Search found 1179 matches

by bigred77
Tue Jan 24, 2017 5:33 pm
Forum: Personal Consumer Issues
Topic: Getting the best current mortage interest rate
Replies: 7
Views: 406

Re: Getting the best current mortage interest rate

I have found the discount online mortgage brokers to have the best terms and rates (aimloans, guaranteed rate) but their service might not be the best (there are natural challenges when everything is done via fax/email). If you have absolutely 0 issues with qualifying (20% down, great credit score, ...
by bigred77
Tue Jan 24, 2017 1:53 pm
Forum: Investing - Theory, News & General
Topic: Does Vanguard Do This?
Replies: 9
Views: 991

Re: Does Vanguard Do This?

Meh... I mean agree with most of the points in the letter but it seemed more like a PR exercise for Blackrock to say "hey, we care about the little guy". But I may have grown too cynical. I, for one, also don't mind stock buybacks. From the article: "While we certainly support return...
by bigred77
Tue Jan 24, 2017 1:34 pm
Forum: Investing - Theory, News & General
Topic: Reflection on what to use for "Alternative" asset class and what to do next?
Replies: 13
Views: 541

Re: Reflection on what to use for "Alternative" asset class and what to do next?

If you consider value and small indexes to be "alternatives" (I don't) then I think that makes sense. If you consider REIT indexes to be "alternatives" (I kind of do, or at least I consider them a separate asset class than equity and fixed income) then I think that makes sense. C...
by bigred77
Tue Jan 24, 2017 1:25 pm
Forum: Investing - Theory, News & General
Topic: Does Vanguard Do This?
Replies: 9
Views: 991

Re: Does Vanguard Do This?

Meh... I mean agree with most of the points in the letter but it seemed more like a PR exercise for Blackrock to say "hey, we care about the little guy". But I may have grown too cynical. I, for one, also don't mind stock buybacks. From the article: "While we certainly support returni...
by bigred77
Tue Jan 24, 2017 1:14 pm
Forum: Investing - Help with Personal Investments
Topic: minimum necessary to retire at defined expense level
Replies: 37
Views: 3099

Re: minimum necessary to retire at defined expense level

All of these percentages and the resulting portfolio numbers seem to be both too high and too low. Maybe they make mathematical sense, I don't know. But they do not give me any sort of real confidence that things will be okay in the future, let alone for this year. I mean, if someone needs/wants $4...
by bigred77
Mon Jan 23, 2017 7:20 pm
Forum: Personal Consumer Issues
Topic: Is Little League Slowly Dying? [Should my kids play this year?]
Replies: 36
Views: 3273

Re: Is Little League Slowly Dying?

Interesting thread to me since I don't have kids yet and don't know what the current landscape is like for youth sports. When I was a kid you picked a sport for all 4 seasons (winter basketball, spring baseball, summer swim team, and fall football). I will encourage my kids to play soccer more than ...
by bigred77
Mon Jan 23, 2017 7:12 pm
Forum: Investing - Theory, News & General
Topic: Why is Slicing/Dicing not Working?
Replies: 30
Views: 2679

Re: Why is Slicing/Dicing not Working?

Portfolio 3 is the real outlier, and that's solely because the US has outperformed international for quite a while now. Slice and dice has nothing to do with it. The difference between portfolio 1 and 2 is minimal (and the duration of backtest is minimal). I also don't know if i'd call it "slic...
by bigred77
Mon Jan 23, 2017 6:25 pm
Forum: Investing - Help with Personal Investments
Topic: minimum necessary to retire at defined expense level
Replies: 37
Views: 3099

Re: minimum necessary to retire at defined expense level

These are helpful responses that indicate I have more than enough. Thank you. Still a little worried about the sequence of returns risk, but I shouldn't be, I guess, since I make it to the end even if the sequence goes horrendously against me. Quick somewhat related question that I can post in a ne...
by bigred77
Mon Jan 23, 2017 6:17 pm
Forum: Personal Finance (Not Investing)
Topic: Determining max amount to spend on a house?
Replies: 10
Views: 1503

Re: Determining max amount to spend on a house?

Your position is going to be much different than the average person (or even average boglehead) in that you have multiple millions of dollars at your disposal. The answer (for me at least) would also depend on how old you are, when you plan to retire, if you have kids, if you plan to have kids, how ...
by bigred77
Mon Jan 23, 2017 5:22 pm
Forum: Investing - Theory, News & General
Topic: Tom Sossnof's derivative trades
Replies: 34
Views: 1534

Re: Tom Sossnof's derivative trades

When you go out into the market, chances are you're not fairly matched, but instead are trading against someone who has better information and an advantageous position in the market. What is it you think you know that they don't? This argument is stale. Most of the popular futures and options have ...
by bigred77
Mon Jan 23, 2017 5:10 pm
Forum: Investing - Help with Personal Investments
Topic: minimum necessary to retire at defined expense level
Replies: 37
Views: 3099

Re: minimum necessary to retire at defined expense level

- 60/40 AA - Be as tax efficient as possible - Accurately determine your annual expenses including insurance premiums, taxes, and other large capital expenses (cars, property maitenance, etc.) In your mid 40s, once you get to 25x expenses you can think about retiring. Once you get to 33x expenses yo...
by bigred77
Mon Jan 23, 2017 2:59 pm
Forum: Personal Consumer Issues
Topic: Getting my electricity usage under control
Replies: 31
Views: 2910

Re: Getting my electricity usage under control

My wife and I are not exactly optimizers of energy consumption. However, we went from an 850sq ft apartment to a 3250 sq ft house and our electric bill is roughly only 10% - 15% higher!! (to be fair, when we moved into the house I was able to lock in an absurdly low price per kw since natural gas pr...
by bigred77
Mon Jan 23, 2017 2:30 pm
Forum: Investing - Theory, News & General
Topic: Tom Sossnof's derivative trades
Replies: 34
Views: 1534

Re: Tom Sossnof's derivative trades

Derivatives have been around a heck of a lot longer than 7 years!! If by derivatives he is referring to exchange traded options and/or futures, than these are relatively straightforward products for a finance professional but should not be used by a retail investor (IMO). Their primary purpose is fo...
by bigred77
Fri Jan 20, 2017 2:27 pm
Forum: Personal Finance (Not Investing)
Topic: reverse mortgage: now or (possibly) later?
Replies: 6
Views: 608

Re: reverse mortgage: now or (possibly) later?

I'm pretty sure in a year or 2 she will be able to get close to 8k a year with a 100k immediate annuity. Kids could probably fund any inflation adjustments with ease. Nothing wrong with reverse mortgages if they're needed. They're just another tool to use. However, they are a very expensive way to c...
by bigred77
Fri Jan 20, 2017 1:31 pm
Forum: Personal Finance (Not Investing)
Topic: FAFSA for High Net Worth Parents?
Replies: 70
Views: 5825

Re: FAFSA for High Net Worth Parents?

maybe I am doing something wrong - but I do not find the FAFSA a burden to fill out at all. Some information - net worth, salary, etc. Not hard at all. You are doing it right. The main complaint is having to fill out the form when EFC will inevitably usually be as much, if not more than cost of sch...
by bigred77
Thu Jan 19, 2017 10:44 am
Forum: Personal Finance (Not Investing)
Topic: Pay down 1.9% loan or invest
Replies: 61
Views: 4195

Re: Pay down 1.9% loan or invest

I would probably opt to just pay off the loan for non-financial reasons. I would want to simplify my life. Just be done with it. How much are you really going to move the needle with a 9k dollar rate of return bet? If you invest in stocks and get 10% then great, you've made (10%-2%) * 9k = 720 dolla...
by bigred77
Wed Jan 18, 2017 6:15 pm
Forum: Investing - Theory, News & General
Topic: "Millennials may need to double how much they save for retirement"
Replies: 167
Views: 14987

Re: "Millennials may need to double how much they save for retirement"

I have really enjoyed reading this thread. I wanted to give one more anecdotal data point: My brother and I are both millennials. We both went to the same undergrad (an expensive, "2nd tier", private school that would be scoffed at on this board for being a terrible value, probably some tr...
by bigred77
Wed Jan 18, 2017 5:48 pm
Forum: Investing - Theory, News & General
Topic: TIPS are great in "theory." But real world...
Replies: 32
Views: 2779

Re: TIPS are great in "theory." But real world...

I personally think price inflation is the right measure, but simply asserting it won't change very many peoples' economic viewpoints. The Bureau of Labor Statistics' standard basket of goods and services is significantly different from mine, but if one is to measure something it's important to say,...
by bigred77
Wed Jan 18, 2017 2:59 pm
Forum: Investing - Theory, News & General
Topic: TIPS are great in "theory." But real world...
Replies: 32
Views: 2779

Re: TIPS are great in "theory." But real world...

However, in the real world, are they really as wonderful as they seem? I have read some worries from investors about the CPI measure not being perfectly accurate with inflation, worries about the government not adjusting in the investor's favor, worries about the liquidity, etc. Do any of you worry...
by bigred77
Wed Jan 18, 2017 2:42 pm
Forum: Personal Finance (Not Investing)
Topic: Is Being a Private Banking Client Worth it?
Replies: 97
Views: 20982

Re: Is Being a Private Banking Client Worth it?

I am looking into Chase private client. It seems to me to offer services with no obligations other than an expectation of 250k at the bank. From what i can tell, the services are nice perks and I don't have to end up paying more. Here are the perks that I would appreciate: -possible access to chase...
by bigred77
Tue Jan 17, 2017 3:11 pm
Forum: Personal Consumer Issues
Topic: Refinancing 2017 Honda Civic. Honda Financial services added $75 to my loan.
Replies: 18
Views: 1337

Re: Refinancing 2017 Honda Civic. Honda Financial services added $75 to my loan.

I would ask them to waive it but if they did not I would just eat the 75 bucks as a sunk cost and pay off the car, refinance it, or keep the loan depending on whatever is more advantageous to you.
by bigred77
Tue Jan 17, 2017 3:06 pm
Forum: Investing - Help with Personal Investments
Topic: Put all your eggs in the market?
Replies: 11
Views: 999

Re: Put all your eggs in the market?

With the exception of my personal residence and maybe 10k in checking/savings accounts, all of my assets are invested via mutual funds and ETFs. I have considered rental properties many, many times over the past decade. I have decided against it for now because I would want to be physically close to...
by bigred77
Tue Jan 17, 2017 2:48 pm
Forum: Investing - Help with Personal Investments
Topic: Retirement Amount needed for retiring this year
Replies: 11
Views: 1671

Re: Retirement Amount needed for retiring this year

Does the $9,000 monthly expense include all income taxes or are they to be added on? 9000 includes prop taxes, health insurance ($1000/- per person per month) and rightsized home. I'm assuming you have not yet included federal/state taxes in that 9k/mo number? I would want $3.5M and hopefully some ...
by bigred77
Tue Jan 17, 2017 1:24 pm
Forum: Personal Consumer Issues
Topic: How much do you typically spend in a restaurant?
Replies: 171
Views: 9197

Re: How much do you typically spend in a restaurant?

When we travel, we occasionally go to the ultra high end, Michelin starred restaurants if we can get a reservation. Always order the tasting menu. usually 300 - 400 for 2 people w/o alcohol. We've done this once every other year or so. I can tell you, the first time I went to a Michelin starred res...
by bigred77
Tue Jan 17, 2017 12:52 pm
Forum: Investing - Theory, News & General
Topic: "Millennials may need to double how much they save for retirement"
Replies: 167
Views: 14987

Re: "Millennials may need to double how much they save for retirement"

So approximately 70% of millenials today are enrolling in college straight out of High School. A higher portion go to college at some point in time of their life after a gap year (or gap decade in some cases). Let's call it 80% total go to college for at least some period of time in the decade afte...
by bigred77
Tue Jan 17, 2017 12:48 pm
Forum: Investing - Theory, News & General
Topic: "Millennials may need to double how much they save for retirement"
Replies: 167
Views: 14987

Re: "Millennials may need to double how much they save for retirement"

Its unfortunate to say but I think the only way to ensure that more Americans prepare for retirement is to expand government programs like Social Security. When saving is voluntary, people will always have an excuse not to. I personally would not like to see an increase in payroll taxes however I a...
by bigred77
Tue Jan 17, 2017 12:26 pm
Forum: Investing - Help with Personal Investments
Topic: Just sold my home and looking to invest proceeds
Replies: 17
Views: 1165

Re: Just sold my home and looking to invest proceeds

I would keep 100k in savings (or less, I think that's alot in cash), superfund a 529 plan (if you don't get any state tax deduction I would drop 50k - 70k in there and just let it grow) and then dump the rest in a taxable brokerage account invested according to your desired AA. If your savings rate ...
by bigred77
Tue Jan 17, 2017 12:14 pm
Forum: Investing - Theory, News & General
Topic: "Millennials may need to double how much they save for retirement"
Replies: 167
Views: 14987

Re: "Millennials may need to double how much they save for retirement"

It would be nice to have this all simplified, and it seems like it should be doable of our elected officials decided (1) they wanted to and (2) they would work together. One IRA and one Roth type option with high allowed limits that either an individual or a company could direct funds into. Employe...
by bigred77
Tue Jan 17, 2017 9:26 am
Forum: Personal Consumer Issues
Topic: How much do you typically spend in a restaurant?
Replies: 171
Views: 9197

Re: How much do you typically spend in a restaurant?

When we go out to eat it's typically mid range, non-chain type restaurants. It runs us about 40-60 all in with no alcohol (2 people). Usually 2 salads, 2 entrees, and either 1 app or 1 dessert depending on how we're feeling. We do this once a week or so. Once in a while we go to the high end places...
by bigred77
Tue Jan 17, 2017 9:19 am
Forum: Investing - Help with Personal Investments
Topic: Buying BND vs. Paying Down HELOC
Replies: 14
Views: 813

Re: Buying BND vs. Paying Down HELOC

OP, Your question (in my mind) isn't framed properly. You said if given the binary choice of investing in BND or paying down your HELOC which has a 3.75 rate, which one is preferable? Well in mind that's an easy choice, pay down the HELOC every time. It's the one with the better after tax return vs ...
by bigred77
Mon Jan 16, 2017 8:08 pm
Forum: Personal Finance (Not Investing)
Topic: Auto insurance Premium too High?
Replies: 24
Views: 1840

Re: Auto insurance Premium too High?

Shop it around. I found Geico, Amica, and USAA to have significantly cheaper rates than Allstate and State Farm for my specific situation. I shop everything as a package (auto, home, and umbrella). You can save a chunk in premiums by agreeing to higher deductibles. I found this to be a good value t...
by bigred77
Mon Jan 16, 2017 7:59 pm
Forum: Personal Finance (Not Investing)
Topic: Vanguard vs. Fidelity [Customer Service Reputation]
Replies: 73
Views: 4912

Re: Vanguard vs. Fidelity [Customer Service Reputation]

I have been very happy with Fidelity. They are the only financial company I use (cash management accounts, retirement accounts, taxable brokerage accounts, RSUs, will eventually use for 529s, etc.) I've had 1 issue in the past 8 years that wasn't immediately rectified to my satisfaction. I felt like...
by bigred77
Mon Jan 16, 2017 7:50 pm
Forum: Personal Finance (Not Investing)
Topic: Auto insurance Premium too High?
Replies: 24
Views: 1840

Re: Auto insurance Premium too High?

Shop it around. I found Geico, Amica, and USAA to have significantly cheaper rates than Allstate and State Farm for my specific situation. I shop everything as a package (auto, home, and umbrella). You can save a chunk in premiums by agreeing to higher deductibles. I found this to be a good value tr...
by bigred77
Mon Jan 16, 2017 7:46 pm
Forum: Investing - Help with Personal Investments
Topic: Staying the course...but cheating a bit along the way
Replies: 5
Views: 705

Re: Staying the course...but cheating a bit along the way

I see what I consider "buying opportunities" from time to time and I admit I've even put money into them every once in a while. (It's always maybe 2%-3% of my total portfolio). I'm probably right more often than not but I have a trend of selling my winners too quickly and holding my losers...
by bigred77
Mon Jan 16, 2017 4:41 pm
Forum: Personal Finance (Not Investing)
Topic: Saving rater after becoming father
Replies: 27
Views: 2370

Re: Saving rater after becoming father

Do both partners plan to continue working or will one stay home? That's the biggest factor at play here.
by bigred77
Mon Jan 16, 2017 4:37 pm
Forum: Investing - Help with Personal Investments
Topic: Portfolio help
Replies: 14
Views: 454

Re: Portfolio help

This would my plan if I was in your shoes: - Change your 401k from roth contributions to traditional contributions which are tax deductible. - Increase your contribution percentage to a higher rate. If you make 75k/yr then maxing out this account would mean a 24% contribution. Maybe start with 15% i...
by bigred77
Mon Jan 16, 2017 3:17 pm
Forum: Personal Consumer Issues
Topic: How much do you typically spend in a restaurant?
Replies: 171
Views: 9197

Re: How much do you typically spend in a restaurant?

OK, don't hate me for this one... One of the great joys of living in Europe is the "Menu of the Day." Here's a quick description of what it is and how it came to be in Spain: http://catavino.net/the-menu-of-the-day-spains-best-culinary-value-for-your-euro/ Two to three times per week we h...
by bigred77
Fri Jan 13, 2017 12:47 pm
Forum: Investing - Theory, News & General
Topic: "Millennials are falling behind their boomer parents"
Replies: 24
Views: 1700

Re: "Millennials are falling behind their boomer parents"

Millennial Slacker = Free Love Hippie (or whatever term you all used to use :mrgreen: ). Gen X was called the slacker generation. They now have the highest rate of entrepreneurship of any generation. Any sweeping claims about a large group of individuals is almost always wrong long term. Well if sl...
by bigred77
Fri Jan 13, 2017 12:21 pm
Forum: Investing - Theory, News & General
Topic: "Millennials are falling behind their boomer parents"
Replies: 24
Views: 1700

Re: "Millennials are falling behind their boomer parents"

I am an outlier in my peer group and am doing a lot better financially than my millennial friends. That's only because I found work in my chosen field and learned about sound financial management practices right out of undergrad. Some of my friends took a little longer but eventually found work in t...
by bigred77
Fri Jan 13, 2017 12:00 pm
Forum: Investing - Theory, News & General
Topic: "Millennials may need to double how much they save for retirement"
Replies: 167
Views: 14987

Re: "Millennials may need to double how much they save for retirement"

I would ilke to see a report from millennials on their parents who are retired or retiring now. I'd like to see millennials ask their parents how much they saved and invested every year so that they could reach this stage of their lives "retired" or "retiring now." I will bet th...
by bigred77
Fri Jan 13, 2017 9:16 am
Forum: Investing - Theory, News & General
Topic: "Millennials may need to double how much they save for retirement"
Replies: 167
Views: 14987

Re: "Millennials may need to double how much they save for retirement"

Its all sensationalism. The message is basically "this time it really is different". If millennials need to save 25% of their incomes over 40 years in order to retire then retirement is dead. Maybe 5% of millennials (and that's probably too high a number) are capable and willing of doing t...
by bigred77
Thu Jan 12, 2017 4:42 pm
Forum: Personal Consumer Issues
Topic: How much do you typically spend in a restaurant?
Replies: 171
Views: 9197

Re: How much do you typically spend in a restaurant?

When we go out to eat it's typically mid range, non-chain type restaurants. It runs us about 40-60 all in with no alcohol (2 people). Usually 2 salads, 2 entrees, and either 1 app or 1 dessert depending on how we're feeling. We do this once a week or so. Once in a while we go to the high end places....
by bigred77
Thu Jan 12, 2017 11:12 am
Forum: Personal Finance (Not Investing)
Topic: Annual Vacation Budget
Replies: 262
Views: 16495

Re: Annual Vacation Budget

In 2016, I spent 119 nights sleeping away from home, which included 59 nights in Spain, and on a different trip 21 nights in France, Poland and Czech Republic. My total travel expenses in 2016 were $13,563. Victoria Nice! I'm looking forward to being retired, ditch the kids and take trips when I ca...
by bigred77
Thu Jan 12, 2017 9:35 am
Forum: Investing - Help with Personal Investments
Topic: Another How Much To Save For Retirement
Replies: 9
Views: 1109

Re: Another How Much To Save For Retirement

I would still say income. Those with high incomes that are multiples of their annual spending amount should generally find it it easier to hit those higher savings rates. When people typically describe income/expenses like you seem to have I think the spend 1/3, save 1/3, and pay taxes with 1/3 make...
by bigred77
Wed Jan 11, 2017 1:52 pm
Forum: Investing - Theory, News & General
Topic: 2016 Callan Periodic Table of Investment Returns
Replies: 27
Views: 2868

Re: 2016 Callan Periodic Table of Investment Returns

No wonder I felt like this past year was pretty blah.

Over 50% of my portfolio is in bonds and international equities. At least slightly over weighting EM helped a little this year.
by bigred77
Wed Jan 11, 2017 1:49 pm
Forum: Investing - Theory, News & General
Topic: 2016 Callan Periodic Table of Investment Returns
Replies: 27
Views: 2868

Re: 2016 Callan Periodic Table of Investment Returns

kewper wrote:I'm sorry to be obtuse but does that mean a 31.74% ANNUAL RETURN for Russell 2000 Value?


Yes. That was the return from 1/1/16 - 12/31/16.
by bigred77
Wed Jan 11, 2017 1:36 pm
Forum: Investing - Theory, News & General
Topic: "Why 97% of People Don't Use 529 College Savings Plans."
Replies: 153
Views: 28378

Re: "Why 97% of People Don't Use 529 College Savings Plans."

I'm really shocked at how controversial 529 plan seem to be on this board. To me, as Livesoft points out, it's mainly a tax break for the wealthy. They can still be a great tool for high income parents. They offer the most benefit if you can contribute to them early. If paying for your kids college ...
by bigred77
Wed Jan 11, 2017 12:52 pm
Forum: Investing - Theory, News & General
Topic: Retiree's Asset Allocation
Replies: 12
Views: 1050

Re: Retiree's Asset Allocation

I think a 50/50 allocation is just fine in retirement.
by bigred77
Wed Jan 11, 2017 12:45 pm
Forum: Investing - Help with Personal Investments
Topic: How to allocate 3-6 million in assets to achieve goals?
Replies: 65
Views: 6348

Re: How to allocate 3-6 million in assets to achieve goals?

OP, I'm probably in the minority of bogleheads who likes the concept of "buckets", or mental accounting, or even just putting funds in different accounts if they are to be used for specific purposes. I know many here don't subscribe to this idea but I admit to doing it myself. In your case...

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