Search found 2549 matches

by vineviz
Sun Jan 06, 2019 5:30 pm
Forum: Personal Finance (Not Investing)
Topic: Do you take inheritance into account when calculating net worth?
Replies: 68
Views: 4484

Re: Do you take inheritance into account when calculating net worth?

1) I don't think "net worth" is useful for anything other than letting financial advisors and others judge how good a prospect you are. It's not something you need to know yourself, and not something you want other people to know, it's something other people want to know about you. 2) No, I would o...
by vineviz
Sun Jan 06, 2019 5:28 pm
Forum: Investing - Theory, News & General
Topic: Fidelity Files for Four Fidelity ZERO℠ Funds (0.00% ER)
Replies: 798
Views: 81462

Re: Fidelity ZERO funds?

So, I'm a small investor. I have about $215,000 of assets. I wanted to increase my international stock exposure, but didn't want to sell any other part of my portfolio to come up with the $3,000 for a new Vanguard fund. So I started a Fidelity account and invested in FILX Fidelity ZERO Internationa...
by vineviz
Sun Jan 06, 2019 2:09 pm
Forum: Investing - Theory, News & General
Topic: Long bonds and duration risk and market efficiency
Replies: 47
Views: 2186

Re: Long bonds and duration risk and market efficiency

So I see how there is some feedback loop (rates go up, you get to take a little advantage of it with the coupons of the long bonds) but I am not sure they fully cancel out mathematically if the duration matches the horizon. Clearly if rates go up, you'd want the bond to mature immediately such that...
by vineviz
Sun Jan 06, 2019 10:15 am
Forum: Investing - Theory, News & General
Topic: Long bonds and duration risk and market efficiency
Replies: 47
Views: 2186

Re: Long bonds and duration risk and market efficiency

Ok so if I understand what you're saying is that because whatever predictions and expectations of risk are factored into the price, then a higher yield, in general, is associated with a higher risk. That's risk and return 101 so I get that. The next step is that because long bonds still technically...
by vineviz
Sun Jan 06, 2019 8:13 am
Forum: Investing - Theory, News & General
Topic: Long bonds and duration risk and market efficiency
Replies: 47
Views: 2186

Re: Long bonds and duration risk and market efficiency

I still feel really lost as to what to do. Honestly, I think I might just end up using the lazy way out: ¨LT seems like what I should do at my age, but feels wrong with such low yield spreads that no author I have read would recommend; ST looks very attractive as it yields almost as much as IT with...
by vineviz
Sat Jan 05, 2019 7:37 pm
Forum: Investing - Help with Personal Investments
Topic: Diversifying out of employer stock
Replies: 6
Views: 654

Re: Diversifying out of employer stock

Or, is there a fund I haven't discovered that buys the total market minus the common top ten holdings (the closest option I have found here is RSP Guggenheim S&P 500 Equal Weight ETF)? You could take this one step further and use the Reverse Cap Weighted US Large Cap ETF (RVRS), which weights S&P 5...
by vineviz
Sat Jan 05, 2019 11:23 am
Forum: Investing - Theory, News & General
Topic: Long bonds and duration risk and market efficiency
Replies: 47
Views: 2186

Re: Long bonds and duration risk and market efficiency

The Social Security trust funds by law can only invest in special issue Treasuries (not publicly traded Treasuries). What would you guess is the weighted average maturity of their holdings? The answer is ~7 years. And social security (being a program that covers a majority of workers of all ages) s...
by vineviz
Sat Jan 05, 2019 9:05 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: investing Uncomfortably
Replies: 88
Views: 7695

Re: Factor funds: Active or Passive?

Does this translate to selling low (on assets no longer eligible to meet the screening criteria)? It seems like it would. Not necessarily, and certainly not in theory. I mean, some stocks will certainly drop out of a value fund (for instance) because their fundamentals deteriorate horribly. But oth...
by vineviz
Fri Jan 04, 2019 5:33 pm
Forum: Investing - Help with Personal Investments
Topic: noob asset allocation question
Replies: 3
Views: 205

Re: noob asset allocation question

Here are my questions, from reading the site it sounds like the rule of thumb for bonds is your age. I'm 36 and yet the target date funds for my approximate retirement (2045) only hold 10-15% bonds.. why is that? This "age in bonds" rule of thumb is ancient advice, no longer appropriate (if it ever...
by vineviz
Fri Jan 04, 2019 4:03 pm
Forum: Investing - Theory, News & General
Topic: Index Funds - 'Herding' Behavior?
Replies: 20
Views: 2269

Re: Index Funds - 'Herding' Behavior?

Index funds are far more than just Total Stock Market and the S&P 500. I bought an index fund today that's neither of them, so I'm not chasing the biggest & most over-valued stocks on the planet. +1 I own seven funds. Six of them track an index, and NONE of them track the S&P 500. But if someone wa...
by vineviz
Fri Jan 04, 2019 1:57 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: investing Uncomfortably
Replies: 88
Views: 7695

Re: Factor funds: Active or Passive?

If factor funds are indeed successful at identifying “winners” based on their specified criteria, aren’t they also in a somewhat constant churn of selling the losers (as they drop out of the...is index the right word)? I'm not sure how you define "winner" in this context, but "identifying winners" ...
by vineviz
Fri Jan 04, 2019 12:48 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: investing Uncomfortably
Replies: 88
Views: 7695

Re: Factor funds: Active or Passive?

I don't think that a buy/hold range makes a fund active. It makes it "not an index fund", but as long as it's all done mechanically (no human picking stocks or times) it's still perfectly passive and it's cap weighted. But now you're back to a definition of "passive" that includes the vast majority...
by vineviz
Fri Jan 04, 2019 12:40 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: investing Uncomfortably
Replies: 88
Views: 7695

Re: Factor funds: Active or Passive?

Yeah I think the distinction for them is they consider cap weighted style funds passive but something weighted by another factor other than price in its market segment would be active. So any smart beta product is active in their view I totally agree with this view. Smart beta is a transparent atte...
by vineviz
Fri Jan 04, 2019 12:29 pm
Forum: Investing - Help with Personal Investments
Topic: BAM Advisor: Advice on alt funds and allocations
Replies: 54
Views: 2599

Re: BAM Advisor: Advice on alt funds and allocations

It is amusing that you consider Bogleheads are a bunch of random posters on internet with no knowledge of finance and aren't qualified to provide second opinion. I'm glad you find it amusing. This forum is an amazing resource, containing a wealth of great information posted by many intelligent and ...
by vineviz
Fri Jan 04, 2019 12:13 pm
Forum: Personal Consumer Issues
Topic: Need Recommendation for Paint Color
Replies: 27
Views: 1268

Re: Need Recommendation for Paint Color

I'm looking for ideas as to a favorite very pale, neutral beige color to paint a room. I know greige (grey/beige) is popular, but my it wouldn't work in the room. Do you have any favorites? I've purchased a few sample colors, but I haven't found anything that is to my liking. Thought I would ask if...
by vineviz
Fri Jan 04, 2019 11:56 am
Forum: Investing - Help with Personal Investments
Topic: BAM Advisor: Advice on alt funds and allocations
Replies: 54
Views: 2599

Re: BAM Advisor: Advice on alt funds and allocations

Do you also think the same way about your doctor. In other words, do we go to our doctor and take everything they tell us without any questioning or taking a second opinion especially on critical decisions. On other hand, what we have is more akin a scenario in which someone decides to reject the c...
by vineviz
Fri Jan 04, 2019 10:12 am
Forum: Investing - Theory, News & General
Topic: Case study Broker trade executions
Replies: 261
Views: 31126

Re: Case study Broker trade executions

If you're a retail investor, you're always paying the prevailing spread. Generally not. Usually the broker is going to give significant price improvement. There is extreme competition at this level. Many times when I've bought an oddlot I've paid the bid price. I might argue that price improvement ...
by vineviz
Fri Jan 04, 2019 10:03 am
Forum: Investing - Theory, News & General
Topic: What are some critiques of passive investing/index funds?
Replies: 75
Views: 5662

Re: What are some critiques of passive investing/index funds?

Except that increasing concentration of ownership is already a problem and is reducing competition. Is it so hard to believe that increased ownership by passive index funds are a major contributor of this trend? https://finance.eller.arizona.edu/sites/finance/files/grullon_11.4.16.pdf Here we are d...
by vineviz
Thu Jan 03, 2019 8:30 pm
Forum: Investing - Theory, News & General
Topic: Case study Broker trade executions
Replies: 261
Views: 31126

Re: Case study Broker trade executions

livesoft wrote:
Sun Mar 25, 2018 11:49 am
lazyday wrote:
Sun Mar 25, 2018 11:45 am
It sounds like there is no disadvantage to using a marketable limit order, instead of a market order?
I think the disadvantage would be that you would pay the full spread more often than not.
If you're a retail investor, you're always paying the prevailing spread.
by vineviz
Thu Jan 03, 2019 8:22 pm
Forum: Investing - Help with Personal Investments
Topic: 401k Mid Cap Fund Choices
Replies: 5
Views: 302

Re: 401k Mid Cap Fund Choices

Hi all! First time poster, but long time lurker. I recently rolled over my wife's 401k to the new employer plan. It has two options for mid-cap index funds. 1. VMGMX 2. FSMAX If you already have a large cap index fund and a small cap index fund chosen then neither of these is really warranted. Betw...
by vineviz
Thu Jan 03, 2019 7:48 pm
Forum: Investing - Help with Personal Investments
Topic: BAM Advisor: Advice on alt funds and allocations
Replies: 54
Views: 2599

Re: Advice on alt funds and allocations

Alts 15.5% (LENDX 6.7%, QSPRX 5.8%, DFGEX 2.7%) The expense ratio on LENDX is 4.57% and the one on QSPRX is 2.23%. These are outrageously expensive in my opinion and automatically burn your money if the fund's strategy is anything less than a spectacular success. I would never even consider holding...
by vineviz
Thu Jan 03, 2019 5:39 pm
Forum: Investing - Theory, News & General
Topic: What are some critiques of passive investing/index funds?
Replies: 75
Views: 5662

Re: What are some critiques of passive investing/index funds?

Again the basic difference is that if active managers from the same company gained effective controlling interest in every major company in an industry, that would be relatively straightforward to regulate. You'd just impose firm-wide position controls which did not allow it. That wouldn't interfer...
by vineviz
Thu Jan 03, 2019 3:54 pm
Forum: Investing - Theory, News & General
Topic: "Vanguard Minimum Investment Cuts Overdue"
Replies: 47
Views: 4257

Re: "Vanguard Minimum Investment Cuts Overdue"

I concur, this was a necessary step for them to get to their goal of a lower cost competition, but I am afraid that alot of folks are going to not so happy when they find out the LS and Target Date funds are going to still be more expensive. The point I was trying to make is that you can expect to ...
by vineviz
Thu Jan 03, 2019 3:46 pm
Forum: Investing - Help with Personal Investments
Topic: BAM Advisor: Advice on alt funds and allocations
Replies: 54
Views: 2599

Re: Advice on alt funds and allocations

staustin, now that I am sufficiently alarmed can you elaborate some? In meetings with this FA and in reviewing the Monte Carlo results, this is the AA that best gave me a high enough probability of portfolio success. Without significantly reducing spending in retirement, what are my alternatives? Y...
by vineviz
Thu Jan 03, 2019 3:03 pm
Forum: Investing - Theory, News & General
Topic: "Vanguard Minimum Investment Cuts Overdue"
Replies: 47
Views: 4257

Re: "Vanguard Minimum Investment Cuts Overdue"

Why does Vanguard not address the fees for the LifeStrategy Funds? These funds of funds invest in investor class shares. It is understandable to a point, since Vanguard does not lay on an extra level of administrative fees for the LS funds. However, the LS funds are not receiving comparable fee red...
by vineviz
Thu Jan 03, 2019 1:55 pm
Forum: Investing - Theory, News & General
Topic: Vanguard To Liquidate Convertible Securities Fund
Replies: 24
Views: 1763

Re: Vanguard To Liquidate Convertible Securities Fund

And a logical replacement for this fund (among Vanguard funds, available in Vanguard mutual fund accounts) would be... ? The logical replacement would be no replacement: if you already own both US stocks and US bonds, Vanguard Convertible Securities wasn't really adding anything much to the mix. If...
by vineviz
Thu Jan 03, 2019 12:31 pm
Forum: Investing - Theory, News & General
Topic: Vanguard To Liquidate Convertible Securities Fund
Replies: 24
Views: 1763

Re: Vanguard To Liquidate Convertible Securities Fund

"Vanguard determined that investors could achieve similar risk-return exposures and long-term returns by investing in a diversified, balanced portfolio of global stock and bond funds." If investors should own the market portfolio, why should convertibles or preferred stocks be excluded from that? I...
by vineviz
Wed Jan 02, 2019 6:38 pm
Forum: Investing - Help with Personal Investments
Topic: Target date fund vs Intelligent portfolio
Replies: 36
Views: 1575

Re: Target date fund vs Intelligent portfolio

sambb wrote:
Wed Jan 02, 2019 6:36 pm
i would avoid the noise herein, and invest in the target date and set it and forget it, you will do better than most investors
If the OP wasn't effectively facing a 1.5% sales load on that target date fund I'd probably agree.
by vineviz
Wed Jan 02, 2019 6:36 pm
Forum: Investing - Help with Personal Investments
Topic: VG advises 15% International Bonds (VTABX)... Why?
Replies: 48
Views: 3380

Re: VG advises 15% International Bonds (VTABX)... Why?

Uncompensated volatility is always worth hedging out. I'd argue that the long-run expected return from exchange rate fluctuations is approximately zero. Because that volatility is uncorrelated with the rest of a stock/bond portfolio AND because there is a cost to hedging away that volatility, I'd a...
by vineviz
Wed Jan 02, 2019 6:30 pm
Forum: Investing - Help with Personal Investments
Topic: Target date fund vs Intelligent portfolio
Replies: 36
Views: 1575

Re: Target date fund vs Intelligent portfolio

Wow, thank you! I was unfamiliar with SVSPX and PBDIX, I was also unfamiliar with portfolio visualizer which is a great tool! What's nice is I have until the end of the month to choose my funds. I have now added these two funds into my consideration, I am 24 years old. Is it a feasible idea to inve...
by vineviz
Wed Jan 02, 2019 5:19 pm
Forum: Investing - Help with Personal Investments
Topic: VG advises 15% International Bonds (VTABX)... Why?
Replies: 48
Views: 3380

Re: VG advises 15% International Bonds (VTIAX)... Why?

In this case, 'there are valid reasons for NOT 'taking that action' . (1) Simplicity. (2) The projected advantage seems quite small. (3) There are likely many factors that add noise in the short term. #1 + #2 + #3 alone would discourage me from using international bonds. (5) What is the risk/benefi...
by vineviz
Wed Jan 02, 2019 5:10 pm
Forum: Investing - Help with Personal Investments
Topic: Target date fund vs Intelligent portfolio
Replies: 36
Views: 1575

Re: Target date fund vs Intelligent portfolio

So I am planning on just purchasing a VG target date fund and paying the 6.95 commission once a month. I am contributing $460/month and 6.95 is less than 2% of that, still a huge savings from what I would pay at Oppenheimer! 5.75 load!! This is an unnecessarily expensive solution, IMHO. At TD Ameri...
by vineviz
Wed Jan 02, 2019 5:08 pm
Forum: Investing - Help with Personal Investments
Topic: Target date fund vs Intelligent portfolio
Replies: 36
Views: 1575

Re: Target date fund vs Intelligent portfolio

So I am planning on just purchasing a VG target date fund and paying the 6.95 commission once a month. I am contributing $460/month and 6.95 is less than 2% of that, still a huge savings from what I would pay at Oppenheimer! 5.75 load!! This is an unnecessarily expensive solution, IMHO. At TD Ameri...
by vineviz
Wed Jan 02, 2019 4:50 pm
Forum: Investing - Help with Personal Investments
Topic: Target date fund vs Intelligent portfolio
Replies: 36
Views: 1575

Re: Target date fund vs Intelligent portfolio

So I am planning on just purchasing a VG target date fund and paying the 6.95 commission once a month. I am contributing $460/month and 6.95 is less than 2% of that, still a huge savings from what I would pay at Oppenheimer! 5.75 load!! This is an unnecessarily expensive solution, IMHO. At TD Ameri...
by vineviz
Wed Jan 02, 2019 2:41 pm
Forum: Investing - Help with Personal Investments
Topic: VG advises 15% International Bonds (VTABX)... Why?
Replies: 48
Views: 3380

Re: VG advises 15% International Bonds (VTABX)... Why?

It's fine if you want to stick with the U.S. bonds, but don't do it based on the apparent yield. Also, don't do it based on ... ongoing projected rise in US interest rates ... Unless the OP is the governor of one of the Federal Reserve banks (or flies around in a little blue box) they don't know an...
by vineviz
Wed Jan 02, 2019 1:56 pm
Forum: Investing - Help with Personal Investments
Topic: VG advises 15% International Bonds (VTABX)... Why?
Replies: 48
Views: 3380

Re: VG advises 15% International Bonds (VTIAX)... Why?

...The BH case for including international bonds is pretty simple: they provide additional diversification to the portfolio, helping reduce the volatility of your portfolio without necessarily decreasing its return... 1) Do you seriously believe that a reduction in volatility from a standard deviat...
by vineviz
Wed Jan 02, 2019 1:33 pm
Forum: Investing - Help with Personal Investments
Topic: Target date fund vs Intelligent portfolio
Replies: 36
Views: 1575

Re: Target date fund vs Intelligent portfolio

I am able to make my decision on my SIMPLE IRA, I have narrowed my decisions down to two. Either the Vanguard target date fund 2055 or 2060. Or going the intelligent portfolio route. Does anyone have any advice on the strategy of choosing one target date fund? Or does anyone have any insight/experi...
by vineviz
Wed Jan 02, 2019 1:29 pm
Forum: Investing - Help with Personal Investments
Topic: VG advises 15% International Bonds (VTABX)... Why?
Replies: 48
Views: 3380

Re: VG advises 15% International Bonds (VTIAX)... Why?

Wow, Thanks for the fast replies ...and from Rick Ferri too! (I have read his work) This aligns with my thinking but am not closed to International Bonds, if there are some BH opinions supporting them? Am I correct about potential increased volatility and lower yields with IB's ? (especially with t...
by vineviz
Wed Jan 02, 2019 10:41 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard Funds Questions
Replies: 3
Views: 257

Re: Vanguard Funds Questions

1) For Vanguard funds, if VIVAX(Vanguard Value Index) is closed, should I use VTV(Vanguard Value ETF) instead. Is there any difference interns of investment result? The ETF is totally fine, and is just another share class of the same fund. There is another mutual fund share class, though: Vanguard ...
by vineviz
Wed Jan 02, 2019 9:57 am
Forum: Investing - Help with Personal Investments
Topic: Drop Stocks Altogether: Age Dependent Decision?
Replies: 23
Views: 1577

Re: Drop Stocks Altogether: Age Dependent Decision?

I'm seriously considering reducing my stock allocation to zero. I know this is a very personal decision involving many factors (size of portfolio, tolerance for risk, family medical history etc. etc.). The possibility of suffering a big loss in stocks at this point in life seems to be overwhelming ...
by vineviz
Wed Jan 02, 2019 9:08 am
Forum: Investing - Theory, News & General
Topic: Invesco to close two micro cap ETFs
Replies: 20
Views: 1318

Re: Invesco to close two micro cap ETFs

So that raises the obvious question: if not all micro-cap funds do what they are supposed to do, how do you identify in advance the ones that will? Can someone point to some article published, say in 2006 or so, that would have spelled out just how PZI and WMCR were different from IWC and FDM? I ca...
by vineviz
Wed Jan 02, 2019 7:46 am
Forum: Investing - Theory, News & General
Topic: Invesco to close two micro cap ETFs
Replies: 20
Views: 1318

Re: Invesco to close two micro cap ETFs

How much trading volume and AUM do you think is enough to be confident that the ETF will last? I've been thinking about this lately. I'm looking at two Emerging Market Bond ETFs from iShares: EMB and LEMB : * EMB looks pretty safe. It has a $14B AUM and 2M daily trading volume. * LEMB doesn't look ...
by vineviz
Wed Jan 02, 2019 12:35 am
Forum: Investing - Help with Personal Investments
Topic: Best SCV to choose from?
Replies: 27
Views: 3565

Re: Best SCV to choose from?

VBR is a fine fund, especially given the expense, but it's not nearly as comparable to VIOV/SLYV/IJS as it used to be. I think you have mentioned this before but the different cap sizes make it hard to compare the valuey ness of the two funds right? I prefer to look at factor regressions (a la Port...
by vineviz
Wed Jan 02, 2019 12:26 am
Forum: Investing - Help with Personal Investments
Topic: Best SCV to choose from?
Replies: 27
Views: 3565

Re: Best SCV to choose from?

drk wrote:
Wed Jan 02, 2019 12:09 am
^ You mean that it changed to CRSP, not to S&P.
Yes, thanks. I'll fix the typo now.
by vineviz
Tue Jan 01, 2019 11:52 pm
Forum: Investing - Help with Personal Investments
Topic: Best SCV to choose from?
Replies: 27
Views: 3565

Re: Best SCV to choose from?

The answer is it doesn’t matter; they have both had virtually identical performance over the past 15 years: https://www.portfoliovisualizer.com/fund-performance?s=y&symbol=VBR&benchmark=IJS&endDate=01%2F01%2F2019 It's important to remember that VBR (and the mutual fund class VISVX) has changed inde...
by vineviz
Tue Jan 01, 2019 11:28 pm
Forum: Investing - Help with Personal Investments
Topic: Best SCV to choose from?
Replies: 27
Views: 3565

Re: Best SCV to choose from?

Thats the $1000 question. Have read a dozen of SCV threads today....looking to place my Roth contribution into SCV but the more I read....the more the lines have blurred between some funds/etfs. Don't overthink it. The strong consensus among SCV investors on this forum is that the S&P 600 Value ind...
by vineviz
Mon Dec 31, 2018 7:00 pm
Forum: Investing - Help with Personal Investments
Topic: Vang Wellesley for Retirement
Replies: 45
Views: 5617

Re: Vang Wellesley for Retirement

Isn't it more prudent to put yourself at the mercy of the whole market rather a few fund managers? I will feel more secure using balanced index funds or some combination of their components. If you can point me to somewhere in the combined 128 years of these 2 funds that they were mis-managed then ...
by vineviz
Mon Dec 31, 2018 12:32 pm
Forum: Investing - Help with Personal Investments
Topic: How urgent is my Mom’s single-stock investment? (Sysco)
Replies: 35
Views: 1584

Re: How urgent is my Mom’s single-stock investment? (Cisco Systems)

To me, 5% is not particularly urgent. 10% is more so. I agree. A few months ago I started trying to figure out an objective way of measuring the concentration risk of owning a single stocks, and built a Google Sheet that I never fully tweaked. https://docs.google.com/spreadsheets/d/1KCywt7NNgN_unUu...
by vineviz
Mon Dec 31, 2018 12:24 pm
Forum: Investing - Theory, News & General
Topic: What are some critiques of passive investing/index funds?
Replies: 75
Views: 5662

Re: What are some critiques of passive investing/index funds?

The problem though isn't that a fund is controlling owner of 'several', but where it owns all of the companies in an industry so has reduced interest in those companies competing vigorously against one another. An active fund theoretically could end up in that position and Vanguard, BlackRock, Fide...