Aspect
Mon Feb 12, 2018 1:14 pm
Forum: Investing - Help with Personal Investments
Topic: Help me NOT pay for a financial planner!
Replies: 15
Views: 1759

Re: Help me NOT pay for a financial planner!

You are already in a good place. If your wife wanted to have more take home pay it should be OK to reduce yearly tax deferred contribution from $18.5k to $13k or so.
by Tyler Aspect
Mon Feb 12, 2018 1:01 pm
Forum: Investing - Help with Personal Investments
Topic: Investment Strategy
Replies: 15
Views: 997

Re: Investment Strategy

I mean CAPE ratio has to drop to history now before I think it is a buy. Otherwise, you are gambling. We had QE and low interest during the last couple of boom years. Now they are gone or about to go. What to support these CAPE. Wage increase (inflation) is showing. Borrowing cost is going up. Agin...
by Tyler Aspect
Mon Feb 12, 2018 1:58 am
Forum: Investing - Help with Personal Investments
Topic: Wunder Capital - solar lending as an investment - Thoughts?
Replies: 3
Views: 316

Re: Wunder Capital - solar lending as an investment - Thoughts?

This is just one of the many high yield instruments that will separate your money from you eventually. When the yield is very high then you know the principle value is extremely unstable. There is no free lunch. :shock:
by Tyler Aspect
Mon Feb 12, 2018 1:40 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard advice--I'm confused
Replies: 30
Views: 3677

Re: Vanguard advice--I'm confused

You can look at Vanguard Total Bond Market's historical performance. It has never lost more than 3% of its value in any one year. However, past result does not indicate future performance... https://www.portfoliovisualizer.com/backtest-portfolio?s=y&s=y&timePeriod=4&startYear=1985&firstMonth=1&endYe...
by Tyler Aspect
Mon Feb 12, 2018 12:15 am
Forum: Investing - Help with Personal Investments
Topic: Portfolio Review
Replies: 10
Views: 790

Re: Portfolio Review

401k bond options are poor, which is a common problem. You just have to continue to buy IBonds. Fill HSA and Roth IRA accounts with bond index funds.
by Tyler Aspect
Sun Feb 11, 2018 11:46 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard advice--I'm confused
Replies: 30
Views: 3677

Re: Vanguard advice--I'm confused

Welcome to Bogleheads. Vanguard offers to help with asset allocation and fund selection. I asked for help with my retirement fund and also have an additional $400,000 in cash I'd like to invest. My question is 1)it seems a little complicated and Yes it does. Unfortunately it is par for the course. A...
by Tyler Aspect
Sun Feb 11, 2018 11:05 pm
Forum: Investing - Help with Personal Investments
Topic: Portfolio Review
Replies: 10
Views: 790

Re: Portfolio Review

You have $20k credit card debt. That should be the first priority right now. I would even sell stock in the taxable account to pay them off. Real-estate investment recommendation might have come from looking at their historical returns. The US market has discounted real-estate's future prospects. Th...
by Tyler Aspect
Sun Feb 11, 2018 10:36 pm
Forum: Investing - Theory, News & General
Topic: proper # of holdings in an income portfolio
Replies: 10
Views: 855

Re: proper # of holdings in an income portfolio

The emphasis of income producing investment for retirement is mostly not recommended. If pushed to the extreme, the chasing of high yield investments can wipe out your entire portfolio in a single recession. The modern approach is to use broad stock indexes and investment grade bond indexes to build...
by Tyler Aspect
Sun Feb 11, 2018 1:41 pm
Forum: Investing - Help with Personal Investments
Topic: Is Rental Property/Income Same as Bonds
Replies: 38
Views: 1999

Re: Is Rental Property/Income Same as Bonds

Commercial Real-Estates are Sector Stocks Commercial Real-Estates are generally considered similar to stocks. Vanguard classifies them as sector stocks. I have included their web page image below. I don't think so. REITS, such as what you posted, offer equity like risk and return. Directly held rea...
by Tyler Aspect
Sat Feb 10, 2018 10:46 pm
Forum: Investing - Theory, News & General
Topic: A glidepath formula
Replies: 15
Views: 1780

Re: A glidepath formula

This is the one that I usually post.



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