Search found 2559 matches

by am
Thu Jun 14, 2018 5:31 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Municipal Money Market VMSXX 1.39%
Replies: 155
Views: 15421

Re: Vangaurd Municipal Money Market VMSXX 1.39%

Could it be that investors pile into muni mm when TEY is higher than prime mm (like me) and the demand drives the yield down? When investors (like me) realize that it is not the case and go back to prime mm, than the yield on muni mm go up and the cycle repeats? But then why would there be quarterl...
by am
Thu Jun 14, 2018 3:31 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Municipal Money Market VMSXX 1.39%
Replies: 155
Views: 15421

Re: Vangaurd Municipal Money Market VMSXX 1.39%

Here's an updated graph of Prime vs Muni yields with numbers as of today. https://i.imgur.com/d3wpnuA.png As others have already mentioned, Muni is on the upswing, but there's quite a bit to catch up on. Also, it's kind of surprising (?) how far below Prime the Muni yields fell this time (that even...
by am
Tue Jun 12, 2018 6:17 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Municipal Money Market VMSXX 1.39%
Replies: 155
Views: 15421

Re: Vangaurd Municipal Money Market VMSXX 1.39%

[Edited to add: Although, the muni money market yields have been the same for 4 straight trading days, so perhaps that represents a local minimum and the beginning of the next up-swing has started! lol. ] CA muni MM actually ticked up one basis point yesterday. It was 43 days from the previous peak...
by am
Tue Jun 12, 2018 9:15 am
Forum: Investing - Help with Personal Investments
Topic: Thinking of getting out of muni mm
Replies: 1
Views: 247

Thinking of getting out of muni mm

The yield has been falling and now at 1.03% which is TEY of 1.74% for me in my state. It’s been dropping in yield like a rock from about 1.55 recently. While prime mm has been going up to 1.95%. Not sure what to expect from the muni money market. Is it going to go up next week, fall further regardle...
by am
Mon Jun 11, 2018 9:48 pm
Forum: Investing - Help with Personal Investments
Topic: Who uses the 3 fund portfolio ?
Replies: 75
Views: 9372

Re: Who uses the 3 fund portfolio ?

I have a 3 funder. I know I could probably do better with a tilted portfolio with alternate funds described in Larrry’s latest book. But I think it’s good enough for me and my wife who could care less about investing. I don’t have to be patient or have regret about tracking error. I don’t have to ke...
by am
Sat Jun 02, 2018 7:28 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Municipal Money Market VMSXX 1.39%
Replies: 155
Views: 15421

Re: Vangaurd Municipal Money Market VMSXX 1.39%

I thought it would be interesting to compare Prime MM and Muni MM the last time rates generally rose for a sustained period. Here is the chart for the SEC yields for 2005-2006 (inclusive): https://s26.postimg.cc/6e4083gxl/Prime_Muni_MM2005-2006.png We still see much more volatility in the muni MM y...
by am
Wed May 30, 2018 5:42 pm
Forum: Personal Finance (Not Investing)
Topic: Investing emergency fund question
Replies: 5
Views: 631

Investing emergency fund question

I have always thought about investing my emergency fund with tolerance of max 10-15% loss. At high bracket, would it be better to invest in in something like high yield tax exempt muni which had a 10% loss in 2008 with sec yield of 3.23% (TEY 5.45%) or something like 20-30% index funds and rest in i...
by am
Wed May 30, 2018 3:28 pm
Forum: Personal Finance (Not Investing)
Topic: Muni mm keeps dropping in yield, thinking of switching
Replies: 5
Views: 1593

Re: Muni mm keeps dropping in yield, thinking of switching

Muni mm yield at vanguard down to 1.15% :(

Now there’s almost no advantage for me when compared to prime mm at my bracket of 32%. Thinking of switching to short to Limited term muni?.
by am
Sun May 27, 2018 8:04 am
Forum: Personal Finance (Not Investing)
Topic: Muni mm keeps dropping in yield, thinking of switching
Replies: 5
Views: 1593

Re: Muni mm keeps dropping in yield, thinking of switching

The problem with bonds is that stability of income is inversely correlated with stability of principal. (i.e. A long-term bond will guarantee a certain level of income for decades, but its market value will fluctuate greatly with changes in interest rates. A short-term bond's market value will be r...
by am
Sat May 26, 2018 4:01 pm
Forum: Personal Finance (Not Investing)
Topic: Insight Card (APY 5%) full personal review
Replies: 47
Views: 5076

Re: Insight Card (APY 5%) full personal review

Anyone know how to cancel the account? Currently liquidated and don't want to come back in a few years to a negative balance and a bunch of fees. Do you know for sure that existing account holders will be discontinued as well? As far as closing, calling would be a sure bet. I have not seen firm con...
by am
Sat May 26, 2018 4:00 pm
Forum: Personal Finance (Not Investing)
Topic: Muni mm keeps dropping in yield, thinking of switching
Replies: 5
Views: 1593

Muni mm keeps dropping in yield, thinking of switching

So now we’re at 1.22 sec yield which is TEY for me of 2.06% fast approaching the prime mm (use https://funds.eatonvance.com/tax-equivalent-yield-calculator.php). Interesting how any free lunches in investing go away quickly. First got the muni mm at sec yield of 1.55 and it’s been falling without en...
by am
Sat May 26, 2018 3:49 pm
Forum: Personal Finance (Not Investing)
Topic: Insight Card (APY 5%) full personal review
Replies: 47
Views: 5076

Re: Insight Card (APY 5%) full personal review

MotoTrojan wrote:
Sat May 26, 2018 3:29 pm
Anyone know how to cancel the account? Currently liquidated and don't want to come back in a few years to a negative balance and a bunch of fees.
Do you know for sure that existing account holders will be discontinued as well? As far as closing, calling would be a sure bet.
by am
Sun May 20, 2018 10:54 am
Forum: Personal Finance (Not Investing)
Topic: Allocation and reaching retirement goal yrs before retirement
Replies: 4
Views: 430

Re: Allocation and reaching retirement goal yrs before retirement

Not really what you asked, and if you don't want to retire even though you could that's totally fine, but if the only thing stopping you is that you can't get the money out penalty free, do realize that there are ways around that. I don’t want to retire in my mid to late 40s on the bare minimum and...
by am
Sun May 20, 2018 9:15 am
Forum: Personal Finance (Not Investing)
Topic: Allocation and reaching retirement goal yrs before retirement
Replies: 4
Views: 430

Allocation and reaching retirement goal yrs before retirement

I’m probably 3-4 yrs away from reaching low range portfolio retirement goal but probably many more (10+) yrs before fully retiring. What I mean is that with 4% swr, pension and SS I will be at low range goal but not nearly old enough (mid 40s) to withdraw money from most of those sources. I’m wonder...
by am
Sun May 20, 2018 9:06 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard Municipal Money Market VMSXX 1.39%
Replies: 155
Views: 15421

Re: Vangaurd Municipal Money Market VMSXX 1.39%

Do you know if sec yield of short term muni is more stable than muni money market? I switched to muni mm at sec yield of 1.55 and now its 1.33 and dropping I do not know. The yield for the Prime Money Market fund has been increasing and is presently 1.86%. Tax equivalent yield of muni mm is 2.24% a...
by am
Sun May 20, 2018 8:46 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard Municipal Money Market VMSXX 1.39%
Replies: 155
Views: 15421

Re: Vangaurd Municipal Money Market VMSXX 1.39%

How about the Vang. Short term muni fund as a replacement for the money market at high brackets? The yield for short term muni is 1.76% and the price has fluctuated about 1% over the year. There’s also no frequent trading restriction as far as I know. You could do this however this would involve a ...
by am
Sat May 19, 2018 7:13 pm
Forum: Investing - Help with Personal Investments
Topic: International -- VXUS or slice and dice?
Replies: 14
Views: 1386

Re: International -- VXUS or slice and dice?

Vxus- total international is more than enough.
by am
Sat May 19, 2018 7:00 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Municipal Money Market VMSXX 1.39%
Replies: 155
Views: 15421

Re: Vangaurd Municipal Money Market VMSXX 1.39%

How about the Vang. Short term muni fund as a replacement for the money market at high brackets? The yield for short term muni is 1.76% and the price has fluctuated about 1% over the year. There’s also no frequent trading restriction as far as I know.
by am
Sat May 19, 2018 3:08 pm
Forum: Personal Finance (Not Investing)
Topic: Insight Card (APY 5%) full personal review
Replies: 47
Views: 5076

Re: Insight Card (APY 5%) full personal review

Just as a FYI since there are some conflicting reporting here, the 5% you earn is ONLY on the $5000. Any interest that you earn will stay in the $5000 saving account, but WILL NOT earn 5% interest on top. There is a reddit post that assure that the interest stays there earn interest. Some people di...
by am
Sat May 19, 2018 3:03 pm
Forum: Investing - Theory, News & General
Topic: "Why 97% of People Don't Use 529 College Savings Plans."
Replies: 262
Views: 48418

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

i don't understand why 529 threads always end up being so long. if you can max out your 401k, that alone puts you in the top 90th percentile of americans. add in maxing the IRA, probably bumps your into 95th percentile. add in maxing a HSA (stealth IRA) and yep, you're 97th percentile now. so if yo...
by am
Sun May 13, 2018 2:29 pm
Forum: Investing - Theory, News & General
Topic: Muni bondholders vs. pensions
Replies: 50
Views: 3161

Re: Muni bondholders vs. pensions

Be careful about taking comfort in diversification. Underfunded pensions are not isolated to just a few issuers. It's a very widespread issue with varying degrees of severity. I don't know what's going to happen, but I would be far more concerned about a big wave of defaults than a few isolated def...
by am
Sun May 13, 2018 10:22 am
Forum: Personal Finance (Not Investing)
Topic: Does it make sense to rent as a retiree?
Replies: 83
Views: 8955

Re: Does it make sense to rent as a retiree?

How about renting a small house as a compromise? The best of both worlds?
by am
Sat May 12, 2018 11:02 pm
Forum: Investing - Theory, News & General
Topic: Muni bondholders vs. pensions
Replies: 50
Views: 3161

Re: Muni bondholders vs. pensions

Of all the bonds in the portfolio of VWITX, a total of 19.6% of the bonds are the nine states on Swedroe's "no buy" list. Illinois alone represents 6.4% of all the bonds in the portfolio. Puerto Rico ( not on Swedroe's list ) represents 0.1%. (Taken from the annual report of Oct, 2017.) I respect L...
by am
Sat May 12, 2018 10:41 pm
Forum: Investing - Theory, News & General
Topic: Muni bondholders vs. pensions
Replies: 50
Views: 3161

Re: Muni bondholders vs. pensions

Of all the bonds in the portfolio of VWITX, a total of 19.6% of the bonds are the nine states on Swedroe's "no buy" list. Illinois alone represents 6.4% of all the bonds in the portfolio. Puerto Rico ( not on Swedroe's list ) represents 0.1%. (Taken from the annual report of Oct, 2017.) I respect L...
by am
Sat May 12, 2018 9:07 pm
Forum: Investing - Theory, News & General
Topic: Muni bondholders vs. pensions
Replies: 50
Views: 3161

Re: Muni bondholders vs. pensions

Of all the bonds in the portfolio of VWITX, a total of 19.6% of the bonds are the nine states on Swedroe's "no buy" list. Illinois alone represents 6.4% of all the bonds in the portfolio. Puerto Rico ( not on Swedroe's list ) represents 0.1%. (Taken from the annual report of Oct, 2017.) I respect L...
by am
Sat May 12, 2018 4:53 pm
Forum: Investing - Theory, News & General
Topic: Muni bondholders vs. pensions
Replies: 50
Views: 3161

Re: Muni bondholders vs. pensions

I give up ... this one has a lot of Illinois bonds also. It's current yield, and past performance are way worse than Vanguard's fund. First, you aren't going to get a lower risk fund with the same yield. You have to decide which is more important. Second, you might want to look at the Illinois bond...
by am
Sat May 12, 2018 4:45 pm
Forum: Investing - Theory, News & General
Topic: Muni bondholders vs. pensions
Replies: 50
Views: 3161

Re: Muni bondholders vs. pensions

Baird fund as of March 31st has exposure to Puerto Rico bonds. I thought this was supposed to be the best quality muni fund out there? Mostly aaa, and aa? Illinois and Puerto Rico don’t mix? Edited. I think you have the wrong fund. It’s bmbix. I give up ... this one has a lot of Illinois bonds also...
by am
Sat May 12, 2018 4:32 pm
Forum: Investing - Theory, News & General
Topic: Muni bondholders vs. pensions
Replies: 50
Views: 3161

Re: Muni bondholders vs. pensions

Grt2bOutdoors wrote:
Sat May 12, 2018 4:30 pm
Baird fund as of March 31st has exposure to Puerto Rico bonds.
I thought this was supposed to be the best quality muni fund out there? Mostly aaa, and aa? Illinois and Puerto Rico don’t mix?


Edited. I think you have the wrong fund. It’s bmbix.
by am
Sat May 12, 2018 4:22 pm
Forum: Investing - Theory, News & General
Topic: Muni bondholders vs. pensions
Replies: 50
Views: 3161

Re: Muni bondholders vs. pensions

I don't know that this is fear mongering. I think pensions have already caused defaults ... the Detroit default was at least partially caused by pension obligations. Detroit was in big trouble without the pension issues. So what if there are some defaults? It’ll be a short term shock. The thousands...
by am
Sat May 12, 2018 3:15 pm
Forum: Investing - Theory, News & General
Topic: Muni bondholders vs. pensions
Replies: 50
Views: 3161

Re: Muni bondholders vs. pensions

randomizer wrote:
Sat May 12, 2018 3:12 pm
This worries me but I don’t think the sky will fall this year at least. I’ll worry more as the years go by. Time to switch to 100% stock?
The sky falling in the int. Muni bond fund will mean a 10% loss :D But the yields will go higher so you’ll get your money back eventually.
by am
Sat May 12, 2018 3:08 pm
Forum: Investing - Theory, News & General
Topic: Muni bondholders vs. pensions
Replies: 50
Views: 3161

Re: Muni bondholders vs. pensions

It's the type of bonds that matter. Let's say the Illinois courts assign pensions as having the highest protections, the next tier of protections will be assigned to essential services. Owning municipal issues that facilitate those essential services are likely to get more protection than say a sta...
by am
Sat May 12, 2018 2:40 pm
Forum: Investing - Theory, News & General
Topic: Muni Money Market funds starting to look good!
Replies: 139
Views: 24622

Re: Muni Money Market funds starting to look good!

Tax equivalent yield at 32% bracket for Vang muni mm is 2.36% for my state. Still can’t beat that with any money markets or savings am aware of. I’ll stay the course with the muni mm. We’re talking trivial amounts in dollar difference. Here's an updated chart of various bond funds. Lines represent ...
by am
Sat May 12, 2018 2:38 pm
Forum: Investing - Theory, News & General
Topic: Muni bondholders vs. pensions
Replies: 50
Views: 3161

Re: Muni bondholders vs. pensions

This link has a list of percentages of the various Vanguard bond funds and their state muni holding by percentage: https://www.vanguard.com/pdf/ASBST_012018.pdf For example, the Intermediate Term fund has 6.52% of it's assets in Illinois bonds .... It's the type of bonds that matter. Let's say the ...
by am
Sat May 12, 2018 1:08 pm
Forum: Investing - Theory, News & General
Topic: Muni bondholders vs. pensions
Replies: 50
Views: 3161

Re: Muni bondholders vs. pensions

This link has a list of percentages of the various Vanguard bond funds and their state muni holding by percentage: https://www.vanguard.com/pdf/ASBST_012018.pdf For example, the Intermediate Term fund has 6.52% of it's assets in Illinois bonds .... It's the type of bonds that matter. Let's say the ...
by am
Sat May 12, 2018 1:04 pm
Forum: Investing - Theory, News & General
Topic: Muni Money Market funds starting to look good!
Replies: 139
Views: 24622

Re: Muni Money Market funds starting to look good!

Tax equivalent yield at 32% bracket for Vang muni mm is 2.36% for my state. Still can’t beat that with any money markets or savings am aware of. I’ll stay the course with the muni mm. We’re talking trivial amounts in dollar difference.
by am
Sat May 12, 2018 11:16 am
Forum: Personal Finance (Not Investing)
Topic: Retire Internationally for FIRE
Replies: 78
Views: 9251

Re: Retire Internationally for FIRE

What is the advantage of Fire abroad? Why not just do it somewhere low cost here? Seems like culture shocks, language, lack of social support would remove any advantages?
by am
Fri May 11, 2018 9:36 pm
Forum: Investing - Theory, News & General
Topic: Muni bondholders vs. pensions
Replies: 50
Views: 3161

Re: Muni bondholders vs. pensions

When will this doomsday come? Will it be the next financial crisis, bear market, 15 yrs from now? I’ve been hearing this for years and have a small pension in Illinois coming. So far so good. Illinos making their contributions, new workers getting screwed with Tier 2 benefits, and the cash value of ...
by am
Fri May 11, 2018 9:31 pm
Forum: Investing - Theory, News & General
Topic: Muni bondholders vs. pensions
Replies: 50
Views: 3161

Re: Muni bondholders vs. pensions

Illinois is fairly unique in terms of the broad constitutional protection offered to public employee pensions. That protection does not exist in most states. That said, the numbers don't really add up for states ever meeting their pension obligations. I've been gradually reducing my muni bond alloc...
by am
Sun May 06, 2018 12:45 pm
Forum: Personal Finance (Not Investing)
Topic: Does it make sense to rent as a retiree?
Replies: 83
Views: 8955

Re: Does it make sense to rent as a retiree?

After reading through this thread, biggest downsides for me are possibility of rents going up significantly, for which I say that taxes, insurance, upkeep has also been going up and may price me out of my fixed retiree budget. Noisy annoying neighbors which I have right now but don’t have to share w...
by am
Sun May 06, 2018 11:00 am
Forum: Personal Finance (Not Investing)
Topic: Does it make sense to rent as a retiree?
Replies: 83
Views: 8955

Re: Does it make sense to rent as a retiree?

In addition to aggravation like the above, most people do not consider renting as nice a place to live in as they would for purchase. People sometimes say, well I can sell my 500K house and rent this house in another place that rents for only 1K/month ... look at the savings! But that 1K/month plac...
by am
Sat May 05, 2018 9:18 pm
Forum: Personal Finance (Not Investing)
Topic: Chase Sapphire Reserve possible changes
Replies: 14
Views: 1225

Re: Chase Sapphire Reserve possible changes

Anyone know cards that offer travel cancellation insurance of say 5k per person with 10-20k limit per trip without any fees and good rewards on dining and travel?
by am
Sat May 05, 2018 9:16 pm
Forum: Personal Finance (Not Investing)
Topic: Chase Sapphire Reserve possible changes
Replies: 14
Views: 1225

Re: Chase Sapphire Reserve possible changes

Can 2 adults and 3 kids access the lounge with one reserve card? I think this depends on the specific lounges. I assume that it depends on the kids' ages. If the kids are very small, it may be ok. If the kids are 16, then I doubt that it will work. This may be helpful. https://www.flyertalk.com/for...
by am
Sat May 05, 2018 8:51 pm
Forum: Personal Finance (Not Investing)
Topic: Chase Sapphire Reserve possible changes
Replies: 14
Views: 1225

Re: Chase Sapphire Reserve possible changes

Can 2 adults and 3 kids access the lounge with one reserve card?
by am
Sat May 05, 2018 3:19 pm
Forum: Personal Finance (Not Investing)
Topic: Does it make sense to rent as a retiree?
Replies: 83
Views: 8955

Re: Does it make sense to rent as a retiree?

Not sure why the OP mentioned how much rent s/he could get for current home in the post. If the plan is to sell the current home, than it does not matter. We are semi-retired and not interested in downsizing or sharing walks with neighbors, and our home is affordable. So while we might buy another ...
by am
Sat May 05, 2018 3:16 pm
Forum: Personal Finance (Not Investing)
Topic: Does it make sense to rent as a retiree?
Replies: 83
Views: 8955

Re: Does it make sense to rent as a retiree?

Depending on the state, there are various levels of protection against creditors for your primary residence. Protecting your liquid assets after a sale of your residence is possible, but kind of a pain. Umbrella policy? If your not practicing medicine or something similarly risky, don’t see how tha...
by am
Sat May 05, 2018 1:23 pm
Forum: Personal Finance (Not Investing)
Topic: Does it make sense to rent as a retiree?
Replies: 83
Views: 8955

Re: Does it make sense to rent as a retiree?

Real estate is a liability, that can also be an investment... but there are other investment options one can choose. For most people buying real estate is more of consumption decision. In some situations, for some people, it makes sense, and in others it doesn't. I think a house is a consumption it...
by am
Sat May 05, 2018 1:12 pm
Forum: Personal Finance (Not Investing)
Topic: Physician Retirement Savings
Replies: 312
Views: 65553

Re: Physician Retirement Savings

Okay right when I start understanding some folk mentality then a post like this comes up that makes NO sense. So you want to have 6+ millinon in your 70's for what reason? Do you think you are going to live to 100? That is unlikely to happen so you will be working into your 70's presumably to save ...
by am
Fri May 04, 2018 9:44 pm
Forum: Personal Finance (Not Investing)
Topic: Does it make sense to rent as a retiree?
Replies: 83
Views: 8955

Re: Does it make sense to rent as a retiree?

It is a good question and I ponder it myself. I am about 4 years from retirement and have been renting for the last 3 years or so because of uncertainty about how much longer I will be n the area. In my area, buying is a better deal than renting. I am planning to buy a modest condo when I am retire...
by am
Fri May 04, 2018 7:38 pm
Forum: Personal Finance (Not Investing)
Topic: Does it make sense to rent as a retiree?
Replies: 83
Views: 8955

Does it make sense to rent as a retiree?

Seems like renting would allow for more flexibility, better control of expenses (no surprise expenses) and lower expenses when you live in pricey areas with high taxes and assessments for condos. Additionally, you could sell your house and have a larger portfolio. Selling my house would yield about ...
by am
Thu May 03, 2018 5:15 pm
Forum: Investing - Theory, News & General
Topic: Retirees Never Had It Better
Replies: 31
Views: 5123

Re: Retirees Never Had It Better

Is average wealth of retirees really 752k? Seems high based on other surveys. Maybe the median is more of what I am used to seeing.