Search found 22380 matches

by Taylor Larimore
Wed Aug 23, 2017 9:10 pm
Forum: Investing - Help with Personal Investments
Topic: Stocks On Sale - What do you buy?
Replies: 19
Views: 1415

TSM

TSM is essentially a large growth index flyersrule: This may be true. It is also true that TSM (Total Stock Market) holds 3613 diversified stocks of the largest and most successful corporations in the United States. It is also true that TSM is efficient , meaning that that no other US stock portfol...
by Taylor Larimore
Wed Aug 23, 2017 8:38 pm
Forum: Investing - Help with Personal Investments
Topic: Retirement is Coming - Do my 3-Fund portfolios make any sense?
Replies: 7
Views: 556

Re: Retirement is Coming - Do my 3-Fund portfolios make any sense?

Thank you Watty - this is very insightful In response to your question, His Social Security would increase from 2,300 to $3,000 per month if SS was delayed until age 70. riDINGti: Watty has given you very valuable advice about waiting. Also, a spouse may be entitled to one-half the Social Security ...
by Taylor Larimore
Wed Aug 23, 2017 6:31 pm
Forum: Investing - Help with Personal Investments
Topic: Retirement is Coming - Do my 3-Fund portfolios make any sense?
Replies: 7
Views: 556

3 comments

riDINGti » Welcome to the Bogleheads Forum! I'll make three comments: * Taxable bond funds do not belong in taxable accounts because nearly all their return is taxable at (high) income tax rates. I would sell your Fidelity U.S. Bond Index in your taxable account and put the proceeds into the other t...
by Taylor Larimore
Wed Aug 23, 2017 6:05 pm
Forum: Investing - Help with Personal Investments
Topic: Stocks On Sale - What do you buy?
Replies: 19
Views: 1415

The Three-Fund Portfolio

I always read in countless posts and forums that... "When the markets go down, things are on sale and I buy more". Its been a interest of mine to see what the people are generally buying when they say this. What do you guys typically buy? TSM or Index funds or individual equities? What is your go t...
by Taylor Larimore
Wed Aug 23, 2017 5:16 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 3822
Views: 1001798

Another point of view

True but it might take a very long time. After 1929 crash Dow didn't recover until 1950s ... zenon: According to "Outperforming the Market" by author John Merrill, if you had invested $1,000,000 in September 1929 at the top of the bull market, you would have $921,000 nominal and $1,142,000 real (af...
by Taylor Larimore
Tue Aug 22, 2017 7:22 pm
Forum: Personal Finance (Not Investing)
Topic: What is your cash reserve limit, above which you invest?
Replies: 25
Views: 2370

Re: What is your cash reserve limit, above which you invest?

So my question is: What is your own policy when it comes to keep money in cash Vs investing the extra? BogleMelon: I do not have separate, low-yielding, emergency cash that I may never need. I know that I can obtain cash within a reasonable time from my bank account, credit card, portfolio, bank lo...
by Taylor Larimore
Tue Aug 22, 2017 6:58 pm
Forum: Personal Finance (Not Investing)
Topic: 12 Things Not to Do if You Win the Lottery
Replies: 9
Views: 1728

Re: 12 Things Not to Do if You Win the Lottery

Bogleheads:

It occurs to me that the odds of winning the lottery are even worse than the odds of beating the market.

Best wishes.
Taylor
by Taylor Larimore
Tue Aug 22, 2017 5:26 pm
Forum: Investing - Theory, News & General
Topic: Vanguard changed their way of computing PE ratios
Replies: 11
Views: 1253

Re: Vanguard changed their way of computing PE ratios

Siamond: Thank you for an interesting report about how Vanguard is changing the way it computes Price/Earnings ratios. One of the advantages to staying-the-course is that PE and other ratios are nearly meaningless for fund investors. Stay the course. It is the most important single piece of investme...
by Taylor Larimore
Tue Aug 22, 2017 11:02 am
Forum: Investing - Theory, News & General
Topic: Vanguard Announces Plans To Launch Total Corporate Bond ETF
Replies: 23
Views: 1970

"more than 371 funds?"

Bogleheads:

According to the Announcement:
The firm, headquartered in Valley Forge, Pennsylvania, offers more than 371 funds
.
Can anyone explain why Vanguard offers so many funds?

Best wishes
Taylor
by Taylor Larimore
Tue Aug 22, 2017 10:49 am
Forum: Investing - Theory, News & General
Topic: NY 529 plan - fee reduction, glide path options, increased account maximum and other changes
Replies: 4
Views: 480

Re: NY 529 plan - fee reduction, glide path options, increased account maximum and other changes

nyclon:

Thank you for the new information about the New York 529 college savings plan.

Morningstar has rated the N.Y. Plan (available to non NY residents) one of the best. One reason: It uses only Vanguard mutual funds.

Best wishes.
Taylor
by Taylor Larimore
Mon Aug 21, 2017 10:22 pm
Forum: Investing - Help with Personal Investments
Topic: Bad to keep taxable acct solely in VTSAX?
Replies: 11
Views: 1731

Re: Bad to keep taxable acct solely in VTSAX?

WanderingDoc: Morningstar recently wrote a column about Vanguard's Total Market Index Fund with this conclusion: Vanguard Total Stock Market ETF (VTI) offers diversified exposure to U.S. stocks of all sizes. A low fee and reasonably representative benchmark leave this exchange-traded fund well-posit...
by Taylor Larimore
Mon Aug 21, 2017 3:16 pm
Forum: Investing - Theory, News & General
Topic: I own no international stocks. Can you guess why?
Replies: 167
Views: 12144

Re: I own no international stocks. Can you guess why?

Taylor Larimore wrote: I once allocated over 30% of my equity in international stocks. I have gradually reduced my international allocation to 00% . Can you guess why? MindBogler wrote: I'd rather know why you feel like that position is a gamble worth making? . MindBogler: Whether or not I own inte...
by Taylor Larimore
Mon Aug 21, 2017 3:02 pm
Forum: Investing - Theory, News & General
Topic: I own no international stocks. Can you guess why?
Replies: 167
Views: 12144

Rules and exceptions

This is known as "letting the tax tail wag the asset allocation dog". triceratop: General rules can have important exceptions. Money that I cannot afford to lose is in low-cost, high-quality, very diversified, intermediate-term, Vanguard Total Bond Market Index Fund. With my future secure, I feel t...
by Taylor Larimore
Mon Aug 21, 2017 12:51 pm
Forum: Investing - Theory, News & General
Topic: "ETF Specialist Own the Entire U.S. Equity Market in One Fell Swoop"
Replies: 0
Views: 397

"ETF Specialist Own the Entire U.S. Equity Market in One Fell Swoop"

Bogleheads: Morningstar is featuring an article about Vanguard's Total Market Index Fund: Vanguard Total Stock Market ETF (VTI) offers diversified exposure to U.S. stocks of all sizes. A low fee and reasonably representative benchmark leave this exchange-traded fund well-positioned to continue its l...
by Taylor Larimore
Mon Aug 21, 2017 12:16 pm
Forum: Investing - Theory, News & General
Topic: I own no international stocks. Can you guess why?
Replies: 167
Views: 12144

Exchanging bond fund to International stock fund?

Why not exchange bond fund shares in the IRA for an International stock fund? Can't that be done to preserve one's desired asset allocation?
triceratop:

The bond fund in my IRA is the money I cannot afford to lose. It is all-important.

Best wishes.
Taylor
by Taylor Larimore
Mon Aug 21, 2017 11:53 am
Forum: Investing - Theory, News & General
Topic: I own no international stocks. Can you guess why?
Replies: 167
Views: 12144

"Why" -- The Answer

Bogleheads: I could not believe my eyes when I sat down at my computer this morning to learn that my opening post (OP), made yesterday, had received 125 replies. This old teacher is grateful for each and every one. My question contained a clue " gradually reduced ": I have gradually reduced my inter...
by Taylor Larimore
Sun Aug 20, 2017 10:43 am
Forum: Investing - Theory, News & General
Topic: I own no international stocks. Can you guess why?
Replies: 167
Views: 12144

I own no international stocks. Can you guess why?

Bogleheads: How much international stock should we own is a much discussed subject. Hoping to help, a year ago I made a post suggesting 20% of equity. I once allocated over 30% of my equity in international stocks. I have gradually reduced my international allocation to 00% . Can you guess why? I'll...
by Taylor Larimore
Sat Aug 19, 2017 9:32 pm
Forum: Personal Finance (Not Investing)
Topic: RMD taxation taken in December
Replies: 12
Views: 1043

Answer to question.

Taylor - When you take your RMDs does the Vanguard system ask you the amount you want withheld or does it ask you the percentage you want withheld? I seem to remember it asks the percentage, but I may be incorrect. Regards, tomd37: I'm not sure what the Vanguard website asks. It makes more sense to...
by Taylor Larimore
Sat Aug 19, 2017 3:02 pm
Forum: Investing - Theory, News & General
Topic: How much international stock? A suggestion.
Replies: 213
Views: 36272

Re: How much international stock? A suggestion.

In 2012, Taylor said, "I personally favor a greater allocation than 20%..." (here), and in 2015, he said he himself held about 30%, "...primarily based on Vanguard Research..." (here). I am curious why he lowered the international allocation he suggests to 20%. I hope it is not recency bias , but w...
by Taylor Larimore
Fri Aug 18, 2017 7:17 pm
Forum: Investing - Help with Personal Investments
Topic: Cancer at 38. Going from high income to no income. Need help generating income from $5m portfolio
Replies: 45
Views: 9205

Re: Cancer at 38. Going from high income to no income. Need help generating income from $5m portfolio

ZbnkInvestor: Welcome to the Bogleheads Forum! Several thoughts: * I remember the first time I was told I had cancer. We thought I was going to die (I'm now 93). I've learned that most people survive their cancer and live a normal lifespan (I've since endured 3 additional kinds of cancer). I continu...
by Taylor Larimore
Fri Aug 18, 2017 6:16 pm
Forum: Personal Finance (Not Investing)
Topic: RMD taxation taken in December
Replies: 12
Views: 1043

Re: RMD taxation taken in December

Hopps777: Your two examples are correct. When I take my RMD on the Vanguard website (in December), it asks me how much of it I want Vanguard to send to the IRS for Estimated Taxes. I request they send them the amount of federal income tax I paid last year which is normally sufficient to avoid any un...
by Taylor Larimore
Fri Aug 18, 2017 5:51 pm
Forum: Investing - Theory, News & General
Topic: The Phillips Curve is not working!
Replies: 26
Views: 2533

Re: The Phillips Curve is not working!

Bogleheads: Long ago I learned that it is a mistake to use the "Phillips Curve" or any other method to forecast the stock and bond markets. It is also a great time-saver not trying to "beat the market." This is why I am a stay-the-course investor. Stay the course. It is the most important piece of w...
by Taylor Larimore
Thu Aug 17, 2017 5:35 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: World Isn't Flat-Invest Accordingly
Replies: 71
Views: 6324

"The Three-Fund Portfolio"

Bogleheads:

Every once in while I check the returns of 10 "Lazy Portfolios" designed by "experts" with the The Three-Fund Portfolio.

More often than not, Allan Roth's Second Grader's Starter (3-fund) Portfolio leads the pack:

http://www.marketwatch.com/lazyportfolio

Best wishes
Taylor
by Taylor Larimore
Thu Aug 17, 2017 4:25 pm
Forum: Investing - Help with Personal Investments
Topic: ETF Investment Strategy - looking for feedback
Replies: 9
Views: 537

Answer to question

Thanks for the welcome Taylor Do you mean that I should not have the same funds present in both accounts ? or that I have overlap between funds like VT+VTI? dkajshdfkqwh: Sorry I was not clear. Unless you have a very good reason for having the same fund(s) in both accounts, you should consider all ...
by Taylor Larimore
Thu Aug 17, 2017 3:17 pm
Forum: Investing - Help with Personal Investments
Topic: ETF Investment Strategy - looking for feedback
Replies: 9
Views: 537

The Three-Fund Portfolio

dkajshdfkqwh: Welcome to the Bogleheads Forum! There is no need to have the same overlapping funds in each account. Your overall portfolio will be tax-inefficient, more costly, and overly complex (read my "Simplicity" link below. Consider the many advantages of " The Three-Fund Portfolio Best Wishes...
by Taylor Larimore
Wed Aug 16, 2017 8:33 am
Forum: Investing - Help with Personal Investments
Topic: what % of international stock
Replies: 31
Views: 1566

Re: what % of international stock

looking wrote:
Wed Aug 16, 2017 8:11 am
what percentage of international stock in one's portfolios in this market ???
looking:

You may find this post helpful:

What Percentage of International. A suggestion.

Best wishes.
Taylor
by Taylor Larimore
Sun Aug 13, 2017 8:49 pm
Forum: Investing - Help with Personal Investments
Topic: Create a Mortgage Payoff Fund or Not?
Replies: 20
Views: 1380

Re: Create a Mortgage Payoff Fund or Not?

Bogleheads: Not everyone should sacrifice to pay-off a tax-deductible, low-interest rate, mortgage which usually means tying up your money in a house that is left to heirs and probate. Several years ago I took out a low-interest rate mortgage on my home so that I could give the equity to my heirs wh...
by Taylor Larimore
Sun Aug 13, 2017 4:18 pm
Forum: Investing - Theory, News & General
Topic: The Core Four
Replies: 318
Views: 183103

over-weighting REITs

need403bhelp:
What do you think of the following as a justification for our IPS for why we are NOT over-weighing REITs above market weight:
Your "justification" is better than mine.

Best wishes.
Taylor
by Taylor Larimore
Sun Aug 13, 2017 12:05 pm
Forum: Personal Finance (Not Investing)
Topic: Moving to VA as a state employee, help/feedback needed please!
Replies: 18
Views: 2088

"8.5% match that vests immediately"

The ORPHE gives an 8.5% match and vests immediately.
My2Cents:

I am pleased to see that you are getting many good replies.

An 8.5 % match that vests immediately is a huge benefit--especially if you might leave the plan.

Weigh it heavily in your analysis.

Best wishes.
Taylor
by Taylor Larimore
Sun Aug 13, 2017 10:24 am
Forum: Forum Issues and Administration
Topic: Please consider setting a time limit of 15 minutes to edit a post
Replies: 31
Views: 2657

Re: Please consider setting a time limit of 15 minutes to edit a post

While it's sometimes a PITA to realize you've had a typo after the 15 minutes are up, I think it is better than allowing an OP to delete the entire initial post some number of days later. TomatoTomahto: I read many of the posts. I can't recall this happening. Even if it does happen--does it matter?...
by Taylor Larimore
Sat Aug 12, 2017 9:59 pm
Forum: Investing - Theory, News & General
Topic: The Core Four
Replies: 318
Views: 183103

Adding funds to total market index funds?

Bogleheads: REIT's are very tax inefficient and use-up room in tax-advantaged accounts where REITs belong. Homeowners already own significant real estate. In my opinion, the benefit of adding small funds (and complexity) to a mix of total market index funds which already own the market weight in a c...
by Taylor Larimore
Sat Aug 12, 2017 9:08 pm
Forum: Personal Finance (Not Investing)
Topic: How does personal wealth affect job hunting?
Replies: 57
Views: 6577

Retire later with more money--or retire early with less money ?

KlangFool:

Many workers must make the decision: Work longer and accumulate more money OR retire early with less money?

In my case, I retired early (age 57) with a smaller pension. I didn't like my job so I quit. Looking back, it was the right decision.

Best wishes.
Taylor
by Taylor Larimore
Sat Aug 12, 2017 8:56 pm
Forum: Investing - Help with Personal Investments
Topic: Asset allocation and tax treatment
Replies: 5
Views: 490

Re: Asset allocation and tax treatment

My current asset allocation is 60% U.S. stocks and 40% international stocks. However, I hold different parts of my portfolio in pre-tax, Roth, and taxable accounts. Since, for example, Roth money is "more valuable" (since it has already been taxed) than pre-tax money, should I try to take this into...
by Taylor Larimore
Sat Aug 12, 2017 2:42 pm
Forum: Investing - Help with Personal Investments
Topic: Thank you Bogleheads
Replies: 2
Views: 547

Re: Thank you Bogleheads

Rainmaker41:

Thank you for returning to the forum with news of your successful investment program.

Helping investors achieve financial success is what we are here for.

Best wishes.
Taylor
by Taylor Larimore
Fri Aug 11, 2017 10:25 pm
Forum: Investing - Theory, News & General
Topic: "Honesty like that is rare!"
Replies: 47
Views: 7001

Government TSP retirement plan

they are right to complain about lack of sophistication. No value funds. No EM and no EM bond. No junk debt. No leveraged funds. No quant funds. Bogleheads: This is why Mr. Bogle said (paraphrased) that "The Government Thrift Safety Plan(TSP) is the best 401k type plan. It is also the reason why th...
by Taylor Larimore
Fri Aug 11, 2017 9:35 pm
Forum: Investing - Help with Personal Investments
Topic: Bernstein's Simpleton's Portfolio
Replies: 40
Views: 4274

Re: Bernstein's Simpleton's Portfolio

I read the Boglehead's guide to investing years ago, and have been hooked ever since. donebyforty: I wish everyone who read our book ended up with a portfolio as good as yours: * Portfolio meets your desired stock/bond allocation * Low cost * Diversified (bar-bell approach to stocks) * Tax-efficien...
by Taylor Larimore
Fri Aug 11, 2017 7:34 pm
Forum: Investing - Help with Personal Investments
Topic: Where To Put My Emergency Fund?
Replies: 58
Views: 4057

Re: Where To Put My Emergency Fund?

I currently keep my emergency fund 6 months/$10k in the Vangaurd Federal Money Market Fund (VMFXX) via a taxable account. I am thinking of moving to another Vanguard fund in my taxable account, but am not sure. Any suggestions or should I just keep it there? rattlenap: I do not have a separate, low...
by Taylor Larimore
Fri Aug 11, 2017 3:03 pm
Forum: Investing - Help with Personal Investments
Topic: Bernstein's Simpleton's Portfolio
Replies: 40
Views: 4274

Need more information

donebyforty: Welcome to the Bogleheads Forum! We hold four investments: VFIAX - Vanguard 500 Index Fund Admiral Shares VSMAX - Vanguard Small-Cap Index Fund Admiral Shares VTIAX - Vanguard Total International Stock Index Fund Admiral Shares VBIRX - Vanguard Short-Term Bond Index Fund Admiral Shares ...
by Taylor Larimore
Fri Aug 11, 2017 12:43 pm
Forum: Investing - Theory, News & General
Topic: "Honesty like that is rare!"
Replies: 47
Views: 7001

"Honesty like that is rare!"

Bogleheads: Among my good friends are several financial advisors. One of these, Allan Roth, sent me a personal e-mail with a very important message. I asked Allan if I could share his e-mail on the forum. He replied: "Sure." Here it is: Taylor: Last week, I as talking to a founder of a very low cost...
by Taylor Larimore
Thu Aug 10, 2017 11:26 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Active Falls Short With Bonds Too
Replies: 13
Views: 2124

The Bond Market

Bogleheads: In my view, it is a mistake to select bond funds on the basis of past returns (as Morningstar does). * The bond market is VERY efficient. Higher yield nearly always means higher risk (no one knowingly buys a bond or bond fund with lower yield and higher risk). * Bonds are primarily for s...
by Taylor Larimore
Tue Aug 08, 2017 9:20 pm
Forum: Investing - Theory, News & General
Topic: Are Index Funds Evil?
Replies: 30
Views: 3615

Re: Are Index Funds Evil?

JFP_SF wrote:New article in the Atlantic argues that researchers are now claiming that Index Funds are bad for the economy:
JFP_SF:

The article is a reminder that writers need something to write about.

Best wishes.
Taylor
by Taylor Larimore
Tue Aug 08, 2017 4:37 pm
Forum: Investing - Theory, News & General
Topic: Swedroe: Volatility As A Strategy
Replies: 56
Views: 4655

Re: Swedroe: Volatility As A Strategy

What would you be holding if you were 35 had an 8 year old. Had $85k for her education and had 10 years to make sure it got to $200? Bonds aren't going to do it. jbolden1517" First, I would recognize the fact that NO 85K investment will "make sure it got to $200 in ten years." Second, I would not p...
by Taylor Larimore
Tue Aug 08, 2017 2:35 pm
Forum: Investing - Theory, News & General
Topic: Swedroe: Volatility As A Strategy
Replies: 56
Views: 4655

Bonds and Fixed Income vs. Alternate Stocks

I have never understood how you can write so eloquently about bear markets, especially the depression. Write so passionately about how people are underestimating the risk of stocks. And at the same time urge everyone to do nothing to avoid stock risk. Alternatives add complexity, no question. But t...
by Taylor Larimore
Tue Aug 08, 2017 11:19 am
Forum: Investing - Theory, News & General
Topic: Swedroe: Volatility As A Strategy
Replies: 56
Views: 4655

Re: Swedroe: Volatility As A Strategy

Interested in Boglehead thoughts on the article. Dave: After many years of unsuccessfully trying to beat-the-market with complicated strategies, I learned that it is a fools errand for most of us. These experts agree: Scott Adams, author of Dilbert: "I once tried to write a book about personal inve...
by Taylor Larimore
Mon Aug 07, 2017 9:22 pm
Forum: Personal Finance (Not Investing)
Topic: "5 Questions to Ask a Financial Advisor"
Replies: 3
Views: 563

"5 Questions to Ask a Financial Advisor"

Bogleheads:

For those who feel the need for a financial advisor, Christine Benz, Morningstar's Director of Personal Finance and a regular on the Panel of Experts at our annual conferences, has written an excellent article for you.

5 Questions to Ask a Financial Advisor

Best wishes.
Taylor
by Taylor Larimore
Mon Aug 07, 2017 9:12 pm
Forum: Investing - Help with Personal Investments
Topic: Looking for general help with strategy - not sure what to do about retirement options, and with prior savings
Replies: 6
Views: 592

Re: Looking for general help with strategy - not sure what to do about retirement options, and with prior savings

jywolf:

Welcome to the Bogleheads Forum!

You have read two good books about investing so you understand more than most. Take a look at The Three-Fund Portfolio with its many advantages to see it it could be a good portfolio for you.

Best wishes.
Taylor
by Taylor Larimore
Mon Aug 07, 2017 2:54 pm
Forum: Investing - Theory, News & General
Topic: "What Is Vanguard 500 Index's Achilles Heel?"
Replies: 17
Views: 2635

Vanguard Total World ?

triceratop:

You raise good points.

People of good-will can disagree without being disagreeable.

Best wishes.
Taylor
by Taylor Larimore
Mon Aug 07, 2017 2:30 pm
Forum: Investing - Theory, News & General
Topic: "What Is Vanguard 500 Index's Achilles Heel?"
Replies: 17
Views: 2635

Re: "What Is Vanguard 500 Index's Achilles Heel?"

To be better diversified (Jack Bogle says to buy the haystack rather than finding the needle), consider buying the Vanguard Total World Stock Market fund (VT / VTWSX -- best to use the ETF for cost reasons) instead. triceratop: I answered your post in the first page of The Three-Fund Portfolio thre...
by Taylor Larimore
Mon Aug 07, 2017 2:11 pm
Forum: Investing - Theory, News & General
Topic: "What the Evolving Robo Advisory Industry Offers"
Replies: 5
Views: 636

Tinkering

We have all noted that Vanguard has tinkered with its "one decision" funds over the years. Glide paths for the Target Date funds have been adjusted. The mix of the investments has changed a bit. So we know that the humans at Vanguard tinker and critics could wonder if Vanguard stays the course. Ano...
by Taylor Larimore
Mon Aug 07, 2017 2:04 pm
Forum: Investing - Theory, News & General
Topic: "What Is Vanguard 500 Index's Achilles Heel?"
Replies: 17
Views: 2635

One fund or three

If I was just starting out and had to buy just 1 fund either this one or one with blend of a bond index thrown in would be a good place to start. Then later one could easily tilt it away from large growth by mixing in some small / value index funds . Top99%: Why not simply start out, and hold, a si...