Search found 9641 matches

by nedsaid
Thu Jul 19, 2018 11:45 pm
Forum: Investing - Theory, News & General
Topic: Why Take Risk on Equity Side?
Replies: 53
Views: 2998

Re: Why Take Risk on Equity Side?

People has discussed High Dividend stocks as a surrogate bond and now we are considering High Yield Bonds as a Stock substitute. If I want bonds, I want real bonds. If I want stocks, I want real stocks. The real thing rather than the substitute. I take risk on the equity side because I want return,...
by nedsaid
Thu Jul 19, 2018 10:26 am
Forum: Investing - Theory, News & General
Topic: Decrease International Growth Fund Admiral and buy Total International Stock Index Adm
Replies: 12
Views: 1049

Re: Decrease International Growth Fund Admiral and buy Total International Stock Index Adm

Exactly. How do you know if you are being influenced by "confirmation bias"? Wouldn't you want to sell high, then buy low? OTOH, I haven't looked at how the other funds you mentioned have performed. I suppose that if you look at the combined performance of all of those international funds together ...
by nedsaid
Thu Jul 19, 2018 10:23 am
Forum: Investing - Theory, News & General
Topic: Why Take Risk on Equity Side?
Replies: 53
Views: 2998

Re: Why Take Risk on Equity Side?

People has discussed High Dividend stocks as a surrogate bond and now we are considering High Yield Bonds as a Stock substitute. If I want bonds, I want real bonds. If I want stocks, I want real stocks. The real thing rather than the substitute. I take risk on the equity side because I want return, ...
by nedsaid
Tue Jul 17, 2018 9:23 pm
Forum: Investing - Theory, News & General
Topic: Decrease International Growth Fund Admiral and buy Total International Stock Index Adm
Replies: 12
Views: 1049

Re: Decrease International Growth Fund Admiral and buy Total International Stock Index Adm

Called for the annual checkup with Vanguard Flagship services. First time for me. :D All went well, representative professional albeit disappointed I didn't agree to have him maintain my account and asked, "why not"? I said, cause...: happy Anyway, the big change they suggested was to decrease my I...
by nedsaid
Tue Jul 17, 2018 11:16 am
Forum: Investing - Theory, News & General
Topic: Balanced Funds and Sequence of Return Risk
Replies: 50
Views: 2933

Re: Balanced Funds and Sequence of Return Risk

Sandtrap wrote:
Mon Jul 16, 2018 11:21 am
My simple brain reads this as a "beer in a bottle" vs "beer in a can" scenario.
Not sure.
Is that generally the comparison? :shock:
j
Except that beer in a bottle tastes better. :wink:
by nedsaid
Mon Jul 16, 2018 8:43 am
Forum: Personal Finance (Not Investing)
Topic: 14 years with Bogleheads
Replies: 13
Views: 1986

Re: 14 years with Bogleheads

Good to hear good comments from someone who was helped here. I have invested since 1984 and have tried different things and consider myself a seasoned investor. I have learned an awful lot here and have benefitted myself from the advice given here on the forum.
by nedsaid
Mon Jul 16, 2018 8:36 am
Forum: Investing - Help with Personal Investments
Topic: Fidelity Portfolio Advice Please
Replies: 24
Views: 2406

Re: Fidelity Portfolio Advice Please

Thanks so much for responding. You make a lot of sense. I did not know that about ETFs and will probably go with one of the low cost indexes. As far as Fidelity Go, I went to the website and plugged in my information and...what do you know it recommends a 70-30 portfolio with an array of Fidelity F...
by nedsaid
Sun Jul 15, 2018 9:35 pm
Forum: Investing - Theory, News & General
Topic: Swedroe: Investing Lessons from a Top Poker Player
Replies: 4
Views: 1172

Re: Swedroe: Investing Lessons from a Top Poker Player

A pretty good article by Larry. The analogy of poker compared to investing is flawed. The analogy holds up in one sense that both successful investors and successful gamblers will tilt the odds in their favor as much as possible. Where it breaks down is that investing is not gambling though there ar...
by nedsaid
Sun Jul 15, 2018 9:26 pm
Forum: Investing - Theory, News & General
Topic: Morgan Stanley Wealth Management
Replies: 8
Views: 1037

Re: Morgan Stanley Wealth Management

Bogleheads: Several years ago I accompanied a wealthy investor who was invited to be a customer in Morgan Stanley Wealth Management Service. We enjoyed a nice lunch and persuasive marketing by two Bank officers. Fortunately my friend decided to use Vanguard's Personal Advisor Services which recomme...
by nedsaid
Sun Jul 15, 2018 9:09 pm
Forum: Investing - Help with Personal Investments
Topic: Fidelity Portfolio Advice Please
Replies: 24
Views: 2406

Re: Fidelity Portfolio Advice Please

First post. I have been lurking for a few months and appreciate the wealth of information that many on the board provide. I am a teacher and new to investing. Our retirement income will be comprised mostly of my pension (about 70% of living expenses), my wife’s Social Security and drawing a small a...
by nedsaid
Sun Jul 15, 2018 12:25 pm
Forum: Personal Consumer Issues
Topic: Do insurance agents add value? How?
Replies: 24
Views: 1455

Re: Do insurance agents add value? How?

I missed my six-month auto insurance premium because the bill was filed away, and I just plain forgot it was due. Last night, I found the bill, paid up, and the policy was reinstated. Going forward, I will set up automated payments to prevent this from recurring. I feel let down that I didn’t get a...
by nedsaid
Sun Jul 15, 2018 12:21 pm
Forum: Investing - Help with Personal Investments
Topic: Like Lifestrategy Funds but???
Replies: 32
Views: 3253

Re: Like Lifestrategy Funds but???

I remember when Vanguard added the International Bond Fund. There was much discussion here. After 5 years, the International Bond Fund has returned 3.87% while the Total Bond Fund has returned 2.20%. At least for the past 5 years nobody has been hurt who had the International Bond Fund. Hmmm. This ...
by nedsaid
Sun Jul 15, 2018 12:18 pm
Forum: Investing - Help with Personal Investments
Topic: Like Lifestrategy Funds but???
Replies: 32
Views: 3253

Re: Like Lifestrategy Funds but???

Dude2 wrote:
Thu Jul 12, 2018 10:14 pm
I love LS funds (or TR) because they help me not to tinker. Set it and forget it.
Let Vanguard do the tinkering for you. :wink:
by nedsaid
Sun Jul 15, 2018 11:21 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Look Past Expense Ratios
Replies: 71
Views: 5967

Re: Larry Swedroe: Look Past Expense Ratios

You are missing barriers to entry, competitive advantage, or what Morningstar calls a moat. Many of these companies have competitive advantages that are hard to replicate. There is also the value of a brand, the value of a franchise, and also the going concern value of a company. Once a business ge...
by nedsaid
Sun Jul 15, 2018 11:18 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Look Past Expense Ratios
Replies: 71
Views: 5967

Re: Larry Swedroe: Look Past Expense Ratios

You are missing barriers to entry, competitive advantage, or what Morningstar calls a moat. Many of these companies have competitive advantages that are hard to replicate. There is also the value of a brand, the value of a franchise, and also the going concern value of a company. Once a business ge...
by nedsaid
Sat Jul 14, 2018 10:20 am
Forum: Investing - Theory, News & General
Topic: Treasury Auction - Nobody Came: "Great T-Bill Massacre"
Replies: 145
Views: 11871

Re: Treasury Auction - Nobody Came: "Great T-Bill Massacre"

The idea that there were still enough bids to sell all the securities is irrelevant. If the Treasury could not sell all the securites the Treasury would not have the money to pay its debts. Using the idea that all the securites were still sold so everything's AOK is absurd. If the Government cannot...
by nedsaid
Sat Jul 14, 2018 9:53 am
Forum: Investing - Help with Personal Investments
Topic: Investing for my homeowner's association
Replies: 31
Views: 1548

Re: Investing for my homeowner's association

I'd say the first priority would be to draft, if you don't have one, an Investment Policy Statement that is formally adopted by your board. Do this BEFORE making any changes to your actual investments. Your actual investment policy will depend a LOT on your HOA's particulars, but managing the reser...
by nedsaid
Sat Jul 14, 2018 9:44 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Look Past Expense Ratios
Replies: 71
Views: 5967

Re: Larry Swedroe: Look Past Expense Ratios

I think the value of Larry’s factor book is way more generalizable (is that a word?) than the factors themselves. His 5 criteria for evaluating factors can be used to evaluate the possible benefit of any potential portfolio addition. Appreciating that all components of the portfolio meet the persis...
by nedsaid
Fri Jul 13, 2018 9:58 am
Forum: Investing - Help with Personal Investments
Topic: Investing for my homeowner's association
Replies: 31
Views: 1548

Re: Investing for my homeowner's association

Be careful with fancy investing in something like a HOA, where you are a fiduciary and there may be near term cash necessities. +1 Brokered short term CD's, Treasuries, MM, High Yield accounts. Security of principal and liquidity is vital. j That is as far as I would go. Too often, you get a charis...
by nedsaid
Fri Jul 13, 2018 9:53 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Know Your Investor Personality
Replies: 26
Views: 2584

Re: Larry Swedroe: Know Your Investor Personality

Larry touched on a couple things here that I agree with. First of all, I am skeptical of the investor questionnaires used to judge an investor's risk tolerance. My belief is that these questionnaires have a bias towards a higher stock allocation. A good rule of thumb is to take the stock allocation ...
by nedsaid
Fri Jul 13, 2018 9:42 am
Forum: Investing - Theory, News & General
Topic: How Do You Like My New 'Doo
Replies: 152
Views: 29843

Re: How Do You Like My New 'Doo

You can't live on $9000 per year. Take that same $300K and buy a $1.2M 24-unit building, now your 'dividend' is a cool $110K per year (that you legally paid zero taxes on after deducting expenses and depreciation). My understanding is that a landlord's cash return on real estate is about 6% a year....
by nedsaid
Fri Jul 13, 2018 9:31 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Look Past Expense Ratios
Replies: 71
Views: 5967

Re: Larry Swedroe: Look Past Expense Ratios

Homer J, I’m not expecting anywhere near the accuracy &/or precision you describe. Then I don't understand how you can "tune" your portfolio to be super efficient using factors. Larry has said many times that one can lower their equity exposure, if they use factors to give themselves higher expecte...
by nedsaid
Fri Jul 13, 2018 9:26 am
Forum: Investing - Theory, News & General
Topic: Are Bonds Always Safe? — A Second Look at U.S. Portfolio Disasters
Replies: 108
Views: 8566

Re: Are Bonds Always Safe? — A Second Look at U.S. Portfolio Disasters

I go along with Academic Research; they are probably correct. Maybe I should ramp up to 10% stocks....but...they give me heartburn. I'm more concerned about the return of my money than the return on my money. Excellent discussion! Just keep in mind that even with "low" 2% annual inflation, the purc...
by nedsaid
Thu Jul 12, 2018 8:31 pm
Forum: Investing - Theory, News & General
Topic: Can Inflation Timing Be Done?
Replies: 15
Views: 1014

Re: Can Inflation Timing Be Done?

Don't know about the research on this. My suspicion is that the track record for this is similar to that of timing the stock market and predicting interest rates. So many factors involved.
by nedsaid
Thu Jul 12, 2018 8:25 pm
Forum: Investing - Theory, News & General
Topic: Treasury Auction - Nobody Came: "Great T-Bill Massacre"
Replies: 145
Views: 11871

Re: Treasury Auction - Nobody Came: "Great T-Bill Massacre"

ThriftyPhD wrote:
Thu Jul 12, 2018 8:20 pm

Great minds think alike?
Well, I have called Yogi Berra the Great American Philosopher. Right up there with the T-Shirt philosopher who said, "Stuff happens."

Well, it wasn't stuff, but you get the idea.
by nedsaid
Thu Jul 12, 2018 8:22 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Look Past Expense Ratios
Replies: 71
Views: 5967

Re: Larry Swedroe: Look Past Expense Ratios

I think Larry has written that the valuation spread between value and growth has not really decreased compared to the mid 1990’s, indicating that there is not significant chasing of the value factor. Dave Bernstein expects the small and value premiums to both drop but not disappear. His advice is t...
by nedsaid
Thu Jul 12, 2018 8:13 pm
Forum: Investing - Theory, News & General
Topic: How Do You Like My New 'Doo
Replies: 152
Views: 29843

Re: How Do You Like My New 'Doo

I used the Morningstar X-Ray Stock Intersection tool on my portfolio. You can see the company name, ticker, and percentage of my retirement portfolio for each stock. Not much change from last time I did this analysis. The stocks individually held are bolded. You can see that I am not heavy on the FA...
by nedsaid
Thu Jul 12, 2018 7:29 pm
Forum: Investing - Theory, News & General
Topic: Treasury Auction - Nobody Came: "Great T-Bill Massacre"
Replies: 145
Views: 11871

Re: Treasury Auction - Nobody Came: "Great T-Bill Massacre"

by Oicuryy » Thu Jul 12, 2018 4:20 pm nedsaid wrote: ↑Wed Jul 11, 2018 8:29 am Didn't the Fed just raise the Federal Funds rate to 2% in June and signal that there will be one more rate hike in 2018 than what had previously been anticipated? An uptick in T-Bill rates should not be too surprising. I...
by nedsaid
Thu Jul 12, 2018 2:03 pm
Forum: Investing - Theory, News & General
Topic: Are Bonds Always Safe? — A Second Look at U.S. Portfolio Disasters
Replies: 108
Views: 8566

Re: Are Bonds Always Safe? — A Second Look at U.S. Portfolio Disasters

Interestingly, even a 20% allocation to stocks would have preserved the capital value of a bond-heavy portfolio over this period (in green below), assuming no portfolio withdrawals. This is what the Academic Research has said, a 20% stock/80% bond portfolio is actually safer than a 100% bond portfo...
by nedsaid
Thu Jul 12, 2018 12:47 pm
Forum: Investing - Help with Personal Investments
Topic: Financial Planner meeting
Replies: 17
Views: 1889

Re: Financial Planner meeting

I had a visit to a local financial planner to pick up a prize. . . This is what Nisiprius calls stealing bait from a trap. Problem is you are up against people who are very good at sales, the very best salesmen are a force of nature in themselves, even those of us with higher sales resistance are v...
by nedsaid
Thu Jul 12, 2018 12:39 pm
Forum: Investing - Help with Personal Investments
Topic: Like Lifestrategy Funds but???
Replies: 32
Views: 3253

Re: Like Lifestrategy Funds but???

I would not worry about International Bonds. The instruments that Vanguard holds in this International Bond Index Fund are currency hedged so you don't need to worry about currency fluctuation. These bonds are investment grade. My take is that International Bonds are entirely optional for an individ...
by nedsaid
Thu Jul 12, 2018 12:33 pm
Forum: Investing - Theory, News & General
Topic: Treasury Auction - Nobody Came: "Great T-Bill Massacre"
Replies: 145
Views: 11871

Re: Treasury Auction - Nobody Came: "Great T-Bill Massacre"

We have an environment where short term interest rates have been rising. I would not obsess over one auction and one day's trading of treasury bills. Rates are still pretty low. It is not about the rates still being pretty low. It's about the Treasury auction functioning as expected. . That’s the l...
by nedsaid
Thu Jul 12, 2018 12:17 pm
Forum: Investing - Theory, News & General
Topic: Six stocks make up 98% of S&P 500 gains in 2018
Replies: 76
Views: 10010

Re: Six stocks make up 98% of S&P 500 gains in 2018

Historically, the majority of gains come from a small number of stocks so this isn't surprising. In addition, gains occur on a small number of days. Combined, that's a good reason to hold the market index and forget. Excellent observation. Wish I could upvote this. There is always a subset of stock...
by nedsaid
Thu Jul 12, 2018 12:10 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Look Past Expense Ratios
Replies: 71
Views: 5967

Re: Larry Swedroe: Look Past Expense Ratios

However, Vanguard has introduced Factor related funds. I have read a thread here that discusses this but I have never done a comparison with these new funds compared to DFA products. Also, there are ETFs out there that factor tilt and these could be considered as DFA substitutes. There are new alte...
by nedsaid
Thu Jul 12, 2018 12:04 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Look Past Expense Ratios
Replies: 71
Views: 5967

Re: Larry Swedroe: Look Past Expense Ratios

Larry raised a good point that DFA Funds give you better factor exposure compared to similar Vanguard Funds. So the somewhat higher fees charged by DFA in comparison to Vanguard might be worth the higher exposure to factors. But even then, when the Stock Market is in a Growth phase, Vanguard produc...
by nedsaid
Thu Jul 12, 2018 12:03 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Look Past Expense Ratios
Replies: 71
Views: 5967

Re: Larry Swedroe: Look Past Expense Ratios

Larry raised a good point that DFA Funds give you better factor exposure compared to similar Vanguard Funds. So the somewhat higher fees charged by DFA in comparison to Vanguard might be worth the higher exposure to factors. But even then, when the Stock Market is in a Growth phase, Vanguard produc...
by nedsaid
Thu Jul 12, 2018 11:56 am
Forum: Investing - Theory, News & General
Topic: Are Bonds Always Safe? — A Second Look at U.S. Portfolio Disasters
Replies: 108
Views: 8566

Re: Are Bonds Always Safe? — A Second Look at U.S. Portfolio Disasters

Interestingly, even a 20% allocation to stocks would have preserved the capital value of a bond-heavy portfolio over this period (in green below), assuming no portfolio withdrawals. This is what the Academic Research has said, a 20% stock/80% bond portfolio is actually safer than a 100% bond portfo...
by nedsaid
Thu Jul 12, 2018 11:53 am
Forum: Investing - Theory, News & General
Topic: Treasury Auction - Nobody Came: "Great T-Bill Massacre"
Replies: 145
Views: 11871

Re: Treasury Auction - Nobody Came: "Great T-Bill Massacre"

Didn't the Fed just raise the Federal Funds rate to 2% in June and signal that there will be one more rate hike in 2018 than what had previously been anticipated? An uptick in T-Bill rates should not be too surprising. The Fed raised their target by 25 bps in the June 12-13 meeting - two weeks befo...
by nedsaid
Wed Jul 11, 2018 9:29 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Look Past Expense Ratios
Replies: 71
Views: 5967

Re: Larry Swedroe: Look Past Expense Ratios

Larry raised a good point that DFA Funds give you better factor exposure compared to similar Vanguard Funds. So the somewhat higher fees charged by DFA in comparison to Vanguard might be worth the higher exposure to factors. But even then, when the Stock Market is in a Growth phase, Vanguard product...
by nedsaid
Wed Jul 11, 2018 9:20 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Diversifying Through Reinsurance And Marketplace Lending Interval Funds
Replies: 50
Views: 3355

Re: Larry Swedroe: Diversifying Through Reinsurance And Marketplace Lending Interval Funds

Another thing to point out is that recommendations for alternatives are limited to 20% of a portfolio. In a 60% stock/40% bond portfolio, 10% could come from the stock side and 10% from the bond side. A reworked portfolio would be 50% stocks/30% bonds/20% alternatives. Larry and his firm have been ...
by nedsaid
Wed Jul 11, 2018 9:03 am
Forum: Investing - Theory, News & General
Topic: Six stocks make up 98% of S&P 500 gains in 2018
Replies: 76
Views: 10010

Re: Six stocks make up 98% of S&P 500 gains in 2018

I suspect the 98% number is relatively meaningless. Based on the numbers given in the article, it looks like each company's contribution to S&P 500 returns as w * r / R, where: - w is the weight of that company in the S&P500 - r is the return of that company for the last year - R is the total retur...
by nedsaid
Wed Jul 11, 2018 8:37 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Diversifying Through Reinsurance And Marketplace Lending Interval Funds
Replies: 50
Views: 3355

Re: Larry Swedroe: Diversifying Through Reinsurance And Marketplace Lending Interval Funds

Another thing to point out is that recommendations for alternatives are limited to 20% of a portfolio. In a 60% stock/40% bond portfolio, 10% could come from the stock side and 10% from the bond side. A reworked portfolio would be 50% stocks/30% bonds/20% alternatives. Larry and his firm have been r...
by nedsaid
Wed Jul 11, 2018 8:29 am
Forum: Investing - Theory, News & General
Topic: Treasury Auction - Nobody Came: "Great T-Bill Massacre"
Replies: 145
Views: 11871

Re: Treasury Auction - Nobody Came: "Great T-Bill Massacre"

The discount rate at today's (7/10/18) 28-day T-bill auction was 1.850%. The bid-to-cover ratio was 3.16. https://treasurydirect.gov/instit/annceresult/press/preanre/2018/R_20180710_1.pdf Ron So it was the 4th and/or the world cup last week. :sharebeer Or maybe it was just noise and nothing at all?...
by nedsaid
Tue Jul 10, 2018 12:13 pm
Forum: Investing - Help with Personal Investments
Topic: Target date funds....unsophisticated?
Replies: 64
Views: 4516

Re: Target date funds....unsophisticated?

Am I being a “unsophisticated” investor by choosing to fund Roth’s with target date funds? Would it matter if someone applied that label to you? If so, why? This is a trick that is used to discourage do-it-yourself investors. If you are the target of such a label, keep in mind the idea is to make y...
by nedsaid
Tue Jul 10, 2018 11:31 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Diversifying Through Reinsurance And Marketplace Lending Interval Funds
Replies: 50
Views: 3355

Re: Larry Swedroe: Diversifying Through Reinsurance And Marketplace Lending Interval Funds

Nedsaid, I agree human behavior doesn’t change, and I like behavioral stories + limits to arbitrage as well as risk explanations. I’ve become a big fan of value because there are both very good risk and behavioral explanations behind it. Dave I am not saying to put the markets on the couch so to sp...
by nedsaid
Tue Jul 10, 2018 11:10 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Diversifying Through Reinsurance And Marketplace Lending Interval Funds
Replies: 50
Views: 3355

Re: Larry Swedroe: Diversifying Through Reinsurance And Marketplace Lending Interval Funds

This is my concern about alternatives as the big institutions essentially financialize these asset classes. Pretty much, lots of money floods in and depresses returns for everyone. I agree that financialization is a big concern as well, but when there is a strong risk story behind a premium, then a...
by nedsaid
Tue Jul 10, 2018 11:05 am
Forum: Investing - Help with Personal Investments
Topic: Feedback on a simple investment strategy
Replies: 8
Views: 688

Re: Feedback on a simple investment strategy

I am a passive investor in mutual funds and have invested in multiple index funds across Vanguard and Fidelity, with 25+ years (hopefully 35+ years :)) to go before retirement. I did not do much reading before starting to invest a few years ago as the initial amounts were in four figures only and h...
by nedsaid
Tue Jul 10, 2018 10:20 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Diversifying Through Reinsurance And Marketplace Lending Interval Funds
Replies: 50
Views: 3355

Re: Larry Swedroe: Diversifying Through Reinsurance And Marketplace Lending Interval Funds

Not at all a marketing campaign. If I “market” anything, I’d say it’s portfolio efficiency. There is no doubt that lack of portfolio efficiency is a real cost, and that is excluding the behavioral errors one sets himself up for with an inefficient portfolio. I have clearly said many times something...
by nedsaid
Tue Jul 10, 2018 10:16 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Diversifying Through Reinsurance And Marketplace Lending Interval Funds
Replies: 50
Views: 3355

Re: Larry Swedroe: Diversifying Through Reinsurance And Marketplace Lending Interval Funds

I might have explored direct P2P lending a few years ago, but Ohio has never approved it for investors. (And now the institutionalization appears to have driven down profits.) When I started an account with Lending Club back in 2013, I got 10% nominal returns. Granted, that was much higher than ave...
by nedsaid
Tue Jul 10, 2018 10:11 am
Forum: Investing - Theory, News & General
Topic: Are Bonds Always Safe? — A Second Look at U.S. Portfolio Disasters
Replies: 108
Views: 8566

Re: Are Bonds Always Safe? — A Second Look at U.S. Portfolio Disasters

Interestingly, even a 20% allocation to stocks would have preserved the capital value of a bond-heavy portfolio over this period (in green below), assuming no portfolio withdrawals. This is what the Academic Research has said, a 20% stock/80% bond portfolio is actually safer than a 100% bond portfo...