Search found 4604 matches

by House Blend
Fri Nov 08, 2019 10:41 am
Forum: Investing - Theory, News & General
Topic: The hidden cost of Fidelity’s ZERO funds
Replies: 66
Views: 5628

Re: The hidden cost of Fidelity’s ZERO funds

If there is a hidden cost, it'll show up in the returns. I think there may very well be one, but it's certainly less than 5 basis points. VTSAX is up 24.11% YTD. FZROX is up 24.49%. Doesn't look like much of a hidden cost to me! I actually own both, including in the same account in my HSA for histo...
by House Blend
Fri Nov 08, 2019 10:39 am
Forum: Investing - Theory, News & General
Topic: The hidden cost of Fidelity’s ZERO funds
Replies: 66
Views: 5628

Re: The hidden cost of Fidelity’s ZERO funds

I have always thought if Vanguard will ever end up paying dividends each month (instead of quarterly or yearly)? Why? Paying dividends is a drag on performance. The accounting is tricky, so extra accountants are needed. If not done correctly one could blow up the fund. Assets have to be liquidated ...
by House Blend
Wed Nov 06, 2019 10:34 am
Forum: Personal Finance (Not Investing)
Topic: How common is ACH fraud on checking accounts?
Replies: 55
Views: 10295

Re: How common is ACH fraud on checking accounts?

My savings account was drained via ACH. The account information was never public to begin with so I don't know how they got that information. I've had a number of weird things happen in my bank accounts over the years. All of them have been bank errors or 3rd party errors in one form or another, no...
by House Blend
Fri Oct 25, 2019 9:32 am
Forum: Investing - Theory, News & General
Topic: “Managing” our AsseT Allocation
Replies: 11
Views: 749

Re: “Managing” our AsseT Allocation

Are there circumstances in which re-balancing is simply not necessary or productive? Eg, I’m 90, well into my retirement. Yes. I manage my 86yo mother's portfolio. It started out as a 30/70 allocation roughly comparable to the Vanguard Target Retirement Income fund. All of the stock portion is in t...
by House Blend
Fri Oct 25, 2019 8:08 am
Forum: Investing - Theory, News & General
Topic: BND vs TIAA Traditional for Fixed Income
Replies: 8
Views: 399

Re: BND vs TIAA Traditional for Fixed Income

My question is this. With interests rate so low, does it make sense to leverage the TIAA Traditional instead of VBTIX? I'm concerned that the bond funds are going to take a beating. Are there other TIAA bogleheads that use TIAA Traditional as a equivalent for Vanguard bond funds? If you search this...
by House Blend
Wed Oct 09, 2019 9:38 am
Forum: Investing - Theory, News & General
Topic: Asset Allocation Driver
Replies: 13
Views: 1420

Re: Asset Allocation Driver

How about total investable assets? Wouldn't your net worth be a significant driver of your risk tolerance? It could be a driver for one's asset allocation, but risk tolerance may be an input rather than a result. There are two opposing conclusions one could draw from the premise "you have more than...
by House Blend
Wed Oct 09, 2019 9:35 am
Forum: Investing - Theory, News & General
Topic: What's a way to determin what is tax-efficient?
Replies: 14
Views: 1562

Re: What's a way to determin what is tax-efficient?

Some fund families do a better job of providing all the information you need in one place. Vanguard is not good at it. iShares is the best. Here's their 2018 distribution summary for every fund they have: https://www.ishares.com/us/literature/tax-information/2018-ishares-distribution-summary-icrmh0...
by House Blend
Wed Oct 02, 2019 8:31 am
Forum: Investing - Theory, News & General
Topic: Should I convert taxable accounts of Vanguard MF to ETF
Replies: 13
Views: 1192

Re: Should I convert taxable accounts of Vanguard MF to ETF

I am starting to think the ETF equivalent fund would be better in case there is a bit of a run on the MF requiring them to sell and driving huge cap gains to me. What does this statement mean? I thought one disadvantage of a MF is if there is a lot of selling of the fund by fund owners then the fun...
by House Blend
Fri Sep 20, 2019 8:56 am
Forum: Investing - Theory, News & General
Topic: What happens to reinvested dividends' missing money?
Replies: 11
Views: 1131

Re: What happens to reinvested dividends' missing money?

The biggest gain or loss that any individual investor will get form this process is $0.0049, and No. The OP is talking about reinvesting dividends. So there are two ways for round off error to bite you in the hindquarters. 1. The cash value of your dividend may be off by $0.005. 2. The number of sh...
by House Blend
Fri Sep 13, 2019 9:22 am
Forum: Investing - Theory, News & General
Topic: Not market timing is hard
Replies: 31
Views: 3187

Re: Not market timing is hard

In the past couple of years, every time the market has reached new highs, I find myself wanting to sell some stocks. I have always allowed myself to market time a little bit - I play around at the edges of my rebalancing bands (for example, if 60% with a 5% rebalancing band, then sell down to 55% i...
by House Blend
Fri Aug 23, 2019 8:46 am
Forum: Investing - Theory, News & General
Topic: We want all-in-one balanced ETFs. Where are they?
Replies: 34
Views: 2586

Re: We want all-in-one balanced ETFs. Where are they?

In our current situation, our taxable account holds a balanced portfolio of ETFs where I try to maximize risk-adjusted returns. I try to rebalance through aggressive tax-cost harvesting and through new money, but due to the high tax cost, the extend to which we can rebalance is pretty limited. What...
by House Blend
Wed Aug 14, 2019 4:54 pm
Forum: Personal Investments
Topic: TIAA Retirement Planning
Replies: 13
Views: 882

Re: TIAA Retirement Planning

Another advantage of the Traditional account is that you can annuitize it when you retire. TIAA's forte is annuity accounts. You don't have to annuitize their annuity accounts. You can treat them like mutual funds, or you can annuitize them in part or in total--your choice. It is a bad idea to give...
by House Blend
Wed Aug 14, 2019 4:48 pm
Forum: Personal Investments
Topic: TIAA Retirement Planning
Replies: 13
Views: 882

Re: TIAA Retirement Planning

For the international component, would the Vanguard Developed Markets Index Fund Admiral (VTMGX) be a good replacement? Alternatively, I can invest in the CREF Global Equities Account (QCGLPX). The Vanguard fund should be ok for this purpose. Many Bogleheads do prefer to have an international alloc...
by House Blend
Wed Aug 14, 2019 4:20 pm
Forum: Personal Finance (Not Investing)
Topic: Tax Loss Harvesting and 30 days Prior Wash Sale Scenario
Replies: 19
Views: 866

Re: Tax Loss Harvesting and 30 days Prior Wash Sale Scenario

Not a wash sale.

If you sell at a loss, your purchases outside of the 61 day window surrounding the sale (30 before and 30 after) are irrelevant for determining whether that particular sale is a wash.

Feb 1 purchases are way outside of that window.
by House Blend
Mon Aug 12, 2019 8:20 am
Forum: Investing - Theory, News & General
Topic: Access to closed funds no longer a Flagship benefit?
Replies: 3
Views: 1139

Re: Access to closed funds no longer a Flagship benefit?

Does anyone know if this is no longer a benefit [...]? Seems unlikely, but not impossible. It appears that VG currently has 3 funds that are closed to new investors. I looked at VPMAX (Primecap Admiral). The most recent prospectus has a supplement dated Feb. 21, 2019. Vanguard PRIMECAP Fund is clos...
by House Blend
Sat Aug 10, 2019 10:05 am
Forum: Investing - Theory, News & General
Topic: Calculate Return and Standard Deviation for portfolio
Replies: 7
Views: 555

Re: Calculate Return and Standard Deviation for portfolio

You shouldn't add the SD values together - you should add the variance values. Square the SD values, add them together then take the square root of the combined value to get overall SD..... No, that's wrong as well. The variance of a sum is not the sum of the variances; it also depends on the co-va...
by House Blend
Sat Aug 10, 2019 9:33 am
Forum: Investing - Theory, News & General
Topic: Why do dividends still exist?
Replies: 204
Views: 12654

Re: Why do dividends still exist?

With increasing use of stock options in executive pay, a share buyback when stock options can be exercised is a transfer of value from shareholders to executives with stock options. Bingo. There's an interesting recent article in the Atlantic arguing that share buybacks have become the go-to strate...
by House Blend
Tue Aug 06, 2019 2:40 pm
Forum: Investing - Theory, News & General
Topic: Vanguard brokerage account transition
Replies: 84
Views: 9832

Re: Vanguard brokerage account transition

Will the mutual fund prospectuses be the same in mutual fund accounts vs. brokerage accounts? I just wonder if there will be any surprise changes in fund characteristics. Any changes in prospectuses have already occurred. Look for a paragraph or two that discusses "If you hold mutual fund shares di...
by House Blend
Tue Aug 06, 2019 2:09 pm
Forum: Investing - Theory, News & General
Topic: Personal Flagship Representaive Going Away
Replies: 126
Views: 13637

Re: Personal Flagship Representaive Going Away

Just called Vanguard, my Flagship rep was not available, and the person that answered would not admit to any upcoming changes. That's because nothing has changed--Vanguard has been doing this for a few years now. The only thing that's news is that it happened to the OP. If it happens to you, and yo...
by House Blend
Fri Aug 02, 2019 8:43 pm
Forum: Personal Finance (Not Investing)
Topic: Determining LTCG Tax Rate with Municipal Bond Interest
Replies: 6
Views: 409

Re: Determining LTCG Tax Rate with Municipal Bond Interest

When determining the federal tax rate for capital gains, does municipal bond interest get included in the taxable income when calculating whether the capital gains tax rate is 0, 15%, or 20%? No, but if you add SS income into the mix interesting things can happen. The muni interest can increase how...
by House Blend
Wed Jul 31, 2019 9:03 am
Forum: Investing - Theory, News & General
Topic: Backdoor Roth when market down?
Replies: 8
Views: 681

Re: Backdoor Roth when market down?

How does a backdoor Roth work for taxes when the market is down? Say in the next crash, your portfolio is down 30% so that you don't have as much gains. You convert all to Roth, but little to no tax impact due to there not being much gains. Then you reinvest your money in the same funds to continue...
by House Blend
Fri Jul 26, 2019 9:41 pm
Forum: Personal Investments
Topic: Two jobs, W4 allowances and the top tax bracket
Replies: 7
Views: 744

Re: Two jobs, W4 allowances and the top tax bracket

I agree that going for a safe harbor is probably a better plan if the Job B income (or total tax due) cannot be estimated reliably. Regarding the trickiness of estimating the total tax, one thing to watch for, if this is your first time with two W-2s, is that both employers will withhold SS tax as i...
by House Blend
Fri Jul 26, 2019 8:30 am
Forum: Investing - Theory, News & General
Topic: Risks in holding various funds for 6-month periods
Replies: 14
Views: 929

Re: Risks in holding various funds for 6-month periods

Treasuries also have the advantage of being tax-free at the state and local level. Sure. Risk and return. And taxes. Doesn't make much sense to me to compare before-tax returns of prime with muni funds of any duration. The trade off depends on the individual's tax profile. For that matter, losses i...
by House Blend
Wed Jul 24, 2019 10:55 am
Forum: Investing - Theory, News & General
Topic: Donating Appreciated Shares during Accumulation Stage
Replies: 24
Views: 1524

Re: Donating Appreciated Shares during Accumulation Stage

Agree with livesoft. I'm pretty sure there are lots of us on the forum who donate appreciated shares to charity/DAF during both the accumulation and retirement phase. Further, once someone is taking RMD's they can make Qualified Charitable Distributions . Livesoft was comparing cash versus securiti...
by House Blend
Mon Jul 22, 2019 8:57 pm
Forum: Personal Consumer Issues
Topic: Whole Bean Coffee: Worth the effort?
Replies: 90
Views: 5692

Re: Whole Bean Coffee: Worth the effort?

I grind my own and would not think of grinding ahead of time, not even the night before. A few months ago, I would have agreed. But then I experienced the sport of accident.... With my burr grinder, depending on the ambient humidity (and maybe also how oily the beans are), the grind may pick up sub...
by House Blend
Wed Jul 17, 2019 8:35 am
Forum: Investing - Theory, News & General
Topic: ETF Order Status & Confirmation Price -vs- Transaction History Price Precision
Replies: 3
Views: 340

Re: ETF Order Status & Confirmation Price -vs- Transaction History Price Precision

On a related note RE Mutual Funds - VG goes to go to 3 decimal precision for quantity but only 2 decimal precision for price. Occasionally when multiplying the two - it comes out a whopping 1 cent over or under :oops: the transaction amount. I keep my own records, using python modules. The correct ...
by House Blend
Tue Jul 16, 2019 1:04 pm
Forum: Investing - Theory, News & General
Topic: Full list of Vanguard ETFs that are cheaper than their index funds?
Replies: 49
Views: 5533

Re: Full list of Vanguard ETFs that are cheaper than their index funds?

I couldn't stop myself from adding actual basis point (BP) differences: +1. What matters, from the investor perspective, is the difference [*] in expense ratios, not the ratio of expense ratios. (Unless your job description involves marketing and sales.) For example, a reduction in ER from 0.25% fr...
by House Blend
Mon Jul 15, 2019 9:09 am
Forum: Investing - Theory, News & General
Topic: Nuanced Benefit of delaying claiming of SSA Benefits
Replies: 21
Views: 2296

Re: Nuanced Benefit of delaying claiming of SSA Benefits

Let's say that today is January 1, 2019. It is also your retirement date and 67th birthday. I'd look at it this way: A. If I claim now, I get $33000 2019 dollars in 2019 and beyond. B. If I claim later, I get $42000 2019 dollars starting in 2022. My expenses will be higher than either of these figur...
by House Blend
Tue Jul 09, 2019 3:09 pm
Forum: Personal Investments
Topic: Best use of cash: Back door conversion to Roth or pay taxes on rollover IRA conversion
Replies: 4
Views: 336

Re: Best use of cash: Back door conversion to Roth or pay taxes on rollover IRA conversion

Do the backdoor Roth. The only time you should have a dilemma that involves investing cash in either a backdoor Roth or something else would be if you are not currently maximizing your other opportunities to contribute to tax-advantaged accounts. Whether a Roth conversion (of pretax dollars) is a go...
by House Blend
Fri Jul 05, 2019 8:20 am
Forum: Investing - Theory, News & General
Topic: TLH for absolute dummies [Tax Loss Harvesting]
Replies: 306
Views: 59132

Re: TLH for absolute dummies [Tax Loss Harvesting]

If you harvest a loss from A to similar-but-not-substantially-identical B, then it is possible, perhaps even likely, that you are underweight in the asset class X that A and B represent. If you need more X, then for the next 31 days (counting the day of sale), limit your purchases of X to Fund B (o...
by House Blend
Sat Jun 29, 2019 10:54 am
Forum: Personal Investments
Topic: Managed Bond Fund in 401k or Passive Bond Fund in Taxable?
Replies: 15
Views: 1031

Re: Managed Bond Fund in 401k or Passive Bond Fund in Taxable?

Yes, the Fidelity one looks a bit riskier, but it would not be enough to persuade me to hold something safer in taxable. Note that when comparing the SEC yields of your two (taxable) bond funds, you should discount the one you hold in taxable by 24% + losses due to state taxes. The fact that you wi...
by House Blend
Fri Jun 28, 2019 8:18 am
Forum: Personal Investments
Topic: Managed Bond Fund in 401k or Passive Bond Fund in Taxable?
Replies: 15
Views: 1031

Re: Managed Bond Fund in 401k or Passive Bond Fund in Taxable?

Yes, the Fidelity one looks a bit riskier, but it would not be enough to persuade me to hold something safer in taxable. Note that when comparing the SEC yields of your two (taxable) bond funds, you should discount the one you hold in taxable by 24% + losses due to state taxes. The fact that you wi...
by House Blend
Wed Jun 26, 2019 8:55 pm
Forum: Personal Investments
Topic: Help with Personal Rate of Return from Vanguard.com
Replies: 14
Views: 2648

Re: Help with Personal Rate of Return from Vanguard.com

I have a Vanguard IRA portfolio into which I do not make new contributions and am not taking withdrawals. My account balance shows a 12-mo gain of approximately 2.4% (ending balance divided by beginning balance -- roughly in line with the current S&P 12-mo total return calculation). Investment dist...
by House Blend
Wed Jun 26, 2019 5:12 pm
Forum: Personal Investments
Topic: TIAA Traditonal & RE: Auto RMD or Income?
Replies: 7
Views: 865

Re: TIAA Traditonal & RE: Auto RMD or Income?

Is your Traditional account the liquid kind that you can simply withdraw the money from, or is the illiquid kind that (if you don't choose the RMD or lifetime income options) has to be withdrawn via a Transfer Payout Annuity (ten payments over "nine years and a day")? I think it's very likely (give...
by House Blend
Wed Jun 26, 2019 4:59 pm
Forum: Personal Investments
Topic: TIAA Traditonal & RE: Auto RMD or Income?
Replies: 7
Views: 865

Re: TIAA Traditonal & RE: Auto RMD or Income?

IMO, there is not much point in setting up annuity income (option #1) if you don't need income. You'll get a better deal taking that option when you're actually retired. Your Traditional vintages will be older, you and spouse will be older, and your tax rate is likely to be lower => better payout ra...
by House Blend
Wed Jun 26, 2019 11:05 am
Forum: Personal Investments
Topic: Managed Bond Fund in 401k or Passive Bond Fund in Taxable?
Replies: 15
Views: 1031

Re: Managed Bond Fund in 401k or Passive Bond Fund in Taxable?

Also, the Fidelity fund is in a niche share class.

You might get a better sense of the risk by choosing a vanilla (retail?) share class of the fund that has been around a long time and see how it did vs. safer alternatives during 2008-2009.
by House Blend
Wed Jun 26, 2019 9:05 am
Forum: Personal Investments
Topic: Managed Bond Fund in 401k or Passive Bond Fund in Taxable?
Replies: 15
Views: 1031

Re: Managed Bond Fund in 401k or Passive Bond Fund in Taxable?

Yes, the Fidelity one looks a bit riskier, but it would not be enough to persuade me to hold something safer in taxable. Note that when comparing the SEC yields of your two (taxable) bond funds, you should discount the one you hold in taxable by 24% + losses due to state taxes. The fact that you wil...
by House Blend
Mon Jun 24, 2019 10:30 am
Forum: Investing - Theory, News & General
Topic: Vanguard to offer private equity investments? Thoughts?
Replies: 70
Views: 7916

Re: Vanguard to offer private equity investments? Thoughts?

I look forward to "VREA" (to give TREA some competition). 8-) Is there any way to get exposure for a retail investor in properties directly? What is recommended? You can open an IRA with TIAA and add QREARX (TIAA Real Estate Account [TREA]) to it. Nope. While "everyone" can open an IRA at TIAA, the...
by House Blend
Fri Jun 21, 2019 2:06 pm
Forum: Personal Consumer Issues
Topic: [What TV Show Have You Recently Watched?]
Replies: 1564
Views: 167378

Re: [What TV Show Have You Recently Watched?]

Thumbs up for Russian Doll , a short series (8 x 25 minutes) available on Netflix. The main character keeps dying and returning in a time warp back to her 36th birthday party. Initially it seems like a retread of Groundhog Day , but eventually it wanders off into new territory that for me makes it c...
by House Blend
Fri Jun 21, 2019 9:34 am
Forum: Investing - Theory, News & General
Topic: VTSAX - Low Q2 dividend
Replies: 15
Views: 3956

Re: VTSAX - Low Q2 dividend

Is this real? I’ve been doing my own taxes for close to 10 years and always trusted the QDI reported by Vanguard. Of course, during the years I did periodic transactions (typically sell & buy for tax loss harvesting) that were sometimes very close to the dividend date and for which the personal hol...
by House Blend
Thu Jun 20, 2019 10:01 am
Forum: Investing - Theory, News & General
Topic: VTSAX - Low Q2 dividend
Replies: 15
Views: 3956

Re: VTSAX - Low Q2 dividend

How does Vanguard distinguish between qualified and unqualified dividends. Is it the length of time the fund has held the dividend-paying asset? Or how long I have held different shares of the mutual fund? Or something else? It's how long the fund has held the asset. Everybody gets the same QDI, se...
by House Blend
Wed Jun 19, 2019 9:33 am
Forum: Investing - Theory, News & General
Topic: Why are Vanguard's distribution dates all over the place?
Replies: 6
Views: 1141

Re: Why are Vanguard's distribution dates all over the place?

When I look at BlackRock they seem to have a sensible policy about distributions. Yes, I have to say I prefer the blackrock approach. Up until a few years ago, Vanguard was very predictable too. I could reliably anticipate the distribution dates for Total Stock by finding an earlier year with the s...
by House Blend
Sat Jun 01, 2019 6:42 pm
Forum: Personal Consumer Issues
Topic: Trader Joe's Fans - good value?
Replies: 148
Views: 22675

Re: Trader Joe's Fans - good value?

For any oenophiles... a plug for the Pontificus wine at TJ’s. It replicates an excellent Cotes du Rhône in every way but price! +2. As a result of a previous mention earlier in this thread, I gave Pontificus a shot... ...despite the fact that it sounds like a character from Asterix & Obelix. For wh...
by House Blend
Fri May 31, 2019 8:29 am
Forum: Investing - Theory, News & General
Topic: Feedback on 403b meeting with school board member
Replies: 27
Views: 1564

Re: Feedback on 403b meeting with school board member

And apparently some of the "other 403b" plans (higher ed, other non-profits) are ERISA plans and some aren't. Is it just up to the plan admins who set it up whether they "want" to set it up as ERISA plans? To a first approximation, my understanding is that in higher ed, public university -> non-ERI...
by House Blend
Tue May 28, 2019 9:05 pm
Forum: Investing - Theory, News & General
Topic: What goes wrong after index enlightenment
Replies: 41
Views: 5660

Re: What goes wrong after index enlightenment

Your mileage will vary. House Blend, I am curious on what is your current opinion in regards to someone allocating their entire international to taxable investments for the FTC? Knowing what you know now and your experiences, would you continue to hold a majority of international in taxable if just...
by House Blend
Tue May 28, 2019 11:21 am
Forum: Investing - Theory, News & General
Topic: What goes wrong after index enlightenment
Replies: 41
Views: 5660

Re: What goes wrong after index enlightenment

Here are a few modern concepts for tax management: I would add these to your list of 10: 11. Use Specific ID of shares for when you need to sell. 12. Understand how LT/ST gains and dividends are taxed, and how they interact with the taxes on the rest of your income. Tax software contributes to keep...
by House Blend
Tue May 28, 2019 11:16 am
Forum: Investing - Theory, News & General
Topic: What goes wrong after index enlightenment
Replies: 41
Views: 5660

Re: What goes wrong after index enlightenment

Some people are saying not to put foreign stock index funds in a taxable account because it requires some extra work at tax time to claim the tax credit - a straight reduction in federal taxes owned - and instead they recommend foreign stock funds in tax-deferred accounts, where you don't get the t...
by House Blend
Sun May 26, 2019 8:40 am
Forum: Investing - Theory, News & General
Topic: Three assets all with negative correlations?
Replies: 18
Views: 1679

Re: Three assets all with negative correlations?

A statistical requirement is that a correlation matrix must be positive semi-definite. +1. Add the restriction that the diagonal entries are 1, and you have all of the requirements. You can have n variables whose pairwise correlations are all equal to x as long as x is in the range from -1/(n-1) to...
by House Blend
Mon May 20, 2019 12:54 pm
Forum: Investing - Theory, News & General
Topic: Pre-RMD Retirement Sweet Spot - Accelerating IRA Withdrawals vs. Roth Conversion
Replies: 51
Views: 4441

Re: Pre-RMD Retirement Sweet Spot - Accelerating IRA Withdrawals vs. Roth Conversion

Let's take an MFJ couple with a combined $48K SS benefit (that's $2K per person per month). For them, the SS tax hump begins at $8K of "other" (non-SS) income, and ends at $60,941 of non-SS income. Perhaps I don't understand this tax hump. I thought if you had $44K of other income, this meant that ...