Search found 1269 matches

by dkturner
Fri Oct 13, 2017 6:10 am
Forum: Investing - Theory, News & General
Topic: Vanguard's Global Wellesley Income and Global Wellington Funds in registration
Replies: 70
Views: 12157

Re: Vanguard's Global Wellesley Income and Global Wellington Funds in registration

What kind of experience does Wellington have in international investing? Vanguard's Equity Income, Wellesley and Wellington Fund are all managed by Wellington Management. For as long as I have owned these funds (about 18 years) they have contained varying allocations to international equities, prim...
by dkturner
Thu Oct 12, 2017 1:45 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Non-US Valuations Look Attractive
Replies: 73
Views: 6811

Re: Larry Swedroe: Non-US Valuations Look Attractive

I'm confused. Am I supposed to increase my non-us holdings based on this? Why didn't you tell me this in January before VXUS went up over 20% (vs VTI up 13) when it was 20% more attractive? If my ideal 50/50 US/Int AA goal was rebalanced in January, I'd be overweight non-US and rebalancing now woul...
by dkturner
Sun Oct 08, 2017 12:12 pm
Forum: Investing - Theory, News & General
Topic: VFITX, VBIIX or VBMFX for Swensen portfolio?
Replies: 5
Views: 576

Re: VFITX, VBIIX or VBMFX for Swensen portfolio?

It's also worth noting that the "Swensen Portfolio" recommends a relatively modest allocation (only 30%) to fixed income. As a general rule most academic oriented advisors recommend that the higher the equity allocation in a portfolio, the higher the QUALITY of the fixed income should be. This makes...
by dkturner
Thu Oct 05, 2017 5:13 am
Forum: Investing - Theory, News & General
Topic: Any advice on moving my company 401k?
Replies: 17
Views: 1527

Re: Any advice on moving my company 401k?

Thanks dkturner. That is the obvious thing to do. Talk to our provider about our fees. Sometimes challenging though, to find the time to chase down these details when our core business takes up so much time and attention. We're not talking about "details" here. We're talking about the big picture o...
by dkturner
Tue Oct 03, 2017 8:48 am
Forum: Investing - Theory, News & General
Topic: Any advice on moving my company 401k?
Replies: 17
Views: 1527

Re: Any advice on moving my company 401k?

BTW, in my 401k, T Rowe Price offers Vanguard index funds as some of their choices. Perhaps you could see if T Rowe Price would do this for you. Thank you Daytona084. That is exactly the reason I posted my question. The idea of keeping the plan at T Rowe would save us a lot of administrative work a...
by dkturner
Wed Sep 27, 2017 7:21 am
Forum: Investing - Theory, News & General
Topic: Endowment - Investment & Spending Policy
Replies: 7
Views: 875

Re: Endowment - Investment & Spending Policy

Deleted duplicate response.
by dkturner
Wed Sep 27, 2017 7:21 am
Forum: Investing - Theory, News & General
Topic: Endowment - Investment & Spending Policy
Replies: 7
Views: 875

Re: Endowment - Investment & Spending Policy

The Vanguard Group has a unit that deals directly with endowments and foundations. This unit can either (1) prepare a portfolio of Vanguard index funds, or a combination of index and active funds, which your organization can run with, or (2) will create and manage a portfolio of index or index and a...
by dkturner
Mon Sep 18, 2017 10:44 am
Forum: Investing - Theory, News & General
Topic: International Equity: Are managed funds better than Index funds?
Replies: 35
Views: 2294

Re: International Equity: Are managed funds better than Index funds?

M* does more than ratings which are useless. Morningstar ratings are not useless if used appropriately. Avoid funds with 1 and 2 star ratings. Indeed. You are right, I remember a study that showed that low star ratings did show persistence. However, frequently the reason why funds have 1 and 2-star...
by dkturner
Sat Sep 16, 2017 12:45 pm
Forum: Investing - Theory, News & General
Topic: Help! - How to improve small company 401k?
Replies: 19
Views: 1775

Re: Help! - How to improve small company 401k?

Wow, those ERs are really high, but what's worse, and the reason why they are so high, is R-2 funds contain a 0.75% 12b-1 fee (commission). That raises the question, is this plan really conforming to the new fiduciary standard? It's a terrible plan, and you have to wonder why it was selected. Is th...
by dkturner
Mon Sep 11, 2017 9:02 am
Forum: Investing - Theory, News & General
Topic: ownership of "small cap value" stocks
Replies: 50
Views: 3445

Re: ownership of "small cap value" stocks

This looks like a bubble also: 1 Apple Inc. 2 Microsoft Corp. 3 Alphabet Inc. 4 Amazon.com Inc. 5 Facebook Inc. That's the Top 5 holdings of Total Stock Market. And those five holdings comprise more than 10% of the total market capitalization of total stock market funds. All of the small-cap stocks...
by dkturner
Mon Sep 04, 2017 6:39 am
Forum: Personal Finance (Not Investing)
Topic: Jason Zweig's tax bomb example
Replies: 28
Views: 3692

Re: Jason Zweig's tax bomb example

No. Some, or most of that 22K was a return of his principle. He bought the shares just before the distribution, and thus received the distribution. However, he gets to pay the tax on that distribution even though he did not participate fully in the gains. The moral of this story is to pay attention...
by dkturner
Thu Aug 31, 2017 10:58 am
Forum: Investing - Theory, News & General
Topic: Value Factor Investing is not Value Investing
Replies: 126
Views: 9475

Re: Value Factor Investing is not Value Investing

Interesting discussion. I prefer the Vanguard Equity Income, Wellesley and Wellington funds for my immersion in "value" investing. Although classified as value funds, none of them are quantitatively driven, like the various value index funds, but historically they have managed to perform well in bot...
by dkturner
Thu Aug 24, 2017 11:30 am
Forum: Investing - Theory, News & General
Topic: Vanguard Announces Plans To Launch Total Corporate Bond ETF
Replies: 41
Views: 6305

Re: "more than 371 funds?"

Bogleheads: According to the Announcement: The firm, headquartered in Valley Forge, Pennsylvania, offers more than 371 funds . Can anyone explain why Vanguard offers so many funds? Best wishes Taylor When the Vanguard Group is approaching $5,000,000,000,000 in assets under management it has to adop...
by dkturner
Tue Aug 22, 2017 11:26 am
Forum: Investing - Theory, News & General
Topic: Vanguard Announces Plans To Launch Total Corporate Bond ETF
Replies: 41
Views: 6305

Re: "more than 371 funds?"

Bogleheads: According to the Announcement: The firm, headquartered in Valley Forge, Pennsylvania, offers more than 371 funds . Can anyone explain why Vanguard offers so many funds? Best wishes Taylor When the Vanguard Group is approaching $5,000,000,000,000 in assets under management it has to adop...
by dkturner
Sun Aug 20, 2017 12:55 pm
Forum: Investing - Theory, News & General
Topic: Plaintiffs win Tibble v Edison (re: lower fees in 401k's)
Replies: 3
Views: 856

Re: Plaintiffs win Tibble v Edison (re: lower fees in 401k's)

In my opinion, this is not a victory for lower fees in a retirement plan. The sponsor didn't lose this case because high-fee, actively managed funds were provided. They lost because the exact same funds they offered were available at a lower cost. Honestly, I don't know how this happens with a plan...
by dkturner
Wed Jun 14, 2017 11:08 am
Forum: Investing - Theory, News & General
Topic: Favorite Feature of Vanguard Website?
Replies: 67
Views: 6188

Re: Favorite Feature of Vanguard Website?

I like the Personal Performance screen, which gives the 1,3,5 and 10 year annualized returns of your portfolio and updates them each month. Since I like to tilt my portfolio in different directions from time to time I can accurately determine whether I'm making progress or just spinning my wheels. ...
by dkturner
Tue Jun 13, 2017 3:59 pm
Forum: Investing - Theory, News & General
Topic: Favorite Feature of Vanguard Website?
Replies: 67
Views: 6188

Re: Favorite Feature of Vanguard Website?

I like the Personal Performance screen, which gives the 1,3,5 and 10 year annualized returns of your portfolio and updates them each month. Since I like to tilt my portfolio in different directions from time to time I can accurately determine whether I'm making progress or just spinning my wheels.
by dkturner
Thu Jun 08, 2017 9:41 am
Forum: Investing - Theory, News & General
Topic: Retirees: What are you doing about withdrawing?
Replies: 31
Views: 4670

Re: Retirees: What are you doing about withdrawing?

We reinvest all of the dividend and interest from our taxable investments and withdraw our RMDs (net of income tax withholding) in early December and have the cash deposited in our taxable money market fund account. We estimate how much of the net RMD amount we will need for the following year to su...
by dkturner
Wed May 31, 2017 3:18 pm
Forum: Investing - Theory, News & General
Topic: "Effective July 20, 2017, Vanguard will impose a $10 wire fee on outgoing wire redemptions from nonretirement accounts."
Replies: 30
Views: 3738

Re: "Effective July 20, 2017, Vanguard will impose a $10 wire fee on outgoing wire redemptions from nonretirement accoun

I have a Vanguard Rollover IRA mutual fund account and a Vanguard Brokerage taxable account, which is the recipient of my annual RMDs. On day X my annual RMD is debited from my R/O IRA and sent to the sweep money market fund in my taxable Vanguard Brokerage account, where it arrives on X+2 business ...
by dkturner
Thu Apr 20, 2017 2:41 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe says "Goodbye."
Replies: 336
Views: 41916

Re: Larry Swedroe says "Goodby."

I'll very much miss reading Larry's informative postings on this website. I have been following Larry's comments since at least 1998 and owe much of our success to buying into the Fama/French factor theories Larry articulated so well over the years. Thanks again, Larry for all of the help you have p...
by dkturner
Wed Apr 19, 2017 2:46 pm
Forum: Investing - Theory, News & General
Topic: Bond fund Maturity vs Duration
Replies: 32
Views: 2778

Re: Bond fund Maturity vs Duration

Especially with mortgage related bonds, prepayment can be a significant contributor to the lower duration vs maturity. So that risk is already baked into the duration? Principal prepayments are baked into the duration number at current interest rates. When rates rise prepayments tend to slow down, ...
by dkturner
Wed Apr 19, 2017 11:20 am
Forum: Investing - Theory, News & General
Topic: Bond fund Maturity vs Duration
Replies: 32
Views: 2778

Re: Bond fund Maturity vs Duration

I think I know what maturity and duration are, but just to be sure: ⋅ Maturity: The time between a bond's issue date and the date its principle is paid back. ⋅ Duration: A complex calculation representing a bond's sensitivity to chnges in interest rates. I think it can be approx...
by dkturner
Tue Apr 18, 2017 3:53 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe on SPIVA Survey
Replies: 12
Views: 2269

Re: Larry Swedroe on SPIVA Survey

What percentage of index funds trail the returns of their benchmarks over the last 5, 10 and 15 years? Don't all of them, slightly, at least due to their ER? Presumably. Nobody seems to notice that while, say, 90% of actively managed funds underperform their indices nearly all index funds underperf...
by dkturner
Tue Apr 18, 2017 11:41 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe on SPIVA Survey
Replies: 12
Views: 2269

Re: Larry Swedroe on SPIVA Survey

What percentage of index funds trail the returns of their benchmarks over the last 5, 10 and 15 years?
by dkturner
Tue Mar 28, 2017 7:27 am
Forum: Investing - Theory, News & General
Topic: Bernstein's Skating Where Puck Was and Factor Investing
Replies: 11
Views: 1667

Re: Bernstein's Skating Where Puck Was and Factor Investing

On a related note, lately I have been wondering if anyone on this board goes out of their way to purchase funds/tilt their portfolio towards the asset classes that have recently performed poorly based on the Callan periodic table (see Wiki). A sort of RBY (really bad year) strategy. Following a poi...
by dkturner
Wed Mar 22, 2017 3:32 pm
Forum: Investing - Theory, News & General
Topic: What's your strategy for withdrawing funds in Retirement ?
Replies: 57
Views: 7375

Re: What's your strategy for withdrawing funds in Retirement ?

With respect to withdrawal AMOUNT we, like most retirees, spend what we actually need (as we see it, of course). Since we are now both subject to RMD requirements we make our required withdrawals at the end of the year, and spend what we need during the following year. Withdrawing a lump sum at the ...
by dkturner
Wed Mar 22, 2017 3:07 pm
Forum: Investing - Theory, News & General
Topic: Active Bond Funds Holding Their Own
Replies: 20
Views: 1854

Re: Active Bond Funds Holding Their Own

One huge difference between equity and bond index funds is that there is very low turnover in equity index funds but generally relatively high turnover in bond index funds. And the high turnover in bond index funds is that each day some bonds mature and have to be swapped out to purchase new issues...
by dkturner
Mon Mar 20, 2017 9:41 am
Forum: Investing - Theory, News & General
Topic: Harvard endowment beats S&P 500 by 2% a year over last 40 years
Replies: 50
Views: 6945

Re: Harvard endowment beats S&P 500 by 2% a year over last 40 years

The Harvard press release from 2014 says that the endowment had an "average annual return" of 12.3% over the past 40 years. See http://news.harvard.edu/gazette/story/2014/09/harvard-university-endowment-delivers-15-4-return-for-fiscal-year-2014/ . The average annual return of the S&P ...
by dkturner
Thu Mar 16, 2017 10:24 am
Forum: Investing - Theory, News & General
Topic: "Buffett's Bet"
Replies: 18
Views: 2745

Re: "Buffett's Bet"

Really all you need is the S&P 500 fund. Then perhaps throw in a bond fund during retirement if you need that. So why not just keep it boringly simple? But, I mean even I don't follow Warren's advice. I have 100% of my investments in Total Stock Market, not the S&P 500! The small cap effect...
by dkturner
Wed Mar 15, 2017 3:47 pm
Forum: Investing - Theory, News & General
Topic: Do many banks "secretly" have private deposit insurance covering excess above $250,000?
Replies: 51
Views: 6449

Re: Do many banks "secretly" have private deposit insurance covering excess above $250,000?

Nisi, there are numerous banks around the country that participate in an arrangement that uses the acronym CDARS (Certificate of Deposit Account Registry Service). CDARS participating banks open a single certificate of deposit account with CDARS, which takes large deposits from a customer and places...
by dkturner
Sun Mar 12, 2017 6:15 pm
Forum: Investing - Theory, News & General
Topic: What do you expect to achieve with your Tilt?
Replies: 85
Views: 7143

Re: What do you expect to achieve with your Tilt?

All of the comments on the unavailability of pre 1993 returns to the average retail investor, and the high expenses of executing purchases and sales of value stocks prior to 1970, or some other date, are irrelevant. I would question that statement. In addition to the mechanics of actually buying an...
by dkturner
Sun Mar 12, 2017 12:47 pm
Forum: Investing - Theory, News & General
Topic: What do you expect to achieve with your Tilt?
Replies: 85
Views: 7143

Re: What do you expect to achieve with your Tilt?

...Over the last 47 years, portfolios with my tilt toward MCV, SCB, and SCV have earned about 2.4% over the TSM... A nit-pick, but not a completely trivial nit-pick. I don't believe anyone actually used a portfolio like that over the last 47 years, because the terms, theory, and concepts behind the...
by dkturner
Sat Mar 11, 2017 9:03 am
Forum: Investing - Theory, News & General
Topic: Every 40-yr returns curve of the S&P500 since 1870 graphed
Replies: 40
Views: 4658

Re: Every 40-yr returns curve of the S&P500 since 1870 graphed

The first month is January 1871 That is a huge number of 40-year periods! Everything that could possibly happen has probably happened in at least one of those periods. I submit that anything that happens in the future will just be a repeat of one of the 1272 previous 40-year periods. Everything you...
by dkturner
Thu Mar 09, 2017 8:07 am
Forum: Investing - Theory, News & General
Topic: Sitting on cash....Waiting for a crash
Replies: 149
Views: 22309

Re: Sitting on cash....Waiting for a crash

I'm in my late 30's and have at least 15-20 years until I retire. I'm considering putting any new investment money into my savings account for the next 3-5 years until I see some kind of dip in the market. With an asset allocation "plan" like yours you might want to consider working anoth...
by dkturner
Sat Mar 04, 2017 1:52 pm
Forum: Investing - Theory, News & General
Topic: How many 10-Year Samples are there?
Replies: 21
Views: 1871

Re: How many 10-Year Samples are there?

Nate79 wrote:Why does everyone think in calendar years (Jan-Dec) and not 12 month periods?


Probably because the historical data available to the average amateur investor is based on calendar years.
by dkturner
Sat Mar 04, 2017 1:46 pm
Forum: Investing - Theory, News & General
Topic: How many 10-Year Samples are there?
Replies: 21
Views: 1871

Re: How many 10-Year Samples are there?

Just to be clear: the Shiller data, and any dataset going back "to 1871," is almost certainly based on the Cowles Commission data, Common-Stock Indexes, 1871-1937 . The book can be downloaded at no cost at m and I haven't explored this at all, but data from the book appears to be availabl...
by dkturner
Tue Feb 28, 2017 8:19 am
Forum: Investing - Theory, News & General
Topic: "2016 Brings Perfect Weather for [Liability Matching Portfolio]
Replies: 10
Views: 1433

Re: "2016 Brings Perfect Weather for [Liability Matching Portfolio]

grok87 wrote:...
http://www.plansponsor.com/MagazineArti ... 6442522166
...
See figure 1.
Time to sell some stocks and start building that 30 year tips ladder?


What would be the expected total return of a 30 year TIPS ladder compared to a 5 year nominal Treasuries ladder?
by dkturner
Sat Feb 25, 2017 9:57 am
Forum: Investing - Theory, News & General
Topic: Buffett Annual Letter 2016 [Jack Bogle is a hero]
Replies: 69
Views: 6699

Re: Buffett Annual Letter 2016

By far the best critique of hedge funds I have ever read. :beer
by dkturner
Sun Feb 19, 2017 10:41 am
Forum: Investing - Theory, News & General
Topic: Bonds Are Riskier Than You Think? Article implications for today?
Replies: 60
Views: 5890

Re: Bonds Are Riskier Than You Think? Article implications for today?

In that passage, Buffett's failure to mention TIPS, even briefly in an aside, makes it suspect. That failure to even mention TIPS is something I see a lot, not just from Buffett, and frankly I think people leave it out because it complicates the simplistic story they want to present. If high inflat...
by dkturner
Sat Feb 18, 2017 12:21 pm
Forum: Investing - Theory, News & General
Topic: Bonds Are Riskier Than You Think? Article implications for today?
Replies: 60
Views: 5890

Re: Bonds Are Riskier Than You Think? Article implications for today?

What is the alternative? Between 1941 and 1981 Treasury bills provided annualized, inflation adjusted, returns of -1.2%. Five year Treasuries -1.4%. Ten year Treasuries -2.3%. Looks like even very short-term fixed income could be a losing strategy. What about equities? Between 1941 and 1981 the S&a...
by dkturner
Wed Feb 15, 2017 4:06 pm
Forum: Investing - Theory, News & General
Topic: C corp investment strategy
Replies: 11
Views: 984

Re: C corp investment strategy

I can't speak to C-corp taxation strategies, but I would be sleepless with so much riding on one company They own a business. The big Apple position is like a very successful division. Why would business people stay up nights worrying about the possibility of a successful division of their company ...
by dkturner
Wed Feb 15, 2017 3:46 pm
Forum: Investing - Theory, News & General
Topic: Does Micheal Kitces Rising Retirement Glidepath Still have legs
Replies: 47
Views: 4519

Re: Does Micheal Kitces Rising Retirement Glidepath Still have legs

Despite generous pensions that are more than enough for our lifestyle, plus the fact we can/do reinvest our end of year RMD's; we have lowered our Glidepath from a conservative 60/40 to the current 40/60 AA model. (Which is considered a bit high in stocks for our ages, mid 70's, but feels ok for us...
by dkturner
Tue Feb 14, 2017 9:11 am
Forum: Investing - Theory, News & General
Topic: Please list value funds you currently use
Replies: 62
Views: 6026

Re: Please list value funds you currently use

For U.S. Equity VEIRX and VWIAX. No value tilts for international equity.
by dkturner
Tue Feb 14, 2017 8:51 am
Forum: Investing - Theory, News & General
Topic: What is the prediction of future long-term returns for your portfolio?
Replies: 63
Views: 5863

Re: What is the prediction of future long-term returns for your portfolio?

People lost a lot of money in the past 10 years (relative to S&P 500) by betting on international stocks. Most foreign currencies have been quite weak vs. the U.S.$ lately. The combination of lower valuation metrics of international equities coupled with lower priced foreign currencies has hist...
by dkturner
Mon Feb 13, 2017 4:05 pm
Forum: Investing - Theory, News & General
Topic: What is the prediction of future long-term returns for your portfolio?
Replies: 63
Views: 5863

Re: What is the prediction of future long-term returns for your portfolio?

To put it mildly, it's pretty difficult to predict the future long-term returns of my portfolio. I'll try an settle for something a little easier. I'm content to try and estimate the relative returns of different asset classes over the next decade. Sometimes this is very difficult and at other times...
by dkturner
Mon Feb 13, 2017 11:16 am
Forum: Investing - Theory, News & General
Topic: A Wellesley alternative
Replies: 93
Views: 9256

Re: A Wellesley alternative

It would seem that there's nothing magic about indexing one's portfolio. The real magic of the superior investment performance of the W&W siblings is quality management coupled with rock bottom management fees. Does this mean that one expects a return premium from taking manager risk? I believe...
by dkturner
Mon Feb 13, 2017 9:07 am
Forum: Investing - Theory, News & General
Topic: A Wellesley alternative
Replies: 93
Views: 9256

Re: A Wellesley alternative

It would seem that there's nothing magic about indexing one's portfolio. The real magic of the superior investment performance of the W&W siblings is quality management coupled with rock bottom management fees. Does this mean that one expects a return premium from taking manager risk? I believe...
by dkturner
Sat Feb 11, 2017 1:24 pm
Forum: Investing - Theory, News & General
Topic: A Wellesley alternative
Replies: 93
Views: 9256

Re: A Wellesley alternative

What is so fascinating about Wellesley is that it goes against Bogleheads philosophy on almost every level. Managed Too few stocks and they are not diversified Way too many corp bonds. Yet somehow one of the greatest funds of all time. And, Wellington as well? thoughts? j It would seem that there's...
by dkturner
Fri Feb 10, 2017 3:51 pm
Forum: Investing - Theory, News & General
Topic: Total Bond is safe. Is it prudent?
Replies: 39
Views: 4441

Re: Total Bond Market Index Fund?

Bogleheads: In his Little Book of Common Sense Investing Mr. Bogle recommends a 2-fund portfolio: Total Stock Market and Total Bond Market. Investors seem to agree. Each is now the largest stock and bond mutual fund in the world. There is more than one road to Dublin. Best wishes. Taylor That's the...
by dkturner
Wed Feb 08, 2017 2:05 pm
Forum: Investing - Theory, News & General
Topic: A Wellesley alternative
Replies: 93
Views: 9256

Re: A Wellesley alternative

It's also possible to replicate the Wellesley portfolio with a combination of 35-40% Vanguard Equity Income Fund and 60-65% Vanguard Intermediate-Term Investment Grade Fund. The bond fund will have a shorter duration, which may be a plus since we likely have seen the end of the 35 year bond bull mar...