Search found 129 matches

by Starchild
Sat Oct 26, 2019 10:22 pm
Forum: Personal Investments
Topic: 11 Reasons to Carry a Big, Long Mortgage by Ric Edelman.
Replies: 93
Views: 11358

Re: 11 Reasons to Carry a Big, Long Mortgage by Ric Edelman.

The #1 good reason not to carry a mortgage - if the thought of having a mortgage keeps you awake at night. In which case maybe you shouldn't have gotten a mortgage in the first place. I think the #1 good reason not to carry a mortgage is that it's many thousands of dollars a year completely wasted ...
by Starchild
Thu Oct 24, 2019 9:24 am
Forum: Personal Investments
Topic: 11 Reasons to Carry a Big, Long Mortgage by Ric Edelman.
Replies: 93
Views: 11358

Re: 11 Reasons to Carry a Big, Long Mortgage by Ric Edelman.

The #1 good reason not to carry a mortgage - if the thought of having a mortgage keeps you awake at night. In which case maybe you shouldn't have gotten a mortgage in the first place. I think the #1 good reason not to carry a mortgage is that it's many thousands of dollars a year completely wasted ...
by Starchild
Wed Oct 23, 2019 7:04 am
Forum: Investing - Theory, News & General
Topic: Indexing beats Wellington and Wellesley right?
Replies: 168
Views: 32730

Re: Indexing beats Wellington and Wellesley right?

Am I getting this right? Are the capital gains higher really because Wellington made money last year and VTSAX didn't? No. The higher capital gain difference is due to 1) Wellington turnover rate is 34% versus 3.4% for VTSAX (i.e. Wellington does a lot more trading) and 2) Vanguard's patented proce...
by Starchild
Thu Oct 17, 2019 7:15 pm
Forum: Investing - Theory, News & General
Topic: Indexing beats Wellington and Wellesley right?
Replies: 168
Views: 32730

Re: Indexing beats Wellington and Wellesley right?

I have a large position in Wellington in taxable (no choice, money from house sale). Hopefully you use the distributions that Wellington forces on you for expenses and not for reinvestment, because it is very tax-inefficient otherwise. Even so, only 60% of dividends are qualified, so it would be be...
by Starchild
Thu Oct 17, 2019 4:29 am
Forum: Investing - Theory, News & General
Topic: Indexing beats Wellington and Wellesley right?
Replies: 168
Views: 32730

Re: Indexing beats Wellington and Wellesley right?

I have a large position in Wellington in taxable (no choice, money from house sale). Hopefully you use the distributions that Wellington forces on you for expenses and not for reinvestment, because it is very tax-inefficient otherwise. Even so, only 60% of dividends are qualified, so it would be be...
by Starchild
Wed Oct 09, 2019 10:27 pm
Forum: Investing - Theory, News & General
Topic: Indexing beats Wellington and Wellesley right?
Replies: 168
Views: 32730

Re: Indexing beats Wellington and Wellesley right?

I have a large position in Wellington in taxable (no choice, money from house sale). Say what you want about past performance, but this fund has been through all of the Great Depression, the financial crisis, and every other meltdown for the past 90 years and has still given an average return of ove...
by Starchild
Tue Oct 08, 2019 6:05 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in free fall
Replies: 12601
Views: 2181862

Re: U.S. stocks in free fall

I looked at the market this morning and then went to Boggleheads specifically for this thread. Not finding it on the first page is what really unnerved me. :shock: Speaking for myself, the S&P 500 at least has just been 'bunny hopping' for a while now, up a bit and then down a bit but not really go...
by Starchild
Wed Aug 21, 2019 8:08 am
Forum: Investing - Theory, News & General
Topic: The W’s [Wellesley or Wellington] over a bond fund?
Replies: 27
Views: 3417

Re: The W’s [Wellesley or Wellington] over a bond fund?

Wellesley obviously isn’t a bond substitute. Having said, in a hypothetical negative interest rates era: I’d probably be more inclined to swap it in for a bond fund than to crank up exposure to equity funds. That would be mental accounting, of course, but it wouldn’t be irrational. I hear ya. If we...
by Starchild
Wed Aug 21, 2019 6:33 am
Forum: Investing - Theory, News & General
Topic: The W’s [Wellesley or Wellington] over a bond fund?
Replies: 27
Views: 3417

Re: The W’s [Wellesley or Wellington] over a bond fund?

If you think you can substitute Wellesley for Total Bond without increasing risk, you are fooling yourself. There’s a continuum of risk, and associated expected return. On one end is Money Market and CD’s. On the other end is stocks. In between are short term bonds, long term bonds, corporate bonds...
by Starchild
Tue Aug 20, 2019 10:12 pm
Forum: Investing - Theory, News & General
Topic: The W’s [Wellesley or Wellington] over a bond fund?
Replies: 27
Views: 3417

Re: The W’s over a bond fund?

Right. People here use Total Bond for "safety" but it barely covers inflation. I can't see this as good advice to suggest this fund. Perhaps this article will be illuminating for you? https://jlcollinsnh.com/2017/12/20/the-bond-experiment-return-to-vbtlx/ This is not so much a "why hold bonds" inqu...
by Starchild
Mon Aug 19, 2019 4:41 am
Forum: Investing - Theory, News & General
Topic: The W’s [Wellesley or Wellington] over a bond fund?
Replies: 27
Views: 3417

Re: The W’s over a bond fund?

the Wellesly and Wellington funds hold bonds that have more credit risk that the bond index. I guess the point is, why take the bond fund risk when the yields are not much different than a money market? At least with the W’s you have good dividend stocks to give you better yields and gains. But thi...
by Starchild
Sun Aug 18, 2019 10:27 pm
Forum: Investing - Theory, News & General
Topic: The W’s [Wellesley or Wellington] over a bond fund?
Replies: 27
Views: 3417

Re: The W’s over a bond fund?

I would not. I think these funds have riskier bonds (longer term at least) than US Bond Index, but they effectively hide that from emotional investors who might worry about such things. I suppose I could be wrong about the average duration and maturity of the bonds in these funds, but it could easi...
by Starchild
Sun Aug 18, 2019 7:22 pm
Forum: Investing - Theory, News & General
Topic: The W’s [Wellesley or Wellington] over a bond fund?
Replies: 27
Views: 3417

Re: The W’s over a bond fund?

I would not. I think these funds have riskier bonds (longer term at least) than US Bond Index, but they effectively hide that from emotional investors who might worry about such things. I suppose I could be wrong about the average duration and maturity of the bonds in these funds, but it could easi...
by Starchild
Sun Aug 18, 2019 5:14 pm
Forum: Investing - Theory, News & General
Topic: The W’s [Wellesley or Wellington] over a bond fund?
Replies: 27
Views: 3417

Re: The W’s over a bond fund?

I would not. I think these funds have riskier bonds (longer term at least) than US Bond Index, but they effectively hide that from emotional investors who might worry about such things. I suppose I could be wrong about the average duration and maturity of the bonds in these funds, but it could easi...
by Starchild
Sun Aug 18, 2019 4:40 pm
Forum: Investing - Theory, News & General
Topic: The W’s [Wellesley or Wellington] over a bond fund?
Replies: 27
Views: 3417

The W’s [Wellesley or Wellington] over a bond fund?

It looks like both the W’s have higher yields than vanguards total bond fund. Would anyone consider using one or both of these in place of total bond? Sorry if this has been discussed already. Thanks! Starchild
by Starchild
Mon Aug 05, 2019 1:08 pm
Forum: Personal Investments
Topic: International Active Funds (at a reasonable price)
Replies: 31
Views: 2346

Re: International Active Funds (at a reasonable price)

Vanguard's Int'l Growth has done well for me, and has done well since 1981--a good track record. Also take a look at Morgan Stanley's Global Opportunity (MGGPX). No one here would suggest it based on it's fee, but it's pummeled almost everything since it's inception 10 years ago. Good luck!
by Starchild
Thu Jul 18, 2019 5:37 am
Forum: Personal Investments
Topic: Should I continue to hold REITs?
Replies: 61
Views: 11837

Re: Should I continue to hold REITs?

What were you wanting me to post? A dry recitation of numbers? Pretty much, I showed people how to use the information presented at Morningstar. Most of it can be accessed for free, without a subscription. Where was I advocating active management? Active management is defined by the BHB and BSB stu...
by Starchild
Tue Feb 19, 2019 3:00 pm
Forum: Personal Investments
Topic: Girlfriend's Financial Advisor Recommendations...
Replies: 63
Views: 8391

Re: Girlfriend's Financial Advisor Recommendations...

Although the fees are high, I wouldn't say these are "terrible funds." SBLGX has consistently beaten the S&P for the last 10 years. Yes, but this is 20/20 hindsight. If index funds beat 80% of actively managed funds, then I can find funds that have outperformed index funds in the remaining 20%. But...
by Starchild
Sun Feb 17, 2019 8:38 am
Forum: Personal Investments
Topic: Girlfriend's Financial Advisor Recommendations...
Replies: 63
Views: 8391

Re: Girlfriend's Financial Advisor Recommendations...

Best to stay out of the discussion since she wants to stay with an advisor who guides her to funds that pay him well. If she asks for your opinion give it. Has she asked? Because while the funds are terrible, it is her money. There is no need for an advisor in general, and her case is particularly ...
by Starchild
Mon Feb 04, 2019 6:37 pm
Forum: Personal Investments
Topic: Thoughts on VWIGX/VWILX? (Int'l Growth)
Replies: 4
Views: 1006

Thoughts on VWIGX/VWILX? (Int'l Growth)

I was looking to add a foreign slice to my retirement accounts at Vanguard and came across Vanguard International Growth Fund. It looks like it has a strong track record and low fees for an active fund. Any investors or thoughts on this fund?

Thanks!
Starchild
by Starchild
Sat Jan 26, 2019 3:27 pm
Forum: Personal Investments
Topic: PIMIX, income, cash, interest rates?
Replies: 68
Views: 9748

Re: PIMIX, income, cash, interest rates?

I've been with PIMIX for some time. You can't argue the return. The fee to me is justifiable being that the fund completely steps on total bond. The return is very good! Can you make that kind of return from a fund that is roughly 75% government bonds or AAA/AA bonds? or is it 75% AAA/AA/ US Govern...
by Starchild
Sat Jan 26, 2019 1:52 pm
Forum: Personal Investments
Topic: PIMIX, income, cash, interest rates?
Replies: 68
Views: 9748

Re: PIMIX, income, cash, interest rates?

I've been with PIMIX for some time. You can't argue the return. The fee to me is justifiable being that the fund completely steps on total bond.
by Starchild
Thu Jan 24, 2019 5:29 am
Forum: Investing - Theory, News & General
Topic: Does minimum volatility give better returns?
Replies: 31
Views: 3822

Re: Does minimum volatility give better returns?

Last year, I started a new account and purchased both VEA (Vanguard Developed) and EFAV (iShares min vol) to get an idea on what int'l best suits me. Basically, EFAV performed twice as strong as VEA (meaning it lost half less--down year). Now, on days when the market perked, it underperformed VEA fo...
by Starchild
Wed Jan 16, 2019 10:19 pm
Forum: Investing - Theory, News & General
Topic: John Bogle has died at age 89
Replies: 856
Views: 58686

Re: John Bogle has died at age 89

Never met the man, but incredibly thankful for his knowledge he passed on to us.
by Starchild
Wed Jan 09, 2019 10:39 pm
Forum: Personal Investments
Topic: I inherited individual stock. Should I sell it now or wait?
Replies: 28
Views: 2592

Re: I inherited individual stock. Should I sell it now or wait?

Think of it this way. If you decide to sell it for an index fund, you will still own that one company and many more. :-)
by Starchild
Tue Jan 01, 2019 9:09 am
Forum: Investing - Theory, News & General
Topic: Stay the Course! But...?
Replies: 11
Views: 2008

Re: Stay the Course! But...?

Stay the course with one fund or two fund or three fund or four fund. If you understand slice and dice as well with a an upper limit of say 8 funds. You do need to follow in a sequence 1. Broadly diversify 2. Buy the hay stack 3 keep costs low 4 then stay the course One Fund Target Date Fund Balanc...
by Starchild
Mon Dec 31, 2018 4:15 pm
Forum: Personal Investments
Topic: How much do SPY (SP500) and VO (mid-cap) overlap?
Replies: 10
Views: 489

Re: How much do SPY (SP500) and VO (mid-cap) overlap?

Does seem that the two overlap a bit, except in weight. I like the simplicity idea if having a minimum funds. This is a lot of help...many thanks everyone and happy new year!
by Starchild
Mon Dec 31, 2018 3:32 pm
Forum: Personal Investments
Topic: How much do SPY (SP500) and VO (mid-cap) overlap?
Replies: 10
Views: 489

How much do SPY (SP500) and VO (mid-cap) overlap?

Sorry if this has been addressed, but does anyone know how much these two large/mid cap etfs overlap? I have both, but would consider consolidating the two to just SPY if SPY contains the majority of VO.
Thanks!
Starchild
by Starchild
Sat Dec 29, 2018 7:46 am
Forum: Investing - Theory, News & General
Topic: Dave Ramsey [“good growth mutual fund”]
Replies: 73
Views: 8650

Re: Dave Ramsey

No, he does not, he cites AIVSX frequently (which has beaten the S&P I think since 1932 most of which wasn't any time in the last 20 years). His mix of AIVSX/AMCPX/AMRMX/AGTHX for actively managed funds to compare against the S&P has been beaten by the S&P over 10/15 year intervals and is beaten ev...
by Starchild
Tue Dec 25, 2018 6:26 pm
Forum: Investing - Theory, News & General
Topic: What have you learned this year
Replies: 90
Views: 7556

Re: What have your learned this year

Don’t get greedy
by Starchild
Fri Dec 21, 2018 8:51 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in free fall
Replies: 12601
Views: 2181862

Re: U.S. stocks in free fall

The S&P500 is down about 10% in 15 days. Which is a lot, but in order to lose $85k, you either invested $850k, or you are not very well diversified. You have to take the long view. If you’re doing it right, this is not the last time your portfolio balance will drop by $85k. I invested $1.2M and yes...
by Starchild
Fri Dec 21, 2018 6:30 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in free fall
Replies: 12601
Views: 2181862

Re: U.S. stocks in free fall

I suggest it is not a loss until you realize it by selling. That's a theoretical and unrealistically distant view of money I worked extremely hard to gain. I very much see that as a dreadful loss. The S&P500 is down about 10% in 15 days. Which is a lot, but in order to lose $85k, you either investe...
by Starchild
Fri Dec 14, 2018 8:51 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in free fall
Replies: 12601
Views: 2181862

Re: U.S. stocks in free fall

Don't forget: Be fearful when greedy, greedy when fearful :-)
by Starchild
Wed Dec 12, 2018 7:26 am
Forum: Investing - Theory, News & General
Topic: What Happened to you during the Financial crisis of 2007–2008
Replies: 249
Views: 22900

Re: What Happened to you during the Financial crisis of 2007–2008

These are helpful posts. As for me, my story is not as intriguing, but helpful too. In Oct. 2008 I purchased my first house. Since I am self-employed and work a lot in cash, it was almost impossible to find a no-doc loan. There was only one bank left that did. Thankfully it worked out. Several years...
by Starchild
Tue Dec 11, 2018 11:34 pm
Forum: Investing - Theory, News & General
Topic: VMVFX (Global Minimum Volatility) as core equity holding. Your opinion?
Replies: 174
Views: 15774

Re: VMVFX (Global Minimum Volatility) as core equity holding. Your opinion?

I'm not sure of this fund specifically, but have a position in EFAV, iShares min vol ETF. Over the course of this year, it has fared better than total world, sustaining only half the losses of VEA (Van Dev. Markets). I did notice, however, when big jumps happen in VEA, you are not getting the same i...
by Starchild
Fri Dec 07, 2018 5:05 pm
Forum: Personal Investments
Topic: Should I replace PIMCO Income Fund with an intermediate-term Treasury fund?
Replies: 14
Views: 2263

Re: Should I replace PIMCO Income Fund with an intermediate-term Treasury fund?

I hear ya and best of luck either way. Everyone has their own comfort level with all of this. I honestly feel that all investing is somewhat of a gray area for me. Who really knows what all these companies do to produce growth? Look at all this volatility. A lot of this is good faith that managers o...
by Starchild
Thu Dec 06, 2018 6:06 pm
Forum: Investing - Theory, News & General
Topic: Who else is getting excited? [about the market]
Replies: 145
Views: 14036

Re: Who else is getting excited?

I lost a lot of money this year. That's not exciting. Really? Are you in broad-based index funds? YTD total return on the SP500 was positive as of yesterday. So was Total Stock. Yes. International is not positive, nor is bonds. I also contribute monthly, so S&P funds, etc. were purchased at some pr...
by Starchild
Thu Dec 06, 2018 11:00 am
Forum: Investing - Theory, News & General
Topic: Who else is getting excited? [about the market]
Replies: 145
Views: 14036

Re: Who else is getting excited?

Starchild wrote: ↑Thu Dec 06, 2018 7:35 am I lost a lot of money this year. That's not exciting. Same here. I lump summed a large amount in late September, when total stock (VTI) was 150. Today it's 135. I am not excited. That must be the case of the 1/3 of lump summing, as people point out here, t...
by Starchild
Thu Dec 06, 2018 8:43 am
Forum: Investing - Theory, News & General
Topic: Who else is getting excited? [about the market]
Replies: 145
Views: 14036

Re: Who else is getting excited?

I lost a lot of money this year. That's not exciting. As did I and a lot of other people (year is not over yet). Think of it this way, if you would have not lost the money, would you have spent it or did you need to spend it over the next 10 years? If the answer is no, then just stay the course. If...
by Starchild
Thu Dec 06, 2018 6:35 am
Forum: Investing - Theory, News & General
Topic: Who else is getting excited? [about the market]
Replies: 145
Views: 14036

Re: Who else is getting excited?

I lost a lot of money this year. That's not exciting.
by Starchild
Wed Dec 05, 2018 2:13 pm
Forum: Personal Investments
Topic: Should I replace PIMCO Income Fund with an intermediate-term Treasury fund?
Replies: 14
Views: 2263

Re: Should I replace PIMCO Income Fund with an intermediate-term Treasury fund?

Thanks to both of you - great points. I'm going to sell the PIMIX and replace it with VFIUX (Vanguard intermediate-term Treasury). I own PIMIX for some time. It's a very large and diverse fund with nearly 7000 bonds and currently has a yield of over 5%. It also hasn't been hit as hard as total bond...
by Starchild
Sat Dec 01, 2018 1:45 pm
Forum: Personal Investments
Topic: The Disaster That Is General Electric Company Stock
Replies: 53
Views: 10374

Re: The Disaster That Is General Electric Company Stock

The lesson should be that buying individual stocks takes uncompensated risk. An individual stock can go to zero. While that could happen to the entire stock market, it is dramatically less likely than it happening to an individual stock. I'm not sure what you mean by "uncompensated risk". People ha...
by Starchild
Sat Dec 01, 2018 7:52 am
Forum: Personal Investments
Topic: The Disaster That Is General Electric Company Stock
Replies: 53
Views: 10374

Re: The Disaster That Is General Electric Company Stock

The lesson should be that buying individual stocks takes uncompensated risk. An individual stock can go to zero. While that could happen to the entire stock market, it is dramatically less likely than it happening to an individual stock. I'm not sure what you mean by "uncompensated risk". People ha...
by Starchild
Tue Nov 20, 2018 10:08 pm
Forum: Personal Investments
Topic: Which Vanguard fund closely resembles Pimco Income (PONAX)
Replies: 16
Views: 2170

Re: Which Vanguard fund closely resembles Pimco Income (PONAX)

it was one of the few choices in an old 403(b). I have had it for about 11 years and it has managed to make over 9%. I am thinking about switching it out. If it's performed well for you, why not leave it alone? f you want a cheaper Pimco class, try PIMIX if available. It's about half the expense
by Starchild
Tue Nov 20, 2018 9:20 pm
Forum: Personal Investments
Topic: technology index funds
Replies: 18
Views: 2727

Re: technology index funds

What is your opinion on the technology index funds? I have 43% of my portfolio in nasdaq and technology. I am 62 years old. Alexandra: In the 2000 bear market, the average technology stock lost about 90% of its value. Holding 43% of your portfolio in nasdaq and concentrated technology stocks at age...
by Starchild
Wed Nov 14, 2018 2:59 pm
Forum: Investing - Theory, News & General
Topic: Dave Ramsey's advice on investing?
Replies: 67
Views: 8454

Re: Dave Ramsey's advice on investing?

I think Dave’s principles are similar to bogleheads in a sense of simplicity and diversity. From what I can tell, He only keeps 4 funds: small/mid/large cap and intl. the bonds and the funds he chooses to invest in are the difference. To each his own in what funds to buy. For one, People have been u...
by Starchild
Wed Nov 14, 2018 1:51 pm
Forum: Personal Investments
Topic: I can't take this anymore=) I'm selling stocks and buying bonds!
Replies: 132
Views: 23242

Re: I can't take this anymore=) I'm selling stocks and buying bonds!

Selling now locks in your loss. However, if you feel these index’s will never go up again, however unlikely, then sell. Otherwise at least wait till you break even again to sell if you haven’t the belly for it.
by Starchild
Sat Oct 27, 2018 8:37 am
Forum: Investing - Theory, News & General
Topic: Too Much Apple [AAPL] Stock
Replies: 68
Views: 8855

Re: Too Much Apple [AAPL] Stock

I had a similar problem with Apple stock. I still have it, but have added to other parts of the portfolio to reduce it's weight.
by Starchild
Wed Oct 17, 2018 10:01 pm
Forum: Personal Investments
Topic: Chase Private Client -- Worth it to hold Vanguard Funds?
Replies: 33
Views: 17474

Re: Chase Private Client -- Worth it to hold Vanguard Funds?

Thank you for this post. My IRA accounts are at Chase and had no idea Vanguard admiral share were available and had free trades. I am in the process of transferring my taxable account to Vanguard, but now will look into Chase and keep it under one roof.
by Starchild
Wed Sep 26, 2018 10:00 pm
Forum: Investing - Theory, News & General
Topic: I'm switching to Vanguard (yay!). Is it an easy transfer?
Replies: 16
Views: 1543

Re: I'm switching to Vanguard (yay!). Is it an easy transfer?

Folks, My brokerage account at Cap One Investing (taxable) is being bought out by E-Trade, but have decided to switch it to Vanguard instead. Has anyone done a switch and could tell me if it's a fairly smooth transaction? It's started rough. I called Vanguard to help me through the process online (...