Search found 777 matches

by welderwannabe
Sat Oct 13, 2018 3:11 pm
Forum: Investing - Theory, News & General
Topic: Short Term Bond yield over 3%
Replies: 74
Views: 10339

Re: Short Term Bond yield over 3%

I personally wouldn't use a fund to pay next year's bills if I wanted certainty in the nominal return over the period until the bills are due. I would use individual Treasuries that matured when the bills were due. +1 This is exactly what I did earlier this year. I know I was going to have a large ...
by welderwannabe
Sat Oct 13, 2018 3:01 pm
Forum: Investing - Help with Personal Investments
Topic: Idiotic questions from NEWB- please help
Replies: 14
Views: 1368

Re: Idiotic questions from NEWB- please help

1. How many of you do the individual stock and index fund thing? I hold a couple, but not many. I only hold ones that do something for me, and just the bare minimum to get the perk. For example Royal Caribbean and Carnival stock both entitles you to extra shipboard credit when onboard. I usually ge...
by welderwannabe
Sat Oct 13, 2018 2:48 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Federal Money Market compared to Prime Money Market
Replies: 19
Views: 2092

Re: Vanguard Federal Money Market compared to Prime Money Market

That is what makes Federal Money Market unique. It is considered "safe" enough by the regulators to be used as a Settlement Account, but it is not implementing the gates and fees model. I am reminded now, that at the time of the SEC rules, Vanguard's argument was that the costs of running those gat...
by welderwannabe
Sat Oct 13, 2018 5:37 am
Forum: Personal Consumer Issues
Topic: What would you do with some bulk silver?
Replies: 41
Views: 2478

Re: What would you do with some bulk silver?

I have heard that APMEX will give a quote on the phone, but then when they receive the metal will call you with some excuse about how it’s damaged and they can’t give you as much, and you can either pay for postage to get it back or take the reduced amount. Even the slightly reduced rate will still...
by welderwannabe
Fri Oct 12, 2018 7:31 am
Forum: Investing - Help with Personal Investments
Topic: 6 month Treasury Note: "Bond" or "Cash"?
Replies: 47
Views: 3607

Re: 6 month Treasury Note: "Bond" or "Cash"?

I hold all my notes and bills to maturity...with some rare exceptions.

I consider all my bills cash. My notes I consider cash once their maturity date closes to 1 year or less.
by welderwannabe
Tue Oct 09, 2018 3:46 pm
Forum: Investing - Help with Personal Investments
Topic: Tax-effective yields for various MM Funds
Replies: 16
Views: 1177

Re: Tax-effective yields for various MM Funds

CalculatedRisk wrote:
Tue Oct 09, 2018 12:29 am
2. Given that VMSXX is a little risky, does VUSXX have any downsides?
Not sure I agree with this premise. It is not risk-less, but it is pretty close.
by welderwannabe
Mon Oct 08, 2018 9:53 am
Forum: Investing - Help with Personal Investments
Topic: Investing in total bond funds now?
Replies: 8
Views: 1762

Re: Investing in total bond funds now?

livesoft wrote:
Mon Oct 08, 2018 8:13 am
It's nice when everything works as expected.
Nice to lose money in an orderly and predictable fashion :)
by welderwannabe
Mon Oct 08, 2018 9:51 am
Forum: Investing - Help with Personal Investments
Topic: Switch to Ally or just Keep more in Vanguard Federal Money Market Fund
Replies: 21
Views: 2863

Re: Switch to Ally or just Keep more in Vanguard Federal Money Market Fund

Been with Ally since before it was called Ally. An excellent banking experience for me. Only a couple of minor snags over the course of a decade or so, both of which were easily and quickly resolved by their customer service. They used to always lead the pack of online savings accounts with-respect...
by welderwannabe
Mon Oct 08, 2018 7:18 am
Forum: Investing - Help with Personal Investments
Topic: Switch to Ally or just Keep more in Vanguard Federal Money Market Fund
Replies: 21
Views: 2863

Re: Switch to Ally or just Keep more in Vanguard Federal Money Market Fund

Vanguard Federal MM could be up to 70% state tax exempt. Ally is 0% exempt. You may want to factor that into your decision process as well.
by welderwannabe
Fri Oct 05, 2018 2:54 pm
Forum: Investing - Help with Personal Investments
Topic: My apathetic sister's rollover IRA Money Market
Replies: 12
Views: 1037

Re: My apathetic sister's rollover IRA Money Market

Wow ok, I guess you guys are right. I just figured i could do that one thing to get the snowball started and show her, but yes I see your point. Thanks all. Hopefully, some day she will take her retirement seriously and reach out. Then it is a different story. I also like the book idea. It might en...
by welderwannabe
Wed Oct 03, 2018 10:31 am
Forum: Investing - Help with Personal Investments
Topic: Long or medium bonds
Replies: 88
Views: 5609

Re: Long or medium bonds

I generally like intermediate term treasuries and short term corporates. A 50/50 mix. Just what I do.
by welderwannabe
Tue Oct 02, 2018 9:46 am
Forum: Investing - Help with Personal Investments
Topic: Feeling wobbly
Replies: 14
Views: 1459

Re: Feeling wobbly

Do you need this money to live or is this portfolio being setup for inheritance purposes? If you need the money then I like it right where it is. I would suggest 40%-60% equities for a retiree who needs the $$$. You are already at the upper end of that. I wouldn't bump it to 70% equities. Increasing...
by welderwannabe
Sun Sep 30, 2018 6:15 pm
Forum: Personal Consumer Issues
Topic: How to tell contractor you don't plan to pay him. [Roofing]
Replies: 65
Views: 5976

Re: How to tell contractor you don't plan to pay him.

Shingling over wet underlayment isn't ideal, but it isn't the end of the world either. It can take the water a while to evaporate trapped under shingles and that is the concern. I wouldn't do it with standing water on the roof, but I wouldn't sweat a damp roof because it rained earlier in the mornin...
by welderwannabe
Sun Sep 30, 2018 6:07 pm
Forum: Investing - Help with Personal Investments
Topic: Fidelity Money Market Funds for everyday expenses
Replies: 35
Views: 6411

Re: Fidelity Money Market Funds for everyday expenses

In the brokerage does it automatically draw from a money market you buy or do you have to set it up it do that? A money market that is not the core fund is what I a speaking of? Yes. All money market funds in your brokerage account show up as cash available to trade and cash available for withdrawa...
by welderwannabe
Sun Sep 30, 2018 11:06 am
Forum: Investing - Help with Personal Investments
Topic: ST bond funds
Replies: 8
Views: 1103

Re: ST bond funds

jebmke wrote:
Sat Sep 29, 2018 11:56 pm
I would look at either a short term treasury fund or buy Treasury notes around 2 year duration.
+1

Put it in Vanguard Short-Term Treasury Index Fund Admiral Shares (VSBSX) and don't look back.
by welderwannabe
Sun Sep 30, 2018 7:19 am
Forum: Investing - Help with Personal Investments
Topic: Do Bonds Go in Taxable?
Replies: 70
Views: 6100

Re: Do Bonds Go in Taxable?

Note that Treasuries get a state tax deduction in most (all?) states. I am surprised when I see people reccomend a 1-year CD at a lower yield that a 1-year treasury, but logistics of setting up the CD may make the decision make sense. (I prefer the liquidity of treasuries). All states. Also must re...
by welderwannabe
Sat Sep 29, 2018 8:48 am
Forum: Investing - Help with Personal Investments
Topic: Is keeping your investment in a mutual fund above the minimum initial investment required?
Replies: 6
Views: 572

Re: Is keeping your investment in a mutual fund above the minimum initial investment required?

In addition to the safety, this fund is 100% state income tax free since it invests solely in Treasuries. That can make its yield at or near that of Prime money market depending on your state income tax situation.
by welderwannabe
Thu Sep 27, 2018 6:13 pm
Forum: Investing - Help with Personal Investments
Topic: 2-3 Year Savings
Replies: 8
Views: 1296

Re: 2-3 Year Savings

Treasury Bills can work too...especially with state income tax factored in (if applicable).
by welderwannabe
Tue Sep 25, 2018 8:37 am
Forum: Investing - Help with Personal Investments
Topic: Ally Savings vs Vanguard Prime Money Market Fund - Need Advice
Replies: 77
Views: 10130

Re: Ally Savings vs Vanguard Prime Money Market Fund - Need Advice

Fair enough. Right now brokerages are “meeting or beating” TD on many fronts and that’s all to the good. Still, points go to Treasury Direct for initiating commission-free trading of treasury securities long ago; the brokerages used to charge a steep commission, much higher than for a stock trade. ...
by welderwannabe
Mon Sep 24, 2018 9:42 am
Forum: Investing - Help with Personal Investments
Topic: Ally Savings vs Vanguard Prime Money Market Fund - Need Advice
Replies: 77
Views: 10130

Re: Ally Savings vs Vanguard Prime Money Market Fund - Need Advice

Phineas J. Whoopee wrote:
Mon Sep 24, 2018 9:41 am
Apart from size restrictions (only $100 multiples at TD) I see no advantage in buying bills at TD rather than in one's brokerage account as long as it offers no-commission Treasury trades at primary auction and maturity, including rolling them over if desired.
+1
by welderwannabe
Mon Sep 24, 2018 7:03 am
Forum: Investing - Help with Personal Investments
Topic: How to set up direct deposit to Vanguard Prime Money Market?
Replies: 29
Views: 3277

Re: How to set up direct deposit to Vanguard Prime Money Market?

Interesting. How does this work? Do you get to specify that a certain MMF can be used to settle trades? Is the redemption from the MMF done automatically to settle trades? I know Vanguard lets you specify an alternate redemption fund to pay for checks written. It just works. The core fund and all m...
by welderwannabe
Sun Sep 23, 2018 8:24 pm
Forum: Investing - Theory, News & General
Topic: Difference between VUSUX & VLGSX?
Replies: 2
Views: 246

Re: Difference between VUSUX & VLGSX?

VUSUX is an actively managed fund. VLGSX is an index fund and it used to be called something else...like long term government fund or something if I remember. I would use VLGSX. The expense ratio is less because it isn't actively managed. Some people make an argument that actively managed bond funds...
by welderwannabe
Sun Sep 23, 2018 8:20 pm
Forum: Investing - Help with Personal Investments
Topic: How to set up direct deposit to Vanguard Prime Money Market?
Replies: 29
Views: 3277

Re: How to set up direct deposit to Vanguard Prime Money Market?

indexfundfan wrote:
Sun Sep 23, 2018 8:15 pm
We are lucky that at least Vanguard offers the Federal MMF as a sweep, which provides a reasonable yield.
Agreed. The Federal MM is a solid product.
by welderwannabe
Sun Sep 23, 2018 8:18 pm
Forum: Investing - Help with Personal Investments
Topic: How to set up direct deposit to Vanguard Prime Money Market?
Replies: 29
Views: 3277

Re: How to set up direct deposit to Vanguard Prime Money Market?

If someone sees some language stating that the feds actually required settlement funds to be government funds I would like to see it. I haven't seen that language but have looked for it. Am curious if anyone else has. My guess is that it was easier for Vanguard and others to just use a single settle...
by welderwannabe
Sun Sep 23, 2018 8:07 pm
Forum: Investing - Help with Personal Investments
Topic: Ally Savings vs Vanguard Prime Money Market Fund - Need Advice
Replies: 77
Views: 10130

Re: Ally Savings vs Vanguard Prime Money Market Fund - Need Advice

In fact, I suggest that all investors whose portfolio includes a “safe money” allocation get acquainted with Treasury Direct. The deals at the shorter end of the Treasury yield curve right now are tough to beat. Not many bank CD’s manage it, especially when state taxes are a factor. Agreed...bills ...
by welderwannabe
Sat Sep 22, 2018 5:17 pm
Forum: Investing - Help with Personal Investments
Topic: Ally Savings vs Vanguard Prime Money Market Fund - Need Advice
Replies: 77
Views: 10130

Re: Ally Savings vs Vanguard Prime Money Market Fund - Need Advice

Alliteration always amplifies, but the alliterative break the buck isn't the only issue. I agree most prime money market funds, including Vanguard's Prime Money Market Fund , VMMXX, are unlikely to encounter these restrictions, but they're subject to them. I think it is important to note that all m...
by welderwannabe
Fri Sep 21, 2018 8:58 pm
Forum: Investing - Help with Personal Investments
Topic: Out of Market
Replies: 23
Views: 3417

Re: Out of Market

Don't rule out treasuries. For short term (12 months and less) I find them to generally be more competitive than CDs. For instance, at Fidelity, new issued 3 month brokered CDs are 2.10%. 3 month TBill is about 2.18% right now. If you are holding it in a taxable account the difference is even greate...
by welderwannabe
Fri Sep 21, 2018 3:36 pm
Forum: Investing - Help with Personal Investments
Topic: Ally Savings vs Vanguard Prime Money Market Fund - Need Advice
Replies: 77
Views: 10130

Re: Ally Savings vs Vanguard Prime Money Market Fund - Need Advice

Most of my MM money is in prime. I do have 30% of my EFund in Federal MM (settlement fund), but that is mainly for easy of buying tbills in my efund when I want to.

Federal does have the added benefit of being free from liquidity gates or haircuts in periods of stress.
by welderwannabe
Fri Sep 21, 2018 2:55 am
Forum: Investing - Theory, News & General
Topic: Best corporate long-term bond fund
Replies: 26
Views: 2093

Re: Best corporate long-term bond fund

Agree with the above posters for both VWESX and VLTCX.

However, OP should really research this first. I certainly wouldn't want a portfolio of long term corps. Today's Netflix is tomorrow's Enron.
by welderwannabe
Fri Sep 21, 2018 2:14 am
Forum: Investing - Help with Personal Investments
Topic: Fidelity brokerage account - question about automatic investment
Replies: 13
Views: 912

Re: Fidelity brokerage account - question about automatic investment

jaypee wrote:
Thu Sep 20, 2018 8:52 pm
That really sucks if it it the case.
Can anyone with a Fido account and automatic transfers set up to buy mutual funds confirm this?
Jay
I automatically buy a fund every month directly from my checking account. This works just fine.
by welderwannabe
Tue Sep 18, 2018 8:22 pm
Forum: Investing - Theory, News & General
Topic: Bonds. Why? (vs. cds)
Replies: 59
Views: 4658

Re: Bonds. Why? (vs. cds)

If we can assume that US interest rates are going to keep going up slowly through the next few years, why is better to invest in Bonds, vs. just investing in a CD ladder? Do Bonds Yield more than CDs? Ally has 2.5% CDs for a one year period, for instance (for a 25K minimum). US Treasury has 1 year ...
by welderwannabe
Tue Sep 18, 2018 8:15 pm
Forum: Investing - Help with Personal Investments
Topic: Help with limited 401k fund options
Replies: 7
Views: 475

Re: Help with limited 401k fund options

Doesn't look terrible. A quick internet search shows Wells Fargo/BlackRock S&P 500 Index CIT Class N shares with a .034ER. Thats not bad (really good, actually)

These could be some solid choices you can work with if you can confirm the ERs as other posters have stated.
by welderwannabe
Sun Sep 16, 2018 8:20 pm
Forum: Investing - Help with Personal Investments
Topic: Does cash at Ally count in my asset allocation?
Replies: 22
Views: 1971

Re: Does cash at Ally count in my asset allocation?

I don't know if details are required so I'll keep this simple. If I count the cash and CDs I have at Ally Bank my AA is 52.5% equities and 47.5% fixed income. If I don't count the cash it is 57% equities and 43% fixed income. I have had/want a 50/50 AA so counting the cash is pretty much 50/50 but ...
by welderwannabe
Sun Sep 16, 2018 6:09 pm
Forum: Investing - Help with Personal Investments
Topic: How to invest money that you may need in 6 months to a year.
Replies: 17
Views: 1882

Re: How to invest money that you may need in 6 months to a year.

What is the difference between these two, in addition to the rates? My understanding is that you can sell and buy at any time with the Vanguard Federal Money Market fund, but you will be restricted to the normal 30 holding period for the Vanguard Prime Money Market fund. It that true? Not true. You...
by welderwannabe
Sun Sep 16, 2018 3:38 pm
Forum: Personal Finance (Not Investing)
Topic: Where to put saving for retirement house?
Replies: 6
Views: 724

Re: Where to put saving for retirement house?

Hello Bogleheads! I could use some advise on where to put my saving for a retirement home. I am 2.5 yrs (30 months) from retirement and plan on moving to CO from CA and buying my retirement home. In the next 2.5 years, I plan on saving $255,000 and wasn't sure if I should just put it in a savings/M...
by welderwannabe
Sat Sep 15, 2018 8:18 pm
Forum: Investing - Help with Personal Investments
Topic: Paying off mortgage with 87K left on it
Replies: 69
Views: 6315

Re: Paying off mortgage with 87K left on it -- DONE

The plan going forward, as discussed earlier in this thread, is to rebuild that EF back up to 2 yrs' worth. Monthly expenses should be ~$1800 but for EF purposes will round up to $2k. Two years' worth is $48k, which we'll call $50k. That is probably overkill for a mortgage-free existence, but it's ...
by welderwannabe
Sat Sep 15, 2018 4:06 pm
Forum: Investing - Theory, News & General
Topic: Synchrony Bank Issues
Replies: 15
Views: 1751

Re: Synchrony Bank Issues

Ally, and I have been very pleased... (so has my sister and her daughter who both opened Ally accounts). I opened an Online Savings account, and an Interest Checking account. I opened both to be able to transfer funds from savings to checking and get to the money via checks or debit card. The have ...
by welderwannabe
Sat Sep 15, 2018 1:42 pm
Forum: Investing - Help with Personal Investments
Topic: Total Bond or Total Bond/short-term
Replies: 48
Views: 4828

Re: Total Bond or Total Bond/short-term

We have chosen to stay in the Total Bond Fund and to add to Short Term Investment Grade Index with new money. That is with a nod toward what is "likely" to happen in the bond market. That fund is actively managed and heavily tilted to corporate bonds. Nothing wrong with that if that is what you des...
by welderwannabe
Thu Sep 13, 2018 6:32 am
Forum: Investing - Help with Personal Investments
Topic: Need to make major rebalance to bonds - help
Replies: 19
Views: 2057

Re: Need to make major rebalance to bonds - help

I would park half in the stable value and half in the PIMCO total return fund. It isn't a horrible bond fund.
by welderwannabe
Mon Sep 10, 2018 12:19 pm
Forum: Investing - Help with Personal Investments
Topic: CD Break and Reinvest Options Perspectives
Replies: 18
Views: 1364

Re: CD Break and Reinvest Options Perspectives

5 year Treasury Note is 2.82% right now. 3 year is 2.77%. Something to also consider depending on what your state tax rate is. Treasuries are state tax exempt.
by welderwannabe
Mon Sep 10, 2018 12:10 pm
Forum: Investing - Help with Personal Investments
Topic: Paying off mortgage with 87K left on it
Replies: 69
Views: 6315

Re: Paying off mortgage with 87K left on it

The "increased monthly cash flow" is basically a mirage when the OP has $100k in a taxable account. If the OP took 2k each month from that taxable account and used it to pay the mortgage, would you say that this has freed up cash flow? It hasn't done that. All that the OP is doing is choosing to pa...
by welderwannabe
Mon Sep 10, 2018 9:29 am
Forum: Investing - Help with Personal Investments
Topic: Paying off mortgage with 87K left on it
Replies: 69
Views: 6315

Re: Paying off mortgage with 87K left on it

I see this much as you do, with a key attraction of a paid-off mortgage being the flexibility and options that come with increased cash flow each month due to elimination of the monthly mort payment. The less we owe and the less we spend, the less we *need* to have on hand. The increased monthly ca...
by welderwannabe
Sun Sep 09, 2018 4:47 pm
Forum: Investing - Help with Personal Investments
Topic: Bond fund overlap
Replies: 14
Views: 768

Re: Bond fund overlap

I don't understand the argument that any future rise of interest rates is already priced in the current NAV of the fund. Then, why does the NAV keep falling? That is not what I said. I said that the expected rise in interest rates is already priced in. The current expectations could be wrong. Selli...
by welderwannabe
Sun Sep 09, 2018 4:45 pm
Forum: Investing - Help with Personal Investments
Topic: Bond fund overlap
Replies: 14
Views: 768

Re: Bond fund overlap

If the future direction of interest rates has been priced into current bond prices, in what month and year do you expect that the YTD total return of -1.41& for VBTLX will be overcome and the fund back at 12/31/17 net asset value ? And selling and putting money into short term bonds will somehow ov...
by welderwannabe
Sun Sep 09, 2018 11:51 am
Forum: Investing - Help with Personal Investments
Topic: Bond fund overlap
Replies: 14
Views: 768

Re: Bond fund overlap

I agree with the corporate bonds, that is why I do like the global bond fund (it is about 46% treasuries), though I do have a couple of questions about that fund; which is for another thread. I do believe rates are going up (high how, who knows), but I am just thinking with the other mixed funds th...
by welderwannabe
Sun Sep 09, 2018 9:03 am
Forum: Investing - Help with Personal Investments
Topic: Bond fund overlap
Replies: 14
Views: 768

Re: Bond fund overlap

My choice would be either to exchange into the short term bond fund( I have no problem trying to keep the duration shorter as interest rates rise) or I could exchange it into the global Bond Fund I guess it would be somewhat of a wash that way, just reducing our holdings overall. VFICX has a lot of...
by welderwannabe
Sun Sep 09, 2018 8:49 am
Forum: Investing - Help with Personal Investments
Topic: Received $1m windfall with additional upside; looking for feedback on plan to hedge against market correction
Replies: 44
Views: 7614

Re: Received $1m windfall with additional upside; looking for feedback on plan to hedge against market correction

Re #4, I did set aside $50k in VG's muni money market and it literally has not moved a single cent for the past 10 days. Does it only reprice once a month or something? I see it's 1 on the 1-5 risk/reward scale, but still did not expect it to have seemingly zero volatility! I have the Prime MM. It ...
by welderwannabe
Sat Sep 08, 2018 1:43 pm
Forum: Investing - Help with Personal Investments
Topic: VFSTX or VBTLX or something else?
Replies: 10
Views: 599

Re: VFSTX or VBTLX or something else?

Since you asked.

50% Vanguard Intermediate-Term Treasury Index Fund Admiral Shares (VSIGX)
50% Vanguard Short-Term Corporate Bond Index Fund Admiral Shares (VSCSX)
by welderwannabe
Sat Sep 08, 2018 11:42 am
Forum: Investing - Help with Personal Investments
Topic: Investing Cash
Replies: 3
Views: 802

Re: Investing Cash

Agreed, $1M in cash is excessive. However, when retired it can be a good idea to keep a few years of expenses in cash. The above poster suggested $250K and this seems good to me. This way if the market tanks you can do some rebalancing and just pull from your cash position for expenses versus sellin...