Search found 249 matches

by Vision
Tue Oct 15, 2019 5:50 am
Forum: Investing - Theory, News & General
Topic: Isn't lack of transparency in China a huge risk for international stock index?
Replies: 31
Views: 2106

Re: Isn't lack of transparency in China a huge risk for international stock index?

Seasonal wrote:
Tue Oct 15, 2019 5:25 am
motorcyclesarecool wrote:
Tue Oct 15, 2019 5:19 am
The real question is whether you’re being sufficiently remunerated for the risk you’re taking.
Exactly. Put another way, the market is aware of the risk and has priced Chinese stocks (and other investments) to take the risk into account.
Hmm, well put. That is true.
by Vision
Tue Oct 15, 2019 5:49 am
Forum: Investing - Theory, News & General
Topic: Isn't lack of transparency in China a huge risk for international stock index?
Replies: 31
Views: 2106

Re: Isn't lack of transparency in China a huge risk for international stock index?

Yes. Cooked books is always a risk. With U.S. securities of all types, too. The real question is whether you’re being sufficiently remunerated for the risk you’re taking. But US securities are more strictly controlled by government while Chinese gov can actually encourage to cook books and present ...
by Vision
Tue Oct 15, 2019 5:09 am
Forum: Investing - Theory, News & General
Topic: Isn't lack of transparency in China a huge risk for international stock index?
Replies: 31
Views: 2106

Isn't lack of transparency in China a huge risk for international stock index?

So if we look at world stock index like VT which also holds Asia stocks - isn't it a huge risk that Chinese stock data is pretty much fabricated? We already know that China is extremely shady with data they provide and most of it is probably fabricated and inflated. So if you invest in total stock m...
by Vision
Thu Sep 19, 2019 2:49 am
Forum: Non-US Investing
Topic: 80% VWRA / 20% bond index - which bond index to choose?
Replies: 40
Views: 2270

Re: [30yo EU investor] Ireland based bond index fund for 80% World stock 20% bond portfolio?

DJN wrote:
Thu Sep 19, 2019 2:30 am
Hi,
read the Wiki in the first instance, all the guidance you might need should be in there somewhere.
https://www.bogleheads.org/wiki/Simple_ ... portfolios

https://www.bogleheads.org/wiki/Bond_ba ... _investors
DJN
Hmm, from what wiki it looks like I should choose AGGH ?
by Vision
Thu Sep 19, 2019 2:27 am
Forum: Non-US Investing
Topic: 80% VWRA / 20% bond index - which bond index to choose?
Replies: 40
Views: 2270

[30yo EU investor] Ireland based accumulative bond index fund for 80% World stock 20% bond portfolio?

As an 30yo EU investor I am looking for a bond index fund that would be domiciled in Ireland and would be suitable for a 80% world stock, 20% bond index portfolio. I considered using BND and BNDW, but those are not domiciled in Ireland and I will incur currency friction costs (EUR/USD instability). ...
by Vision
Thu Sep 19, 2019 2:06 am
Forum: Non-US Investing
Topic: 80% VWRA / 20% bond index - which bond index to choose?
Replies: 40
Views: 2270

Re: [30yo EU investor with US broker]Is BND a solid bond index choice for a 80% world stock index, 20% bond index portfo

I want more stability in my portfolio during the next recession. That is what I want bonds for. Do your measure the stability of your portfolio in EUR or in USD (or you don't care... but beware that the EUR/USD fxrate could get pretty wild, more so than the price change of any stable bond)? I look ...
by Vision
Thu Sep 19, 2019 1:57 am
Forum: Non-US Investing
Topic: 80% VWRA / 20% bond index - which bond index to choose?
Replies: 40
Views: 2270

Re: [30yo EU investor with US broker]Is BND a solid bond index choice for a 80% world stock index, 20% bond index portfo

To be precise you can get a bond fund hedged to USD at a US broker, but I doubt you'll find one hedged to EUR or other currencies. So which bond like that would you recommend for my case then? Depends... someone asked the right question above which is... What is the role of the bonds in your portfo...
by Vision
Thu Sep 12, 2019 7:32 am
Forum: Non-US Investing
Topic: 80% VWRA / 20% bond index - which bond index to choose?
Replies: 40
Views: 2270

Re: [30yo EU investor with US broker]Is BND a solid bond index choice for a 80% world stock index, 20% bond index portfo

glorat wrote:
Thu Sep 12, 2019 6:31 am
Vision wrote:
Thu Sep 12, 2019 5:28 am
Hmm...so I can't get a hedged bond fund at US stock broker...this sucks :(
To be precise you can get a bond fund hedged to USD at a US broker, but I doubt you'll find one hedged to EUR or other currencies.
So which bond like that would you recommend for my case then?
by Vision
Thu Sep 12, 2019 5:28 am
Forum: Non-US Investing
Topic: 80% VWRA / 20% bond index - which bond index to choose?
Replies: 40
Views: 2270

Re: [30yo EU investor with US broker]Is BND a solid bond index choice for a 80% world stock index, 20% bond index portfo

Well, standard answer that you van also learn from the links already posted: global bonds hedged to your home currency. Never heard that US fund providers provide this. Second best would be some global bond funds unhedged. But not sure how much stability this I'll provide. Before you buy anything y...
by Vision
Wed Sep 11, 2019 4:31 pm
Forum: Non-US Investing
Topic: 80% VWRA / 20% bond index - which bond index to choose?
Replies: 40
Views: 2270

Re: [30yo EU investor with US broker]Is BND a solid bond index choice for a 80% world stock index, 20% bond index portfo

30yo, Europe. I am holding world stock index and want to diversify by also holding bonds, but I'm not sure which index to use. I have option to purchase BND US index. Is it a solid choice? Current portfolio is 80% VT pretty much, 20% left to allocate to bonds. Any advice much appreciated. I'm an EU...
by Vision
Wed Sep 11, 2019 7:52 am
Forum: Non-US Investing
Topic: 80% VWRA / 20% bond index - which bond index to choose?
Replies: 40
Views: 2270

[30yo EU investor with US broker]Is BND a solid bond index choice for a 80% world stock index, 20% bond index portfolio?

30yo, Europe. I am holding world stock index and want to diversify by also holding bonds, but I'm not sure which index to use. I have option to purchase BND US index. Is it a solid choice? Current portfolio is 80% VT pretty much, 20% left to allocate to bonds. Any advice much appreciated. I'm an EU ...
by Vision
Mon Sep 09, 2019 12:07 pm
Forum: Investing - Theory, News & General
Topic: Index Funds Bubble? [Michael Burry article]
Replies: 235
Views: 25091

Re: Index Funds Bubble? [Michael Burry article]

I still don't understand: 1) Does this "index fund bubble" apply to bond indices like BND as well? 2) So now that indexing has become "overcrowded" and mainstream, what alternatives as there? What do we do? 3) Do we reduce risk by increasing bond allocation? If index problem Burry describes applies ...
by Vision
Sat Sep 07, 2019 7:18 am
Forum: Investing - Theory, News & General
Topic: Index Funds Bubble? [Michael Burry article]
Replies: 235
Views: 25091

Re: Index Funds Bubble? [Michael Burry article]

So what do we do now? I don't dollar-cost-average. I have a large lump sum just sitting there. Should I just put it all in stock/bond total index and be done with it? And what if Barry is true and this is all a bubble and next recession pops it and it goes to pennies? People would say "just keep do...
by Vision
Sat Sep 07, 2019 6:42 am
Forum: Investing - Theory, News & General
Topic: Index Funds Bubble? [Michael Burry article]
Replies: 235
Views: 25091

Re: Index Funds Bubble? [Michael Burry article]

So what do we do now? I don't dollar-cost-average. I have a large lump sum just sitting there. Should I just put it all in stock/bond total index and be done with it? And what if Barry is true and this is all a bubble and next recession pops it and it goes to pennies? People would say "just keep do...
by Vision
Sat Sep 07, 2019 6:15 am
Forum: Investing - Theory, News & General
Topic: Index Funds Bubble? [Michael Burry article]
Replies: 235
Views: 25091

30yo lump sum investor - scared of Burry's warnings on index funds, what to do?

[Merged here -- moderator oldcomputerguy] I don't dollar cost average. And DCAing would dwarf in comparison of lump sum I was fortunate enough to come across. I must be very smart about investing this lump sum For decades people have suggested index funds, but Burry claims they are in a bubble as d...
by Vision
Sat Sep 07, 2019 6:07 am
Forum: Investing - Theory, News & General
Topic: Index Funds Bubble? [Michael Burry article]
Replies: 235
Views: 25091

Re: Index Funds Bubble? [Michael Burry article]

So what do we do now? I don't dollar-cost-average. I have a large lump sum just sitting there. Should I just put it all in stock/bond total index and be done with it? And what if Barry is true and this is all a bubble and next recession pops it and it goes to pennies? People would say "just keep dol...
by Vision
Sat Sep 07, 2019 4:45 am
Forum: Investing - Theory, News & General
Topic: Index Funds Bubble? [Michael Burry article]
Replies: 235
Views: 25091

Re: Index Funds Bubble? [Michael Burry article]

So if we assume the liquidity risk there - what to do to actively prepare for this?

Should we just buy more bonds?
by Vision
Fri Sep 06, 2019 5:30 pm
Forum: Investing - Theory, News & General
Topic: Index Funds Bubble? [Michael Burry article]
Replies: 235
Views: 25091

Re: Everyone here has misunderstood the Michael Burry article

- Hold real securities. (stock funds, bond funds, stocks, bonds) - Check your funds to make sure that they are not highly leveraged with derivatives instead of holding real securities. (Major funds from major players usually don't have this problem.) What you say seems to make sense. Would these Va...
by Vision
Sat Aug 31, 2019 3:01 am
Forum: Investing - Theory, News & General
Topic: What would investors ever choose arbitrary allocation of US/nonUS stocks?
Replies: 69
Views: 4824

Re: What would investors ever choose arbitrary allocation of US/nonUS stocks?

I never said buying the world was a bad idea. What I am doing is justifying my bet. But I am also pointing out hypocrisy and emotional reasons used to justify the international portfolio. The problem however with people using bad arguments to justify something out of some egotistical desire to be r...
by Vision
Wed Aug 28, 2019 9:05 am
Forum: Investing - Theory, News & General
Topic: What would investors ever choose arbitrary allocation of US/nonUS stocks?
Replies: 69
Views: 4824

Re: What would investors ever choose arbitrary allocation of US/nonUS stocks?

If we assume we are not able to time market. If we assume we are not able to pick stocks. If we assume we are not able to pick certain sectors. Why do we assume we are suddenly capable and knowledgeable enough to pick right ratios geographically? I'm talking about people who suggest buying US and n...
by Vision
Fri Aug 23, 2019 10:37 am
Forum: Investing - Theory, News & General
Topic: What would investors ever choose arbitrary allocation of US/nonUS stocks?
Replies: 69
Views: 4824

Re: What would investors ever choose arbitrary allocation of US/nonUS stocks?

If we assume we are not able to time market. If we assume we are not able to pick stocks. If we assume we are not able to pick certain sectors. Why do we assume we are suddenly capable and knowledgeable enough to pick right ratios geographically? I'm talking about people who suggest buying US and n...
by Vision
Wed Aug 21, 2019 4:34 am
Forum: Investing - Theory, News & General
Topic: What would investors ever choose arbitrary allocation of US/nonUS stocks?
Replies: 69
Views: 4824

Re: What would investors ever choose arbitrary allocation of US/nonUS stocks?

The idea where I must say "well we simply don't know" out of some loyalty to ideology in investing in completely asinine. But average people truly "simply don't know". I've been following markets for 5+ years now and I admit I am too dumb for this, I "simply don't know". Assuming this, I also "simp...
by Vision
Wed Aug 21, 2019 4:04 am
Forum: Investing - Theory, News & General
Topic: Why do dividends still exist?
Replies: 204
Views: 11982

Re: Why do dividends still exist?

Capital gains are more tax efficient than dividends in the US. Presumably, that is why Berkshire Hathaway doesn’t generate dividends. So, why do any US companies still provide shareholders with dividends? Is it some sort of tax-inefficient budgeting tool for investors? EDIT: I guess my follow up qu...
by Vision
Fri Aug 16, 2019 6:48 pm
Forum: Non-US Investing
Topic: How do I know when fund is big enough to buy safely and not worry about liquidity issues and bid-ask spreads?
Replies: 7
Views: 817

How do I know when fund is big enough to buy safely and not worry about liquidity issues and bid-ask spreads?

I want to buy VWRA, since it fits my situation and requirements best.

However, the fund is new and from what I understand has high bid-ask spreads.

How do I know when fund is "big enough" for me to buy safely without worrying about stuff like this?

What sites and resources to use?
by Vision
Wed Aug 14, 2019 4:32 pm
Forum: Investing - Theory, News & General
Topic: Treasury 2-10 year yield curve has inverted!
Replies: 115
Views: 10574

Re: Treasury 2-10 year yield curve has inverted!

Sorry, I already panicked when the 3 mo exceeded the 10 year. Is this double doom? I didn't really panic. At least you didn't do what I did -- I sold all and bought Tesla and Bitcoin. Don't laugh, Bitcoin has become a serious store of value. It is giving gold a run for the money. If recession hits ...
by Vision
Tue Aug 13, 2019 10:47 am
Forum: Non-US Investing
Topic: 80% VWRA / 20% bond index - which bond index to choose?
Replies: 40
Views: 2270

Re: 80% VWRA / 20% bond index - which bond index to choose?

80% Vanguard FTSE All-World UCITS ETF (USD) Accumulating ISIN: IE00BK5BQT80 ticker: VWRA 20% Vanguard Global Aggregate Bond UCITS ETF EUR Hedged Accumulating ISIN: IE00BG47KH54 ticker: VAGF for the whole portfolio of course, not for the bond portion :happy Sorry for expanding the answer beyond your...
by Vision
Tue Aug 13, 2019 10:43 am
Forum: Non-US Investing
Topic: Can someone explain to me "currency risk" in case of EU investor? Does it apply to VWRA?
Replies: 29
Views: 1372

Re: Can someone explain to me "currency risk" in case of EU investor? Does it apply to VWRA?

Ok, so I guess for now it makes most sense for me to hedge with an EUR based bond index, correct? But which one? I want it to be accumulating.
by Vision
Tue Aug 13, 2019 5:00 am
Forum: Non-US Investing
Topic: Can someone explain to me "currency risk" in case of EU investor? Does it apply to VWRA?
Replies: 29
Views: 1372

Re: Can someone explain to me "currency risk" in case of EU investor? Does it apply to VWRA?

Ok, I think I know what currency risk is now, but more important question - how do I prevent / hedge against it?
by Vision
Tue Aug 13, 2019 4:50 am
Forum: Non-US Investing
Topic: Can someone explain to me "currency risk" in case of EU investor? Does it apply to VWRA?
Replies: 29
Views: 1372

I think I finally understood "currency risk". Did I get it right? And how to prevent it?

So I want to go with 80% VWRA / 20% some sort of bond index. I understood if my assets are not 50%/50% EUR/USD based, then I can suffer from currency risk. For example, VWRA has only 10% of assets in EUR. I have not yet decided on bond portion of my portfolio (any suggestions welcome). But how do I ...
by Vision
Tue Aug 13, 2019 4:28 am
Forum: Non-US Investing
Topic: 80% VWRA / 20% bond index - which bond index to choose?
Replies: 40
Views: 2270

Re: 80% VWRA / 20% bond index - which bond index to choose?

Relating to a post I made at https://www.bogleheads.org/forum/viewtopic.php?t=281432#p4576757 I see 4 viable bond index strategies one can take 1) Global Aggregate Bond (AGGG variants) Barclays global index that includes govts and corporates from AAA to BBB 2) Global Govt Bond (IGLO variants) Like ...
by Vision
Tue Aug 13, 2019 3:41 am
Forum: Personal Consumer Issues
Topic: Use "promo codes" to save money
Replies: 24
Views: 8699

Re: Use "promo codes" to save money

You may want to also consider the Honey extension for Chrome. It is helpful on certain sites, like Amazon (so browse to Amazon using the Bogleheads referral link, select your products, then at checkout, have Honey automatically check for coupon codes). http://joinhoney.com Sorry for bumping an old ...
by Vision
Mon Aug 12, 2019 5:14 pm
Forum: Non-US Investing
Topic: 80% VWRA / 20% bond index - which bond index to choose?
Replies: 40
Views: 2270

Re: 80% VWRA / 20% bond index - which bond index to choose?

I assume I should choose Bond index hedged in EUR, right? Since VWRA is only 20% or 10% EUR (I don't recall specifically).

Looking for any more suggestions.
by Vision
Mon Aug 12, 2019 4:51 pm
Forum: Non-US Investing
Topic: Can someone explain to me "currency risk" in case of EU investor? Does it apply to VWRA?
Replies: 29
Views: 1372

Re: Can someone explain to me "currency risk" in case of EU investor? Does it apply to VWRA?

If the euro strengthens relative to other currencies, your assets denominated in USD, yen etc. will decrease in value. Yeah, but I don't know if EUR will strengthen or weaken, so....what difference does it make? You say I should hold 50/50 USD and EUR assets? But how to achieve that? Hold bonds in ...
by Vision
Mon Aug 12, 2019 1:36 pm
Forum: Non-US Investing
Topic: 80% VWRA / 20% bond index - which bond index to choose?
Replies: 40
Views: 2270

Re: 80% VWRA / 20% bond index - which bond index to choose?

BeBH65 wrote:
Mon Aug 12, 2019 1:06 pm
There are both distributing as accumulating ETFs for global bonds. You need to calculate what is best for your tax residency - yearly dividends tax Vs capital gains tax.
I would prefer accumulating. Which one you'd recommend?
by Vision
Mon Aug 12, 2019 12:35 pm
Forum: Investing - Theory, News & General
Topic: What would investors ever choose arbitrary allocation of US/nonUS stocks?
Replies: 69
Views: 4824

Re: What would investors ever choose arbitrary allocation of US/nonUS stocks?

I quite like the combination of VTI coupled to VT. Unfortunately not many 401k programs have access to a global stock index. I buy VT but typically end up having to split it up to take advantage of tax loss harvesting. I'm EU investor (Lithuania). Irish based fund like VWRA would be better choice f...
by Vision
Mon Aug 12, 2019 12:29 pm
Forum: Non-US Investing
Topic: 80% VWRA / 20% bond index - which bond index to choose?
Replies: 40
Views: 2270

Re: 80% VWRA / 20% bond index - which bond index to choose?

Global bonds hedged to euro (as in AGGH) is often advised, as it is wide diversified and offers stability. US-USD bonds as in BND does not provide the stability that Bogleheads seek in their bond allocation. Great, are there also accumulating vs distributing bond indices or does that apply only to ...
by Vision
Mon Aug 12, 2019 12:28 pm
Forum: Non-US Investing
Topic: Can someone explain to me "currency risk" in case of EU investor? Does it apply to VWRA?
Replies: 29
Views: 1372

Re: Can someone explain to me "currency risk" in case of EU investor? Does it apply to VWRA?

2 types of currency exposure: - currency of denomination or reporting. The value of the constituent holdings is translated back into home currency (say EUR) on the valuation date. Because the fund's actual investments might be in say USD movements in the exchange rate will matter. Say the fund owns...
by Vision
Mon Aug 12, 2019 12:22 pm
Forum: Investing - Theory, News & General
Topic: What would investors ever choose arbitrary allocation of US/nonUS stocks?
Replies: 69
Views: 4824

Re: What would investors ever choose arbitrary allocation of US/nonUS stocks?

If we assume we are not able to time market. If we assume we are not able to pick stocks. If we assume we are not able to pick certain sectors. Why do we assume we are suddenly capable and knowledgeable enough to pick right ratios geographically? I'm talking about people who suggest buying US and n...
by Vision
Mon Aug 12, 2019 12:01 pm
Forum: Non-US Investing
Topic: 80% VWRA / 20% bond index - which bond index to choose?
Replies: 40
Views: 2270

80% VWRA / 20% bond index - which bond index to choose?

[Multiple threads moved here -- please note that the OP is now requesting information specifically on Ireland-domiciled funds. -- moderator oldcomputerguy] I determined that 80% in accumulating world stock VWRA index would be a good choice for me. That leaves 20% for bond index. Which bond index to...
by Vision
Mon Aug 12, 2019 9:38 am
Forum: Non-US Investing
Topic: Why as a EU person should I invest in EU stocks or international stocks?
Replies: 14
Views: 1189

Re: Why as a EU person should I invest in EU stocks or international stocks?

Unfortunately I was in the same situation of having a US broker, TDAmeritrade, that did not offer anything but US situs ETFs and stocks, basically only those approved for purchase by US tax residents. Switched to Interactive Brokers and much happier now. There are others who may be suitable for you...
by Vision
Mon Aug 12, 2019 9:05 am
Forum: Non-US Investing
Topic: Boglebot - tool to help non-US investors to implement the 2-fund portfolio
Replies: 16
Views: 2707

Re: Volunteers to help with a Boglebot idea

It recommends me VWRA as a EU citizen, but for bonds it recommended me AGGH. Is this a good idea for bonds? What do other people here thing?
by Vision
Mon Aug 12, 2019 8:59 am
Forum: Investing - Theory, News & General
Topic: What would investors ever choose arbitrary allocation of US/nonUS stocks?
Replies: 69
Views: 4824

Re: What would investors ever choose arbitrary allocation of US/nonUS stocks?

Here, people will generally point out that if you earn profits in another country, but their currency drops and you have to convert back to your home country, then the currency risk will dominate profits. So if you ex-US stocks went up 10% but the currencies went down significantly, then you'd not ...
by Vision
Mon Aug 12, 2019 7:34 am
Forum: Non-US Investing
Topic: VWRD or SWRD for VT Ireland based equivalent? Accumulating or distributing?
Replies: 13
Views: 995

Re: VWRD or SWRD for VT Ireland based equivalent? Accumulating or distributing?

Since i'm from EU it makes way more sense for me to hold to Ireland based ETFs as world stock index instead of US based (like VT). I found VWRD and SWRD. Can anyone give input which would be a better choice? Also, if I plan to reinvest dividends would it not make logical sense for me to choose an a...
by Vision
Mon Aug 12, 2019 7:33 am
Forum: Non-US Investing
Topic: Can someone explain to me "currency risk" in case of EU investor? Does it apply to VWRA?
Replies: 29
Views: 1372

Can someone explain to me "currency risk" in case of EU investor? Does it apply to VWRA?

EU investor, Lithuania. Planning to in accumulating VWRA fund for equity portion of my portfolio. It is Ireland based. What could be potential issues long term with currency risk? Can someone explain it in really simple terms, because so far I have not understood the "currency risk" for non-US inves...
by Vision
Mon Aug 12, 2019 7:22 am
Forum: Non-US Investing
Topic: VWRA and call it a day or VWRA+ small caps and EM?
Replies: 10
Views: 1185

Re: VWRA and call it a day or VWRA+ small caps and EM?

I'm also interested in this. VWRA seems to be perfect solution tax wise for EU investors. No dividend tax, because it is accumulating, Ireland based, low expense ratio, world stock...what more do you need?
by Vision
Mon Aug 12, 2019 6:04 am
Forum: Non-US Investing
Topic: VWRD or SWRD for VT Ireland based equivalent? Accumulating or distributing?
Replies: 13
Views: 995

Re: VWRD or SWRD for VT Ireland based equivalent? Accumulating or distributing?

https://www.boglebot.com gives some advice on choosing between those two as well as some alternatives. If you try it, please give feedback! It will probably direct you to VWRA depending on your choices Actually, I just came across VWRA and wanted to ask in this thread and saw you already recommende...
by Vision
Mon Aug 12, 2019 4:55 am
Forum: Non-US Investing
Topic: VWRD or SWRD for VT Ireland based equivalent? Accumulating or distributing?
Replies: 13
Views: 995

VWRD or SWRD for VT Ireland based equivalent? Accumulating or distributing?

Since i'm from EU it makes way more sense for me to hold to Ireland based ETFs as world stock index instead of US based (like VT). I found VWRD and SWRD. Can anyone give input which would be a better choice? Also, if I plan to reinvest dividends would it not make logical sense for me to choose an ac...
by Vision
Mon Aug 12, 2019 4:43 am
Forum: Investing - Theory, News & General
Topic: What would investors ever choose arbitrary allocation of US/nonUS stocks?
Replies: 69
Views: 4824

Re: What would investors ever choose arbitrary allocation of US/nonUS stocks?

You'll probably hear both the expense ratio and rebalancing arguments, as well as currency risk and that US companies are already diversified overseas from their revenues. You'll also likely hear that overseas reporting for companies are not as strict and therefore riskier to buy into. I'm not conv...