Search found 66 matches

by XacTactX
Tue Oct 06, 2020 9:39 pm
Forum: Personal Consumer Issues
Topic: Recommendations for Peanut Butter With Little or No Added Sugar
Replies: 81
Views: 5097

Re: Recommendations for Peanut Butter With Little or No Added Sugar

I was at Albertsons a few days ago and i saw one i think it was Jif, with less salt and sugar, i looked at the nutrition facts and sugar was <1 gram in a 180 kcal serving. And if i recall correctly it used palm oil or some other oil to avoid separating into layers. It might be suitable for you Trade...
by XacTactX
Mon Sep 28, 2020 1:18 pm
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3126
Views: 230053

Re: Small Cap Value heads Rejoice !!!

Yes I think AVEM is a good choice for EM value. Larry Swedroe and Andrew Berkin just released The Incredible Shrinking Alpha 2nd. Ed and they recommend AVEM for emerging markets, it's in the same category as DFEVX and FNDE, it is in good company. Choosing between DGS and AVEM, I think both are good ...
by XacTactX
Mon Sep 28, 2020 1:08 pm
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3126
Views: 230053

Re: Small Cap Value heads Rejoice !!!

In trying to further simplify, if I hold 50% AVUV, 40% AVDV, and 10% DGS, can I just dump the DGS allocation? I realize AVDV doesn't have emerging markets, but is the 10% really going to make that much of a difference? Or perhaps add a little AVEM at a much lower ER (even though it isn't small cap)...
by XacTactX
Sat Sep 26, 2020 4:33 pm
Forum: Investing - Theory, News & General
Topic: CALPERS Needs 7% Return
Replies: 107
Views: 13782

Re: CALPERS Needs 7% Return

I am really concerned about this trend in public pensions: the need for relatively high returns of 7%, but equity valuations are relatively high and intermediate bonds are yielding ~1%. I think there is going to be a day of reckoning for public pensions at some point because of this disconnect. Pens...
by XacTactX
Sat Sep 26, 2020 2:55 pm
Forum: Investing - Theory, News & General
Topic: New iShares 25+ Year Treasury ETF
Replies: 41
Views: 3603

Re: New iShares 25+ Year Treasury ETF

What is so bad about buying individual STRIPS to save the small expense ratio and customize your exposure? In taxable, I hear you must report "phantom interest". I would please like to ask: If you own individual STRIPS in a Vanguard taxable brokerage account, do they do this calculation for you and...
by XacTactX
Fri Sep 25, 2020 9:06 pm
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3126
Views: 230053

Re: Small Cap Value heads Rejoice !!!

This is where things get quite fuzzy and depend on specifically what you want to target. A fund like AVUV will target value and profitability, with some momentum screens, but won't specifically weight momentum in its weighting. This will result in a deeper value exposure for AVUV than something lik...
by XacTactX
Fri Sep 25, 2020 7:25 pm
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3126
Views: 230053

Re: Small Cap Value heads Rejoice !!!

Hey folks, I know I've asked stuff like this before but I'd like your advice again. I've tried my best to diversify with different factors like size, value, and profitability, and I'm always trying to analyze my funds to see if I made the right choice. Here is a list of funds using Morningstar X-Ray...
by XacTactX
Thu Sep 24, 2020 2:24 am
Forum: Personal Investments
Topic: Long Suffering VXUS Holder No More
Replies: 216
Views: 20051

Re: Long Suffering VXUS Holder No More

OP, I disagree with the framework that is being used to make this decision because from what I have seen the consensus is that the best way to forecast future returns is by looking current valuations. Most of the companies that publish capital market assumptions for U.S. and international believe th...
by XacTactX
Wed Sep 23, 2020 7:00 pm
Forum: Investing - Theory, News & General
Topic: Goodwill on a balance sheet = FALSELY categorized as value?
Replies: 45
Views: 6509

Re: Goodwill on a balance sheet = FALSELY categorized as value?

To my knowledge almost all of the index funds that use P/B do not make adjustments for goodwill, but last year Eduardo Repetto and the ex-DFA crew made some new Avantis ETFs, and they subtract goodwill from tangible assets to create their measure of P/B. I do not think this question is completely de...
by XacTactX
Tue Sep 22, 2020 1:30 pm
Forum: Personal Finance (Not Investing)
Topic: BofA Premium Rewards 5.25% Categories?
Replies: 23
Views: 1348

Re: BofA Premium Rewards 5.25% Categories?

Two additional notes: (1) Many folks get around the $2,500/quarter spend limit by having multiple Cash Rewards cards. I have two CR cards (and collected a $200 bonus for opening each one.) With no annual fee, there is no reason to have just one and it gives you more flexibility on the categories. Y...
by XacTactX
Tue Sep 22, 2020 12:54 pm
Forum: Personal Finance (Not Investing)
Topic: BofA Premium Rewards 5.25% Categories?
Replies: 23
Views: 1348

Re: BofA Premium Rewards 5.25% Categories?

Two additional notes: (1) Many folks get around the $2,500/quarter spend limit by having multiple Cash Rewards cards. I have two CR cards (and collected a $200 bonus for opening each one.) With no annual fee, there is no reason to have just one and it gives you more flexibility on the categories. Y...
by XacTactX
Mon Sep 21, 2020 12:28 am
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3126
Views: 230053

Re: Small Cap Value heads Rejoice !!!

This is a very basic question, but, how are defining "value", and which equities qualify as "value" and which do not? Is this based mainly on price to book (from my reading of HML, it looks like it's primarily based on price to book)? This is an EXCELLENT question and for me it will always be a wor...
by XacTactX
Fri Sep 18, 2020 1:23 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Multifactor fund VFMF has had a bad year
Replies: 93
Views: 4956

Re: VFMF has had a bad year

I've thought about having this fund a few times but my biggest concern is negative alpha, in the past 2.5 years it generated around -5% alpha with a t-stat of 2.4, that's the only thing keeping me away.
by XacTactX
Fri Sep 18, 2020 12:32 pm
Forum: Investing - Theory, News & General
Topic: Thoughts on the Incredible Shrinking Alpha?
Replies: 6
Views: 806

Re: Thoughts on the Incredible Shrinking Alpha?

I bought the book on release day. If you buy a physical copy of the book you get the digital copy for free, it does not say this on the Amazon page but Harriman House will give you the free download on its website. Basically these are the questions that Larry and Andrew are focusing on: What is alph...
by XacTactX
Wed Sep 16, 2020 1:33 pm
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3126
Views: 230053

Re: Small Cap Value heads Rejoice !!!

While these are helpful portfolios for someone getting into the nitty-gritty of factor targets, I think for most people it can be overwhelming and overcomplicated and they'd be better served with something like 50% Total US Market, 25% Total International, 25% US SCV. [This post has been snipped to...
by XacTactX
Tue Sep 15, 2020 3:15 am
Forum: US Chapters
Topic: How many bogleheads do you know in real life?
Replies: 165
Views: 16171

Re: How many bogleheads do you know in real life?

Most of the people I’ve talked to in real life don’t know about indexing or scientific investing. One person I knew was buying pharmaceutical penny stocks with Robin Hood. Another person is interested in day trading and is watching YouTube videos to learn about it. Another person asked if marijuana ...
by XacTactX
Tue Sep 15, 2020 12:55 am
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3126
Views: 230053

Re: Small Cap Value heads Rejoice !!!

Yes I think it will be available afterward
by XacTactX
Mon Sep 14, 2020 10:13 pm
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3126
Views: 230053

Re: Small Cap Value heads Rejoice !!!

I just wanted to give you folks a heads up: DFA is doing a webinar on September 18 at 1:00 PM Central time. It's called Value vs. Growth: Past, Present, and Future. The past 3-4 years have been especially tough for value and I'm interested to see what insights they will have. I know there are some v...
by XacTactX
Tue Sep 08, 2020 8:57 am
Forum: Investing - Theory, News & General
Topic: Factor Investing question
Replies: 13
Views: 601

Re: Factor Investing question

Some of my favorite financial writers, Wes Grey and Jack Vogel from Alpha Architect, and Elisabetta Basilico and Tommi Johnsen from Academic Insights on Investing (all four are PhDs in finance) believe that value and momentum are the best documented factors in finance and they are the most likely to...
by XacTactX
Mon Sep 07, 2020 9:50 pm
Forum: Personal Investments
Topic: MPI—Indexed Universal Life Insurance Plan— Scam?
Replies: 22
Views: 1081

Re: MPI—Indexed Universal Life Insurance Plan— Scam?

I have a relative who was working with Transamerica and selling these IUL policies for a while. I wish I could understand what the actual return is on these types of products and how attractive they are compared to buying term life and investing the difference. I went to a few meetings where they “t...
by XacTactX
Mon Sep 07, 2020 4:05 pm
Forum: Personal Finance (Not Investing)
Topic: Buying vs. Renting Principles
Replies: 205
Views: 13153

Re: Buying vs. Renting Principles

I'd like to offer a resource that I really like, the FAU Rent vs. Buy index. Every three months they update the data and they are trying to ask: if someone buys a home or rents and invests the difference, which person comes out ahead at the end of the holding period. In most parts of the U.S. rentin...
by XacTactX
Mon Sep 07, 2020 2:16 pm
Forum: Investing - Theory, News & General
Topic: Why do people end up with 10-15 funds in their 401k?
Replies: 60
Views: 4771

Re: Why do people end up with 10-15 funds in their 401k?

I think the main reason is simply not having experience/knowledge about investing and thinking that "more funds = more diversification" or "I like all the funds so why not pick all of them?". I've seen this phenomenon on Reddit as well, people ask for advice about building their first portfolio and ...
by XacTactX
Sun Sep 06, 2020 11:20 pm
Forum: Investing - Theory, News & General
Topic: how does high PE stocks store value?
Replies: 34
Views: 2060

Re: how does high PE stocks store value?

There is an amazing article by O’Shaughnessy that explores this question from the perspective of value and growth. I’m a little bit fuzzy on the details of how it works in practice but here it is.

https://osam.com/Commentary/factors-from-scratch
by XacTactX
Sun Sep 06, 2020 5:24 pm
Forum: Investing - Theory, News & General
Topic: Ex DFA CIO launches competitor which will also have ETFs
Replies: 272
Views: 35132

Re: Ex DFA CIO launches competitor which will also have ETFs

I recall Gus Sauter saying in an interview that the Vanguard small value index fund was purposely managed to imitate common active SV management policies. Also, I owned a DFA value fund that targeted deciles 6 through 10, including a lot of mid-cap. What is the actual, formal relationship between A...
by XacTactX
Sat Sep 05, 2020 2:01 pm
Forum: Investing - Theory, News & General
Topic: Ex DFA CIO launches competitor which will also have ETFs
Replies: 272
Views: 35132

Re: Ex DFA CIO launches competitor which will also have ETFs

I’m not sure that’s true. Some funds use derivatives to maintain exposure while holding cash to help with redemptions. I thought it was more prevalent in Mutual Funds though. I can’t imagine IJS has a 2% cash drag. Someone needs to look into this. Its VIOV, not IJS that would have the cash drag. I'...
by XacTactX
Sat Sep 05, 2020 9:56 am
Forum: Investing - Theory, News & General
Topic: P2P Lending (Reaching for Yields)
Replies: 35
Views: 2406

Re: P2P Lending (Reaching for Yields)

I think that is the mistake a made. When I opened my LC account I didn’t know as much as I do now and I didn’t know how to separate high quality D rated loans from the low quality ones. There are some diamonds in the rough in the low credit grades.
by XacTactX
Fri Sep 04, 2020 11:44 pm
Forum: Investing - Theory, News & General
Topic: P2P Lending (Reaching for Yields)
Replies: 35
Views: 2406

Re: P2P Lending (Reaching for Yields)

Yes, I think it was a good idea for LC to get rid of D and E rated loans. The risk is not worth the reward. My D rated loans gave me a 3.49% return but A rated loans are giving 3.74%, so the risk did not pay off.
by XacTactX
Fri Sep 04, 2020 10:19 pm
Forum: Investing - Theory, News & General
Topic: P2P Lending (Reaching for Yields)
Replies: 35
Views: 2406

Re: P2P Lending (Reaching for Yields)

For LendingClub, if an institution (or a person with millions of dollars) is buying a whole loan, it gets to see the loan 12 hours before the smaller traders do. So if an institution knows how to predict default rate on loans better than smaller investors, it will be able to buy the best loans, and ...
by XacTactX
Fri Sep 04, 2020 9:31 pm
Forum: Personal Investments
Topic: Neutralizing TSLA in VTSAX?
Replies: 20
Views: 1929

Re: Neutralizing TSLA in VTSAX?

OP, for your retirement accounts you could buy SPTM, it holds the S&P 500, 400, and 600. If you like the S&P committee and how they choose companies it may be suitable for you. Its performance should be broadly similar to VTSAX For your taxable accounts do you have any contributions with an unrealiz...
by XacTactX
Fri Sep 04, 2020 8:27 pm
Forum: Investing - Theory, News & General
Topic: P2P Lending (Reaching for Yields)
Replies: 35
Views: 2406

Re: P2P Lending (Reaching for Yields)

I think P2P lending can be a smart way to diversify a portfolio. I first learned about it by reading Larry Swedroe and Kevin Grogan's Reducing the Risk of Black Swans (2018). In the book they recommend picking relatively safe loans because when there is an economic downturn and the unemployment rate...
by XacTactX
Fri Sep 04, 2020 1:31 pm
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3126
Views: 230053

Re: Small Cap Value heads Rejoice !!!

August 2001 to Dec 2009 -annualized returns: [post 1999 'bubble'] +7.4% = IJS (iShares S&P Small Cap 600 Value) -0.8% = IVV (iShares S&P500) Jan 2010 to Aug 2020 - annualized returns +9.4% = IJS (iShares S&P Small Cap 600 Value) 13.6% = IVV (iShares S&P500) This was very interesting. SCV performanc...
by XacTactX
Thu Sep 03, 2020 3:21 pm
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3126
Views: 230053

Re: Small Cap Value heads Rejoice !!!

Hey everyone, first off congrats on a good day (DFSVX is -2.15% while VUG is -4.7%) :sharebeer I want to get some feedback from those of you who like small value (and profitability/quality). Right now these are the investments I've picked for small value multifactor: SMLF 54% ISCF 34% EMGF 12% Now I...
by XacTactX
Tue Sep 01, 2020 12:51 pm
Forum: Investing - Theory, News & General
Topic: Investors Were Warned.
Replies: 171
Views: 14460

Re: Investors Were Warned.

I had a related question. Are there any material to understand the value premium and why it exists in a more understandable form? And more importantly why does it exist now even after this is well known for a long time now (ie., why has this not priced in the cost of the funds and hence raising the...
by XacTactX
Tue Sep 01, 2020 1:29 am
Forum: Investing - Theory, News & General
Topic: Investors Were Warned.
Replies: 171
Views: 14460

Re: Investors Were Warned.

I had a related question. Are there any material to understand the value premium and why it exists in a more understandable form? And more importantly why does it exist now even after this is well known for a long time now (ie., why has this not priced in the cost of the funds and hence raising the...
by XacTactX
Mon Aug 31, 2020 10:46 pm
Forum: Investing - Theory, News & General
Topic: Investors Were Warned.
Replies: 171
Views: 14460

Re: Investors Were Warned.

From 1928 to 2019 the value premium was 4.54%. Right now it's having a bad stretch just like the 1930s, and then it rebounded. I think it's premature to say that value (and size) are not going to be rewarded at some point. As long as small and cheap companies are more risky than large and expensive ...
by XacTactX
Fri Aug 28, 2020 7:17 pm
Forum: Investing - Theory, News & General
Topic: Biggest regrets and advice for newbies.
Replies: 59
Views: 8078

Re: Biggest regrets and advice for newbies.

The best pieces of advice I can give to new investors: The stock market rewards patience and discipline. If you bought $10,000 of the S&P 500 in November of 2007 and you panicked and sold it in March of 2009 during the financial crisis, you kept $4,900 and had a loss of 51%. If you kept holding the ...
by XacTactX
Thu Aug 27, 2020 2:05 pm
Forum: Investing - Theory, News & General
Topic: Tesla becomes most valuable car company in the world
Replies: 200
Views: 19023

Re: Tesla becomes most valuable car company in the world

Is it possible to find out what percentage of the Tesla shares are being bought by people/institutions and what percentage of the shares are being sold by people/institutions? I'd love to see a breakdown of which institutions are buying and what institutions are selling.
by XacTactX
Wed Aug 26, 2020 6:43 pm
Forum: Investing - Theory, News & General
Topic: Salesforce Price Run-Up Challenges DJIA Selection
Replies: 8
Views: 835

Re: Salesforce Price Run-Up Challenges DJIA Selection

In my mind the DJIA is obsolete and the S&P 500 should be used as the benchmark for the US stock market. the S&P 500 was made in 1957 and it goes back far enough for most people. The only time DJIA should be used is when people want returns before 1957, because it goes all the way back to 1896. News...
by XacTactX
Wed Aug 26, 2020 4:16 pm
Forum: Investing - Theory, News & General
Topic: Reviving value investing
Replies: 6
Views: 700

Re: Reviving value investing

They launched a fund around June of 2019 called QRFT and it uses machine learning to target value, size, momentum, quality, and something else. QRFT vs LRGF vs VOO vs VUG The machine learning part of the fund does not seem to be adding a benefit because AQR's factor model is explaining over 99% of t...
by XacTactX
Tue Aug 25, 2020 4:53 pm
Forum: Investing - Theory, News & General
Topic: "Why Young Investors Shouldn't Dabble in Stocks"
Replies: 43
Views: 4354

Re: "Why Young Investors Shouldn't Dabble in Stocks"

This is a fantastic video and it should be introductory material for new investors. When I got into investing in 2015 somehow I got lucky and I started with a Target Date Fund, in hindsight I think it was the correct decision for me. If someone is interested in the rush of picking individual stocks ...
by XacTactX
Sun Aug 23, 2020 10:02 pm
Forum: Investing - Theory, News & General
Topic: A Plea for Ordinary English
Replies: 128
Views: 10200

Re: A Plea for Ordinary English

candlesticks head and shoulder pattern death cross Moving Average Convergence Divergence Stochastic indicator Chaikin Oscillator Bollinger Bands Fibonacci Ratios and Retracements McClellan Oscillator... I've been investing for five years and I don't know what any of these words mean. Please tell me...
by XacTactX
Sat Aug 22, 2020 8:19 pm
Forum: Investing - Theory, News & General
Topic: As a US Investor, why shouldn't my market be "US Investors" (vs. "Global Investors")
Replies: 16
Views: 1303

Re: As a US Investor, why shouldn't my market be "US Investors" (vs. "Global Investors")

American investors (and all investors who have a significant overweight to their home country) are missing out on an opportunity to diversify across different risks. By putting 40% of your stock allocation into non-U.S. companies, you can decrease the volatility of your portfolio by ~5% (page 3 of t...
by XacTactX
Thu Aug 20, 2020 5:08 am
Forum: Investing - Theory, News & General
Topic: Simulated Future 10 Year Treasury Returns
Replies: 23
Views: 1186

Re: Simulated Future 10 Year Treasury Returns

I wish I had an answer to this question so we could go back to the early-mid 2000s and receive 2-3% real yields on Treasuries along with the diversification benefits but I think there is nothing like that in the current landscape. The real reason I’m posting this is to say: ignore any advice about h...
by XacTactX
Wed Aug 19, 2020 9:30 pm
Forum: Investing - Theory, News & General
Topic: What is the historical premium for small cap value?
Replies: 6
Views: 422

Re: What is the historical premium for small cap value?

The academic definition of value is to sort all companies based on Price/Book Value and then buy the 30% of the cheapest companies while selling the 30% of the most expensive companies. The academic definition of size is similar, you have to sort all the companies based on market cap and buy the 50%...
by XacTactX
Tue Aug 18, 2020 4:36 pm
Forum: Investing - Theory, News & General
Topic: 3% FDIC insured savings...too good to be true?
Replies: 29
Views: 7916

Re: 3% FDIC insured savings...too good to be true?

If you folks are signup up for these high yield checking accounts and you need an easy way to do 10+ debit transactions, you can sign up for Google Pay and sent $0.01 to another email address that you control. The whole process takes me 5-10 minutes each month and I've been doing it since the summer...
by XacTactX
Sun Aug 16, 2020 11:20 pm
Forum: Investing - Theory, News & General
Topic: Can you be a Boglehead and a financial/ investment advisor?
Replies: 16
Views: 1585

Re: Can you be a Boglehead and a financial/ investment advisor?

In August of 2018 I went to my local BofA to open a Merrill Edge account, figuring that I can help the advisor earn a new signup and potentially boost his performance rating. While waiting for him to complete the process I asked him what type of investments he normally uses to build a client portfol...
by XacTactX
Wed Aug 12, 2020 7:10 pm
Forum: Investing - Theory, News & General
Topic: How risky is a 15/30 year mortgage compared to an investment portfolio?
Replies: 3
Views: 478

Re: How risky is a 15/30 year mortgage compared to an investment portfolio?

The value of my home has not kept up with inflation over the past 26 years, so there's that. But if I sell it I will not have to pay taxes on the gains. Yes livesoft, I also think there is a lot of idiosyncratic risk with purchasing a home. When we think of buying a house we all imagine San Francis...
by XacTactX
Wed Aug 12, 2020 7:01 pm
Forum: Investing - Theory, News & General
Topic: How risky is a 15/30 year mortgage compared to an investment portfolio?
Replies: 3
Views: 478

How risky is a 15/30 year mortgage compared to an investment portfolio?

I often see discussions where people ask "should I invest in stocks while renting or should I buy a house", and the focus is on how much wealth each choice will build over a long period of time. But I want to focus on the risks of each choice. Assuming a 20% down payment with a 15/30 year mortgage (...
by XacTactX
Fri Jul 24, 2020 9:01 am
Forum: Investing - Theory, News & General
Topic: 3% FDIC insured savings...too good to be true?
Replies: 29
Views: 7916

Re: 3% FDIC insured savings...too good to be true?

I've been using credit unions and banks with high yield checking accounts since the summer of 2015 and I've always received around 3% APY. The only caveat is that some of them might change their terms and lower the interest rate. For example Consumer's Credit Union was giving 4% APY and it decreased...
by XacTactX
Fri Jul 24, 2020 3:42 am
Forum: Investing - Theory, News & General
Topic: Value rebound soon?
Replies: 94
Views: 7671

Re: Value rebound soon?

When it comes to measuring the value premium I think a bottom up composite would be more consistent than using a single metric. This article provides some neat information https://www.factorresearch.com/research-value-factor-comparing-valuation-metrics Although there are some reasons to be skeptical...