Search found 39 matches

by asha1001
Thu Jun 15, 2017 12:54 pm
Forum: Investing - Theory, News & General
Topic: Federal Funds Rate and Treasuries Prices
Replies: 7
Views: 1212

Re: Federal Funds Rate and Treasuries Prices

The federal funds rate is an overnight rate, which the banks charge each other to borrow money (this is to ensure they meet the minimum balance requirements with the Fed). The rate you hear about in the media is the target rate (current between 1 and 1.25%) not the effective rate, which is what the ...
by asha1001
Tue Feb 02, 2016 5:24 pm
Forum: Personal Consumer Issues
Topic: New Car - Compact SUV or Sedan
Replies: 36
Views: 5277

Re: New Car - Compact SUV or Sedan

I just moved from a Honda Civic to a Mazda CX-5 (AWD). I live in NY and wife does most of the driving (We have only 1 vehicle, which she uses to commute). She was adamant that we buy the AWD, though I thought it was not needed. We love the Mazda, it drives great, has a much better interior than the ...
by asha1001
Fri Oct 02, 2015 3:06 pm
Forum: Investing - Theory, News & General
Topic: Scottrade hacked
Replies: 24
Views: 3623

Re: Scottrade hacked

I have a Scottrade account, didn't get any emails yet. Sometime the credit agencies offer a free 90 day credit freeze in case you are a victim of such a hack. Might want to ask them that.
by asha1001
Wed Sep 16, 2015 6:08 pm
Forum: Personal Consumer Issues
Topic: New Heating System for Home - Gas versus Electric?
Replies: 90
Views: 10772

Re: New Heating System for Home - Gas versus Electric?

I had the same issue a year and a half ago, however I live in NY, where electricity is expensive, and I had a gas line coming in to the boiler (it was a dual mode model) though it was using oil at the time. You may find installing a gas line from the street to the boiler room may not be worth it. I ...
by asha1001
Wed Sep 16, 2015 12:49 pm
Forum: Personal Consumer Issues
Topic: 2016 Subaru Crosstrek
Replies: 44
Views: 11341

Re: 2016 Subaru Crosstrek

I think the 148hp engine should be fine for my wife. The car is intended mostly for city driving, hopefully she won't drag race anyone :happy. We especially like the safety features like the eyesight, which is not available on the HRV. Apparently the 2016 model will come standard (on the limited tri...
by asha1001
Tue Sep 15, 2015 5:33 pm
Forum: Personal Consumer Issues
Topic: 2016 Subaru Crosstrek
Replies: 44
Views: 11341

2016 Subaru Crosstrek

Hello All, I am looking for some car advice. I currently have 2 cars. We are thinking of trading them both for a 2016 Subaru Crosstrek, which is expected to be available in December. Paying cash for the car in Bogleheads fashion. I have never owned a Subaru before, and am concerned about its quality...
by asha1001
Fri Jun 19, 2015 1:17 pm
Forum: Personal Finance (Not Investing)
Topic: wife's personal info may have been hacked - should we freeze our credit?
Replies: 24
Views: 5585

Re: wife's personal info may have been hacked - should we freeze our credit?

My personal info got hacked a month back, so I was told by Capital One. They told me to call Equifax and put and "alert" on my credit for the next 90 days. This is a free service, and Equifax automatically gets the the other 2 agencies to put the alert as well. You can have the alert for an addition...
by asha1001
Mon Apr 20, 2015 10:49 am
Forum: Personal Finance (Not Investing)
Topic: What's your average monthly expense???
Replies: 85
Views: 14986

Re: What's your average monthly expense???

Rent/mortgage, insurance, rental insurance, etc: $1,000 Phone + Internet: $65 Electricity + gas, water: $250 Auto Payment: $0 Auto Insurance: $200 Gas: $250 Subway pass: $110 Grocery: $250 Foods (eating out, office lunch, etc): $250 Entertainment, shopping, movie, etc: $1000 Debt: $0 Misc: $0 Averag...
by asha1001
Tue Mar 31, 2015 2:30 pm
Forum: Personal Investments
Topic: help for senior
Replies: 3
Views: 580

Re: help for senior

As far as the investments are concerned, given that they don't need to be touched for 5 years, I would invest in a low cost (Vanguard) medium term bond index fund. At her age stocks don't really make sense, unless she did not need the capital and dividend would suffice. However it looks like she wil...
by asha1001
Thu Mar 19, 2015 4:54 pm
Forum: Personal Investments
Topic: >$250,000 portfolios with Vanguard? Insurance?
Replies: 42
Views: 8488

Re: >$250,000 portfolios with Vanguard? Insurance?

Brokerage accounts are not insured by FDIC, as mentioned above. However, they are insured by SIPC, upto 500k, which includes upto $250k of cash. Generally brokerages like Vanguard are nor taking risk with their capital so the chance of them getting into trouble is low, however SIPC protects you in c...
by asha1001
Tue Mar 03, 2015 9:38 pm
Forum: Personal Consumer Issues
Topic: Rich dad, poor dad
Replies: 31
Views: 6337

Re: Rich dad, poor dad

Stock over the long return provide higher total return than real estate does. However the majority of returns from real estate come from rent (passive income) and the majority of returns these days in U.S. stocks come from price appreciation (due to stock buy backs and growth in earnings). There it ...
by asha1001
Thu Jan 22, 2015 7:43 am
Forum: Personal Finance (Not Investing)
Topic: Is there a tax benefit to having an LLC for rental property
Replies: 10
Views: 1789

Re: Is there a tax benefit to having an LLC for rental prope

LLCs are pass through taxation vehicles, they do not provide any tax benefits to the owner since the profits show up on the owner's personal taxes. This is not specific to rental properties, it also applies to businesses. As others have said, LLCs provide limited liability to the owner.
by asha1001
Mon Jan 12, 2015 1:56 pm
Forum: Personal Finance (Not Investing)
Topic: POLL: Homeowners Ins cost $/month per $100k home value?
Replies: 42
Views: 14624

Re: POLL: Homeowners Ins cost $/month per $100k home value?

I pay $21.74 per month. But I have a high deductible ($10k!). Definitely not the best deal.
by asha1001
Mon Nov 24, 2014 2:54 pm
Forum: Personal Consumer Issues
Topic: Republic Wireless
Replies: 69
Views: 19605

Re: Republic Wireless

Hi used Republic wireless last year for several months, and was thoroughly disappointed. It wasn't exactly Republic's fault, the Sprint network around NYC is very poor, and my phone was basically useless half the time. The switching is also a pain since at that time at least, the MotoX phone would o...
by asha1001
Tue Oct 07, 2014 11:19 am
Forum: Personal Consumer Issues
Topic: Best Place To Buy Actual Gold Coins
Replies: 28
Views: 4979

Re: Best Place To Buy Actual Gold Coins

I have used Texas Precious Metals. You have to pay them before they ship you the coin. When I used them I had to send them an old fashion check. It was a bit scary but it worked out. Their service was actually quite good.
by asha1001
Fri Sep 19, 2014 10:03 am
Forum: Personal Investments
Topic: Investment Property
Replies: 10
Views: 1411

Re: Investment Property

Multi family properties for the most part will generate far better return than townhouses. I would stick to them. Return is not high enough with town houses. I own a 2 family townhouse in NY and the return (IRR) is about 8%.
by asha1001
Mon Sep 08, 2014 2:53 pm
Forum: Personal Investments
Topic: Helping Mother In-Law With Retirement Planning
Replies: 36
Views: 2913

Re: Helping Mother In-Law With Retirement Planning

How income will she need once she is retired? How much income from pensions and social security is she expecting. If possible, the gap will have to be filled in with her savings. The composition of the investment portfolio depends on the income that is required from her portfolio.
by asha1001
Thu Sep 04, 2014 12:21 pm
Forum: Personal Finance (Not Investing)
Topic: Rewards credit card advice
Replies: 66
Views: 102426

Re: Rewards credit card advice

Not sure if you shop at Lowes much, but I recently bought a house and use the Lowes credit card when I shop at the store (which is fairly often unfortunately given the stately condition of my house :happy ). The card give me a 5% discount.
by asha1001
Thu Aug 28, 2014 3:33 pm
Forum: Investing - Theory, News & General
Topic: Motif Investing - own the S&P500 for less
Replies: 93
Views: 13822

Re: Motif Investing - own the S&P500 for less

A brokerage can sell you stocks for a very low commission $9.95 for 30 stocks in case of this company. However they can also give you a very bad spread and sell you a stock for say $9.25, when you could have bought it for $9.10. This is a hidden cost for you. Stocks remember don't have a single bid ...
by asha1001
Thu Aug 21, 2014 3:05 pm
Forum: Personal Investments
Topic: Advice on 401k - Traditional vs Roth
Replies: 17
Views: 1854

Re: Advice on 401k - Traditional vs Roth

Whether you should use the Roth option or not depends on your individual circumstances. The Roth option as you know would allow you to pay taxes on your contributions now, but the withdrawals are tax free. Please note that the employer contribution always goes in as pre-tax regardless of whether you...
by asha1001
Wed Aug 13, 2014 10:59 am
Forum: Personal Finance (Not Investing)
Topic: Portfolio Tracker suggestion?
Replies: 24
Views: 2797

Re: Portfolio Tracker suggestion?

SigFig is pretty neat as well. CNNMoney started using their software recently. Both options are free. The Wall Street Journal has one as well. As was discussed earlier, if you are not concerned about these web apps logging into your bank and brokerage account then you have a dozen or so options for ...
by asha1001
Wed Aug 06, 2014 11:56 am
Forum: Personal Consumer Issues
Topic: Marathon Running and Long-term Investing
Replies: 19
Views: 2531

Re: Marathon Running and Long-term Investing

Charlie Munger said a while back that he and Warren Buffett have seen their investments in Berkshire Hathaway decline by more than 50% several times in the last 4 decades. Investors should expect the same and when it happens know that markets fluctuate, sometimes wildly. If folks can't handle a 5% d...
by asha1001
Thu Jul 17, 2014 3:49 pm
Forum: Personal Consumer Issues
Topic: POLL: Walmart vs Amazon
Replies: 137
Views: 12547

Re: POLL: Walmart vs Amazon

The Everything Store is a very interesting book on Amazon which I recently finished reading. Gives you a real insight on how the company works.
by asha1001
Thu Jul 17, 2014 3:47 pm
Forum: Personal Finance (Not Investing)
Topic: Retirement calculator?
Replies: 25
Views: 6014

Re: Retirement calculator?

I am 32. And have the following assets: Roth IRA: $160,000 Wife Roth IRA: $16,000 Roth 401(k): $45,000 401(k): $2,000 I want to live off dividend and interest income alone when I am retired. Plan to retire at 65. I want to find out how much money do I need to put aside to make this happen. I was on...
by asha1001
Thu Jul 17, 2014 3:29 pm
Forum: Investing - Theory, News & General
Topic: Market Timing vs. Market Opportunity
Replies: 46
Views: 4020

Re: Market Timing vs. Market Opportunity

Market timing in my opinion is a very bad idea, just because the market reacted a certain why to the end of QE in the past does not mean it will do so this time around. There are so many factors driving the market. Also the QE is being unwound very slowly this time around. The market generally weake...
by asha1001
Thu Jul 03, 2014 9:51 am
Forum: Personal Investments
Topic: Stick with Vanguard or take Fidelity "special deal"?
Replies: 50
Views: 4887

Re: Stick with Vanguard or take Fidelity "special deal"?

I would definitely stick with Vanguard. There is no such thing as a free lunch. The $2,500 bonus fidelity is paying you is not free money, by charge higher brokerage and expense ratios, they fully intent to make it back and more. Vanguard is a mutual company, fidelity is for profit.
by asha1001
Tue Jul 01, 2014 3:37 pm
Forum: Investing - Theory, News & General
Topic: Merton: 401(k) retirement plans face crisis
Replies: 188
Views: 24893

Re: Merton: 401(k) retirement plans face crisis

Its probably worth knowing what the risk free income that is guaranteed to grow with inflation (with no longevity risk) one can derive from assets already accumulated. Even though that is not the income we will actually get because I personally think it is madness to put all our money in TIPS or giv...
by asha1001
Mon Jun 30, 2014 8:57 pm
Forum: Personal Finance (Not Investing)
Topic: Retirement calculator?
Replies: 25
Views: 6014

Re: Retirement calculator?

I am 32. And have the following assets: Roth IRA: $160,000 Wife Roth IRA: $16,000 Roth 401(k): $45,000 401(k): $2,000 I want to live off dividend and interest income alone when I am retired. Plan to retire at 65. I want to find out how much money do I need to put aside to make this happen. I was onl...
by asha1001
Mon Jun 30, 2014 8:18 pm
Forum: Personal Finance (Not Investing)
Topic: Retirement calculator?
Replies: 25
Views: 6014

Re: Retirement calculator?

I used their free version.
by asha1001
Mon Jun 30, 2014 8:05 pm
Forum: Personal Finance (Not Investing)
Topic: Retirement calculator?
Replies: 25
Views: 6014

Retirement calculator?

Which retirement calculator would be the best to use? I haven't used any in the past, have been using one I built for myself in excel. A colleague recommended Nestful (www.nestful.com) which is relatively new from what I understand. Seems to be better than the ones on most news sites. Any opinions? ...
by asha1001
Fri Jun 27, 2014 11:40 am
Forum: Personal Investments
Topic: Should I sell individual stocks and bonds to buy index funds
Replies: 11
Views: 1895

Re: Should I sell individual stocks and bonds to buy index f

Other than tax consequences you would have to think about how well you know these companies. If you have no clue wjat these companies are doing it would be dangerous to hang on to their equity. Theses could be firms heading for disaster (or glory). Owning individual stocks when you don't know how to...
by asha1001
Fri Jun 27, 2014 11:27 am
Forum: Investing - Theory, News & General
Topic: NY Times: Not enough younger investment advisors
Replies: 72
Views: 9714

Re: NY Times: Not enough younger investment advisors

Perhaps the would be advisers see the writing on the wall. Their days are numbered. There is enough information out there on the internet that people can make their own decisions. Retirement calculators continue to improve and offer more functionality, thereby negating the need for an adviser, who i...
by asha1001
Tue May 06, 2014 3:57 pm
Forum: Personal Finance (Not Investing)
Topic: House Hunting - 2 Questions
Replies: 20
Views: 2885

Re: House Hunting - 2 Questions

If your choice is between cash and real estate, real estate is likely to be a better bet I think. At least you have indexed your money to inflation. In a normal market you should be able to earn a return a bit over inflation. Thats better than cash for the foreseeable future. If you have a choice be...
by asha1001
Mon May 05, 2014 1:24 pm
Forum: Personal Investments
Topic: Portfolio Advice
Replies: 2
Views: 413

Re: Portfolio Advice

The vanguard target date funds, unlike those from some of its other competitors don't charge egregious fees. Therefore you may be ok keeping them. Rolling over the 401(k) may not be a great idea, given that you will get hit with taxes due to the backdoor roth ira. You are probably better off keeping...
by asha1001
Fri May 02, 2014 2:57 pm
Forum: Personal Investments
Topic: 80/20 stocks/gold portfolio
Replies: 32
Views: 4806

Re: 80/20 stocks/gold portfolio

Gold over the long term would likely have a lower return than bonds (unless there are critical shortages of the metal or cost of production rises rapidly). But since you have a moral objection to subsidizing the state, government bonds are out. Why don't you think about replacing government bonds wi...
by asha1001
Fri May 02, 2014 2:28 pm
Forum: Personal Investments
Topic: Student Loan Frustrations and Retirement
Replies: 21
Views: 3570

Re: Student Loan Frustrations and Retirement

For market participants the risk free rate is currently ~2.7% (roughly, the yield on the 10 year T-note). For you the risk free rate is ~4.5% net of tax deductions on student loans. Therefore you should try to repay the student loan before you invest further funds into stocks. Stock market return = ...
by asha1001
Thu May 01, 2014 10:04 am
Forum: Personal Finance (Not Investing)
Topic: Backdoor Roth Strategy Question
Replies: 6
Views: 857

Re: Backdoor Roth Strategy Question

Hey, if your income exceeds the Roth limit, you would have to withdraw funds from the Roth IRA, and you would have to pay income tax on any gains. If you are unsure about your income it might be better to do a backdoor roth ira. You would get the desired result. Put your money in a traditional IRA a...
by asha1001
Thu May 01, 2014 9:52 am
Forum: Investing - Theory, News & General
Topic: Are Historical Returns Irrelevant?
Replies: 44
Views: 3768

Re: Are Historical Returns Irrelevant?

Hey, folks have all kinds of views on your question about historic returns. There is probably no right answer. Here is my take: The random walk folks like to think that price changes of stocks is not predictable (that their price changes are random). If the movement of stocks is random then their pa...
by asha1001
Thu Mar 06, 2014 2:23 pm
Forum: Personal Investments
Topic: stayed out of the market, what to do now?
Replies: 64
Views: 10544

Re: stayed out of the market, what to do now?

Given your risk averse style, you may want to dollar cost average your way back into stocks. Before you do that decide how much you want in stocks and how long are you going to take to get to that number. Getting into the business of predicting the future is not a very profitable hobby. Stocks on av...