Search found 531 matches

by selters
Tue May 22, 2018 1:23 am
Forum: Investing - Help with Personal Investments
Topic: Help with international using MSCI Indexes.
Replies: 14
Views: 713

Re: Help with international using MSCI Indexes.

MSCI EAFE index is developed markets minus US and Canada. If you want to cover the whole world, you should use an Emerging Markets fund, too. I would not worry too much about not getting any Canada exposure.
by selters
Fri May 18, 2018 10:59 am
Forum: Investing - Theory, News & General
Topic: Rob Arnott:index Investors Buy High, Sell Low
Replies: 50
Views: 4486

Re: Rob Arnott:index Investors Buy High, Sell Low

https://www.bloomberg.com/news/videos/2018-05-17/meet-the-portfolio-manager-overseeing-1-trillion-video Is the fact that the VTI managers are able to track the fund's benchmark index perfectly (not underperform it by its expense ratio) due to dumb luck? Even if you account for securities lending rev...
by selters
Mon May 14, 2018 9:01 am
Forum: Investing - Help with Personal Investments
Topic: Are bonds really needed - why not 100% stocks?
Replies: 71
Views: 5326

Re: Are bonds really needed - why not 100% stocks?

The difference is 1.1% Which is huge. Taylor wrote a post a few days ago where he said that one should own some bonds, if only to learn about them. I can agree with that. But the volatility dampening effects of bonds are pretty small at low bond allocations, and your bond allocation is going to be ...
by selters
Sun May 06, 2018 7:03 am
Forum: Investing - Help with Personal Investments
Topic: Allocation to combine Dave Ramsey and Vanguard?
Replies: 79
Views: 6734

Re: Allocation to combine Dave Ramsey and Vanguard?

In defense of sticking to the Dave Ramsay way: There is great value in picking a strategy and sticking to it, even if, strictly speaking, the strategy is illogical and not really in line with best research on the field. Pick a diet and stick to it. Pick a training program and stick to it. Pick an as...
by selters
Sat May 05, 2018 10:42 am
Forum: Investing - Help with Personal Investments
Topic: [EU] About the cost of taxes on dividends in European funds
Replies: 18
Views: 1011

Re: [EU] About the cost of taxes on dividends in European funds

You are right. When a US company pays dividends to a European listed S&P 500 fund, US tax authorities withhold between 15% and 30% of the dividends before they are paid out to the S&P 500 fund or ETF. This is often called a dividend tax leakage. I don't know what determines the withholding rate, but...
by selters
Sat May 05, 2018 8:32 am
Forum: Investing - Help with Personal Investments
Topic: Basic knowledge-inexperienced and overwhelmed
Replies: 43
Views: 3330

Re: Basic knowledge-inexperienced and overwhelmed

Schwab, which is also quite popular among Bogleheads, has index funds at the same cost as Vanguard, with a minimum investment of $1.
by selters
Sat May 05, 2018 8:32 am
Forum: Investing - Help with Personal Investments
Topic: Correcting an Error? Invested high dividend index fund in taxable account.
Replies: 25
Views: 1722

Re: Correcting an Error? Invested high dividend index fund in taxable account.

The standard Boglehead advice is to put everything in taxable in Vanguard Total Stock Market Index Fund Admiral Shares (VTSAX).
by selters
Sat May 05, 2018 6:28 am
Forum: Investing - Help with Personal Investments
Topic: Accumulating ETF - Additional Units or Increase in Price
Replies: 55
Views: 3145

Re: Accumulating ETF - Additional Units or Increase in Price

For accumulating ETFs the reinvested dividends are reflected in the share price of the ETF. You do not receive additional shares.
by selters
Sat Apr 28, 2018 3:14 pm
Forum: Investing - Theory, News & General
Topic: What's wrong with this critique of indexing?
Replies: 110
Views: 6269

Re: What's wrong with this critique of indexing?

P.S. Lauretta, just for fun... somewhat tangential to your topic, but worth the effort... take a little while to look at the October, 2017 annual report , page 7, schedule of investments for the PowerShares Russell 2000 Equal Weight Portfolio (EQWS). It is holding a total of $23,137,392 worth of st...
by selters
Sat Apr 28, 2018 2:44 pm
Forum: Investing - Theory, News & General
Topic: What's wrong with this critique of indexing?
Replies: 110
Views: 6269

Re: What's wrong with this critique of indexing?

Can you please point out at which point the following reasoning is wrong? 1) If one believes in the EMH and in common asset pricing models, then one accepts the idea that all information about firms in the stock market is baked into their current prices, so that for every stock you should expect th...
by selters
Wed Apr 25, 2018 6:54 pm
Forum: Investing - Theory, News & General
Topic: What happened to the Dow Jones between 1966-1982?
Replies: 72
Views: 4447

Re: What happened to the Dow Jones between 1966-1982?

I was just finalizing what to do with my extra 50k when my wife asked me what's the longest we'd have to wait to get our initial investment back. I didn't know the answer and just looked it up. If you put 50k in the stock market in 1966 it continued to drop until 1982 (16 years). It would have been...
by selters
Sat Apr 21, 2018 5:23 am
Forum: Personal Finance (Not Investing)
Topic: Is the first 100k really the hardest?
Replies: 100
Views: 32511

Re: Is the first 100k really the hardest?

At some point, provided that you have positive returns, the annual gains in your portfolio will become larger than your annual contributions.

With a savings rate in the 10-30% range and annual returns in the 5-10% range, this will happen after something like 5-15 years.
by selters
Fri Apr 20, 2018 6:14 pm
Forum: Investing - Theory, News & General
Topic: Interesting S & P 500 facts
Replies: 9
Views: 1875

Re: Interesting S & P 500 facts

but it is not an index of the 500 largest-cap stocks. Do you by chance know what the largest-cap companies are that are not included? The easiest way is to check the holdings of the Vanguard Extended Market Index Fund/ETF, which is a market cap weighted fund that owns all US listed stocks that are ...
by selters
Tue Apr 17, 2018 7:58 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Don’t Exclude Emerging Markets
Replies: 30
Views: 3237

Re: Larry Swedroe: Don’t Exclude Emerging Markets

He's probably using numbers from MSCI.

MSCI World IMI total market cap is 45.92 trillion. MSCI Emerging Markets IMI total market is 6.33 trillion. MSCI's EM indexes include South Korea as an emerging market.
by selters
Mon Apr 16, 2018 4:31 pm
Forum: Investing - Help with Personal Investments
Topic: S&P 500 Total Return ETF ?
Replies: 11
Views: 1130

Re: S&P 500 Total Return ETF ?

No. If you want the returns of the S&P500 Gross Return Index if you live outside the US, you need to take the dividends, pay taxes on them every year, and then fill out the French tax credit form. If you buy something like the iShares S&P 500 UCITS ETF, you will only get the returns of the S&P 500 N...
by selters
Fri Apr 13, 2018 5:18 pm
Forum: Investing - Theory, News & General
Topic: Vanguard dominating first quarter
Replies: 16
Views: 2611

Re: Vanguard dominating first quarter

But these numbers do not include ETFs, do they?

I think Blackrock has the highest ETFs inflows by far right now.
by selters
Tue Apr 10, 2018 4:19 am
Forum: Investing - Theory, News & General
Topic: Who Does Vanguard Europe Serve?
Replies: 2
Views: 710

Who Does Vanguard Europe Serve?

Is Vanguard Europe a for profit company whose intention is to make money for its US shareholders (that is, the owners of US listed Vanguard mutual funds and ETFs), or is it a company that intends to pass on its profits to the holders of European listed Vanguard mutual funds and ETFs by continually l...
by selters
Fri Apr 06, 2018 2:53 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 6550
Views: 1404419

Re: U.S. stocks in freefall

At least international equities aren't as bad today. HEFA (currency hedged eafa) and EFA (eafa) are down 1.25% and 0.82% as we speak. The S&P 500 is down 2,50%. With volatile stocks like US stocks, why hold them at all? Time to go 100% international? Was this said tongue-in-cheek, or are you seriou...
by selters
Fri Apr 06, 2018 2:34 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 6550
Views: 1404419

Re: U.S. stocks in freefall

lostdog wrote:
Fri Apr 06, 2018 2:24 pm
At least international equities aren't as bad today.
HEFA (currency hedged eafa) and EFA (eafa) are down 1.25% and 0.82% as we speak. The S&P 500 is down 2,50%. With volatile stocks like US stocks, why hold them at all? Time to go 100% international?
by selters
Sun Apr 01, 2018 7:47 am
Forum: Investing - Theory, News & General
Topic: Is backtesting worthless? Are there ANY insights you can get from it?
Replies: 69
Views: 4697

Re: Is backtesting worthless? Are there ANY insights you can get from it?

If backtesting is worthless, is there any investment knowledge out there that is not worthless?
by selters
Wed Mar 21, 2018 5:44 pm
Forum: Personal Consumer Issues
Topic: Kettlebell Swing experience?
Replies: 50
Views: 4364

Re: Kettlebell Swing experience?

Whatever you do, remember that kettlebell swings are a hip hinge movement. They are not a combination of a squat and a front raise.
by selters
Tue Mar 13, 2018 5:18 am
Forum: Investing - Theory, News & General
Topic: International completion index for EAFE
Replies: 8
Views: 900

Re: International completion index for EAFE

The MSCI EAFA index is identical to the MSCI (developed) World ex US index, except Canada is not included. Any low cost Emerging Markets index fund would be good enough to compmement the EAFE index. If really want to be exact about this, you can use the iShares MSCI Emerging Markets IMI ETF and the ...
by selters
Sun Mar 11, 2018 7:37 pm
Forum: Investing - Help with Personal Investments
Topic: Best way to approximate VTSAX with my 401k choices
Replies: 30
Views: 1599

Re: Best way to approximate VTSAX with my 401k choices

I would argue that combining value and growth is inefficient, pick one factor and stick with it. What do you mean by inefficient? A 50% split between growth and value is pretty much identical to a blend fund and will yield pretty much the same results as a blend fund. If you choose one or the other...
by selters
Sun Mar 11, 2018 2:17 pm
Forum: Investing - Help with Personal Investments
Topic: Best way to approximate VTSAX with my 401k choices
Replies: 30
Views: 1599

Re: Best way to approximate VTSAX with my 401k choices

I would argue that combining value and growth is inefficient, pick one factor and stick with it. What do you mean by inefficient? A 50% split between growth and value is pretty much identical to a blend fund and will yield pretty much the same results as a blend fund. If you choose one or the other...
by selters
Sat Mar 10, 2018 5:36 pm
Forum: Investing - Theory, News & General
Topic: Boglehead-approved personal finance podcasts?
Replies: 27
Views: 3783

Re: Boglehead-approved personal finance podcasts?

... Fantastic list! I listen to most of these already but will try out the rest. I would add one more which has recently become my favourite: Invest Like the Best Virtually every episode is fascinating, and with unique takes different from the typical personal finance discussions. While engaging an...
by selters
Tue Mar 06, 2018 2:31 pm
Forum: Investing - Theory, News & General
Topic: NEWS-BlackRock, Vanguard less likely to vote against CEO compensation
Replies: 7
Views: 1207

Re: NEWS-BlackRock, Vanguard less likely to vote against CEO compensation

https://www.msci.com/ceo-pay

A recent study concludes that the companies with the lowest ceo pay have provided investors with the highest returns.
by selters
Tue Mar 06, 2018 4:27 am
Forum: Investing - Theory, News & General
Topic: Are Japanese Stocks Cheap?
Replies: 30
Views: 3175

Re: Are Japanese Stocks Cheap?

I think many investors are too hung up on Japan's peak in 1990. It spent 13 years to bottom out after the huge bubble in 1990. Since the bottom in 2003, the MSCI Japan index has returned 215% in USD. The MSCI Europe index has returned 278% in USD and the MSCI USA index has returned 339% in USD in th...
by selters
Sun Mar 04, 2018 10:46 am
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 6550
Views: 1404419

Re: U.S. stocks in freefall

Have a colleague in my office (non-bogleheader) who is selling everything going to 100% cash. lol. Personally, I think this is a wise move. I'm staying the course, but the colleague I mentioned above is one of the sharpest guys in our firm, thinks we will see the dow around 14,000 by 2020. http://a...
by selters
Thu Mar 01, 2018 2:09 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 6550
Views: 1404419

Re: U.S. stocks in freefall

RRAAYY3 wrote:
Thu Mar 01, 2018 2:06 pm
My February dip buying is not paying off ...

Oh well, guess it’ll be March dip buying too ...
Where do you find money to buy more stocks? Do you just rebalance? Or do you increase your allocation to stocks as stocks fall?
by selters
Wed Feb 28, 2018 2:44 pm
Forum: Investing - Help with Personal Investments
Topic: Help me talk to Raymond James please [to improve 401k options]
Replies: 11
Views: 605

Re: Help me talk to Raymond James please [to improve 401k options]

First of all, 0.25% is not that bad. It's where Vanguard investor shares funds were 20 years ago. When you have a balance in the high hundreds of thousands, or millions in stock funds, the expense ratio matters a lot, but when your balance is moderate, savings rate is everything. You can compensate ...
by selters
Wed Feb 28, 2018 12:09 pm
Forum: Personal Finance (Not Investing)
Topic: Thoughts on Credit Cards?? [Credit card vs. debit card]
Replies: 107
Views: 4851

Re: Thoughts on Credit Cards?? [Credit card vs. debit card]

Most people who pay off their credit card bill monthly say they don't spend more with a credit card than if they had a debit card only. But I'm pretty confident that a significant percentage of these people do anyway.
by selters
Mon Feb 26, 2018 6:17 pm
Forum: Investing - Theory, News & General
Topic: Blasphemy... DO PEEK!
Replies: 100
Views: 9585

Re: Blasphemy... DO PEEK!

Always carry chocolate bars, candy and potato chips around when you're on diet. That way you will be mentally prepared when you get very hungry.
by selters
Mon Feb 26, 2018 1:33 pm
Forum: Investing - Theory, News & General
Topic: TCEHY -- "google" of China ?
Replies: 17
Views: 1865

Re: TCEHY -- "google" of China ?

ln09348 wrote:
Mon Feb 26, 2018 12:36 pm
How about JD.com? "Amazon" of China.
Isn't Alibaba the Amazon of China?
by selters
Mon Feb 26, 2018 1:30 pm
Forum: Investing - Theory, News & General
Topic: Stock/Bond Ratio Determines Risk: Flawed Thesis?
Replies: 34
Views: 2656

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

As the bond allocation goes up, your expected return goes down. If you need real returns on your invested money to reach your financial goal, then the risk of you not reaching your goal goes up as the bond allocation goes up. I think that's what he's saying.
by selters
Mon Feb 26, 2018 8:19 am
Forum: Investing - Help with Personal Investments
Topic: 66 yr old Woman Needs HELP!
Replies: 68
Views: 3840

Re: 66 yr old Woman Needs HELP!

If you want 30/70, you can do half in https://investor.vanguard.com/mutual-funds/lifestrategy/#/mini/overview/0723 (20/80) and half in https://investor.vanguard.com/mutual-funds/lifestrategy/#/mini/overview/0724 Of course, you are just buy 30% TSM and 70% TBM and rebalance it yourself every year. E...
by selters
Mon Feb 26, 2018 4:55 am
Forum: Investing - Theory, News & General
Topic: So...When Will the Tencent Bubble Burst?
Replies: 13
Views: 2075

Re: So...When Will the Tencent Bubble Burst?

Two giants in the "emerging markets" category are Alibaba and Tencent, they have both experienced unprecedented growth, and relatively positive feedback from investors and the media. To be completely honest, the fast-paced growth of these firms got me very excited, but then I took a look at the PE ...
by selters
Sat Feb 24, 2018 5:18 am
Forum: Investing - Help with Personal Investments
Topic: Should I bite the bullet and invest in this market?
Replies: 86
Views: 9532

Re: Should I bite the bullet and invest in this market?

Probably almost every person on this thread is--and most on this forum are--heavily invested in the market. And many of them are smarter than me. Even Vanguard's own official video says next decade return expectations are only 4%, that is a negative real return after inflation. Is inflation 4%?
by selters
Sat Feb 17, 2018 6:36 am
Forum: Investing - Help with Personal Investments
Topic: Why paying off loans would be better than fully funding 401k?
Replies: 97
Views: 7513

Re: Why paying off loans would be better than fully funding 401k?

https://www.daveramsey.com/baby-steps

I agree with everything there. Except maybe the $1,000 emergency fund, which you can expand to $10,000.

Your kids can take out student loans for a year or two while you, the parents, sort out your mess. Or they can work if they can find a job.
by selters
Sat Feb 17, 2018 5:55 am
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 6550
Views: 1404419

Re: U.S. stocks in freefall

bligh wrote:
Wed Feb 14, 2018 4:38 pm
RRAAYY3 wrote:
Wed Feb 14, 2018 4:28 pm
Cheers to those who held... shots for those that bought more!
What about those of us who wanted to buy more, but hadn't kept any dry powder aside to do so. :)
You probably bought at a lower level than the bottom on 9 February, so you were better off either way. :)
by selters
Sat Feb 17, 2018 5:16 am
Forum: Investing - Help with Personal Investments
Topic: Investing vs paying off debt
Replies: 28
Views: 1867

Re: Investing vs paying off debt

TwstdSista wrote:
Fri Feb 16, 2018 5:26 pm
Those interest rates are low enough to focus on investing.
Should the OP finance the next time they buy furniture, a new computer or remodel their kitchen if they can get a sub 3-4% interest rate?
by selters
Thu Feb 15, 2018 4:49 am
Forum: Investing - Theory, News & General
Topic: In plain English, please explain what was VIX, what happened to it and why?
Replies: 68
Views: 6147

Re: In plain English, please explain what was VIX, what happened to it and why?

People call the VIX index the fear index or a measure of volatility for the S&P 500 index. But strictly speaking, it is an index that reflects the price of buying options on the S&P 500 index, isn't it?
by selters
Mon Feb 12, 2018 6:13 pm
Forum: Investing - Help with Personal Investments
Topic: Are REITs essentially taboo for years now with rising rates?
Replies: 55
Views: 5663

Re: Are REITs essentially taboo for years now with rising rates?

Remember that if a fund manager knows which parts (sectors, factors, whatever) of the market will underperform, then they can beat the market by investing in the total stock market minus the part of the market that will underperform. It is just as hard to lose against the market as it is beat the ma...
by selters
Fri Feb 09, 2018 3:37 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 6550
Views: 1404419

Re: U.S. stocks in freefall

Is there such thing as a triple bottom? Yup! https://www.investopedia.com/terms/t/triplebottom.asp But maybe we're forming a complex reverse head and shoulder bottom ( http://thepatternsite.com/chsb.html ). The fact that some internet site or book has been published about something does not mean th...
by selters
Fri Feb 09, 2018 8:15 am
Forum: Investing - Theory, News & General
Topic: Feeling good about the market's direction. Wish it would drop more...
Replies: 14
Views: 2365

Re: Feeling good about the market's direction. Wish it would drop more...

It may feel good to buy stocks now that the correction is officially here, but many people who have kept dry powder have kept it since the market was way lower than it is now, so these people would still have been better off if they bought stocks as soon as they got the money.
by selters
Fri Feb 09, 2018 5:53 am
Forum: Investing - Theory, News & General
Topic: S&P 1550
Replies: 11
Views: 1570

Re: S&P 1550

Remember that "retest" and "support level" are terms from the world of technical analysis. Many or most concepts within technical analysis has a very weak empirical basis and the use of them is discouraged by Bogleheads.
by selters
Fri Feb 09, 2018 2:48 am
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 6550
Views: 1404419

Re: U.S. stocks in freefall

Haven't you been paying attention in the past lew years? Valuations are outdated. Bogleheads know that valuations don't matter, ever. At least that's the impression I have been getting from reading Bogleheads.com in the last few years. No, Bogleheads know that valuations aren't actionable . I hope ...
by selters
Thu Feb 08, 2018 6:21 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 6550
Views: 1404419

Re: U.S. stocks in freefall

Marking the Top: “We are in this Goldilocks period right now. Inflation isn’t a problem. Growth is good, everything is pretty good with a big jolt of stimulation coming from changes in tax laws” “If you’re holding cash, you’re going to feel pretty stupid” ~ Ray Dalio BRKA/B has 20bil cash on hand. ...
by selters
Thu Feb 08, 2018 6:19 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 6550
Views: 1404419

Re: U.S. stocks in freefall

The market is over valued even today. A BH should aware of this and be value oriented. This is not market timing. https://www.cnbc.com/2018/01/23/markets-could-suddenly-turn-and-they-dont-even-need-a-trigger-nobel-winning-economist-shiller-says.html Haven't you been paying attention in the past lew...
by selters
Tue Feb 06, 2018 11:55 am
Forum: Investing - Theory, News & General
Topic: S&P 500 1/2 2695; 2/5 2648
Replies: 7
Views: 773

Re: S&P 500 1/2 2695; 2/5 2648

I figure if the market tanks for 5 years there will not be a safe haven asset class because the economy has gone bust. You mean like Emerging Markets did from 2011 to 2016? Or Japan from 1990 to today? If valuations are high enough, the market can spend years and years to get back to zero, even if ...
by selters
Mon Feb 05, 2018 5:25 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 6550
Views: 1404419

Re: U.S. stocks in freefall

People need to stop wishing for a crash. At least out loud. Even if YOU don't get hurt, many people will. I've been thinking the exact same thing when I've been reading this thread for the past week. EXACTLY. Some of us are literally on the verge of retirement. Others are IN retirement. People like...