Search found 1538 matches

by Snowjob
Mon Jan 14, 2019 6:18 pm
Forum: Personal Finance (Not Investing)
Topic: Getting a Mortgage when You can Pay Cash for a House
Replies: 160
Views: 8300

Re: Getting a Mortgage when You can Pay Cash for a House

I disagree, 4% fixed rate & tax deductible (depends on other factors) is still Ok. We don't know the OP's tax situation, but the mortgage interest is unlikely to be tax deductible given that the standard deduction is now so high....now $24,400 for married filing jointly in 2019. Also consider that ...
by Snowjob
Mon Jan 14, 2019 6:01 pm
Forum: Personal Finance (Not Investing)
Topic: Getting a Mortgage when You can Pay Cash for a House
Replies: 160
Views: 8300

Re: Getting a Mortgage when You can Pay Cash for a House

My parents are in the opposite situation, have 2 mortgages, but it allows them to live a lifestyle they couldn't afford otherwise. When I was younger my dad joked that when he died he wanted to be down to his last dollar and that seems be the glide path he's on ! This doesn't make any sense. Is the...
by Snowjob
Mon Jan 14, 2019 5:56 pm
Forum: Personal Finance (Not Investing)
Topic: Getting a Mortgage when You can Pay Cash for a House
Replies: 160
Views: 8300

Re: Getting a Mortgage when You can Pay Cash for a House

Any of us with a taxable account could pay off our mortgage but we are choosing not to are taking this bet in a way. I assume you have a long run way and taking on the incremental leverage makes sense in the first place. A taxable account with enough to payoff a mortgage likely has long-term gains ...
by Snowjob
Mon Jan 14, 2019 9:17 am
Forum: Investing - Help with Personal Investments
Topic: low volatility funds in a Roth IRA
Replies: 12
Views: 868

Re: low volatility funds in a Roth IRA

I think the case to be made for min vol is the same as that for dividend focused investing. it helps combat bad investor behavior of selling when something is down. its possible that you could go 100% dividend growth or 100% min vol vs say 70%Market Cap / 30% Bond and outperform. You are taking more...
by Snowjob
Mon Jan 14, 2019 7:00 am
Forum: Investing - Help with Personal Investments
Topic: How do REITs do in a recession?
Replies: 3
Views: 574

Re: How do REITs do in a recession?

Type of recession and starting valuation matter. Obviously a financial / RE crisis like '09 after a run up in valuation is probably the worst case imaginable. At a market valuation and a normal recession, I suspect they hold up a bit better, than the average, perhaps closer to what utilities and st...
by Snowjob
Mon Jan 14, 2019 6:27 am
Forum: Investing - Help with Personal Investments
Topic: How do REITs do in a recession?
Replies: 3
Views: 574

Re: How do REITs do in a recession?

Type of recession and starting valuation matter. Obviously a financial / RE crisis like '09 after a run up in valuation is probably the worst case imaginable. At a market valuation and a normal recession, I suspect they hold up a bit better, than the average, perhaps closer to what utilities and sta...
by Snowjob
Fri Jan 11, 2019 5:22 pm
Forum: Investing - Theory, News & General
Topic: Around 43K in dividends last year - feel good about it ?
Replies: 158
Views: 12558

Re: Around 43K in dividends last year - feel good about it ?

On top of the above, the OP stated his income is derived from investments. I read it that some of his income is from dividends, but we all knew that already. The OP declined to state if there was earned income, rental income, etc. involved. I don't think we know. Specifically, the exchange went lik...
by Snowjob
Fri Jan 11, 2019 5:17 pm
Forum: Investing - Theory, News & General
Topic: Around 43K in dividends last year - feel good about it ?
Replies: 158
Views: 12558

Re: Around 43K in dividends last year - feel good about it ?

Would all of you feel the same if all your mutual funds decided simultaneously and unilaterally to liquidate your entire portfolio and send you a big check? I wouldn't think so... Exactly. Imagine if Vanguard issued him a $2m dividend. The people in this thread congratulating him or denying that re...
by Snowjob
Fri Jan 11, 2019 4:57 pm
Forum: Investing - Theory, News & General
Topic: Around 43K in dividends last year - feel good about it ?
Replies: 158
Views: 12558

Re: Around 43K in dividends last year - feel good about it ?

You should feel terrible about the $14K in taxable dividends. Terrible? Seriously? Sometimes I think some people on this forum live in an alternate universe. You should feel proud. That is an excellent accomplishment. Your total dividends is more than my annual salary. Keep up the good work. I agre...
by Snowjob
Fri Jan 11, 2019 4:38 pm
Forum: Personal Finance (Not Investing)
Topic: Getting a Mortgage when You can Pay Cash for a House
Replies: 160
Views: 8300

Re: Getting a Mortgage when You can Pay Cash for a House

I disagree, 4% fixed rate & tax deductible (depends on other factors) is still Ok. We don't know the OP's tax situation, but the mortgage interest is unlikely to be tax deductible given that the standard deduction is now so high....now $24,400 for married filing jointly in 2019. Also consider that ...
by Snowjob
Fri Jan 11, 2019 4:31 pm
Forum: Personal Finance (Not Investing)
Topic: Getting a Mortgage when You can Pay Cash for a House
Replies: 160
Views: 8300

Re: Getting a Mortgage when You can Pay Cash for a House

As a banker who does a lot of mortgages, I advise most people in this situation (who are usually in their 50s or older) to pay cash for the house and/or to pay off their mortgages if they have the cash, especially if they are at or near retirement age or have obtained financial freedom (in other wo...
by Snowjob
Fri Jan 11, 2019 12:48 pm
Forum: Personal Finance (Not Investing)
Topic: Getting a Mortgage when You can Pay Cash for a House
Replies: 160
Views: 8300

Re: Getting a Mortgage when You can Pay Cash for a House

I disagree, 4% fixed rate & tax deductible (depends on other factors) is still Ok. We don't know the OP's tax situation, but the mortgage interest is unlikely to be tax deductible given that the standard deduction is now so high....now $24,400 for married filing jointly in 2019. Also consider that ...
by Snowjob
Fri Jan 11, 2019 11:30 am
Forum: Personal Finance (Not Investing)
Topic: Getting a Mortgage when You can Pay Cash for a House
Replies: 160
Views: 8300

Re: Getting a Mortgage when You can Pay Cash for a House

4% is too high to play interest rate arbitrage. Sub-3% and we’re talking... I disagree, 4% fixed rate & tax deductible (depends on other factors) is still Ok. Nominal returns for equity are hopefully in excess of the 4% over 30 year period. The question is, starting valuation of the equity markets ...
by Snowjob
Thu Jan 10, 2019 2:03 pm
Forum: Personal Finance (Not Investing)
Topic: Pay off a 30 year mortgage in 15 years? The cost of flexibility
Replies: 76
Views: 7233

Re: Pay off a 30 year mortgage in 15 years? The cost of flexibility

I went with a 15 vs a 30 and also made a substantial down payment. Made a nice big down payment when the market was basically its all time high -- effectively taking money off the table. The interest:principal ratio for each payment I make at this point is quite low so the leverage I'm gaining via t...
by Snowjob
Thu Jan 10, 2019 11:05 am
Forum: Personal Finance (Not Investing)
Topic: Purchased rentals, spent savings and now I am worried about debt
Replies: 19
Views: 2969

Re: Purchased rentals, spent savings and now I am worried about debt

Okay. Time to put on your "professional business person's hat". 1. Make a plan to payoff debt incrementally. Higher interest first. And do this as quick as possible without jeopardizing: Emergency Funds (personal), Operating Capital (business), and cash reserves (business. So: IE: HELOC, high inter...
by Snowjob
Thu Jan 10, 2019 10:31 am
Forum: Personal Finance (Not Investing)
Topic: Building Wealth Through Home Equity--Myth or Reality?
Replies: 94
Views: 6062

Re: Building Wealth Through Home Equity--Myth or Reality?

I think the actual figure is ahead of inflation by like a quarter percent or half a percent. IMO its completely random. if you buy in the right area that takes off cause of economic growth? fantastic. [location dependent] If you assume a 30 year mortgage right before a bout of massive inflation that...
by Snowjob
Thu Jan 10, 2019 9:37 am
Forum: Personal Finance (Not Investing)
Topic: Under $100k Avg Annual Income Millionaires and How You Did It?
Replies: 117
Views: 13842

Re: Under $100k Avg Annual Income Millionaires and How You Did It?

Question for the under $100k income millionaires. Do you have any regrets about missing out on some things in your younger adult years as a consequence of high savings rates? No, not in a vacuum. There were certain things that I wish I did more of, but I didn't consciously make a decision not to do...
by Snowjob
Wed Jan 09, 2019 4:42 pm
Forum: Personal Finance (Not Investing)
Topic: Under $100k Avg Annual Income Millionaires and How You Did It?
Replies: 117
Views: 13842

Re: Under $100k Avg Annual Income Millionaires and How You Did It?

Still have yet to make 100k. Made 2 commas in about 12 years total. - low cost state school had very little debt starting out - cheap rent & Invested vs buying a house - cheap cars & low cost hobbies / vacations (lots of outdoor pursuits) - no wedding / divorce / child expenses - used leverage juice...
by Snowjob
Wed Jan 09, 2019 3:49 pm
Forum: Investing - Theory, News & General
Topic: BHers, what is your Roth IRA %?
Replies: 113
Views: 5243

Re: BHers, what is your Roth IRA %?

About 45% Roth / 25% Taxable / 30% Tax Deferred.

I think a mix is probably the most efficient, based on savings going on the contribution side, and then have most of your high return assets in your Roth so you can expand that space as much as possible over your working career.
by Snowjob
Wed Jan 09, 2019 3:44 pm
Forum: Investing - Help with Personal Investments
Topic: How do I buy gold?
Replies: 55
Views: 3558

Re: How do I buy gold?

The fascination with gold is a cultural one. Is related to the preppers who are mostly Americans. There is almost no prepper movement outside US. I believe is a religious thing, as American society is very influenced by neo-protestant views over the apocalypse and rapture. From what I've heard, gol...
by Snowjob
Wed Jan 09, 2019 3:26 pm
Forum: Investing - Help with Personal Investments
Topic: How do I buy gold?
Replies: 55
Views: 3558

Re: How do I buy gold?

The fascination with gold is a cultural one. Is related to the preppers who are mostly Americans. There is almost no prepper movement outside US. I believe is a religious thing, as American society is very influenced by neo-protestant views over the apocalypse and rapture. From what I've heard, gol...
by Snowjob
Mon Jan 07, 2019 8:49 am
Forum: Investing - Help with Personal Investments
Topic: State guarantee for annuities
Replies: 30
Views: 4379

Re:

Andy, I think it's important to remember that the "guarantee amount" is the PV of the annuity. For example, the PV of a J&S 100% life anniuty paying $530/month is about 100,000. At age 70, the PV is about 91,200, and at age 75, the PV is about 79,500. So, you can go over the $100,000 amount when yo...
by Snowjob
Fri Jan 04, 2019 11:57 pm
Forum: Investing - Theory, News & General
Topic: US Stock Market Returns in the 21st Century
Replies: 92
Views: 4364

Re: US Stock Market Returns in the 21st Century

The first 19 years of the 21 st century are now history. Here are the real average annual returns for the US stock market over those 19 years. A period which includes a nine year bull market as well as two market crashes. US stock market annual average real returns from 12/31/99 through 12/31/2018....
by Snowjob
Fri Jan 04, 2019 9:41 pm
Forum: Investing - Theory, News & General
Topic: US Stock Market Returns in the 21st Century
Replies: 92
Views: 4364

Re: US Stock Market Returns in the 21st Century

The first 19 years of the 21 st century are now history. Here are the real average annual returns for the US stock market over those 19 years. A period which includes a nine year bull market as well as two market crashes. US stock market annual average real returns from 12/31/99 through 12/31/2018....
by Snowjob
Sat Dec 22, 2018 7:26 am
Forum: Investing - Help with Personal Investments
Topic: Why not 100% equities
Replies: 101
Views: 17932

Re: Why not 100% equities

I understand investing, the basic risk/return and portfolio volatility, and I have no problems sleeping in the midst of a downturn in the stock market. How many years' worth of salary did you have invested in equities a year ago? Are you saying know you don't mind volatility, because you already ha...
by Snowjob
Mon Dec 17, 2018 7:16 pm
Forum: Investing - Help with Personal Investments
Topic: POAGX [PRIMECAP Odyssey Aggressive Growth] down over 9% today
Replies: 20
Views: 1338

Re: POAGX [PRIMECAP Odyssey Aggressive Growth] down over 9% today

HEDGEFUNDIE wrote:
Mon Dec 17, 2018 7:10 pm
Ah of course. Thanks for the reminder Snowjob.
Long day at work ;)
by Snowjob
Mon Dec 17, 2018 7:08 pm
Forum: Investing - Help with Personal Investments
Topic: POAGX [PRIMECAP Odyssey Aggressive Growth] down over 9% today
Replies: 20
Views: 1338

Re: POAGX [PRIMECAP Odyssey Aggressive Growth] down over 9% today

Its December, did you get a distribution of capital that increased your shares?
by Snowjob
Wed Dec 12, 2018 6:30 am
Forum: Investing - Theory, News & General
Topic: VMVFX (Global Minimum Volatility) as core equity holding. Your opinion?
Replies: 128
Views: 7339

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

Perhaps go this way --(assuming you are looking at global exposures)

35% min vol / 35% world index / 30% Tips, Treasuries, CDs

Use the various periods of bullish and bearish sentiment allow for re-balancing opportunities between the equity styles ?
by Snowjob
Tue Dec 11, 2018 9:31 pm
Forum: Investing - Theory, News & General
Topic: What Happened to you during the Financial crisis of 2007–2008
Replies: 249
Views: 20299

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

I thought the crisis ended over the summer in 2008 -- may have been July, there was a huge take down in a lot of the US publicly traded banks, on a big washout week. Having watched all these individual subprime lenders go bust and bear sterns collapse I figured this was the big reset (LOL) so I did ...
by Snowjob
Thu Dec 06, 2018 7:28 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Global Wellesley
Replies: 8
Views: 1234

Re: Vanguard Global Wellesley

I'm a big fan of regular Vanguard Wellesley, so I l'm very interested in the newish Vanguard Global Wellesley fund. Is the Wellesley name merely a branding thing, or is it fundamentally similar to regular Wellesley? Is it a good way to get international exposure for people who are substantially inv...
by Snowjob
Thu Dec 06, 2018 4:21 pm
Forum: Personal Finance (Not Investing)
Topic: What are your property taxes?
Replies: 375
Views: 22337

Re: What are others paying for property taxes around the US?

Central Connecticut -- 7,000 on a 1600 sqft
by Snowjob
Thu Nov 29, 2018 4:51 pm
Forum: Personal Finance (Not Investing)
Topic: Mortgage/Debt to Income Issues due to Car Loan
Replies: 20
Views: 1128

Re: Mortgage/Debt to Income Issues due to Car Loan

Hello Everyone! So I made a bit of a mistake a couple of years ago in buying a new car for a 2.6% apr for 7 years with a payment of $635/mo. after already having bought a different new car a year before. To offset the interest, I am paying $700/mo. Now 4 years in, I'm looking into buying a house (f...
by Snowjob
Thu Nov 29, 2018 4:32 pm
Forum: Personal Finance (Not Investing)
Topic: Mortgage/Debt to Income Issues due to Car Loan
Replies: 20
Views: 1128

Re: Mortgage/Debt to Income Issues due to Car Loan

115,000 miles on a modern car is barely started. Our average has been somewhere around 350,000 before we got rid of vehicles. The average person drives ~12,500 miles/year. To put 350K miles on a vehicle would mean driving the same car for nearly 30 years! Well, the average person would have to driv...
by Snowjob
Thu Nov 29, 2018 9:39 am
Forum: Personal Consumer Issues
Topic: Guy's Western US Ski Trip - suggestions?
Replies: 44
Views: 2479

Re: Guy's Western US Ski Trip - suggestions?

A few quick thoughts My vote is for whistler but conditions are going to be more volatile (watch out for fog/rain if you are unlucky). Take a shuttle from Vancouver airport about 2 hours north. You got two massive mountains right there that can cater to the entire group -- I liked Blackcomb better t...
by Snowjob
Wed Nov 28, 2018 1:19 pm
Forum: Investing - Theory, News & General
Topic: A bubble of corporate debt.
Replies: 31
Views: 3111

Re: A bubble of corporate debt.

Coincidental timing -- No coincidence. It is going to happen in 2020: https://www.guggenheiminvestments.com/perspectives/macroeconomic-research/next-recession-update-yield-curve-doesnt-lie Unless the world ends before that in which case no issue. :shock: I will not accept a future that involves the...
by Snowjob
Wed Nov 28, 2018 10:05 am
Forum: Investing - Theory, News & General
Topic: A bubble of corporate debt.
Replies: 31
Views: 3111

Re: A bubble of corporate debt.

Coincidental timing -- CNBC had a guy on last night who was saying 14% of the S&P 500 couldn't service their debt-load with the next 3 years EBITDA. (how much of that energy /basic materials companies in a tough spot, I don't know). That gentleman's prediction was a slowing economy and then a recess...
by Snowjob
Thu Nov 22, 2018 7:37 am
Forum: Personal Finance (Not Investing)
Topic: your best advice [retirement planning]
Replies: 4
Views: 1197

Re: your best advice [retirement planning]

2500 a month = 30,000 a year. That is a really low number so your retirement plans look very doable assuming you've had very steady consistent working histories -- Though I suspect you are not counting for the "1 timers" which having spent a lot of time with my folks and understanding their retirmen...
by Snowjob
Thu Nov 22, 2018 7:09 am
Forum: Investing - Theory, News & General
Topic: A lot of us expected a US stock "pull back" is this it?
Replies: 61
Views: 8592

Re: A lot of us expected a US stock "pull back" is this it?

part of the issue of not feeling it is you've only been investing for the last 7-8 years. You've had it easy by all accounts. the US total market has earned 15% annualized returns and what you have in your investment accounts probably dwarfs what you've put in. I'm pretty sure it would take a drop o...
by Snowjob
Tue Nov 20, 2018 6:36 am
Forum: Investing - Help with Personal Investments
Topic: Global Wellesley Income fund VGYAX
Replies: 2
Views: 488

Re: Global Wellesley Income fund VGYAX

1.) Bonds -- I think the general thinking is. as interest rates increase, bond values decline. there might be some of that going on. 2.) International Equity valuations-- people hate international. Its been a dog for 10 years. If international turns around and outperforms domestic I think you will s...
by Snowjob
Tue Nov 20, 2018 5:14 am
Forum: Investing - Theory, News & General
Topic: I thought rebalancing was supposed to control risk - but it hasn't since 2000
Replies: 13
Views: 2719

Re: I thought rebalancing was supposed to control risk - but it hasn't since 2000

And there is also the risk of missing out on higher returns -- the unrebalanced portfolio also had a significantly lower return.
by Snowjob
Mon Nov 19, 2018 12:27 pm
Forum: Personal Finance (Not Investing)
Topic: Millennial behind - but still have time to [catch up]
Replies: 20
Views: 2246

Re: Millennial behind - but still have time to ketchup

There is usually more variation within groups than between groups. Plenty of millennials are doing very well. As a millennial, I feel like I've been given an unfair advantage over baby-boomers in the availability of information about personal finance via the Internet. Now all one needs to do is rea...
by Snowjob
Thu Nov 15, 2018 4:38 pm
Forum: Personal Finance (Not Investing)
Topic: How Long / Hard To Become a Millionaire on Under $100k Income
Replies: 133
Views: 12496

Re: How Long / Hard To Become a Millionaire on Under $100k Income

2 basic factors Cost matter (100k for a single person in a small apartment is different than a family with a mortgage. San Fran is different than South Dakota) Timing matters (the last 10 years the vanguard total stock market returned 14.5% annualized -- 260k 10 years ago is 1M now with no added sav...
by Snowjob
Wed Nov 14, 2018 6:44 am
Forum: Investing - Theory, News & General
Topic: Asset allocation in Roth vs pre-tax
Replies: 8
Views: 934

Re: Asset allocation in Roth vs pre-tax

This is a debated subject here. I think it depends. As a young person there is no way I’m putting my bonds ina a Roth for 40-70 years though. I think people get to hung up on the nuances of asset allocation across tax shelters
by Snowjob
Sat Nov 10, 2018 9:30 am
Forum: Investing - Theory, News & General
Topic: Roth Investment Theory
Replies: 45
Views: 3786

Re: Roth Investment Theory

All in at once and be done with it.

If your ROTH is composed of a few different ETF's you could probably just drop all 5k into the under-performer to re-balance. That is my strategy,
by Snowjob
Sat Nov 10, 2018 9:26 am
Forum: Investing - Theory, News & General
Topic: SWAN ETF - 10% Leaps / 90% Treasuries
Replies: 24
Views: 2087

Re: SWAN ETF - 10% Leaps / 90% Treasuries

49 bps is a lot to pay for a strategy that one can easily execute themselves. They are only rebalancing/reconstituting twice per year. The good thing about having the ETF is it will provide for a true real life test of this strategy which has been discussed on this forum in the past. The question h...
by Snowjob
Fri Nov 09, 2018 10:54 pm
Forum: Investing - Theory, News & General
Topic: SWAN ETF - 10% Leaps / 90% Treasuries
Replies: 24
Views: 2087

SWAN ETF - 10% Leaps / 90% Treasuries

New ETF launched about a month ago. Goal is to participate in 70% of the market (total US market) movement via use of leaps (10% of assets) and then have exposure to long treasuries (90% of dollars invested) for the balance of the portfolio. Ignoring the lack of international diversification, this s...
by Snowjob
Fri Nov 09, 2018 10:29 pm
Forum: Investing - Help with Personal Investments
Topic: 1,000,000+ by 29
Replies: 23
Views: 4712

Re: 1,000,000+ by 29

Currently I still owe on all 3 homes. $63,000 at 3.4 for the first (around $400 mortgage payment) Same exact numbers for the second. $175,000 on the 3rd at 3.3 ($1,100 payment) Other than that I have zero debt and make $100,000 annually with my job. Personally unless your job is super secure and/or...
by Snowjob
Fri Nov 09, 2018 10:27 pm
Forum: Investing - Help with Personal Investments
Topic: 1,000,000+ by 29
Replies: 23
Views: 4712

Re: 1,000,000+ by 29

I hate to be the Debbie downer realist here, but there is no way you cut spending to the levels you are suggesting without some kind of subsidy beyond just the military. Further you don’t make 100k in the military unless you are very high ranking or a medical specialist / something similar. An inhe...
by Snowjob
Mon Nov 05, 2018 1:40 pm
Forum: Investing - Help with Personal Investments
Topic: 1,000,000+ by 29
Replies: 23
Views: 4712

Re: 1,000,000+ by 29

Personally I like having some liquidity.

Do you owe at all on the houses?
by Snowjob
Mon Nov 05, 2018 12:08 am
Forum: Investing - Theory, News & General
Topic: Diversification Regret
Replies: 114
Views: 13560

Re: Diversification Regret

I like the approach vineviz. In practice, there would be a few “capitulation points” where the 100% S&P 500 investor threw in the towel and sold everything due to severe drawdown, capitulations which would not occur as often with a diversified portfolio. This behavioral-informed comparison would ha...