Search found 6317 matches

by KyleAAA
Tue Jan 23, 2018 3:37 pm
Forum: Investing - Theory, News & General
Topic: Bond Portfolio for High Net Worth Individuals - Different Rules?
Replies: 25
Views: 1976

Re: Bond Portfolio for High Net Worth Individuals - Different Rules?

Same rules apply. Asset allocation should be based on need, ability, and willingness to take risk. Being wealthy impacts those 3 factors in various ways (less need to take risk but more ability, for example), but the underlying rules don't change.
by KyleAAA
Tue Jan 23, 2018 1:01 pm
Forum: Investing - Help with Personal Investments
Topic: UHNW on paper - advice fire-testing AA
Replies: 7
Views: 393

Re: UHNW on paper - advice fire-testing AA

I'd likely invest conservatively in your situation but I wouldn't go 100% bonds. At a minimum, 20-30% in stocks seems wise just as an inflation hedge if nothing else. Even if your business decreased in value by 2/3, you'd still be set for life if you sold it at that price.
by KyleAAA
Sun Jan 21, 2018 10:27 pm
Forum: Investing - Help with Personal Investments
Topic: 4% Rule Clarification in regard to taxes
Replies: 6
Views: 951

Re: 4% Rule Clarification in regard to taxes

Pre-tax. Taxes are a cost like any other, so in your example above your living expenses are actually $50k. It’s a lot easier to manage your tax liability in retirement, though.
by KyleAAA
Sun Jan 21, 2018 9:29 pm
Forum: Investing - Help with Personal Investments
Topic: Please recommend an allocation now ( age 31) if retiring in 20 years ?
Replies: 33
Views: 2128

Re: Please recommend an allocation now ( age 31) if retiring in 20 years ?

Your allocation starting from $0 doesn’t matter at all. Just concentrate on saving 50% of your pretax income and the rest will fall in place. 80/20 is fine. So are 100/0 and 60/40.
by KyleAAA
Sun Jan 21, 2018 4:59 pm
Forum: Personal Finance (Not Investing)
Topic: Quicken's future direction - a cause for concern
Replies: 510
Views: 65311

Re: Quicken's future direction - a cause for concern

Another letter to customers from Eric Dunn, CEO of Quicken: Letter to the Quicken Community about the Membership Plan (November 2017) Since the launch of the 2018 releases of Quicken, we have heard questions from many of you about the new Membership Plan, where customers subscribe to Quicken on an ...
by KyleAAA
Sun Jan 21, 2018 4:56 pm
Forum: Investing - Theory, News & General
Topic: Automated Tax Loss Harvesting by Robo Advisor - Anyone with real results?
Replies: 36
Views: 2606

Re: Automated Tax Loss Harvesting by Robo Advisor - Anyone with real results?

The $3K is net (capital losses - capital gains), so it can be worth more to you, and you can also carry it forward [in unlimited amounts and use it to offset realized capital gains in any amount, and use that to offset ordinary income each year] at $3K a year. [...] When I read that statement, it l...
by KyleAAA
Sun Jan 21, 2018 11:28 am
Forum: Investing - Help with Personal Investments
Topic: Help Late Early Accumulators Be Comfortable Right Now with (Bogle-appropriate) Aggressive AA
Replies: 30
Views: 1789

Re: Help Late Early Accumulators Be Comfortable Right Now with (Bogle-appropriate) Aggressive AA

Yes, this is blatant market timing. Your discomfort is a sign that you’re investing beyond your risk tolerance. I would suggest you probably should move to a more conservative asset allocation, but not as a temporary measure due to valuations but as a permanent measure reflecting a more nuanced unde...
by KyleAAA
Sun Jan 21, 2018 11:04 am
Forum: Personal Finance (Not Investing)
Topic: Quicken's future direction - a cause for concern
Replies: 510
Views: 65311

Re: Quicken's future direction - a cause for concern

Another letter to customers from Eric Dunn, CEO of Quicken: Letter to the Quicken Community about the Membership Plan (November 2017) Since the launch of the 2018 releases of Quicken, we have heard questions from many of you about the new Membership Plan, where customers subscribe to Quicken on an ...
by KyleAAA
Sun Jan 21, 2018 10:54 am
Forum: Investing - Help with Personal Investments
Topic: Sell Home Depot?
Replies: 51
Views: 3741

Re: Sell Home Depot?

HD has returned just over 22% annualized since 1985. They are over $100 billion in revenue now, though, and I don’t see it having that level of success over then next 10 or 20 years. I suppose there are still international markets, but the US market seems relatively saturated at this point. Although...
by KyleAAA
Fri Jan 19, 2018 11:30 pm
Forum: Investing - Theory, News & General
Topic: How do Bogleheads reconcile efficient markets theory with Bitcoin?
Replies: 45
Views: 2185

Re: How do Bogleheads reconcile efficient markets theory with Bitcoin?

The EMH explicitly attempts only to describe deep, liquid public debt and equity markets. No attempt is made by the theory to describe all markets, least of all esoteric markets like cryptocurriences. No reconciliation is necessary as I’m not aware of any version of the theory or any EMH advocate th...
by KyleAAA
Wed Jan 17, 2018 9:22 pm
Forum: Investing - Theory, News & General
Topic: Recent market gains
Replies: 18
Views: 1559

Re: Recent market gains

Earnngs growth has been very strong recently. I’d be surprise don’t if the market wasn’t up.
by KyleAAA
Tue Jan 16, 2018 11:00 am
Forum: Investing - Theory, News & General
Topic: Study: The Rate of Return on Everything, 1870-2015
Replies: 106
Views: 17752

Re: Study: The Rate of Return on Everything, 1870-2015

You are not a company or industry. Neither am I. We are small time investors. And we were comparing tax advantages of equities vs. real estate, before you conveniently trying to deter the topic. A small time investor can benefit from killer tax strategies and pay very little taxes, WITHOUT being a ...
by KyleAAA
Mon Jan 15, 2018 2:03 pm
Forum: Investing - Theory, News & General
Topic: Study: The Rate of Return on Everything, 1870-2015
Replies: 106
Views: 17752

Re: Study: The Rate of Return on Everything, 1870-2015

Actually, direct real estate IS special in that regard. Why don't you ask Mr. Trump why he pays so little taxes? Hint: its not his mutual fund portfolio ;) What, specifically, about real estate is special in that regard that companies in other industries can't and don't take advantage of? Please be...
by KyleAAA
Mon Jan 15, 2018 10:46 am
Forum: Investing - Theory, News & General
Topic: Study: The Rate of Return on Everything, 1870-2015
Replies: 106
Views: 17752

Re: Study: The Rate of Return on Everything, 1870-2015

My preference to real estate are two-fold: cash flow and tax efficiency. The point is that direct real estate isn't special in any way along those lines. Investing in a company with real estate experience (ie. REIT) gives you a measly 5-7% return. I won't even consider a deal if it doesn't produce ...
by KyleAAA
Fri Jan 12, 2018 2:54 pm
Forum: Investing - Theory, News & General
Topic: Study: The Rate of Return on Everything, 1870-2015
Replies: 106
Views: 17752

Re: Study: The Rate of Return on Everything, 1870-2015

Liquidity is another way of saying "bad tax treatment". I'll pass. I haven't found any asset class with better tax treatment better than real estate. Full stop. New tax law non-withstanding (I haven't had a chance to dig deeply into its implications for real estate vs pass-through vs C Corps), the ...
by KyleAAA
Fri Jan 12, 2018 11:21 am
Forum: Investing - Theory, News & General
Topic: Study: The Rate of Return on Everything, 1870-2015
Replies: 106
Views: 17752

Re: Study: The Rate of Return on Everything, 1870-2015

Liquidity is another way of saying "bad tax treatment". I'll pass. I haven't found any asset class with better tax treatment better than real estate. Full stop. New tax law non-withstanding (I haven't had a chance to dig deeply into its implications for real estate vs pass-through vs C Corps), the ...
by KyleAAA
Mon Jan 08, 2018 10:14 am
Forum: Investing - Theory, News & General
Topic: Vanguard to launch US 'smart beta' ETFs - Will this board burn down?
Replies: 155
Views: 16802

Re: Vanguard to launch US 'smart beta' ETFs - Will this board burn down?

IJS and VSIAX/VISVX/VBR just aren't that different. IJS is a little bit smaller. VSIAX/VISVX/VBR is a little bit more valuey (and the index changes haven't changed it that much). One should expect the performance to be similar. That's what nearly two decades of data show. The funds are similar and ...
by KyleAAA
Fri Jan 05, 2018 10:57 am
Forum: Investing - Help with Personal Investments
Topic: Validity of Cryptocurrencies
Replies: 2
Views: 459

Re: Validity of Cryptocurrencies

I wouldn't say blockchain is revolutionary, necessarily, but it is definitely highly-applicable to a variety of fields. I'm not bought into cryptocurrencies but blockchain itself is a very promising technology. Vanguard is already using it along with a number of other financial companies. https://pr...
by KyleAAA
Fri Jan 05, 2018 10:12 am
Forum: Investing - Theory, News & General
Topic: Intel might take a hit
Replies: 38
Views: 3951

Re: Intel might take a hit

If it was going to take a hit it presumably would have already. My understanding is that Meltdown is much easier to fix both in hardware (obviously not immediately) and in software (immediately). Spectre is the much, much more serious flaw and since it's an architectural approach flaw, all of Intel'...
by KyleAAA
Wed Jan 03, 2018 9:50 am
Forum: Investing - Theory, News & General
Topic: Do Vanguard and Fidelity have automatic rebalancing?
Replies: 14
Views: 1157

Re: Do Vanguard and Fidelity have automatic rebalancing?

Unfortunately, no. It's a long-standing feature request.
by KyleAAA
Mon Jan 01, 2018 6:15 pm
Forum: Investing - Help with Personal Investments
Topic: Company Stock - % in portfolio
Replies: 16
Views: 1092

Re: Company Stock - % in portfolio

I don’t see any evidence stocks are at or near a peak. And bond returns are not negative. Typical recovery time from peak is nowhere near 14 years, though.
by KyleAAA
Sat Dec 30, 2017 3:42 pm
Forum: Investing - Theory, News & General
Topic: Is Beta a distinct factor or a summation of other factors
Replies: 42
Views: 1959

Re: Is Beta a distinct factor or a summation of other factors

It is distinct in the multi-factor literature. I believe beta itself explains something like 80% of a portfolio’s variation and beta taken with size and value together collectively explain about 95%, from memory. My memory may be a bit off.
by KyleAAA
Fri Dec 29, 2017 9:47 pm
Forum: Investing - Theory, News & General
Topic: Obtaining Exposure to Quality / Profitability Factor
Replies: 57
Views: 6105

Re: Obtaining Exposure to Quality / Profitability Factor

The index IJS and VIOV follow has a quality screen.
by KyleAAA
Fri Dec 29, 2017 1:11 pm
Forum: Personal Consumer Issues
Topic: Spain Trip: Barcelona & Girona + Cycling
Replies: 11
Views: 654

Re: Spain Trip: Barcelona & Girona + Cycling

If you have 4 or 5 days to spare, doing part or all of this hike is well worth it. You can get from Girona to any of the towns along the trail via bus. Cadaques is especially beautiful. You can also apparently take a ferry between some of these towns but I never did that so I don't know the details....
by KyleAAA
Wed Dec 27, 2017 3:07 pm
Forum: Investing - Help with Personal Investments
Topic: Can I afford a $600-650k house?
Replies: 60
Views: 6845

Re: Can I afford a $600-650k house?

It’s risky. While there’s a good chance your income will go up as expected, funny things happen in recessions. I wouldn’t buy a house that expensive on your current income but you can probably make it work if you don’t mind being house poor for a decade. Your chances of retiring comfortably will tak...
by KyleAAA
Tue Dec 26, 2017 11:21 am
Forum: Investing - Theory, News & General
Topic: Implications of tax bill on residential real estate (house prices)
Replies: 62
Views: 5703

Re: Implications of tax bill on residential real estate (house prices)

Has there been any serious analysis that doesn’t come from NAR? I’m inclined to downplay their numbers as self-interested lobbying. But I’m not seeing much else out there. I can’t imagine a 10% across the board drop although I can definitely see pockets of the market that could drop that much.
by KyleAAA
Mon Dec 25, 2017 11:25 pm
Forum: Personal Finance (Not Investing)
Topic: How can I obtain compensation data?
Replies: 38
Views: 3578

Re: How can I obtain compensation data?

I take the average of 3 or 4 biggest pay sites and call it good enough. HR at most companies use market data from, for example, Culpepper to set their pay bands. It isn’t cheap but it’s very objective.
by KyleAAA
Sat Dec 23, 2017 11:07 am
Forum: Investing - Help with Personal Investments
Topic: Going to Invest [inherited] 100k today. Need reassurance/help.
Replies: 14
Views: 2050

Re: Going to Invest [inherited] 100k today. Need reassurance/help.

I’d be inclined to skip the muni bonds in taxable and just fill your 401k with taxable bonds next year instead. Also, I’d rethink international small in taxable and maybe even domestic small. It’s okay to start out with broad market indexes in taxable and fill in with small and value in tax-deferred...
by KyleAAA
Mon Dec 18, 2017 11:51 am
Forum: Investing - Help with Personal Investments
Topic: too much $ in my company of work?
Replies: 51
Views: 4133

Re: too much $ in my company of work?

Hi folks thanks for the feedback. Let me clarify a few things the cash in my holding doesn't include emergency cash. Thats a separate bucket and is not part of my portfolio. This cash money is essentially to pay for upcoming university expenses for the kids. I dont want to take a risk there so its ...
by KyleAAA
Sun Dec 17, 2017 11:56 am
Forum: Investing - Help with Personal Investments
Topic: too much $ in my company of work?
Replies: 51
Views: 4133

Re: too much $ in my company of work?

Let me get this straight. You get to purchase stock at a straight up 15% discount? Why are so many people against this? That's a 15% margin of error built in automatically... If it is a good company worthy of investment then it certainly would be with a 15% discount! If the company is struggling th...
by KyleAAA
Sun Dec 17, 2017 10:57 am
Forum: Investing - Help with Personal Investments
Topic: too much $ in my company of work?
Replies: 51
Views: 4133

Re: too much $ in my company of work?

Best practice for ESPP. Unless your Program has any crazy non-standard provisions it’s probably a good deal. If they let you buy at a discount to the lower of the start and end price it’s a no brainer.

https://blog.wealthfront.com/good-espp-no-brainer/
by KyleAAA
Thu Dec 14, 2017 11:11 am
Forum: Investing - Help with Personal Investments
Topic: Reached 50X annual spending. Now what?
Replies: 56
Views: 6242

Re: Reached 50X annual spending. Now what?

At a 2% withdrawal rate, practically any reasonable allocation will be fine. I'd be likely to invest a bit more aggressively (maybe something like 65/35) in that situation.
by KyleAAA
Thu Dec 14, 2017 10:38 am
Forum: Investing - Help with Personal Investments
Topic: Can rental home generate small income?
Replies: 56
Views: 4163

Re: Can rental home generate small income?

I can't comment on whether the particular home you're referring to is a good investment, but to answer your question generally yes, it's certainly possible. I wouldn't recommend trying if you aren't going to be dedicated to building a rental business because you'll get fleeced.
by KyleAAA
Wed Dec 13, 2017 12:14 pm
Forum: Investing - Help with Personal Investments
Topic: Young Investor: When to diversify
Replies: 22
Views: 1555

Re: Young Investor: When to diversify

I would say when it's practical, i.e. when the amount of total international you need to meet your desired asset allocation exceeds the minimum investment ($3k, I believe).
by KyleAAA
Mon Dec 11, 2017 7:57 pm
Forum: Personal Finance (Not Investing)
Topic: Can we afford to live on one income?
Replies: 70
Views: 5772

Re: Can we afford to live on one income?

You can easily afford it unless retiring by 50 is a goal.
by KyleAAA
Sun Dec 10, 2017 10:28 pm
Forum: Personal Consumer Issues
Topic: Do girls wear Ninja Turtle character shoes
Replies: 54
Views: 2672

Re: Do girls wear Ninja Turtle character shoes

Of course girls like ninja turtles. They’re heroes in a half shell.
by KyleAAA
Sat Dec 09, 2017 10:59 am
Forum: Personal Finance (Not Investing)
Topic: Time to move to a different company?
Replies: 4
Views: 841

Re: Time to move to a different company?

I’d leave just for the improved commute, all else being equal. That the work would be more interesting is just icing on the cake. Life is too short for horrible commutes.
by KyleAAA
Fri Dec 08, 2017 11:37 am
Forum: Investing - Theory, News & General
Topic: Vanguard customer service reps need some training
Replies: 66
Views: 7088

Re: Vanguard customer service reps need some training

I know very little about the cost of upgrading technology on a large scale for an organization the size of Vanguard, but I find myself wondering if it's really more expensive than paying CS staff to handle things the web site ought to be able to do. I know very much about the cost involved, and it ...
by KyleAAA
Fri Dec 08, 2017 11:34 am
Forum: Investing - Help with Personal Investments
Topic: Move to International Stock Fund?
Replies: 7
Views: 395

Re: Move to International Stock Fund?

No, because it implies your belief is certain to be correct. Better to pick a reasonable, diversified portfolio and stick to it regardless of valuations. And there is no scenario whatsoever where investing in equities, whether international or domestic, could be regarded as "safer" than investment-g...
by KyleAAA
Thu Dec 07, 2017 1:56 pm
Forum: Personal Finance (Not Investing)
Topic: Re-inventing career in mid 30s? Law? Tech? Sales?
Replies: 18
Views: 2310

Re: Re-inventing career in mid 30s? Law? Tech? Sales?

You probably don't need a computer science degree or to know much about math for your average government IT job. Depending on which niche you're interested in, a few industry certifications may be all you need. If anything, a CIS or MIS degree would seem more appropriate than CS.
by KyleAAA
Thu Dec 07, 2017 12:33 pm
Forum: Investing - Help with Personal Investments
Topic: 112K pension- need help w/the rest
Replies: 26
Views: 2512

Re: 112K pension- need help w/the rest

Four in one index fund is fine. Doesn't sound like you'll need to touch if for another decadence two and it's in an IRA so you can sell it in favor of a more conservative fund later if you wish. I would definitely encourage you to take your wife's pension and portfolio into account. before making an...
by KyleAAA
Wed Dec 06, 2017 6:36 pm
Forum: Personal Consumer Issues
Topic: Vegas on a budget
Replies: 49
Views: 3789

Re: Vegas on a budget

Fremont Street Experience is still quite cheap.
by KyleAAA
Sun Dec 03, 2017 12:02 am
Forum: Investing - Theory, News & General
Topic: Vanguard customer service reps need some training
Replies: 66
Views: 7088

Re: Vanguard customer service reps need some training

Yes, phone transactions are error prone. Perhaps your instructions weren’t as clear as you thought they were? Either way, doing it online is a far superior option.
by KyleAAA
Sat Dec 02, 2017 12:18 pm
Forum: Investing - Theory, News & General
Topic: Is there any reason to invest in real estate?
Replies: 98
Views: 7972

Re: Is there any reason to invest in real estate?

Kyle, If someone spends $30K on an asset, and it returns $30K in a year, that is a 100% annualized return. If it returns $15K, its a 50% return. I don't know why this elementary math even needs to be stated. A less than 30% ROI on leveraged real estate is disappointing. I only have one property tha...
by KyleAAA
Fri Dec 01, 2017 7:01 pm
Forum: Investing - Theory, News & General
Topic: Is there any reason to invest in real estate?
Replies: 98
Views: 7972

Re: Is there any reason to invest in real estate?

Kyle, If someone spends $30K on an asset, and it returns $30K in a year, that is a 100% annualized return. If it returns $15K, its a 50% return. I don't know why this elementary math even needs to be stated. A less than 30% ROI on leveraged real estate is disappointing. I only have one property tha...
by KyleAAA
Fri Dec 01, 2017 6:26 pm
Forum: Investing - Help with Personal Investments
Topic: I'm 100% international with VEU. Is this wise?
Replies: 57
Views: 3375

Re: I'm 100% international with VEU. Is this wise?

I don’t believe it’s wise to market time market segments based on PE, no.
by KyleAAA
Fri Dec 01, 2017 2:13 pm
Forum: Personal Finance (Not Investing)
Topic: Thankful for the Debt we Took - Should we Try Again?
Replies: 95
Views: 9307

Re: Thankful for the Debt we Took - Should we Try Again?

Glad you beat the odds. You asked for advice so no. The Bogle way may not be sexy but it has 100% guarantee to work. A pyramid scheme with debt only works if you are not on the bottom but you will never know when or if you will be on it. Your odds are about the same if you just went to Vegas. I thi...
by KyleAAA
Fri Dec 01, 2017 11:27 am
Forum: Investing - Theory, News & General
Topic: Is there any reason to invest in real estate?
Replies: 98
Views: 7972

Re: Is there any reason to invest in real estate?

"20% ROI is not sustainable or practical to obtain for any length of time. If 20% ROI was available to everybody through real estate investing, nobody would invest in the stock market which returns 8% ROI historically." The quote by miami vice. The conversation was about ROI. Even amongst RE invest...
by KyleAAA
Fri Dec 01, 2017 11:02 am
Forum: Investing - Theory, News & General
Topic: Is there any reason to invest in real estate?
Replies: 98
Views: 7972

Re: Is there any reason to invest in real estate?

We are talking return on investment (ROI), NOT return on equity. No, everybody but you is talking about the rate at which one's investments compound. Fine, don't count the $108K if you don't want to. Still, the property returns $28K per year from the other profit centers on a $35K investment. Thats...
by KyleAAA
Fri Dec 01, 2017 9:40 am
Forum: Investing - Theory, News & General
Topic: Is there any reason to invest in real estate?
Replies: 98
Views: 7972

Re: Is there any reason to invest in real estate?

All, 20% ROI is not sustainable or practical to obtain for any length of time. If 20% ROI was available to everybody through real estate investing, nobody would invest in the stock market which returns 8% ROI historically. Some of you may have been lucky. Some may have added to your initial investm...