Search found 55 matches

by Trurl Klapaucius
Wed Feb 19, 2020 4:53 pm
Forum: Personal Finance (Not Investing)
Topic: Vanguard Natl. Trust Co. - Limitations
Replies: 82
Views: 8347

Re: Vanguard Natl. Trust Co. - Important Information

Thanks for the follow up, Gill! Personally, I’m leaning toward Schwab over Vanguard because of my house and Treasuries. I would greatly prefer for them to be held in trust. Also, do you have any follow-up regarding the important concern raised by bsteiner: ... We've had a few clients name Vanguard a...
by Trurl Klapaucius
Wed Feb 19, 2020 1:35 pm
Forum: Personal Consumer Issues
Topic: Having no luck finding a professional fiduciary
Replies: 46
Views: 3905

Re: Having no luck finding a professional fiduciary

GerryL, Like you, I am a “solo ager” struggling with estate planning issues. In particular, I am wondering who will take care of my personal and financial affairs if I become incapacitated. Addressing this issue now, while I am capable, seems better than ignoring it; and letting the courts appoint a...
by Trurl Klapaucius
Mon Oct 21, 2019 3:15 am
Forum: Investing - Theory, News & General
Topic: Composition and safety of TIAA traditional annuity
Replies: 130
Views: 13169

Re: Composition and safety of TIAA traditional annuity

In the long run, Traditional cannot sustainably pay more than TIAA's General Account earns. During a period of rising interest rates, the General Account's value will fall and its yield will rise. This will be reflected in Traditional in no raising of its yield initially, and Traditional's eventual...
by Trurl Klapaucius
Sat Oct 19, 2019 8:06 am
Forum: Investing - Theory, News & General
Topic: Composition and safety of TIAA traditional annuity
Replies: 130
Views: 13169

Re: Composition and safety of TIAA traditional annuity

dknightd wrote:
Fri Oct 18, 2019 7:49 am
The paper addresses the “public fixed income” portion of TIAA traditional.
In an attempt to curb propagation of my misrepresentation of Lozada’s paper, I’ve edited my initial two posts in this thread to change “public fixed income” to “bond”. Sorry for the confusion I caused.
by Trurl Klapaucius
Fri Oct 18, 2019 6:07 am
Forum: Investing - Theory, News & General
Topic: Composition and safety of TIAA traditional annuity
Replies: 130
Views: 13169

Re: Composition and safety of TIAA traditional annuity

...some of TIAA's recent public communications about Traditional report incorrect performance figures. Given the “inconsistent” fashion TIAA Traditional crediting rates are reported, as described in the appendix of your paper, can the reported credit quality and duration of their holdings be truste...
by Trurl Klapaucius
Thu Oct 17, 2019 1:18 pm
Forum: Investing - Theory, News & General
Topic: Composition and safety of TIAA traditional annuity
Replies: 130
Views: 13169

Re: Composition and safety of TIAA traditional annuity

I welcome any more feedback on the paper! If you don’t mind fielding a tangential question, after reviewing the 2015 holdings of TIAA’s General Account can you explain why 2.474% was in municipal bonds? From the June 30, 2019 statement the municipal bond holding is even higher; 11,745/263,960 = 4.4...
by Trurl Klapaucius
Thu Oct 17, 2019 12:16 pm
Forum: Investing - Theory, News & General
Topic: Composition and safety of TIAA traditional annuity
Replies: 130
Views: 13169

Re: Composition and safety of TIAA traditional annuity

Looking at this file, it looks like the "weighted average" is tilted towards A rather than BBB. The problem is, you can’t simply look at the list of ratings and estimate their weighted average. This is because, as pointed out on pages 5-6 of Lozada’s paper, “there is no meaningful way in which the ...
by Trurl Klapaucius
Thu Oct 17, 2019 9:19 am
Forum: Investing - Theory, News & General
Topic: Composition and safety of TIAA traditional annuity
Replies: 130
Views: 13169

Re: Composition and safety of TIAA traditional annuity

I'm the author of the article... Welcome to the forum, and congratulations on writing such a fascinating paper! Your paper does a lot, probably more than any, to pierce the veil of mystery (cult of personality?) surrounding TIAA’s investment magic. I found the description of how you developed the m...
by Trurl Klapaucius
Wed Oct 16, 2019 7:29 pm
Forum: Investing - Theory, News & General
Topic: Composition and safety of TIAA traditional annuity
Replies: 130
Views: 13169

Re: Composition and safety of TIAA traditional annuity

Also, the past 9 years since 2018 (date of article?) included one of the longest bull markets ever. And it may have started at the very bottom of the financial crisis...? No surprise if equity mutual funds would have outperformed some relatively conservative fixed income type of holding. The articl...
by Trurl Klapaucius
Wed Oct 16, 2019 5:09 pm
Forum: Investing - Theory, News & General
Topic: Composition and safety of TIAA traditional annuity
Replies: 130
Views: 13169

Re: Composition and safety of TIAA traditional annuity

Returning to the original post, here is an interesting article regarding the composition and safety of the “ public fixed income ” bond component of TIAA’s investment portfolio: Bonds for Retirement Saving: TIAA Traditional’s Lessons on Quality, Duration, Risk, and Gradual Withdrawals by Gabriel A. ...
by Trurl Klapaucius
Mon Oct 14, 2019 5:33 am
Forum: Personal Investments
Topic: What happens to TIAA Traditional RA when employer abandons TIAA?
Replies: 10
Views: 1247

Re: What happens to TIAA Traditional RA when employer abandons TIAA?

My heartfelt thanks for your replies and advice. My stress level has plummeted. The consensus seems to be that my TIAA Traditional RA will remain within the IU retirement plan at Fidelity as a legacy item, even though the plan won’t allow new money to be invested in a TIAA Traditional RA. I just hop...
by Trurl Klapaucius
Sun Oct 13, 2019 6:31 pm
Forum: Personal Investments
Topic: What happens to TIAA Traditional RA when employer abandons TIAA?
Replies: 10
Views: 1247

What happens to TIAA Traditional RA when employer abandons TIAA?

Dear Bogleheads, I wonder if someone could help me with an issue regarding my TIAA Traditional retirement annuity (RA). Indiana University (IU) recently announced that it is moving its retirement plans from TIAA to Fidelity: http://hr.iu.edu/benefits/retirement-rfp-employee-announce-20190923.pdf IU ...
by Trurl Klapaucius
Fri Jan 25, 2019 10:24 am
Forum: Personal Investments
Topic: Reasons not to upgrade to a brokerage account?
Replies: 17
Views: 2295

Re: Reasons not to upgrade to a brokerage account?

My reason is that brokerage account dividends can't be direct deposited to a bank account. Dividends would be posted to your sweep/MM account. This is also my reason for not moving funds to brokerage. The direct deposits into my bank account provide cash for living expenses, without my having to se...
by Trurl Klapaucius
Fri Jan 25, 2019 9:53 am
Forum: Personal Finance (Not Investing)
Topic: Fidelity free Turbotax
Replies: 701
Views: 78907

Re: Fidelity free Turbotax

As others have reported, the offer for free 2018 TurboTax Premier from Fidelity hasn’t appeared for me yet. I did receive and use the offer for 2015, 2016, and 2017. The cause for this truancy remains unclear, as nothing much has changed in my Fidelity accounts compared to previous years (low seven ...
by Trurl Klapaucius
Sat Mar 17, 2018 9:47 am
Forum: Investing - Theory, News & General
Topic: No risk retirement withdraw strategy - WARM
Replies: 35
Views: 4961

Re: No risk retirement withdraw strategy - WARM

WARM is reminiscent of the strategy proposed by Joe Dominguez in his 1992 book “Your Money or Your Life”. Both provide a framework for what to value, and how to transition from working to earn money to living a fulfilling life. Neither is heavily into tactical asset management. Dominguez’s book had ...
by Trurl Klapaucius
Tue Aug 19, 2014 6:13 am
Forum: Personal Finance (Not Investing)
Topic: POLL: Uninsured/Underinsured Motorists Coverage?
Replies: 17
Views: 2376

Re: POLL: Uninsured/Underinsured Motorists Coverage?

Preliminary Results With 54 responses so far, we can begin to analyze preliminary results of this poll. So far, the vast majority (87%) of respondents feel that their situation can be adequately described by option #1 or #2. Only 7 respondents (13%) have selected option #3, indicating that neither ...
by Trurl Klapaucius
Mon Aug 18, 2014 3:27 pm
Forum: Personal Finance (Not Investing)
Topic: POLL: Uninsured/Underinsured Motorists Coverage?
Replies: 17
Views: 2376

Re: POLL: Uninsured/Underinsured Motorists Coverage?

I set the amounts the same as my liability coverage. If you carry the maximum amount of liability coverage that you feel you can reasonably afford, then you should choose option #2. If you carry more than the minimum requirement, but less than you can reasonably afford, you should choose option #3....
by Trurl Klapaucius
Mon Aug 18, 2014 7:45 am
Forum: Personal Finance (Not Investing)
Topic: POLL: Uninsured/Underinsured Motorists Coverage?
Replies: 17
Views: 2376

Re: POLL: Uninsured/Underinsured Motorists Coverage?

I have no car, so no auto insurance. AFIAK, UIM coverage is only available as a rider on an auto insurance policy, much as I would like it as a cyclist. I wonder if you could be added as an “additional driver” on someone else’s policy (such as a parent, relative, or significant other) and thereby g...
by Trurl Klapaucius
Sun Aug 17, 2014 8:39 pm
Forum: Personal Consumer Issues
Topic: The Funniest Movie Ever
Replies: 227
Views: 24029

Re: The Funniest Movie Ever

I just saw “City Lights” (1931) written, directed, and staring Sir Charles Spencer “Charlie” Chaplin, KBE. I highly recommend it. Words truly are inadequate…
by Trurl Klapaucius
Sun Aug 17, 2014 8:26 pm
Forum: Personal Finance (Not Investing)
Topic: POLL: Uninsured/Underinsured Motorists Coverage?
Replies: 17
Views: 2376

POLL: Uninsured/Underinsured Motorists Coverage?

There have been many excellent threads on this site discussing the pros and cons of uninsured/underinsured motorists (UM/UIM) coverage. One thing that hasn’t yet appeared is a poll to see how Bogleheads actually place their bets “where the rubber meets the road” (pardon the bad pun) when it comes to...
by Trurl Klapaucius
Sat Jul 26, 2014 7:45 pm
Forum: Personal Consumer Issues
Topic: What Book Are You Currently Reading? Part V
Replies: 3372
Views: 1511251

Re: What Book Are You Currently Reading? Part V

Wind Up Girl by Paolo Bacigalupi I found the most interesting aspect of this book to be idea that, as world population continues to increase, agriculture will emerge as an important tool for geopolitical domination/warfare. In particular, if (when) large segments of the population are fed by geneti...
by Trurl Klapaucius
Sun Jul 20, 2014 8:23 pm
Forum: Personal Consumer Issues
Topic: What Book Are You Currently Reading? Part V
Replies: 3372
Views: 1511251

Re: What Book Are You Currently Reading? Part V

... I’ve recently been exploring graphic narratives, trying to acquaint myself with this literary format. I've also been sampling this genre, which still doesn't seem to quite know what it is or can be. I've read only two such novels, mainly because I liked the previous work of the cartoonists. The...
by Trurl Klapaucius
Thu Jul 17, 2014 10:16 am
Forum: Personal Consumer Issues
Topic: What Book Are You Currently Reading? Part V
Replies: 3372
Views: 1511251

Re: What Book Are You Currently Reading? Part V

... so much of the charm is in the statement and working out of an interesting premise . Most of what I remember from science fiction novels is the premise--and the sense of being an interesting time and place. It's about ideas, not so much about characters (which is why mainstream literary critici...
by Trurl Klapaucius
Thu Jul 17, 2014 9:27 am
Forum: Investing - Theory, News & General
Topic: New Edition of Random Walk in January 2015
Replies: 33
Views: 3134

Re: New Edition of Random Walk in January 2015

Chan_va wrote: ... but let's not forget what a bolt from the blue the original book was.
Yes, I agree, the first edition was an epiphany. That is why I felt so betrayed when Malkiel backed-off his random walk stance in later editions.
by Trurl Klapaucius
Thu Jul 17, 2014 9:09 am
Forum: Investing - Theory, News & General
Topic: Just retired...any reason to move 401K to IRA?
Replies: 50
Views: 22341

Re: Just retired...any reason to move 401K to IRA?

I think the ERISA asset protection offered by a 401K is valuable, and shouldn’t be dismissed lightly. If your retirement assets were held only in an IRA, how much would it cost you to purchase similar protection? Answer: you couldn’t get it anywhere! Here is a relevant clip from the wiki (http://www...
by Trurl Klapaucius
Wed Jan 01, 2014 9:31 am
Forum: Investing - Theory, News & General
Topic: Bogleheads 2014 Hedge fund contest
Replies: 160
Views: 23186

Re: Bogleheads 2014 Hedge fund contest

Trurl’s Tenuous Temptations

Long:
COST - Costco Wholesale
HPQ - Hewlett Packard

Short:
BAC - Bank of America
CMCSA - Comcast
by Trurl Klapaucius
Mon Dec 30, 2013 12:17 am
Forum: Personal Investments
Topic: Considerations for High Taxable/Tax Advantaged Ratio
Replies: 16
Views: 2096

Re: Considerations for High Taxable/Tax Advantaged Ratio

Bostontrader: Watch out for TIPS in taxable. Even if you accept that the TIPS inflation adjustment exactly matches inflation on a pre-tax basis, you must accept that it will not match inflation on an after-tax basis, unless you are in a zero percent tax bracket.
by Trurl Klapaucius
Sun Dec 29, 2013 11:15 pm
Forum: Personal Consumer Issues
Topic: Stressless Recliners
Replies: 40
Views: 24349

Re: Stressless Recliners

I bought an Ekornes Stressless Plus Royal Chair and Ottoman in Royalin leather for $1299.00 in 1993. For over twenty years it has been my favorite reading chair, and still is today. When my 96-year-old mother visits, she takes her afternoon nap in it, and says it is her favorite chair as well. I str...
by Trurl Klapaucius
Sun Dec 29, 2013 9:09 pm
Forum: Investing - Theory, News & General
Topic: Are Bogleheads "robots with Excel Spreadsheets?"
Replies: 74
Views: 5687

Re: Are Bogleheads "robots with Excel Spreadsheets?"

Gort wrote:I'm not a robot. Oops, maybe I am!
Gort, with our names, of course we are robots.
(http://en.wikipedia.org/wiki/Cyberiad )

Happy New Year, and Barada Nikto big-time, baby!
by Trurl Klapaucius
Sun Dec 29, 2013 5:01 pm
Forum: Personal Investments
Topic: Buying individual bonds for retail investor
Replies: 93
Views: 7496

Re: Buying individual bonds for retail investor

Ok, control freak. :beer (you did ask) Thanks JamesSFO, I needed that. ...what sort of ongoing credit quality monitoring are you doing? A better question is “How much credit quality monitoring is enough?” How does one know? If you can accept that the view through the retrospectoscope is relevant fo...
by Trurl Klapaucius
Sat Dec 28, 2013 2:30 pm
Forum: Personal Investments
Topic: Buying individual bonds for retail investor
Replies: 93
Views: 7496

Re: Buying individual bonds for retail investor

I wish I could convince myself that I could use a Vanguard fund for the municipal bond portion of my fixed-income allocation, but I cannot; and therefore I manage my own individual muni bond ladder instead. Call me a “control freak” if you will, but I have the following problems with muni bond funds...
by Trurl Klapaucius
Sun Dec 15, 2013 9:51 pm
Forum: Investing - Theory, News & General
Topic: FINRA fines Oppenheimer for overpricing muni bond deals
Replies: 4
Views: 690

Re: FINRA fines Oppenheimer for overpricing muni bond deals

As long as we are Oppenheimer-bashing, don’t forget the 2008 Champion Income / Core Bond Fund debacle: https://www.sec.gov/News/PressRelease/Detail/PressRelease/1365171482524#.Uq5fqV4o5xA “The SEC’s investigation found that Oppenheimer used derivative instruments known as total return swaps (TRS con...
by Trurl Klapaucius
Sun Dec 15, 2013 10:06 am
Forum: Investing - Theory, News & General
Topic: FINRA fines Oppenheimer for overpricing muni bond deals
Replies: 4
Views: 690

Re: FINRA fines Oppenheimer for overpricing muni bond deals

Thanks for the article.

I like to think I can avoid excessive markups when I buy muni bonds by searching for comparables. Am I deluding myself?
by Trurl Klapaucius
Tue Dec 10, 2013 6:45 am
Forum: Personal Consumer Issues
Topic: Best antivirus software
Replies: 20
Views: 2975

Re: Best antivirus software

I’ve been satisfied with Norton Security Suite by Symantec. Comcast provides it free of charge to internet subscribers: http://customer.comcast.com/help-and-support/internet/downloading-the-norton-security-suite/ I’m surprised Norton hasn’t received much discussion on this thread so far. Is somethin...
by Trurl Klapaucius
Mon Dec 02, 2013 8:03 am
Forum: Investing - Theory, News & General
Topic: Liability Matching Portfolio: best for taxable and young?
Replies: 19
Views: 1447

Re: Liability Matching Portfolio: best for taxable and young

In the comment above, how do you construct that ladder you are referring to and how big of a floor do you believe it will provide? Thanks for the comments. I understand we can't predict things, but we still have to make some assumptions in our plans - what are yours with respect to above one... ? I...
by Trurl Klapaucius
Sun Dec 01, 2013 9:39 pm
Forum: Personal Consumer Issues
Topic: Retiring at 50
Replies: 67
Views: 11028

Re: Retiring at 50

As luck would have it I will be informing the boss tomorrow that I intend to retire right after the new year. I'm nearly 52 and feel I haven't thoroughly thought everything through. I had been tentatively looking at retiring at 55 but changes at work are causing me to advance my timetable. I believ...
by Trurl Klapaucius
Sat Nov 30, 2013 9:46 pm
Forum: Investing - Theory, News & General
Topic: Liability Matching Portfolio: best for taxable and young?
Replies: 19
Views: 1447

Re: Liability Matching Portfolio: best for taxable and young

what exactly will reasonably guarantee the 0% after inflation and after tax yield), I wonder what the answer would be... especially given that Japan kind of scenario again... So the original issue of how to constructing a LMP for a young retiree with a large taxable account can be distilled down to...
by Trurl Klapaucius
Sat Nov 30, 2013 5:21 pm
Forum: Investing - Theory, News & General
Topic: Liability Matching Portfolio: best for taxable and young?
Replies: 19
Views: 1447

Re: Liability Matching Portfolio: best for taxable and young

Specifically, for $X, how much would you be comfortable with and what exactly would you do with that money? The nice thing about using annuities and TIPS to construct a LMP is that they have automatic CPI adjustments built-in, obviating the need to predict what future inflation will be. With other ...
by Trurl Klapaucius
Sat Nov 30, 2013 3:34 pm
Forum: Investing - Theory, News & General
Topic: Liability Matching Portfolio: best for taxable and young?
Replies: 19
Views: 1447

Re: Liability Matching Portfolio: best for taxable and young

learning_head wrote: 1. you bring up a good point that if we think taxes would be say 25%, one could invest 1.25 * X as much to make sure they have enough in taxes...
Bit of a math error here. If taxes were 25% you would need 1.33 * X, not 1.25 * X.
by Trurl Klapaucius
Fri Nov 29, 2013 10:03 pm
Forum: Investing - Theory, News & General
Topic: Stocks vs. Bonds over time
Replies: 31
Views: 3388

Re: Stocks vs. Bonds over time

bobcat2 wrote: In most cases involving individuals the LT liability is real, rather than nominal.
In most cases involving individuals the LT liability is also after-tax, rather than pre-tax. This is why TIPS may fail to meet future liabilities; both in taxable and tax-deferred accounts.
by Trurl Klapaucius
Fri Nov 29, 2013 9:31 pm
Forum: Personal Investments
Topic: Looking for advice on the best way to transfer HSA
Replies: 2
Views: 541

Re: Looking for advice on the best way to transfer HSA

I don’t have any idea what the answer to your question is, but here is a link to a forum that I have found to be extraordinarily helpful for HSA matters: http://www.fatwallet.com/forums/finance/542257/

Good luck!

- Trurl
by Trurl Klapaucius
Fri Nov 29, 2013 9:05 pm
Forum: Investing - Theory, News & General
Topic: Liability Matching Portfolio: Reality for the Long Term?
Replies: 50
Views: 5623

Re: Liability Matching Portfolio: Reality for the Long Term?

So, let’s see if I’ve got this so far: We are attempting to match long-term unknown future liabilities with investments that have unknown future returns, given unknown future inflation and tax rates.

OK, let’s go. (I can’t wait to see the precise answer to this problem!)
by Trurl Klapaucius
Mon Aug 26, 2013 2:27 pm
Forum: Investing - Theory, News & General
Topic: TIPS at highest yields in two years
Replies: 87
Views: 9243

Re: TIPS at highest yields in two years

Here is a table that illustrates... At one extreme, assuming only 1% annual inflation and a 25% tax bracket, $1,000 would grow to $1,300 of purchasing power after 30 years. At the other extreme, an 8% annual inflation rate coupled with a 35% tax rate would cause $1,000 to fall to $613 of purchasing...
by Trurl Klapaucius
Mon Aug 26, 2013 10:49 am
Forum: Investing - Theory, News & General
Topic: TIPS at highest yields in two years
Replies: 87
Views: 9243

Re: TIPS at highest yields in two years

As I follow this (somewhat contentious) debate: ...your known real, after-tax return will be less than inflation... and ...runs a high likelihood of negative real after tax returns... So G-Money & Leesbro63 agree with each other that a loss of purchasing power is expected from TIPS in a taxable acco...
by Trurl Klapaucius
Sun Aug 25, 2013 1:39 pm
Forum: Investing - Theory, News & General
Topic: TIPS at highest yields in two years
Replies: 87
Views: 9243

Re: TIPS at highest yields in two years

I'm just saying that IMHO, an "all TIPS" portfolio for a large taxable stash has an inferior risk/reward trade off than say a 50/50 equity/muni bond portfolio. "All TIPS" is not the end all solution that it might be for investors with only tax sheltered money. Leesbro63, What you say makes sense to...
by Trurl Klapaucius
Sat Aug 17, 2013 8:26 pm
Forum: Personal Consumer Issues
Topic: Shopping for groceries at Aldi
Replies: 39
Views: 4606

Re: Shopping for groceries at Aldi

We love to shop at Aldi. Part of the fun is visiting their fresh produce section to see what is on sale, then basing your meals accordingly. When avocados are $0.33 each, we have guacamole every day. When they are $1.09 each, we wait. Also, I recommend that you try Aldi’s barbeque flavor potato chip...
by Trurl Klapaucius
Sat Aug 17, 2013 9:30 am
Forum: Personal Investments
Topic: Municipal Bonds - Pro's and Con's
Replies: 28
Views: 5419

Re: Municipal Bonds - Pro's and Con's

Also, what is the advantage of individual munis vs. a muni fund? Seems the fund wins hands down for diversification. Regarding the advantages & disadvantages of holding a municipal bond fund vs an individual muni bond ladder, here is a link to a discussion: http://www.bogleheads.org/forum/viewtopic...
by Trurl Klapaucius
Mon Aug 12, 2013 11:06 am
Forum: Investing - Theory, News & General
Topic: Inflation Bonds - Convince Me - Yes or No!
Replies: 61
Views: 7756

Re: Inflation Bonds - Convince Me - Yes or No!

As a potential portfolio insurance a little exposure to long dated TIPS could help under the right circumstances. As ever however that insurance comes with a cost... Whether after taxes etc. that is better/safer than alternative choices ??? - its very much a personal choice. Clive, Borrowing your i...
by Trurl Klapaucius
Mon Aug 12, 2013 10:39 am
Forum: Personal Consumer Issues
Topic: [Eating] Fish
Replies: 119
Views: 14449

Re: [Eating] Fish

I buy selected fish from the fish market near me and use the Monterey Bay Aquarium's Seafood Watch as a guide to sustainable and healthy choices... Here is an alternative pocket guide that does a better job of addressing health concerns, in addition to environmental concerns: http://www.edf.org/con...
by Trurl Klapaucius
Mon Aug 12, 2013 8:24 am
Forum: Investing - Theory, News & General
Topic: Inflation Bonds - Convince Me - Yes or No!
Replies: 61
Views: 7756

Re: Inflation Bonds - Convince Me - Yes or No!

As a potential portfolio insurance a little exposure to long dated TIPS could help under the right circumstances. As ever however that insurance comes with a cost... Whether after taxes etc. that is better/safer than alternative choices ??? - its very much a personal choice. Clive, Borrowing your i...