Search found 9070 matches

by Kevin M
Tue Apr 24, 2018 11:18 pm
Forum: Investing - Theory, News & General
Topic: Yield Curves-Treasury, CD, AA/AAA muni
Replies: 17
Views: 1720

Re: Yield Curves-Treasury, CD, AA/AAA muni

One guideline suggested by Larry Swedroe is to only extend maturity if you earn at least an additional 20 basis points (bps) of yield per extra year of maturity. Of course the more the better, since a steeper yield curve provides a bigger buffer from capital loss due to yields at shorter maturities ...
by Kevin M
Tue Apr 24, 2018 8:14 pm
Forum: Personal Finance (Not Investing)
Topic: Brokered CDs - often better return secondary market
Replies: 54
Views: 6039

Re: Brokered CDs - often better return secondary market

If you buy a secondary market CD below/above par, is there a capital gain/loss when it matures? If so, then I assume this should be an additional consideration above and beyond yield-to-maturity. The gain or loss is factored into YTM. That's why YTM is different than coupon rate if you don't buy at...
by Kevin M
Tue Apr 24, 2018 8:09 pm
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 164
Views: 19158

Re: 2-year CDs at Vanguard and Fidelity Today

The 2-yr treasury note just closed at auction with a rate of 2.498%. And Fidelity now shows 2-year at 2.50%, but this almost certainly is for large quantities (100 or more) and perhaps somewhat longer than 2-year maturity. Two-year CD provides at least 25 bps yield premium with new-issue at 2.75% (...
by Kevin M
Tue Apr 24, 2018 8:00 pm
Forum: Investing - Theory, News & General
Topic: Muni Money Market funds starting to look good!
Replies: 118
Views: 19828

Re: Muni Money Market funds starting to look good!

If you cannot tolerate even a little NAV instability, I definitely wouldn't recommend it. The issue isn't ability to tolerate NAV instability, the issue is that your definition of cash or short-term reserves is way off the mark (Vanguard only classifies money market funds as short-term reserves). I...
by Kevin M
Tue Apr 24, 2018 5:44 pm
Forum: Investing - Theory, News & General
Topic: Yield Curves-Treasury, CD, AA/AAA muni
Replies: 17
Views: 1720

Re: Yield Curves-Treasury, CD, AA/AAA muni

I think I explained that already. Basically I'm comfortable with the tiny risk of Prime MM in taxable and CA Muni MM in IRA, so that's where my cash in a brokerage account is going to be parked. If I were not comfortable with it, I'd probably use the SEC yield of Treasury MM. I understand that. My ...
by Kevin M
Tue Apr 24, 2018 5:41 pm
Forum: Personal Finance (Not Investing)
Topic: Brokered CDs - often better return secondary market
Replies: 54
Views: 6039

Re: Brokered CDs - often better return secondary market

#1 - Maybe, but I thought it was not the banks selling on the secondary market. Or is it, sometimes? I don't know for sure. I bought some new issues a couple of weeks back and I still see the same CUSIP on the secondary market. I am assuming that the banks are selling the "unsold" portions on the s...
by Kevin M
Tue Apr 24, 2018 5:37 pm
Forum: Personal Finance (Not Investing)
Topic: Brokered CDs - often better return secondary market
Replies: 54
Views: 6039

Re: Brokered CDs - often better return secondary market

I'm new to this and a tad confused. I thought YTM factors in the discounted price, thus the higher YTM for a CD with a lower original yield. So when I'm shopping secondary CDs, I should just have to compare YTM and factor in fees, right? Yes, YTM factors in price as well as coupon. So higher yield ...
by Kevin M
Tue Apr 24, 2018 5:33 pm
Forum: Investing - Theory, News & General
Topic: Muni Money Market funds starting to look good!
Replies: 118
Views: 19828

Re: Muni Money Market funds starting to look good!

The place I am currently parking my Cash reserves is VMLUX (Limited term tax exempt).. there is hardly any NAV movement and the current yield (2.06%). Finally I can once again hold liquid cash that keeps up with inflation!* Thanks for the VMLUX tip. I think it's a better yield for CA investors than...
by Kevin M
Tue Apr 24, 2018 5:09 pm
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 164
Views: 19158

Re: 2-year CDs at Vanguard and Fidelity Today

The 2-yr treasury note just closed at auction with a rate of 2.498%. And Fidelity now shows 2-year at 2.50%, but this almost certainly is for large quantities (100 or more) and perhaps somewhat longer than 2-year maturity. Two-year CD provides at least 25 bps yield premium with new-issue at 2.75% (...
by Kevin M
Tue Apr 24, 2018 5:01 pm
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 164
Views: 19158

Re: 2-year CDs at Vanguard and Fidelity Today

There are new rates for 2-year and 3-year CDs at Vanguard, from Wells Fargo. The 2-year rate is 2.75% and the 3-year rate is 2.90%. Yep, also at Fidelity. I think I saw two banks offering the 2-year at 2.75%, but only one offering the 3-year at 2.90%. So the increasing 2-year and 3-year yield trend...
by Kevin M
Tue Apr 24, 2018 4:53 pm
Forum: Investing - Theory, News & General
Topic: Yield Curves-Treasury, CD, AA/AAA muni
Replies: 17
Views: 1720

Re: Yield Curves-Treasury, CD, AA/AAA muni

I am just surprised to see Corporate BBB rated bonds paying 2.29% maturing in August What are the chances of being bankrupt in 3 months anyway? Good question. One thing is that commission really cuts into yields at shorter maturities. Rerun your yield calculation with commission, and that it may no...
by Kevin M
Tue Apr 24, 2018 4:51 pm
Forum: Investing - Theory, News & General
Topic: Yield Curves-Treasury, CD, AA/AAA muni
Replies: 17
Views: 1720

Re: Yield Curves-Treasury, CD, AA/AAA muni

what will be the impact of the multiple expected rate increases this and next year on this data? iow, if yields are expected to go up, why would one want to buy and lock in these current rates? and Kevin, this is great information, thank you You're thinking of the Federal Funds Rate (FFR), which is...
by Kevin M
Tue Apr 24, 2018 4:39 pm
Forum: Investing - Theory, News & General
Topic: Yield Curves-Treasury, CD, AA/AAA muni
Replies: 17
Views: 1720

Re: Yield Curves-Treasury, CD, AA/AAA muni

For 0-year yield in tax-advantaged accounts, I use Prime money market yield, currently 1.79%. So this is the baseline for Treasury and CD curves, as those are what I'd look at in tax-advantaged. What is the rationale for using a MM yield for 0-year. Why not a 4 wk T-bill or just assume it as cash a...
by Kevin M
Tue Apr 24, 2018 4:27 pm
Forum: Investing - Theory, News & General
Topic: 2-year AA Munis at Vanguard and Fidelity Today
Replies: 108
Views: 6289

Re: 2-year AA Munis at Vanguard and Fidelity Today

Kevin Correct me if I am wrong but the YIELD function in excel only works properly if you invest the money the same day of the coupon payment but if you invest in between coupon payments you need to use XIRR function like the one below. In my experience YIELD function does not give you annual retur...
by Kevin M
Tue Apr 24, 2018 4:15 pm
Forum: Investing - Theory, News & General
Topic: 2-year AA Munis at Vanguard and Fidelity Today
Replies: 108
Views: 6289

Re: 2-year AA Munis at Vanguard and Fidelity Today

Does the EMH not apply to munis? There are what you might call anomalies. Perhaps it's easier to understand with CDs, since there is essentially no credit risk. Even though a new issue 2-year CD might selling for 2.75%, you might get 2.80% or even 2.85% for same maturity on secondary market--maybe ...
by Kevin M
Tue Apr 24, 2018 3:51 pm
Forum: Investing - Theory, News & General
Topic: 2-year AA Munis at Vanguard and Fidelity Today
Replies: 108
Views: 6289

Re: 2-year AA Munis at Vanguard and Fidelity Today

Another great fixed-income thread from Kevin. A couple of comments/questions: Are you screening out callable bonds in your search? Call options seem like they would create a hassle when managing an individual bond portfolio, especially at the maturities you purchase. Yes. Calls give an asymmetric a...
by Kevin M
Tue Apr 24, 2018 3:33 pm
Forum: Investing - Theory, News & General
Topic: 2-year AA Munis at Vanguard and Fidelity Today
Replies: 108
Views: 6289

Re: 2-year AA Munis at Vanguard and Fidelity Today

Today I bought an AA+ CA muni at 1.602% net maturing 10/1/2018, so 0.44 year maturity, and I get the state tax exemption which I wouldn't get with the fund. For me this is TEY of 2.465%, so 57 bps/year relative to 0-year CA muni MM at 2.20% TEY. [...] Of course buying individual munis is much more ...
by Kevin M
Tue Apr 24, 2018 3:21 pm
Forum: Investing - Theory, News & General
Topic: Why is the SEC yield the one that Vanguard displays?
Replies: 39
Views: 3652

Re: Why is the SEC yield the one that Vanguard displays?

Very clear as usual Kevin. If rates (say ten year Treasury) are expected to increase one percent in one year and they do, does this mean that the share price (return) of the fund should not be adversely impacted? The thing is that this is an expectation that doesn't make much sense, and maybe that ...
by Kevin M
Mon Apr 23, 2018 11:18 am
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 164
Views: 19158

Re: 2-year CDs at Vanguard and Fidelity Today

Three-year new issue yields at Fidelity and Vanguard dropped back to 2.80% today (from 2.85% last week). However, you still can net 2.965% at $1/CD commission and 2.856% at $2/CD commission for 2.93 year maturing 03/29/2021. CUSIP 949763FW1,WELLS FARGO BANK NATL ASSN CD 2.25000% 03/29/2021 priced at...
by Kevin M
Mon Apr 23, 2018 11:11 am
Forum: Investing - Help with Personal Investments
Topic: Ally Bank No penalty CD for parking cash, is there a catch?
Replies: 102
Views: 17669

Re: Ally Bank No penalty CD for parking cash, is there a catch?

Nope. SEC yield is net of expenses, so you don't subtract it again. Your TEY is 2% or close to that. Kevin, You pointed out that the SEC yield is net of expenses. How about the average annual returns presented under the Price & Performance section on Vanguard. Are those figures also net of expenses...
by Kevin M
Mon Apr 23, 2018 11:11 am
Forum: Investing - Theory, News & General
Topic: Why is the SEC yield the one that Vanguard displays?
Replies: 39
Views: 3652

Re: Why is the SEC yield the one that Vanguard displays?

You can use all the fancy jargon you want, and read all the econ books you want, but your answer to the question asked about impact on bond fund value was just plain wrong. Regardless of how well you think you can predict change in the 10-year yield, if the 10-year yield increases by 1 percentage po...
by Kevin M
Mon Apr 23, 2018 11:05 am
Forum: Investing - Help with Personal Investments
Topic: Rethinking old CD ladder
Replies: 11
Views: 1385

Re: Rethinking old CD ladder

That's an awful rate. You can earn 2% in Popular Direct savings account, and 2.7% in a 2-year brokered CD. Yikes - who is paying 2.7%? For example, today I see MORGAN STANLEY BK N A UTAH CD 2.65000% 04/20/2020 at 99.847, yield 2.728% and 2.677% after commission at Fidelity. Some days even better de...
by Kevin M
Mon Apr 23, 2018 10:59 am
Forum: Investing - Theory, News & General
Topic: 2-year AA Munis at Vanguard and Fidelity Today
Replies: 108
Views: 6289

Re: 2-year AA Munis at Vanguard and Fidelity Today

So what do the muni bond experts think of iShares iBonds Sep 2020 Term Muni Bond ETF (IBMI) as a proxy for 2-yr AA Muni? SEC Yield of 1.65% Avg Mat=2.2 Almost 90% AA rating or better #Holdings >1000 ER=.18% Discount/Premium close to 0... Thanks, MB Today I bought an AA+ CA muni at 1.602% net maturi...
by Kevin M
Mon Apr 23, 2018 10:44 am
Forum: Investing - Theory, News & General
Topic: Yield Curves-Treasury, CD, AA/AAA muni
Replies: 17
Views: 1720

Re: Yield Curves-Treasury, CD, AA/AAA muni

TEY stands for Taxable Equivalent Yield, and are the TEYs for my marginal federal and state tax rates of 28% and 8%, not itemizing deductions. Is this a typo? Previously you posted that your TCJA marginal rate for interest income is 12+15=27% (LTCG/QDIV straddles the start of the 15% rate). Yes, ty...
by Kevin M
Mon Apr 23, 2018 1:23 am
Forum: Investing - Theory, News & General
Topic: Yield Curves-Treasury, CD, AA/AAA muni
Replies: 17
Views: 1720

Re: Yield Curves-Treasury, CD, AA/AAA muni

A few more clarifications and observations. For 0-year yield in tax-advantaged accounts, I use Prime money market yield, currently 1.79%. So this is the baseline for Treasury and CD curves, as those are what I'd look at in tax-advantaged. For 0-year yield in taxable I use my TEY for California muni ...
by Kevin M
Mon Apr 23, 2018 12:05 am
Forum: Investing - Help with Personal Investments
Topic: Rethinking old CD ladder
Replies: 11
Views: 1385

Re: Rethinking old CD ladder

karlrasche wrote:
Sun Apr 22, 2018 11:55 pm
Their 2yr CD is currently at 1.95%.
That's an awful rate. You can earn 2% in Popular Direct savings account, and 2.7% in a 2-year brokered CD.

Kevin
by Kevin M
Mon Apr 23, 2018 12:02 am
Forum: Investing - Help with Personal Investments
Topic: Rethinking old CD ladder
Replies: 11
Views: 1385

Re: Rethinking old CD ladder

How do 2 year CD rates compare to a 1.79% Vanguard money market fund? New issue brokered CDs are 2.65%, and you might get as much as 2.75% on secondary market if you're patient. That's about 85 basis points for extending maturity from 0 years to 2 years, so about 43 basis points per extra year of m...
by Kevin M
Sun Apr 22, 2018 9:27 pm
Forum: Investing - Theory, News & General
Topic: Yield Curves-Treasury, CD, AA/AAA muni
Replies: 17
Views: 1720

Yield Curves-Treasury, CD, AA/AAA muni

Here's a chart of the yield curves I've been using for my fixed-income investment decisions lately. This is from Friday, or whatever yields Fidelity is showing right now. I pull the yields from the Fidelity Bonds & CDs yields webpage into a Google Sheets spreadsheet using IMPORTHTML to construct thi...
by Kevin M
Sun Apr 22, 2018 8:46 pm
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 164
Views: 19158

Re: 2-year CDs at Vanguard and Fidelity Today

OK, thanks, that’s what I figured. Still odd to see the supposed “value” of each one fluctuate. I had hoped (in a not terribly concerned way) that it showed the effect of the interest, but no, not when it occasionally drops. If you mean the accrued interest or interest that has been paid, then no, ...
by Kevin M
Sun Apr 22, 2018 8:41 pm
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 164
Views: 19158

Re: 2-year CDs at Vanguard and Fidelity Today

Here’s a noob question for you :D : We have started building a three-year ladder of brokered CDs, all new issue. (We don’t have the experience, inclination, or know how to fine-tune things to get a few more bps, and probably never will.) The displayed prices bounce around, as (of course) do the dai...
by Kevin M
Sun Apr 22, 2018 8:04 pm
Forum: Investing - Theory, News & General
Topic: How can Bond Funds perform better than yield
Replies: 35
Views: 3822

Re: How can Bond Funds perform better than yield

I always thought the SEC yield was somehow based on 30 days and could only be used to compare funds and had little to do with actual yields from holding the bond fund. SEC yield is average yield to maturity (YTM or just yield) of the bonds in the fund over a prior 30-day period, so it is a form of ...
by Kevin M
Sun Apr 22, 2018 7:38 pm
Forum: Investing - Theory, News & General
Topic: How can Bond Funds perform better than yield
Replies: 35
Views: 3822

Re: How can Bond Funds perform better than yield

Kevin, Just for fun, let's look at SEC yield of VICSX on 12/31/2014, since post was made about this fund on 12/24/2014 (and I want to use PV to just look at full month returns). SEC yield on 12/31/2014 was 3.17%, and return for Jan 2015 through March 2018 was 2.78%. So over about 3.25 years, about ...
by Kevin M
Sun Apr 22, 2018 3:34 pm
Forum: Investing - Theory, News & General
Topic: Why is the SEC yield the one that Vanguard displays?
Replies: 39
Views: 3652

Re: Why is the SEC yield the one that Vanguard displays?

I chose FFR because it is simple, and the CME is very kind in providing free easy to under graphs, the inputs to construct those graphs, and the white paper of the methodology with the formulas. There are similar tools out there for the 10 year treasury, corporate bonds, foreign bonds, etc. They te...
by Kevin M
Sun Apr 22, 2018 3:14 pm
Forum: Investing - Theory, News & General
Topic: How can Bond Funds perform better than yield
Replies: 35
Views: 3822

Re: How can Bond Funds perform better than yield

Kevin, Again, I just want to caution against examples of returns being way higher than initial yields as representative of what is likely to happen--I see this here often as well, with posters referring to "roll yield" as if it's some forordained positive component of return, which it is not. OK. I...
by Kevin M
Sun Apr 22, 2018 3:13 pm
Forum: Investing - Theory, News & General
Topic: How can Bond Funds perform better than yield
Replies: 35
Views: 3822

Re: How can Bond Funds perform better than yield

Just for fun, let's look at SEC yield of VICSX on 12/31/2014, since post was made about this fund on 12/24/2014 (and I want to use PV to just look at full month returns). SEC yield on 12/31/2014 was 3.17%, and return for Jan 2015 through March 2018 was 2.78%. So over about 3.25 years, about 40 bps b...
by Kevin M
Sun Apr 22, 2018 3:05 pm
Forum: Investing - Theory, News & General
Topic: How can Bond Funds perform better than yield
Replies: 35
Views: 3822

Re: How can Bond Funds perform better than yield

Those of us who have been participating in discussions about this in recent years already understand that average yield or SEC yield does not "predict" future returns. We've seen, or performed ourselves, various mathematical analyses to demonstrate this, yours being one of them, mine being another. ...
by Kevin M
Sun Apr 22, 2018 1:25 pm
Forum: Investing - Theory, News & General
Topic: How can Bond Funds perform better than yield
Replies: 35
Views: 3822

Re: How can Bond Funds perform better than yield

Not sure why we're reviving this thread from 2014, or why a super steep yield curve is being used to illustrate the concept, when the Treasury yield curve now is not steep at all beyond 2-year maturity, and ditto for CD yield curve beyond 3-year maturity. On 4/19/2018, yield on 5-year Treasury was 2...
by Kevin M
Sun Apr 22, 2018 12:38 pm
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 164
Views: 19158

Re: 2-year CDs at Vanguard and Fidelity Today

Gee whiz Kevin, three of the first four respondents went somewhere you didn't want to go but we all were making comparisons to CD's. Never said I didn't want to go there--just that the OP wasn't about comparing these things. I actually said I'm happy to diverge and discuss related topics. Just poin...
by Kevin M
Sun Apr 22, 2018 12:32 pm
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 164
Views: 19158

Re: 2-year CDs at Vanguard and Fidelity Today

In cases where one wants to market-time the bond market (and I'm not using that as a pejorative term as I do it)--move between nominal treasuries, TIPS, corporates, munis etc. based on what is offering value at the moment--this is where individual bonds really don't make sense vs. using funds or ET...
by Kevin M
Sun Apr 22, 2018 11:12 am
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 164
Views: 19158

Re: 2-year CDs at Vanguard and Fidelity Today

This whole thread is based on assumptions that are not elucidated and are not universally applicable. From Kevin's perspective of a tax advantaged account and holding to maturity I have no disagreement at all with his ideas. But these premises are not universally applicable and the exceptions are n...
by Kevin M
Sun Apr 22, 2018 10:53 am
Forum: Investing - Theory, News & General
Topic: Why is the SEC yield the one that Vanguard displays?
Replies: 39
Views: 3652

Re: Why is the SEC yield the one that Vanguard displays?

I agree Kevin. (I was confused by your previous comments that institutional investors would have already anticipated and priced in the future increase in rates; I thought this meant that the bond fund price would not be negatively impacted when the rate increase actually occurred). What I meant was...
by Kevin M
Sat Apr 21, 2018 6:56 pm
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 164
Views: 19158

Re: 2-year CDs at Vanguard and Fidelity Today

Am I getting this right - 100 bps for a CD vs 3 or 4 bps for a Treasury? I just logged onto Fidelity now to look at the 2-3 year CDs you were inquiring about. The range was between 50 and 100 bps. Longer range ones have wider spreads. Just checked the 203 CDs in 2-3 year range that met my criteria ...
by Kevin M
Sat Apr 21, 2018 6:47 pm
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 164
Views: 19158

Re: 2-year CDs at Vanguard and Fidelity Today

Kevin, you finally let the cat out of the bag. :D ... how is 25-40 bps more yield without extending maturity at all not a good deal if you plan to hold to maturity ? But what if you don't or can't for some reason. That's when the better Treasury liquidity comes into the thought process. Of course. ...
by Kevin M
Sat Apr 21, 2018 6:41 pm
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 164
Views: 19158

Re: 2-year CDs at Vanguard and Fidelity Today

The size of my fixed-income allocation requires that I hold FI in both tax-advantaged and taxable. OK start from there. Assume for whatever reason - space, tax advantage, or something else - you are going to hold your CD or Treasury in taxable. If you are paying 6% in state income tax the CD only h...
by Kevin M
Sat Apr 21, 2018 5:28 pm
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 164
Views: 19158

Re: 2-year CDs at Vanguard and Fidelity Today

I think there is some anchoring going on with these. For those who got in on the 3% Pen Fed CD deal a few years ago, the brokered CDs at 3% for relatively shorter terms looks like a "great deal"--and one that isn't really available from direct CDs currently. I agree about the anchoring, in general,...
by Kevin M
Sat Apr 21, 2018 5:09 pm
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 164
Views: 19158

Re: 2-year CDs at Vanguard and Fidelity Today

... but there were only 10 of those ... What kind of spreads do you see on the secondary market once you get away form the initial offering? Perhaps more important do the spreads increase a lot when market rates change say a year into the life of the CD? Sorry, don't understand. Can you elaborate o...
by Kevin M
Sat Apr 21, 2018 4:48 pm
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 164
Views: 19158

Re: 2-year CDs at Vanguard and Fidelity Today

Like I said. I don't get it. Why you would put a very tax efficient investment in tax advantaged. If you have any taxable assets at all a low return instrument is at the top of the tax efficiency spectrum and should be in taxable. Now you're making a different argument. Asset location is a separate...
by Kevin M
Sat Apr 21, 2018 4:19 pm
Forum: Investing - Theory, News & General
Topic: 2-year CDs at Vanguard and Fidelity Today
Replies: 164
Views: 19158

Re: 2-year CDs at Vanguard and Fidelity Today

Yesterday I purchased 40 quantity of 3-year CD (Wells Fargo Bk N A Sioux Falls S D CUSIP: 949763FW1) at Vanguard ($2 commission) @97.898 and yield (to maturity and worst) was 2.928 after commission. Coupon rate is 2.250. Do you think this is a good deal? Thanks. Yes, that's pretty good, especially ...
by Kevin M
Sat Apr 21, 2018 2:44 pm
Forum: Investing - Help with Personal Investments
Topic: Ally Bank No penalty CD for parking cash, is there a catch?
Replies: 102
Views: 17669

Re: Ally Bank No penalty CD for parking cash, is there a catch?

Are you perhaps looking at the VCTXX municipal money market fund? I'm looking at VCAIX, the intermediate CA tax-exempt bond fund. Oops, my bad. Then yeah, looks correct. I itemize but am beyond the $10,000 SALT cap just from property taxes. Then your formula is correct, since you don't get state in...
by Kevin M
Sat Apr 21, 2018 12:41 pm
Forum: Investing - Theory, News & General
Topic: Why is the SEC yield the one that Vanguard displays?
Replies: 39
Views: 3652

Re: Why is the SEC yield the one that Vanguard displays?

Very clear as usual Kevin. If rates (say ten year Treasury) are expected to increase one percent in one year and they do, does this mean that the share price (return) of the fund should not be adversely impacted? I just picked the 10-year Treasury for comparison as it's widely quoted, and clearly n...