Search found 23174 matches

by Taylor Larimore
Sun Feb 25, 2018 3:27 pm
Forum: Investing - Theory, News & General
Topic: Stock/Bond Ratio Determines Risk: Flawed Thesis?
Replies: 10
Views: 305

Re: Stock/Bond Ratio Determines Risk: Flawed Thesis?

I want to quickly acknowledge that in any upcoming day, week or even year, stocks will be riskier – far riskier – than short-term U.S. bonds. As an investor’s investment horizon lengthens, however, a diversified portfolio of U.S. equities becomes progressively less risky than bonds, assuming that t...
by Taylor Larimore
Sun Feb 25, 2018 2:39 pm
Forum: Investing - Theory, News & General
Topic: Ever thought of withdrawing bond allocation first ??
Replies: 6
Views: 208

Re: Ever thought of withdrawing bond allocation first ??

rajsx:

I suggest that you maintain your desired allocation. This means that you withdraw from the overweight fund(s) wherever they are located.

Keep investing simple.

Best wishes.
Taylor
by Taylor Larimore
Sat Feb 24, 2018 10:02 pm
Forum: Investing - Theory, News & General
Topic: What books changed your outlook on how you should invest?
Replies: 38
Views: 2296

Re: What books changed your outlook on how you should invest?

Wildebeest:

Thank you for your reply.

Best wishes.
Taylor
by Taylor Larimore
Sat Feb 24, 2018 9:25 pm
Forum: Investing - Theory, News & General
Topic: Total Bond Market [how to allocate bond portion of AA]
Replies: 17
Views: 1816

Re: Total Bond Market [how to allocate bond portion of AA]

Bogleheads: Vanguard Total Bond Market Index Fund tracks a composite Barclay Aggregate Bond Index. This is the history of Inflation and the Barclay Aggregate Bond Index total return since the Index's inception: YEAR--INFLATION--BOND INDEX 1976-------4.9%--------15.6% 1977-------6.7-----------3.0 197...
by Taylor Larimore
Sat Feb 24, 2018 4:20 pm
Forum: Investing - Help with Personal Investments
Topic: Financial proposal from Adviser
Replies: 37
Views: 3202

The Three-Fund Portfolio

neveragain wrote:
Sat Feb 24, 2018 4:10 pm

I haven't heard of Taylor Larrimore 3 fund portfolio. I'll have to look it up.
neveragain:

This is the link: The Three-Fund Portfolio

Best wishes.
Taylor
by Taylor Larimore
Sat Feb 24, 2018 1:37 pm
Forum: Investing - Help with Personal Investments
Topic: Add short term bond fund to bond portion of AA?
Replies: 4
Views: 297

Re: Add short term bond fund to bond portion of AA?

Would you gain anything from adding a short term corporate bond index fund to the bond portion of AA if you are using total bond index fund? Looks like the fund I am currently using, Schwab SWAGX, is composted of 100% high quality intermediate bonds based on X-ray. Schwab has a short term fund SWSB...
by Taylor Larimore
Fri Feb 23, 2018 10:00 pm
Forum: Personal Finance (Not Investing)
Topic: Avoiding the Hassle Factor - Vanguard, Schwab, or Fidelity?
Replies: 60
Views: 7641

Re: Avoiding the Hassle Factor - Vanguard, Schwab, or Fidelity?

I've been with Vanguard for a long time and have had no problems. Having said that, my family's needs are going to expand beyond picking good, low-cost target retirement funds for IRAs in the next few years. I'm knowledgeable about mutual funds and do not have a need for an advisor. Spouse has zero...
by Taylor Larimore
Fri Feb 23, 2018 8:36 pm
Forum: Investing - Theory, News & General
Topic: What books changed your outlook on how you should invest?
Replies: 38
Views: 2296

Re: What books changed your outlook on how you should invest?

Most of the ones I have read had similar themes, but Random Walk Down Wallstreet resonated the most for me. I loved a "Random walk down Wall Street". A great book. It would have been even a greater book if we never heard of Malkiel again and I had not read "The (Mis) behavior of markets" by Benoit ...
by Taylor Larimore
Fri Feb 23, 2018 8:29 pm
Forum: Investing - Theory, News & General
Topic: What books changed your outlook on how you should invest?
Replies: 38
Views: 2296

"Bogle on Mutual Funds"

Once upon a time I read John C Bogle's " All about mutual funds" and it made so much sense and I was ready. And I was sold. At the time I did not have much money but I went all in. Index funds it is and it will be. Wildebeest: Your memory (like mine) is slipping. Mr. Bogle never wrote a book with t...
by Taylor Larimore
Fri Feb 23, 2018 8:19 pm
Forum: Investing - Help with Personal Investments
Topic: Financial proposal from Adviser
Replies: 37
Views: 3202

Re: Financial proposal from Adviser

neveragain wrote:
Fri Feb 23, 2018 10:53 am
It's a proposal to grow my funds from around 200K to almost 800K over a span of 20 years.
neveragain:

No one can forecast what the stock and bond markets will do in 20 years. This is a red flag that the "advisor" is misleading you.

Best wishes.
Taylor
by Taylor Larimore
Fri Feb 23, 2018 7:56 pm
Forum: Investing - Theory, News & General
Topic: Total Bond Market [how to allocate bond portion of AA]
Replies: 17
Views: 1816

Re: Total Bond Market [how to allocate bond portion of AA]

I am currently at about 50% stocks and 50% bonds (with some of this 50% in "cash") with the plan to retire this year. I am most concerned about the bond funds. The bond fund currently consists of the following: 33% in Total Bond Fund (VBTLX) 24% in Short Term Corporate Bond (VSCSX) 22% in Intermedi...
by Taylor Larimore
Fri Feb 23, 2018 3:38 pm
Forum: Investing - Theory, News & General
Topic: Interactive Brokers (Best Kept Secret)
Replies: 95
Views: 28316

"No Fees ? "

As an alternative, some may want to consider Robinhood. It's a relatively new entrant and can only be used from a smartphone (Android or iPhone apps) but it has a nice interface and has NO FEES for trading US stock, or US-listed ADRS, or ETFs. There is no minimum account balance required either for...
by Taylor Larimore
Thu Feb 22, 2018 1:39 pm
Forum: Investing - Theory, News & General
Topic: "Bogleheads.org" by Kristine Hayes"
Replies: 44
Views: 5147

"Bogleheads.org" by Kristine Hayes"

Bogleheads:

I think you will enjoy this short article about our Bogleheads' forum by Kristine Hayes.

Kristine's article is a reminder of how important it when using abbreviations to also say what the initials stand for.

Bogleheads.org

Best wishes.
Taylor
by Taylor Larimore
Thu Feb 22, 2018 12:07 pm
Forum: Personal Consumer Issues
Topic: What UN-frugal thing do you do?
Replies: 168
Views: 8214

Re: What UN-frugal thing do you do?

Bogleheads:

In recent years, when I go to the grocery store or restaurant, I seldom look at the price. I just buy what I want. It is a luxury I could not afford when I was younger.

Thank you, Jack!

Best wishes.
Taylor
by Taylor Larimore
Wed Feb 21, 2018 8:02 pm
Forum: Investing - Help with Personal Investments
Topic: Taxable account
Replies: 6
Views: 633

Re: Taxable account

Forgive me in advance for my ignorance... :happy DoubleR: I will give you short answers in red: #1. If I open a taxable account and then decide to pull my intial ammount out do I have to pay any penalty or tax? I would assume you only pay tax on whatever you make not the amount you put in. You are ...
by Taylor Larimore
Wed Feb 21, 2018 6:30 pm
Forum: Investing - Help with Personal Investments
Topic: Reporting back on variable annuity research
Replies: 8
Views: 749

Re: Reporting back on variable annuity research

ljr:

Thank you for reporting back. Your post will help many annuity owners who are in a similar situation to your own.

Best wishes.
Taylor
by Taylor Larimore
Wed Feb 21, 2018 5:46 pm
Forum: Investing - Help with Personal Investments
Topic: 401k Advice
Replies: 6
Views: 250

Re: 401k Advice

Mason412: It is important to consider all investments as one over-all portfolio. Do you and your spouse have other investments? If so, list them and show whether they are in a taxable or tax-advantaged account. Thank you and best wishes. Taylor Edit: I looked at your two prior posts and realize that...
by Taylor Larimore
Wed Feb 21, 2018 5:13 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 5600
Views: 1266472

Re: U.S. stocks in freefall

I've never liked VBTLX as a bond fund. Returns are dismal. There are a lot better choices (PONDX comes to mind) out there. We sometimes forget that bonds are for safety. In the stock bear market of 2008, PONDX fell -5.8% when safety was needed. Meanwhile Total Bond Market gained +5% (a 10.8% differ...
by Taylor Larimore
Wed Feb 21, 2018 3:59 pm
Forum: Investing - Help with Personal Investments
Topic: Will REIT funds ever see another drawdown like 2008?
Replies: 51
Views: 4403

Re: Will REIT funds ever see another drawdown like 2008?

NumeroUno wrote:Will REIT funds ever see another drawdown like 2008?
NumeroUno:

Answer: NO ONE can forecast what a fund will do in the future.

What to do?: Buy the market so that whatever happens you will not find yourself invested mostly in losing funds.

Best wishes.
Taylor
by Taylor Larimore
Tue Feb 20, 2018 8:29 pm
Forum: Investing - Theory, News & General
Topic: The Three-Fund Portfolio
Replies: 2075
Views: 1262361

Re: The Three-Fund Portfolio

saltycaper wrote:
Tue Feb 20, 2018 6:14 pm
Total Int'l Stock Index is not hedged. Maybe you are thinking of Total Int'l Bond Index. (Poster was referring to Total Int'l Stock Index.)
saltycaper:

Good catch. I will edit my post. Thank you for the correction.

Best wishes.
Taylor
by Taylor Larimore
Tue Feb 20, 2018 4:37 pm
Forum: Investing - Theory, News & General
Topic: The Three-Fund Portfolio
Replies: 2075
Views: 1262361

Re: The Three-Fund Portfolio

kayanco:

This Investopedia article, 3 Strategies to Mitigate Currency Risk should answer your question.

If you want more information about Currency Risk, please start a new topic on the "Investing - Theory, News & General" forum.

Thank you and best wishes.
Taylor
by Taylor Larimore
Tue Feb 20, 2018 11:27 am
Forum: Investing - Theory, News & General
Topic: Vanguard LifeStrategy Funds vs. Target Date Funds
Replies: 67
Views: 6331

"Target Date Funds Are Underrated"

Bogleheads:

Today I received The Finance Buff newsletter (one of my favorites). This article about target-date funds is appropriate for our discussion:

Target Date Funds Are Underrated

Thank you, Harry Sit!

Best wishes.
Taylor
by Taylor Larimore
Tue Feb 20, 2018 10:50 am
Forum: Personal Consumer Issues
Topic: Single People and Retirement Question
Replies: 105
Views: 9455

Re: Single People and Retirement Question

Zonian, thanks for your post. I just went through this, so I have the solution for me at least. I created a trust and pour over will, and except for some bequests going to family members, the bulk of everything is being left to a legacy bequest in a Community Foundation in my area. Limoncello402: Y...
by Taylor Larimore
Mon Feb 19, 2018 9:46 pm
Forum: Investing - Theory, News & General
Topic: First Hand Look at Complexity
Replies: 6
Views: 638

Re: First Hand Look at Complexity

Guess what the results were within 1 percent total return. So after fees virtually identical with 1/10th the complexity.
gibsonL6s:

Total Stock Market Index Funds are very tax-efficient. The comparison (in a taxable account) should reflect after-tax returns.

Best wishes.
Taylor
by Taylor Larimore
Mon Feb 19, 2018 9:46 pm
Forum: Investing - Theory, News & General
Topic: First Hand Look at Complexity
Replies: 6
Views: 638

Re: First Hand Look at Complexity

Guess what the results were within 1 percent total return. So after fees virtually identical with 1/10th the complexity.
gibsonL6s:

Total Stock Market Index Funds are very tax-efficient. The comparison (in a taxable account) should reflect after-tax returns.

Best wishes.
Taylor
by Taylor Larimore
Mon Feb 19, 2018 9:32 pm
Forum: Investing - Help with Personal Investments
Topic: Creating My Index Portfolio
Replies: 21
Views: 1486

Re: Creating My Index Portfolio

Off the top of my head it looks like Total Market Index, an International Index, and a Bond Fund of some kind will fix my Desired Asset Allocation. Any advice at where to go from here or next proper step? ddhamilt: You have found your way to The Three-Fund Portfolio. Congratulations! I suggest that...
by Taylor Larimore
Mon Feb 19, 2018 9:15 pm
Forum: Personal Consumer Issues
Topic: Seeking Cruise Suggestions
Replies: 36
Views: 2173

Re: Seeking Cruise Suggestions

Barefootgirl:

My wife and I took a cruise to Antarctica many years ago. We enjoyed it enormously.

Our son is currently on a similar cruise aboard the Holland America, Prinsendam. He's been sending back glowing reports.

Thank you, Jack!

Best wishes.
Taylor
by Taylor Larimore
Mon Feb 19, 2018 9:06 pm
Forum: Investing - Help with Personal Investments
Topic: Will REIT funds ever see another drawdown like 2008?
Replies: 51
Views: 4403

Vanguard REIT Fund?

Bogleheads: I once owned the Vanguard REIT fund but eventually gave it up. My feeling is that the market weight of REITs plus the corporate-owned real estate in The Total Market Index Fund is sufficient--especially if the investor owns a home or other real estate. Strive for simplicity, not complexi...
by Taylor Larimore
Mon Feb 19, 2018 8:49 pm
Forum: Investing - Help with Personal Investments
Topic: Portfolio Check (recently ditched advisor)
Replies: 3
Views: 602

Re: Portfolio Check (recently ditched advisor)

Hello - I was hoping to get a quick check on my trust account which I recently moved from a Schwab advisor. Previous advisor had us in 18 different funds with expense ratios ranging from .64 to 1.8 (on top of the 1% management fee)... it was time to make a change. This trust holds roughly 75% of ou...
by Taylor Larimore
Mon Feb 19, 2018 7:46 pm
Forum: Investing - Help with Personal Investments
Topic: Tax Adjusting a Taxable Account
Replies: 18
Views: 869

Re: Tax Adjusting a Taxable Account

beth26: Welcome to the Bogleheads forum! I have never bothered to "tax-adjust" between our taxable and tax-advantaged accounts (IRAs, 401ks, etc.). I'm now 94 and haven't missed "tax-adjustment" at all. Strive for simplicity; not complexity. Please read my " Simplicity " link below. Warren Buffett:...
by Taylor Larimore
Mon Feb 19, 2018 12:50 pm
Forum: Investing - Theory, News & General
Topic: Taxable fund placement
Replies: 7
Views: 485

Re: Taxable fund placement

I currently hold both VTSAX total US market and VTIAX total International Market in my taxable account. I'm getting ready to re-balance as per my IPS. I have the flexibility to shift all my international to tax advantage accounts and just hold VTSAX in taxable and stay within my current AA. Given t...
by Taylor Larimore
Mon Feb 19, 2018 12:34 pm
Forum: Investing - Help with Personal Investments
Topic: Tax Adjusting a Taxable Account
Replies: 18
Views: 869

Re: Tax Adjusting a Taxable Account

beth26: Welcome to the Bogleheads forum! I have never bothered to "tax-adjust" between our taxable and tax-advantaged accounts (IRAs, 401ks, etc.). I'm now 94 and haven't missed "tax-adjustment" at all. Strive for simplicity; not complexity. Please read my " Simplicity " link below. Warren Buffett: ...
by Taylor Larimore
Mon Feb 19, 2018 12:03 pm
Forum: Investing - Theory, News & General
Topic: Is it "cute" to invest in sector funds?
Replies: 23
Views: 1475

Owning the total market

Owning the total market (globally) means you eliminate stock risk, sector risk, style risk, size risk, manager risk, and country risk. The risk you are left with is market risk. You have to accept that market risk to get the return of the market. But you can reduce the market risk by holding bonds,...
by Taylor Larimore
Mon Feb 19, 2018 10:14 am
Forum: Personal Consumer Issues
Topic: Single People and Retirement Question
Replies: 105
Views: 9455

Re: Single People and Retirement Question

Limoncello402: My hobby was sailing. When I retired I obtained a U.S. Coast Guard license and began delivering sailboats to U.S. and foreign ports. I also taught sailing and became the American Sailing Association " Instructor of the Year. " Even today, at age 94, I still race sailboats on Biscayne ...
by Taylor Larimore
Mon Feb 19, 2018 9:53 am
Forum: Investing - Theory, News & General
Topic: Is it "cute" to invest in sector funds?
Replies: 23
Views: 1475

Re: Is it "cute" to invest in sector funds?

I'm kind of new to the concept of indexing. While my general plan is to just buy and hold a three fund portfolio, does the community have a general opinion on investing in specific sector funds like IT or whatever? On one hand, it seems to me like a form of stock picking, but I recently watched or ...
by Taylor Larimore
Sun Feb 18, 2018 8:10 pm
Forum: Investing - Help with Personal Investments
Topic: Does the absence of need for a legacy affect your AA or SWR?
Replies: 24
Views: 1715

SPIAs

If one does not need (or want) to leave a legacy for inheritance (or any particular purpose), does that affect your asset allocation or Safe Withdrawal Rate? rgs92: You have received good replies. I'll add another thought: If you do not need to leave an inheritance, consider purchasing a Single Pre...
by Taylor Larimore
Sun Feb 18, 2018 3:52 pm
Forum: Investing - Theory, News & General
Topic: Chillin' in the BH Lounge
Replies: 46
Views: 5275

Re: Chillin' in the BH Lounge

Bogleheads:
Keep it simple.
Your results will triple.
Best wishes.
Taylor
by Taylor Larimore
Sun Feb 18, 2018 1:42 pm
Forum: Investing - Theory, News & General
Topic: What Experts Say About "Indexing"
Replies: 19
Views: 6696

Re: What Experts Say About "Indexing"

Bogle Research Center : "$16,219 invested on Aug 8, 2016 (opening day) in the S&P 500 Index fund was worth $1,000,000 forty years later." Is there a typo here? 2016 is only 2 years ago! BogleMelon: Thank you for mentioning the error. I have removed the post from its thread. Best wishes. Taylor
by Taylor Larimore
Sun Feb 18, 2018 11:46 am
Forum: Personal Finance (Not Investing)
Topic: What has been your most important skill in achieving financial independence?
Replies: 164
Views: 10749

Re: What has been your most important skill in achieving financial independence?

I agree that luck plays an important role. I strongly disagree with the percentages you allocate to luck and skill. I was born in the USSR where I faced discrimination in education and career. I came to the U.S.A. as a single parent of a new-born girl. I credit my ability to define professional goa...
by Taylor Larimore
Sat Feb 17, 2018 6:03 pm
Forum: Personal Finance (Not Investing)
Topic: What has been your most important skill in achieving financial independence?
Replies: 164
Views: 10749

Re: What has been your most important skill in achieving financial independence?

Trader/Investor wrote:
Sat Feb 17, 2018 5:08 pm
Being a maverick, fiercely independent, marching to my own beat, not following the crowd or conventional wisdom and never listening to the so-called experts.
Trader/Investor:

Who do you listen to for advice?

Thank you and best wishes.
Taylor
by Taylor Larimore
Sat Feb 17, 2018 12:41 pm
Forum: Personal Finance (Not Investing)
Topic: What has been your most important skill in achieving financial independence?
Replies: 164
Views: 10749

Stay the Course

sonofdelrinson:

I read your earlier posts.

All I can say is that you are on your way to investment success. -- Stay the course.
The enemy of a good plan is the dream of a perfect plan. -- Jack Bogle
Congratulations and best wishes.

Taylor
by Taylor Larimore
Fri Feb 16, 2018 9:44 pm
Forum: Investing - Theory, News & General
Topic: "The Morning After" by Jonathan Clements
Replies: 15
Views: 3193

Re: "The Morning After" by Jonathan Clements

Hi Taylor, Thanks so much for this information. I really enjoy his WSJ columns. Just subscribed to his free newsletter. I really appreciate you sharing this information. I just recently subscribed to James Stack’s InvesTech Newsletter which is a paid subscription. May call on Monday for a refund. A...
by Taylor Larimore
Fri Feb 16, 2018 9:30 pm
Forum: Investing - Theory, News & General
Topic: "The Morning After" by Jonathan Clements
Replies: 15
Views: 3193

Re: "The Morning After" by Jonathan Clements

iceport:

Thank you for the follow-up article.

I selected two of Mr. Clement's books for inclusion in my "Investment Gems" where Bogleheads can read many of his valuable excerpts. These are the links:

Jonathan Clements Money Guide

You've Lost It. Now What?

Enjoy!

Best wishes.
Taylor
by Taylor Larimore
Fri Feb 16, 2018 9:10 pm
Forum: Investing - Theory, News & General
Topic: What is the evidence against slice and dice?
Replies: 59
Views: 4580

Re: What is the evidence against slice and dice?

you must not read replies to your posts otherwise you'd know why it's foolish to compare a 90/10 portfolio to a 60/40 portfolio. bling: I did not pick the "foolish" professionally designed "Lazy" Portfolios," The highly respected Mr. Farrell did. "Foolish" or not, it's nice if you are in the winnin...
by Taylor Larimore
Fri Feb 16, 2018 8:50 pm
Forum: Investing - Theory, News & General
Topic: "The Morning After" by Jonathan Clements
Replies: 15
Views: 3193

"The Morning After" by Jonathan Clements

Bogleheads: One of my favorite writers is Jonathan Clements who is very knowledgeable and writes simply and clearly. Mr. Clements is an author and has written over 1,000 columns for the Wall Street Journal. Mr. Clements writes a free newsletter called Humble Dollar which I subscribe to (below is a l...
by Taylor Larimore
Fri Feb 16, 2018 8:22 pm
Forum: Investing - Theory, News & General
Topic: Vanguard LifeStrategy Funds vs. Target Date Funds
Replies: 67
Views: 6331

Re: Vanguard LifeStrategy Funds vs. Target Date Funds

What's the difference in Vanguards Lifestrategy and Target Date funds? The AA adjusts through the glide path in the Target Date funds over time and the Lifestrategy funds keeps the same AA? Looks like the Lifestrategy is $3k minimum investment, Target date $1k. What are the pro's/con's of this? My ...
by Taylor Larimore
Fri Feb 16, 2018 7:27 pm
Forum: Investing - Theory, News & General
Topic: Vanguard LifeStrategy Funds vs. Target Date Funds
Replies: 67
Views: 6331

Re: Vanguard LifeStrategy Funds vs. Target Date Funds

What's the difference in Vanguards Lifestrategy and Target Date funds? The AA adjusts through the glide path in the Target Date funds over time and the Lifestrategy funds keeps the same AA? Looks like the Lifestrategy is $3k minimum investment, Target date $1k. What are the pro's/con's of this? My ...
by Taylor Larimore
Fri Feb 16, 2018 3:23 pm
Forum: Investing - Theory, News & General
Topic: What is the evidence against slice and dice?
Replies: 59
Views: 4580

Paul or Jack: Place Your Bets

I'd love to see a debate on this subject between Taylor Larimore and Paul Merriman, moderated by Jack Bogle. :D Two versus one? Paul would still win. :wink: willthrill81: You may be right. But I have a comfortable head start: Reason #1 : Many years ago I bought Paul's book, "Investing for a Lifetim...
by Taylor Larimore
Fri Feb 16, 2018 9:48 am
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 5600
Views: 1266472

Re: U.S. stocks in freefall

I think correction followed by the rebound is providing a decent opportunity for folks who just got a gut check and thought "I really wish I had rebalanced and not let things ride for so long" to act on that wish... And the correction is providing a partial answer for those who regularly ask here, ...
by Taylor Larimore
Thu Feb 15, 2018 8:29 pm
Forum: Investing - Theory, News & General
Topic: What is the evidence against slice and dice?
Replies: 59
Views: 4580

Re: What is the evidence against slice and dice?

hdas: The Three-Fund Portfolio currently leads the pack at Dow MarketWatch. MarketWatch Returns for 8 Lazy Portfolios Portfolio ................................. 1-yr ........ 3-yrs ...... 5-yrs ...... 10-yrs Aronson Family Taxable .............12.75%..... 6.62%.....7.72%..... 6.27% Fundadvice Ultim...