Search found 621 matches

by HEDGEFUNDIE
Thu Sep 20, 2018 4:00 pm
Forum: Investing - Theory, News & General
Topic: SLYV vs IJS [SPDR vs. iShares S&P 600 Small Cap Value]
Replies: 92
Views: 4794

Re: SLYV vs IJS [SPDR vs. iShares S&P 600 Small Cap Value]

Infrequent trading tends to cause markets to be inefficient. No. No. No. This whole thread has been about us trying to explain to you why this isn't the case with index ETFs like VIOV. If nothing else, the fact VIOV trades so close to IJS/VIOV-IV despite having a handful of trades during an entire ...
by HEDGEFUNDIE
Thu Sep 20, 2018 2:46 pm
Forum: Investing - Theory, News & General
Topic: SLYV vs IJS [SPDR vs. iShares S&P 600 Small Cap Value]
Replies: 92
Views: 4794

Re: SLYV vs IJS [SPDR vs. iShares S&P 600 Small Cap Value]

What Is The Creation/Redemption Mechanism? When an ETF company wants to create new shares of its fund, whether to launch a new product or meet increasing market demand, it turns to someone called an authorized participant (AP). An AP may be a market maker, a specialist or any other large financial ...
by HEDGEFUNDIE
Thu Sep 20, 2018 1:24 pm
Forum: Investing - Theory, News & General
Topic: SLYV vs IJS [SPDR vs. iShares S&P 600 Small Cap Value]
Replies: 92
Views: 4794

Re: SLYV vs IJS [SPDR vs. iShares S&P 600 Small Cap Value]

Not sure what you’re trying to say here. If I wanted a million shares of VIOV and the available secondary volume is only 500k shares, Vanguard would create 500k of new shares for me on the spot, executing at NAV. Why doesn’t this mitigate your concerns of illiquidity? I don't think that Vanguard ca...
by HEDGEFUNDIE
Thu Sep 20, 2018 12:41 pm
Forum: Investing - Theory, News & General
Topic: SLYV vs IJS [SPDR vs. iShares S&P 600 Small Cap Value]
Replies: 92
Views: 4794

Re: SLYV vs IJS [SPDR vs. iShares S&P 600 Small Cap Value]

Doc. I don’t know why the folks here have been holding this out on you, but here you go: https://www.vanguard.nl/documents/under ... uidity.pdf With ETFs, ADV provides only a partial indication of liquidity. That’s because unlike single shares, the supply of ETFs is open-ended. New ETF shares can b...
by HEDGEFUNDIE
Thu Sep 20, 2018 11:12 am
Forum: Investing - Theory, News & General
Topic: SLYV vs IJS [SPDR vs. iShares S&P 600 Small Cap Value]
Replies: 92
Views: 4794

Re: SLYV vs IJS [SPDR vs. iShares S&P 600 Small Cap Value]

vineviz, we are not on the same page. If the bid is 500 shares at 10 and I place a market off to sell 1000 shares, 500 shares will sell at 10 and the rest will sell at some lower price thereby reducing the bid price after the sell order completes. The new best bid price is now lower than the start....
by HEDGEFUNDIE
Thu Sep 20, 2018 11:03 am
Forum: Investing - Theory, News & General
Topic: A time to EVALUATE your jitters
Replies: 258
Views: 235640

Re: A time to EVALUATE your jitters

As the DJIA and S&P hit new intra-day highs again today, it feels timely to bump this thread again. I would imagine it's easy to have jitters when the market pulls back significantly, but does anyone else get jitters on this continued run up? Given how many threads we have seen around here by peopl...
by HEDGEFUNDIE
Thu Sep 20, 2018 10:58 am
Forum: Investing - Theory, News & General
Topic: New [Vanguard] environmental, social, governance (ESG) ETFs
Replies: 12
Views: 648

Re: Sept 20--Vanguard Expands ESG Fund Offerings With Low-Cost ESG ETFs

MikeMak27 wrote:
Thu Sep 20, 2018 9:18 am
Nuclear power is not responsible????? It’s the most effective, reliable way for us to fight changes in climate that may be caused by humans. Count me out on these offerings.
Nuclear power is great until you are left with nuclear waste which no one knows what to do with. Yucca Mountain open yet?
by HEDGEFUNDIE
Wed Sep 19, 2018 11:46 pm
Forum: Investing - Theory, News & General
Topic: Discount Cash Flow Analysis (DCF)
Replies: 11
Views: 701

Re: Discount Cash Flow Analysis (DCF)

If you are valuing a project that has a steady stream of cash flows into perpetuity, then yes, you can just use the terminal value method without forecasting *any* specific years. But if you have a project with "lumpy" cash flows, then you will want to forecast as many specific years as you can to ...
by HEDGEFUNDIE
Wed Sep 19, 2018 11:25 pm
Forum: Investing - Theory, News & General
Topic: Age in Bonds - Still Recommended?
Replies: 138
Views: 9234

Re: Age in Bonds - Still Recommended?

HEDGEFUNDIE and nasrullah: I think it is dangerous to maintain a 100% stock allocation right up to the day you retire. What happens if we have a bad bear market the year before retiring? Answer: There goes your retirement. :( It is no accident that ALL target funds decrease their stock allocations ...
by HEDGEFUNDIE
Wed Sep 19, 2018 4:29 pm
Forum: Investing - Theory, News & General
Topic: In defense of Hedge Funds
Replies: 19
Views: 975

Re: In defense of Hedge Funds

I have nothing to add, but given my username I felt compelled to post.
by HEDGEFUNDIE
Wed Sep 19, 2018 4:20 pm
Forum: Investing - Help with Personal Investments
Topic: 401K - Portfolio Plan Picks
Replies: 5
Views: 306

Re: 401K - Portfolio Plan Picks

Let me preface this by saying this is not the classic Boglehead-approved advice. If you want that, I’m sure every other post on this thread will point you in the right direction. But it sounds to me you like are young and risk-taking, much like myself. So this is what I would recommend: 35% Vanguard...
by HEDGEFUNDIE
Wed Sep 19, 2018 4:01 pm
Forum: Investing - Theory, News & General
Topic: Equity allocation for Flagship clients?
Replies: 47
Views: 3657

Re: Equity allocation for Flagship clients?

JimmyJammy wrote:
Wed Sep 19, 2018 3:38 pm
I'm 80 stocks/20 bonds.

This article suggests 100% stocks:

https://www.nytimes.com/2016/02/13/your ... of-it.html
Love the article, thanks for posting
by HEDGEFUNDIE
Wed Sep 19, 2018 3:31 pm
Forum: Investing - Help with Personal Investments
Topic: Taking Over Management of $7M Portfolio - Need Review/Help Allocating
Replies: 50
Views: 3850

Re: Taking Over Management of $7M Portfolio - Need Review/Help Allocating

How did you decide upon the 70/30 AA? Since family is involved and the timeframe for distribution could be very soon, I would think you would want to prioritize capital preservation over growth. I'm actually taking the stock portion down from 86% (81% stock and 5% REIT) to 70% (65% stock, 5% REIT),...
by HEDGEFUNDIE
Wed Sep 19, 2018 3:12 pm
Forum: Investing - Help with Personal Investments
Topic: Taking Over Management of $7M Portfolio - Need Review/Help Allocating
Replies: 50
Views: 3850

Re: Taking Over Management of $7M Portfolio - Need Review/Help Allocating

How did you decide upon the 70/30 AA?

Since family is involved and the timeframe for distribution could be very soon, I would think you would want to prioritize capital preservation over growth.
by HEDGEFUNDIE
Wed Sep 19, 2018 2:19 pm
Forum: Investing - Help with Personal Investments
Topic: It seems simplke bot of course not! Benchmarking ...
Replies: 14
Views: 634

Re: It seems simplke bot of course not! Benchmarking ...

Hard to give you benchmarks without knowing your asset allocation.

How much % in stocks and how much in bonds? How much domestic and how much international?
by HEDGEFUNDIE
Wed Sep 19, 2018 1:21 pm
Forum: Investing - Theory, News & General
Topic: “Majority of working-age Americans have no retirement savings”
Replies: 73
Views: 3726

Re: “Majority of working-age Americans have no retirement savings”

Everyone was trolled by a naked link with no comment or follow up. Well done. JT Not sure why you think my intention was to troll. P&I is a well-respected industry news site, and now we have a lively discussion with 60+ comments. If you want my opinion, it’s that we BHs should all be more aware of ...
by HEDGEFUNDIE
Wed Sep 19, 2018 10:50 am
Forum: Investing - Help with Personal Investments
Topic: any opinions of this fund? Vanguard Dividend Growth (VDIGX)
Replies: 15
Views: 1110

Re: any opinions of this fund? Vanguard Dividend Growth (VDIGX)

It has underperformed the S&P 500 over the past 10 years, 5 years, 3 years, 1 year.

Get rid of it.
by HEDGEFUNDIE
Wed Sep 19, 2018 10:35 am
Forum: Investing - Theory, News & General
Topic: Other investment opportunities besides the stock market
Replies: 25
Views: 1778

Re: Other investment opportunities besides the stock market

TA and MUSA are pure play publicly traded gas station companies

Net income margin for TA is 0.2%, for MUSA is 2.3%.

Good luck.
by HEDGEFUNDIE
Wed Sep 19, 2018 10:17 am
Forum: Investing - Theory, News & General
Topic: “Majority of working-age Americans have no retirement savings”
Replies: 73
Views: 3726

“Majority of working-age Americans have no retirement savings”

http://www.pionline.com/article/20180918/ONLINE/180919833/majority-of-working-age-americans-have-no-retirement-savings-8211-nirs-report?newsletter=plan-sponsor-digest&issue=20180918 The median retirement account balance among working-age Americans is zero, according to a research report by the Natio...
by HEDGEFUNDIE
Wed Sep 19, 2018 4:32 am
Forum: Investing - Help with Personal Investments
Topic: Concerns over funding priority when investing with debt
Replies: 38
Views: 1720

Re: Concerns over funding priority when investing with debt

Why is the investment / debt ratio important to you? The only ratio that matters for your mortgage is your income-to-debt coverage ratio. If you believe your income will decline significantly in the near future then you should accelerate your mortgage payback. If not, then you shouldn’t change a th...
by HEDGEFUNDIE
Wed Sep 19, 2018 12:19 am
Forum: Investing - Help with Personal Investments
Topic: Concerns over funding priority when investing with debt
Replies: 38
Views: 1720

Re: Concerns over funding priority when investing with debt

Why is the investment / debt ratio important to you? The only ratio that matters for your mortgage is your income-to-debt coverage ratio. If you believe your income will decline significantly in the near future then you should accelerate your mortgage payback. If not, then you shouldn’t change a th...
by HEDGEFUNDIE
Wed Sep 19, 2018 12:00 am
Forum: Investing - Help with Personal Investments
Topic: Concerns over funding priority when investing with debt
Replies: 38
Views: 1720

Re: Concerns over funding priority when investing with debt

Why do you feel the urge to pay off the mortgage? It's a little bit market timing but I think there are other factors as I mentioned in the original post. I find my investment has grown very fast during the last 3 years which now exceeds the mortgage. I start to wonder what will be my comfortable i...
by HEDGEFUNDIE
Tue Sep 18, 2018 9:16 pm
Forum: Personal Consumer Issues
Topic: What is your single most expensive mistake?
Replies: 195
Views: 11391

Re: What is your single most expensive mistake?

My most expensive mistake was not realizing I should be very careful which dentist did my root canal. My general dentist did an incomplete job that promptly became painlessly infected and nearly fatal in the years before we identified the cause. Health insurance paid most of the $800k but I had to ...
by HEDGEFUNDIE
Tue Sep 18, 2018 9:13 pm
Forum: Investing - Help with Personal Investments
Topic: Asset allocation calculator
Replies: 46
Views: 2667

Re: Asset allocation calculator

VA_Investor wrote:
Tue Sep 18, 2018 8:55 pm
HEDGEFUNDIE wrote:
Mon Sep 17, 2018 8:43 pm
I use 3% for bonds and 7% for stocks.
Thanks Hedgefundie. BTW, the Portfolio Visualizer tools are really helpful, thanks again for that suggestion!
You’re welcome!
by HEDGEFUNDIE
Tue Sep 18, 2018 8:27 pm
Forum: Investing - Theory, News & General
Topic: Matter/scatter, part 9. Small-cap value and the "ten-fund portfolio."
Replies: 10
Views: 935

Re: Matter/scatter, part 9. Small-cap value and the "ten-fund portfolio."

A small quibble with your choice of AA. It seems to me that factor investors are more likely to be in the accumulation phase, when they are more likely to be seeking outperformance. A 60/40 investor is likely to be near retirement and more concerned with stability. I suspect if you were to re-run th...
by HEDGEFUNDIE
Tue Sep 18, 2018 7:48 pm
Forum: Investing - Theory, News & General
Topic: Bonds. Why? (vs. cds)
Replies: 59
Views: 4110

Re: Bonds. Why? (vs. cds)

The yield curve is flat, which means the market does not expect large rate increases for the long term.
by HEDGEFUNDIE
Tue Sep 18, 2018 7:40 pm
Forum: Personal Finance (Not Investing)
Topic: Leasing Cars in Retirement
Replies: 78
Views: 5300

Re: Leasing Cars in Retirement

ThankYouJack wrote:
Mon Sep 17, 2018 6:29 pm
Chip wrote:
Fri Sep 14, 2018 10:14 am
Frisco Kid wrote:
Fri Sep 14, 2018 10:05 am
All purchases in our case would trigger a large taxable event, looking at how leasing might offset that or not......
Not if you take out a loan.
+1. Not sure why a loan couldn't be an option.
Why would a lender approve a loan for an unemployed retiree?
by HEDGEFUNDIE
Tue Sep 18, 2018 6:17 pm
Forum: Personal Consumer Issues
Topic: Finding employers that match employee charitable causes?
Replies: 7
Views: 433

Re: Finding employers that match employee charitable causes?

My MegaCorp not only matches employee contributions, but will give you time off to volunteer for a non profit (a few days per year).
by HEDGEFUNDIE
Tue Sep 18, 2018 4:34 pm
Forum: Personal Consumer Issues
Topic: How much to spend on rent (balancing savings) - VHCOL area
Replies: 11
Views: 793

Re: How much to spend on rent (balancing savings) - VHCOL area

What Klangfool said is good advice.

How much are you paying now for rent? What are market rates for one bedrooms within reasonable commute to your/your wife’s work?
by HEDGEFUNDIE
Tue Sep 18, 2018 2:45 pm
Forum: Investing - Theory, News & General
Topic: Other investment opportunities besides the stock market
Replies: 25
Views: 1778

Re: Other investment opportunities besides the stock market

Well, if you have ever watched Breaking Bad, car washes can be very lucrative 😉
by HEDGEFUNDIE
Tue Sep 18, 2018 11:02 am
Forum: Investing - Help with Personal Investments
Topic: VGT vs QQQ
Replies: 4
Views: 426

Re: VGT vs QQQ

QQQ only has 100 stocks, not nearly diversified enough. It’s also only 60% tech.

Look into IGM.
by HEDGEFUNDIE
Tue Sep 18, 2018 10:35 am
Forum: Investing - Theory, News & General
Topic: Bond Funds vs. Individual Bonds: Can someone quanitfy?
Replies: 21
Views: 1217

Re: Bond Funds vs. Individual Bonds: Can someone quanitfy?

Vanguard Total Bond Market holds 8486 individual bonds, and is constantly buying new ones as old ones mature.

How many individual bonds could you practically buy to match the duration and risk profile of the fund?
by HEDGEFUNDIE
Mon Sep 17, 2018 10:01 pm
Forum: Investing - Theory, News & General
Topic: How can I buy ALIBABA and TENCENT stock?
Replies: 29
Views: 2468

Re: How can I buy ALIBABA and TENCENT stock?

You’re probably better off sticking to real estate.
by HEDGEFUNDIE
Mon Sep 17, 2018 8:58 pm
Forum: Investing - Help with Personal Investments
Topic: Asset allocation calculator
Replies: 46
Views: 2667

Re: Asset allocation calculator

Thesaints wrote:
Mon Sep 17, 2018 8:54 pm
HEDGEFUNDIE wrote:
Mon Sep 17, 2018 8:43 pm
I use 3% for bonds and 7% for stocks.
If those are nominal figures, they seem alright to me.
Yes nominal
by HEDGEFUNDIE
Mon Sep 17, 2018 8:43 pm
Forum: Investing - Help with Personal Investments
Topic: Asset allocation calculator
Replies: 46
Views: 2667

Re: Asset allocation calculator

Thanks Thesaints. How do you recommend establishing an asset allocation mix to achieve a certain level of risk/return, if historical models are no good? Be a pessimist. Also, try to understand where historical returns come from and re-evaluate expectations based on present situation, not on an hist...
by HEDGEFUNDIE
Mon Sep 17, 2018 5:49 pm
Forum: Investing - Theory, News & General
Topic: Trend Following failure
Replies: 7
Views: 693

Re: Trend Following failure

Does this look like a disaster to you? https://www.portfoliovisualizer.com/backtest-portfolio?s=y&timePeriod=2&startYear=1985&firstMonth=1&endYear=2018&lastMonth=12&endDate=09%2F16%2F2018&initialAmount=10000&annualOperation=0&annualAdjustment=0&inflationAdjusted=true&annualPercentage=0.0&frequency=...
by HEDGEFUNDIE
Mon Sep 17, 2018 5:42 pm
Forum: Investing - Theory, News & General
Topic: Discount Cash Flow Analysis (DCF)
Replies: 11
Views: 701

Re: Discount Cash Flow Analysis (DCF)

If you are valuing a project that has a steady stream of cash flows into perpetuity, then yes, you can just use the terminal value method without forecasting *any* specific years. But if you have a project with "lumpy" cash flows, then you will want to forecast as many specific years as you can to ...
by HEDGEFUNDIE
Mon Sep 17, 2018 4:07 pm
Forum: Investing - Theory, News & General
Topic: Trend Following failure
Replies: 7
Views: 693

Re: Trend Following failure

Does this look like a disaster to you? https://www.portfoliovisualizer.com/backtest-portfolio?s=y&timePeriod=2&startYear=1985&firstMonth=1&endYear=2018&lastMonth=12&endDate=09%2F16%2F2018&initialAmount=10000&annualOperation=0&annualAdjustment=0&inflationAdjusted=true&annualPercentage=0.0&frequency=4...
by HEDGEFUNDIE
Mon Sep 17, 2018 3:56 pm
Forum: Investing - Theory, News & General
Topic: Four International ETFs that are better diversifiers than VXUS
Replies: 28
Views: 2128

Re: Four International ETFs that are better diversifiers than VXUS

Good stuff, this is pretty much how I approach my own portfolio, heavy on the small cap for international, both for return and for diversification.

Now let's talk about whether people should hold hedged currency ETFs :wink:
by HEDGEFUNDIE
Mon Sep 17, 2018 3:40 pm
Forum: Investing - Theory, News & General
Topic: Discount Cash Flow Analysis (DCF)
Replies: 11
Views: 701

Re: Discount Cash Flow Analysis (DCF)

If you are valuing a project that has a steady stream of cash flows into perpetuity, then yes, you can just use the terminal value method without forecasting *any* specific years. But if you have a project with "lumpy" cash flows, then you will want to forecast as many specific years as you can to c...
by HEDGEFUNDIE
Mon Sep 17, 2018 11:14 am
Forum: Personal Consumer Issues
Topic: Selling your home with Opendoor
Replies: 3
Views: 375

Re: Selling your home with Opendoor

OpenDoor is basically the CarMax of houses. They charge the seller what is essentially a “convenience fee” (on top of the standard realtor commission) for a guaranteed cash close within a few days. So you are getting less than fair market value but instant liquidity. Whether that’s worth it is up to...
by HEDGEFUNDIE
Mon Sep 17, 2018 8:57 am
Forum: Investing - Theory, News & General
Topic: Vanguard: Hedging international equities’ currency risk would have reduced portfolio volatility for US investors
Replies: 17
Views: 1754

Re: Vanguard: Hedging international equities’ currency risk would have reduced portfolio volatility for US investors

Just out of curiosity, how much extra ER are you willing to pay for a hedged developed markets fund, and why that amount? Estimates of hedging cost due to bid-ask spreads are made in this Vanguard piece: https://personal.vanguard.com/pdf/icrifi.pdf See pages 16-17 and in particular Figure 11 and it...
by HEDGEFUNDIE
Mon Sep 17, 2018 8:35 am
Forum: Investing - Help with Personal Investments
Topic: Critique my High-Risk Factor Portfolio
Replies: 27
Views: 2057

Re: Critique my High-Risk Factor Portfolio

That's one of the reasons I split Int'l SCV between DLS and the less (slightly) expensive FNDC even though it has less small and value exposure. For international I suggest you simplify the “Developed SCV” bucket by buying ISCF. ISCF looks like a good suggestion. But ISCF seems less liquid than eit...
by HEDGEFUNDIE
Sun Sep 16, 2018 10:13 pm
Forum: Investing - Theory, News & General
Topic: Vanguard: Hedging international equities’ currency risk would have reduced portfolio volatility for US investors
Replies: 17
Views: 1754

Re: Vanguard: Hedging international equities’ currency risk would have reduced portfolio volatility for US investors

However, your point about this potentially being an academic exercise is true in a different sense: Until there is a low-cost hedged international equity index portfolio (at least for the developed markets), for me this is still effectively an academic exercise, since I have little choice but to ac...
by HEDGEFUNDIE
Sun Sep 16, 2018 9:05 pm
Forum: Investing - Theory, News & General
Topic: Age in Bonds - Still Recommended?
Replies: 138
Views: 9234

Re: Age in Bonds - Still Recommended?

HEDGEFUNDIE and nasrullah: I think it is dangerous to maintain a 100% stock allocation right up to the day you retire. What happens if we have a bad bear market the year before retiring? Answer: There goes your retirement. :( It is no accident that ALL target funds decrease their stock allocations ...
by HEDGEFUNDIE
Sun Sep 16, 2018 7:57 pm
Forum: Investing - Help with Personal Investments
Topic: (No Savings) *Everything* in S&P 500?
Replies: 33
Views: 3733

Re: What if: *Everything* in S&P?

I mean, at least he is not 100% UPRO.
by HEDGEFUNDIE
Sun Sep 16, 2018 7:49 pm
Forum: Investing - Theory, News & General
Topic: Age in Bonds - Still Recommended?
Replies: 138
Views: 9234

Re: Age in Bonds - Still Recommended?

HEDGEFUNDIE and nasrullah: I think it is dangerous to maintain a 100% stock allocation right up to the day you retire. What happens if we have a bad bear market the year before retiring? Answer: There goes your retirement. :( It is no accident that ALL target funds decrease their stock allocations ...
by HEDGEFUNDIE
Sun Sep 16, 2018 7:29 pm
Forum: Investing - Theory, News & General
Topic: Age in Bonds - Still Recommended?
Replies: 138
Views: 9234

Re: Age in Bonds - Still Recommended?

I am kind of stunned by the number of people here who are admitting to holding no bonds. I am one of them, but I never expected there to be so many of us. HEDGEFUNDIE: We have been in a long-term bull market for stocks when many of us wish we held 100% stocks. After suffering during a long-term bea...