Search found 4732 matches

by AlohaJoe
Fri Oct 11, 2019 9:56 pm
Forum: Investing - Theory, News & General
Topic: Auto Investment (AIP) for Vanguard ETFs
Replies: 5
Views: 448

Re: Auto Investment (AIP) for Vanguard ETFs

There seems to be no reason why Vanguard could not purchase whole and fractional ETF shares on a scheduled basis via open-market purchases like they do for fractional shares purchased for ETF dividend reinvestments. Vanguard could start the ETF AIP Program with limited number of pre-set dates of AI...
by AlohaJoe
Fri Oct 11, 2019 10:42 am
Forum: Investing - Theory, News & General
Topic: Payment for Order Flow
Replies: 7
Views: 574

Re: Payment for Order Flow

From what I've read it's generally not an issue for the average investor as the difference is usually only a few extra cents per trade and things like price improvement have a bigger impact. I think that afan is right that there's really a big win for price improvement. According to Fidelity's own ...
by AlohaJoe
Fri Oct 11, 2019 1:25 am
Forum: Personal Finance (Not Investing)
Topic: IRS CP2000 notice -- hard lesson (missing cost basis)
Replies: 35
Views: 2882

Re: IRS CP2000 notice -- hard lesson (missing cost basis)

AHTFY wrote:
Thu Oct 10, 2019 11:25 pm
Wait, the IRS tried to tax the entire $50k as a gain? They assumed the cost basis was zero?
What cost basis do you think the IRS should assume when it isn't provided?
by AlohaJoe
Thu Oct 10, 2019 11:59 pm
Forum: Investing - Theory, News & General
Topic: 2017 Relative Tax Efficiency
Replies: 139
Views: 35136

Re: 2017 Relative Tax Efficiency

Im working the numbers for 2018. Does anybody know where to find the QDI and Foreign Tax numbers for Invesco and WisdomTree etfs ??. Thanks :greedy Are you offering to help me retire from this project? FYI: the Vanguard stuff won't be out for a while so there's no rush. Did you retire from this pro...
by AlohaJoe
Thu Oct 10, 2019 10:33 pm
Forum: Non-US Investing
Topic: Australian Portfolio
Replies: 6
Views: 395

Re: Australian Portfolio

Everytime there's an Australian post andrew99999 gets to it before me! He never sleeps! I've put up a detailed page on this, but I think I'm not allowed to post a link to my own site, so feel free to PM me. FWIW, I've never got in trouble (or even a hint of it) for posting some information and then ...
by AlohaJoe
Thu Oct 10, 2019 4:05 am
Forum: Personal Investments
Topic: What should I do about employer / industry risk in tech?
Replies: 36
Views: 2855

Re: What should I do about employer / industry risk in tech?

my income is mid six figures, and my annual expenses are mid five figures. You are making $500,000 a year but spending $50,000 a year. You already have $1.4 million and no debt. Why will it take you a decade to get comfortable? In 12 months you'll have enough money to retire forever. The year after...
by AlohaJoe
Wed Oct 09, 2019 9:54 pm
Forum: Investing - Theory, News & General
Topic: John Bogle’s formula says 1% real stock returns likely over next decade
Replies: 156
Views: 12691

Re: John Bogle’s formula says 1% real stock returns likely over next decade

(Not that CAPE even matters for the formula calculation) As I understand his reasoning, he uses CAPE because he's trying to extrapolate a decade into the future. Extrapolating 10 years using a single previous year's P/E is kind of brave. Hence use the CAPE because it's an average that reveals the t...
by AlohaJoe
Wed Oct 09, 2019 10:17 am
Forum: Non-US Investing
Topic: Discussion of Brokerage fee importance
Replies: 8
Views: 642

Re: Discussion of Brokerage fee importance

Using DBS is easier to keep track of everything and has better Forex, so the I feel the advantage of using SCB is minimal. (My salary is in Singapore dollars, so I will need to convert it before I invest). I think I am stressing out to much about the .1% extra commission and wanted other people inp...
by AlohaJoe
Tue Oct 08, 2019 10:44 pm
Forum: Investing - Theory, News & General
Topic: What's a way to determin what is tax-efficient?
Replies: 14
Views: 1358

Re: What's a way to determin what is tax-efficient?

1. What's a reliable way you guys use to determine whether a Fund or ETF is tax-efficient or not? Is there a standard go-to method for this? The only reliable way is to lookup all of a fund's distributions and then plug those numbers into your own personal tax return and see what happens. A lot of ...
by AlohaJoe
Tue Oct 08, 2019 8:50 am
Forum: Personal Finance (Not Investing)
Topic: What are the essential and discretionary expenses in a retirement budget?
Replies: 110
Views: 6124

Re: What are the essential and discretionary expenses in a retirement budget?

My problem is that I do not have a huge buffer to withstand a huge downturn without affecting the quality of my lifestyle. The reality is that for most people, if they have enough money to build a liability-matching portfolio, they also have enough money to not build a liability-matching portfolio ...
by AlohaJoe
Tue Oct 08, 2019 3:57 am
Forum: Investing - Theory, News & General
Topic: Emerging markets as a percent of international
Replies: 37
Views: 2920

Re: Emerging markets as a percent of international

...The problem is that these percentages constantly fluctuate, so if your IPS calls for market cap holdings, you can't have fixed allocations. All of these questions are wonderfully quaint for those of us on the global market cap bandwagon. VTWAX and done. related question... I can't buy VTWAX with...
by AlohaJoe
Mon Oct 07, 2019 8:31 pm
Forum: Personal Finance (Not Investing)
Topic: What are the essential and discretionary expenses in a retirement budget?
Replies: 110
Views: 6124

Re: What are the essential and discretionary expenses in a retirement budget?

House insurance and tax are essential, but if we can downsize in a real bleak situation, then we may cut that expense by a half. So when you make your retirement budget, what are the discretionary items and how do you decide them? Virtually none of the things you list are "essential", as you yourse...
by AlohaJoe
Sat Oct 05, 2019 12:50 am
Forum: Personal Consumer Issues
Topic: 2 Factor Authorization failures
Replies: 22
Views: 1898

Re: 2 Factor Authorization failures

are now sending texts to my U.S. cell number (which, of course, does not work in my location in which I must use a separate sim card). Buy a second phone and put your US SIM card in it. Then you can receive SMS messages from your bank. A Nokia 105 costs $15 and there are other brands that are even ...
by AlohaJoe
Wed Oct 02, 2019 9:29 pm
Forum: Personal Finance (Not Investing)
Topic: Wire transfer routing number mix up.
Replies: 12
Views: 1212

Re: Wire transfer routing number mix up.

Will this be hard to straighten out? Is it a big problem to get the sender to resubmit the wire with the other routing number? Can they do it over the phone? The one time someone sent me a wire transfer with the wrong details, it wasn't a big problem for them to fix. They had to call their bank and...
by AlohaJoe
Wed Oct 02, 2019 8:36 pm
Forum: Investing - Theory, News & General
Topic: If all brokerages charged zero commission for trades, which brokerage would you pick?
Replies: 75
Views: 6217

Re: If all brokerages charged zero commission for trades, which brokerage would you pick?

Raabe34 wrote:
Wed Oct 02, 2019 11:50 am
AlohaJoe wrote:
Wed Oct 02, 2019 9:15 am
The securities lending is nice. The easy access to margin for cash flow is nice.
Do you mean your ability to borrow against your securities or are you generating your own revenue that way?
Both.
by AlohaJoe
Wed Oct 02, 2019 9:27 am
Forum: Non-US Investing
Topic: EU / US citizen looking for Interactive Broker ETF investment tips
Replies: 4
Views: 430

Re: EU / US citizen looking for Interactive Broker ETF investment tips

1. I am 99% sure I cannot invest in any ETFs based in the EU - they must all be in American markets to avoid the heavy tax penalties mentioned in many of your posts. Otherwise, to stay fully complaint with both Dutch and US tax laws, your choices might boil down to either trying to become registere...
by AlohaJoe
Wed Oct 02, 2019 9:17 am
Forum: Investing - Theory, News & General
Topic: If all brokerages charged zero commission for trades, which brokerage would you pick?
Replies: 75
Views: 6217

Re: If all brokerages charged zero commission for trades, which brokerage would you pick?

I would stay with Vanguard regardless as it has the unique structure: a truly mutual mutual fund company. Is this still really true? People who have Vanguard Brokerage accounts aren't owners of Vanguard Brokerage (which is a separate company). People who use Vanguard PAS don't own PAS (which is a s...
by AlohaJoe
Wed Oct 02, 2019 9:15 am
Forum: Investing - Theory, News & General
Topic: If all brokerages charged zero commission for trades, which brokerage would you pick?
Replies: 75
Views: 6217

Re: If all brokerages charged zero commission for trades, which brokerage would you pick?

So in other words, if all brokerages charged zero commission for trades, which brokerage is the best and why? I would still use Interactive Brokers. The main reason is: virtually all of the others don't allow non-US customers. So that makes it pretty simple. But it does have other nice things that ...
by AlohaJoe
Wed Oct 02, 2019 4:19 am
Forum: Non-US Investing
Topic: Interactive Brokers Lite
Replies: 6
Views: 834

Re: Interactive Brokers Lite

sublimelaconic wrote:
Wed Oct 02, 2019 3:44 am
Will IBKR Lite be available for all countries (I'm from the Philippines)?
You can go to IB and check. It says where it will be available. It also lists the catches.
by AlohaJoe
Tue Oct 01, 2019 6:14 am
Forum: Personal Investments
Topic: How much should I expect div and ltcg to fluctuate?
Replies: 3
Views: 350

Re: How much should I expect div and ltcg to fluctuate?

Dividends have dropped by over 50% in the past.

I would expect it to be even more likely going forward, since yields are lower now so it takes a smaller cut to get to 50%. Going from 6% to 3% means cutting 300 basis points of yield. But going from 2% to 1% only takes 100 basis points of yield.
by AlohaJoe
Tue Oct 01, 2019 6:08 am
Forum: Investing - Theory, News & General
Topic: Yield or P/E ratio for thinking about expected stock returns
Replies: 8
Views: 452

Re: Yield or P/E ratio for thinking about expected stock returns

For forecasting 10 year returns

Dividend yield has an r-squared of 0.18
P/E1 has an r-squared of 0.38

Dividend yield is pretty terrible. P/E is better but only in the "least bad" kind of sense.
by AlohaJoe
Mon Sep 30, 2019 1:28 am
Forum: Investing - Theory, News & General
Topic: Why not use Margin Loan as eFund?
Replies: 63
Views: 3678

Re: Why not use Margin Loan as eFund?

https://en.wikipedia.org/wiki/Home_equity_line_of_credit "In 2008 major home equity lenders including Bank of America, Countrywide Financial, Citigroup, JP Morgan Chase, National City Mortgage, Washington Mutual and Wells Fargo began informing borrowers that their home equity lines of credit had be...
by AlohaJoe
Sun Sep 29, 2019 7:26 pm
Forum: Investing - Theory, News & General
Topic: Interactive Brokers (Best Kept Secret)
Replies: 171
Views: 49657

Re: Interactive Brokers (Best Kept Secret)

Hopefully there will be a lot of people who will want to short VOO/VTI soon so I can get some extra money from lending shares! You're going to be disappointed :o . There's just not much lending in the large cap space. For one thing, people can already borrow all of the underlying shares easily from...
by AlohaJoe
Sun Sep 29, 2019 5:35 pm
Forum: Investing - Theory, News & General
Topic: Historical Bond Returns - [Simulating Total Bond Market]
Replies: 26
Views: 655

Re: An experiment in improving Longinvest Bond Simulator for TBM by incorporating TSM [Bond Fund Simulator]

I first ran a return regression in Portfolio Visualizer for Vanguard Total Bond Fund against Total Stock Index, Short term treasury index, Intermediate term treasury index and Long Term treasury index. This came up with VBMFX being composed of 4.9% TSM, 54.2% ITT, 26.1% STT, and 14.8% LTT. Very nif...
by AlohaJoe
Sun Sep 29, 2019 10:05 am
Forum: Investing - Theory, News & General
Topic: Ray Dalio bullish on China (China market cap to overtake US in 2030?)
Replies: 58
Views: 5290

Re: Ray Dalio bullish on China (China market cap to overtake US in 2030?)

Indeed, the Vanguard Total Stock Market Index Fund invests in "the entire U.S. equity market ," not "stocks of US companies." Thus Total Stock Market includes a handful of foreign-domiciled companies. Indeed, so does the S&P 500 itself . I think it is more accurate to say it invests in stocks of US...
by AlohaJoe
Sun Sep 29, 2019 5:12 am
Forum: Investing - Theory, News & General
Topic: Ray Dalio bullish on China (China market cap to overtake US in 2030?)
Replies: 58
Views: 5290

Re: Ray Dalio bullish on China (China market cap to overtake US in 2030?)

Forester wrote:
Sun Sep 29, 2019 3:54 am
Does it make sense to get too excited about individual country bets.. if the Chinese become prosperous so will the Indians, Indonesians, Malays and so on.
I don't see how this follows at all. It is like someone in the 1800s saying "if America becomes prosperous then so will Mexico and Brazil".
by AlohaJoe
Sun Sep 29, 2019 4:16 am
Forum: Personal Consumer Issues
Topic: Do you wash berries?
Replies: 71
Views: 4134

Re: Do you wash berries?

To anyone who doesn't wash produce: Don't ever invite me to dinner, in general all your sanitary habits are suspect. The Number One reason I rinse produce is the risk that someone along the way that handled or touched it had things on their hands that could contaminate the produce - such as folks w...
by AlohaJoe
Sat Sep 28, 2019 11:10 pm
Forum: Investing - Theory, News & General
Topic: Why not use Margin Loan as eFund?
Replies: 63
Views: 3678

Re: Why not use Margin Loan as eFund?

Most people don't have a $100,000 taxable account, especially when they're at the phase of their life where they most need an emergency fund.

By the time most people have a $100,000 taxable account, you'll find many people saying they no longer need an emergency fund at all.
by AlohaJoe
Sat Sep 28, 2019 10:32 pm
Forum: Investing - Theory, News & General
Topic: Interactive Brokers (Best Kept Secret)
Replies: 171
Views: 49657

Re: Interactive Brokers (Best Kept Secret)

AndroAsc wrote:
Sat Sep 28, 2019 10:29 pm
I'm trying to understand this margin loan thing from a few posts back. Is it possible to use it as an emergency fund? Is the loan callable?
Yes and yes.
by AlohaJoe
Sat Sep 28, 2019 7:31 am
Forum: Investing - Theory, News & General
Topic: Interactive Brokers (Best Kept Secret)
Replies: 171
Views: 49657

Re: Interactive Brokers (Best Kept Secret)

According to their website, IBKR does not charge ACAT transfer out fees. It is one of the few not to levy such a fee, the other two notable ones being Vanguard and Fidelity. Wells Fargo has never charged me an ACAT transfer out fee, either. I was trying to compare the ACAT fees for full transfers. ...
by AlohaJoe
Sat Sep 28, 2019 7:28 am
Forum: Personal Finance (Not Investing)
Topic: Ideal income bracket target?
Replies: 49
Views: 4813

Re: Ideal income bracket target?

Surely the ideal bracket is 35% because that means you have lots and lots of money. Having less money in order to pay less tax is not "ideal", it is crazy.
by AlohaJoe
Sat Sep 28, 2019 3:45 am
Forum: Investing - Theory, News & General
Topic: Bonds returns are on par with Stocks?
Replies: 98
Views: 5502

Re: Bonds returns are on par with Stocks?

Bond and equity returns were equal in the 1800's. Why? Because there was no inflation. Your nominal return was equal to your real return. This is false (and extremely false at that) and easily disproved by looking at the easily available evidence. In 1879, just to cherry pick one year, inflation wa...
by AlohaJoe
Sat Sep 28, 2019 3:07 am
Forum: Investing - Theory, News & General
Topic: Bonds returns are on par with Stocks?
Replies: 98
Views: 5502

Re: Bonds returns are on par with Stocks?

2) Jason Zweig savaged earlier data, particularly that used by Jeremy Siegel in Stocks for the Long Run . Basically, people can find data about prices, but data on dividends is much harder to find Reading McQuarrie's paper, one of his main claims as regards to stocks is that he has discovered new s...
by AlohaJoe
Fri Sep 27, 2019 10:26 pm
Forum: Investing - Theory, News & General
Topic: Interactive Brokers (Best Kept Secret)
Replies: 171
Views: 49657

Re: Interactive Brokers (Best Kept Secret)

indexfundfan wrote:
Fri Sep 27, 2019 9:17 pm
According to their website, IBKR does not charge ACAT transfer out fees.

It is one of the few not to levy such a fee, the other two notable ones being Vanguard and Fidelity.
Wells Fargo has never charged me an ACAT transfer out fee, either.
by AlohaJoe
Fri Sep 27, 2019 4:26 am
Forum: Non-US Investing
Topic: Investing in Vietnam for Expat
Replies: 10
Views: 851

Re: Investing in Vietnam for Expat

I know my current bank in Canada won't let me invest in a TFSA account while living overseas, but I think I will email every other bank in the country to see if any of them would let me open a TFSA with them. Are you certain that opening a TFSA while not a Canadian resident is a good idea? Plus a T...
by AlohaJoe
Fri Sep 27, 2019 4:00 am
Forum: Non-US Investing
Topic: Investing in Vietnam for Expat
Replies: 10
Views: 851

Re: Investing in Vietnam for Expat

Do you think an online broker is the only way for me to invest while living in Vietnam? I don't quite understand what you mean here. There's no such thing as a "broker that isn't online" in 2019. Every broker is an online broker. If you're asking "is there some way to invest without using a broker"...
by AlohaJoe
Thu Sep 26, 2019 5:50 am
Forum: Personal Finance (Not Investing)
Topic: Calling fellow schwabers [Where to park cash?]
Replies: 17
Views: 1694

Re: Calling fellow schwabers

You can buy any ETF you want at Schwab. Put your emergency fund in one.
by AlohaJoe
Wed Sep 25, 2019 6:49 pm
Forum: Personal Investments
Topic: Auto sell funds for ACH transfer?
Replies: 9
Views: 397

Re: Auto sell funds for ACH transfer?

Pretty sure that's how every single robo-advisor works, which means essentially every brokerage since they all have robo-advisors nowadays.

If you want it for free, I think that's how m1finance works.
by AlohaJoe
Tue Sep 24, 2019 5:04 pm
Forum: Investing - Theory, News & General
Topic: Curious> China emerging market.
Replies: 11
Views: 1036

Re: Curious> China emerging market.

What is the criteria for determining which countries are emerging markets. China is the second largest economy in the world but is classified as an emerging market. I don't get it. Every index provider lists their methodology. It includes things like "rare incidence of failed trades", "omnibus and ...
by AlohaJoe
Tue Sep 24, 2019 4:26 pm
Forum: Investing - Theory, News & General
Topic: Case study Broker trade executions
Replies: 286
Views: 36206

Re: Case study Broker trade executions

When I actually entered such orders last year, they were the definition of "marketable limit order" and failed to execute. This is also an interesting data point. I would have expected at least a partial execution. I'm only conjecturing, but my guess is that the limit was right at the bid or ask an...
by AlohaJoe
Tue Sep 24, 2019 4:11 pm
Forum: Personal Investments
Topic: retiring abroad with savings worth 200k...
Replies: 101
Views: 14965

Re: retiring abroad with savings worth 200k...

For this particular example, had the German and Austrian retirees stayed in their home countries, would they experience the same shortage of money even sooner? I would assume so. The point is that a "low income country" isn't going to stay a low income country forever. Becoming a high income countr...
by AlohaJoe
Mon Sep 23, 2019 9:37 pm
Forum: Investing - Theory, News & General
Topic: Wade Pfau: Does The 4% Rule Work In Today’s Markets?
Replies: 149
Views: 11484

Re: Wade Pfau: Does The 4% Rule Work In Today’s Markets?

It may have already happened twice (e.g. the nationalization of both the Russian and Chinese stock markets in the first half of the 20th century). If I may add a historical quibble & correction :) (Randomly, I just happened to read a few books on the Chinese Civil War and early years of the People'...
by AlohaJoe
Mon Sep 23, 2019 8:20 pm
Forum: Personal Consumer Issues
Topic: Buying a home with unpermitted addition
Replies: 59
Views: 5907

Re: Buying a home with unpermitted addition

If its been there for 10 years I wouldn't be too worried about the safety of the structure. The real concern is dealing with any possible govt red tape. Maybe give the county a call and see what the procedure is to have it legitimized. At the very least expect a new assessment and corresponding inc...
by AlohaJoe
Mon Sep 23, 2019 6:24 pm
Forum: Investing - Theory, News & General
Topic: Historical Bond Returns - From Rates to Returns [Bond Fund Simulator]
Replies: 305
Views: 49468

Re: Historical Bond Returns - From Rates to Returns [Bond Fund Simulator]

I think that trying to reconstruct a total-market fund which includes corporates, call features, upgrade/downgrades, etc., with the very simple model of the bond fund simulator would be a mistake. This is a crude mapping for sure, it has been (and will remain) marked as such in the Simba spreadshee...
by AlohaJoe
Mon Sep 23, 2019 5:09 pm
Forum: Personal Consumer Issues
Topic: Someone stole my wife's phone number (ie. ported to another carrier)
Replies: 52
Views: 4939

Re: Someone stole my wife's phone number (ie. ported to another carrier)

What do people think of using a Google Voice number as for 2FA? Potentially safer to avoid a SIM Swap attack? An increasing number of financial institutions block Google Voice (and other services like it) for their 2FA; it go through the Google Voice user forums you'll see many complaints of this h...
by AlohaJoe
Mon Sep 23, 2019 4:54 pm
Forum: Investing - Theory, News & General
Topic: Case study Broker trade executions
Replies: 286
Views: 36206

Re: Case study Broker trade executions

[...] Say I am, unfortunately, in the position of needing to do some tax loss harvesting. I have $100,000 in proceeds from the sell of another security and want to add to my holding. The bid-ask is 64.30-64.40. I put in a "marketable limit order" of 64.32. Guess what. It doesn't execute. If that wa...
by AlohaJoe
Mon Sep 23, 2019 4:43 pm
Forum: Investing - Theory, News & General
Topic: Case study Broker trade executions
Replies: 286
Views: 36206

Re: Case study Broker trade executions

In the real world, what happens when a sizable market order is placed to sell a thinly traded ETF? We might expect the trade to execute almost instantly at a terrible price. But maybe brokers have a duty to step in to reduce the customer’s pain, trying to get closer to a fair price even if this cau...
by AlohaJoe
Sun Sep 22, 2019 11:15 pm
Forum: Personal Investments
Topic: retiring abroad with savings worth 200k...
Replies: 101
Views: 14965

Re: retiring abroad with savings worth 200k...

50 years is a LONG LONG time to expect things to be stable in the developing world. Exactly. A friend's father early retired to Thailand a decade or two ago. He's Austrian and apparently Hua Hin is a popular place for German and Austrian retirees for some reason. My friend tells me that over the ye...