Search found 1885 matches

by Sammy_M
Sun Dec 16, 2018 9:32 am
Forum: Investing - Help with Personal Investments
Topic: Colorado Stable Value Plus only 2.49% in 2019
Replies: 5
Views: 668

Re: Colorado Stable Value Plus only 2.49% in 2019

I'd likely be using Vanguard Short Term Bond if I move to UESP, which is getting around 3.1% nominal yield now. Taking off UESP's mgmt fee of 0.2% brings it down to 2.9%. The account is pretty well funded, so 40 bps might be worth a little paperwork. UESP also has Vanguard Short Term TIPS, which is ...
by Sammy_M
Sat Dec 15, 2018 7:06 am
Forum: Investing - Help with Personal Investments
Topic: Colorado Stable Value Plus only 2.49% in 2019
Replies: 5
Views: 668

Colorado Stable Value Plus only 2.49% in 2019

It wasn't long ago CO CollegeInvest Stable Value was the best home for 529 short-term fixed income. I stayed put in 2018 at 2.29%, but they announced the rate for 2019 at only 2.49%. Seems like time to do a rollover. What is the best place for 529 money that you want to keep relatively safe? (child ...
by Sammy_M
Sun Oct 21, 2018 9:45 am
Forum: Investing - Theory, News & General
Topic: Thoughts on 5 year TIPS bonds?
Replies: 42
Views: 3662

Re: Thoughts on 5 year TIPS bonds?

The improvement in short term TIPS yields has me thinking of redeeming my 0% real I-Bonds (2011, 2012 and 2016) and investing the proceeds into Vanguard Short-Term Inflation-Protected Securities Index Fund. How would one properly evaluate that decision? I know there is a near-term tax bill and you f...
by Sammy_M
Mon Oct 08, 2018 7:47 pm
Forum: Personal Finance (Not Investing)
Topic: Can we safely retire early?
Replies: 18
Views: 3366

Re: Can we safely retire early?

aristotelian (and Watty), while I believe I'm conservative in my assumptions, it is indeed $85K/yr drawdown that I estimate we will need until age 70. From 70 on, after SS kicks in, I figure we'll drawdown $40K/yr. We're not in a low-cost state. My calculations, even prior to using the online calcu...
by Sammy_M
Mon Oct 08, 2018 3:17 pm
Forum: Personal Finance (Not Investing)
Topic: Can we safely retire early?
Replies: 18
Views: 3366

Re: Can we safely retire early?

delamer , I agree healthcare is a major consideration. I'm using 1750/mo and 2k individual and 4k family deductible based on fiqures obtained from the state exchange. That'll go up as we age, but we will also reduce from family to couple plan too. I assume at 65 we'll go on Medicare at 600/mo. I'm ...
by Sammy_M
Mon Oct 08, 2018 11:44 am
Forum: Personal Finance (Not Investing)
Topic: Can we safely retire early?
Replies: 18
Views: 3366

Can we safely retire early?

I'd appreciate some perspectives on whether we might be approaching a "safe" early retirement age in our mid-40s. Our idea of early retirement is for me to do a little consulting when I feel like it, but I don't want to count on that income. If consulting income is there, we'd invest a little of it ...
by Sammy_M
Thu Aug 23, 2018 7:24 pm
Forum: Investing - Theory, News & General
Topic: Bloomberg commodities index still in contango
Replies: 96
Views: 8968

Re: Bloomberg commodities index still in contango

grok87 wrote:
Thu Aug 23, 2018 6:05 am
well i think most commodities are still in contango. so there is likely to be a negative roll impact even with a longer dated futures fund, just delayed?
Fewer rolls though?
by Sammy_M
Wed Aug 22, 2018 1:27 pm
Forum: Investing - Theory, News & General
Topic: Bloomberg commodities index still in contango
Replies: 96
Views: 8968

Re: Bloomberg commodities index still in contango

Bumping this thread. BCD looks very interesting given the 0.29% ER and longer-dated futures to reduce roll impacts (both + and -).

What are the issues with investing in a fund with low AUM if you hold in tax-advantaged and use a limit order set near the intraday indicative value?
by Sammy_M
Thu Apr 05, 2018 6:20 am
Forum: Investing - Help with Personal Investments
Topic: LLC for rental property?
Replies: 20
Views: 1888

Re: LLC for rental property?

Yes. Absolutely true. There are many ways to set things up. I have quite a few business folk with very substantial assets with LLC's and without, and also with other setups. As for liability protection even with an LLC, in today's litigious climate, the "deeper pockets" are prime targets. Of course...
by Sammy_M
Thu Apr 05, 2018 6:09 am
Forum: Investing - Help with Personal Investments
Topic: LLC for rental property?
Replies: 20
Views: 1888

Re: LLC for rental property?

I will follow up with an in-person appointment with the lawyer, but he listed three big NO's in our phone call: commit fraud, commingle accounts, or do something really egregious - the example he gave was draining the bank account every month. Which made me think, oh, then we shouldn't consider thi...
by Sammy_M
Thu Apr 05, 2018 6:05 am
Forum: Investing - Help with Personal Investments
Topic: LLC for rental property?
Replies: 20
Views: 1888

Re: LLC for rental property?

You can do a single member LLC, which is disregarded or tax purposes. You file Schedule E on personal taxes, and will pay self-employment tax, same as if no entity formed. You definitely want to setup a separate checking and book-keeping system. Otherwise, my understanding is a claimant would have ...
by Sammy_M
Wed Apr 04, 2018 11:56 am
Forum: Investing - Help with Personal Investments
Topic: LLC for rental property?
Replies: 20
Views: 1888

Re: LLC for rental property?

Do most people who own rental property form an LLC? If not, are there other practical steps to take to limit liability? I'm talking with a lawyer soon and trying to figure out which questions to ask. Get a good liability insurance policy regardless of whether you form a legal entity, and make sure ...
by Sammy_M
Sat Feb 17, 2018 6:43 pm
Forum: Investing - Help with Personal Investments
Topic: Recommendations for Fidelity Bond Funds in Taxable Account
Replies: 25
Views: 2452

Re: Recommendations for Fidelity Bond Funds in Taxable Account

I want bond funds in these taxable accounts to lower volatility. I'd recommend 50/50 short-term nominal/intermediate-term TIPS Fidelity® Short-Term Bond Index Fund Investor Class (FNSJX) Premium Class (FNSKX, .06) Fidelity® Inflation-Protected Bond Index Fund Investor Class (FSIQX) Premium Class (F...
by Sammy_M
Sat Feb 17, 2018 8:11 am
Forum: Investing - Theory, News & General
Topic: Vanguard LifeStrategy Funds vs. Target Date Funds
Replies: 67
Views: 8373

Re: Vanguard LifeStrategy Funds vs. Target Date Funds

Further, most of these target date funds eventually move to a very conservative AA of something like 30/70, which is outside the recommended range suggested by the safe withdrawal rate research. It must not be outside the recommended range according to the research at Vanguard, Fidelity, and the ot...
by Sammy_M
Thu Feb 08, 2018 6:58 am
Forum: Investing - Theory, News & General
Topic: QSPIX - thoughts on interesting fund
Replies: 1594
Views: 220236

Re: QSPIX - thoughts on interesting fund

There is an article in WSJ today, Is This Obscure Wall Street Invention Responsible for the Market Selloff?, that mentions AQR and its use of risk-parity strategies. So-called risk-parity funds aim to reduce the danger from a collapse in any one market by limiting bets on more volatile assets like s...
by Sammy_M
Sat Jan 20, 2018 11:55 am
Forum: Personal Finance (Not Investing)
Topic: Individual 529 vs Custodial (UTMA/UGMA) 529
Replies: 27
Views: 1944

Re: Individual 529 vs Custodial (UTMA/UGMA) 529

For both FAFSA and Profile, converting a 529 account where child A is the beneficiary from a parent-owned account to a student-owned account could have a positive impact on child B's financial aid, because after conversion the account will no longer need to be reported on child B's FAFSA or Profile...
by Sammy_M
Sat Jan 20, 2018 9:42 am
Forum: Personal Finance (Not Investing)
Topic: Individual 529 vs Custodial (UTMA/UGMA) 529
Replies: 27
Views: 1944

Re: Individual 529 vs Custodial (UTMA/UGMA) 529

I am actually surprised that more people have not talked about this issue. It always seemed wrong to me that I saved for my 3 kids in college and the money earmarked for one sibling affects the other siblings. I believe I found here a way for that not to be the case. The affect could be in the thou...
by Sammy_M
Sat Jan 20, 2018 9:30 am
Forum: Personal Finance (Not Investing)
Topic: Individual 529 vs Custodial (UTMA/UGMA) 529
Replies: 27
Views: 1944

Re: Individual 529 vs Custodial (UTMA/UGMA) 529

As pointed out above, how child 2's student-owned 529 account is treated by a CSS Profile school depends on that schools' specific policies. If having the money in such an account treated as a student asset instead of a parent asset will be a major issue, it would be a smart move to determine schoo...
by Sammy_M
Sat Jan 20, 2018 8:51 am
Forum: Personal Finance (Not Investing)
Topic: Which tax software for 2017?
Replies: 20
Views: 1796

Re: Which tax software for 2017?

I prefer downloadable software. TaxAct finally drove me away this year with their pricing hikes and I went with H&R Block Deluxe.
by Sammy_M
Sat Jan 20, 2018 8:11 am
Forum: Investing - Help with Personal Investments
Topic: Fidelity Freedom 2020 vs Vanguard Index Funds?
Replies: 16
Views: 2270

Re: Fidelity Freedom 2020 vs Vanguard Index Funds?

Can anyone please comment on the Fidelity target ["freedom"] index funds vs. the Vanguard equivalents? Do they both have pluses and minuses such that it pays to own both? A glance seems to show that Fidelity has more international stocks and bonds. Thank you. Seems some are confusing freedom with f...
by Sammy_M
Sat Jan 20, 2018 7:52 am
Forum: Personal Finance (Not Investing)
Topic: Should I stop 529 Contributions
Replies: 14
Views: 2151

Re: Should I stop 529 Contributions

Before funding dollar one for a 529, I would first: Max 401k (or whatever plan you have) Max Roth Buy $10k each in US Savings bonds pay off mortgage These give you more flexibility in how the money is spent while considering possible FAFSA impacts. We have one in college ($65k per year) and one in ...
by Sammy_M
Thu Dec 28, 2017 2:48 pm
Forum: Personal Finance (Not Investing)
Topic: S-Corp Solo 401k employER contribution is 25% of what?
Replies: 15
Views: 990

Re: S-Corp Solo 401k employER contribution is 25% of what?

If the company is a single member LLC (sole proprietorship for tax purposes) and only has an owner and no employees, do you use 25% of the net profit line 31 from Schedule C? p.s. I never heard of a single-member S-Corp, unless that is short for a single member LLC that elects to be treated as an S-...
by Sammy_M
Sun Dec 24, 2017 2:53 pm
Forum: Investing - Help with Personal Investments
Topic: VFSUX (Vanguard Investment-Grade ST Bond) EFT equivalent?
Replies: 4
Views: 714

Re: VFSUX (Vanguard Investment-Grade ST Bond) EFT equivalent?

You could use Fidelity® Short-Term Bond Index Fund Premium Class (FNSKX) or iShares Core Short-Term U.S. Bond (ISTB), both without commission. Expect a little lower yield than IG ST, since those two have less corporate bonds. If you truly want corporate, you could go with CSJ.
by Sammy_M
Sun Dec 24, 2017 2:37 pm
Forum: Personal Finance (Not Investing)
Topic: 25% marginal rate, still contribute to tax-deferred?
Replies: 1
Views: 727

25% marginal rate, still contribute to tax-deferred?

My marginal Fed tax rate is 33% now. This is mostly W2 income. I max out a tradl 401K and also do a backdoor roth ira. I plan to continue to do both in 2018. I also have some self-employed income (Sched C) from a side business that is not a service business. It appears I will qualify for the new 25%...
by Sammy_M
Sat Dec 02, 2017 11:52 am
Forum: Personal Consumer Issues
Topic: Samsung Pay, does it work all the time?
Replies: 11
Views: 870

Re: Samsung Pay, does it work all the time?

I don't understand why you would need to bring a wallet if you only need a card. Bring the card alone. That's what I do nowadays. Presumably, you also need an ID sometimes like a driver license, so bring that, too. No because then the cards get lost or I forget to put them back in my wallet and the...
by Sammy_M
Thu Nov 30, 2017 11:03 am
Forum: Personal Finance (Not Investing)
Topic: High-yield savings account to be held in revocable trust
Replies: 7
Views: 924

Re: High-yield savings account to be held in revocable trust

Why not just set the account POD/beneficiary as the revocable trust? Doesn't that avoid probate as well?
by Sammy_M
Sat Nov 25, 2017 4:49 pm
Forum: Personal Finance (Not Investing)
Topic: the psychology of a taxable account
Replies: 29
Views: 4409

Re: the psychology of a taxable account

I am strongly considering accelerating the pay down some low interest mortgage debt instead (3.125% 30 year fixed). If you will take the standard deduction in 2018, paying down a 3.15% mortgage is sensible. That beats the yield on safe bond funds. You may need to adjust your tax advantaged contribu...
by Sammy_M
Fri Nov 10, 2017 3:16 pm
Forum: Investing - Help with Personal Investments
Topic: Treasury Inflation Protected Securities [TIPS] Questions
Replies: 12
Views: 1091

Re: Treasury Inflation Protected Securities [TIPS] Questions

I have posted about this a few times so please bear with me again. I am age 70 and a 30/70 stock/bond portfolio going forward would make sense. I have finally decided to set up a TIPs bond ladder within my traditional IRA. Many articles suggest that an investor should have some percent (e.g. 25 or ...
by Sammy_M
Fri Nov 10, 2017 5:43 am
Forum: Investing - Theory, News & General
Topic: 30 yr tips yield: 1% to 0.83% over last 2 weeks!
Replies: 66
Views: 9467

Re: 30 yr tips yield: 1% to 0.83% over last 2 weeks!

With CDs don't forget about state taxes. What is the source for the 2.25% 10 year inflation estimAte? The Philly survey? Good point. In my case, they'd be held in tax-advantaged. Yes, the Philly survey. https://www.philadelphiafed.org/research-and-data/real-time-center/survey-of-professional-foreca...
by Sammy_M
Thu Nov 09, 2017 7:36 pm
Forum: Investing - Theory, News & General
Topic: 30 yr tips yield: 1% to 0.83% over last 2 weeks!
Replies: 66
Views: 9467

Re: 30 yr tips yield: 1% to 0.83% over last 2 weeks!

I cannot commit to 30 years at current yield levels, but maybe I'll regret that if we experience ILG-like negative real yields in the future. To me, TIPS look attractive vs. nominal Treasuries, but not to CDs. On the secondary market, CD NOMINAL less TIPS REAL rate... 1/15/2023 - 2.36 1/15/2024 - 2....
by Sammy_M
Thu Nov 09, 2017 7:28 pm
Forum: Investing - Theory, News & General
Topic: 30 yr tips yield: 1% to 0.83% over last 2 weeks!
Replies: 66
Views: 9467

Re: 30 yr tips yield: 1% to 0.83% over last 2 weeks!

Without looking, our TIPS position is maybe 10 to 15% of our Treasuries and the longest is 8 years. Unlike Grok we have little need for an inflation protected LMP. I'm currently buying sevens and hence am restricted to the secondary market and I want to avoid ABP hassles on top of the OID so this l...
by Sammy_M
Sun Nov 05, 2017 5:44 pm
Forum: Investing - Theory, News & General
Topic: I-bond inflation irony?
Replies: 35
Views: 4486

Re: I-bond inflation irony?

dodecahedron wrote:
Sun Nov 05, 2017 1:41 pm
so an individual who has set up a revocable trust with its own EIN can buy $20K per year, $10K under his SSN and $10K under the EIN of his trust.)
Doesn't have to be a separate EIN for the trust. See discussion here viewtopic.php?t=77395
by Sammy_M
Tue Oct 24, 2017 6:39 pm
Forum: Investing - Help with Personal Investments
Topic: Moving back to active: Will Vanguard beat American Funds by 0.24%?
Replies: 6
Views: 1406

Re: Moving back to active: Will Vanguard beat American Funds by 0.24%?

financeidiot wrote:
Tue Oct 24, 2017 3:03 pm
Unfortunate that there's a penalty for passive investing. Seems like the 401k provider is acting in their own best interest rather than the interests of plan participants.
Their view is that I've been free-riding up to this point. Time to pay my fair share. :wink:
by Sammy_M
Tue Oct 24, 2017 10:41 am
Forum: Investing - Help with Personal Investments
Topic: Moving back to active: Will Vanguard beat American Funds by 0.24%?
Replies: 6
Views: 1406

Re: Moving back to active: Will Vanguard beat American Funds by 0.24%?

I may be misinterpreting what you wrote, but isn't the total administrative expense equal for both funds? If you're charged 0.29% administrative fees and credited for 12b-1 fees and other service fees, then wouldn't these be the total costs? Vanguard = Expense ratio + 0.29% administrative service f...
by Sammy_M
Tue Oct 24, 2017 9:25 am
Forum: Investing - Help with Personal Investments
Topic: Moving back to active: Will Vanguard beat American Funds by 0.24%?
Replies: 6
Views: 1406

Moving back to active: Will Vanguard beat American Funds by 0.24%?

I was successful in arguing for Vanguard funds to be added to our plan several years ago. Our plan currently offers both active and passive funds. However, the plan is now instituting a change where they will charge participants a 0.29% administrative fee, and then credit us the "rate of service fee...
by Sammy_M
Thu Sep 14, 2017 6:07 am
Forum: Investing - Theory, News & General
Topic: What's likely to happen to stocks if/when interest rates rise?
Replies: 22
Views: 1817

Re: What's likely to happen to stocks if/when interest rates rise?

Growth stocks don't look as good. See W. Berstein's "Of Mines, Forests, and Impatience". http://www.efficientfrontier.com/ef/401/fisher.htm Thanks! :happy It looks very interesting and intelligently written. I came across this sentence though: 'However, money rates of interest are never negative.' ...
by Sammy_M
Thu Sep 14, 2017 5:49 am
Forum: Investing - Theory, News & General
Topic: What's likely to happen to stocks if/when interest rates rise?
Replies: 22
Views: 1817

Re: What's likely to happen to stocks if/when interest rates rise?

Growth stocks don't look as good. See W. Berstein's "Of Mines, Forests, and Impatience".
http://www.efficientfrontier.com/ef/401/fisher.htm
by Sammy_M
Tue Jul 25, 2017 5:48 am
Forum: Investing - Theory, News & General
Topic: Ben Carlson on Commodities
Replies: 12
Views: 1508

Re: Ben Carlson on Commodities

I suspect the lack of interest in commodity/CCF funds and precious metals/PME is driven by the economic climate we have today with little inflation and recent strong returns from equities. The tide will turn one day.
by Sammy_M
Fri Jun 23, 2017 5:26 am
Forum: Investing - Theory, News & General
Topic: Your Favorite Portfolio Tilts
Replies: 86
Views: 10778

Re: Your Favorite Portfolio Tilts

. Using an indicative ‘market portfolio’ of: 30% US stocks 25% non-US stocks 23% US bonds 22% Non-US bonds (re: pg 22 of Bill Sharpe’s online book http://web.stanford.edu/~wfsharpe/RISMAT/RISMAT-7.pdf) My preferred long-term tilts are: Equities (75% relative to 55% in ‘market portfolio’) Value (tar...
by Sammy_M
Wed Jun 14, 2017 2:17 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Stocks, Bonds, & Risk
Replies: 61
Views: 8053

Re: Larry Swedroe: Stocks, Bonds, & Risk

Great article, consistent with Larry's teachings on this forum. I don't think Bodie is against equity investing. He merely suggests that an investor build a TIPS/I-Bonds foundation sufficient to "get by" for the duration of one's life expectancy before investing in risky assets. Practically, I think...
by Sammy_M
Mon Jun 12, 2017 3:07 pm
Forum: Investing - Theory, News & General
Topic: Present US equity risk premium
Replies: 4
Views: 1029

Present US equity risk premium

Is this approach reasonable for calculating the expected US equity risk premium? Schiller P/E10 is about 30 . Earnings yield is the inverse, or E10/P, so 3.3%. But we then need to multiply by 1.075 to adjust for lag , so adjusted to 3.6%. Longest TIPS is 30 years, and is presently yielding about 1% ...
by Sammy_M
Sat Jun 10, 2017 5:27 pm
Forum: Investing - Help with Personal Investments
Topic: Move taxable to 529 for FAFSA benefits?
Replies: 14
Views: 1265

Re: Move taxable to 529 for FAFSA benefits?

This is only true if the parent owns the account and the student is the beneficiary. http://www.savingforcollege.com/intro_to_529s/does-a-529-plan-affect-financial-aid.php Are assets counted on the Free Application for Federal Student Aid (FAFSA)? Yes, but assets in accounts owned by a dependent st...
by Sammy_M
Sat Jun 10, 2017 5:21 pm
Forum: Investing - Help with Personal Investments
Topic: Move taxable to 529 for FAFSA benefits?
Replies: 14
Views: 1265

Re: Move taxable to 529 for FAFSA benefits?

Funds in 529 and taxable accounts are treated equally for FAFSA purposes. I'm not sure that is correct for student owned accounts. For student owned taxable, I think the expected contribution is 20%. For student owned 529s, I think it is treated as if owned by the parent, and thus has a lower expec...
by Sammy_M
Fri Jun 09, 2017 5:51 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard High-Yield Corporate Fund Investor Shares VWEHX
Replies: 47
Views: 7014

Re: Vanguard High-Yield Corporate Fund Investor Shares VWEHX

Also, now is not the best time to get into High Yield bonds. Spreads are very low - meaning that the yield premium you get for taking the extra credit risk is small relative to the yield spreads we've seen historically. Note that I don't recommend market timing as a strategy, so I just mention the ...
by Sammy_M
Sat May 13, 2017 11:15 am
Forum: Investing - Theory, News & General
Topic: Ultimate Buy and Hold - 8 slices vs 4
Replies: 733
Views: 336663

Re: Ultimate Buy and Hold - 8 slices vs 4

^It's going to be very time dependent. From 5/2009 to present using equal parts VTI, VBR, VTRIX, VSS - you could have raised your VFIUX allocation from 20 to 32% and achieved the same return with less volatility, i.e. greater sharpe ratio. https://www.portfoliovisualizer.com/backtest-portfolio?s=y&t...
by Sammy_M
Fri May 12, 2017 5:23 am
Forum: Investing - Help with Personal Investments
Topic: Retiree Portfolio Review
Replies: 3
Views: 1040

Retiree Portfolio Review

May I please have your thoughts on the following investment portfolio for a recently retired couple with about 80% of income needs addressed through inflation adjusted pensions and social security. Little need to take risk, but there is ability and willingness to take reasonable risks to achieve por...
by Sammy_M
Sun May 07, 2017 2:11 pm
Forum: Investing - Theory, News & General
Topic: PowerShares S&P 500 Value with Momentum ETF (SPVM)
Replies: 10
Views: 1316

Re: PowerShares S&P 500 Value with Momentum ETF (SPVM)

Several risks that this fund will not beat the TSM, among them are high turnover, which brings with it transaction costs, value risk, industry concentration risk, non-correlation risk, and momentum investing risk. This fund attempts to down select the market of 500 stock to 200 and then does a mome...
by Sammy_M
Sun May 07, 2017 8:34 am
Forum: Investing - Theory, News & General
Topic: PowerShares S&P 500 Value with Momentum ETF (SPVM)
Replies: 10
Views: 1316

Re: PowerShares S&P 500 Value with Momentum ETF (SPVM)

No arguments there. IF I were to use this fund, it would be a very small allocation in my IRA, complementing TSM in my 401K, to help achieve my desired value tilt. SPVM will probably be about as concentrated as the Guggenheim Pure Value ETFs. You/Jared are likely right that it will not necessarily h...
by Sammy_M
Sun May 07, 2017 6:15 am
Forum: Investing - Theory, News & General
Topic: PowerShares S&P 500 Value with Momentum ETF (SPVM)
Replies: 10
Views: 1316

PowerShares S&P 500 Value with Momentum ETF (SPVM)

I am interested in thoughts on the captioned new Value + Momentum fund that has a 0.30% ER. Mine are that while non-diversified, it should have strong Value and Momentum characteristics. It will be interesting to see once it has a longer history. SPVM seeks to track the S&P 500 High Momentum Value I...
by Sammy_M
Mon Mar 20, 2017 6:36 pm
Forum: Investing - Theory, News & General
Topic: What do you expect to achieve with your Tilt?
Replies: 85
Views: 8608

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

The standard deviation also tells us more than just what to expect annually, it provides an indication of what to expect over longer time horizons e.g. 25 years. For example a SD of 14 implies returns of one in every six 25 year periods of 2.8 percent below the mean [14/SQRT(25)] i.e. there is abou...