Search found 7381 matches

by Phineas J. Whoopee
Thu Oct 18, 2018 3:23 pm
Forum: Investing - Theory, News & General
Topic: Help me understand dividends
Replies: 119
Views: 10040

Re: Help me understand dividends

... Does that help explain why dividends can be okay and why the temporary pricing changes don't really matter in the long run? Of course dividends can be, and usually are, okay as you said. The pricing changes from paying dividends, if the money is reinvested, don't change an investor's long-term ...
by Phineas J. Whoopee
Wed Oct 17, 2018 5:14 pm
Forum: Investing - Help with Personal Investments
Topic: More safe: Treasury ETF or Bank Account
Replies: 6
Views: 839

Re: More safe: Treasury ETF or Bank Account

If I may point out, the FDIC is seldom on the hook for the sum total of a failed bank's insured deposits. Banks have assets, and failure doesn't mean they're all gone, just that they don't have enough left to meet regulatory requirements. It may well be that the assets cover all of the insured depos...
by Phineas J. Whoopee
Wed Oct 17, 2018 4:25 pm
Forum: Investing - Theory, News & General
Topic: Help me understand dividends
Replies: 119
Views: 10040

Re: Help me understand dividends

I would like to point out that new poster Feraud, welcome to the forum, resurrected a thread from two years ago. Feraud: that isn't a problem. It's a good thing to search the forum before posting.
PJW
by Phineas J. Whoopee
Wed Oct 17, 2018 4:17 pm
Forum: Investing - Help with Personal Investments
Topic: Investing During Retirement
Replies: 15
Views: 1558

Re: Investing During Retirement

Hi OP.

You'll receive far better advice if you post in our Asking Portfolio Questions format. Without that information we're guessing, not advising.

PJW
by Phineas J. Whoopee
Wed Oct 17, 2018 4:11 pm
Forum: Investing - Help with Personal Investments
Topic: would you buy bonds or corporate bonds now?
Replies: 19
Views: 1712

Re: would you buy bonds or corporate bonds now?

Most people on this board would recommend against buying corporate bonds, I think. They carry basically the same risk as stocks. It's better to diversify your risk and buy government bonds in addition to stocks. My impression is that's manifestly untrue. Can you cite statistics? Investment-grade co...
by Phineas J. Whoopee
Wed Oct 17, 2018 4:01 pm
Forum: Personal Finance (Not Investing)
Topic: Amended return required when error only impacts capital loss carryforward?
Replies: 4
Views: 399

Re: Amended return required when error only impacts capital loss carryforward?

I like to keep my records and the IRS's about me the same as each other. That doesn't mean you have to amend, but in your situation I myself would.
PJW
by Phineas J. Whoopee
Wed Oct 17, 2018 3:12 pm
Forum: Personal Consumer Issues
Topic: Would you ever buy a lottery ticket?
Replies: 32
Views: 1256

Re: Would you ever buy a lottery ticket?

What is this? Lottery timing?
PJW
by Phineas J. Whoopee
Wed Oct 17, 2018 2:19 pm
Forum: Personal Finance (Not Investing)
Topic: Inflating AGI to avoid paying back ACA Premium Tax Credit
Replies: 36
Views: 2555

Re: Inflating AGI to avoid paying back ACA Premium Tax Credit

... Normally, I have no income other than CG's, dividend, and interest income, so much roth convert in order to attain sufficient MAGI levels in order to quality for the Silver 87 plan. Unfortunately, this year, I have unanticipated large CG's which will in fact disqualify me for any PTC's/subsidie...
by Phineas J. Whoopee
Tue Oct 16, 2018 6:25 pm
Forum: Investing - Help with Personal Investments
Topic: When to TLH?
Replies: 11
Views: 1174

Re: When to TLH?

I've used a dollar amount, not a percentage. Of course it's arbitrary, but better than lying awake at night. $1,000.
PJW
by Phineas J. Whoopee
Tue Oct 16, 2018 6:09 pm
Forum: Personal Finance (Not Investing)
Topic: Is there a penaly if I owe taxes in April to IRS due to repayment of ACA Premium Tax Credits?
Replies: 4
Views: 368

Re: Is there a penaly if I owe taxes in April to IRS due to repayment of ACA Premium Tax Credits?

I pay estimated taxes to IRS every three months to avoid the penalty. However, this year I will not know if I will have to pay back $18,000 in ACA Premium Tax Credits until January. My estimated tax payments did not include the repayment scenario since I could not predict my income for the year acc...
by Phineas J. Whoopee
Tue Oct 16, 2018 5:39 pm
Forum: Personal Finance (Not Investing)
Topic: Inflating AGI to avoid paying back ACA Premium Tax Credit
Replies: 36
Views: 2555

Re: Inflating AGI to avoid paying back ACA Premium Tax Credit

If I may: Often when the issue comes up it's in a non- Medicaid expansion state . The drafters of the ACA didn't contemplate the Supreme Court throwing out the threat to the states. It's left an unintended situation in which a person's income can be too low to qualify for Medicaid. The number in que...
by Phineas J. Whoopee
Tue Oct 16, 2018 5:22 pm
Forum: Investing - Theory, News & General
Topic: Stupid question on treasury direct
Replies: 3
Views: 471

Re: Stupid question on treasury direct

OP: you placed a noncompetitive bid , in which one doesn't set a limit. That's the only type available through www.treasurydirect.gov. This is a description of how Treasury auctions work. For a 13-week bill, or for that matter any T-bill (newly-issued securities maturing in less than a year, includi...
by Phineas J. Whoopee
Tue Oct 16, 2018 5:04 pm
Forum: Investing - Help with Personal Investments
Topic: International Fund Down - What to do?
Replies: 36
Views: 2270

Re: International Fund Down - What to do?

... If I re-balance however wont it become a realized loss ? Or do I just keep pumping money into the US one. I havent added money money to Intl since 2/2018 A loss is a loss, realized or otherwise. The only place it matters is in a taxable account, such as yours, because realizing a loss can bring...
by Phineas J. Whoopee
Mon Oct 15, 2018 4:13 pm
Forum: Personal Consumer Issues
Topic: short term insurance between jobs
Replies: 10
Views: 513

Re: short term insurance between jobs

Are you eligible for COBRA continuation insurance? The way Congress wrote the law you have 60 days to decide whether to buy it, and expenses incurred during that time are covered if you end up deciding yes. That would neatly cover your gap, if available.
PJW
by Phineas J. Whoopee
Mon Oct 15, 2018 2:54 pm
Forum: Investing - Theory, News & General
Topic: Is EMH a tautology?
Replies: 108
Views: 4618

Re: Is EMH a tautology?

... You seem wedded to the EMH, but I don't understand why. It's just a hypothesis, and for whatever role Fama played in it, he flat out said that markets aren't efficient and that what's in question is how inefficient markets are and can we identify inefficiencies a priori . But you seem to be dou...
by Phineas J. Whoopee
Sun Oct 14, 2018 3:29 pm
Forum: Personal Consumer Issues
Topic: Census [Received form in mail]
Replies: 21
Views: 1731

Re: Census

The next census is slated for 2020, and it is supposed to make more use of the Internet than before. Do they start collecting the data two years early? I don't know. But the fact that the follow-up letter came so soon after the first one makes me a little suspicious. There is an annual survey of pa...
by Phineas J. Whoopee
Sat Oct 13, 2018 1:21 pm
Forum: Investing - Theory, News & General
Topic: Is EMH a tautology?
Replies: 108
Views: 4618

Re: Is EMH a tautology?

In a discussion yesterday where I was trying to articulate my thoughts on EMH, I wrote that since EMH cannot be tested because it has no predictive power (due to the joint hypothesis problem - meaning that you will never kown whether it's EMH that is false, or the asset pricing model used that is f...
by Phineas J. Whoopee
Thu Oct 11, 2018 12:39 pm
Forum: Investing - Theory, News & General
Topic: When Both Stocks and Bonds Fall, Where Does the Money Go?
Replies: 12
Views: 1777

Re: When Both Stocks and Bonds Fall, Where Does the Money Go?

One thing I can't quite understand on a day like yesterday is that when there's a significant amount of stock selling, the 10-year bond yield also rose. Which means there were more people selling 10-year bonds than buying, right? Or do bond yields work in a different way than my simple-minded suppl...
by Phineas J. Whoopee
Wed Oct 10, 2018 5:59 pm
Forum: Investing - Help with Personal Investments
Topic: What did you buy today
Replies: 108
Views: 7500

Re: What did you buy today

Canned corn.

Last week I was at almost, but not quite all the way to, my top level stock tolerance. Now, without taking action, I'm a little above target and well within my band.

PJW
by Phineas J. Whoopee
Wed Oct 10, 2018 3:56 pm
Forum: Investing - Help with Personal Investments
Topic: canned response to email
Replies: 2
Views: 526

Re: canned response to email

Vanguard does not know if you have other RMD-requirement accounts that aren't with them, so they can't calculate.

Vanguard is trying to be more responsive and spend less money by providing standard answers based on keywords. That happens everywhere these days.

PJW
by Phineas J. Whoopee
Wed Oct 10, 2018 3:37 pm
Forum: Investing - Help with Personal Investments
Topic: When stocks and bonds drop at the same time, what do you do?
Replies: 40
Views: 4424

Re: When stock and bod drop at the same time, what do you do?

What I personally do is keep in mind stocks and intermediate-term investment-grade bonds have had approximately zero correlation, which is not the same as negative, and that we've discussed it here before.
PJW
by Phineas J. Whoopee
Wed Oct 10, 2018 2:46 pm
Forum: Investing - Help with Personal Investments
Topic: Bad time to invest in govt bonds?
Replies: 20
Views: 2436

Re: Bad time to invest in govt bonds?

If you need to access/start spending these funds in less than 5.2 years(duration of the fund) you may get nicked by the rising rates. But if your horizon for this investment is over 5.2 years, the increased interest will make up for any capital loss of principal. I have most of my TIRA in Intermedi...
by Phineas J. Whoopee
Wed Oct 10, 2018 2:35 pm
Forum: Investing - Help with Personal Investments
Topic: Bad time to invest in govt bonds?
Replies: 20
Views: 2436

Re: Bad time to invest in govt bonds?

What do you expect Vanguard's Intermediate-term Tax-exempt Fund, VWIUX, to do in the context of your portfolio? If it has little realistic chance of doing such a thing then sure, get out of it, but after that what will you plan to put the money into which will do what you expect?
PJW
by Phineas J. Whoopee
Wed Oct 10, 2018 2:22 pm
Forum: Investing - Theory, News & General
Topic: 5 ways target-date funds let investors down
Replies: 38
Views: 3423

Re: 5 ways target-date funds let investors down

Target-date funds let investment advisers, who don't know where next month's boat payment is coming from, down.
PJW
by Phineas J. Whoopee
Wed Oct 10, 2018 2:10 pm
Forum: Investing - Help with Personal Investments
Topic: SPY vs SPXL [SPDR S&P 500 vs Direxion Daily S&P 500 3X leveraged]
Replies: 4
Views: 218

Re: SPY vs SPXL [SPDR S&P 500 vs Direxion Daily S&P 500 3X leveraged]

For my long-term investments, say my 401K, where I won't/don't want to withdraw my money for 15-20 years, if the odds are very, very strong that the S&P will be more in 2038 than what it is today, should I just put my money in SPXL rather than SPY? Welcome your insights. Hi BobaTeaGood, and welcome...
by Phineas J. Whoopee
Mon Oct 08, 2018 3:13 pm
Forum: Personal Finance (Not Investing)
Topic: LTHC Insurance ??
Replies: 10
Views: 787

Re: LTHC Insurance ??

I don't know, OP, what you should do today, or your financial tradeoffs. About a decade ago I had an opportunity to buy into group LTC insurance. We had plenty of notice. I chose to pay for it. I maintain it to this day, and plan to continue. Contrary to many rationales posted here at www.bogleheads...
by Phineas J. Whoopee
Mon Oct 08, 2018 10:54 am
Forum: Investing - Theory, News & General
Topic: 40-60% drawdown in bonds
Replies: 42
Views: 3744

Re: 40-60% drawdown in bonds

See, for example, continual use of the term Safe Withdrawal Rate for what the original authors called a Sustainable Withdrawal Rate. Lucky coincidence about the initialisms, right? This is wrong and exactly backwards. Here is the 1994 article by William Bengen that invented/discovered/whatever the ...
by Phineas J. Whoopee
Sun Oct 07, 2018 12:08 pm
Forum: Investing - Help with Personal Investments
Topic: Rate of return in negative
Replies: 16
Views: 1896

Re: Rate of return in negative

New to investing & started my 401k around month & half ago. I am investing $1500/month to Vanguard Instl Trgt Retire 2050 Instl. I know rate of return fluctuates but it's currently at (-1.50%). Rate of return is in negative. Is this normal & expected? Hi Guacamole. Yes, stocks and bonds (both of wh...
by Phineas J. Whoopee
Sun Oct 07, 2018 11:31 am
Forum: Investing - Theory, News & General
Topic: Is your risk tolerance to dollars or percentages?
Replies: 17
Views: 1202

Re: Is your risk tolerance to dollars or percentages?

... Assuming stocks can lose 50% in any given year, the 50/50 1M portfolio can lose about 250K and the 30/70 2M portfolio can lose about 300K. In reality, each of those portfolios would lose a bit less because the correlation of bonds to equities turns strong negative in bad times for equities . Da...
by Phineas J. Whoopee
Sun Oct 07, 2018 11:00 am
Forum: Investing - Theory, News & General
Topic: Is your risk tolerance to dollars or percentages?
Replies: 17
Views: 1202

Re: Is your risk tolerance to dollars or percentages?

I am sensitive to the dollar value of the portfolio as a whole expressed as a multiple of my projected annual expenses, calculated in real terms. Here's what I did , and a couple of years later I answered some questions about it . For the record, I think an age-based asset allocation will be far mor...
by Phineas J. Whoopee
Sun Oct 07, 2018 10:37 am
Forum: Investing - Theory, News & General
Topic: 40-60% drawdown in bonds
Replies: 42
Views: 3744

Re: 40-60% drawdown in bonds

I entirely agree. The 'bonds are for safety' idea needs significant revision. I believe that its proponents generally mean 'bonds are less volatile than stocks in the short-term', which is much more accurate, but this isn't as catchy. ... Your belief is correct, and at least here at www.bogleheads....
by Phineas J. Whoopee
Sun Oct 07, 2018 10:23 am
Forum: Investing - Theory, News & General
Topic: Flattening yield curve
Replies: 55
Views: 4808

Re: Flattening yield curve

Thank you, JoeRetire, for continuing to make the point I made . If anybody doesn't understand how yield curve changes and recessions can both be effects of yet a third thing, with neither of the first two causing the other, they may want to read this article on confounding variables . PJW Thanks. I...
by Phineas J. Whoopee
Sat Oct 06, 2018 1:37 pm
Forum: Personal Finance (Not Investing)
Topic: Plan For Depleting Your Investments If No Heirs?
Replies: 39
Views: 4658

Re: Plan For Depleting Your Investments If No Heirs?

I have nobody I'm financially responsible for, which informs my plan. I mean to spend enough to have a reasonable, to me, lifestyle until I die. Anything that's left, which could be nothing or could be a lot, goes to selected charities with my best wishes. I'm pretty sure that after I've died I will...
by Phineas J. Whoopee
Sat Oct 06, 2018 12:45 pm
Forum: Personal Finance (Not Investing)
Topic: State Income Tax (NJ) question on Gain from selling Treasury Bonds
Replies: 4
Views: 377

Re: State Income Tax (NJ) question on Gain from selling Treasury Bonds

There are two ways to buy a bond for less than its face, or par, value. One is if the security is originally issued for less than its par value, and the second is if its market value falls below. For Treasuries, which is what you asked about, in the first instance the ultimate change in value over t...
by Phineas J. Whoopee
Sat Oct 06, 2018 12:12 pm
Forum: Investing - Theory, News & General
Topic: Flattening yield curve
Replies: 55
Views: 4808

Re: Flattening yield curve

Thank you, JoeRetire, for continuing to make the point I made.

If anybody doesn't understand how yield curve changes and recessions can both be effects of yet a third thing, with neither of the first two causing the other, they may want to read this article on confounding variables.

PJW
by Phineas J. Whoopee
Sat Oct 06, 2018 12:04 pm
Forum: Investing - Help with Personal Investments
Topic: Ally Savings vs Vanguard Prime Money Market Fund - Need Advice
Replies: 77
Views: 10084

Re: Ally Savings vs Vanguard Prime Money Market Fund - Need Advice

... I'm not saying FDIC/NCUA insurance isn't useful/valuable. But just to consider what it's actually insuring you against: your bank failing and your money "disappearing" along with it. Money in a savings account is used by the bank itself as capital to produce interest (for the bank and you) via ...
by Phineas J. Whoopee
Fri Oct 05, 2018 9:42 am
Forum: Investing - Help with Personal Investments
Topic: Ally Savings vs Vanguard Prime Money Market Fund - Need Advice
Replies: 77
Views: 10084

Re: Ally Savings vs Vanguard Prime Money Market Fund - Need Advice

I think people tend to overvalue FDIC. It ensures your money if the bank/CU goes under up to a certain amount. Vanguard's federal MM vmfxx is paying over 2% now. For that fund to have a problem it would mean the US government is not paying on its securities, in which case your dollars are going to ...
by Phineas J. Whoopee
Thu Oct 04, 2018 3:44 pm
Forum: Investing - Theory, News & General
Topic: Flattening yield curve
Replies: 55
Views: 4808

Re: Flattening yield curve

Anyone feel this is leading to RECESSION? I have no feelings either way. I created a plan for all foreseeable weather, and stick to it, and realize a bad thing could happen to me from which I couldn't possibly recover. I suppose, not feel, that a flattening yield curve is an effect, not a cause. PJW
by Phineas J. Whoopee
Thu Oct 04, 2018 3:38 pm
Forum: Investing - Help with Personal Investments
Topic: If you had to choose...
Replies: 7
Views: 818

Re: If you had to choose...

Bhairston2018 wrote:
Thu Oct 04, 2018 3:31 pm
Warren Buffet has been on record as being an advocate for the S&P index fund...with that being said, what fund would you choose if you could only pick one?
I would choose to change the rules, even if that meant running for office myself.

PJW
by Phineas J. Whoopee
Thu Oct 04, 2018 1:51 pm
Forum: Investing - Theory, News & General
Topic: bond index and rising interest rates
Replies: 17
Views: 2025

Re: bond index and rising interest rates

Interest rates are going up. Existing bonds prices are going down. If I have a Total Bond Market Index is the net effect good or bad for my Bond Index fund ??? Hi bluegill, and welcome to the forum. Over the long run bond returns come from their coupon payments. If you are a long-term investor, and...
by Phineas J. Whoopee
Thu Oct 04, 2018 1:19 pm
Forum: Investing - Help with Personal Investments
Topic: Ally Savings vs Vanguard Prime Money Market Fund - Need Advice
Replies: 77
Views: 10084

Re: Ally Savings vs Vanguard Prime Money Market Fund - Need Advice

Have both an Ally no penalty and Vanguard prime money market. Just wondering if the "dividends" for the money market are treated differently than interest from the CDs? Are they dividends in the sense that those held longer are taxed lower? Dividends from taxable US fixed-income funds are treated t...
by Phineas J. Whoopee
Wed Oct 03, 2018 2:46 pm
Forum: Personal Consumer Issues
Topic: Washington DC with Side Trips Mount Vernon & Monticello Advice
Replies: 11
Views: 771

Re: Washington DC with Side Trips Mount Vernon & Monticello Advice

It's been so many years I have no logistical recommendations, but I think it is important to see and experience former slave-worked plantations like the two you asked about.
PJW
by Phineas J. Whoopee
Wed Oct 03, 2018 2:36 pm
Forum: Investing - Help with Personal Investments
Topic: Tax Efficiency for accounts
Replies: 4
Views: 420

Re: Tax Efficiency for accounts

You may be interested in our wiki article: Tax-efficient fund placement.
PJW
by Phineas J. Whoopee
Wed Oct 03, 2018 2:33 pm
Forum: Investing - Help with Personal Investments
Topic: Take the hit or ride it out?
Replies: 21
Views: 3640

Re: Take the hit or ride it out?

A loss is a loss, regardless of whether it's realized. Yours seems more like an accounting question. Do you want to normalize your assets to GBP or USD? No corporation has to do that except for quarterly reports. Do you want to normalize your assets to GBP or USD? Even if so you won't need to engage...
by Phineas J. Whoopee
Wed Oct 03, 2018 2:20 pm
Forum: Investing - Help with Personal Investments
Topic: Would Selling VWIUX to Buy MUB be a Wash Sale?
Replies: 6
Views: 493

Re: Would Selling VWIUX to Buy MUB be a Wash Sale?

Neither the IRS nor a tax court has given us the least guidance about whether two funds, which includes ETFs (F stands for fund) are substantially identical. I'm pretty sure merely adopting the same investment universe wouldn't, even in the most expansive definition, qualify. But we don't know for a...
by Phineas J. Whoopee
Tue Oct 02, 2018 3:07 pm
Forum: Investing - Theory, News & General
Topic: Why TIPS only for unexpected inflation?
Replies: 27
Views: 2555

Re: Why tips only for unexpected inflation?

So does this mean that if inflation unexpectedly drops, the NAV of tips will go down? Kind of the opposite of nominal bonds, where the NAV will go up if interest rates go down? Or will the NAV go up if inflation drops? ... Please don't conflate the adjusted principal value of a bond with its market...
by Phineas J. Whoopee
Tue Oct 02, 2018 2:41 pm
Forum: Investing - Help with Personal Investments
Topic: Should an emergency fund be for all emergencies?
Replies: 9
Views: 996

Re: Should an emergency fund be for all emergencies?

It is not the case that most individuals, including most of we extremely economically fortunate people here, can cover absolutely every contingency. Insurance has a role, reducing one's expectations has one, and recognizing one might get into trouble they can't get out of plays one. Imagine being se...
by Phineas J. Whoopee
Mon Oct 01, 2018 1:12 pm
Forum: Personal Consumer Issues
Topic: Lifetime alignment services
Replies: 14
Views: 962

Re: Lifetime alignment services

I don't know what you personally should do, but please note lifetime means the corporation's lifetime, if shorter than yours.
PJW
by Phineas J. Whoopee
Mon Oct 01, 2018 1:03 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Understanding The Financial Crisis
Replies: 4
Views: 637

Re: Larry Swedroe: Understanding The Financial Crisis

Looking at the causes of the crisis, I can’t help but think that no one ever blames the individual who bit off more than he could chew when he bought that house. An individual’s self approval of a loan should be way more critical than the bank’s approval. Dave Plenty of people place the blame squar...