Search found 9400 matches

by nedsaid
Sun May 27, 2018 3:30 pm
Forum: Investing - Theory, News & General
Topic: German Bonds: a virtually riskless bet for an Italian investor, with no downside and a big upside possible?
Replies: 15
Views: 1196

Re: German Bonds: a virtually riskless bet for an Italian investor, with no downside and a big upside possible?

My take is that markets can do unexpected things. If you think German Bonds are a riskless bet with potentially big upside for Italian investors, chances are that others are noticing that too, particularly the very large institutions. My guess is that this is all built into the price of German Bonds...
by nedsaid
Sun May 27, 2018 10:42 am
Forum: Investing - Help with Personal Investments
Topic: Taking a pension to invest in stocks
Replies: 22
Views: 1199

Re: Taking a pension to invest in stocks

I have a friend who is a huge Dave Ramsey fan and works with a financial advisor somehow associated with Ramsey from what I gather. He is eligible pension with a benefit increases 5% a year until he claims it. His was separation from his previous company was acrimonious and he doesn't really trust ...
by nedsaid
Thu May 24, 2018 4:45 pm
Forum: Investing - Theory, News & General
Topic: Is Precious Metal Equity a better diversifier than emerging market equity for US investors?
Replies: 34
Views: 1710

Re: Is Precious Metal Equity a better diversifier than emerging market equity for US investors?

Well, I want both non-correlation and returns. Precious metals equity funds have pretty disappointing long term performance records. I agree, nedsaid. Just curious what you think about the last 10 years of PME performance vs. the S&P: https://www.portfoliovisualizer.com/backtest-portfolio?s=y&timeP...
by nedsaid
Thu May 24, 2018 2:05 pm
Forum: Investing - Theory, News & General
Topic: Is Precious Metal Equity a better diversifier than emerging market equity for US investors?
Replies: 34
Views: 1710

Re: Is Precious Metal Equity a better diversifier than emerging market equity for US investors?

If all I was concerned about was non-correlation with the US Stock Market, I would just stuff my mattress with cash. Problem is non-correlation is also non-return. Precious metals funds over long periods of time just don't return much. It makes me inspired to start a "Nedsaid Stuff Your Money in My...
by nedsaid
Thu May 24, 2018 2:03 pm
Forum: Investing - Theory, News & General
Topic: Is Precious Metal Equity a better diversifier than emerging market equity for US investors?
Replies: 34
Views: 1710

Re: Is Precious Metal Equity a better diversifier than emerging market equity for US investors?

If all I was concerned about was non-correlation with the US Stock Market, I would just stuff my mattress with cash. Problem is non-correlation is also non-return. Thankfully, that's not true. Lots of assets have low, even negative, correlations with the U.S. stock market (for instance) and signifi...
by nedsaid
Thu May 24, 2018 8:33 am
Forum: Investing - Theory, News & General
Topic: Is Precious Metal Equity a better diversifier than emerging market equity for US investors?
Replies: 34
Views: 1710

Re: Is Precious Metal Equity a better diversifier than emerging market equity for US investors?

If all I was concerned about was non-correlation with the US Stock Market, I would just stuff my mattress with cash. Problem is non-correlation is also non-return. Precious metals funds over long periods of time just don't return much. It makes me inspired to start a "Nedsaid Stuff Your Money in My ...
by nedsaid
Tue May 22, 2018 9:16 pm
Forum: Investing - Help with Personal Investments
Topic: Have Annuity Rates Gone Up?
Replies: 15
Views: 1651

Re: Have Annuity Rates Gone Up?

I confess I probably don't understand "mortality credits." This is just a way for the insurance company to continue paying those who live past the age where the original investment's return and principal has been exhausted? Another way of saying it is that you get higher payments as a benefit from ...
by nedsaid
Tue May 22, 2018 11:45 am
Forum: Investing - Help with Personal Investments
Topic: Newly widowed, how do I invest 1.5 million life ins. proceeds
Replies: 72
Views: 7811

Re: Newly widowed, how do I invest 1.5 million life ins. proceeds

I'd have to say that $1.5 million dollars is a lot to have at one bank or credit union for more than a few days or weeks. I think the FDIC and NCUA limit is $250k, isn't it? There is a CDARS (Certificate of Deposit Registry Service) program where you can deposit the money at one bank, who will in t...
by nedsaid
Tue May 22, 2018 9:15 am
Forum: Investing - Help with Personal Investments
Topic: Have Annuity Rates Gone Up?
Replies: 15
Views: 1651

Re: Have Annuity Rates Gone Up?

I confess I probably don't understand "mortality credits." This is just a way for the insurance company to continue paying those who live past the age where the original investment's return and principal has been exhausted? Another way of saying it is that you get higher payments as a benefit from ...
by nedsaid
Sun May 20, 2018 4:08 pm
Forum: Investing - Theory, News & General
Topic: Sheryl Garrett - How to Choose an Advisor
Replies: 1
Views: 425

Re: Sheryl Garrett - How to Choose an Advisor

Paul, thank you for posting this as this is good stuff.
by nedsaid
Sun May 20, 2018 3:36 pm
Forum: Investing - Theory, News & General
Topic: more rotten service from Vanguard [ACH transfer, fund availability]
Replies: 26
Views: 3152

Re: more rotten service from Vanguard [ACH transfer, fund availability]

I do think Vanguard is running into some problems, particularly as it is awash in new monies. All the new business has strained Vanguard. What I will say is that even the best companies generate complaints and customer problems. We have read a lot about customer service issues but not so much from p...
by nedsaid
Sun May 20, 2018 3:28 pm
Forum: Investing - Help with Personal Investments
Topic: Newly widowed, how do I invest 1.5 million life ins. proceeds
Replies: 72
Views: 7811

Re: Newly widowed, how do I invest 1.5 million life ins. proceeds

Wow, you all are so kind to take the time to help. Thank you! Regarding the $5/month I was hoping to withdraw, I could take out less. I could do 4k, possibly even 3K. I know I can trim expenses. I am preparing for the idea that I will sell the house. It is a money sucker, so big and old. It is givi...
by nedsaid
Sun May 20, 2018 11:58 am
Forum: Investing - Theory, News & General
Topic: "Why 97% of People Don't Use 529 College Savings Plans."
Replies: 262
Views: 47383

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

I just read this article which has a tidbit about the GAO report on these plans. Basically, the answer to the question posed in the title is simple: 97% of people are not wealthy enough. Also missing from the article was the mantra that a family should not contribute to a 529 plan unless they have ...
by nedsaid
Sun May 20, 2018 11:53 am
Forum: Investing - Theory, News & General
Topic: Buffett says Bonds are a terrible investment now. What should we invest in besides stocks?
Replies: 81
Views: 10995

Re: Buffett says Bonds are a terrible investment now. What should we invest in besides stocks?

During this year's annual Berkshire Hathaway meeting, Buffett said: "Bonds are a terrible investment at anywhere near current yields.” He continued, “The only time bonds were interesting was in the early to mid-1980’s" So what should we invest in besides stocks? My portfolio has been a bit stock he...
by nedsaid
Sun May 20, 2018 11:46 am
Forum: Investing - Help with Personal Investments
Topic: How long to hold 80/20 asset allocation
Replies: 58
Views: 8577

Re: How long to hold 80/20 asset allocation

We were 90/10 until this year at age 55. We are slowly changing AA this year due to retirement in less than 3 months. It worked for us through all these years of ups and downs. Do only what you can stomach. Yes, we lost about half our investments in 2008-2009 but we held on and have been rewarded. ...
by nedsaid
Sat May 19, 2018 8:37 am
Forum: Investing - Theory, News & General
Topic: Does your value fund own the wrong value stocks?
Replies: 25
Views: 2798

Re: Does your value fund own the wrong value stocks?

It is getting to the point where book value doesn't mean much at all. When companies McDonald's and Boeing get into the negative equity situation, it is a clue that something is amiss. Clearly, Generally Accepting Accounting Principles don't reflect the true economic value of assets on the balance s...
by nedsaid
Wed May 16, 2018 8:34 am
Forum: Personal Consumer Issues
Topic: Why this problem never gets fixed [Inflated medical product prices]
Replies: 33
Views: 2221

Re: Why this problem never gets fixed

This problem has been going on for many years. We have all heard about how hospitals and clinics charge a very high price for items that are sold on market at much lower price ( i.e. wrist support, pills, etc). My understanding is that insurance companies are responsible to negotiate a discounted r...
by nedsaid
Wed May 16, 2018 8:25 am
Forum: Personal Consumer Issues
Topic: Why this problem never gets fixed [Inflated medical product prices]
Replies: 33
Views: 2221

Re: Why this problem never gets fixed

This problem has been going on for many years. We have all heard about how hospitals and clinics charge a very high price for items that are sold on market at much lower price ( i.e. wrist support, pills, etc). My understanding is that insurance companies are responsible to negotiate a discounted r...
by nedsaid
Wed May 16, 2018 8:07 am
Forum: Investing - Help with Personal Investments
Topic: Friend says "Stock market will crash, invest in silver" - thoughts?
Replies: 127
Views: 7629

Re: Friend says "Stock market will crash, invest in silver" - thoughts?

Noob question :-) A highly respected friend of mine is an expert in macroeconomics, and warned me to stay away from stocks. He said that come October or March next year, there are likely to be big crashes. He said companies were artificially inflating their stocks. (I don't understand the detail!) ...
by nedsaid
Tue May 15, 2018 5:48 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 6550
Views: 1407293

Re: U.S. stocks in freefall

Sorry man. I don't think that way. About the only thing I do consistently is NOT follow the crowd. Been doing it all my life. Retired from work at 42 in 2007. I invest my money for a living. Basically, I study conventional wisdom, then reject it. It's a great way to get rich. While I think that a g...
by nedsaid
Tue May 15, 2018 1:15 pm
Forum: Local Chapters and Bogleheads Community
Topic: Yes, I'm 89 all right! [Jack Bogle]
Replies: 126
Views: 9088

Re: Yes, I'm 89 all right!

Mr. Bogle, you are a bit older than my own father who will turn 89 in September. I can attest to the struggles of advancing age as I have seen my dad rebound from health challenges. You are an inspiration in that you are still active and productive at age 89. Looking forward to your new book.
by nedsaid
Tue May 08, 2018 3:21 pm
Forum: Investing - Theory, News & General
Topic: Happy 89th birthday to [Jack] Bogle
Replies: 44
Views: 2484

Re: Happy 89th birthday to Bogle

Where has the time gone? It seems like it was just yesterday when we were wishing Mr. Bogle a Happy 88th birthday! Now it is his 89th! Many best wishes for the founder of Vanguard and the man who brought index funds to the masses.
by nedsaid
Sun May 06, 2018 4:38 pm
Forum: Investing - Theory, News & General
Topic: Do stocks outperform Treasury Bills? Almost never.
Replies: 25
Views: 4827

Re: Do stocks outperform Treasury Bills? Almost never.

Hint: The S&P Indexes do a good job filtering out the junk. The US Total Stock Market Index has just over 50% of its market capitalization in the largest 100 companies. So market-cap weighting does its part too, though imperfectly, to filter out the junk. Market-cap weighting of large caps or total...
by nedsaid
Sun May 06, 2018 3:29 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Factors In Fixed Income
Replies: 30
Views: 2668

Re: Larry Swedroe: Factors In Fixed Income

Dave, just to make certain of one thing: Do you receive any compensation for posting on behalf of Larry or his firm? I don't know if this was already asked and answered but wanted to give you a chance to state unequivocally one way or the other. It’s been brought up less directly in the past, and I...
by nedsaid
Sun May 06, 2018 3:06 pm
Forum: Investing - Help with Personal Investments
Topic: Why Shouldn't I Buy McDonalds Or Coke?
Replies: 66
Views: 8270

Re: Why Shouldn't I Buy McDonalds Or Coke?

I have owned McDonald's for years in a DRIP plan. In recent years, the stock has done fantastically well. Recently, I did buy some Coke stock, just couldn't resist as I have wanted some for years. It is about where I bought it.
by nedsaid
Sun May 06, 2018 2:51 pm
Forum: Personal Consumer Issues
Topic: Warning: avoid Windows 10 update 1803
Replies: 91
Views: 9054

Re: Warning: avoid Windows 10 update 1803

Nothing specific to that particular update, but Windows 10 really like changing my settings back to default after every stupid update. Luckily, after the 10th time reengaging Loudness Equalization or adjusting the screen overfill I've gotten quite speedy at it. :happy Yes, that is a pet peeve of mi...
by nedsaid
Sun May 06, 2018 2:48 pm
Forum: Investing - Theory, News & General
Topic: Do stocks outperform Treasury Bills? Almost never.
Replies: 25
Views: 4827

Re: Do stocks outperform Treasury Bills? Almost never.

If you dollar weight the shares, you would get a different answer. Most microcap stocks don't do well. Most megacap stocks do. As evident by the Dow 30, and other assortments of large cap stocks... I think the LEXCX fund is an interesting case in this https://individuals.voya.com/product/mutual-fun...
by nedsaid
Sun May 06, 2018 9:39 am
Forum: Investing - Theory, News & General
Topic: Do stocks outperform Treasury Bills? Almost never.
Replies: 25
Views: 4827

Re: Do stocks outperform Treasury Bills? Almost never.

If you dollar weight the shares, you would get a different answer. Most microcap stocks don't do well. Most megacap stocks do. As evident by the Dow 30, and other assortments of large cap stocks... I think the LEXCX fund is an interesting case in this https://individuals.voya.com/product/mutual-fun...
by nedsaid
Sun May 06, 2018 9:24 am
Forum: Investing - Help with Personal Investments
Topic: Starting to smell like buying season?
Replies: 55
Views: 6472

Re: Starting to smell like buying season?

I was out in the wilderness this past week, so had no news on anything whatsoever. Now that I am back appears to me that nothing happened while I was gone. So it smells today just the same as it did a week ago and two weeks ago and even three weeks ago. Well, that is what often happens. When you ar...
by nedsaid
Thu May 03, 2018 12:51 pm
Forum: Investing - Help with Personal Investments
Topic: Starting to smell like buying season?
Replies: 55
Views: 6472

Re: Starting to smell like buying season?

Well certainly prices are better than they were in late January but not sure one can say this is a buying season. We are down 8%-9% or so from all-time highs so it is pretty hard to say the market is a screaming buy. This is not 2009. If you are investing towards retirement, just stick with your pla...
by nedsaid
Wed May 02, 2018 11:56 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Real Estate Isn’t Special
Replies: 49
Views: 7060

Re: Larry Swedroe: Real Estate Isn’t Special

The thing is, almost all asset classes go through this relatively cheap to expensive to relatively cheap again. ... There are specific reasons that I own stocks, specific reasons I own bonds, and specific reasons that I own REITs. The actual businesses underlying all of this are pretty darned impor...
by nedsaid
Tue May 01, 2018 4:51 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Real Estate Isn’t Special
Replies: 49
Views: 7060

Re: Larry Swedroe: Real Estate Isn’t Special

Sometimes I think we can overthink things and Larry's article might be a good example of that. I bought REIT funds when they came available because it just seemed to make sense to me. When I learned that REITs had a bit higher returns than the S&P 500 with low correlation, that reinforced my origina...
by nedsaid
Tue May 01, 2018 4:38 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Real Estate Isn’t Special
Replies: 49
Views: 7060

Re: Larry Swedroe: Real Estate Isn’t Special

A nitpick: REITs are not real estate. Real Estate may very well be special, we don't know. I don’t think this is just a nitpick. I think it’s a major league concern. The stocks of commodity producers I believe behave more like stocks than commodities. REITs behave to a big extent as SV equities. Wh...
by nedsaid
Tue May 01, 2018 4:26 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Liquidity Risk Not Worth It
Replies: 35
Views: 4949

Re: Larry Swedroe: Liquidity Risk Not Worth It

My observation that bond funds that include corporates do better over time than treasury only bond funds extends over a period of many years. I was seeing this even before the 2008-2009 financial crisis. I would hope so, but the only situation in which that should matter, even after taking risk-adj...
by nedsaid
Tue May 01, 2018 3:15 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Liquidity Risk Not Worth It
Replies: 35
Views: 4949

Re: Larry Swedroe: Liquidity Risk Not Worth It

Larry is correct, there are large segments of the US Corporate Bond Market that are not all that liquid. Treasuries, on the other hand, trade like water. What you are getting in greater yield with the lower quality Corporates, you in part sacrifice with higher bid-ask spreads. But let's look a real...
by nedsaid
Sat Apr 28, 2018 10:44 am
Forum: Investing - Help with Personal Investments
Topic: More aggressive portfolio with a pension?
Replies: 42
Views: 3694

Re: More aggressive portfolio with a pension?

Hi all, I’m trying to get all my info together to ask for a portfolio review, but wanted to ask this in the meantime. Is there a Boglehead consensus on how a (Fed) pension should be factored in when considering AA? I’m about 6 yrs out from retirement and have a pension that will probably provide fo...
by nedsaid
Sat Apr 28, 2018 10:38 am
Forum: Investing - Help with Personal Investments
Topic: Advice on using a wealth manager or financial advisor?
Replies: 34
Views: 2684

Re: Advice on using a wealth manager or financial advisor?

I have an account that I can't manage directly so looking to have a wealth manager or financial advisor manage the portfolio for me. Anyone have any experiences? Using Fidelity would be nice. Account is worth about $500,000 right now in a taxable brokerage account. Basically it would be nice to dir...
by nedsaid
Sat Apr 28, 2018 10:36 am
Forum: Investing - Help with Personal Investments
Topic: Company has Fidelity...Is Brokeragelink good or bad?
Replies: 27
Views: 1365

Re: Company has Fidelity...Is Brokeragelink good or bad?

In a workplace savings plan at a former employer, I have access to Brokeragelink. I can use it to access Fidelity Mutual Funds or anything in their mutual fund marketplace. Pretty much, I have used it to buy Fidelity Index Funds and their GNMA fund. I have not had to pay any fees to use this service.
by nedsaid
Fri Apr 27, 2018 8:47 pm
Forum: Investing - Theory, News & General
Topic: Falling ETF and mutual-fund fees saved investors $4 billion last year
Replies: 2
Views: 332

Re: Falling ETF and mutual-fund fees saved investors $4 billion last year

Indexing is dirt cheap. Actually, active investing should be a lot cheaper but investors are paying for very large profit margins. Somewhere I read that profits can be 50%. Just look at the expense ratios of Vanguard Funds where another firm or firms have been hired as asset managers. What you will ...
by nedsaid
Fri Apr 27, 2018 8:18 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Liquidity Risk Not Worth It
Replies: 35
Views: 4949

Re: Larry Swedroe: Liquidity Risk Not Worth It

For people who jumped to the discussion and skipped the paper, the paper was not about corporate bonds vs. treasuries. It was about more liquid corporate bonds vs. less liquid corporate bonds. For most of us, I don't know that there is anything actionable from this paper--when/if I want corporate b...
by nedsaid
Fri Apr 27, 2018 4:22 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Liquidity Risk Not Worth It
Replies: 35
Views: 4949

Re: Larry Swedroe: Liquidity Risk Not Worth It

Dodonnell, sure. I'm aware of that nasty -10% notch in corporates in 2008-2009. Although if you plot it on the same chart with -50% in stocks it doesn't look that bad. Was that, in fact, a liquidity problem? People fuss and argue about bonds, but basically what happened in 2008-2009 at the level of...
by nedsaid
Fri Apr 27, 2018 3:59 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Liquidity Risk Not Worth It
Replies: 35
Views: 4949

Re: Larry Swedroe: Liquidity Risk Not Worth It

Want to make it clear that I am not anti-treasuries. A portfolio, in my opinion, should be diversified across both the equity and the bond side. If you look at the composition of the bond funds that I own, you will see Treasuries, TIPS, Corporates, and Agency Bonds, particularly GNMAs. That diversif...
by nedsaid
Fri Apr 27, 2018 3:53 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Liquidity Risk Not Worth It
Replies: 35
Views: 4949

Re: Larry Swedroe: Liquidity Risk Not Worth It

I think I agree with Nedsaid, assuming I understand what he's saying. Larry's article and the study it references don't seem to jibe with what I see in "corporates." At least, not in "corporates" as understood by investors in plain vanilla Vanguard bond funds. So I'm happy to shrug my shoulders and...
by nedsaid
Fri Apr 27, 2018 12:58 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Liquidity Risk Not Worth It
Replies: 35
Views: 4949

Re: Larry Swedroe: Liquidity Risk Not Worth It

But let's look a real life example of the difference in returns between Treasuries and Corporates. The Vanguard Intermediate Term Treasury Admiral (VFIUX) has a 10 year growth of $10,000 of $13,687. The Vanguard Intermediate Term Investment Grade Admiral (VFIDX) consists of 68% corporates and has a...
by nedsaid
Fri Apr 27, 2018 12:54 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Liquidity Risk Not Worth It
Replies: 35
Views: 4949

Re: Larry Swedroe: Liquidity Risk Not Worth It

I did get a message from Larry Swedroe and he did make a couple of points below. This is reposted in its entirety without editing, so this is 100% Larry. Larry Swedroe said: Re your statement about the liquidity risk being rewarded in your example Don't think that is right at all despite the returns...
by nedsaid
Fri Apr 27, 2018 12:29 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Liquidity Risk Not Worth It
Replies: 35
Views: 4949

Re: Larry Swedroe: Liquidity Risk Not Worth It

Larry is correct, there are large segments of the US Corporate Bond Market that are not all that liquid. Treasuries, on the other hand, trade like water. What you are getting in greater yield with the lower quality Corporates, you in part sacrifice with higher bid-ask spreads. But let's look a real...
by nedsaid
Fri Apr 27, 2018 12:00 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Liquidity Risk Not Worth It
Replies: 35
Views: 4949

Re: Larry Swedroe: Liquidity Risk Not Worth It

Larry is correct, there are large segments of the US Corporate Bond Market that are not all that liquid. Treasuries, on the other hand, trade like water. What you are getting in greater yield with the lower quality Corporates, you in part sacrifice with higher bid-ask spreads. But let's look a real ...
by nedsaid
Fri Apr 27, 2018 11:34 am
Forum: Investing - Help with Personal Investments
Topic: New to board with Brighthouse Annuity question?
Replies: 42
Views: 2886

Re: New to board with Brighthouse Annuity question?

"Macro Consulting" Thank you. I may do this out of pure curiosity. My 63-year-old fiancee's late husband bought some kind of life insurance product contract and I can't make heads or tails out of it. He bought it in late 2007 before he died of cancer. The company calls and writes her at least once ...
by nedsaid
Fri Apr 27, 2018 11:18 am
Forum: Investing - Theory, News & General
Topic: "Tax-Adjusted Asset Allocation: Is It Necessary?"
Replies: 51
Views: 2699

Re: "Tax-Adjusted Asset Allocation: Is It Necessary?"

Definitely, one should not ignore the effect of taxes upon their investments. Two schools of thought on this. One is allocate taxable, tax free, and tax deferred portfolios the same. The other school of thought is to place asset classes into the type of account where they are most tax efficient. TIP...
by nedsaid
Tue Apr 24, 2018 9:55 pm
Forum: Investing - Theory, News & General
Topic: Small premium
Replies: 8
Views: 919

Re: Small premium

Garland, darn it anyway! You have let the cat out of the bag! You and Mel Lindauer are not alone in believing that Mid-Caps are the "Sweet Spot" of the stock market.