Search found 2612 matches

by saltycaper
Mon Apr 02, 2018 3:40 pm
Forum: Personal Consumer Issues
Topic: $20,000 book - what to do with it
Replies: 34
Views: 5494

Re: $20,000 book - what to do with it

I wonder if a cigar humidor would also work; they're the right size, and are designed to maintain a specific level of humidity. A proper humidity level for cigars is too humid for books. While that can be controlled somewhat, a small enclosed space with even a slightly too high humidity level is pr...
by saltycaper
Mon Apr 02, 2018 3:12 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 6392
Views: 1370562

Re: U.S. stocks in freefall

if this jagged staccato decline keeps continuing thru 2018 are they still going to be bumping up interest rates 2-3 more times? When I look at Federal Reserve's objectives in conducting monetary policy I don't see anything about the "stock market" in there. https://www.federalreserve.gov/faqs/money...
by saltycaper
Mon Apr 02, 2018 1:47 pm
Forum: Investing - Theory, News & General
Topic: U.S. stocks in freefall
Replies: 6392
Views: 1370562

Re: U.S. stocks in freefall

if this jagged staccato decline keeps continuing thru 2018 are they still going to be bumping up interest rates 2-3 more times? When I look at Federal Reserve's objectives in conducting monetary policy I don't see anything about the "stock market" in there. https://www.federalreserve.gov/faqs/money...
by saltycaper
Mon Apr 02, 2018 7:45 am
Forum: Personal Consumer Issues
Topic: $20,000 book - what to do with it
Replies: 34
Views: 5494

Re: $20,000 book - what to do with it

But they don't seem willing to keep the book unless I sign away my rights to it by gifting it to them. That's usually how it works. Indefinite loans are headaches for institutions--insurance, accessibility, death of the person loaning the item, etc. Most institutions do not exist to serve the needs...
by saltycaper
Sun Apr 01, 2018 3:20 pm
Forum: Investing - Theory, News & General
Topic: International Bond dividend question
Replies: 2
Views: 303

Re: International Bond dividend question

I don't own this fund, but according to the annual report, it has not had any distributions due to realized capital gains. It does say, on page 128: For tax purposes, the fund treats its forward currency contracts as hedging the currency it receives or will receive from the bonds in which it invests...
by saltycaper
Sun Apr 01, 2018 12:42 pm
Forum: Investing - Theory, News & General
Topic: Unanswered: Clements Highlights 4 Questions of Much Debate
Replies: 27
Views: 2360

Re: Unanswered: Clements Highlights 4 Questions of Much Debate

Pajamas wrote:
Sun Apr 01, 2018 11:49 am
iceport wrote:
Sun Apr 01, 2018 8:46 am
THERE ARE MANY FINANCIAL DEBATES that shouldn’t be debates at all.
I DISAGREE VEHEMENTLY.
You're WRONG.
by saltycaper
Sat Mar 31, 2018 12:38 pm
Forum: Investing - Help with Personal Investments
Topic: Investing Very Small Amounts Daily
Replies: 21
Views: 2644

Re: Investing Very Small Amounts Daily

Most funds have a minimum initial purchase amount, say $3,000 or $10,000, and then a separate minimum additional investment amount, oftentimes just $1. So after you make the initial purchase, it is possible to invest very small amounts frequently. I take it this is not a case where you have a large ...
by saltycaper
Fri Mar 30, 2018 10:21 pm
Forum: Investing - Theory, News & General
Topic: The "American companies I invest in already have international exposure" argument --- valid or not?
Replies: 139
Views: 10038

Re: The "American companies I invest in already have international exposure" argument --- valid or not?

It is true statement that people with various cognitive biases use as a justification for tilting their portfolio; however, the argument is a non sequitur. If doing business internationally was the same thing as being a foreign company, the other arguments regarding the increased risks of investing ...
by saltycaper
Fri Mar 30, 2018 9:17 am
Forum: Investing - Theory, News & General
Topic: Is backtesting worthless? Are there ANY insights you can get from it?
Replies: 69
Views: 4390

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

Whenever backtesting is brought up people remind us that the past performance isn't indicative of future results. It is not worthless, not even to the people who make this claim. When someone says this, oftentimes what they really mean is backtesting is not valid for supporting any argument other t...
by saltycaper
Thu Mar 29, 2018 9:07 pm
Forum: Investing - Theory, News & General
Topic: Is 100% VTSAX (+ bonds) the best portfolio?
Replies: 14
Views: 1539

Re: Is 100% VTSAX (+ bonds) the best portfolio?

JustinR wrote:
Thu Mar 29, 2018 5:15 pm

Is a 2-fund portfolio actually the best thing to do?
It is not hard to find portfolios that have outperformed, if that is your definition of "best." So, no.
by saltycaper
Thu Mar 29, 2018 9:00 pm
Forum: Investing - Help with Personal Investments
Topic: Wash sale question- are ITOT and VTI Substantially Identical?
Replies: 60
Views: 3389

Re: Wash sale question- are ITOT and VTI Substantially Identical?

To me, the ER, index, fund company, and number of holdings are not relevant. If most of the weighted holdings overlap, the funds are substantially identical. Further, if I was in a position to audit someone, and they tried to argue otherwise, I'd take that as an indication they might be lax in their...
by saltycaper
Thu Mar 29, 2018 1:59 pm
Forum: Investing - Help with Personal Investments
Topic: Other than simplicity/convenience, what's the case to be made for a total bond portfolio?
Replies: 14
Views: 1003

Re: Other than simplicity/convenience, what's the case to be made for a total bond portfolio?

...they have equity-like risk... Just to be clear: it is "equity-like" (stock-like) in that their performance is related to the company's business success or problems, and they are likely to go down at the same time equities (stocks) go down. But they have perhaps a fifth as much of that risk as st...
by saltycaper
Thu Mar 29, 2018 1:36 pm
Forum: Investing - Help with Personal Investments
Topic: Other than simplicity/convenience, what's the case to be made for a total bond portfolio?
Replies: 14
Views: 1003

Re: Other than simplicity/convenience, what's the case to be made for a total bond portfolio?

In so doing, I am skirting the simplicity of only holding something like BND. Other than making my portfolio a bit more complicated, is there any downside to my approach? I understand there's a bit more risk...but that's intentional on my part to get higher yield. I do not think simplicity has anyt...
by saltycaper
Thu Mar 29, 2018 1:00 pm
Forum: Investing - Theory, News & General
Topic: Vanguard in the WSJ today
Replies: 57
Views: 7597

Re: Vanguard in the WSJ today

I do not have a WSJ subscription, but I was still able to read the article on wsj.com:

Is Vanguard’s Success a Problem? Some Customers Think So
by saltycaper
Wed Mar 28, 2018 3:26 pm
Forum: Local Chapters and Bogleheads Community
Topic: A lot of heavy hitters this morning
Replies: 244
Views: 17059

Re: A lot of heavy hitters this morning

Don’t feel demoralized. Look at it this way - if husband and wife work for even just 20 years and just save normally, they would save Husband 401(k) = 18,500 Husband match = 6,000 Wife 401(k) = 18,500 Wife match = 6,000 2x Backdoor Roth = 11,000 529 = 6,000 (say only $500 per month) HSA = 6,900 Tot...
by saltycaper
Wed Mar 28, 2018 3:21 pm
Forum: Investing - Help with Personal Investments
Topic: Questions on TIPS
Replies: 25
Views: 1883

Re: Questions on TIPS

I don't know but should think that if auction demand shifted issuance would also shift, but we don't know how those decisions, about how much of what security to issue when, are made. Surely it must at least in part be based on cost of funds. Indeed. Though I imagine it could be viciously deconstru...
by saltycaper
Wed Mar 28, 2018 3:00 pm
Forum: Local Chapters and Bogleheads Community
Topic: A lot of heavy hitters this morning
Replies: 244
Views: 17059

Re: A lot of heavy hitters this morning

I associate "heavy hitter" with the posters who display superior investment knowledge, take an objective and logical approach to assessing information, and have the ability to communicate clearly and concisely, not someone who just has a lot of money. (I would not take advice from someone just becau...
by saltycaper
Wed Mar 28, 2018 2:41 pm
Forum: Investing - Help with Personal Investments
Topic: Target or multi fund?
Replies: 15
Views: 695

Re: Target or multi fund?

I haven't read that other discussion beyond the question, but that's my exact question. Thanks! Basically I'm asking if there's a substantial advantage to what Thrifty PhD is outlining. If, based on what Thrifty wrote, you see a potential advantage to the multi-fund approach, then the multi-fund ap...
by saltycaper
Fri Mar 23, 2018 4:24 pm
Forum: Investing - Theory, News & General
Topic: How know whether stock is international?
Replies: 16
Views: 1105

Re: How know whether stock is international?

There are many large transnational corporations these days. It depends, I'm afraid, on what you mean by international. People seem to be surprised when stocks whose corporate headquarters are domiciled elsewhere are included in a US stock market fund when they're listed in the US. They're in the US...
by saltycaper
Fri Mar 23, 2018 3:30 pm
Forum: Investing - Theory, News & General
Topic: How know whether stock is international?
Replies: 16
Views: 1105

Re: How know whether stock is international?

How do you know whether a stock is an international stock? For example Rio Tinto plc (RIO) is an Australian-British multinational but it seems to be traded on the NYSE. Is it an international stock? RIO is a probably an ADR . It is an "international" (ex-US) stock because the company is based outsi...
by saltycaper
Fri Mar 23, 2018 3:15 pm
Forum: Personal Finance (Not Investing)
Topic: Do I need title insurance?
Replies: 43
Views: 4059

Re: Do I need title insurance?

lived in three homes (still in #3) and I presumed that the need for title insurance - including new ones for re-fi - were mandatory, never questioned it It is mandatory if you get a mortgage. This must be by state, because, even with a mortgage, we have always been asked by our RE attorney IF we wa...
by saltycaper
Fri Mar 23, 2018 2:41 pm
Forum: Investing - Theory, News & General
Topic: The Three-Fund Portfolio
Replies: 2127
Views: 1308157

Re: [US vs. International allocation in a Three-fund portfolio]

Saltycaper, on your interpretation, the strategy is inconsistent because it doesn’t define a single “perfect” set of allocations, bond funds cannot serve to moderate equity risk unless they contain zero corporate bonds, the strategy fails because it is possible for investors to implement it poorly....
by saltycaper
Fri Mar 23, 2018 1:25 pm
Forum: Investing - Help with Personal Investments
Topic: Affect of Rising Interest Rates on Vanguard Total Bond Index
Replies: 38
Views: 6171

Re: Affect of Rising Interest Rates on Vanguard Total Bond Index

Bear in mind the difference between nominal and real returns, and that only real returns matter... Any discussion on bonds and interest rate is incomplete without considering underlying inflation. While those charts above seem impressive they are missing a critical piece of information which is the...
by saltycaper
Fri Mar 23, 2018 1:01 pm
Forum: Investing - Help with Personal Investments
Topic: Questions on TIPS
Replies: 25
Views: 1883

Re: Questions on TIPS

I have the impression that in practice this premium is minimal. I don't have a set of data. We should also be sure to make apples to apples comparisons regarding credit quality and interest rate risk (duration). That comparison may not be completely straightforward. There may be other anomalies in ...
by saltycaper
Fri Mar 23, 2018 12:48 pm
Forum: Investing - Help with Personal Investments
Topic: Questions on TIPS
Replies: 25
Views: 1883

Re: Questions on TIPS

I would think that if inflation is "normal" (as expected), then nominal bonds and TIPS - both of which have expected inflation priced in - would perform equally. It is true that in recent years inflation has been below prior expectations, in which case nominal bonds have outpaced TIPS. Whether this...
by saltycaper
Wed Mar 21, 2018 11:11 am
Forum: Investing - Theory, News & General
Topic: The Three-Fund Portfolio
Replies: 2127
Views: 1308157

Re: The Three-Fund Portfolio

FYI - I split a discussion started by saltycaper into a stand-alone thread. There were enough posts to merit a separate discussion. See: [US vs. International allocation in a Three-fund portfolio] I did not start a discussion on US vs. International. The discussion is about whether the Three-Fund P...
by saltycaper
Wed Mar 21, 2018 7:32 am
Forum: Investing - Theory, News & General
Topic: The Three-Fund Portfolio
Replies: 2127
Views: 1308157

Re: The Three-Fund Portfolio

Do you consider the risks of US stocks and international stocks to be the same for a US investor? If not, how would you adjust for those risks? I don't think the risks are the same, but that doesn't mean an adjustment is needed, just as other slices of the equity market have different risks for whi...
by saltycaper
Tue Mar 20, 2018 11:11 pm
Forum: Investing - Theory, News & General
Topic: The Three-Fund Portfolio
Replies: 2127
Views: 1308157

Re: The Three-Fund Portfolio

PhilosophyAndrew: I think only one ex-US allocation is permissible if the investment philosophy is based in part on not attempting to beat the market and not trying to pull the levers of various risk factors on the equity side of the portfolio. That allocation is the global market-cap weighted alloc...
by saltycaper
Tue Mar 20, 2018 4:03 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Don’t Count Out Commodities
Replies: 51
Views: 6085

Re: Larry Swedroe: Don’t Count Out Commodities

Salty FWIW, one way to judge the ability to hedge is correlations. Correlation of TIPS and inflation obviously highly correlated. Monthly correlation of Bloomberg Commodity Total Return index to CPI was 0.243 while to one month bills was 0.128 Larry Thank you, Larry. While I haven't been one to wav...
by saltycaper
Tue Mar 20, 2018 3:07 pm
Forum: Investing - Theory, News & General
Topic: The Three-Fund Portfolio
Replies: 2127
Views: 1308157

Re: The Three-Fund Portfolio

Saltycaper, how specifically does the three fund portfolio "encourages" market-timing of the sort you describe? I'm not following your logic. If ones does not wish to use a specific bond fund in a three fund portfolio, one may choose not to do so. Of course, not all bond funds are suitable for incl...
by saltycaper
Tue Mar 20, 2018 1:26 pm
Forum: Investing - Theory, News & General
Topic: The Three-Fund Portfolio
Replies: 2127
Views: 1308157

[US vs. International allocation in a Three-fund portfolio]

[Split into a separate thread from: The Three-Fund Portfolio --admin LadyGeek] I don't know how many members use this portfolio, but Taylor has done a compelling job demonstrating how it aligns with the Boglehead investing philosophy; I consider it a representation of that philosophy par excellence...
by saltycaper
Tue Mar 20, 2018 1:10 pm
Forum: Investing - Theory, News & General
Topic: Allan Roth: Boosting Returns With Rebalancing
Replies: 11
Views: 1735

Re: Allan Roth: Boosting Returns With Rebalancing

Taking more risk may or may not boost returns. Market timing may or may not boost returns.
by saltycaper
Mon Mar 19, 2018 4:09 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Don’t Count Out Commodities
Replies: 51
Views: 6085

Re: Larry Swedroe: Don’t Count Out Commodities

I appreciate Larrys article and the discussion. One thing I'm missing is an intuitive explanation of why commodities would hedge better than TIPS (or: respond stronger to inflation). Is it because commodities are raw products and sold at a multiple to consumers? TIPS are as good a "hedge" as any. D...
by saltycaper
Mon Mar 19, 2018 1:53 pm
Forum: Investing - Theory, News & General
Topic: Incredibly sleazy Northwestern Mutual cold caller
Replies: 78
Views: 7699

Re: Incredibly sleazy Northwestern Mutual cold caller

Pacman wrote:
Mon Mar 19, 2018 10:32 am
If I had a company where I needed salespeople, I would hire this person.
I was thinking the same thing.
by saltycaper
Sat Mar 17, 2018 4:38 pm
Forum: Investing - Theory, News & General
Topic: Vanguard New Factor Funds Portfolio Statistics
Replies: 83
Views: 9608

Re: "TRYING TO BEAT THE MARKET"

Taylor Larimore wrote:
Sat Mar 17, 2018 4:07 pm


I put this Boglehead post in another thread. It belongs here:
Actually, the quote has nothing to do with this thread, which otherwise has been excellent. Let's try not to derail it.
by saltycaper
Fri Mar 16, 2018 4:02 pm
Forum: Investing - Help with Personal Investments
Topic: Wrapping my head around bond funds
Replies: 56
Views: 4817

Re: Wrapping my head around bond funds

CDs are generally considered short-term, low-risk, interest-paying storage for capital until a more profitable investment can be found. Bonds are considered long-term vehicles for guaranteeing a profit and, perhaps, offsetting some of the risk an investor may face in higher-yield investments such a...
by saltycaper
Fri Mar 16, 2018 2:40 pm
Forum: Investing - Help with Personal Investments
Topic: Wrapping my head around bond funds
Replies: 56
Views: 4817

Re: Wrapping my head around bond funds

Without giving you an explanation of bond funds, my advice for someone so far away from death is to increase their equity exposure so that it is always at least 60% equities and endure any of the vicissitudes of the market. livesoft , previously an enigma to me for his aversion to eating peas, once...
by saltycaper
Fri Mar 16, 2018 2:39 pm
Forum: Investing - Help with Personal Investments
Topic: Wrapping my head around bond funds
Replies: 56
Views: 4817

Re: Wrapping my head around bond funds

In these accounts, I do not have access to bonds. Instead, I HAVE to used bond funds. I keep hearing that bond funds are especially sensitive to increasing interest rates, etc. I have also researched and found that bond fund correlation with equities increases in a severely down market. Aside from ...
by saltycaper
Fri Mar 16, 2018 1:53 pm
Forum: Personal Consumer Issues
Topic: Should I join Mensa?
Replies: 39
Views: 1966

Re: Should I join Mensa?

Yeah, that's my real life concern. I'm not sure I could mention in passing that I have a Mensa related event to go to without sounding like I'm bragging. (Hey, thanks for inviting me for a couple beers after work but I have a Mensa social to go to instead!) Imagine the possibility of embarrassing y...
by saltycaper
Thu Mar 15, 2018 2:17 pm
Forum: Investing - Theory, News & General
Topic: How many people small value-tilt international?
Replies: 13
Views: 1392

Re: How many people small value-tilt international?

Small-mid, yes, in VSS. Sometimes I think the $6 billion invested in Vanguard FTSE All-World ex-US Small-Cap Index Fund is mostly from people who post on or visit this forum.
by saltycaper
Tue Mar 13, 2018 5:49 pm
Forum: Investing - Theory, News & General
Topic: Who's doing 100% international equity?
Replies: 79
Views: 8801

Re: Who's doing 100% international equity?

wootwoot wrote:
Tue Mar 13, 2018 5:46 pm
FRANK2009 wrote:
Tue Mar 13, 2018 1:22 pm
When John Bogle and Warren Buffet recommend 100% international, I will consider it...
If John Bogle and Warren Buffet recommended you jump off a building would you?
What if John Bogle did and Warren Buffet didn't? Answer: Bungee jumping.
by saltycaper
Tue Mar 13, 2018 5:41 pm
Forum: Investing - Theory, News & General
Topic: Who's doing 100% international equity?
Replies: 79
Views: 8801

Re: Who's doing 100% international equity?

For something to be an "international investment," your money has to cross a border. By that definition, none of us knows if we own any international stocks. You can buy or sell a share in an American-based company, and your money might cross the border. Likewise, you could buy a share in a Japanes...
by saltycaper
Tue Mar 13, 2018 3:36 pm
Forum: Personal Consumer Issues
Topic: Heads up: Moto G5 Plus 32 Unlocked phone at Costco $179
Replies: 34
Views: 3955

Re: Heads up: Moto G5 Plus 32 Unlocked phone at Costco $179

I noticed the volume issue. Also, my headphone jack does not work with my headset. Apparently this is a widespread problem, and there might be a manufacturing defect with the jack. Otherwise it's okay for the price.
by saltycaper
Tue Mar 13, 2018 3:01 pm
Forum: Personal Finance (Not Investing)
Topic: Need advice re: Liberal Arts Colleges...
Replies: 235
Views: 12386

Re: Need advice re: Liberal Arts Colleges...

Isabelle77 wrote:
Tue Mar 13, 2018 2:52 pm

.... a would-be attorney might not fit in an engineering box.
Maybe, but I think the engineers could make it happen. :wink:
by saltycaper
Tue Mar 13, 2018 2:42 pm
Forum: Personal Finance (Not Investing)
Topic: Need advice re: Liberal Arts Colleges...
Replies: 235
Views: 12386

Re: Need advice re: Liberal Arts Colleges...

D refuses to consider Computer Science/Statistics/Engineering. I've been trying to encourage her into getting a business degree - Accounting/MIS/Business Analytics/Operations Management all seem in high demand, jobs wise. But she is not interested in B-school :( Why so sad? If that's the way she wa...
by saltycaper
Tue Mar 13, 2018 2:01 pm
Forum: Investing - Theory, News & General
Topic: Who's doing 100% international equity?
Replies: 79
Views: 8801

Re: Who's doing 100% international equity?

I'm 100% international. The US is part of that, of course. It's going pretty well. Thanks for asking.
by saltycaper
Tue Mar 13, 2018 1:54 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Total Stock Market Index Fund Unobservable Inputs
Replies: 6
Views: 721

Re: Vanguard Total Stock Market Index Fund Unobservable Inputs

I read only $13,274,000 is based on "unobservable inputs." That's a drop in the mutual fund bucket. Note only Level 3 is categorized this way.
by saltycaper
Wed Mar 07, 2018 8:21 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe’s New Book Available: Reducing Risk Of Black Swans
Replies: 127
Views: 12283

Re: "The enemy of a good plan."

Once a person has a set belief it is very hard to change (like indexing is best and three fund portfolios are best). Bogleheads: Our mentor, Jack Bogle knows more about investing than any of us. ... This demonstrates Larry's point. One can't possibly know who knows the most about investing, whateve...
by saltycaper
Mon Mar 05, 2018 2:49 pm
Forum: Investing - Theory, News & General
Topic: Is Cash Trash? The Purpose of Cash
Replies: 178
Views: 17759

Re: Is Cash Trash? The Purpose of Cash

Surely the yield must factor into this type of determination. I would think a stable value fund with a long history of barely meeting or falling behind inflation should be treated differently than a stable value fund with a long history of beating inflation handily. I think the yield should factor ...
by saltycaper
Mon Mar 05, 2018 12:36 pm
Forum: Investing - Theory, News & General
Topic: How much international stock? A suggestion.
Replies: 250
Views: 56484

Re: How much international stock? A suggestion.

What I am trying to do is understand what sorts of things would prompt you (and others) to re-examine your assumptions and change your intl allocation. Just search the forum. Some people reduce their allocation to int'l when it performs poorly relative to US stocks (oops!). Others reduce it when it...