Search found 556 matches

by donaldfair71
Thu Jul 02, 2020 8:05 am
Forum: Personal Investments
Topic: Is wealthfront Stock Level investing under appreciated by Boglehead community?
Replies: 47
Views: 2697

Re: Is wealthfront Stock Level investing under appreciated by Boglehead community?

I think the people who find Bogleheads are, to put it bluntly, the top 1% if efficient investors. I don’t mean that in tax efficiency alone, or behavior alone, I simply mean that they get more out of the least amount of work than 99% if investors. Even the “active” ones, the tilters, the ones who u...
by donaldfair71
Thu Jul 02, 2020 4:55 am
Forum: Personal Investments
Topic: Is wealthfront Stock Level investing under appreciated by Boglehead community?
Replies: 47
Views: 2697

Re: Is wealthfront Stock Level investing under appreciated by Boglehead community?

I think the people who find Bogleheads are, to put it bluntly, the top 1% if efficient investors. I don’t mean that in tax efficiency alone, or behavior alone, I simply mean that they get more out of the least amount of work than 99% if investors. Even the “active” ones, the tilters, the ones who us...
by donaldfair71
Tue Jun 30, 2020 10:41 am
Forum: Personal Investments
Topic: Rental properties: best-performing asset class in 2020?
Replies: 55
Views: 1907

Re: Rental properties: best-performing asset class in 2020?

As other examples: I could invest zero, get a weekend part time job and make infinite percentage from the pay. I could sell tradelines on my credit cards. I invest zero, spend time to add AUs, keep track so that cards with AUs have enough spend to report to the credit bureaus and remove AUs at the ...
by donaldfair71
Sun Jun 21, 2020 6:55 pm
Forum: Investing - Theory, News & General
Topic: CALPERS Needs 7% Return
Replies: 58
Views: 6946

Re: CALPERS Needs 7% Return

Pensions will need to be cut. More likely taxes will need to be raised. Or workers' contribution percentage goes up. Or employers' contribution percentage goes up. Or some combination of 2, 3, or all 4 of the above. Regardless, it's not any sort of sky-is-falling scenario, despite the headlines and...
by donaldfair71
Fri Jun 19, 2020 5:09 pm
Forum: Personal Finance (Not Investing)
Topic: Too Much Retirement/Not Enough for House?
Replies: 125
Views: 12306

Re: Too Much Retirement/Not Enough for House?

"I live in one of these areas around DC (Haymarket), and was lucky enough to be able to afford a townhome in 2009 that I would never ever afford now (our take home is similar you yours)." I do not know that area myself - are the home values generally up over most all time periods there? Have the ho...
by donaldfair71
Fri Jun 19, 2020 12:02 pm
Forum: Personal Finance (Not Investing)
Topic: Too Much Retirement/Not Enough for House?
Replies: 125
Views: 12306

Re: Too Much Retirement/Not Enough for House?

I live in one of these areas around DC (Haymarket), and was lucky enough to be able to afford a townhome in 2009 that I would never ever afford now (our take home is similar you yours). My advice to you is what I would tell myself back then had the housing market not cratered: rent. That, or try to...
by donaldfair71
Fri Jun 19, 2020 7:56 am
Forum: Personal Finance (Not Investing)
Topic: Too Much Retirement/Not Enough for House?
Replies: 125
Views: 12306

Re: Too Much Retirement/Not Enough for House?

I live in one of these areas around DC (Haymarket), and was lucky enough to be able to afford a townhome in 2009 that I would never ever afford now (our take home is similar you yours). My advice to you is what I would tell myself back then had the housing market not cratered: rent. That, or try to...
by donaldfair71
Fri Jun 19, 2020 6:50 am
Forum: Personal Finance (Not Investing)
Topic: Too Much Retirement/Not Enough for House?
Replies: 125
Views: 12306

Re: Too Much Retirement/Not Enough for House?

I live in one of these areas around DC (Haymarket), and was lucky enough to be able to afford a townhome in 2009 that I would never ever afford now (our take home is similar you yours). My advice to you is what I would tell myself back then had the housing market not cratered: rent. That, or try to ...
by donaldfair71
Mon Mar 23, 2020 4:53 am
Forum: Investing - Theory, News & General
Topic: anyone accelerating their 401/457/403 contributions in next X weeks/months?
Replies: 27
Views: 1462

Re: anyone accelerating their 401/457/403 contributions in next X weeks/months?

Yes, but only coincidentally.

I have a 100/month car payment coming off the books April 1 and a daycare bill coming off the books mid June. The 100 goes straight to the sp500 fund in my 403b. About half the daycare will go to 529 plan, the other half to the 403b.
by donaldfair71
Sun Mar 22, 2020 8:24 am
Forum: Personal Investments
Topic: Guys I Rebalanced (Moved Monies Out Of S&P 500)
Replies: 301
Views: 18138

Re: Guys I Rebalanced (Moved Monies Out Of S&P 500)

The stock market is a wealth transfer device from the emotional to the opportunistic For better or worse most people don’t have the temperament to be financially independent There’s a reason it’s called the 1% Bingo. JP Morgan said it best, “Bear markets return stocks to their rightful owners”. Thi...
by donaldfair71
Sat Mar 21, 2020 2:09 pm
Forum: Personal Investments
Topic: I ran out of TLH partners!
Replies: 14
Views: 993

Re: I ran out of TLH partners!

SCHB = Schwab total market ETF
VTI= Vanguard total market ETF
ITOT= iShares total market ETF
SPTM= SPDR total market ETF

Don’t know the exact index tracked by each but take a look and see if any make you feel comfortable.
by donaldfair71
Sat Mar 21, 2020 12:49 pm
Forum: Personal Investments
Topic: Guys I Rebalanced (Moved Monies Out Of S&P 500)
Replies: 301
Views: 18138

Re: Guys I Rebalanced (Moved Monies Out Of S&P 500)

It sounds like you are a bit earlier in your investing career, is that correct? The future is hard to predict-- but I'll try: I predict you will come to regret this decision in the future. Please explain. DOW is at 19000 as of yesterday. States are shutting down. Sectors are shutting down. Not havi...
by donaldfair71
Sat Mar 21, 2020 12:40 pm
Forum: Investing - Theory, News & General
Topic: CoronaCrash shows ETF is better than Mutual Fund
Replies: 51
Views: 4817

Re: CoronaCrash shows ETF is better than Mutual Fund

1. Does the accountant-best-estimate NAV price during periods like this serve to potentially help the MF buyer as much as hurt? In other words, in your opinion, can the estimates be lower than true NAV as much as they can be higher, in likelihood? 2. Once we’re out of this odd period, does the acco...
by donaldfair71
Sat Mar 21, 2020 6:51 am
Forum: Investing - Theory, News & General
Topic: CoronaCrash shows ETF is better than Mutual Fund
Replies: 51
Views: 4817

Re: CoronaCrash shows ETF is better than Mutual Fund

As a modest counterpoint, mutual fund's NAVs for some funds are running way higher than the ETFs price. Having a fair amount of direct experience in this subject, I suspect that the mutual funds are running with old stale data and are pricing their funds too high. So if you buy in blindly too high ...
by donaldfair71
Fri Mar 20, 2020 7:47 pm
Forum: Investing - Theory, News & General
Topic: End of corporate stock buybacks??
Replies: 75
Views: 4585

Re: End of corporate stock buybacks??

They could choose to suspend the dividend completely if cash flow becomes a true issue for them. I don’t believe that is the case for them as much as it is for companies like Budweiser which drew down the entirety of its $7 billion line on Wednesday when it already had $9 billion in cash on the boo...
by donaldfair71
Wed Mar 11, 2020 1:07 pm
Forum: Investing - Theory, News & General
Topic: Can You Retire on the S&P 500?
Replies: 60
Views: 5859

Re: Can You Retire on the S&P 500?

Bogleheads - I read this article and was interested in thoughts. This article titled "Can You Retire on the S&P 500?" compares two portfolios - S&P 500 and a multi asset class DFA portfolio with Vanguard Index 500 added. This analysis shows a retiree, with a S&P 500 fund only, running out of money ...
by donaldfair71
Thu Feb 06, 2020 3:34 pm
Forum: Personal Finance (Not Investing)
Topic: FreeTaxUSA first-time user
Replies: 9
Views: 700

Re: FreeTaxUSA first-time user

I have used FreeTaxUSA for years.

My suggestion: Plug a dummy return into another service as well. This will be free, and use fake identity/SSN/Etc, but use real numbers. If the final numbers don't match, you can investigate further.
by donaldfair71
Thu Feb 06, 2020 9:27 am
Forum: Investing - Theory, News & General
Topic: Vanguard Broadens Reach With Entry Into Private Equity
Replies: 69
Views: 4833

Re: Vanguard Broadens Reach With Entry Into Private Equity

So long as my total market funds continue to cost the same as they do now, or cheaper, Vanguard can invest in anything it wants.
by donaldfair71
Mon Jan 06, 2020 8:39 am
Forum: Investing - Theory, News & General
Topic: "Why Jack Bogle Doesn't Own Non-U.S. Stocks"
Replies: 315
Views: 20620

Re: "Why Jack Bogle Doesn't Own Non-U.S. Stocks"

One thing I don't understand when discussing this, and I have asked in other threads, is this: If we assume that owning US-only stocks (in the form of a total market fund) provides "enough" diversification internationally because many of these businesses are multi-national, how do we wholly capture ...
by donaldfair71
Sat Dec 21, 2019 8:35 am
Forum: Personal Consumer Issues
Topic: Millionaire Teacher - Andrew Hallam
Replies: 70
Views: 10744

Re: Millionaire Teacher - Andrew Hallam

Just to provide another perspective to the conversation, in Baltimore, MD a third year teacher with only a Bachelor’s degree can earn $92,393. This is due to a progressive contract that allows teachers to advance at their own pace. The attrition rate is enormously high with most teachers leaving wi...
by donaldfair71
Fri Dec 20, 2019 9:20 am
Forum: Personal Consumer Issues
Topic: Millionaire Teacher - Andrew Hallam
Replies: 70
Views: 10744

Re: Millionaire Teacher - Andrew Hallam

I always find it interesting that more people don't go into teaching if it is such an easy job with amazing benefits.

Bingo. Like anything, it has positives and negatives. But lots of areas are short teachers if you find it a wonderful deal!
by donaldfair71
Thu Dec 19, 2019 11:10 am
Forum: Personal Consumer Issues
Topic: Millionaire Teacher - Andrew Hallam
Replies: 70
Views: 10744

Re: Millionaire Teacher - Andrew Hallam

Well, considering teachers where I live in east bumble LCOL area make $75k...not that difficult to make it to a million, real quick. For real? Where is that, I want to move! Here in the Charlotte, NC metro (a MCOL area), teachers max out around that number (with 30 years experience, National Board ...
by donaldfair71
Tue Dec 17, 2019 10:23 am
Forum: Personal Investments
Topic: Creative Planning vs Ritholtz Wealth Management
Replies: 13
Views: 1557

Re: Creative Planning vs Ritholtz Wealth Management

I love that podcast. Barry is a great interviewer, and I highly suggest his interview with John Bogle from a while back. I also love the podcast done by a few of his employees called "Animal Spirits". That being said, there's a little irony in that Ritholtz Wealth will regularly talk about RIAs char...
by donaldfair71
Fri Dec 13, 2019 11:30 am
Forum: Investing - Theory, News & General
Topic: The Three-Fund Portfolio
Replies: 2876
Views: 1870572

Re: The Three-Fund Portfolio

Just came across this thread. I don't understand why should one invest in Total International Stock ETF (VXUS). Since inception, it has underperformed even BND, while the risk profile is much much higher than BND. Currently I am 90% VTI (have been since 2013) and reaped the benefits, but would like...
by donaldfair71
Fri Dec 13, 2019 11:22 am
Forum: Investing - Theory, News & General
Topic: The Index Myth
Replies: 47
Views: 5109

Re: The Index Myth

Can't active outperformance during bear markets be explained partially by the cash positions that actively-managed funds tend to have, regardless of fees?

I guess the same can be said during bull markets in reverse. Doesn't explain all alpha, or alpha lost, but explains some of it.
by donaldfair71
Sat Dec 07, 2019 11:07 am
Forum: Investing - Theory, News & General
Topic: Total Stock vs. S&P 500
Replies: 55
Views: 5960

Re: Total Stock vs. S&P 500

Both here, by necessity.

S&P500 in my workplace plans, as it's what is offered.
Total stock in taxable and 529 plans
by donaldfair71
Thu Nov 14, 2019 7:42 pm
Forum: Investing - Theory, News & General
Topic: [Deleted]
Replies: 144
Views: 13842

Re: SP500 is very top heavy right now

The concentration at 17% doesn’t bother me at all either. This seems like a more than reasonable amount of an AA to allot to these companies 1.5-3.5% of total. Also, there’s no way I could do better stock picking (or meddling around with tilting) than what my portfolio has done indexing to the tota...
by donaldfair71
Thu Nov 14, 2019 7:34 pm
Forum: Investing - Theory, News & General
Topic: [Deleted]
Replies: 144
Views: 13842

Re: SP500 is very top heavy right now

This is a pretty cool site that lets you see holdings of the S&P 500 by year: https://etfdb.com/history-of-the-s-and-p-500/#1999 Top 5 in 1999: Microsoft GE Cisco Wal-Mart Exxon Mobil And by owning the index you automatically rebalanced from these to the new list without taxable side effects. This ...
by donaldfair71
Thu Nov 07, 2019 5:21 am
Forum: Personal Investments
Topic: Vanguard suggesting I move to ETF's
Replies: 40
Views: 3954

Re: Vanguard suggesting I move to ETF's

I'm surprised that Vanguard is actually recommending ETFs over mutual funds. I would have guessed that they would have been neutral. I’ve come to opinion that Vanguard would prefer other brokerages have the customer service / brokerage responsibility. Same. I think, in Vanguard’s perfect world, the...
by donaldfair71
Wed Nov 06, 2019 10:30 am
Forum: Investing - Theory, News & General
Topic: 2020 I Bonds: what's your plan?
Replies: 55
Views: 7551

Re: 2020 I Bonds: what's your plan?

The fixed rate changed to 0.2% on Nov. 1. So for 2020 , are you planning on buying I Bonds with the 0.2% fixed rate at the beginning of the year, or waiting to see what the fixed rate will be on May 1? If you plan to buy your max I Bond allocation, you should not buy I Bonds in January. The first t...
by donaldfair71
Tue Nov 05, 2019 9:17 pm
Forum: Investing - Theory, News & General
Topic: Is it OK to take less risk and spend more money once you’ve reached your goals even if you are young?
Replies: 63
Views: 5942

Re: Is it OK to take less risk and spend more money once you’ve reached your goals even if you are young?

Just keep in the back of your mind the idea that, the more you increase spending, the bigger your FI number increases. At the same time, your savings rate decreases. It’s kind of a double whammy in that way. You need more while saving less. If FI isn’t part of your plan, then disregard. I’m sorry b...
by donaldfair71
Tue Nov 05, 2019 9:09 pm
Forum: Investing - Theory, News & General
Topic: Saudi Aramco, a microcosm of International Equities issues.
Replies: 38
Views: 3196

Re: Saudi Aramco, a microcosm of International Equities issues.

Whoever holds an international index fund "will participate". So what ? It seems like you know something others don't and Aramco's actual value is in fact a lot lower than what the market estimates presently. Red flag number #1. Do I dare know something the market does not? Let's talk about this id...
by donaldfair71
Mon Nov 04, 2019 7:50 pm
Forum: Investing - Theory, News & General
Topic: Is it OK to take less risk and spend more money once you’ve reached your goals even if you are young?
Replies: 63
Views: 5942

Re: Is it OK to take less risk and spend more money once you’ve reached your goals even if you are young?

Just keep in the back of your mind the idea that, the more you increase spending, the bigger your FI number increases. At the same time, your savings rate decreases. It’s kind of a double whammy in that way. You need more while saving less.

If FI isn’t part of your plan, then disregard.
by donaldfair71
Sat Nov 02, 2019 5:38 am
Forum: Personal Investments
Topic: Still don’t understand Bond Index Funds..
Replies: 10
Views: 2301

Re: Still don’t understand Bond Index Funds..

Individual bonds have individual issuer risks. Diversified bond index funds are designed to avoid single issuer defaults . Diversified bond index funds are designed to spread the risk of any one single issuer default from having a significant impact on the performance of the fund. An index fund is ...
by donaldfair71
Wed Oct 30, 2019 2:29 pm
Forum: Investing - Theory, News & General
Topic: [Paul Merriman: This strategy beats a total stock market fund]
Replies: 173
Views: 15912

Re: [Paul Merriman: This strategy beats a total stock market fund]

Not even near to being on topic, but saving more is an easy way to have extra portfolio growth. Yes, that is obvious, but more growth is the desired result from all of the above portfolio yoga. Individuals could focus on more savings instead of the emphasis in this thread of trying to mine extra mo...
by donaldfair71
Wed Oct 30, 2019 8:23 am
Forum: Personal Investments
Topic: Changing Vanguard Funds
Replies: 10
Views: 1525

Re: Changing Vanguard Funds

Taylor what is it about the Target Date funds that are unsurpassed?\ I'm not Taylor but I agree with him. One can treat feeding money into this fund with the same simplicity of funding a bank account. It is managed for you from now until the day you die should you want it to. It will get more conse...
by donaldfair71
Tue Oct 29, 2019 10:40 am
Forum: Personal Investments
Topic: I’m done with index funds
Replies: 229
Views: 30360

Re: I’m done with index funds

OP, it appears the consensus here is overwhelmingly against your proposed strategy. I'm curious if your mind has been swayed by the responses or if you still plan to go ahead with your strategy? I'm also interested in OP's updated decision process, if it's changed. I can't get over the 70bp per yea...
by donaldfair71
Tue Oct 29, 2019 10:35 am
Forum: Personal Investments
Topic: I’m done with index funds
Replies: 229
Views: 30360

Re: I’m done with index funds

Cost People have pointed out that the .7% reduces one's return in a compound fashion. The counter argument is that unrealized capital gains also grows in a compound fashion, which has to be paid at the terminus. As long as the fee is lower than the long term capital gain taxes you win. As some have...
by donaldfair71
Mon Oct 28, 2019 12:18 pm
Forum: Personal Finance (Not Investing)
Topic: Just surrendered my whole life policy!
Replies: 13
Views: 1317

Re: Just surrendered my whole life policy!

Yes, the salesperson is still our "financial advisor" as we actually haven't met for almost 2 years and I have discovered bogleheads in the interim. We'll see whether he still is after our next meeting. While we may no longer needs his "advice," he does have valuable connections that we may utilize...
by donaldfair71
Sat Oct 26, 2019 7:16 am
Forum: Investing - Theory, News & General
Topic: BOSVX vs IJS for SCV Loading?
Replies: 55
Views: 2528

Re: BOSVX vs IJS for SCV Loading?

With regard to BOSVX versus IJS, I think a minor but significant point for tillers is the following. When one uses a fund with deeper exposures to size and value, that means he needs to take on less market beta risk (the risk he is trying to diversify away from in the first place) to get his desire...
by donaldfair71
Fri Oct 25, 2019 9:13 am
Forum: Investing - Theory, News & General
Topic: BOSVX vs IJS for SCV Loading?
Replies: 55
Views: 2528

Re: BOSVX vs IJS for SCV Loading?

Writing for the forum’s perspective as I know you’ve studied this. So I did go ahead and left an investment advisor but have kept the majority of the portfolio intact, with the exception of Muni’s which I switched to MUB (better credit rating, broader, cheaper). The one I’m questioning pulling out ...
by donaldfair71
Thu Oct 24, 2019 8:38 am
Forum: Investing - Theory, News & General
Topic: [Paul Merriman: This strategy beats a total stock market fund]
Replies: 173
Views: 15912

Re: Investing in the largest 10 companies?

Why do I want 20% of my money in the largest 10 companies? rascott: It makes me happy to know that at least 20% of my money is invested in the largest and most successful companies in the United States. :happy Best wishes Taylor I think everybody would be happy with it when things are going as well...
by donaldfair71
Wed Oct 23, 2019 2:50 pm
Forum: Investing - Theory, News & General
Topic: [Paul Merriman: This strategy beats a total stock market fund]
Replies: 173
Views: 15912

Re: [Paul Merriman: This strategy beats a total stock market fund]

I'm just a layman but I'm unconvinced. 1. If I own Total Stock Market and Total Int'l Stock Market then I already own every single equity in Merriman's more complicated portfolio, just in somewhat different weights. 2. The market has already valued every single equity at their current values. Any o...
by donaldfair71
Wed Oct 23, 2019 11:48 am
Forum: Investing - Theory, News & General
Topic: "Dogs of the Dow" in a Roth IRA with Zero Commissions
Replies: 52
Views: 3761

Re: "Dogs of the Dow" in a Roth IRA with Zero Commissions

OP, you are well aware of the benefits of diversification. If you are looking for the board's blessing on this, you're not going to get it. As far as attempts to beat the market go, I would say that this is not the best, but not the worst either. You can always try it and see what happens. I would ...
by donaldfair71
Wed Oct 23, 2019 11:34 am
Forum: Investing - Theory, News & General
Topic: [Paul Merriman: This strategy beats a total stock market fund]
Replies: 173
Views: 15912

Re: [Paul Merriman: This strategy beats a total stock market fund]

I'm just a layman but I'm unconvinced. 1. If I own Total Stock Market and Total Int'l Stock Market then I already own every single equity in Merriman's more complicated portfolio, just in somewhat different weights. 2. The market has already valued every single equity at their current values. Any o...
by donaldfair71
Wed Oct 23, 2019 7:38 am
Forum: Investing - Theory, News & General
Topic: "Dogs of the Dow" in a Roth IRA with Zero Commissions
Replies: 52
Views: 3761

Re: "Dogs of the Dow" in a Roth IRA with Zero Commissions

Dogs of the Dow is a simple strategy that works. This is why I considered it with a small portion of under 5% of my net worth to it. The 10 companies are not random unknown companies. If any of them failed the S&P 500 would drop significantly. If only 5%, then why bother? Also, I would take excepti...
by donaldfair71
Wed Oct 23, 2019 7:07 am
Forum: Investing - Theory, News & General
Topic: [Paul Merriman: This strategy beats a total stock market fund]
Replies: 173
Views: 15912

Re: [Paul Merriman: This strategy beats a total stock market fund]

"TSM is diversified because it's the wisdom of the masses. 0.001% smallcap is what the market has deigned to be correct" - if TSM is so diversified why did it follow the Nasdaq off a cliff and go nowhere from 1999 to 2013? Megacap indexing does have flaws which can be managed. How many years of "go...
by donaldfair71
Wed Oct 23, 2019 4:06 am
Forum: Investing - Theory, News & General
Topic: "Dogs of the Dow" in a Roth IRA with Zero Commissions
Replies: 52
Views: 3761

Re: "Dogs of the Dow" in a Roth IRA with Zero Commissions

I don't agree with putting all my net worth into total market index funds. This prevents me from having the opportunity to outperform. I don't like to preclude myself of any opportunities to do better than the average. I reach for high performance. I don’t understand. As of a few months ago the Dog...
by donaldfair71
Tue Oct 22, 2019 12:56 pm
Forum: Investing - Theory, News & General
Topic: [Paul Merriman: This strategy beats a total stock market fund]
Replies: 173
Views: 15912

Re: Paul Merriman article

I did talk with Paul once about his Ultimate Portfolio. I pointed him to the thread here that discusses the simplified version of that. Paul always likes to say if he finds a better portfolio he will change. The thread here is: Ultimate Buy and Hold - 8 slices vs 4 However, he never responded to th...
by donaldfair71
Tue Oct 22, 2019 8:27 am
Forum: Investing - Theory, News & General
Topic: [Paul Merriman: This strategy beats a total stock market fund]
Replies: 173
Views: 15912

Re: Paul Merriman article

I feel lost. I have listened to every one of his podcasts and thought that the goal of the 8 fund (and subsequent 4 fund invented here) was to have an equal (or just about equal) amount in the Morningstar style boxes that rep: Small/Mid/large Value/Blend/Growth Is it possible that this is what is me...