Search found 170 matches

by George-J
Sun Oct 12, 2014 9:14 am
Forum: Investing - Theory, News & General
Topic: Does US Vanguard require a profif via non-US Vanguards?
Replies: 1
Views: 403

Re: Does US Vanguard require a profif via non-US Vanguards?

Just to add a bit to my first post above At FWF here I posted the following this morning - I think it was about 20 years ago - 1993 or 1994 - that I "discovered" Vanguard funds in the US while trying to save my meager income in Canada (I was in the US from 1961 to 1971) - and managed to jo...
by George-J
Sun Oct 12, 2014 8:53 am
Forum: Investing - Theory, News & General
Topic: Does US Vanguard require a profif via non-US Vanguards?
Replies: 1
Views: 403

Does US Vanguard require a profif via non-US Vanguards?

Can anyone help on this? Is there a VG bylaw that is described below? Here in Canada the following arose - ... But in the early '90s a Vanguard executive -- Jack Brennan, IIRC -- told a Toronto conference that VG's bylaws require foreign subsidiaries to generate profits for the parent. That said, I ...
by George-J
Sat Oct 11, 2014 7:24 am
Forum: Investing - Theory, News & General
Topic: is anything 'cheap' out there?
Replies: 82
Views: 14575

Re: is anything 'cheap' out there?

Unless investors want to seek out cheaper, exceptionally risky assets (Russian equities, oil service stocks, etc.), today's high asset values all across the board point to lower expected portfolio returns for at least the next decade — and perhaps beyond. Whether planning for retirement or in retir...
by George-J
Thu Oct 09, 2014 10:00 am
Forum: Investing - Theory, News & General
Topic: Vanguard in Canada again reduces ETF fees
Replies: 3
Views: 437

Re: Vanguard in Canada again reduces ETF fees

gkaplan wrote:http://www.bogleheads.org/forum/viewtopic.php?f=10&t=148440&p=2217229&hilit=Canad*#p2217229

Thanks gkaplan. My oversight, sorry - :oops:
by George-J
Thu Oct 09, 2014 7:29 am
Forum: Investing - Theory, News & General
Topic: Vanguard in Canada again reduces ETF fees
Replies: 3
Views: 437

Vanguard in Canada again reduces ETF fees

Good news here in Canada - Vanguard shows commitment to low-cost investing by announcing lower fees on 11 ETFs Trust and hope they will do well in the long run - "This lowers the firm’s asset-weighted average management fee to 0.14% from 0.19%." Canadian Couch Potato also wrote about the c...
by George-J
Tue Sep 30, 2014 6:22 am
Forum: Personal Finance (Not Investing)
Topic: How can I stop feeling depressed about my finances?
Replies: 130
Views: 19190

Re: How can I stop feeling depressed about my finances?

Hi Semiotic: You are receiving a lot of very good advice here. So maybe the following does not add much for you - but it may. I too am a Canadian. Today I am 74 - in Toronto and retired - but back in 1961 at age 21, just out with BA from Mount Allison I had a job with IBM. Excellent job with good sa...
by George-J
Sun Sep 28, 2014 9:20 am
Forum: Investing - Theory, News & General
Topic: what is risk?
Replies: 116
Views: 6701

Re: what is risk?

I understand that bogleheads are not necessarily in complete agreement with the efficient market hypothesis, however, I believe it is safe to say that we for the most part, accept it. However, I am having a hard time understanding why volatility is considered the determining factor of risk. Almost ...
by George-J
Sat Sep 20, 2014 3:30 pm
Forum: Investing - Theory, News & General
Topic: Jack Bogle at Senate Finance on Sept 16, 2014
Replies: 0
Views: 530

Jack Bogle at Senate Finance on Sept 16, 2014

Don't think this has been posted here yet -
but a few days ago John C. Bogle made a 6 minute presentation to the Senate Finance Committee
see http://johncbogle.com/wordpress/
Again a fine presentation. Thank you once more Jack.
by George-J
Sat Jul 12, 2014 9:29 am
Forum: Investing - Theory, News & General
Topic: The Three-Fund Portfolio
Replies: 1842
Views: 1104438

Re: The Three Fund Portfolio

Two quick points
First again much thanks to Taylor Larimore. All the best to you
And I just posted a reference to this thread at FWF in Canada - Vanguard-Canada-ETF => Overview and Primer
by George-J
Sat Jun 28, 2014 7:45 pm
Forum: Investing - Theory, News & General
Topic: Better than index funds: Buy a conglomerate’s stock
Replies: 27
Views: 4481

Re: Better than index funds: Buy a conglomerate’s stock

Nisiprius: Thank you for your words - much appreciated and I will try and contribute a bit. Please know that I am not a market expert and these days have limited time and energy. "Keep it simple is my rule" You mention "General Electric". Linda inherited our shares from Linda's m...
by George-J
Sat Jun 28, 2014 3:06 pm
Forum: Investing - Theory, News & General
Topic: Better than index funds: Buy a conglomerate’s stock
Replies: 27
Views: 4481

Re: Better than index funds: Buy a conglomerate’s stock

I know many people with PhDs in physics and the number of them I would let choose stocks for me is zero. This also means you will let a few PhD in physics to pick stocks for you. - I'm smiling as I say - I understand that "many" does not mean "all" - which then suggests that in ...
by George-J
Sat Jun 28, 2014 2:30 pm
Forum: Investing - Theory, News & General
Topic: Better than index funds: Buy a conglomerate’s stock
Replies: 27
Views: 4481

Re: Better than index funds: Buy a conglomerate’s stock

I know many people with PhDs in physics and the number of them I would let choose stocks for me is zero. Alistair - I hope you were not diminishing everyone with a higher education You might have asked if Norm is an experimental PhD or a theoretical PhD ( I think the world of William Bernstein - an...
by George-J
Sat Jun 28, 2014 1:37 pm
Forum: Investing - Theory, News & General
Topic: Better than index funds: Buy a conglomerate’s stock
Replies: 27
Views: 4481

Re: Better than index funds: Buy a conglomerate’s stock

My background and views - I greatly respect both Jack Bogle and Warren Buffett. Background - Buffett acknowledges the value and importance of Vanguard - and has done so over a long time. To illustrate - in the 2013 Berkshire Report he writes (page 20) - In my will .... put 10% of the cash in short-t...
by George-J
Sat Jun 28, 2014 10:27 am
Forum: Investing - Theory, News & General
Topic: Better than index funds: Buy a conglomerate’s stock
Replies: 27
Views: 4481

Re: Better than index funds: Buy a conglomerate’s stock

A second thought and comment - both Jack Bogle and Warren Buffett are my heroes -
and as evidence of this - in 1995 I received a wonderful letter from Jack - included in my article on -
My “ top ten” names to recommend for investments
by George-J
Sat Jun 28, 2014 9:42 am
Forum: Investing - Theory, News & General
Topic: Better than index funds: Buy a conglomerate’s stock
Replies: 27
Views: 4481

Better than index funds: Buy a conglomerate’s stock

Hi - I don't post many contributions here. I'm in Canada - and will copy here something that may interest you and I posted on FWF. Methinks today's article by our Norm in Globe&Mail newspaper needs a separate thread - interesting topic that I have been practicing for some time - both Berkshire a...
by George-J
Tue Apr 29, 2014 2:32 pm
Forum: Investing - Theory, News & General
Topic: "An Interview With Charles Ellis"
Replies: 3
Views: 2074

Re: "An Interview With Charles Ellis"

A related film - that also features Ellis, Bogle, Bernstein, etc Saw this recently - very good and simple - Passive Investing: the Evidence A remarkable 54 minute film featuring some of the world's top economists and academics ( with 25+ individuals) and demonstrating: - - how the claims of active f...
by George-J
Fri Nov 08, 2013 10:36 am
Forum: Investing - Theory, News & General
Topic: Second part of the Buffett-BRK blog post
Replies: 26
Views: 2785

Re: Second part of the Buffett-BRK blog post

Ask yourself which of these two individuals had the greatest positive impact on the largest number of people, and particularly investors. There is no comparison. Wealth does not equal societal contribution. Both served the "public good" - and I value both as highly as possible - they both...
by George-J
Mon Oct 21, 2013 6:26 am
Forum: Investing - Theory, News & General
Topic: More University Endowment Data
Replies: 8
Views: 1541

Re: More University Endowment Data

If investment skill means outperforming a benchmark, then the trustees who run the nation's college endowments show little skill. The authors of a recent study on the long-term performance of university endowments found no evidence that manager selection, market timing, and tactical asset allocatio...
by George-J
Tue Sep 03, 2013 6:05 am
Forum: Investing - Theory, News & General
Topic: Why is it always "more risk?" Or is it?
Replies: 41
Views: 3586

Re: Why is it always "more risk?" Or is it?

I like Warren Buffett's quip I read some time ago. Words to the effect that - "Risk equates to not knowing what you are doing." Oh, dear. Did he say that? Or did he mean it ironically, as in the sense that nobody does know what they're doing? It raises an interesting point. I've quipped t...
by George-J
Mon Sep 02, 2013 2:59 pm
Forum: Investing - Theory, News & General
Topic: Why is it always "more risk?" Or is it?
Replies: 41
Views: 3586

Re: Why is it always "more risk?" Or is it?

I do appreciate nisiprius' issues - like .... all the advice we get from the investment world at large.... ... take on more risk ... ... take on more risk ... ... take on more risk ... .... I can't help but see "risk" as an overused four letter word. What does it mean? It seems to vary fro...
by George-J
Mon Aug 26, 2013 10:31 am
Forum: Investing - Theory, News & General
Topic: Warren Buffett's 1975 wisdom - pensions & investing - WOW
Replies: 3
Views: 1389

Re: Warren Buffett's 1975 wisdom - pensions & investing - WO

Assuming there is no other thread already on this http://www.bogleheads.org/forum/viewtopic.php?f=10&t=121751&p=1781206 http://www.bogleheads.org/forum/viewtopic.php?f=2&t=121557&p=1777862 Sorry and my apologies for not hunting more. I do think there is much wisdom in his 1975 lette...
by George-J
Mon Aug 26, 2013 9:53 am
Forum: Investing - Theory, News & General
Topic: Warren Buffett's 1975 wisdom - pensions & investing - WOW
Replies: 3
Views: 1389

Warren Buffett's 1975 wisdom - pensions & investing - WOW

Assuming there is no other thread already on this - Great recent reference at CNNMoney The 1975 Buffett memo to Katharine Graham at the Washington Post that saved WAPo's pension - The 1975 Buffett letter has 19 pages. It starts with - There are two aspects of the pension cost problem upon which mana...
by George-J
Fri Aug 23, 2013 10:32 am
Forum: Investing - Theory, News & General
Topic: Smart beta is silly talk
Replies: 16
Views: 2018

Re: Smart beta is silly talk

But isn't "beta" misused and over valued? Here is some text by Warren Buffett in February 2012 The riskiness of an investment is not measured by beta (a Wall Street term encompassing volatility and often used in measuring risk) but rather by the probability -- the reasoned probability -- o...
by George-J
Thu Jul 25, 2013 7:14 pm
Forum: Investing - Theory, News & General
Topic: Pensions, actuaries, and stocks for the long run
Replies: 155
Views: 14407

Re: Pensions, actuaries, and stocks for the long run

People are conflating the pension funding question with the pension liability measurement question. When people say that they can meet their liabilities if they fund their pension with fewer dollars because of the higher expected return, they might be right. But, there's no guarantee that the expec...
by George-J
Thu Jul 25, 2013 9:15 am
Forum: Investing - Theory, News & General
Topic: Pensions, actuaries, and stocks for the long run
Replies: 155
Views: 14407

Re: Pensions, actuaries, and stocks for the long run

.... Although there has been significant debate over this topic in the pension community, the mathematics and finance of risk is quite straightforward. There is no magic in investing -- and risk is real. .... If you might have references to good websites or articles on this topic I would welcome th...
by George-J
Wed Jul 24, 2013 8:00 pm
Forum: Investing - Theory, News & General
Topic: Pensions, actuaries, and stocks for the long run
Replies: 155
Views: 14407

Re: Pensions, actuaries, and stocks for the long run

Thank you Bob for the links. I am trying to digest them - which is slow for me these days. I'm working on the CRR at Boston College report. ... This short article by Alicia Munnell and other financial economists at the Center for Retirement Research at Boston College address the issue of pension fin...
by George-J
Wed Jul 24, 2013 12:27 pm
Forum: Investing - Theory, News & General
Topic: Pensions, actuaries, and stocks for the long run
Replies: 155
Views: 14407

Re: Pensions, actuaries, and stocks for the long run

johnep writes. The Total Pension Liability is derived by calculating a Present Value of all future pension obligations using a Discount Rate which is the expected rate of investment return of pension assets. Standard financial theory considers the above to be an inappropriate discount rate. Instead...
by George-J
Wed Jul 24, 2013 11:03 am
Forum: Investing - Theory, News & General
Topic: Pensions, actuaries, and stocks for the long run
Replies: 155
Views: 14407

Re: Pensions, actuaries, and stocks for the long run

[OT comments removed by admin LadyGeek] Yes and no. The blame game reminds me of a recent article by Charles Ellis in Financial Analysts Journal (July/August 2012) - "Murder on the Orient Express: the Mystery of Underperformance" - he starts with Evidence increasingly shows that a 'crime'...
by George-J
Tue Jul 23, 2013 6:02 am
Forum: Investing - Theory, News & General
Topic: Pensions, actuaries, and stocks for the long run
Replies: 155
Views: 14407

Re: Pensions, actuaries, and stocks for the long run

Frankly, the bottom line in all of this is what could you settle the liability for today? That settlement rate will be based on like-risk bonds currently trading in the market. That's the rate at which you must discount the liability. Use anything else, and you're obfuscating and being dishonest ab...
by George-J
Mon Jul 22, 2013 9:14 am
Forum: Investing - Theory, News & General
Topic: Pensions, actuaries, and stocks for the long run
Replies: 155
Views: 14407

Re: Pensions, actuaries, and stocks for the long run

... In fact, an argument could be made that the economic cost of over estimating rate of return is less than the cost of under estimating it. I sure don't understand this and so cannot believe it. As James Montier recently pointed out in his CFA lecture on "The Flaws of Finance" - there a...
by George-J
Mon Jul 22, 2013 8:28 am
Forum: Investing - Theory, News & General
Topic: Pensions, actuaries, and stocks for the long run
Replies: 155
Views: 14407

Re: Pensions, actuaries, and stocks for the long run

... Finally, I think people in the pension field are probably a lot sharper than they are portrayed in the press. For instance, it might seem really stupid that during the 90s bull market, a lot of pension funds had contribution holidays and/or benefit increases instead of holding a surplus for lea...
by George-J
Sat Jul 20, 2013 1:50 pm
Forum: Investing - Theory, News & General
Topic: Pensions, actuaries, and stocks for the long run
Replies: 155
Views: 14407

Re: Pensions, actuaries, and stocks for the long run

It seems to me there are two major sources for the pension problems. First, there is the pension actuary and assumptions - like high future returns, etc - that nisiprius and the New York Times article raise. Secondly, in addition, the active managers of pension funds are getting richer and richer. R...
by George-J
Sat Jul 20, 2013 8:42 am
Forum: Investing - Theory, News & General
Topic: Pensions, actuaries, and stocks for the long run
Replies: 155
Views: 14407

Re: Pensions, actuaries, and stocks for the long run

Thank you Nisiprius. An important topic. Most pension plans are a mess. I am reminded of Warren Buffett 's 2001 article (12 years ago!) where he wrote - “I'm a sporting type, and I would love to make a large bet with the chief financial officer of any one of those four companies, or with their actua...
by George-J
Fri Jun 07, 2013 5:37 am
Forum: Investing - Theory, News & General
Topic: Efficient Frontier
Replies: 14
Views: 1868

Re: Efficient Frontier

...... Efficient Frontier is something you can only truly know ex post (after the fact). Once you accept that your ex ante (before the fact) estimates will be wrong, you can relax and surrender to the power of uncertainty . Yes on ..."relax and surrender to the power of uncertainty" -- un...
by George-J
Thu Jun 06, 2013 11:38 am
Forum: Investing - Theory, News & General
Topic: Japanese financial crisis
Replies: 48
Views: 5323

Re: Japanese financial crisis

I'm interested in how a financial crisis in Japan could impact investments in various asset classes and countries. Any thoughts? A related question - how are defined benefit plans in Japan doing and surviving? Given their aging - more retirees - and the dismal Japanese market - how do they keep the...
by George-J
Thu Jun 06, 2013 9:30 am
Forum: Investing - Theory, News & General
Topic: Efficient Frontier
Replies: 14
Views: 1868

Re: Efficient Frontier

... "The key point about the efficient frontier is this: it's a chimera, the image of your Aunt Tillie in a cloud scudding overhead a few minutes ago." --William Bernstein, The Intelligent Asset Allocator "In other words, next year's efficient frontier will be nowhere near last year'...
by George-J
Tue May 14, 2013 11:21 am
Forum: Investing - Theory, News & General
Topic: THANKS, BOGLEHEADS, FROM JACK BOGLE
Replies: 39
Views: 6334

Re: THANKS, BOGLEHEADS, FROM JACK BOGLE

Another sincere thank you Jack for your generous giving. I am reminded of the Shakespeare line I read in high school over 60 years ago - something like - "The quality of mercy is twice blest It blesses him that gives and him that receives" Similarly for "twice blest" to kindness,...
by George-J
Sat Apr 27, 2013 8:30 am
Forum: Investing - Theory, News & General
Topic: Frontline--The Retirement Gamble
Replies: 325
Views: 49271

Re: Frontline--The Retirement Gamble

Even up here in Canada - the recent Frontline's "The Retirement Gamble" is in the national paper - - read John Heinzl in today's G&M - The 'tyranny' of return-destroying fees His concluding paragraph - Fees are the silent killers of investment returns. Don’t make the mistake of thinkin...
by George-J
Thu Apr 25, 2013 9:32 am
Forum: Investing - Theory, News & General
Topic: Frontline--The Retirement Gamble
Replies: 325
Views: 49271

Re: Frontline--The Retirement Gamble

Very good for Frontline! Question - near the end the voice mentions that $10 trillion has been handed over to the money managers. Can anyone help? What is the source for this number? Does anyone here know? Over what time period? From what asset amount? Etc In part an answer to my own question - Fro...
by George-J
Wed Apr 24, 2013 2:24 pm
Forum: Investing - Theory, News & General
Topic: Frontline--The Retirement Gamble
Replies: 325
Views: 49271

Re: Frontline--The Retirement Gamble

Very good for Frontline!

Question - near the end the voice mentions that $10 trillion has been handed over to the money managers.

Can anyone help? What is the source for this number? Does anyone here know? Over what time period? From what asset amount? Etc
by George-J
Mon Apr 22, 2013 2:51 pm
Forum: Investing - Theory, News & General
Topic: Why do investors chase dividend paying strategies
Replies: 439
Views: 53616

Re: Why do investors chase dividend paying strategies

Not sure if this has been posted before - if not, from Tweedy-Browne here is The High Dividend Yield Return Advantage: - An Examination of Empirical Data Associating Investment in High Dividend Yield Securities with Attractive Returns Over Long Measurement Periods. -and a few words from the conclusi...
by George-J
Sat Apr 06, 2013 10:37 am
Forum: Investing - Theory, News & General
Topic: Rick Ferri's Interview - Own Stocks to Offset Low Rates
Replies: 130
Views: 14209

Re: Rick Ferri's Index Universe Interview

Rick Ferri wrote:The truth must be repeated over and over again because lies are constantly being told around it.

:beer

+1
:beer
Thanks to you Rick and to Larry
George
by George-J
Fri Mar 22, 2013 7:03 am
Forum: Investing - Theory, News & General
Topic: Nation’s Largest Pension Considers More Indexing
Replies: 15
Views: 2160

Re: Nation’s Largest Pension Considers More Indexing

In 1971 Milton Friedman suggested to TIAA-CREF that CREF (now also ~$200 billion) should eliminate all investment analysis and "adopt a mechanical formula whereby CREF simply bought into a Standard & Poor's 500 index." Unfortunately, although intrigued, this was rejected since they al...
by George-J
Wed Mar 20, 2013 8:00 am
Forum: Investing - Theory, News & General
Topic: Investment Book Ideas
Replies: 12
Views: 1381

Re: Investment Book Ideas

I'm 72 now and first corresponded with Jack Bogle in 1995 - about his first book. A truly great and gracious man!

I recently sent out the following memo, with 10 investment writers to consider, highlighting Bogle and Buffett.

My “ top ten” names to recommend for investments
by George-J
Thu Jul 05, 2012 2:28 am
Forum: Investing - Theory, News & General
Topic: Active Passive Bet Year 6: Active Winning
Replies: 155
Views: 16769

Re: Active Passive Bet Year 6: Active Winning

Howard Marks, of Oaktree, in his current newsletter - "It's All a Big Mistake" - has the following statement on the two conditions that must be met to be a successfull active investor People should engage in active investing only if they’re convinced that (a) pricing mistakes occur in the ...
by George-J
Tue May 08, 2012 10:38 am
Forum: Investing - Theory, News & General
Topic: Pension Buyouts: A coming trend?
Replies: 43
Views: 6430

Re: Pension Buyouts: A coming trend?

There never should have been defined benefits plans in the first place. Companies are not in the business of providing investment guarantees and certainly tax payers should not be either (for public employees) Best wishes Larry I also agree. But how do we get out now? I don't see it. Some clear vie...
by George-J
Sat Apr 21, 2012 8:54 am
Forum: Investing - Theory, News & General
Topic: the stocks with the highest risk produced the lowest returns
Replies: 15
Views: 1950

Re: the stocks with the highest risk produced the lowest ret

Another recent article and link to this issue and Robert Haugen is - Is modern portfolio theory bunk? -New academic research shows low-risk stocks outperform high-risk stocks; 'one of the most startling facts in finance' - and a bit of quote A basic tenet of modern portfolio theory is that investors...
by George-J
Fri Apr 20, 2012 9:06 am
Forum: Investing - Theory, News & General
Topic: The Curse of the Yale Model
Replies: 36
Views: 5328

Re: The Curse of the Yale Model

About the investment managements costs for the 823 endowments in the 2011 report from NACUBO-Commonfund. From the 2011 report : - The larger institutions, with their significantly greater allocations to alternative strategies, paid the most - an average of 96 basis points for institutions with asse...
by George-J
Fri Apr 20, 2012 3:12 am
Forum: Investing - Theory, News & General
Topic: The Curse of the Yale Model
Replies: 36
Views: 5328

Re: The Curse of the Yale Model

About the investment managements costs for the 823 endowments in the 2011 report from NACUBO-Commonfund. From the 2011 report : - The larger institutions, with their significantly greater allocations to alternative strategies, paid the most - an average of 96 basis points for institutions with asset...
by George-J
Thu Apr 19, 2012 4:17 pm
Forum: Investing - Theory, News & General
Topic: The Curse of the Yale Model
Replies: 36
Views: 5328

Re: The Curse of the Yale Model

One man's blessing is another man's curse. Investing is no exception. The successful "Yale Model" has worked for the Yale endowment, but other universities as well as pension funds have had great difficulty implementing the strategy. A shortfall occurs because the model assumes those runn...