Search found 15 matches

by Zilvervloot
Fri Jan 10, 2020 9:44 am
Forum: Investing - Theory, News & General
Topic: HEDGEFUNDIE's excellent adventure Part II: The next journey
Replies: 2329
Views: 187791

Re: HEDGEFUNDIE's excellent adventure Part II: The next journey

Hi Ayros, I am also based in Europe and I am able to buy US ETFs via options (directly purchasing US ETFs has been made impossible due to legislation). Or you can just use equity and treasury futures? Not sure if this solves your problem. Main issue i have with leveraged ETFs and futures in US stock...
by Zilvervloot
Fri Dec 06, 2019 11:35 am
Forum: Investing - Theory, News & General
Topic: Lifecycle Investing - Leveraging when young
Replies: 768
Views: 60546

Re: Lifecycle Investing - Leveraging when young

Russell 2000 seems to be inferior to S&P 600 according to https://www.barrons.com/articles/a-tale-of-two-indexes-1516896321 probably due to the quality factor. You are right about the time diversication, but I wanted to do a large cap Europe exposure combined with a small cap US exposure since these...
by Zilvervloot
Fri Dec 06, 2019 5:06 am
Forum: Investing - Theory, News & General
Topic: Lifecycle Investing - Leveraging when young
Replies: 768
Views: 60546

Re: Lifecycle Investing - Leveraging when young

@Pelusa, I am thinking about applying your option strategy, but I am a bit afraid of early excercise of the put option. Close to expiration date the time value should be small and if the option is in the money, there is a chance that the option will be exercised. How do you deal with this risk? Ear...
by Zilvervloot
Thu Dec 05, 2019 9:26 am
Forum: Investing - Theory, News & General
Topic: Lifecycle Investing - Leveraging when young
Replies: 768
Views: 60546

Re: Lifecycle Investing - Leveraging when young

@Pelusa, I am thinking about applying your option strategy, but I am a bit afraid of early excercise of the put option. Close to expiration date the time value should be small and if the option is in the money, there is a chance that the option will be exercised. How do you deal with this risk? Earl...
by Zilvervloot
Mon Nov 18, 2019 6:35 am
Forum: Non-US Investing
Topic: European, dutch investor here: Is investing in VTI and VXUS still a good choice?
Replies: 43
Views: 5658

Re: European, dutch investor here: Is investing in VTI and VXUS still a good choice?

Great overview, although for the Northern Trust you have to pay for an account at one of the big banks right? So that adds around 0,2%.
by Zilvervloot
Mon Nov 18, 2019 4:52 am
Forum: Investing - Theory, News & General
Topic: Lifecycle Investing - Leveraging when young
Replies: 768
Views: 60546

Re: Lifecycle Investing - Leveraging when young

For those who invest internationally, European futures might be interesting. Libor for the Euro is negative at the moment making financing costs quite low. The Eurostoxx 50 future (the European equivalent of the S&P 500) has quite low financing cost of around 1,0 to 1,5%. E.g. the dec future trades...
by Zilvervloot
Wed Nov 13, 2019 3:57 am
Forum: Non-US Investing
Topic: European, dutch investor here: Is investing in VTI and VXUS still a good choice?
Replies: 43
Views: 5658

Re: European, dutch investor here: Is investing in VTI and VXUS still a good choice?

The thing is I just don't know what the extra risks are. Maybe capital restrictions if things go really sour between the US and Europe/Netherlands, but you would see that coming. I do not see really good alternatives in the Netherlands for VTI/VXUS. I have some doubts about Actiam, because they have...
by Zilvervloot
Tue Nov 12, 2019 6:30 am
Forum: Non-US Investing
Topic: European, dutch investor here: Is investing in VTI and VXUS still a good choice?
Replies: 43
Views: 5658

Re: European, dutch investor here: Is investing in VTI and VXUS still a good choice?

I am also using options to invest (receive shares) in VTI and VXUS and still think it is a great idea, given the Dutch tax and inheritance treaties with the US. You can read more about the latter in https://www.trackerbelegger.nl/ (in Dutch). It still poses a risk though because I cannot oversee all...
by Zilvervloot
Thu Sep 05, 2019 9:19 am
Forum: Investing - Theory, News & General
Topic: Lifecycle Investing - Leveraging when young
Replies: 768
Views: 60546

Re: Lifecycle Investing - Leveraging when young

Umh interesting. Certainly something I'll have to look into. If you don't have CG taxes, the higher strike prices seem to be strictly superior. But why wouldn't you have capital gains taxes? Recall that you cannot sell uncovered, unsecured puts in a retirement account like IRAs or 401ks. Sorry, for...
by Zilvervloot
Thu Sep 05, 2019 7:22 am
Forum: Investing - Theory, News & General
Topic: Lifecycle Investing - Leveraging when young
Replies: 768
Views: 60546

Re: Lifecycle Investing - Leveraging when young

For those who invest internationally, European futures might be interesting. Libor for the Euro is negative at the moment making financing costs quite low. The Eurostoxx 50 future (the European equivalent of the S&P 500) has quite low financing cost of around 1,0 to 1,5%. E.g. the dec future trades ...
by Zilvervloot
Fri Aug 30, 2019 10:13 am
Forum: Investing - Theory, News & General
Topic: Lifecycle Investing - Leveraging when young
Replies: 768
Views: 60546

Re: Lifecycle Investing - Leveraging when young

Thanks for the answer. This is quite interesting, since this rate is even lower than the rate for the E-mini S&P rate, which hovers around the 3 months Libor, which is at the moment is 2,1%! See also https://www.cmegroup.com/trading/equity-index/report-a-cost-comparison-of-futures-and-etfs.html And ...
by Zilvervloot
Fri Aug 30, 2019 3:47 am
Forum: Investing - Theory, News & General
Topic: Lifecycle Investing - Leveraging when young
Replies: 768
Views: 60546

Re: Lifecycle Investing - Leveraging when young

Decided I felt comfortable enough to implement some borrowing with derivatives. For various reasons, I came to the conclusion that options were far superior than futures in my circumstances. Perhaps this thread can be a good resource for others that want to attempt something similar. I bought 2 Dec...
by Zilvervloot
Sat May 18, 2019 9:38 am
Forum: Investing - Theory, News & General
Topic: Why does the stock market grow faster than the economy?
Replies: 28
Views: 4678

Re: Why does the stock market grow faster than the economy?

Add the use of leverage by enterprises which boost the return.
by Zilvervloot
Tue Aug 14, 2018 2:15 am
Forum: Investing - Theory, News & General
Topic: Valuation US vs EM vs EU
Replies: 3
Views: 627

Valuation US vs EM vs EU

Fellow Bogleheads, I found this article comparing valuation by adjusting for differences in sector composition between the US, EM and EU. Conclusion is that the US due to the higher exposure to tech and healthcare, which historically have higher valuation, seems expensive compare to other markets. H...
by Zilvervloot
Fri Jun 01, 2018 3:12 am
Forum: Non-US Investing
Topic: Global portfolio with factor exposure for european investors: is it worth it?
Replies: 10
Views: 2281

Re: Global portfolio with factor exposure for european investors: is it worth it?

Great topic. I checked the factor loading on the CSEMUS etf which tracks the MSCI EMU Small Cap. According to portfoliovisualiser: Market = 1.15 Size = 0.72 Value = 0.19 Annualized alpha = 0,43% R2 = 96% Period = Jan 2001 - Apr 2018 So this would be a way to get some value and size exposure for a Eu...