Search found 173 matches

by averagedude
Fri Sep 14, 2018 10:44 pm
Forum: Investing - Theory, News & General
Topic: Help w/ large annual bonus
Replies: 16
Views: 1885

Re: Help w/ large annual bonus

This is the classic lump sum vs. dollar cost averaging question. The short answer is that investing immediately wins about 2/3 of the time, but DCA is fine if that better suits your risk tolerance. Either way the key is to eventually get it invested. I totally agree with Afty. I would also say the ...
by averagedude
Fri Sep 14, 2018 10:29 pm
Forum: Investing - Help with Personal Investments
Topic: Total Bond or Total Bond/short-term
Replies: 48
Views: 4686

Re: Total Bond or Total Bond/short-term

I believe that people that ask this question is really asking if i should be strategic or tactical with their bond portfolio. Of course if you know that interest rates are going to go up it probably is best to be in a short term bond fund rather than a total bond fund. Both approaches has their meri...
by averagedude
Sat Aug 18, 2018 12:01 pm
Forum: Personal Finance (Not Investing)
Topic: Teachers Who Have Net Worth of $1 million +
Replies: 105
Views: 13618

Re: Teachers Who Have Net Worth of $1 million +

Seems to be some gloom and doom in this post on being a teacher in the US. To put it in perspective, if you and your spouse are teachers, you are in the top quartile in wage earnings. If both of you save just 10% of your income when you get out of college and invest it the boglehead way, when you re...
by averagedude
Tue Jul 31, 2018 5:16 pm
Forum: Investing - Help with Personal Investments
Topic: 88 Year old IRAs are in VBTLX
Replies: 13
Views: 1553

Re: 88 Year old IRAs are in VBTLX

Seems completely reasonable to me. I think it is important for an old investor to keep things simple where there is minimal decisions to make with their investments. When some people approach into their 90's they start to lose some of their cognitive function. Im glad to hear that your dad is in goo...
by averagedude
Tue Jul 31, 2018 5:06 pm
Forum: Investing - Theory, News & General
Topic: Do you tilt value?
Replies: 12
Views: 755

Re: Do you tilt value?

Yes, i tilt to small (25%) and value (85% blend 15% value). I try not to go overboard with it. I believe it is ok to do if you dont tinker, have a long time horizon, and comfortable if you should be wrong.
by averagedude
Sun Jul 29, 2018 8:09 pm
Forum: Investing - Theory, News & General
Topic: Some skeptical thoughts on real estate crowdfunding
Replies: 1
Views: 559

Re: Some skeptical thoughts on real estate crowdfunding

I absolutely know nothing about real estate crowd funding, but i do know that Clark Howard says to stay away from them for the reasons you state (fees). Ive listened to Clark Howard for several years and his advice has no conflicts of interest and is spot on.
by averagedude
Sun Jul 29, 2018 3:57 pm
Forum: Personal Finance (Not Investing)
Topic: When mortgage rates are high, why invest in stock market?
Replies: 36
Views: 4466

Re: When mortgage rates are high, why invest in stock market?

I bought my house in 1999 with an interest rate slightly above 7%. I saved roughly 20% of my income to tax deferred accounts and also payed more on the mortage and payed it off in 2010. I believe it is best to buy a house that you can pay off in 15 years and also be able to save 10% of your income f...
by averagedude
Sun Jul 22, 2018 7:41 pm
Forum: Investing - Theory, News & General
Topic: Inflation — Perspectives from Two Centuries, 1800-2016
Replies: 33
Views: 3293

Re: Inflation — Perspectives from Two Centuries, 1800-2016

I agree 100% with your assessment of inflation risks and the reasons behind it. Regardless of the gloom and doom that some people have espoused, the present and future seems less risky and more peaceful than the past. Investors who have been optimistic have been compensated well. With that being sai...
by averagedude
Sun Jul 22, 2018 3:40 pm
Forum: Investing - Help with Personal Investments
Topic: My meeting with the Vanguard PAS [Personal Advisor Services]
Replies: 23
Views: 3446

Re: My meeting with the Vanduard PAS

I think trying to work your numbers to last till 100 is way too conservative. Most retirees net worth have increased as they have got older and many of them were retired during the great recession. All of my older uncles and aunts in their 90s don't even spend their ssi and pension income, not to ev...
by averagedude
Sun Jul 22, 2018 9:22 am
Forum: Investing - Theory, News & General
Topic: My BH Experience
Replies: 1
Views: 482

Re: My BH Experience

That is the beauty of simplicity and the bogleheads way of investing.
by averagedude
Sat Jul 21, 2018 3:10 pm
Forum: Investing - Theory, News & General
Topic: Good Books on Investment?
Replies: 14
Views: 1080

Re: Good Books on Investment?

The Bogleheads reading list is a good source of book titles that you may wish to investigate whether you want to read them or not. I believe that this is the reading list that livesoft refers to: https://www.bogleheads.org/wiki/Category:Books_and_authors I also think that Taylor's investment "Gems"...
by averagedude
Sat Jul 21, 2018 3:01 pm
Forum: Investing - Help with Personal Investments
Topic: Help me understand Morningstar ratings please!
Replies: 14
Views: 862

Re: Help me understand Morningstar ratings please!

If i was using morningstar to select funds, i would look at fees and expenses way before i would their star ratings. Any savings on expenses is a guaranteed rate of return.
by averagedude
Sat Jul 21, 2018 10:35 am
Forum: Investing - Theory, News & General
Topic: I may have understood why it's so hard to save and invest
Replies: 75
Views: 11274

Re: I may have understood why it's so hard to save and invest

Hello everyone, I recently have the opportunity to save a 1-month equivalent paycheck (1500$) and invest it through my brokerage. However, although it cost me a "lot" of effort, my net worth of my portfolio only increase by 2% (portfolio of 75k$). I found it very discouraging actually because my ef...
by averagedude
Sat Jul 21, 2018 7:39 am
Forum: Investing - Theory, News & General
Topic: Short versus Intermediate Term Bond
Replies: 57
Views: 5411

Re: Short versus Intermediate Term Bond

Vanguard shows that the Short Term Bond ETF (BSV) has an estimated YTM of 2.8 years and a duration of 2.7 years, while the Intermediate Term Bond ETF (BIV) has an estimated YTM of 3.4% but a duration of 6.4 years. Given thyat it is a given that the Fed will continue increasing short term rates, why...
by averagedude
Thu Jul 19, 2018 9:42 pm
Forum: Investing - Help with Personal Investments
Topic: 401k Help Picking Funds 25 Year Old
Replies: 10
Views: 762

Re: 401k Help Picking Funds 25 Year Old

Good fund choices. This is my recommendation for your 80/20 allication. VINIX. 34% 500 index VEXAX. 22% extended market VTIAX. 24% total international VBTLX. 20% total bond This portfolio would give you 30% in international. Your domestic holdings will give you 60% in large companies and 40% in mid/...
by averagedude
Thu Jul 19, 2018 9:09 pm
Forum: Investing - Help with Personal Investments
Topic: Advice for someone just starting out?
Replies: 7
Views: 423

Re: Advice for someone just starting out?

A roth IRA. They can go to Vanguard and put their money in a target date retirement fund in the year they turn 65 or 70. $1000 minimum.
by averagedude
Thu Jul 19, 2018 4:55 am
Forum: Investing - Theory, News & General
Topic: Market timing benefit? Or just pure luck?
Replies: 15
Views: 2186

Re: Market timing benefit? Or just pure luck?

Actually if you are young and invest with a 80/20 portfolio, over a long time horizon it is best to never rebalance, but your asset allocation wont match your risk tolerance. If you are a young investor, rebalancing every 2 years is usually better than 1. If you are older and even retired, rebalanci...
by averagedude
Thu Jul 19, 2018 4:45 am
Forum: Investing - Theory, News & General
Topic: I may have understood why it's so hard to save and invest
Replies: 75
Views: 11274

Re: I may have understood why it's so hard to save and invest

Albert Einstein said that compound interest is the most powerful force in the universe. IF you could continue to compound your net worth at 2% a month, you will have over 1.2 million dollars in 12 years. I would love to have my net worth compound at that rate.
by averagedude
Wed Jul 18, 2018 7:19 pm
Forum: Local Chapters and Bogleheads Community
Topic: Post your Financial Milestone Announcements Here
Replies: 511
Views: 54520

Re: Seven figure milestone

Congrats! The first million is the hardest to get.
by averagedude
Sun Jul 15, 2018 10:51 pm
Forum: Investing - Help with Personal Investments
Topic: Grade my portfolio please, newbie here
Replies: 9
Views: 953

Re: Grade my portfolio please, newbie here

Since you seem to tilt to growth and are unsure about that, i would just stick to blend funds. By doing this you won't be wrong, but you won't be right either when it comes to value vs growth. Im not a huge fan of the managed fund Windsor. Since you have VTSAX, i would just get rid of the mid cap fu...
by averagedude
Sun Jul 15, 2018 9:41 pm
Forum: Investing - Theory, News & General
Topic: Why do small cap funds have very high PE ratio?
Replies: 5
Views: 710

Re: Why do small cap funds have very high PE ratio?

Looking at Vanguard, i see where the small cap blend fund has a trailing PE of 19.9 versus the 500 index of 21.0. If your sources are correct, i would think that the reason PE's are higher for small companies is because they have higher growth potential than larger companies.
by averagedude
Sun Jul 15, 2018 9:27 pm
Forum: Investing - Help with Personal Investments
Topic: Grade my portfolio please, newbie here
Replies: 9
Views: 953

Re: Grade my portfolio please, newbie here

Congrats on paying off your student loans. Im sure alot of your peers that are your age envy you because of this. Your portfolio is reasonable, but i believe having a portfolio that you can stay the course with is the upmost importance. Since you are young, i see no problem being heavily invested in...
by averagedude
Sun Jul 15, 2018 8:48 pm
Forum: Personal Finance (Not Investing)
Topic: Anyone not have a Budget?
Replies: 115
Views: 7481

Re: Anyone not have a Budget?

I started budgeting (spending plan) when i was 20 years old and i did it yearly instead of monthly. I do it old school with pen and paper. Takes probably 30 minutes of time per month. Amazingly, i got so good at it that i could estimate alot of categories of expenses to within 50 dollars. I contribu...
by averagedude
Sun Jul 15, 2018 6:37 pm
Forum: Investing - Help with Personal Investments
Topic: All-In VTSAX
Replies: 37
Views: 4182

Re: All-In VTSAX

Here's a paper on international exposure from Vanguard. It directly examines the idea that US-domiciled companies with global operations offer the equivalent of international stock ownership. https://personal.vanguard.com/pdf/ISGGEB.pdf That is an excellent paper from Vanguard. All DIY investors wh...
by averagedude
Sun Jul 15, 2018 3:43 pm
Forum: Investing - Help with Personal Investments
Topic: All-In VTSAX
Replies: 37
Views: 4182

Re: All-In VTSAX

I wonder how many people would consider dumping VTSAX and go all in international if the 10 year returns were reversed?
by averagedude
Sun Jul 15, 2018 11:49 am
Forum: Investing - Help with Personal Investments
Topic: Investing vs Debt
Replies: 12
Views: 740

Re: Investing vs Debt

Great advice from other posts. Contrary to what most people think, doctors just coming out of residency are the brokest people on the planet. I would strongly suggest that you keep lifestyle creep in check. Live like a middle class person until you get your student loans paid off. Avoid expensive ho...
by averagedude
Sun Jul 15, 2018 8:10 am
Forum: Investing - Help with Personal Investments
Topic: Should I simplify my portfolio and switch from 3 fund to 2 fund portfolio?
Replies: 45
Views: 2519

Re: Should I simplify my portfolio and switch from 3 fund to 2 fund portfolio?

Investing is like a bar of soap. The more you handle it, the more probability it will shrink.
by averagedude
Sun Jul 15, 2018 7:57 am
Forum: Investing - Theory, News & General
Topic: How to determine weights within portfolio
Replies: 29
Views: 1610

Re: How to determine weights within portfolio

Keep in mind, the long term returns you will get in the future will be mostly explained by how much you put into the bond fund portion of your four funds.
by averagedude
Sun Jul 15, 2018 7:39 am
Forum: Investing - Help with Personal Investments
Topic: Helping parent invest small windfall near retirement
Replies: 14
Views: 1154

Re: Helping parent invest small windfall near retirement

There is alot of great advice from other posters. Couldn't agree more about waiting till 70 to collect social security. Hopefully with a $80000 salary, she should be able to save something, so perhaps she could get by with only 20000 in an emergency fund. An online bank like Ally or Synchrony bank w...
by averagedude
Sun Jul 15, 2018 7:13 am
Forum: Investing - Help with Personal Investments
Topic: AA Help
Replies: 2
Views: 194

Re: AA Help

Since you are comfortable with your 47/53 asset allocation and if you can accomplish all of your goals, you should stick to it. A 50/50 portfolio is a great asset allocation to have in retirement.
by averagedude
Sun Jul 15, 2018 7:00 am
Forum: Investing - Help with Personal Investments
Topic: Need to generate income
Replies: 27
Views: 2693

Re: Need to generate income

I think it is best to focus on total return instead of income. Wold you rather have an investment with a total return of 4 percent paying out 3 percent in income or an investment with a total return of 6 percent paying out 2 percent in income? I think a three fund portfolio is way better than trying...
by averagedude
Sun Jul 15, 2018 6:49 am
Forum: Investing - Help with Personal Investments
Topic: Should I simplify my portfolio and switch from 3 fund to 2 fund portfolio?
Replies: 45
Views: 2519

Re: Should I simplify my portfolio and switch from 3 fund to 2 fund portfolio?

So right now I have about 60% VTI (US stock index) 30% VXUS (non-US stock index) 10% BND (US bond index) I'm thinking maybe I could make my stock portfolio even more simple and get rid of 30% VXUS and switch it to 90% VTI and 10% BND. Why? Because American companies still have their income coming f...
by averagedude
Fri Jul 13, 2018 10:11 pm
Forum: Personal Finance (Not Investing)
Topic: Take 5% of Folio age 75 Onward?
Replies: 14
Views: 1884

Re: Take 5% of Folio age 75 Onward?

I believe you will be fine taking a 5% withdrawal every year since you are 75. Studies have shown that retirees that started retirement withdrawing 4% , has seen their net worth increase as they age. Alot of these retirees went through the great recession also.
by averagedude
Fri Jul 13, 2018 7:33 pm
Forum: Investing - Help with Personal Investments
Topic: Retirement Planning
Replies: 13
Views: 1723

Re: Retirement Planning

Thanks delamer and ExitstateLeft (ruch fan i assume). If SS is still there which I seriously doubt. Been paying into it since 1996. Probably have a pretty good amount paid in by now. You have done a remarkable job building up your net worth. I believe SSI will be there. Even though you have been pa...
by averagedude
Fri Jul 13, 2018 4:59 am
Forum: Personal Consumer Issues
Topic: When does frugal cross the line to cheapskate?
Replies: 136
Views: 10231

Re: When does frugal cross the line to cheapskate?

I would say that anyone who has been frugal and has amassed alot of wealth, has been called a cheapskate by someone. Some people say Warren Buffet and Sam Walton are, but i disagree.
by averagedude
Fri Jul 13, 2018 4:49 am
Forum: Investing - Theory, News & General
Topic: COMING SOON: BOGLEHEADS PODCASTS
Replies: 362
Views: 17908

Re: COMING SOON: BOGLEHEADS PODCASTS

Bogleheads low cost investing.
by averagedude
Thu Jul 12, 2018 8:29 pm
Forum: Personal Finance (Not Investing)
Topic: What rate of return are you using for retirement projections?
Replies: 99
Views: 9805

Re: What rate of return are you using for retirement projections?

The projections i am using are somewhat conservative: Stocks. 3.5% real return Bonds. 0.5% real return Cash. 0.0% real return With your portfolio using these numbers will give you a 1.6% real return. This is exactly the kind of calculations I was looking for. How do you get 1.6% as the real return ...
by averagedude
Wed Jul 11, 2018 10:26 pm
Forum: Investing - Help with Personal Investments
Topic: What to invest 401k in?
Replies: 13
Views: 814

Re: What to invest 401k in?

These fund choices are reasonable selections. The only thing i personally don't like about it is it is leaving out emerging market equities and stocks in the pacific region. These selections has some tilts to small and mid size companies, but should do ok for a young investor like yourself. I would...
by averagedude
Wed Jul 11, 2018 10:08 pm
Forum: Personal Finance (Not Investing)
Topic: free dinner investing seminar
Replies: 318
Views: 27857

Re: free dinner investing seminar

neilpilot wrote:
Wed Jul 11, 2018 9:58 pm
averagedude wrote:
Wed Jul 11, 2018 9:40 pm
Ive always heard these dinners are at decent restraunts, but they always serve rubber chickens. The food is about as bad as the products they are selling.
Not my experience
Please tell me. What was better. The food or the products they were selling.
by averagedude
Wed Jul 11, 2018 10:03 pm
Forum: Investing - Theory, News & General
Topic: Can Inflation Timing Be Done?
Replies: 15
Views: 1125

Re: Can Inflation Timing Be Done?

I believe trying to determine interest rates is just as hard as determining where the stock market is headed. Back in 2008, just about everyone was saying the government was printing money and interest rates have to go up. Alot of people, including me were wrong. I would suggest you research the his...
by averagedude
Wed Jul 11, 2018 9:50 pm
Forum: Investing - Help with Personal Investments
Topic: Thoughts on using an ETF for TIPS investing
Replies: 22
Views: 2093

Re: Thoughts on using an ETF for TIPS investing

I believe you should know the purpose of your fixed income investments. It isn't the same for all investors. If your purpose is inflation protection, tips should be one of your primary holdings.
by averagedude
Wed Jul 11, 2018 9:40 pm
Forum: Personal Finance (Not Investing)
Topic: free dinner investing seminar
Replies: 318
Views: 27857

Re: free dinner investing seminar

Ive always heard these dinners are at decent restraunts, but they always serve rubber chickens. The food is about as bad as the products they are selling.
by averagedude
Wed Jul 11, 2018 9:30 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Look Past Expense Ratios
Replies: 71
Views: 6661

Re: Larry Swedroe: Look Past Expense Ratios

Larry raised a good point that DFA Funds give you better factor exposure compared to similar Vanguard Funds. So the somewhat higher fees charged by DFA in comparison to Vanguard might be worth the higher exposure to factors. But even then, when the Stock Market is in a Growth phase, Vanguard produc...
by averagedude
Wed Jul 11, 2018 9:17 pm
Forum: Investing - Theory, News & General
Topic: yield curve inversion
Replies: 48
Views: 4880

Re: yield curve inversion

Inverted yield curve and the CAPE at 30? THIS TIME IS DIFFERENT. Ever heard that before? Im just talking smack, but any time there is a big bear market, everyone says that it was obvious. I believe in staying the course, but it is prudent as ever to make sure that your risk level matches your asset ...
by averagedude
Wed Jul 11, 2018 9:03 pm
Forum: Investing - Help with Personal Investments
Topic: What to invest 401k in?
Replies: 13
Views: 814

Re: What to invest 401k in?

These fund choices are reasonable selections. The only thing i personally don't like about it is it is leaving out emerging market equities and stocks in the pacific region. These selections has some tilts to small and mid size companies, but should do ok for a young investor like yourself. I would ...
by averagedude
Wed Jul 11, 2018 8:10 pm
Forum: Investing - Help with Personal Investments
Topic: ADP 401K Funds Recommendations
Replies: 8
Views: 523

Re: ADP 401K Funds Recommendations

i am sorry but i am not going to give you any advice. I am going to instead complain on your part for such a sorry job that the trustees done on developing this 401k fund. Sometimes i wonder if the owner of this business is getting kickbacks on this plan. If so, something should be done about this. ...
by averagedude
Wed Jul 11, 2018 7:23 pm
Forum: Investing - Help with Personal Investments
Topic: Anyone have an opinion on this Fidelity portfolio (heavy on FCTDX)?
Replies: 4
Views: 463

Re: Anyone have an opinion on this Fidelity portfolio (heavy on FCTDX)?

I must admit i am a junkie when it comes to investing. I rarely see a mutual fund or etf that i don't like. I see big tilts on domestic or international, big tilts on large and small, and big tilts on growth or value. Darn i see tilts on develop or emerging. All of this said, the only guarantee i se...
by averagedude
Wed Jul 11, 2018 7:01 pm
Forum: Investing - Help with Personal Investments
Topic: Target date funds....unsophisticated?
Replies: 64
Views: 4899

Re: Target date funds....unsophisticated?

Quick post here.... Myself and my wife are currently maxing out our Roth’s with Vanguard 2055 funds....we are also funding employer matiching accounts, taxable, etc....but wanted to focus on the target date funds. I recently read a post of a member where they called target date funds “unsophisticat...
by averagedude
Wed Jul 11, 2018 6:45 pm
Forum: Personal Finance (Not Investing)
Topic: Credit score after becoming debt free?
Replies: 48
Views: 4032

Re: Credit score after becoming debt free?

I personally don't care about my credit score but my situation is different than yours. I will probably never try to obtain credit in the future unless it is for investment purposes only. Of course, i am in a comfort zone and i don't see that happening either. Having a good credit score does have si...
by averagedude
Wed Jul 11, 2018 6:23 pm
Forum: Investing - Help with Personal Investments
Topic: Buying CDs from Vanguard
Replies: 20
Views: 2657

Re: Buying CDs from Vanguard

Go to their investing page, go to find cds and bonds and then call Vanguard. They will walk you through the process if your computer skills are limited like me. Believe me, it is simple. Me personally, i try not to call them because i know that a phone call to them cost me and other investors money....