Search found 1275 matches

by asset_chaos
Sat Jun 16, 2018 10:08 pm
Forum: Investing - Theory, News & General
Topic: Vanguard email about transition fund accounts to new brokerage platform
Replies: 33
Views: 1489

Re: Vanguard email about transition fund accounts to new brokerage platform

Can you please send an e-mail back to your rep of why you wouldn't want to switch? Otherwise, I don't think they can read your mind! Please tell them that dividend re-investment in re-directed way is important to you. They won't know if you don't tell them. And the new platform won't have that feat...
by asset_chaos
Sat Jun 16, 2018 9:58 pm
Forum: Investing - Theory, News & General
Topic: Vanguard email about transition fund accounts to new brokerage platform
Replies: 33
Views: 1489

Re: Vanguard email about transition fund accounts to new brokerage platform

One day down the line, we will retire our old platform, ... It seems the last line in your quote is the most telling. Was there more in the email? That is a direct written communication that they WILL at some point retire the old system. The rest was an invitation to phone the rep, which didn't see...
by asset_chaos
Sat Jun 16, 2018 9:53 pm
Forum: Investing - Theory, News & General
Topic: Vanguard email about transition fund accounts to new brokerage platform
Replies: 33
Views: 1489

Re: Vanguard email about transition fund accounts to new brokerage platform

so they can't make you switch right? I'm not sure about that. I suspect at some point VG can just do away with the traditional mutual fund account and convert any of the "old" accounts. I am also one that has resisted changing so far and from what I have heard am not anxious to change but will go w...
by asset_chaos
Fri Jun 15, 2018 9:24 pm
Forum: Investing - Theory, News & General
Topic: Vanguard email about transition fund accounts to new brokerage platform
Replies: 33
Views: 1489

Vanguard email about transition fund accounts to new brokerage platform

To add to the many threads on this topic, I had an email today from the flagship rep titled "Follow-up from your Assigned Representative" about transitioning mutual fund accounts to Vanguard's brokerage platform. I hadn't asked about it, so I'm not sure what's being followed-up, but it is the first ...
by asset_chaos
Fri Jun 08, 2018 9:24 pm
Forum: Investing - Help with Personal Investments
Topic: Looking for EUR holy grail bond strategy
Replies: 50
Views: 2820

Re: Looking for EUR holy grail bond strategy

- Italy is the 4th (?) largest govt bond market in the world I'll make this an excuse to post to post a nifty graphic from the 2018 DFA Matrix Book https://www.ifa.com/book-library/3720/DFA_Matrix_Book__2018/ depicting the relative size of the global (I think investment grade) bond market by countr...
by asset_chaos
Sun May 27, 2018 11:21 pm
Forum: Investing - Theory, News & General
Topic: Should REITs and BDCs be looked at more like bonds?
Replies: 20
Views: 1626

Re: Should REITs and BDCs be looked at more like bonds?

The standard etf for BDCs is (appropriately) BDCS. Would be curious to see the risk-adjusted return characteristics on this one relative to what has already been discussed above. As porfolio visualizer has data for BDCS, we can continue the factor regression in my post above. Name Ticker Rm-Rf SMB ...
by asset_chaos
Sun May 27, 2018 3:35 pm
Forum: Investing - Theory, News & General
Topic: Should REITs and BDCs be looked at more like bonds?
Replies: 20
Views: 1626

Re: Should REITs and BDCs be looked at more like bonds?

Seems like these asset classes are more like bonds with their business structure and having to pay out at least 90% of profits back to shareholders as dividends. If not, they certainly should not be looked at quite the same as a standard common stock, should they? I would say definitely wrong on th...
by asset_chaos
Sat May 26, 2018 7:47 pm
Forum: Investing - Help with Personal Investments
Topic: Help with Investing Trust Assets for My Children
Replies: 3
Views: 602

Re: Help with Investing Trust Assets for My Children

If you determine that an approximately 50:50 mix of stocks and bonds is what you want, then the tax managed balanced fund would get you that investing simplicity. Otherwise, you'll have to have separate funds, for which total stock and intermediate municipal bond funds would be fine choices. Even wi...
by asset_chaos
Sat May 26, 2018 6:33 pm
Forum: Investing - Help with Personal Investments
Topic: new total world bond fund instead of total bond market in my 3 fund portfolio
Replies: 7
Views: 1322

Re: new total world bond fund instead of total bond market in my 3 fund portfolio

Vanguard's own research onw hedged global bonds, https://personal.vanguard.com/pdf/ISGGLBD.pdf , suggests that over the past 30 years there was negligible difference between hedged global bonds and US total bond market for a US investor (figure 10 of the report). From that point of view that choice ...
by asset_chaos
Sat May 26, 2018 6:18 pm
Forum: Investing - Help with Personal Investments
Topic: [EU] Considering investing in 10Y Spanish bonds: Change my mind
Replies: 8
Views: 737

Re: [EU] Considering investing in 10Y Spanish bonds: Change my mind

Bonds are the safe, stable part of your portfolio. It's easy to want a higher yield, but higher yield means higher risk perceived by the market. Also, as Spain is not a large part of the global bond market, diversification benefits should exist. If it were me, I'd go with the more diversified invest...
by asset_chaos
Fri May 25, 2018 5:38 pm
Forum: Investing - Help with Personal Investments
Topic: Help with Investing Trust Assets for My Children
Replies: 3
Views: 602

Re: Help with Investing Trust Assets for My Children

It's not just investing you're in charge of. As trustee, you're also responsible for filing annual 1041 tax returns for the three trusts. If you want to accumulate investment earnings inside the trusts, you need to be aware that trust tax brackets are highly compressed compared to individual tax bra...
by asset_chaos
Tue May 22, 2018 11:37 pm
Forum: Investing - Theory, News & General
Topic: Theory: Total World Index a Sure Fire Win [VT/VTWSX]
Replies: 155
Views: 12740

Re: Theory: Total World Index a Sure Fire Win [VT/VTWSX]

Interesting thread! It sounds like VTWSX is gaining traction. It seems the country holding is based on performance, so if the US continues to lead in growth, will the index not compensate and hold a larger US portion? I think it's more companies than countries they're domiciled in. To give an outsi...
by asset_chaos
Tue May 22, 2018 11:27 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Announces Plans To Launch Total World Bond ETF
Replies: 30
Views: 3395

Re: Vanguard Announces Plans To Launch Total World Bond ETF

Am I recalling correctly that total international started also as a fund of funds that transitioned later to a fund that is not a fund of funds? If so, it makes one wonder if Vanguard has a similar path planned for total world bond.
by asset_chaos
Tue May 22, 2018 11:04 pm
Forum: Investing - Theory, News & General
Topic: Theory: Total World Index a Sure Fire Win [VT/VTWSX]
Replies: 155
Views: 12740

Re: Theory: Total World Index a Sure Fire Win [VT/VTWSX]

Total world index is pretty close to a sure fire way to earn a fair share of global stock market returns. Whether stocks are a "win" over any particular time period you care about, however, is much less certain. However, the a priori odds of stocks doing well over your investment lifetime are, I thi...
by asset_chaos
Sun May 13, 2018 6:07 pm
Forum: Investing - Help with Personal Investments
Topic: US expat frustrations with Australian superannuation
Replies: 13
Views: 1980

Re: US expat frustrations with Australian superannuation

I know First STate Super has an option for low-cost (by Australian standards, circa 10 bp) Vanguard funds. NB, not their default balanced fund. There are index funds for Australian and International stocks and Australian and global bonds, the latter hedged into A$. First STate has an additional fee ...
by asset_chaos
Mon May 07, 2018 4:18 pm
Forum: Investing - Theory, News & General
Topic: Avoid Emerging Markets due to stricter securities regulation in Developed Markets? Lessons from SZSE..Maybe not?
Replies: 26
Views: 2723

Re: Avoid Emerging Markets due to stricter securities regulation in Developed Markets? Lessons from SZSE..Maybe not?

A common trope one finds on Bogleheads is that foreign countries, and especially EM, have more corrupt markets and laxer regulations in all respects (in before complaints I am setting up a strawman ;) ) and so one should avoid investing there. I suspect the resoning goes the other way: I want to av...
by asset_chaos
Sat May 05, 2018 6:30 pm
Forum: Investing - Theory, News & General
Topic: 2018 DFA Matrix Book Is Out
Replies: 3
Views: 651

Re: 2018 DFA Matrix Book Is Out

Worth a look if only for the delightful graphics illustrating global stock and bond market sizes by country.
by asset_chaos
Sat Apr 28, 2018 9:29 pm
Forum: Investing - Theory, News & General
Topic: Chart: Skewed Distribution of S&P 500 Returns, 1997-2017
Replies: 13
Views: 1604

Re: Chart: Skewed Distribution of S&P 500 Returns, 1997-2017

It looks like what's called a log-normal distribution, and at least some other economic processes seem to approximately follow such a distribution. For example, one I know of is real estate prices. The text book way to get a log-normal distribution is to multiply random numbers. Multiply a few numbe...
by asset_chaos
Sun Apr 22, 2018 8:02 pm
Forum: Investing - Theory, News & General
Topic: Floating Net Worth w/ VT after 5 Years
Replies: 52
Views: 6783

Re: Floating Net Worth w/ VT after 5 Years

Since it opened in 2008, I've invested in total world (in the old fashioned mutual fund form) as my core stock holding. I have reasons, but they're very different from the OP's. I have no predictions of US decline, relative or absolute. Stocks may hedge inflation over the long term, but I think the ...
by asset_chaos
Sun Apr 22, 2018 4:27 pm
Forum: Investing - Theory, News & General
Topic: I’m still not a fan of international bond funds
Replies: 173
Views: 14970

Re: I’m still not a fan of international bond funds

Vanguard must have anticipated this thread because they've produced a report https://personal.vanguard.com/pdf/ISGGLBD.pdf dated April 2018 to add their two cents. Going global with bonds: The benefits of a more global fixed income allocation ■ An allocation to global bond markets gives investors ex...
by asset_chaos
Sat Apr 21, 2018 6:54 pm
Forum: Investing - Help with Personal Investments
Topic: Uncertain what to do about trust distribution
Replies: 7
Views: 858

Re: Uncertain what to do about trust distribution

My grandparents recently passed and left behind a trust which is being distributed throughout my family. I am going to be receiving just over $100k and have no control and little visibility into the distribution of these assets. I'm thinking that I'd like to reinvest the assets as Vanguard index fu...
by asset_chaos
Sat Apr 21, 2018 6:24 pm
Forum: Investing - Theory, News & General
Topic: I’m still not a fan of international bond funds
Replies: 173
Views: 14970

Re: I’m still not a fan of international bond funds

I think an interesting question is: how does it benefit Vanguard to offer these funds? That is a good question. Vanguard is expanding all over the world and wants, I assume, to manage the bond (and stock) portfolios of investors all over the world. I expect this brings expertise and comfort in non-...
by asset_chaos
Sat Apr 21, 2018 5:39 pm
Forum: Investing - Theory, News & General
Topic: Vanguard New Factor Funds Portfolio Statistics
Replies: 163
Views: 18893

Re: Vanguard New Factor Funds Portfolio Statistics

At Vanguard's financial advisor site there is a large and detailed presentation on the new factor funds https://advisors.vanguard.com/web/cf/factor/basics with sections called Factor Basics, Factor Applications, Our Difference, and Factor Products. It might be the flashy online version of the presen...
by asset_chaos
Tue Apr 17, 2018 4:20 pm
Forum: Investing - Theory, News & General
Topic: N.Y. Attorney General Forces Vanguard, BlackRock, Others To Disclose Active Share
Replies: 5
Views: 1191

Re: N.Y. Attorney General Forces Vanguard, BlackRock, Others To Disclose Active Share

The active Vanguard funds I own are the intermediate TIPs and tax-exempt bond funds. I expect, and have found to be true, these active funds to be index-like. Unless the active share score of these finds is surprisingly high, I may have to conclude that the NY attorney general may have engaged in th...
by asset_chaos
Sat Apr 14, 2018 4:16 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Video Recommnding World Market Cap Weight
Replies: 4
Views: 585

Re: Vanguard Video Recommnding World Market Cap Weight

Global stock and bond markets are about $90 trillion (FTSE Global All Cap Index plus Citi World Broad Investment-Grade Bond Index) and Vanguard manages, what, $5 trillion now. Speculation, but maybe they are anticipating the day when Vanguard will effectively be managing the total global portfolio, ...
by asset_chaos
Fri Apr 13, 2018 8:17 am
Forum: Investing - Theory, News & General
Topic: Is global debt an issue for investors?
Replies: 17
Views: 1256

Re: Is global debt an issue for investors?

For a global investor net debt is zero by definition.
by asset_chaos
Wed Apr 11, 2018 5:30 pm
Forum: Investing - Theory, News & General
Topic: SCV: Buy & Hold, or Trade Trade Trade?!
Replies: 5
Views: 1090

Re: SCV: Buy & Hold, or Trade Trade Trade?!

A well-respected member on this forum admits (confesses?) to frequently trading his SCV shares. He apparently enjoys consistent higher returns ... Trading them for what? I have a small-value tilt. I treat it like my other investment classes: I have rebalancing bands and trade only enough to keep ev...
by asset_chaos
Wed Apr 11, 2018 5:11 pm
Forum: Investing - Theory, News & General
Topic: Why are expected returns so much lower than historical returns?
Replies: 153
Views: 9190

Re: Why are expected returns so much lower than historical returns?

Short, simple answers here; For a better worded and more nuanced explanation a good reference is Bogle's book Commonsense on Mutual Funds. Start with bonds because they're simpler. Bond returns are due entirely to the interest rate of the bond. Historically there were higher interest rates than toda...
by asset_chaos
Tue Apr 10, 2018 4:37 pm
Forum: Investing - Theory, News & General
Topic: Will VTWSX expense ratio go down in the future
Replies: 6
Views: 1048

Re: Will VTWSX expense ratio go down in the future

There's a thread following total world's lowering expense ratio here https://www.bogleheads.org/forum/viewtopic.php?f=10&t=212013 with a graph towards the bottom showing expense ratio versus asset size for the fund. And, of course, check out our own wiki page on the subject https://www.bogleheads.or...
by asset_chaos
Tue Apr 10, 2018 7:16 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Complexity Not Helping Bond Funds
Replies: 1
Views: 463

Re: Larry Swedroe: Complexity Not Helping Bond Funds

While the average gross alpha of the bond funds studied was 0.39% per year, net-of-fee alphas were -0.41% per year. Due to high costs the active bond funds' own investors lose out, but the active bond managers take a little money in aggregate from others. Question: who are these schmucks? It's not ...
by asset_chaos
Sun Apr 08, 2018 3:14 pm
Forum: Investing - Theory, News & General
Topic: Corruption vs. Country Stock Returns, 1997-2016
Replies: 17
Views: 1740

Re: Corruption vs. Country Stock Returns, 1997-2016

Like higher GDP growth rates must translate into higher stock returns, avoiding international because those foreigners are corrupt appears to be one more investing thesis that may sound plausible but doesn't stand up to scrutiny. I suspect these and many similar ideas---the kind everyone knows is tr...
by asset_chaos
Sat Apr 07, 2018 3:26 pm
Forum: Investing - Theory, News & General
Topic: Blackrock: new portfolios which remove exposure to civilian firearms
Replies: 34
Views: 1874

Re: Blackrock: new portfolios which remove exposure to civilian firearms

TxAg wrote:
Sat Apr 07, 2018 1:08 pm
Timely sales gimmick?
Bingo. Any investment thesis based on the latest news headlines is unlikely to be---or to ever become---a necessary investment. Although, at least the fee reduction is a better deal for those inclined to invest this way.
by asset_chaos
Mon Apr 02, 2018 6:06 pm
Forum: Investing - Theory, News & General
Topic: Is Lockheed Martin about to become the biggest company in history?
Replies: 66
Views: 6692

Re: Is Lockheed Martin about to become the biggest company in history?

I believe this falls into the category of interesting, if true. Best wishes for their success, but I don't think I'll change my approach to life, much less to investing, just yet.
by asset_chaos
Thu Mar 29, 2018 5:04 pm
Forum: Investing - Theory, News & General
Topic: Share Dilution in Emerging & Developed Markets
Replies: 24
Views: 2116

Re: Share Dilution in Emerging & Developed Markets

https://s7.postimg.org/godq1qm9n/Untitled.jpg Source: Yardeni To ask a question a bit off topic, does this chart show US companies buying back shares in what appears to be an irrational manner? There seems to be large buying of shares up to 2008 when share prices are high or rising, then lots of sh...
by asset_chaos
Tue Mar 27, 2018 2:15 pm
Forum: Investing - Theory, News & General
Topic: DFA Funds Direct Access w/o Advisor ? John Hancock
Replies: 16
Views: 2340

Re: DFA Funds Direct Access w/o Advisor ? John Hancock

The word on the street is that DFA guys aren't doing that great in terms of their products bringing value added. Everyone knows their secret sauce and it hasn't worked well for last 20 years. I never seem to get the word on the street, but if you mean 10 years, that's entirely correct; past 20 year...
by asset_chaos
Fri Mar 23, 2018 11:56 pm
Forum: Investing - Theory, News & General
Topic: How know whether stock is international?
Replies: 16
Views: 1196

Re: How know whether stock is international?

As synchronicity would have it, there is an article in the economist ( https://www.economist.com/news/business/21739165-golden-age-companies-having-fistfuls-different-passports-over-corporate-citizens ) discussing these large companies that are hard to place, reasons their number balloned in an age ...
by asset_chaos
Fri Mar 23, 2018 5:44 pm
Forum: Investing - Theory, News & General
Topic: Swedroe: Keep calm, and step forward
Replies: 1
Views: 930

Re: Swedroe: Keep calm, and step forward

On a quarterly basis US stocks lose to US bonds on average about 37% of the time---oh, let's speak in round numbers---about 40% of the time. That's been the case at least since total market index funds came into existence in the early 90s, and I think, based on Schiller's book, has been been approxi...
by asset_chaos
Fri Mar 23, 2018 5:31 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Active Can’t Crack Inefficient Markets
Replies: 22
Views: 2903

Re: Larry Swedroe: Active Can’t Crack Inefficient Markets

Any supposed advantage active might have in “inefficient” markets like small cap, international small, or emerging is also nonexistent. I recall Bill Bernstein noting this in his first book. He attributed the failure of active in supposedly inefficient markets to the fact that inefficient markets t...
by asset_chaos
Fri Mar 23, 2018 5:24 pm
Forum: Investing - Theory, News & General
Topic: How know whether stock is international?
Replies: 16
Views: 1196

Re: How know whether stock is international?

There are many multinationals these days, but even multinationals tend to have a home market that they more fully penetrate. For example, if the headquarters is in Germany, and they do most of their business in Europe, I don't think think you can call that an American stock regardless of whether th...
by asset_chaos
Fri Mar 23, 2018 5:12 pm
Forum: Investing - Theory, News & General
Topic: How know whether stock is international?
Replies: 16
Views: 1196

Re: How know whether stock is international?

Did the companies that did tax inversions ( https://en.wikipedia.org/wiki/Tax_inversion ) become "international" companies? They moved their legal domiciles outside the US while retaining their business activities as before. They are legally no longer US companies. The link lists notable inversions....
by asset_chaos
Mon Mar 19, 2018 3:46 pm
Forum: Investing - Theory, News & General
Topic: DFA US Targeted Value DFFVX
Replies: 3
Views: 576

Re: DFA US Targeted Value DFFVX

If you go to morningstar and look at a growth chart with both funds, you'll see that over the past 10 years the plots are practically indistinguishable. However, if you ask for the maximum time, the plots go back nearly 20 years, and there is a noticeable difference with DFFVX ahead with what by eye...
by asset_chaos
Mon Mar 19, 2018 3:18 pm
Forum: Investing - Theory, News & General
Topic: Which foreign market sector will do the best long term?
Replies: 21
Views: 1228

Re: Which foreign market sector will do the best long term?

One of the beauties and one of the trials of total market index investing is that by definition you always own the best performing market sectors---no matter how you choose to define market sectors----and you always hold the worst performing sectors. If I could know (know, not guess or estimate or p...
by asset_chaos
Thu Mar 15, 2018 7:09 pm
Forum: Investing - Theory, News & General
Topic: Do You Believe Diversification Is More Important The Shorter The Time Frame?
Replies: 13
Views: 1247

Re: Do You Believe Diversification Is More Important The Shorter The Time Frame?

Doesn't it depend on your goals for the short time? If you want maximum safety, then a treasury bond, maturity matched to your time frame, would accomplish your goal but be totally undiversified. On the other hand, if speculation, having a chance at a really high return over the short time, is the g...
by asset_chaos
Sat Mar 03, 2018 4:57 pm
Forum: Investing - Theory, News & General
Topic: Do you think that the higher valuations of the US are justified by a different sector composition?
Replies: 14
Views: 1557

Re: Do you think that the higher valuations of the US are justified by a different sector composition?

Sounds a little like self justifying twaddle. Similar to the argumets in late 90s about how the "new" economy businesses would sore and take over the world while "old" economy businesses would wither and die. Nonsense then, nonsense now. It's an uncomfortable fact that high valuations today mean low...
by asset_chaos
Thu Mar 01, 2018 7:56 pm
Forum: Investing - Help with Personal Investments
Topic: [EU] This is how spanish Robo-advisors are doing its Asset Allocation
Replies: 5
Views: 585

Re: [EU] This is how spanish Robo-advisors are doing its Asset Allocation

I'm not European, but all of these investment models seem ok, as long as costs are reasonable; however, they all seem to have quirks that don't obviously make sense. I will state upfront my own opinion for stock investments is to start with the global market and then see if some tilt to your home co...
by asset_chaos
Thu Feb 22, 2018 6:21 pm
Forum: Investing - Theory, News & General
Topic: Total World expense ratio lowered
Replies: 38
Views: 8730

Re: Total World expense ratio lowered

To update, I logged on to my account today to be greeted by "As of 02/22/2018, the expense ratio on your Vanguard Total World Stock Index Fund Investor Shares has changed from 0.21% to 0.19%." I assume expenses for the etf shares officially lowered too. The march of lower expense ratios continues. I...
by asset_chaos
Sat Feb 10, 2018 10:01 pm
Forum: Investing - Theory, News & General
Topic: Words of wisdom from Vanguard re:current market volatility
Replies: 7
Views: 1620

Re: Words of wisdom from Vanguard re:current market volatility

Counter-cyclical communications are one of the many things I like about Vanguard.
by asset_chaos
Sat Feb 10, 2018 8:29 pm
Forum: Investing - Theory, News & General
Topic: A glidepath formula
Replies: 15
Views: 2026

Re: A glidepath formula

Anything is good enough that keeps you comfortable with your plan and that you can follow. Where are you now, where do you want to be a specific number of years from now, draw a straight line, and there's your first order approximation to a "perfect" glide path.
by asset_chaos
Sun Feb 04, 2018 6:34 pm
Forum: Investing - Help with Personal Investments
Topic: Why bother with separate and Growth and Value index funds?
Replies: 17
Views: 2218

Re: Why bother with separate and Growth and Value index funds?

Yes, it seems nearly pointless to hold equal amounts of growth and value index funds; just hold total market instead. I said nearly: I believe there is a conceivable point in creating more rebalancing opportunities. But I think any small benefit would be outweighed by the waste of your time in doing...
by asset_chaos
Mon Jan 29, 2018 3:30 pm
Forum: Investing - Theory, News & General
Topic: market timing in a random walk
Replies: 39
Views: 2651

Re: market timing in a random walk

If the market is truly random, then you can't really do better by trying to buy and sell at the right time. But you can't really do much worse, either ... Now, if it is indeed possible to systematically hurt yourself by timing the market, then that must mean there is a pattern in the market that yo...