Search found 74 matches

by ericcohen
Sat Aug 17, 2019 7:23 pm
Forum: Personal Investments
Topic: Most Tax-Efficient Funds when in high tax bracket
Replies: 14
Views: 1433

Re: Most Tax-Efficient Funds when in high tax bracket

I like PREFX (T. Rowe Price Tax-Efficient Equity Fund)

It is an active fund and has a highish expense ratio, so people here will not like it, but it's done well for me.
by ericcohen
Tue Jul 23, 2019 7:46 pm
Forum: Personal Investments
Topic: YieldStreet latest offering - North Florida Pre-Development Financing
Replies: 11
Views: 895

Re: YieldStreet latest offering - North Florida Pre-Development Financing

trustquestioner wrote:
Tue Jul 23, 2019 6:52 am
I work in commercial real estate. This is a terrible deal.
Would be helpful if someone with your expertise could explain why.

I'm not tempted by YieldStreet's real estate deals. But their marine finance deals really intrigue me.
by ericcohen
Sat Jul 20, 2019 11:31 am
Forum: Personal Investments
Topic: If you had $1M to invest what would you do?
Replies: 26
Views: 3057

Re: If you had $1M to invest what would you do?

55/45 with most of the bond allocation in munis. If there is a steep market drop, I would cash in 1/2 of the bond allocation and increase equity allocation. Or just use VTMFX, roughly 50% equity, 50% muni and an ER of 9 basis points. We’re putting OP’s number there This makes the most sense to me. ...
by ericcohen
Fri Jul 19, 2019 7:13 pm
Forum: Personal Investments
Topic: If you had $1M to invest what would you do?
Replies: 26
Views: 3057

Re: If you had $1M to invest what would you do?

55/45 with most of the bond allocation in munis. If there is a steep market drop, I would cash in 1/2 of the bond allocation and increase equity allocation.
by ericcohen
Fri Jul 05, 2019 2:58 pm
Forum: Personal Investments
Topic: Microsoft bond
Replies: 15
Views: 2009

Re: Microsoft bond

As noted, this bond would not be paying you 5% if you went into the market and bought it now.

Consider instead buying a longer duration corporate bond etf like VCLT (vanguard long term corporate bond etf). Same investment thesis, nice yield, and better diversification.

:sharebeer
by ericcohen
Wed Jul 03, 2019 5:59 pm
Forum: Personal Investments
Topic: Placing all portfolio BOND holdings in Roth IRA?
Replies: 23
Views: 1774

Re: Placing all portfolio BOND holdings in Roth IRA?

First, you are 21 years old and should not be invested in any bonds at all. You should be 100% equities. "Should not" and "should" are very strong and possibly inappropriate words to say to another investor, especially a new investor. You know nothing about this poster's risk tolerance. 100% equiti...
by ericcohen
Wed Jul 03, 2019 5:40 pm
Forum: Personal Investments
Topic: How to add emerging markets?
Replies: 7
Views: 464

Re: How to add emerging markets?

Thesaints wrote:
Wed Jul 03, 2019 5:06 pm
I use VWO and it has not generated even a little bit of CG as far as I can remember.
Ive been really disappointed with VWO too. Not sure if its the ETF or just emerging markets in general.
by ericcohen
Wed Jul 03, 2019 5:26 pm
Forum: Personal Investments
Topic: Placing all portfolio BOND holdings in Roth IRA?
Replies: 23
Views: 1774

Re: Placing all portfolio BOND holdings in Roth IRA?

First, you are 21 years old and should not be invested in any bonds at all. You should be 100% equities. Second, even if you decide to own bonds, I think you should put the assets with the most appreciation potential over the next 40 years in your Roth IRA. Those assets are not bonds. Those are, for...
by ericcohen
Wed Jul 03, 2019 4:41 pm
Forum: Personal Investments
Topic: Bought First ETFs Today: Questions
Replies: 11
Views: 964

Re: Bought First ETFs Today: Questions

Two questions: Does anyone use ETFs in their fixed income portfolios? My purpose is to access investments with some higher yield while also having liquidity. I was running into the round trip trading issue at Fidelity. Does anyone see a danger in using ETFs for fixed income investments? Yes. VWOB, ...
by ericcohen
Tue Jul 02, 2019 8:50 pm
Forum: Personal Investments
Topic: Adding some bonds
Replies: 8
Views: 1045

Re: Adding some bonds

Your 30 and your wife is 26? I don't see any reason for you to be in bonds, especially as they are at historically high prices. :sharebeer
by ericcohen
Sun Jun 30, 2019 10:08 pm
Forum: Personal Investments
Topic: Getting out of options
Replies: 21
Views: 1503

Re: Getting out of options

The fact they they put you into a product like this, rarely used by individual investors, and something that you don't understand, is a clear red light to me. I would separate from him asap and never go back. Covered calls and naked puts on SPY are some of the most common and conservative options s...
by ericcohen
Sun Jun 30, 2019 9:48 pm
Forum: Personal Investments
Topic: Getting out of options
Replies: 21
Views: 1503

Re: Getting out of options

So with DIS your broker sold two covered calls. Selling call options on stock you own is a pretty conservative strategy. You pocket a premium at the beginning of the trade and then hope that on the expiration date of the option, the stock is at or below the strike price and, thus, expires worthless ...
by ericcohen
Sun Jun 30, 2019 6:51 pm
Forum: Personal Investments
Topic: Getting out of options
Replies: 21
Views: 1503

Re: Getting out of options

OP:

Do you own any of the underlying stock on these options? i.e., do you own shares of DIS or SPY. If so, how much?
by ericcohen
Sat Jun 22, 2019 11:25 am
Forum: Personal Investments
Topic: Best fixed income instrument for 150K in taxable acct
Replies: 24
Views: 2771

Re: Best fixed income instrument for 150K in taxable acct

LLQD and move on. Holding correlated assets is a sure-fire way to increase your ability to sleep well at night, especially in the first 3 years of retirement. Why does the correlation matter if he's using the income stream for retirement? At 4% distribution paid by LLQD, that's about $6,000 a year ...
by ericcohen
Sun Jun 02, 2019 9:35 pm
Forum: Personal Investments
Topic: Diverting monthly muni fund interest to stocks?
Replies: 5
Views: 656

Diverting monthly muni fund interest to stocks?

Bad idea? Market timing? Normally I just reinvest muni fund interest right back into the fund to get the compounding benefit. But it seems like muni fund prices are relatively high right now and stocks are low. And this would be a good time to increase stock purchases (index funds). Thoughts? Anyone...
by ericcohen
Sat Jun 01, 2019 6:39 pm
Forum: Investing - Theory, News & General
Topic: How did you all do in the month of May, 2019
Replies: 126
Views: 10695

Re: How did you all do in the month of May, 2019

Just ran the numbers and, surprisingly, I'm only -2.5%.

It feels a lot worse.
by ericcohen
Sat May 25, 2019 9:25 pm
Forum: Personal Investments
Topic: Short term Muni ETF's
Replies: 14
Views: 1567

Re: Short term Muni ETF's

rgs wrote:
Sun May 19, 2019 8:57 pm
Tried searching this forum for SMB (ST Muni ETF from VanEck), couldn't find any references. Trying to narrow my choices between SUB, SMB and SHM. Any views would be appreciated. Thanks
Why wouldn't you buy up the far end of the yield curve at this point?
by ericcohen
Sat May 25, 2019 9:22 pm
Forum: Personal Investments
Topic: Dividend Growth Fund VDIGX
Replies: 14
Views: 2577

Re: Dividend Growth Fund VDIGX

I'm always a bit amused by posts like this where the comment is "I'm very pleased with Fund X, it has done well for me" but when you check the performance, you find the fund has trailed Total Stock or the S&P500. Blue is VTSMX Total Stock Red is VFINX S&P500 Yellow is VDIGX Dividend Growth https://...
by ericcohen
Tue May 21, 2019 9:21 pm
Forum: Personal Investments
Topic: $400,000 gift to stepdaughter
Replies: 76
Views: 9048

Re: $400,000 gift to stepdaughter

First, sorry for your loss. Second, 15k a year isn't going to make her life appreciably easier. She is more likely to spend 15k a year than to save it. I agree that this whole plan seems to be overthinking things. I get what you're trying to do, but why not trust your stepdaughter and change her lif...
by ericcohen
Mon Apr 29, 2019 7:30 pm
Forum: Personal Consumer Issues
Topic: Internet and computer safety
Replies: 13
Views: 895

Re: Internet and computer safety

I have a subscription to Malwarebytes. It provides real time Malware protection. Runs a scan everyday and updates automatically. Checking the stats of the program, it's detected and cleaned 3 items of malware through scanning and 4,700+ real time protection detections, i.e., blocked malware popups, ...
by ericcohen
Sun Apr 28, 2019 5:51 pm
Forum: Personal Investments
Topic: The Heck with it. Keeping it simple with Munis
Replies: 12
Views: 1593

Re: The Heck with it. Keeping it simple with Munis

I would broaden the universe of muni funds that you're looking at. If your time horizon is long term, should a $49 commission deter you from getting a much better fund and force you to settle for a mediocre one? I don't think so. I'm 12 years from retirement. Any suggestions? And thanks for the res...
by ericcohen
Sun Apr 28, 2019 5:40 pm
Forum: Personal Consumer Issues
Topic: Man’s life savings stolen from hijacked cellphone number
Replies: 196
Views: 22511

Re: Man’s life savings stolen from hijacked cellphone number

midareff wrote:
Sun Apr 28, 2019 5:27 pm
LOL, I guess it would be if I posted the real domiciles. Lots of luck getting my SIM card.
Before you get too cocky, read this: https://motherboard.vice.com/en_us/arti ... le-stories
by ericcohen
Sun Apr 28, 2019 5:37 pm
Forum: Personal Investments
Topic: The Heck with it. Keeping it simple with Munis
Replies: 12
Views: 1593

Re: The Heck with it. Keeping it simple with Munis

I would broaden the universe of muni funds that you're looking at. If your time horizon is long term, should a $49 commission deter you from getting a much better fund and force you to settle for a mediocre one? I don't think so.
by ericcohen
Sun Apr 28, 2019 2:35 pm
Forum: Personal Consumer Issues
Topic: Man’s life savings stolen from hijacked cellphone number
Replies: 196
Views: 22511

Re: Man’s life savings stolen from hijacked cellphone number

WoW !!! U will have to excuse me if I don't just go ahead and ordain you the master here. With the exception of internal complicity I don't see how anyone would know I have and keep accounts at Schwab . .. and exactly how would compromising my SIM help compromise an account I don't verify or access...
by ericcohen
Sun Apr 28, 2019 1:53 pm
Forum: Personal Consumer Issues
Topic: Man’s life savings stolen from hijacked cellphone number
Replies: 196
Views: 22511

Re: Man’s life savings stolen from hijacked cellphone number

Fidelity uses voice authentication software when you call. Lockdown mode is 2FA with the second step being a text to your phone. Best practice is to establish email alerts for your account, so you are notified via email and not just phone as to changes in your account. Perp calls Fidelity and says ...
by ericcohen
Sun Apr 28, 2019 1:38 pm
Forum: Personal Consumer Issues
Topic: Man’s life savings stolen from hijacked cellphone number
Replies: 196
Views: 22511

Re: Man’s life savings stolen from hijacked cellphone number

I have my investment accounts in "lockdown" mode at Fidelity and *no funds out* mode at E*trade. These modes are similar but generally no funds can go out, though trading can be done and funds added. At Fidelity there is a 2 factor authentication process to unlock and at E*trade there is an authent...
by ericcohen
Mon Apr 22, 2019 8:03 pm
Forum: Personal Investments
Topic: Should I be in Bonds?
Replies: 20
Views: 1699

Re: Should I be in Bonds?

You should be in 100% stocks at your age and level of net worth.

As the saying goes: "Buy stocks to become wealthy. Then buy bonds to stay wealthy."

:sharebeer
by ericcohen
Wed Apr 10, 2019 6:33 pm
Forum: Investing - Theory, News & General
Topic: Junk bonds undervalued due to boglehead popularity?
Replies: 51
Views: 4962

Re: Junk bonds undervalued due to boglehead popularity?

It shouldn't matter whether Bogleheads or investors as a whole are biased against junk bonds. As long as sufficient capital exists to purchase them with an appropriate spread, they can be accurately priced. If the spread grew too large, for example, hedge funds could purchase large numbers of junk ...
by ericcohen
Wed Apr 03, 2019 6:47 pm
Forum: Personal Investments
Topic: ZERO cost mutual funds??
Replies: 33
Views: 2039

Re: ZERO cost mutual funds??

People seem to be completely unaware of Bid-Ask spreads, you can drive the Expense Ratio to zero and still make money there. Since you are aware of this issue and knowledgeable enough to bring it up, please explain how Fidelity is profiting from the bid ask spread. It would be good for our educatio...
by ericcohen
Mon Apr 01, 2019 8:13 pm
Forum: Investing - Theory, News & General
Topic: should I add emerging market gov bonds to portfolio?
Replies: 13
Views: 947

Re: should I add emerging market gov bonds to portfolio?

Correct me if I'm wrong, but isn't VWOB is among the safest type of EM bond? It consists almost entirely of sovereign, dollar denominated bonds.
by ericcohen
Thu Mar 28, 2019 7:01 pm
Forum: Personal Investments
Topic: how to invest 400K responsibly
Replies: 8
Views: 1349

Re: how to invest 400K responsibly

Buy 5500 shares of VT - Vanguard Total World Stock Market. Then go fishing.
by ericcohen
Wed Mar 27, 2019 8:18 pm
Forum: Investing - Theory, News & General
Topic: time to move from short term bonds to longer term?
Replies: 52
Views: 4296

Re: time to move from short term bonds to longer term?

Anyone have any thoughts on LTPZ -PIMCO 15+ Year US TIPS- for investing new money lump sum? If unexpected inflation is a source of risk for you then LTPZ can be a great tool to use. It’s hard to say more without all the requisite details. Isn't unexpected inflation a risk for everyone? Not necessar...
by ericcohen
Wed Mar 27, 2019 8:04 pm
Forum: Investing - Theory, News & General
Topic: time to move from short term bonds to longer term?
Replies: 52
Views: 4296

Re: time to move from short term bonds to longer term?

vineviz wrote:
Wed Mar 27, 2019 7:48 pm
ericcohen wrote:
Wed Mar 27, 2019 7:21 pm
Anyone have any thoughts on LTPZ -PIMCO 15+ Year US TIPS- for investing new money lump sum?
If unexpected inflation is a source of risk for you then LTPZ can be a great tool to use. It’s hard to say more without all the requisite details.
Isn't unexpected inflation a risk for everyone?
by ericcohen
Wed Mar 27, 2019 7:21 pm
Forum: Investing - Theory, News & General
Topic: time to move from short term bonds to longer term?
Replies: 52
Views: 4296

Re: time to move from short term bonds to longer term?

Anyone have any thoughts on LTPZ -PIMCO 15+ Year US TIPS- for investing new money lump sum?
by ericcohen
Mon Mar 25, 2019 6:45 pm
Forum: Investing - Theory, News & General
Topic: Negative Bond Yields?
Replies: 28
Views: 2747

Re: Negative Bond Yields?

LadyGeek wrote:
Mon Mar 25, 2019 3:01 pm
ericcohen - Has your question been answered?
Sure has. Some very informative answers. thanks.
by ericcohen
Sun Mar 24, 2019 6:09 pm
Forum: Investing - Theory, News & General
Topic: Negative Bond Yields?
Replies: 28
Views: 2747

Negative Bond Yields?

I've been reading some financial articles about German and Japanese 10 year bonds offering negative yields. I can't understand why anyone would buy those bonds. Can someone explain how it would makes sense for anyone to buy these negative yielding bonds?
by ericcohen
Mon Mar 18, 2019 8:20 pm
Forum: Investing - Theory, News & General
Topic: Portfolio during a recession
Replies: 32
Views: 3226

Re: Portfolio during a recession

Treasuries and gold.
by ericcohen
Sat Mar 16, 2019 5:28 pm
Forum: Personal Investments
Topic: Learning asset allocation for a new investor: USATX Expense ratio and bonds?
Replies: 5
Views: 306

Re: Learning asset allocation for a new investor: USATX Expense ratio and bonds?

USATX is a very good muni fund. I own the long duration version. It should be held in a taxable account if you are a US investor. USAIX is a very good fund too. But it's not a muni fund and the tax treatment of the interest is different than it is with a muni fund. .51 ER isn't that high considering...
by ericcohen
Thu Mar 14, 2019 7:43 pm
Forum: Investing - Theory, News & General
Topic: Latest on Yieldstreet
Replies: 17
Views: 2498

Re: Latest on Yieldstreet

Thanks. I've been considering investing with them. The litigation financing deals are the least appealing to me as very speculative. Real estate deals and marine finance more appealing and backed by hard collateral. Does anyone expect these deals to be risk free with no default? Not a realistic exp...
by ericcohen
Wed Mar 13, 2019 8:09 pm
Forum: Personal Investments
Topic: Need to park about 1,000,000 for 7-8 months
Replies: 77
Views: 8955

Re: Need to park about 1,000,000 for 7-8 months

Buy money market FMPXX and earn ~ $2000 a month in interest per million. MM is more liquid than treasury. No transaction costs and no bid-ask spread to cover. https://fundresearch.fidelity.com/mutual-funds/summary/316175207 :sharebeer This is no better than offerings from Vanguard or even online sa...
by ericcohen
Wed Mar 13, 2019 8:03 pm
Forum: Personal Finance (Not Investing)
Topic: Should I give more money to a family member?
Replies: 107
Views: 6976

Re: Should I give more money to a family member?

You don't need the money, they do. If I were in your position, I would give it all to them, in two equal portions.
by ericcohen
Tue Mar 05, 2019 7:54 pm
Forum: Personal Investments
Topic: Lots of cash .. Scared to put it to work now
Replies: 207
Views: 18539

Re: Lots of cash .. Scared to put it to work now

The problem with this thread is that there are very few people on here who have had to make a lump sum 7 figure investment at once (and no rolling over an IRA or other retirement account doesn't count). It is easy to say in theory that lump sum beats DCA 2/3 of the time. Those stats are cold comfort...
by ericcohen
Tue Mar 05, 2019 7:23 pm
Forum: Personal Investments
Topic: Need to park about 1,000,000 for 7-8 months
Replies: 77
Views: 8955

Re: Need to park about 1,000,000 for 7-8 months

Buy money market FMPXX and earn ~ $2000 a month in interest per million. MM is more liquid than treasury. No transaction costs and no bid-ask spread to cover.

https://fundresearch.fidelity.com/mutua ... /316175207

:sharebeer
by ericcohen
Mon Mar 04, 2019 9:57 pm
Forum: Personal Investments
Topic: How to allocate $2.3M roll over IRA?
Replies: 12
Views: 1624

Re: How to allocate $2.3M roll over IRA?

Fidelity has a bonus for 1 million + and an additional bonus for 2 million +.

I don't think it's always advertised. Just call them and inquire about it.
by ericcohen
Sat Mar 02, 2019 2:20 pm
Forum: Personal Investments
Topic: Lots of cash .. Scared to put it to work now
Replies: 207
Views: 18539

Re: Lots of cash .. Scared to put it to work now

Why not go with a more conservative AA, say 35% or 40% equities and the rest munis and treasuries (and some gold). If the market tanks, you can increase your equity % to 60% or 70%. If the market goes sideways, you gain some good income from the portfolio and can reinvest that income into equities.
by ericcohen
Fri Mar 01, 2019 10:20 pm
Forum: Investing - Theory, News & General
Topic: Peer to Peer (P2P) Lending - What are the realistic returns?
Replies: 30
Views: 3087

Re: Peer to Peer (P2P) Lending - What are the realistic returns?

I put a small amount (2,500) into LC and used two methods of investing. The first method is yielding 14%. The second method -.15%. I am not putting any new money into the platform because of all the risks specific to the company. I don't entirely trust the company.
by ericcohen
Fri Mar 01, 2019 9:32 pm
Forum: Investing - Theory, News & General
Topic: Latest on Yieldstreet
Replies: 17
Views: 2498

Re: Latest on Yieldstreet

I looked into their lawsuit financing issuances a while ago, and they struck me as terrible deals for investors, despite the ostensibly high interest rates (12%). They have this language on their website: "The Originator receives its distribution from the case’s settlement directly from the plainti...
by ericcohen
Fri Mar 01, 2019 6:34 pm
Forum: Investing - Theory, News & General
Topic: Uncorrelated Asset Classes
Replies: 89
Views: 6205

Re: Uncorrelated Asset Classes

What about currencies? Private Equity? Most currency plays are long/short as implemented in AQR's Style Premia Fund (QSPIX/QSPNX/QSPRX). As far as Private Equity, it can be considered a highly leveraged small value equity play with smoothed returns. Larry Swedroe has written much about this. Also, ...
by ericcohen
Wed Feb 27, 2019 9:40 pm
Forum: Investing - Theory, News & General
Topic: Latest on Yieldstreet
Replies: 17
Views: 2498

Re: Latest on Yieldstreet

Thanks. I've been considering investing with them. The litigation financing deals are the least appealing to me as very speculative. Real estate deals and marine finance more appealing and backed by hard collateral. Does anyone expect these deals to be risk free with no default? Not a realistic expe...