Search found 173 matches

by balbrec2
Wed May 22, 2019 3:24 pm
Forum: Investing - Theory, News & General
Topic: Delaying social security = harming nest egg?
Replies: 71
Views: 5401

Re: Delaying social security = harming nest egg?

Ignoring whether one has the funds to delay SS and ignoring a medical history that would indicate living more or less than the tables would predict, if one takes SS early and dies before the tables say they should die, that person comes out ahead. If one takes SS early, and dies after the tables sa...
by balbrec2
Tue May 14, 2019 9:00 pm
Forum: Personal Finance (Not Investing)
Topic: Move out or stay at my parents?
Replies: 70
Views: 4756

Re: Move out or stay at my parents?

Hi I’m 27 and I just bought a 2 family home. I’m renting it both but was debating moving in the downstairs apartment. His lease is up in September. I put down 20 percent and I would be paying around 1100 a month in “rent” towards the mortgage. My parents, and brother are both telling me I should st...
by balbrec2
Tue May 14, 2019 8:52 pm
Forum: Personal Finance (Not Investing)
Topic: Worth Fighting a Speeding Ticket?
Replies: 64
Views: 4254

Re: Worth Fighting a Speeding Ticket?

I was clocked going quite a bit over the speed limit; however, I got extremely lucky with the cop and he gave me a break on the documented citation speed over the limit. My question is, should I still go the traffick lawyer route, even though I received lenience by the cop? Could this backfire with...
by balbrec2
Wed May 08, 2019 8:06 am
Forum: Investing - Theory, News & General
Topic: Is volatility good or bad?
Replies: 27
Views: 1268

Re: Is volatility good or bad?

Volatility is neither good nor bad. How you handle it can be good or bad though.
It is just a fact of market investing. Learn how to deal with it in a rational manner.
by balbrec2
Wed Apr 17, 2019 2:04 pm
Forum: Personal Finance (Not Investing)
Topic: What to do with some stale CDs?
Replies: 5
Views: 679

Re: What to do with some stale CDs?

It's only around $200 to break this. You'll make an extra $200 in one year at 3% over what you make at your current 2% rate. Seems reasonable to break it now and start a new one. Rates will likely continue to rise, so you might run into this again. With the fed on hold for the balance of the year, ...
by balbrec2
Wed Apr 03, 2019 10:41 am
Forum: Personal Investments
Topic: Is it time to change my portfolio?
Replies: 7
Views: 752

Re: Is it time to change my portfolio?

I currently have a slice and dice 40% equity portfolio which I activated January 2013 (see benchmark results for allocations). I benchmarked this portfolio with VSCGX (Vanguard LifeStrategy Cnsrv Gr) and a 4 fund (see benchmark results) and both of these funds outperformed my slice and dice portfol...
by balbrec2
Wed Apr 03, 2019 10:24 am
Forum: Personal Finance (Not Investing)
Topic: Do I have enough insurance?
Replies: 26
Views: 852

Re: Do I have enough insurance?

I've always been a little fuzzy on the best practices for insurance and am wondering if we need more. Just for background, this is a family of 4 (mid-thirties, kids age 4 and 1), NW ~$550k including home equity. Health - Maxing the HSA family plan through work, $2600 ded. Dental - family policy thr...
by balbrec2
Tue Apr 02, 2019 12:41 pm
Forum: Investing - Theory, News & General
Topic: what makes an investment
Replies: 20
Views: 817

Re: what makes an investment

If it puts money in your pocket, it is an asset. This is a way to build wealth. If it takes money out of your pocket, it is a liability. This is a way to destroy wealth. If you don't know if it will pay you or cost you, it is a speculation. This is gambling. Go to Vegas, at least they have shows! T...
by balbrec2
Tue Apr 02, 2019 12:15 pm
Forum: Investing - Theory, News & General
Topic: what makes an investment
Replies: 20
Views: 817

Re: what makes an investment

If it puts money in your pocket, it is an asset. This is a way to build wealth.
If it takes money out of your pocket, it is a liability. This is a way to destroy wealth.
If you don't know if it will pay you or cost you, it is a speculation. This is gambling.
Go to Vegas, at least they have shows!
by balbrec2
Sun Mar 31, 2019 8:06 pm
Forum: Personal Finance (Not Investing)
Topic: Passed Over For Promotion for Being too Good at My Job
Replies: 55
Views: 5571

Re: Passed Over For Promotion for Being too Good at My Job

There are about 20 comparable rolls to mine at my company. I am the best by a large margin. My productivity is 50% higher than the 2nd best person, and about 150% higher than the average. I have succeeded at many high profile projects and have a decade of management experience, but am not a manager...
by balbrec2
Sun Mar 31, 2019 3:29 pm
Forum: Personal Investments
Topic: Failed land investments and what to do with it?
Replies: 86
Views: 6460

Re: Failed land investments and what to do with it?

Or you'll end up paying another $1000 dollars for taxes in that time and it could be worth even less. Very good point... I'll negotiate with the land acquisition companies soon. Unless there is a chance there is oil under the land, take the lowball offers and think of this as a lesson for the future.
by balbrec2
Sun Mar 31, 2019 3:08 pm
Forum: Personal Investments
Topic: Mom retired with not quite enough savings, questions about annuity
Replies: 44
Views: 5547

Re: Mom retired with not quite enough savings, questions about annuity

Unfortunately, I think your mom had the number "65" in her mind as "retirement age" which is not uncommon. She doesn't have the money to retire. As others have advised, I think your mom needs to go back to work full time. She also needs to stop listening to her friends who seem about as clueless as...
by balbrec2
Fri Mar 29, 2019 3:28 pm
Forum: Personal Investments
Topic: Guaranteed 3% for the next 20 years or take a chance on the market?
Replies: 13
Views: 2528

Re: Guaranteed 3% for the next 20 years or take a chance on the market?

Scenario: - A person who is age 67 has $175,000 in an employer retirement account. This $175,000 is currently sitting in some type of product called a "Flex Advantage Plus" that is earning 3% interest a year. The 3% payout has been very steady and reliable for the past 10+ years and the 3% interest...
by balbrec2
Tue Mar 26, 2019 9:30 pm
Forum: Investing - Theory, News & General
Topic: time to move from short term bonds to longer term?
Replies: 52
Views: 4081

Re: time to move from short term bonds to longer term?

I know no one can predict which way interest rates will move, but since the Fed appears to have stopped/slowed down raising rates this year and maybe next year, is it time to move a percentage of money market and some short term bonds to intermediate or even longer term bonds in anticipation of get...
by balbrec2
Mon Mar 11, 2019 7:46 am
Forum: Investing - Theory, News & General
Topic: Rebalancing 401k
Replies: 6
Views: 508

Re: Rebalancing 401k

In the long run it's six of one , half a dozen of the other.
Question is do you need to bring your balance back immediately of gradually.
I personally would prefer all at once on a specific anniversary date.
Your money, your call.
by balbrec2
Fri Mar 08, 2019 11:26 pm
Forum: Personal Finance (Not Investing)
Topic: Worth Refinancing?
Replies: 16
Views: 741

Re: Worth Refinancing?

uclalee wrote:
Fri Mar 08, 2019 4:36 pm
Is it flawed logic to stay put and hope it will start tending down since we might be headed into an economic cooldown?
typically economic cool downs bring lower rates, not higher
by balbrec2
Fri Mar 08, 2019 11:09 am
Forum: Personal Investments
Topic: Pension or lump sum?
Replies: 35
Views: 2915

Re: Pension or lump sum?

Retiring at the end of March. Lump sum is $520,200. Pension is $34440/year with 75% spouse benefit. 6.6% normal return....4.5 IRR at 25 years, 4.9 at 30 years. I am 66, spouse is 61....both have parents who lived into 90s. Low seven figures in 401k. Never gave the pension a second thought until ret...
by balbrec2
Fri Mar 08, 2019 10:27 am
Forum: Investing - Theory, News & General
Topic: If I consider a pension as bonds then am I making a mistake if
Replies: 16
Views: 1036

Re: If I consider a pension as bonds then am I making a mistake if

I invest remainder in stocks. So ass me a 60K State pension, if I use a 4% withdrawal,assumption I would need a 1.5 MM pot to fund with zero draw down assumption. If I assume it as a 1 MM pot with a draw down of principal assumption, then can I assume this is equal to a 1 MM pot that is pretty much...
by balbrec2
Thu Mar 07, 2019 11:23 am
Forum: Investing - Theory, News & General
Topic: How to backtest dynamic asset allocation
Replies: 18
Views: 916

Re: How to backtest dynamic asset allocation

I know of know way to do what you ask although others may.
Even if you find a way, remember, back testing will only show you how
something did. You can't extrapolate that into the future. Anything can happen!
by balbrec2
Mon Mar 04, 2019 9:12 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Tale Of Two Stock Markets
Replies: 8
Views: 1816

Re: Larry Swedroe: Tale Of Two Stock Markets

Anyone reading this forum should be aware of this. The evidence is overwhelming. Any true BH following the 3 fund portfolio and staying invested according to a predetermined AA, it should not matter your political affiliation or which party is in power. Mixing politics and investing is a form of ma...
by balbrec2
Fri Mar 01, 2019 2:04 pm
Forum: Investing - Theory, News & General
Topic: Current expected return of stocks
Replies: 71
Views: 4670

Re: Current expected return of stocks

This is interesting to say the least. Take it for what its worth. Not sure how actionable it is!
https://www.gurufocus.com/stock-market-valuations.php
by balbrec2
Thu Feb 28, 2019 7:11 pm
Forum: Personal Finance (Not Investing)
Topic: When were you convinced that you had more than enough money?
Replies: 117
Views: 11597

Re: When were you convinced that you had more than enough money?

With the future being unknowable, too much is never enough!
by balbrec2
Wed Feb 27, 2019 8:33 pm
Forum: Personal Investments
Topic: Does anyone own gold?
Replies: 78
Views: 7601

Re: Does anyone own gold?

I get the investment arguments against it. It doesn't produce anything, historically hasn't held up to the S&P, etc. The hedge reasons to hold it may be very unlikely to happen, but they are catastrophic if they do occur. Federal debt actually becomes unsustainable, resulting in drastic budget cuts...
by balbrec2
Wed Feb 27, 2019 11:25 am
Forum: Personal Finance (Not Investing)
Topic: Buying a Home! Need RE guru advice
Replies: 19
Views: 1550

Re: Buying a Home! Need RE guru advice

MCraw25 wrote:
Tue Feb 26, 2019 9:10 pm
Hi,
Appreciate the responses.

We do have a high quality Realtor but not a lawyer.

We have a planned home inspection very soon. I believe that goes to the appraisal? Not planning a surveyor, should I?
Always retain an attorney for a real estate transaction, just sayin!
by balbrec2
Tue Feb 26, 2019 12:24 pm
Forum: Personal Investments
Topic: I'm essentially market timing, but can't bring myself to stop.
Replies: 71
Views: 6779

Re: I'm essentially market timing, but can't bring myself to stop.

DCA over a 1 year period and call it good.
by balbrec2
Sun Feb 10, 2019 4:58 pm
Forum: Personal Investments
Topic: Is this just too simple
Replies: 41
Views: 6261

Re: Is this just too simple

Sandtrap wrote:
Sun Feb 10, 2019 3:58 pm
VTMFX = Vanguard Tax Managed Balanced Fund Admiral Shares: Roughly 50/50 allocation.

VWENX = Vanguard Wellington Fund, Admiral: Roughly 34/60 (equity/fixed) allocation.
VWENX Wellington Admiral, is 65/35
by balbrec2
Thu Feb 07, 2019 3:40 pm
Forum: Personal Investments
Topic: VWELX, VWINX, or VBIAX ?
Replies: 20
Views: 1985

Re: VWELX, VWINX, or VBIAX ?

For the best of both worlds, do a 50/50 split between the balanced index fund
and Wellesley income. You will have a combo of active and index as well approximately
a 50/50 AA. Plug that into your portfolio visualizer. :happy
by balbrec2
Thu Feb 07, 2019 3:20 pm
Forum: Personal Investments
Topic: Valuation seem high. When to buy into 3-fund folio.
Replies: 24
Views: 2398

Re: Valuation seem high. When to buy into 3-fund folio.

There has always been a variety of reasons not to invest a lump sum.
Invest anyway.
You'll thank yourself later.
by balbrec2
Thu Feb 07, 2019 11:35 am
Forum: Personal Investments
Topic: Critique this Real Estate investment idea
Replies: 31
Views: 2081

Re: Critique this Real Estate investment idea

Your idea is based on some optimistic assumptions. Please provide more
info regarding your current age and financial assets and liabilities.
help us help you.
by balbrec2
Mon Feb 04, 2019 3:59 pm
Forum: Personal Investments
Topic: We won the game, went to 50/50, but it just doesn't feel right
Replies: 108
Views: 11798

Re: We won the game, went to 50/50, but it just doesn't feel right

If you've won the game but have the itch to keep playing, be prepared to
to have un won the game due to a severe market downturn. Only risk what you can afford while
keeping yourself in the win column.
by balbrec2
Thu Jan 31, 2019 5:51 pm
Forum: Investing - Theory, News & General
Topic: It was a dip. Did you notice? The December drop is over.
Replies: 96
Views: 11956

Re: It was a dip. Did you notice? The December drop is over.

Diversify, reinvest, rebalance, repeat! Never mind what the markets are doing.
Your AA and IPS should take care of you. just sayin!
by balbrec2
Wed Jan 30, 2019 1:48 pm
Forum: Investing - Theory, News & General
Topic: Opportunity Cost of [Holding] an Emergency Fund [in Cash/Bonds]
Replies: 60
Views: 3925

Re: Opportunity Cost of [Holding] an Emergency Fund [in Cash/Bonds]

Someone in the distribution phase will have a different need and likely amount of emergency fund than someone younger or in the accumulation phase. If you are retired and no longer working to support yourself, your needs will be more centered around needing a new furnace or hot water tank or car rep...
by balbrec2
Sat Jan 26, 2019 6:33 am
Forum: Investing - Theory, News & General
Topic: Why don't good ideas beat the market?
Replies: 33
Views: 2721

Re: Why don't good ideas beat the market?

Why do investors feel that they need to beat the market to
be successful? Success should be measured by being able to meet your
requirements.
by balbrec2
Fri Jan 25, 2019 11:10 am
Forum: Personal Investments
Topic: Thoughts on this for retirees?
Replies: 9
Views: 933

Re: Thoughts on this for retirees?

I don't thoroughly understand it and that is reason enough for me to stay away.
by balbrec2
Thu Jan 24, 2019 12:14 pm
Forum: Personal Investments
Topic: Best way to hold your emergency fund?
Replies: 19
Views: 2229

Re: Best way to hold your emergency fund?

Your emergency fund should not be counted as part of your long term portfolio.Typically emergency funds are only to hold 6-12 months of funds. Not sure what type of emergency you are saving for but 4 yrs seems excessive. Funds should held in short term instruments that are accessible in a day's noti...
by balbrec2
Thu Jan 24, 2019 12:04 pm
Forum: Personal Investments
Topic: My plan for Asset Allocaiton
Replies: 17
Views: 1300

Re: My plan for Asset Allocaiton

While the amount of capital under management is a consideration for AA selection, it should
be secondary to ones age. IMHO. More wealth allows for a more aggressive portfolio should one desire it.
But the over riding factor should be age and how much you are relying on the portfolio for income
by balbrec2
Thu Jan 24, 2019 11:47 am
Forum: Personal Investments
Topic: Balanced (VBIAX) vs Wellington (VWENX) math question
Replies: 18
Views: 2347

Re: Balanced (VBIAX) vs Wellington (VWENX) math question

Wellington posts higher dividends because it's stock holdings tend to be of higher yield. More of a value approach if you will. The balanced fund is more broadly diversified in both its stock and bond holdings being essentially and index fund. Also Wellington managers can cherry pick the yield curve...
by balbrec2
Wed Jan 23, 2019 9:12 am
Forum: Investing - Theory, News & General
Topic: Your Retirement W/D method and why?
Replies: 40
Views: 3811

Re: Your Retirement W/D method and why?

Thank you all, for your thoughtful replies
by balbrec2
Tue Jan 22, 2019 12:38 pm
Forum: Investing - Theory, News & General
Topic: Your Retirement W/D method and why?
Replies: 40
Views: 3811

Your Retirement W/D method and why?

I've reviewed the bogle head wiki page about retirement withdrawal methods. It is very comprehensive and explains the different methods well. My curiosity makes me ask, for those of you currently making withdrawals in retirement which method are you using and why. Or if you are doing something not o...
by balbrec2
Mon Jan 14, 2019 5:37 pm
Forum: Investing - Theory, News & General
Topic: How to avoid temptation to buy hot stocks or bitcoin?
Replies: 63
Views: 4486

Re: How to avoid temptation to buy hot stocks or bitcoin?

You are suffering from FOMO. What kind of investor are you? If you are normally a BH investing in a 2-4 fund portfolio, you need to stay away from outlets that put you onto this stuff to begin with. Knowing that is very difficult or even impossible you need to limit your gambling tendencies to about...
by balbrec2
Mon Jan 14, 2019 10:13 am
Forum: Personal Investments
Topic: Retirement portfolio
Replies: 14
Views: 1542

Re: Retirement portfolio

Do both Wellesley and LS cons growth. Let it ride. It will be fine!
by balbrec2
Mon Jan 14, 2019 10:10 am
Forum: Personal Investments
Topic: Biggest Investment Mistake
Replies: 200
Views: 15757

Re: Biggest Investment Mistake

Not starting sooner!
by balbrec2
Thu Jan 10, 2019 10:01 pm
Forum: Personal Investments
Topic: Two fund in retirememt
Replies: 5
Views: 499

Re: Two fund in retirememt

If you want the 50-50 stock-to-bond allocation that would result from a 50-50 Wellington and Wellesley allocation, but you want to reduce fees and manager risk but keep some funds under management, you could consider putting 50% into Wellesley and 50% into Vanguard's Balanced index. +1 excellent id...
by balbrec2
Wed Jan 09, 2019 9:02 pm
Forum: Personal Finance (Not Investing)
Topic: $40,000 in debt, bankruptcy seems to be the best option right now
Replies: 274
Views: 23630

Re: $40,000 in debt, bankruptcy seems to be the best option right now

Get a second job! No, really. Cutting expenses is part of the
equation but you can increase your income as well.
by balbrec2
Sun Jan 06, 2019 11:30 am
Forum: Investing - Theory, News & General
Topic: How do you view a savings surplus in retirement?
Replies: 117
Views: 6213

Re: How do you view a savings surplus in retirement?

I would view it as spendable but within the confines of my SWR.
Unless you are planning to leave a sizable legacy to heirs, go
enjoy your life to a greater degree than you other wise would.
by balbrec2
Mon Dec 31, 2018 9:09 am
Forum: Investing - Theory, News & General
Topic: Do long-term bonds belong in one's portfolio?
Replies: 236
Views: 14333

Re: Do long-term bonds belong in one's portfolio?

Simply put, bonds of all maturities belong in ones portfolio. Hence the total bond mkt index. Buy it and hold it. Keep it simple! Well, by holding Total Bond Market the two extremes cancel out and you end up with intermediate duration corporate bonds (1/3) and treasuries (2/3). If that’s what you w...
by balbrec2
Mon Dec 31, 2018 8:39 am
Forum: Investing - Theory, News & General
Topic: International Funds Still Relevant in a Simple Portfolio?
Replies: 74
Views: 5303

Re: International Funds Still Relevant in a Simple Portfolio?

What are you all doing with your International allocation? Staying the course or making any revisions in your master plan? International was never part of my master plan, but I altered my plan based on arguments on this forum and now have a US/ex-US ratio of about 75/25. However I am starting to re...
by balbrec2
Sat Dec 29, 2018 6:10 pm
Forum: Investing - Theory, News & General
Topic: How accurate are stock return forecasts?
Replies: 23
Views: 1259

Re: How accurate are stock return forecasts?

Any accuracy in these forecasts is mostly luck!