Bogleheads.org

av8r316

Today’s milestone is in the fund world: The Vanguard Total Stock Market Index fund (VTSMX) has become the first fund, ever, with more than $1 trillion in assets under management. https://www.marketwatch.com/articles/stocks-are-down-but-this-fund-is-upvanguard-now-has-the-first-trillion-dollar-fund-...

av8r316

This is almost certainly from the underperformance of international over the last 10 years. None of your other Visualizer portfolios holds international. Either one believes that international offers diversification or one doesn’t. I don’t disagree. OP asked for a Wellesley clone. Wellesley is prim...

av8r316

nisiprius wrote: ↑Sun Aug 16, 2020 3:15 pm I don't see any compelling reason not to just go ahead and use Wellesley.

If one has their HSA at Fidelity and would like Wellesley, it can only be had for $75 per purchase.

av8r316

I’ve done research on the topic and knew that LifeStrategy Conservative Growth (VSCGX) has historically underperformed Wellesley. This is almost certainly from the underperformance of international over the last 10 years. None of your other Visualizer portfolios holds international. Either one beli...

av8r316

I’ve done research on the topic and knew that LifeStrategy Conservative Growth (VSCGX) has historically underperformed Wellesley. This is almost certainly from the underperformance of international over the last 10 years. None of your other Visualizer portfolios holds international. Either one beli...

av8r316

LifeStrategy Conservative Growth (VSCGX) is also 40/60. This is almost certainly the correct answer. Historically there have been better fits: https://www.portfoliovisualizer.com/backtest-portfolio?s=y&timePeriod=4&startYear=1985&firstMonth=1&endYear=2020&lastMonth=12&calend...

av8r316

LifeStrategy Conservative Growth (VSCGX) is also 40/60. This is almost certainly the correct answer. Historically there have been better fits: https://www.portfoliovisualizer.com/backtest-portfolio?s=y&timePeriod=4&startYear=1985&firstMonth=1&endYear=2020&lastMonth=12&calend...

av8r316

40% VIG (Dividend Appreciation ETF)
60% VBIIX / BIV (Intermediate-Term Bond Investor / ETF)

viewtopic.php?t=294034#p5424762

av8r316

For anybody looking to replicate Wellesley at Fidelity or elsewhere, and total return is more important than income, VIG (Dividend Appreciation ETF) has been a better equity proxy than VYM (High Dividend Yield ETF). Backtesting 40% VIG (Dividend Appreciation ETF) 60% VBIIX / BIV (Intermediate-Term B...

av8r316

Buy low sell a little higher. I recently saw a post of someone making incremental gains on a particular stock buy simply riding the wave. In this crazy time stocks (even VTI for that matter) are fluctuating from week to week. If you can make small profits, say increments of $5/share by simply placi...

av8r316

Therefore, some will receive a check in 2020 and need to pay it back in 2021 That's incorrect. No one has to pay back anything. So if I don't owe any taxes in 2020 I get to keep what I've already been paid? Sounds like the answer is "yes". In short, assuming Kitces is correct, any rebate ...

av8r316

Therefore, some will receive a check in 2020 and need to pay it back in 2021 That's incorrect. No one has to pay back anything. So if I don't owe any taxes in 2020 I get to keep what I've already been paid? Sounds like the answer is "yes". In short, assuming Kitces is correct, any rebate ...

av8r316

Therefore, some will receive a check in 2020 and need to pay it back in 2021 That's incorrect. No one has to pay back anything. Are you able to provide a source and/or direct us to the page in the bill? Admittedly, I haven’t seen anything on point, and presumed that an advance means you have to pay...

av8r316

Therefore, some will receive a check in 2020 and need to pay it back in 2021 That's incorrect. No one has to pay back anything. Are you able to provide a source and/or direct us to the page in the bill? Admittedly, I haven’t seen anything on point, and presumed that an advance means you have to pay...

av8r316

or is there some provision in the bill that would somehow or other fix the discrepancy when I file my 2020 taxes in 2021? This money is an advance on the 2020 tax credit. So you may be able to qualify based on your 2020 AGI when you file 2020’s taxes. That’s my understanding as well based on some s...

av8r316

babyvinny wrote: ↑Thu Apr 02, 2020 5:27 pm I understand the company may go under in a few months.

Consider whether or not you think the company will have the money to pay your PTO in the future.

av8r316

I believe shares that a company buys back may or may not be "retired." If not retired, there are still the same number of shares with some being owned (at market value) by the company. The company may choose to re-issue them in the future (sell them on the open market?) or it may (for exa...

av8r316

Take a look at JPMorgan Ultra-Short Income ETF (JPST) as well.

av8r316

fareastwarriors wrote: ↑Thu Jun 13, 2019 12:48 pm Read Jamie Dimon's letters.

+1

For the same reason you should read the letter, you should buy a share of JPM, which has the benefit of receiving it automatically.

av8r316

Thanks rkhusky, and you make a good point. The longest fixed period I can find is 5 years, but that's at a higher rate (around 4 - 4.1%), which is why I'm leaning toward a 3 year fix. I'm not aware of any Australian lenders offering a fixed rate for the entire term, although I'd love that kind of c...

av8r316

I came across this concept years ago, but to my knowledge, no major lender in the US offers this product. I attempted to simulate a mortgage offset back when HELOC rates were low by doing a cash-in refinance with extra savings I still wanted liquid, knowing I could re-access via a HELOC draw. As rkh...

av8r316

I imagine AMEX is required to take into account all outstanding credit lines when calculating various financial ratios. Stakeholders in AMEX should be encouraged to see them working to allocate capital efficiently.

av8r316

Leasing is a win for the manufacturers and dealers if they convince you to buy more expensive cars and/or more frequently. Leasing can be a win for the customer if they understand and exploit the structure and terms of a lease. IF you are disciplined enough to NOT change your behavior (e.g. not get ...

av8r316

If your payroll provider collected the income, FICA, and FUTA taxes from you and remitted them to the IRS on your behalf, then I think you would add this amount to your estimated payments. The software should calculate and add the additional Schedule H tax, which should be offset by the additional e...

av8r316

I think the analysis may be no different for schools than it is for stocks. Good macro and micro fundamentals lead to good performance. A stock doesn’t perform any differently if it is in a taxable or tax advantaged account, and a child likely won’t perform any differently simply because they are in...

av8r316

If you have or expect to have earned income of at least $1,000 in 2018, I’d recommend opening a Roth IRA at Vanguard and purchasing $1,000 of a Target Retirement Fund (e.g. Vanguard Target Retirement 2065 Fund (VLXVX)). Assuming your future cash available to invest comes from your earned income, you...

av8r316

It’s also possible that the lender subsidized all the interest on the first mortgage as an incentive for you to open the HELOC. Not a bad business decision if they feel good about the loans and structured it in such a way that they believed they’d have an opportunity to earn more interest in total.

av8r316

It’s possible the lender temporarily waived interest payments as an incentive to open the HELOC. This does not mean that the interest did not still accrue , in which case it would still be owed and payable either over time or all at once. Lenders track principal and interest balances separately, and...

av8r316

Okay, here's a direct look at the holdings of Vanguard Small-Cap Value (VBR) and iShares S&P Small-Cap 600 Value (IJS) according to Morningstar. https://i.imgur.com/qpN3qc7.png?1 Market cap and price/book data are from Yahoo! Finance. I used the price/book ratio for the x axis this time because...

av8r316

What benefit does Vanguard get from doing this? VTSAX is an overall better investment than VFIAX, but I seriously doubt they did this purely in the best interest of their employees It seems to be part of the general shift away from S&P indices. Vanguard does have hidden S&P Mid 400 and Smal...

av8r316

duplicate

av8r316

This is basically Occam's Razor, a principle to which I assume many BH subscribe.

Add: I see I was beat to it by book lover

av8r316

Check and see if your 529 plan allows a 5-year contribution. Colorado's plan states: As an individual, you can make a lump sum contribution up to $75,000 (5-years at $15,000 for each year) to get the immediate benefit of five years’ worth of gift tax exclusions. For each and as many Beneficiaries a...

av8r316

I totally agree. I think some of the conventional wisdom about leasing may not apply as broadly as I thought. I had essentially ignored it as foolish, but when I ran some numbers it seems that it could be best if the price is right. I did the same and arrived at the same conclusion. The “Money Fact...

av8r316

In this scenario, where is the Fed getting the money to begin with? The treasury has to first 'borrow' the money before the bank/Fed can create it... so the debt owed by the treasury would go up by the amount the treasury is borrowing. :confused It’s actually the other way around. The Fed can liter...

av8r316

If you reinvest dividends in a mutual fund, the fund has to purchase the underlying assets, and there will be a spread there, too. I don't think there's much of a difference. One you see very plainly, the other you don't. I may ignorant but aren't mutual funds ought and sold at a single price at en...

av8r316

I have no experience with this site, but you may wish to take a look at stockpile.com. From what I can tell, you buy a gift card redeemable for whichever equity you select, and then the recipient creates an account and redeems the card for that equity. It appears that you can buy a generic card, or ...

av8r316

Thanks to all for your help. I think I have found the answer and that is I can rename the beneficiary from myself to my son without tax consequences or considering it a gift . Per 2016 IRS publication 970 "Changing the Designated Beneficiary There are no income tax consequences if the designat...

av8r316

In addition to shifting income from a lower generation to a higher generation, you'd also have a lower basis in your house for purposes of deductions or gains.

av8r316

I'm also invested in the Bright Start 529 Savings Plan, and although I've had similar thoughts, my conclusion is that these assets are safe. Absent an unlikely change to the Illinois Constitution, I don't believe Illinois or a bankruptcy court (under future federal law and absent a change to the US ...

av8r316

I do not think a 529 would work, because a 529 would typically be in your name (with child as beneficiary). I can't speak for every 529, but I do know that many do allow for a UTMA/UGMA owned account, in which the minor is the only permitted beneficiary. I imagine, but cannot say with certainty, th...

av8r316

So even if you completely ignore the higher return you get by paying off the loan relative to a comparable risk-free rate, the penalty of losing the tax-free space for 30 years is relatively small--certainly an order of magnitude less than the exaggerated examples in some of the replies. Kevin I ag...

av8r316

I've read that if you only have to delay funding the roth a year or two it's not much of a concern, so I was curious how much in actual numbers I would be missing out on if I delayed the Roth for one year to pay off my car. I'm trying to separate the emotional high of getting the car paid off vs st...

av8r316

If you can do both, do both. Also know that you can withdraw your Roth IRA contributions (but not earnings) tax/penalty-free, so if doing both will deplete your cash reserves below your comfort level, you could make the contribution, leave it in a MMF or short-term bond fund, and take it back out if...

av8r316

Given the choice, since IRA contributions are use-it-or-lose-it, I would personally make the (Roth) IRA contribution without even giving it much thought. At 4%, a $5,500 contribution today would be over $20,000 when you're 65. You can Google for various calculators to find tabular and graphical mode...

av8r316

Will Tdameritrade ever convert that option into SPY, or must I cover that option and buy SPY? Assuming SPY stays under 239 through Friday, this will almost certainly be automatically exercised on Friday, but could be exercised anytime between now and expiration. Technically, a holder may choose not...

av8r316

Why would you only be able to get 500k if it's worth 850k? I agree that it's weird - when I was talking to the rep of the firm, he was saying the the property value went up significantly, but for me to cash out, I would need to sell my share to the willing buyer who would probably pay ~400k. That s...

av8r316

I called Vanguard yesterday, and was told that a buy order for Vanguard Funds could be denominated in shares, but only as an additional purchase. Not seeing an option to buy additional "shares" in a Fund, I called back today, and after a brief hold, was told that the information I received...

av8r316

I think I know what you are trying to do and it would be nice to be able to say that $x were purchased on the DOB but if you told a little white lie and were off by a few dollars would any harm be done? I don't think the message you will be trying to send will be diminished. :twisted: This is Bogle...

av8r316

Just for my own curiosity, because you say clearly that you don't want the ETF, why not? Why not buy VTI? I know it's splitting hairs, but I'd like the total return to be as accurate as possible, and I view the MF shares as a bit more pure (no spreads or premiums/discounts). If VTI doesn't go back ...

Search found 55 matches