Bogleheads.org

retiringwhen wrote: ↑Mon Mar 27, 2023 7:28 pm

Kevin M wrote: ↑Mon Mar 27, 2023 7:18 pm I would call 70% pessimistic, as it's been running at 75-80%, so I would call 80% optimistic and 70% pessimistic. I just changed my TEY calcs to use 75% USGO as an estimate for 2023.

I concur. I switched to 75% after the FEB report on VUSXX. I am using 40% for VMFXX and VMRXX as well base upon their recent reports.

Why are folk sticking with VUSXX now that it is no longer 100% USGO? Don't Fidelity and Schwab have 100% USGO money market funds?

Dave55 wrote: ↑Sun Mar 26, 2023 5:40 pm Tony, I thought you had all your $$ in S&P mini futures and Gold? Are you making drastic portfolio moves again?

Dave

I thought Tony was focusing on REITs.

I have never purchased a CD with a term longer than 18 months because I am always worried that interest rates will change. That's exactly the problem I'm addressing. Why would it matter - if you are happy with your initial purchase price (no matter what happens in the marketplace)? You cannot lose your money, you can get the interest you expected and you get all your money back. For example if you could buy one at 15% would you be frightened to do it because you thought it might go to 16%. Hopefully not. You'd probably buy the 16% because you are happy with that return no matter whether another CD goes up or down later. Sorry, but I can't relate to your line of thinking here. If I had purchased a five year CD nine months ago I would absolu...

MishkaWorries wrote: ↑Mon Mar 27, 2023 6:10 pm Bison burgers!

We use ground bison. The meat has so much more flavor than ground beef. Salt and pepper and grill hot until done to temp.

Ground beef we usually just add Cajun spice and a piece of soft white cheese like havarti or pepper jack.

What is the ratio of lean to fat in ground bison? I have heard that such burgers can be very dry.

I have never purchased a CD with a term longer than 18 months because I am always worried that interest rates will change. That's exactly the problem I'm addressing. Why would it matter - if you are happy with your initial purchase price (no matter what happens in the marketplace)? You cannot lose your money, you can get the interest you expected and you get all your money back. For example if you could buy one at 15% would you be frightened to do it because you thought it might go to 16%. Hopefully not. You'd probably buy the 16% because you are happy with that return no matter whether another CD goes up or down later. Sorry, but I can't relate to your line of thinking here. If I had purchased a five year CD nine months ago I would absolu...

I have never purchased a CD with a term longer than 18 months because I am always worried that interest rates will change.

Both of these alternatives are safe enough for me.

vk22 wrote: ↑Sat Mar 25, 2023 9:39 pm

JoMoney wrote: ↑Sat Mar 25, 2023 9:27 pm Is this impacting your "Personal Finances" in some way relevant to the "Personal Finance (Not Investing)" sub-forum you posted it in ?
viewtopic.php?t=407

I edited, but will take steer. should I delete the post?

Good idea.

Schwab has a nicer "positions" display and gives you options to customize it.

Schwab updates the displayed balance in your settlement fund immediately after an ETF transaction, whereas Fidelity takes several days.

Schwab owns a real bank.

dual wrote: ↑Fri Mar 24, 2023 12:23 pm I invested in FSKAK and found that it generated substantially more capital gains dividends than the vanguard total stock market index fund.

What years would that have been? I don't think that was the case in 2019 and 2020, the two years that I owned both FSKAX and VTSAX at the same time.

What's in those ETFs? Is it office buildings? Shopping malls? Apartment buildings? Something else?

fingoals wrote: ↑Thu Mar 23, 2023 5:46 pm

UpperNwGuy wrote: ↑Thu Mar 23, 2023 5:40 pm I am not worried. Why are you worried? The tweet was not convincing.

That tweet is a part of the 7-part thread. You might want to read the whole thing: https://twitter.com/RJRCapital/status/1 ... 2710130703.

Why would one be worried? The first post that I quoted above mentions the reason quite clearly: "concentration risk". Hence my question.

I read the whole thing. Nothing new in the 7-part series of tweets that hasn't been discussed numerous times before. Concentration at the top has been a characteristic of the S&P 500 for most of its existence.

I will amend my statement to say that the TWEETS (plural) are not convincing.

I am not worried. Why are you worried? The tweet was not convincing.

I am an ancient urbanite, too, and I find Uber and Lyft to be quite adequate to get safely from place to place.

nisiprius wrote: ↑Wed Mar 22, 2023 6:55 pm What about my point of view: suppose a total international equity fund IS marginally riskier than a developed markets equity index fund... is it riskier enough to care about?

Not enough for me to care about. I have been using total international and developed market funds as tax loss harvesting partners. I don't care if I end up stuck in one or the other.

TomatoTomahto wrote: ↑Thu Mar 23, 2023 10:14 am

UpperNwGuy wrote: ↑Thu Mar 23, 2023 10:11 am What is CS?

It’s tough to believe you’ve been on BH for more than 5 years and have not picked up that CS stands for Computer Science when discussing college. In another context it might mean Credit Suisse.

I come to bogleheads for the investment stuff, so I don't bother to learn acronyms for non-investment stuff. All my kids finished college many years ago, and none of them studied computer science.

In general, using an acronym without explaining it in the first use is bad writing style.

What is CS?

LifeAquaticTenenbaum wrote: ↑Wed Mar 22, 2023 3:21 pm Bought FRC @ $30 because I thought it was a good bank caught up in the overreaction of SVB.

You did WHAT ??????

waterbill wrote: ↑Wed Mar 22, 2023 1:00 pm It seems one can definitely lose money on bond ETFs.

Not if you are a long-term investor.

Nope.

I always pull.

sailaway wrote: ↑Tue Mar 21, 2023 9:10 pm

Charles Joseph wrote: ↑Tue Mar 21, 2023 9:08 pm

UpperNwGuy wrote: ↑Tue Mar 21, 2023 8:16 pm

Charles Joseph wrote: ↑Tue Mar 21, 2023 6:25 pm I prefer to just be left alone with my brokerage passwords. Thats...basically it.

That, and a good roast beef and swiss on a hard roll with lettuce, tomato and mayo.

Might I suggest adding some Dijon mustard? If not mustard, perhaps a few drop of a fiery hot sauce?

I cut my teeth on the Lower East Side of Manhattan. If I had asked for Dijon or hot sauce on my sandwich at the deli when I was a kid, Joey Meatloaf woulda come around from behind the counter given me a smack!

Besides, roast beef and swiss calls for horseradish.

Horseradish is the best solution!

Charles Joseph wrote: ↑Tue Mar 21, 2023 6:25 pm I prefer to just be left alone with my brokerage passwords. Thats...basically it.

That, and a good roast beef and swiss on a hard roll with lettuce, tomato and mayo.

Might I suggest adding some Dijon mustard? If not mustard, perhaps a few drop of a fiery hot sauce?

I have never kept dry powder. I have a plan, and I stick to it. To effectively use dry powder, you have to be smarter than everyone else. Are you? I know I am not.

Which of these ETFs will make use of factors, and which ones will not?

I was in a similar situation in my mid 30s. My solution was to find another job and work another 25 years. I recommend that solution to you.

I found myself in almost the same solution in my late 40s. My solution was to find another job and work until 61.

MrJedi wrote: ↑Mon Mar 20, 2023 8:31 pm I have trouble coming up with scenarios that would require me to hand over a briefcase full of Benjamins with zero notice. I feel comfortable with assets that would take a week or so to liquidate and transfer to a bank account. Wife and I also have over 30 credit cards between the two of us if really needed. One has a very reasonable 7.5% APR on cash advances with no extra transaction fee.

I agree. I have never considered it important to get cash quickly for emergency situations. As long as I can get access to the money within a week (or even two weeks), I am happy.

bshnew wrote: ↑Tue Mar 21, 2023 10:47 am Would adding SCHB, Schwab's total US market ETF, unnecessarily complicate my portfolio?

I use SCHB and SCHX as tax loss harvesting partners. I see no need to own both. Either one is fine. If I had to pick one, I'd pick SCHB because it covers the total market whereas SCHX is just the large companies. Either fund is preferable to an S&P 500 fund.

Van wrote: ↑Tue Mar 21, 2023 5:44 am Thanks mega317.

The money is just part of my allocation to bonds.

What do you mean by according to your horizon? Since the money is not designated for any upcoming event, perhaps my horizon is infinity, but I probably won't live quite that long.

If this money is part of the bond portion of your retirement portfolio, I would not buy CDs. Instead I would buy an intermediate bond mutual fund or ETF (either TIPS or nominal).

What's fascinating is to watch how VMFXX, VMRXX, and VUSXX seem to be converging into similar portfolios.

Yesterdaysnews wrote: ↑Mon Mar 20, 2023 5:06 pm Schwab is the worst when it comes to MMF. I consolidated at Schwab and got a nice bonus, but it annoys me.

Schwab has some fine money market funds. Your complaint is probably about their low-yielding settlement fund which is not a money market fund.

brad.clarkston wrote: ↑Wed Mar 15, 2023 3:15 pm

coffeeblack wrote: ↑Wed Mar 15, 2023 2:33 pm Why not a short term treasury fund like VUSXX?

Why would I pay 0.09% ER for T-Bills? Save the ER and buy a rolling ladder yourself.

I would hate managing a rolling ladder of T-Bills. I am willing to pay the ER to have a fund do it for me.

OP,
Welcome to the frustrations of booking travel to, from, and within Spain! This kind of problem (credit card being rejected) occurs frequently with both Iberia airlines and Renfe (the Spanish rail company). Your bank is not at fault. The fault is with the terrible websites of Iberia and Renfe.

an emergency fund must meet at least two criteria: 1. It must be liquid and accessible 2. It must be principal-protected To me, this strongly suggests an emergency fund consists of assets like cash in a savings account, iBonds held >1 year, short-term Tbills, etc. Correct. If you have to "sell low" or at a loss to raise emergency cash, it's not an emergency fund. It's a mistake. You can twist yourself into a pretzel trying to justify a stock portfolio as constituting an emergency fund. All I can say to that is, "good luck." You'll need it. This year I've been hit with ~$50K+ of emergency expenses. Without my emergency fund, I would have had to sell stock holdings at a loss. Not good. Why do you think it is worse to sell...

I only fly United (has nearby hub), American (also has nearby hub), or occasionally Delta (if flying to one of their hubs). I check their websites directly. I don't mess with Kayak, Google Flights, or other such sites.

OldSport wrote: ↑Mon Mar 20, 2023 12:27 am I've missed out on several days interest because of these additional hoops.

Are you sure about that? If your order for a mutual fund or money market fund is placed on Friday night, anytime Saturday, anytime Sunday, or Monday before 4pm, it executes Monday evening.

This is not unique to Merrill Edge.

Most credit card experts advise that you keep a new credit card open for at least one full year before closing it. That shouldn't cause you any hardship. After all, you don't have to use the card once you have earned the bonus. Why are you so eager to close it as soon as possible?

stan1 wrote: ↑Thu Mar 16, 2023 6:09 pm TSP G Fund yield right now is 4.125% annualized

Inflation is 6% through Feb 2023.

So negative real return of 1.875% at least for the time being. Safety comes at a cost.

What are your ages and how long until you retire?

^^^ This is a comment about fixed income in general, not about the G Fund in particular.

jeffyscott wrote: ↑Sat Mar 18, 2023 9:03 am Schwab lets me effectively do exchanges of any mutual funds, while holding no cash (and no margin). I can do this by entering separate buy and sell orders. I also can, for example, enter an order to sell a mutual fund and then enter an order to buy a CD (again this is with no cash and no margin) with the anticipated proceeds. I can not do that on E-trade (nor Vanguard, Fidelity).

Will Schwab permit me to exchange one money market fund for another without waiting for a sell to settle before making the buy?

Schwab for sure.

Here's a good summary:

https://www.investopedia.com/terms/a/as ... gement.asp

cowdogman wrote: ↑Fri Mar 17, 2023 6:48 pm

UpperNwGuy wrote: ↑Fri Mar 17, 2023 6:44 pm Yes, you need liability insurance to protect yourself from claims arising from work you did years earlier before you retired.

OP said he was keeping his professional liability policy going. I think he is just talking about his slip-and-fall policy.

I would keep it.

As best as I can figure it out as a T-Mobile customer, they still accept credit cards for payment of monthly bills. What seems to have changed is that they no longer give the 5% discount for using autopay if you pay with a credit card.

Yes, you need liability insurance to protect yourself from claims arising from work you did years earlier before you retired.

I hold my cash at Schwab in their Value Advantage Money Fund® – Investor Shares (SWVXX) at 4.49% So would you say it's a good idea to move it to a safer place like Schwab U.S. Treasury Money Fund - Investor Shares at 4.31% I'm guessing the answer is "yes"? Edit: Wow, I skimmed thru the SWVXX holdings and I think I have to change that answer to: DEFINITELY YES! :D I'd still like to hear any views on it tho. Schwab already saw $8.8B in net outflows from its Value Advantage funds this week. You would be in good company. What is motivating the exodus of funds from SWVXX? I thought that the SEC regs would keep the problems with Schwab bank from spilling over into Schwab brokerage. It's a Prime money market fund. Prime money market fun...

nps wrote: ↑Fri Mar 17, 2023 4:33 am

theac wrote: ↑Thu Mar 16, 2023 11:38 pm I hold my cash at Schwab in their Value Advantage Money Fund® – Investor Shares (SWVXX) at 4.49%

So would you say it's a good idea to move it to a safer place like Schwab U.S. Treasury Money Fund - Investor Shares at 4.31%

I'm guessing the answer is "yes"?

Edit: Wow,
I skimmed thru the SWVXX holdings and I think I have to change that answer to:
DEFINITELY YES!

I'd still like to hear any views on it tho.

Schwab already saw $8.8B in net outflows from its Value Advantage funds this week. You would be in good company.

What is motivating the exodus of funds from SWVXX? I thought that the SEC regs would keep the problems with Schwab bank from spilling over into Schwab brokerage.

What's going on with SWVXX? If the fund in some kind of trouble?

gotoparks wrote: ↑Fri Mar 17, 2023 3:38 am Personally, I keep 2/3 months worth of spend in my checking account and everything else in money market funds, T-Bills, and a couple of CDs. I also have an HYSA with not much in it right now. Money markets were not paying much recently, and everything was in HYSA but I switched last year to mostly money market. If/when money markets go down and HYSA is doing as well or better like before, I will switch back.

This is exactly what I have done.

One week.

The problem is that you still hold mutual funds. If you convert those mutual funds to ETFs, the proceeds from ETF sales become available immediately for your next investment, but the proceeds from mutual fund sales don't become available until the following business day. I used to dislike the concept of ETFs, but now I love them.