Bogleheads.org

BizarroJerry wrote: ↑Fri Mar 24, 2023 8:13 pm What worked best in Japan during that period that could translate to the US markets?

Small cap
https://www.bogleheads.org/blog/2017/02 ... se-crisis/

jjmaddison wrote: ↑Mon Feb 27, 2023 5:39 am The yield for VDST appears to be a bit higher, 4.69%, no?

Yep, but it is almost the same. For 1 year you will not feel a difference.

IBKR has been safe for many years and today it is considered to be top 3 brokers, for Europeans, at least.

As I glanced at your investments I think you might be overweighting US stocks. Is it good or bad? No answer, only future will tell.

I looked at Vanguard U.S. Treasury 0-1 Year Bond UCITS ETF (USD) Accumulating ISIN IE00BLRPPV00, WKN A2P66X and Invesco US Treasury Bond 1-3 Year UCITS ETF A ISIN IE00BF2FNG46 and they give same yield as IBKR

https://api.fundinfo.com/document/c7429 ... -01-31.pdf

https://api.fundinfo.com/document/d532d ... -01-31.pdf

Bobc998 wrote: ↑Wed Feb 22, 2023 5:41 am Main goal of this portfolio is to "Set-it-and-forget-it" with minimal maintenance, stable monthly contributions of up to 1.500 EUR and where necessary a re-balance in the medium-to-long future.

tre3sori wrote: ↑Wed Feb 22, 2023 2:34 pm A truely "Set-it-and-forget-it" portfolio with minimal maintenance would be Vanguard LifeStrategy 80% Equities UCITS ETF.

This!

krobold wrote: ↑Wed Feb 22, 2023 10:06 am why would people hold bond ETFs in their portfolio if they have negative returns over several years?

Historically, bonds beat cash.
https://awealthofcommonsense.com/2021/0 ... 1928-2020/

krobold wrote: ↑Wed Feb 22, 2023 10:06 am Would not cash then be a safer option?

It depends on what is "safety". If you use money in 30 years, then safety is investing it in stocks, if you use money in 3 months, then safety is in cash.

krobold wrote: ↑Wed Feb 22, 2023 10:06 am does the -4% of the specific etf i mentioned imply, that on average these bonds were charging the buyers 4% interest for borrowing money from them?!

An owner of the bond fund is charged only by fund's expense ratio. -4 means that bond fund lost 4 % of value.

Leesbro63 wrote: ↑Mon Feb 20, 2023 6:10 am When my furnace quits in my house, I’ll throw on an extra blanket until morning and call “a guy”. When the condo building heat dies, they call a big company on Saturday night and it costs way more. Similar for the kid with a lawnmower vs the big landscaping company, etc.

When you divide "way more" by 200, "a guy" gets more expensive.

id_afstand wrote: ↑Sun Feb 12, 2023 8:51 am But you cannot buy US VT directly due to the EU regulation. The only practical way is to buy it via options.

You could open an account at US broker (Tastyworks) and buy US ETFs.

Ishares has lower duration so it is less sensitive to changing interest rates.

Ishares has only US bonds, so it could be said that you are less diversified because Vanguard has bonds from more countries.

There is argument. I buy ishares, my wife - Vanguard at different brokers

At this stage, I am mostly looking for advice on which ETF's to pick, given my propensity for risk, and my decades-long investment goal. Hello, look here https://www.bogleheads.org/wiki/Simple_non-US_portfolios https://www.bogleheads.org/wiki/Complex_non-US_portfolios https://www.bogleheads.org/wiki/EU_investing#Lists_of_ETF_funds 1. Is it relevant to include a bond ETF at my age, or go fully in stocks? I do not think 10 % in bonds changes much, it "does not move a needle" If bonds should be included at 10%, what would be better between IGIL and IGLA? Maybe this could help decide https://occaminvesting.co.uk/should-you-own-inflation-linked-bonds/ https://occaminvesting.co.uk/why-you-shouldnt-own-inflation-linked-bonds/ https://oc...

tradez wrote: ↑Mon Jan 23, 2023 2:08 pm What is the reason people don't like the split that IWDA provides?

1) US outperformance since 2009. 2) Bogle and Buffet said you do need international. 3) US is the best country with best army.

hithere wrote: ↑Mon Jan 16, 2023 1:34 pm Personally, I maintain a leverage ratio of 1.05x

So, for example, 1000 of your own equity and 1050 of debt?

Double check this, but I was in communication with forum member "hithere" and he confirmed that if I did this box https://imgbb.com/0yZ1pNJ, I would have to return 4000 Eur.

So I think you are right by saying that to borrow 100k you need to sell 10 box spreads with a 1000 spread.

Tellurius wrote: ↑Sat Dec 24, 2022 3:19 pm As an individual, what amount of bond portfolio would be needed to take a 0% intermediate-term bond as a better deal than 0% cash in a bank account?

A government limit on deposit insurance.

Try to look up here
https://backtest.curvo.eu/

O think defaults should play a role here: the more defaults, the longer you have to wait.

Maybe this help
https://occaminvesting.co.uk/should-you ... ked-bonds/
https://occaminvesting.co.uk/why-you-sh ... ked-bonds/
https://occaminvesting.co.uk/why-you-sh ... ked-bonds/

Billy C wrote: ↑Thu Nov 17, 2022 9:42 am Even a Nobel Prize winner now agrees with John Bogle’s decades-old assertion that international investing is completely unnecessary for long-term investors.

I wonder, what would happen when more and more NON US investors start to agree with Fama and Bogle and only invest into US stocks?

Spgold wrote: ↑Fri Nov 18, 2022 8:53 am From a quick search at Blackrock website I get

https://www.blackrock.com/lu/individual ... -ucits-etf YTM 2,38 with duration 3,78

https://www.blackrock.com/lu/individual ... -ucits-etf
YTM 4,02 with duration 4,45

So, I would say they are not equivalent.
Cheers

These are different funds and track different indexes.

Too much weight for Europe. I would do 80 % VWCE and 20 % for casino

nasaliscarvatus wrote: ↑Sun Nov 13, 2022 6:36 am Is it time to move the 20% to bonds? I don't believe I will need this money for 15 years.

Now it is better than a year ago, but who knows how much ECB hikes interest rates?

roger83x wrote: ↑ with the purpose to switch to VWCE in more normal times?

What is normal times? Maybe the current situation is the new normal and Euro will not reach its previous value ever.

hausterm wrote: ↑Wed Oct 26, 2022 12:24 pm How many banks do I need? I was given the advice to go with one branch i.e. BNP LU, LGT LI or either VP Bank LI and let them handle as they have multiple banking jurisdictions with proper licenses.

Before the law every bank in every jurisdiction is a separate legal entity, so, if BNP LU handles your money to BNP FR and BNP LU goes bust, you will not have a claim against BNP FR.

northern_james wrote: ↑Fri Oct 14, 2022 2:55 pm Should Euro ever get into problems, I am confident that DKK will remain strong (flight to safety?)

Denmark is too small.

LongTermInvestor88 wrote: ↑Sat Oct 08, 2022 11:02 am It would be interesting to hear from others what they might do in similar circumstances?

I would invest all at once in accordance with my asset allocation, but your girlfriend does not possess a knowledge of personal finance as I do, so it is a tough one. I doubt you would convince her to drop her real estate fantasies hence if I were you I would try to split her money 50/50 - one part would to go her retirement account, other - real estate.

Can not find but this was discussed before - you just pay 0,25 and do not pay additional TER for each individual ETF.

Spgold wrote: ↑Sat Oct 08, 2022 4:45 am The specific 2040 year was mentioned for the following reasons

She wants to put aside currently available funds, for our kids to find in 18-20 years from now.

My kids fund is of 100 % stocks because they will not need these money at very specific time in the future.

Nathan Drake wrote: ↑Thu Oct 06, 2022 10:18 pm A factor tilted portfolio over the long term, since inception of the live DFA funds, has outperformed.

And if I picked other funds, not DFA? As I read discussions regarding factors, DFA pops a lot. Why? Are these funds special somehow?

She is just comparing a guaranteed (?) return of about 60% in 18 years compared to an unknown one . So, with a time horizon of 20 years, which usually mean that chances of stocks being down are thin, she expects to have any upside on the equity part plus the predetermined profit of the bonds…. She is comparing known return vs unknown return...Can it even possible? It is rhetorical question. I do not have answers to your questions but I suggest you reading this https://occaminvesting.co.uk/duration-matching-an-introduction/ https://occaminvesting.co.uk/why-you-should-own-long-term-bonds/ https://occaminvesting.co.uk/duration-matching-in-practice/ https://occaminvesting.co.uk/against-duration-matching/ https://occaminvesting.co.uk/should-you...

Apathizer wrote: ↑Wed Oct 05, 2022 12:13 am I'm anxiously waiting for the RR interview with Avantis Chief Investment Officer Eduardo Repetto, who I'm guessing will offer at least somewhat different perspective.

Rick Ferry did an interview with him
https://boglecenter.net/bogleheads-on-i ... pisode-43/

You say you are risk averse but still pick individual stocks and bonds and in such a way increase you risk.

20/80 seems not enough to generate returns of 4-5 %.

I understand the importance of bonds now, especially during this time we are experiencing. Having some money in bonds and not seeing it plummet like everything else, would have come in handy, especially for the mental well being of my mother who is very worried about our future. The irony of 2022 bear market from EU investor's perspective is that 100 % world stock portfolio (VWCE) lost only 12.48 %, while 20/80 portfolio lost 14.67, 40/60 - 13.86, in other world, bonds have not helped so far. I will include the current allocation of the portfolio Active fund with find fees, it is better to avoid these. This portfolio has had a 15% loss since its establishment. When was it established? What would you change? How would you change it and when...

erYof531 wrote: ↑Mon Oct 03, 2022 2:49 pm If there's any kind of bibliography you guys can point me towards to find answers,

https://www.bogleheads.org/wiki/Boglehe ... philosophy

alpine_boglehead wrote: ↑Mon Oct 03, 2022 12:41 am What I've found is...

Could you share?

Why not global aggregate hedged?

michoco911 wrote: ↑Fri Sep 30, 2022 7:58 am What is the added-value of having a broker with custody fees and a custodian in between?

I guess there is no added value.

If you want to read more critical opinions on ESG, explore this
https://www.evidenceinvestor.com/?s=esg

skierincolorado wrote: ↑Tue Sep 27, 2022 9:39 am There is a very simple guide on how to execute the trade in the document created by another poster that I link to in the first post of the modified hfea thread.

Where could the document be found?

Read these to get a better understanding of inflation linked bonds:
https://occaminvesting.co.uk/should-you ... ked-bonds/
https://occaminvesting.co.uk/why-you-sh ... ked-bonds/
https://occaminvesting.co.uk/why-you-sh ... ked-bonds/
https://occaminvesting.co.uk/all-about- ... ked-bonds/

If I remember correctly from Hedfundie's thread, historically the best rebalance of UPRO and TMF was quarterly.

It is hard to say, what you gain or lose by waiting longer.

id_afstand wrote: ↑Fri Sep 23, 2022 8:33 am Is such ESG screen worth the 20-25 basis points it saves me on total fund costs?

ESG is active management, we know that usually active management underperforms, hence, ESG screen is not worth it.

rohitiiml wrote: ↑Wed Sep 21, 2022 4:54 am However, just curious what other UK investors are doing and whether there are any lessons to incorporate from previous experiences.

I am not an UK investor, but if I were, I would just follow J. Bogle advice: "Don't Do Something, Stand There", because if I would do something (hedge), I would be timing FX market and market timing is hard.

mairwaves wrote: ↑Tue Sep 20, 2022 8:43 am what protections do I have with the respective brokers?

Depends on broker's jurisdiction: EU states - 20 000 Euros, UK - 85 000 pounds, US - 250 000 USD.

mairwaves wrote: ↑Tue Sep 20, 2022 8:43 am What do I do if one day the online platform is no longer live?

To make a claim to competent authority:
UK - https://www.fscs.org.uk/what-we-cover/investments/
USA - https://www.fdic.gov/
Ireland - https://www.investorcompensation.ie/

artymorty wrote: ↑Tue Sep 20, 2022 3:58 am our local stock market’s indices have yet to recover from ‘08,

Do these indices include reinvested dividends?

potz wrote: ↑Fri Sep 16, 2022 7:52 am I thought start something here to discuss how it relates to Non-US Investors.

And what do you think? Does it relates to non us imvestor?

GoldenRetriever wrote: ↑Thu Sep 08, 2022 6:54 pm Hi Guys,

First time poster!

Welcome to the forum!

GoldenRetriever wrote: ↑Thu Sep 08, 2022 6:54 pm Individual portfolios, but both the same allocations..
30% A200 - BetaShares Australia 200 ETF

Australia's market cap is 1.93% of global market cap, so you overweight them 15 times.

GoldenRetriever wrote: ↑Thu Sep 08, 2022 6:54 pm 2. Am I crazy to ignore bonds with 20+ years for me and 10 for my partner...

Crazy people do not ask whether they are crazy, so, yeah, I think you are not:)

GoldenRetriever wrote: ↑Thu Sep 08, 2022 6:54 pm SORR looks worst for five years before my retirement until 10 after?

I believe so, check https://earlyretirementnow.com/, there are many topics regarding SORR.

james865 wrote: ↑Sat Sep 10, 2022 9:22 am I’m not seeing a place to subscribe to Vectors—is this possible?

I wrote them an email at geo@oncoursefp.com

It is only legal for brokerages, and not retail investors, to invest directly on foreign markets from here. You actually use Interactive Brokers’ software for trading, but you need to pay an intermediary brokerage fee for legal reasons. WOW! Hard to believe this. 1) Do you think it’s even worth investing into VWCE (or other similar funds) with the smallest, 1.5% transaction fee (plus 0.22% TER)? Yes, if you hold for 5 years, 1.5 % becomes 0.3% a year, if you hold for 10 years - 0.15%, if for 30 years - 0.05% a year. 2) Even though I’d prefer paying into the fund as soon as possible, the fees for lower (and more frequent) transactions are extreme. I believe a yearly contribution would be optimal. How would you approach it? Looking at histor...