Search found 120 matches

by pcola2234
Wed Jun 24, 2015 9:42 am
Forum: Investing - Theory, News & General
Topic: What does it mean to be FIRE?
Replies: 30
Views: 5668

Re: What does it mean to be FIRE?

but whats the poverty line? i feel like most middle class standards of living assume buying a car every 5 years, living in a 1500 sq ft house, etc. all things that are unnecessary. poverty line implies to me that you're living in a sad state. Some of the happiest people I've ever met live on under $20,000 ayear
by pcola2234
Wed Jun 24, 2015 9:05 am
Forum: Investing - Theory, News & General
Topic: What does it mean to be FIRE?
Replies: 30
Views: 5668

Re: What does it mean to be FIRE?

Perhaps the right way to phrase it would've been 60% FIRE but taking the plunge anyway, that's still a radical move
by pcola2234
Wed Jun 24, 2015 9:04 am
Forum: Investing - Theory, News & General
Topic: What does it mean to be FIRE?
Replies: 30
Views: 5668

Re: What does it mean to be FIRE?

Would hardly call it trolling, I've been a poster since 2011, I don't plan on getting income from a small time blog , and the thread was one of the most active all day on bogeheads with a lot of people reflecting and asking serious financial and investment questions , it generated a ton of conversation which I thought was what this forum was supposed to be about
by pcola2234
Wed Jun 24, 2015 8:19 am
Forum: Investing - Theory, News & General
Topic: What does it mean to be FIRE?
Replies: 30
Views: 5668

Re: What does it mean to be FIRE?

That's a good point, I could change it to 25 is the new 65: how I retired outrageously early to do whatever the heck I want

Simple replacement of pronouns, in case ppl were interested they could search millennialmoola themselves to see the stuff that started that firestorm yesterday
by pcola2234
Tue Jun 23, 2015 9:29 pm
Forum: Investing - Theory, News & General
Topic: What does it mean to be FIRE?
Replies: 30
Views: 5668

Re: What does it mean to be FIRE?

thanks to moderators for not banning me i wasnt trying to be nakedly self promotional
by pcola2234
Tue Jun 23, 2015 9:28 pm
Forum: Investing - Theory, News & General
Topic: What does it mean to be FIRE?
Replies: 30
Views: 5668

Re: What does it mean to be FIRE?

I appreciate the continued conversation, that's what I was trying to accomplish all along, the bogleheads definitely helped me a ton in refining my arguments and making them more coherent. As to FIRE and its definition, would not medicaid be there to take care of you in an extreme situation? nursing homes are full of medicaid patients who are former middle class people whose savings have been exhausted by medical bills they did not plan for or get long term care insurance to cover. I heard once that 2/3 of medicaid spending is on nursing homes for this reason that its incerdibly expensive and few average people plan for it. So there's always something that can go wrong, but there are things that can go right, like taking an extended period ...
by pcola2234
Sun Jan 25, 2015 9:08 am
Forum: Personal Finance (Not Investing)
Topic: Transfer on death plan or Go to dreaded probate?
Replies: 6
Views: 1274

Re: Transfer on death plan or Go to dreaded probate?

We did visit an Atty in 2012 before the estate tax uncertainty ended and the recommendation was for a perpetual trust which my family member was very uncomfortable with. Their desire is to distribute assets immediately upon death and trust the Benes to do well or ill accordingly. To the extent a temporary trust could accomplish this that could be interesting. I think their point of discomfort was feeling like this perpetual option was being pushed exclusively by the Atty and they felt like the point was to generate higher fees rather than hearing a littany of options. The Atty did confirm their will was well written and satisfactory to achieve their wishes.
by pcola2234
Fri Jan 23, 2015 9:08 am
Forum: Personal Finance (Not Investing)
Topic: Transfer on death plan or Go to dreaded probate?
Replies: 6
Views: 1274

Transfer on death plan or Go to dreaded probate?

Assuming someone was just under the threshold to worry about estate taxes (5-10million total account size) and was older, would you use a TOD to simplify things and avoid probate? Main downside is if you have per stirpes intentions in your will and say the named person and executor passed in a simultaneous event, its my understanding that those intentions would not be honored unless specifically changed in the TOD plan, however if both were passed that would not be possible and im assuming a proportional interest would be distributed pro rata according to share. So main question is, is probate really that bad? Say you have no creditors and a simple estate (just publicly traded securities). You're probably looking at $3000 for a probate lawy...
by pcola2234
Thu Jun 14, 2012 11:53 pm
Forum: Personal Finance (Not Investing)
Topic: Ivy League Myths Uprooted
Replies: 288
Views: 26935

Re: Ivy League Myths Uprooted

These promises from financial aid offices are highly misleading IMO My family made under 50k and when I applied to a lot of elite institutions we qualified for almost nothing because my parents had highly illiquid real estate that was highly valued due to the bubble. I remember one school wanted me to pay 27k after 13k in grants, or more than 50% of my family's AGI the promises at places like princeton where you pay nothing if your family makes under 100k are inaccurate i think, they should be rephrased to say "if your family has saved nothing and is in debt up to its eye balls because you overconsume and has an AGI under our magic number we will make up for your imprudence by paying for your child's education, though if you were dumb ...
by pcola2234
Tue Jun 12, 2012 12:22 pm
Forum: Personal Investments
Topic: Inherited $250K...What's the "smart" move? I need your help!
Replies: 27
Views: 4528

Re: Inherited $250K...What's the "smart" move? I need your h

I'd stay in one of the places you already own once you get married until it's more clear what kind of housing you'll need when and if kids come into the picture. Even 5 years down the line I doubt we'll see housing up 25%, probably more like 5-10% from today's prices. In terms of the inheritance, at a 3.25% interest rate I wouldn't freak out about paying it down too quickly. Seems like you should try and max out her 401k and retirement accounts first and invest the 250k according to your asset allocation. Also I think it depends how much risk you can tolerate, but with one rental and an 80%+ stocks allocation my guess is a good amount. An 80/20 portfolio should easily outperform an after tax 3.25% payment on student loans over any long peri...
by pcola2234
Wed May 30, 2012 11:42 pm
Forum: Personal Investments
Topic: AA for 90 yr old parent with dementia
Replies: 19
Views: 1866

Re: AA for 90 yr old parent with dementia

Definitely watch out for any large unrealized capital gains as an estate gets a step up basis at death so heirs won't owe any tax on the stocks.

If pure safety with some possibility of income is what you seek, I would go 100% short term bond fund at Vanguard, no use going out on the yield curve and especially not good idea to add credit risk with corp bond fund IMO.
by pcola2234
Wed May 30, 2012 11:30 pm
Forum: Personal Investments
Topic: Portfolio advice requested for retiree who left Edward Jones
Replies: 3
Views: 672

Re: Portfolio advice requested for retiree who left Edward J

I've been guilty of trying to get the mix just right before with elderly family members only to discover that simplicity at older ages has a utility all it's own. What about using a target date retirement fund, say Target Date 2010 or 2015 depending on how risky she wants to start and putting the RMDs in Total Stock Market? The before tax return was only about 0.25% better than the after tax return last year meaning it's extraordinarily tax efficient and doesn't throw off much in the way of income besides whatever the dividend yield is. Target Date would get more conservative as she aged and the RMDs would be all stock in taxable, likely leaving her with around 45/55 if she (hopefully) makes it well into her 90s. It would be a good balance ...
by pcola2234
Tue May 29, 2012 12:12 am
Forum: Personal Investments
Topic: How did you pick your estate lawyer?
Replies: 12
Views: 1748

Re: How did you pick your estate lawyer?

If all your assets are in individual stocks and mutual funds, does this make it a lot simpler?
They have a will that's clear in its intent and very specific as to division of assets.
The good news is that their specification is an equal distribution among heirs so there is not
likely to be any contention over it. Depending on what the new exemption is for 2013 they
would likely owe estate tax so a do it yourself option in this situation is probably not a good idea.
I definitely prefer an hourly compensation arrangement for the lawyer. Is there any fiduciary obligation
among estate lawyers to not sell you any trusts you don't need?
by pcola2234
Mon May 28, 2012 9:53 pm
Forum: Personal Investments
Topic: How did you pick your estate lawyer?
Replies: 12
Views: 1748

How did you pick your estate lawyer?

Hey Bogleheads,

How did you choose your estate lawyer/ what services did he/she provide you with?
Is it true that they can charge you 3% of an estate's total value to probate it?
I'm looking to help a family member make this decision with eyes wide open.
by pcola2234
Sat May 26, 2012 4:04 pm
Forum: Personal Investments
Topic: Plz help me make this formula a free droid app/excel program
Replies: 4
Views: 14339

Re: Plz help me make this formula a free droid app/excel pro

the main difference is that this calculator incorporates salary growth rate along with roi to come up with net worth at retirement. Most compound interest calculators just have u enter a level amount that will never change over the entire compounding period. Most people will see their wages grow at the rate of inflation at least. This calculator what you have if uput awayacertain percentage of your salary along w all the other assumptions, the only reason id put it out there is if I didnt think something like it already existed
by pcola2234
Sat May 26, 2012 11:58 am
Forum: Personal Investments
Topic: Plz help me make this formula a free droid app/excel program
Replies: 4
Views: 14339

Re: Plz help me make this formula a free droid app/excel pro

im just not too familiar with programming in excel, i can write formulas into it all day
its just protecting it and making it in the style of some of the stuff that's been done
here on bogleheads like the backtesting program and the stuff from analyzenow that
i dont know how to do
by pcola2234
Sat May 26, 2012 11:17 am
Forum: Personal Investments
Topic: Plz help me make this formula a free droid app/excel program
Replies: 4
Views: 14339

Plz help me make this formula a free droid app/excel program

I learned a formula for calculating net worth at retirement in class which includes more than just what your ROI is, I wrote a program for my TI-84 but was hoping someone on bogleheads could help me either create a neat and simple program in excel or an android app (to avoid the $100 programmer fee for the apple market) to turn this formula into a simple enter your info kind of thing, almost like the simple compound interest calculator apps. I want it to be free and my friend that knows programming wants to make it ad supported but im not interested in cluttering it up to make a few bucks. Here's what I've got so far i have 7 variables in the input, you have return on investment in %, R salary growth rate in %, G current salary in $, S savi...
by pcola2234
Fri Apr 13, 2012 8:59 pm
Forum: Personal Consumer Issues
Topic: What's your college ROI?
Replies: 47
Views: 6825

Re: What's your college ROI?

If you got paid to go to college through a stipend what's your ROI? N/A? Should we consider opportunity cost?
by pcola2234
Wed Apr 11, 2012 2:07 pm
Forum: Personal Consumer Issues
Topic: SAT tutor vs. self study
Replies: 22
Views: 1957

Re: SAT tutor vs. self study

I got some help from my high school English teacher which shot up my verbal score 70 points. I'd look at a vocab book to study words and practice reading the passages very quickly.

Also memorizing all the grammar rules and making sure your writing score is above 700 is the fastest way to improve the total I think.

With math, you either have it or you don't. I feel like a tutor won't help you once you're in the 700+ zone.
by pcola2234
Tue Apr 10, 2012 1:57 pm
Forum: Personal Finance (Not Investing)
Topic: Pay down Mortgage or invest in 529
Replies: 29
Views: 3204

Re: Pay down Mortgage or invest in 529

Retirement funds in a 401k or IRA as well as home equity are NOT considered assets for the purposes of financial aid calculation on the FAFSA, whereas Im pretty sure 529s count. Therefore you should put away the max towards retirement and home equity first before anything else. A 529 will count against you for the Expected Family Contribution number
by pcola2234
Sat Apr 07, 2012 12:10 am
Forum: Personal Investments
Topic: Is Backdoor Roth with 115k AGI even good with large IRA?
Replies: 2
Views: 662

Is Backdoor Roth with 115k AGI even good with large IRA?

So my parents have around $115,000 in AGI this year and don't qualify at all to deduct a spousal traditional IRA contribution from their AGI.

They make below $170,000 so they're eligible for a Roth spousal contribution I believe, mom has already made her Roth contribution (she works). Dad's retired but under 70.5.

They have the money sitting in the bank either way. Is it a no brainer to make a spousal Roth contribution for my dad? I was thinking they could just do a backdoor Roth but then I read that if you have a large traditional IRA, say with 95k in it and you have a nondeductible IRA with 5k in it then 95% of the 5000k has to have taxes paid on it to convert.

What would you suggest for this situation?
by pcola2234
Sun Mar 04, 2012 6:52 pm
Forum: Personal Investments
Topic: Best brokerage for the computer illiterate
Replies: 16
Views: 1449

Re: Best brokerage for the computer illiterate

This person doesn't walk very well or drive very much, that's why I don't think he'll be going to any local branches anytime soon. Schwab has a rep in our area I think.

I believe he has a relatively small account with TD Ameritrade, and they might have an office locally. I feel like I know very little about how good Vanguard Brokerage Services is. He's already a flagship member with Vanguard and is looking to consolidate (think half a dozen accounts spread everywhere) so TD Ameritrade, VBS, or WellsTrade would be really good if they're viable options he can contact on the telephone.
by pcola2234
Sun Mar 04, 2012 6:39 pm
Forum: Personal Investments
Topic: Best brokerage for the computer illiterate
Replies: 16
Views: 1449

Re: Best brokerage for the computer illiterate

I know they use vanguard for at least some of their investments, but to my knowledge this person's interaction with their broker takes place completely over the telephone. He never goes into the office for anything.

To answer the question directly, probably Edward Jones, Wells Fargo, and Morgan Stanley, and if I had to choose any of them I'd probably choose Wells Fargo.
So maybe the more appropriate question is, are discount brokerage services like Wells Trade and VBS suitable for someone who knows what they want to buy and sell but doesn't know how to use a computer and would have to call on the telephone to do anything?
by pcola2234
Sun Mar 04, 2012 6:27 pm
Forum: Personal Investments
Topic: Best brokerage for the computer illiterate
Replies: 16
Views: 1449

Best brokerage for the computer illiterate

Bogleheads, I know someone who has a relatively large amount (I think in the low 7 figure range) who wants to switch from the full service brokerage model offered by Wells Fargo Advisors to something else. I've read on the site here that Wells Trade is a very good platform to use if you are able to use online services. This person is a WWII vet who has never used a computer and never wants to, but knows he's paying too much with 1% commissions on his trades and wants a better option. He rarely buys and sells so he is starting to be annoyed at being pestered so often. I know about Vanguard Brokerage Services, but is that a good service for someone with that level of assets who has a lot of individual stocks and bonds? My initial reaction was...
by pcola2234
Thu Feb 09, 2012 11:49 am
Forum: Personal Investments
Topic: Vanguard Ascensus 401K plan - Opinions
Replies: 21
Views: 6140

Re: Vanguard Ascensus 401K plan - Opinions

This is a load of high-handed nonsense. To decide that everyone should invest a certain way is ridiculous and snobbish. The fact that SOME people like the total market approach does not mean that there should be any attempt to force others to do so. The RESPONSIBLE thing is to provide a variety of inexpensive choices and the plan participants decide for themselves the way to invest. For many people the company plan will dominate their investments. Removing value and REIT will often not allow them to construct the portfolio that is desired in the most efficient manner. I know, as that is my situation after value funds were dropped from my plan. Brian I agree completely. Why should we limit choice in favor of paternalism? It should be an emp...
by pcola2234
Tue Feb 07, 2012 12:41 pm
Forum: Personal Finance (Not Investing)
Topic: Use or save HSA?
Replies: 32
Views: 4630

Re: Use or save HSA?

what happens to money that grows over a long period of time in an HSA? Can it ever be converted to another type of retirement account like an IRA?
Or can you use the money to pay for medical expenses of family members?
by pcola2234
Mon Feb 06, 2012 12:38 am
Forum: Investing - Theory, News & General
Topic: high fee endowment fund attacked
Replies: 1
Views: 400

high fee endowment fund attacked

Check out this interesting opinion article on University of Florida's endowment fund and its fee structure, might be of some interest to Bogleheads
who are considering donating money to their alma mater

http://www.alligator.org/opinion/column ... 3ce6c.html
by pcola2234
Sat Feb 04, 2012 7:46 am
Forum: Personal Finance (Not Investing)
Topic: Boss is Giving Me His Life Insurance/Annuity Business
Replies: 12
Views: 2085

Re: Boss is Giving Me His Life Insurance/Annuity Business

Isn't it true that insurance and annuity businesses are worth almost nothing as most revenue has already been realized on the front end of the sale. Paying any kind of top dollar for the business would be a bad decision. For example, if the $4 million in products generated 5% commissions every year (which they don't') then he would be making $200,000, hardly enough to pay expenses and keep up a staff. He likely generates around $60-80,000 / year in commissions. You can't just transfer clients in the same way a financial advisor does and get paid for it. I would be very hesitant if he asked you to buy the business for anything above $1000-$5000.
by pcola2234
Fri Feb 03, 2012 5:28 pm
Forum: Investing - Theory, News & General
Topic: Simba's backtesting spreadsheet [a Bogleheads community project]
Replies: 1367
Views: 821178

Re: Spreadsheet for backtesting (includes TrevH's data)

Random question,

If a financial advisor used this in his or her practice instead of the software one has to pay thousands a year for, would you think that right or wrong?

Do you think that person should have to pay a fee to bogleheads or at least a donation?

just curious
by pcola2234
Fri Feb 03, 2012 5:22 pm
Forum: Personal Investments
Topic: how to simulate portfolio performance
Replies: 8
Views: 1664

Re: how to simulate portfolio performance

bogleheads you rock!

Thanks so much for all this great advice,

I can't believe how detailed the excel spreadsheet is by TrevH either, that program he wrote is amazingly useful.

These other websites look pretty good too
by pcola2234
Fri Feb 03, 2012 1:08 pm
Forum: Personal Investments
Topic: how to simulate portfolio performance
Replies: 8
Views: 1664

Re: how to simulate portfolio performance

Basically putting $1000 in 60% Vanguard 500 Index Fund and 40% Vanguard Total Bond Fund and looking at a chart showing 20 year performance, with any extra characteristics of the portfolio i can get such as sharpe ratio, thats just an idea, basically id like a way to show some of my friends the hypothetical past performance of a group of vanguard funds in a portfolio
by pcola2234
Fri Feb 03, 2012 11:08 am
Forum: Personal Investments
Topic: how to simulate portfolio performance
Replies: 8
Views: 1664

how to simulate portfolio performance

Bogleheads,

I'm going to be working in a few short months and am busy enjoying the last moments of college.

However, I'd like to learn how to model performance of a portfolio over time with some sort of software, say Morningstar or something like that. I know financial advisors often have software they purchase for this. Does anyone know of a program that is free and easy to use to play around with different combinations of funds and see the performance over time? I've only been able to do it with Morningstar with one fund at a time. My library has access to the premium memberships of a few financial data companies.
by pcola2234
Sat Jan 28, 2012 9:43 am
Forum: Personal Investments
Topic: Recommended Questions to Ask about 403b? (Update)
Replies: 12
Views: 3164

Re: Recommended Questions to Ask about 403b? (Update)

I would suggest that you consider the following:
Black Rock Equity Dividends Fund - Expense ration 1.04
First Eagle Overseas Fund - Expense ratio 1.17
Pimco Total Return Fund - Expense ratio 0.75"
That's funny about the Pimco Total Return Fund, I think my mom has that in her 403b, and it's THE only option for bond funds. It also has an ER of around .48%

Wonder if they're taking a cut of that ER for themselves?
And in my limited experience 403b reps seem to be former annuity or insurance salesmen who exhausted their contacts to sell products
by pcola2234
Fri Jan 27, 2012 1:57 pm
Forum: Investing - Theory, News & General
Topic: Should Vanguard disclose executive compensation?
Replies: 52
Views: 5347

Re: Should Vanguard disclose executive compensation?

Sure you can get to $50 million at $750k a year pretty easily. Bogle was with Vanguard from the beginning in the mid seventies. Let's say he made that $750,000 salary all the way through (not true obviously but just for argument's sake). If he invested $500k a year for 25 years getting 10% interest (this was the 80s and 90s we're talking about, during the go go years) that brings you up to $54.6 million
by pcola2234
Fri Jan 27, 2012 1:24 pm
Forum: Investing - Theory, News & General
Topic: Should Vanguard disclose executive compensation?
Replies: 52
Views: 5347

Re: Should Vanguard disclose executive compensation?

this is a total guess, but if you read Enough by Bogle he said that he is not a centimillionaire, and considering how frugal he seems to be I would guess that his salary when he was CEO was mid to high 6 figures. If I had to guess on the comp of the top execs, I'm thinking maybe $300,000, and no more than $750,000 for the CEO

Vanguard is a humble company, with industry average pay, I think their payscale would be much more similar to a large public university than a private corporation
by pcola2234
Fri Jan 13, 2012 11:45 am
Forum: Investing - Theory, News & General
Topic: Net Worth by Age [and plot]
Replies: 152
Views: 13619

Re: Net Worth by Age [and plot]

Why aren't annuity and whole life salesmen posting on the bogleheads forum for customers? It seems like if they could get even one of you they'd have made a decent annual salary
by pcola2234
Wed Jan 11, 2012 9:25 pm
Forum: Personal Finance (Not Investing)
Topic: Found $100 Bill at Walmart
Replies: 161
Views: 19165

Re: Found $100 Bill at Walmart

That's impossible, if it was really a $100 bill it wouldn't have been on the floor, or at least that's what my economics textbook taught me :lol:
by pcola2234
Wed Jan 11, 2012 6:06 pm
Forum: Personal Investments
Topic: 19 (now 20 years old) 100% stocks AA review
Replies: 52
Views: 5177

Re: 19 (now 20 years old) 100% stocks AA review

OP,

How were you able to have a Roth eligible contribution as a teen? Part time work in family small business or work on the side? Just curious as I got dinged for making a Roth contribution from taxable scholarship money above the cost of attendance at college.

Also, How do you have access to a 403b in college? Not trying to be nosy, but I can't think of any part-time job anywhere at my state school that allowed a 401k or 403b contribution.
by pcola2234
Wed Dec 07, 2011 4:39 pm
Forum: Investing - Theory, News & General
Topic: Burton Malkiel's New WSJ Op-Ed Article
Replies: 66
Views: 9412

Re: Burton Malkiel's New WSJ Op-Ed Article

If Suze Orman said we should buy more dividend paying stocks, I discount her advice as entertainment. Nisiprius asked if bank interest rates dropped do we buy more lotto tickets. Technically isn't the answer yes in terms of substituting away from the less attractive option to the relatively more attractive option? That's what causes exchange rate arbitrage to disappear. Obviously lotto tickets are a bad example, but dividend paying stocks in expected future value terms are nothing like lotto tickets. I think retirees don't realize that they needed to have a portfolio of at least 30-40% stocks to make it through a 30 year retirement. Maybe Malkiel's words are showing why weird times call for at least a small equity allocation to protect from...
by pcola2234
Wed Dec 07, 2011 7:41 am
Forum: Investing - Theory, News & General
Topic: Burton Malkiel's New WSJ Op-Ed Article
Replies: 66
Views: 9412

Re: Burton Malkiel's New WSJ Op-Ed Article

An official from the Fed told me that they were deliberately trying to manipulate the yield curve to make it so unattractive to be in US govt debt that all the old ladies out there would take their money and put it in dividend paying blue chip companies. That would allow the Fed to indirectly finance the buying of risky securities without having to put them on their balance sheet.
Do you think the Boglehead way needs revision in an era of currency manipulation? Malkiel sure made a powerful case that older income seeking investors do something quite un-Bogleheadish in terms of asset allocation
by pcola2234
Wed Nov 16, 2011 1:33 pm
Forum: Investing - Theory, News & General
Topic: Why is Vanguard listed as an executive pay enabler?
Replies: 92
Views: 8558

Re: Why is Vanguard listed as an executive pay enabler?

Ooooh, wow I misread the report , thanks for clarifying, I wonder why they dont push harder then
by pcola2234
Wed Nov 16, 2011 1:13 pm
Forum: Investing - Theory, News & General
Topic: Why is Vanguard listed as an executive pay enabler?
Replies: 92
Views: 8558

Re: Why is Vanguard listed as an executive pay enabler?

Do u think that the directors trust vanguard employees to be fair? Could that b a reason the directors agree w pay proposals so much
by pcola2234
Wed Nov 16, 2011 12:55 pm
Forum: Investing - Theory, News & General
Topic: Why is Vanguard listed as an executive pay enabler?
Replies: 92
Views: 8558

Re: Why is Vanguard listed as an executive pay enabler?

and the article i got the quotes from is

http://www.prnewswire.com/news-releases ... 86333.html

google vanguard excessive executive compensation to find more
by pcola2234
Wed Nov 16, 2011 12:54 pm
Forum: Investing - Theory, News & General
Topic: Why is Vanguard listed as an executive pay enabler?
Replies: 92
Views: 8558

Why is Vanguard listed as an executive pay enabler?

This study that was published by the AFSCME public employees union on executive pay by mutual fund companies has been bothering me lately. In it is says "The mutual fund industry's four greatest "Pay Enablers," reported as most consistently enabling runaway CEO pay, were Vanguard, BlackRock, ING and Lord Abbett." And furthermore states "Dimensional, Dreyfus, Oppenheimer and Wells Fargo were the fund families most likely to vote to rein in pay. " The methodology used in the study assumes that percentage of times the Board votes on management's side in questions of executive pay determines how much the company is letting executive pay run wild. This makes NO sense. Vanguard is likely on the bottom of the list in ...
by pcola2234
Tue Nov 08, 2011 3:47 pm
Forum: Personal Investments
Topic: 401k or Roth 401k
Replies: 1
Views: 411

401k or Roth 401k

So I'm in my early twenties and have a choice between a 401k and a Roth 401k at work, probably will make in the mid 50s first couple years, if im lucky potentially making low six figures when im in my thirties, ive heard that a Roth 401k is better if you start at a young age because the tax bite is not a great as it would be for someone in their 40s just catching up with retirement savings. Does anyone on the forum use a Roth 401k? I love how you can eventually roll it over to a Roth IRA but am not convinced that a future Congress will renege on their promise of not requiring withdrawals and tax free earnings on the tail end. I already fully fund my Roth IRA and wanted to ask everyone whether it would be better to diversify my retirement ac...
by pcola2234
Sun Oct 16, 2011 9:43 am
Forum: Investing - Theory, News & General
Topic: How are you doing YTD?
Replies: 68
Views: 6182

Down 4.86%, 100% equities with tilt towards small, value, emerging markets, reits, intl small cap, guess that's not too bad at all
by pcola2234
Fri Oct 07, 2011 10:42 am
Forum: Personal Consumer Issues
Topic: math major
Replies: 61
Views: 6500

I think being an actuary is a great career for someone who really likes taking tests, doesnt mind solitary work for a large part of the day, and likes to solve problems working with computers i was a math/econ major before switching to stats/econ all math courses above diffy q/calc 3 is proof based, besides linear algebra, i never could see any practical application to most of the stuff i was doing in my classes i had wanted to go to econ PhD but realized i would be doing even more pure math in grad school and decided that what i really enjoyed was actual numbers and analyzing them this eventually led me into a career orientation in investing because i had more free time to read and i came across books by john bogle, burton malkiel, paul me...
by pcola2234
Wed Sep 21, 2011 9:04 pm
Forum: Investing - Theory, News & General
Topic: Q For Rick Ferri
Replies: 56
Views: 9922

Rick Ferri, or anyone else that feels good on commenting on this,

Does that mean that your original recommendation of 60 Total Bond, 20 TIPS, and 20 with high yield bond fund is still what you would recommend for the fixed income allocation? It seems like interest rates have nowhere to go but up which I think would be awful for someone stuck in a 1.85% 10 year treasury bond
by pcola2234
Mon Sep 19, 2011 12:39 pm
Forum: Personal Investments
Topic: How can I find out what % of state pension assets r indexed?
Replies: 1
Views: 399

How can I find out what % of state pension assets r indexed?

I read Rick Ferri's link to the article about Florida's pension plan being 50% active and 50% passive, with the active part significantly underperforming due to expenses and fees over the last decade, costing the state of Florida hundreds of millions of dollars at least.

I thought about doing a senior honors thesis about the % of state pension assets that are indexed, anybody have an idea how to find this out?
by pcola2234
Tue Aug 30, 2011 9:09 am
Forum: Personal Investments
Topic: REITs, EM in Simplified Ultimate buy and hold
Replies: 1
Views: 907

REITs, EM in Simplified Ultimate buy and hold

So I have been trying to find this in the discussion by Trev H for a while now and can't seem to locate my question.

I agree with the analysis that US large, US small cap value, Intl Large Cap Value, and Intl Small is a sufficient alternative to the more complicated strategy selected by fundadvice.com.
I haven't seen an analysis done including US and Intl REIT indexes and emerging markets. It seems like these asset classes would be different enough from those 4 to get significant risk/return benefits.

Is anyone aware of REITs and EM reducing risk and enhancing return on the SUBH or is it just another layer of complexity?