Search found 3697 matches

by MnD
Tue Oct 16, 2018 7:11 pm
Forum: Investing - Theory, News & General
Topic: "Why Jack Bogle Doesn't Own Non-U.S. Stocks"
Replies: 86
Views: 4338

Re: "Why Jack Bogle Doesn't Own Non-U.S. Stocks"

Great advice if you want to tilt to one developed nation leading in obesity/diabetes epidemic, opioid addiction, hyper-militarization, income inequality, highest healthcare costs with lowest % covered, gun culture/violence/mass shootings and no slouch in the crumbling infrastructure pack. Not to say...
by MnD
Tue Oct 16, 2018 9:17 am
Forum: Investing - Theory, News & General
Topic: Vanguard screws up rollover from TSP
Replies: 13
Views: 1305

Re: Vanguard screws up rollover from TSP

That's especially bad considering the TSP is not some little "brand X" 401-K plan.
by MnD
Tue Oct 16, 2018 8:53 am
Forum: Investing - Theory, News & General
Topic: "Safe" Withdrawal Rate for Early Retirees (or any retiree)
Replies: 187
Views: 13962

Re: "Safe" Withdrawal Rate for Early Retirees (or any retiree)

If your objective is to translate decades of "saving for retirement" into retirement income, the medium and low inflation adjusted SWR's (3-4%) lack much utility, other than providing a pretty good stake in the richest person in the graveyard contest. Here's 5% of annual portfolio balance spend wit...
by MnD
Mon Oct 15, 2018 6:37 pm
Forum: Investing - Theory, News & General
Topic: "Safe" Withdrawal Rate for Early Retirees (or any retiree)
Replies: 187
Views: 13962

Re: "Safe" Withdrawal Rate for Early Retirees (or any retiree)

If your objective is to translate decades of "saving for retirement" into retirement income, the medium and low inflation adjusted SWR's (3-4%) lack much utility, other than providing a pretty good stake in the richest person in the graveyard contest. Here's 5% of annual portfolio balance spend with...
by MnD
Mon Oct 15, 2018 3:43 pm
Forum: Investing - Theory, News & General
Topic: 8-week t-bill debuts tomorrow 10/16
Replies: 1
Views: 536

8-week t-bill debuts tomorrow 10/16

The 8-week placeholder has been added to the Treasury yield curve tables. Seems like an odd addition. Maybe a good core holding for money-market funds to stay under 60 days? Effective Tuesday, October 16, 2018, with the inaugural auction of the new benchmark 8-week Treasury bill, Treasury plans to i...
by MnD
Mon Oct 15, 2018 2:40 pm
Forum: Investing - Help with Personal Investments
Topic: Exchanging VT total world stock for VTI & VXUS
Replies: 14
Views: 771

Re: Exchanging VT total world stock for VTI & VXUS

To my questions -- am I correct in assuming that if I buy VTI & VXUS in the same proportions as VT (a float-adjusted market-cap weighted fund), I can leave them alone with no re-balancing and I'll accomplish the same hands-off result across both funds as I currently have owning VT (this is the reas...
by MnD
Mon Oct 15, 2018 1:16 pm
Forum: Investing - Theory, News & General
Topic: Treasuries in higher tax state
Replies: 12
Views: 1098

Re: Treasuries in higher tax state

If you buy Treasury bonds in a brokerage account, you will pay spreads, just as on any other trade in a brokerage account. However, spreads on Treasuries are very low. Alternatively, you can buy new-issue Treasury bonds from Treasury Direct. Schwab also and probably others. Just purchased my monthl...
by MnD
Mon Oct 15, 2018 11:09 am
Forum: Personal Finance (Not Investing)
Topic: 1040-ES missed Sept 15 payment
Replies: 3
Views: 517

1040-ES missed Sept 15 payment

A family member (single recent grad) started a 1099 job around August 1 and did not make an estimated tax payment on/before Sept 15. Should he make a late Q3 payment now, or just wait till he files in January? The question is basically does making a late Q3 payment save any interest/penalties versus...
by MnD
Mon Oct 15, 2018 10:23 am
Forum: Investing - Theory, News & General
Topic: Is your Taxable account crowed with "highly correlated" but not "substantially identical' funds? how else can you TLH
Replies: 15
Views: 1050

Re: Is your Taxable account crowed with "highly correlated" but not "substantially identical' funds? how else can you TL

Maybe this has been answered before, but do brokers report to IRS if for example you sell VOO (vanguard S&P and buy VTI Vanguard total stock or in more similar ETF, sell VTI and but ITOT ( Ishare total stock). In the second case I know that IRS would most likely treat it as similar but was wonderin...
by MnD
Mon Oct 15, 2018 10:14 am
Forum: Investing - Theory, News & General
Topic: Sears, a 125 year old company is now a penny stock.
Replies: 115
Views: 13293

Re: Sears, a 125 year old company is now a penny stock.

My first piece of plastic was a Sears charge card back around 1975. I had just graduated from college and couldn't qualify for anything else yet. The only credit app rejection of my life was for a Sears card. Just graduated and had a couple gas station cards. Shortly after applied for a Visa at my ...
by MnD
Sun Oct 14, 2018 10:29 pm
Forum: Investing - Help with Personal Investments
Topic: invest in sears bond maturing next week 10/15 , trading at 58c on the $
Replies: 18
Views: 2541

Re: invest in sears bond maturing next week 10/15 , trading at 58c on the $

I bought a truckload of General Motors bonds pre-bankruptcy at a variety of prices with an average something like 12 cents on the dollar. Ended up +165% but while I was waiting for recovery the market was up that much so it was not worth the risk. But I learned a lot about corporate bonds in bankrup...
by MnD
Sat Oct 13, 2018 2:57 pm
Forum: Personal Finance (Not Investing)
Topic: Is it worth filing FAFSA even if you know you'll get nothing?
Replies: 70
Views: 4806

Re: Is it worth filing FAFSA even if you know you'll get nothing?

Some schools make you fill it out even to be eligible for merit based scholarships. I think some schools use merit scholarships to "top up" financing for households with students with demographics they want but that are just over the line for receiving need aid. DD's roommate had incoming credentia...
by MnD
Sat Oct 13, 2018 11:14 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard Federal Money Market compared to Prime Money Market
Replies: 19
Views: 2056

Re: Vanguard Federal Money Market compared to Prime Money Market

If I was at Vanguard I'd put 75% in a 3-date 13-week t-bill ladder (2.40% current TEY at 5% state tax), 25% in Prime or Federal and do a lot better than what's being discussed here. The tax benefit on Federal MM puts the TEY up high enough IMO that the Prime non-sweep purchase and sale requirements ...
by MnD
Sat Oct 13, 2018 10:10 am
Forum: Investing - Theory, News & General
Topic: Timing of non-sweep MM fund sale to cover t-bill purchase
Replies: 4
Views: 272

Re: Timing of non-sweep MM fund sale to cover t-bill purchase

Yes it is a margin account and I agree everything settling Thursday should be fine based on reading my brokerages guidance.
I had been selling the MM fund on Mondays but I will try selling Wednesdays and report back if anything unexpected happens.
by MnD
Sat Oct 13, 2018 9:11 am
Forum: Investing - Theory, News & General
Topic: Timing of non-sweep MM fund sale to cover t-bill purchase
Replies: 4
Views: 272

Timing of non-sweep MM fund sale to cover t-bill purchase

13 and 26 week t-bills (typically) sell at auction on Mondays and settle that Thursday. My non-sweep purchased money market fund settles funds next day so a Wednesday sale settles Thursday. So is it ok to wait to sell MM on Wednesday to have both the T-bill and and MM funds settle Thursday and avoid...
by MnD
Fri Oct 12, 2018 10:26 pm
Forum: Investing - Theory, News & General
Topic: Who worries about a bear market in stocks?
Replies: 71
Views: 5620

Re: Who worries about a bear market in stocks?

Don't feed the troll.
by MnD
Wed Oct 10, 2018 9:53 pm
Forum: Personal Finance (Not Investing)
Topic: Do you use your own cards for work travel?
Replies: 16
Views: 1081

Re: Do you use your own cards for work travel?

Ah the good old days!
For many years now my Megagov employer requires using the Megagov card - so no goodies in this dept.
by MnD
Wed Oct 10, 2018 6:46 pm
Forum: Investing - Theory, News & General
Topic: When will you backup the truck on stocks
Replies: 93
Views: 7936

Re: When will you backup the truck on stocks

Only if and when rebalancing bands are exceeded and then I will purchase the exact amount of equity through sales of FI to restore AA to target and the midpoint of bands. New money goes in at AA as always. No tinkering, no hunches, no emotion. If rebalancing bands are exceeded, stocks very much will...
by MnD
Tue Oct 09, 2018 1:30 pm
Forum: Investing - Theory, News & General
Topic: “It’s probably wise to sell to the sleeping point.” - Jack Bogle
Replies: 83
Views: 11493

Re: “It’s probably wise to sell to the sleeping point.” - Jack Bogle

With periodic rebalancing, you are buying into the teeth of a bear market. I plan to do just that. However, it is no guarantee against losses. In fact, you buy into losses. I wonder how many of us would be ready, willing, and able to keep buying all the way down if the stock market loses twenty, or...
by MnD
Mon Oct 08, 2018 3:49 pm
Forum: Investing - Theory, News & General
Topic: Fidelity 1.8% money market fund with unlimited checkwriting and free ATMs
Replies: 23
Views: 2053

Re: Fidelity 1.8% money market fund with unlimited checkwriting and free ATMs

I predict for cash management that banks (both brick and mortar and stand-alone on-line) are going to be the next landline phone and cable TV subscription as far as things that people born after a certain year have zero use for. Neither of my kids have a local or stand-alone on-line banking account...
by MnD
Mon Oct 08, 2018 12:36 pm
Forum: Investing - Theory, News & General
Topic: Fidelity 1.8% money market fund with unlimited checkwriting and free ATMs
Replies: 23
Views: 2053

Re: Fidelity 1.8% money market fund with unlimited checkwriting and free ATMs

I predict for cash management that banks (both brick and mortar and stand-alone on-line) are going to be the next landline phone and cable TV subscription as far as things that people born after a certain year have zero use for. Neither of my kids have a local or stand-alone on-line banking account....
by MnD
Mon Oct 08, 2018 10:11 am
Forum: Investing - Theory, News & General
Topic: Fidelity 1.8% money market fund with unlimited checkwriting and free ATMs
Replies: 23
Views: 2053

Re: Fidelity 1.8% money market fund with unlimited checkwriting and free ATMs

I am switching banks to get 1.8% on my checking account. With a Fidelity cash management account, you can put your savings/checking money into a government money market account currently getting 1.8% (minus ~.30% fees) and you get unlimited check writing and ATM use on all of your money, plus ATM f...
by MnD
Mon Oct 08, 2018 9:26 am
Forum: Investing - Theory, News & General
Topic: “It’s probably wise to sell to the sleeping point.” - Jack Bogle
Replies: 83
Views: 11493

Re: “It’s probably wise to sell to the sleeping point.”

If someone is close to retirement or in retirement and has the retirement secured, I’d say don’t mess around. Consider doing something more definitive than just 5-10% to lock in the gains of the last decade. Monte Carlo Simulation can be very helpful for these decisions. 8 weeks from retirement and...
by MnD
Sun Oct 07, 2018 5:47 pm
Forum: Investing - Theory, News & General
Topic: “It’s probably wise to sell to the sleeping point.” - Jack Bogle
Replies: 83
Views: 11493

Re: “It’s probably wise to sell to the sleeping point.” - Jack Bogle

Whose sleeping point? I try to keep in mind that as the self-appointed “money management guy” in the family, loved ones are counting on me not to screw it up. I’m not going to be able to explain away a devastating market loss to family members by quoting Bogleheadian strictures against market timin...
by MnD
Sun Oct 07, 2018 4:35 pm
Forum: Investing - Theory, News & General
Topic: Why not a 2 fund portfolio like Bogle suggests
Replies: 79
Views: 13609

Re: Why not a 2 fund portfolio like Bogle suggests

No, BNDW is horrible. VT= Vanguard Total World Equity Index DODLX = Dodge and Cox Global Bond DODLX is even worse. ER of .45 on a bond fund? Not to mention that hefty chunk of 43% near-junk BAA grade bonds... I've yet to be disappointed in Dodge and Cox income funds paired with equity index funds. ...
by MnD
Sun Oct 07, 2018 3:10 pm
Forum: Investing - Theory, News & General
Topic: Why not a 2 fund portfolio like Bogle suggests
Replies: 79
Views: 13609

Re: Why not a 2 fund portfolio like Bogle suggests

VT and BNDW is even better. Way more diversification and so so simple. VT= Vanguard Total World Equity Index BNDW=Vanguard Total World Bond Index Someone should write a book about this. No, BNDW is horrible. VT= Vanguard Total World Equity Index DODLX = Dodge and Cox Global Bond DODLX is even worse...
by MnD
Sun Oct 07, 2018 12:24 pm
Forum: Investing - Theory, News & General
Topic: 40-60% drawdown in bonds
Replies: 42
Views: 3735

Re: 40-60% drawdown in bonds

The inflation adjusted drawdown in Vanguard intermediate and long term Treasury index funds (Admiral) since July 1, 2016 are around -8.8% and -17.0% respectively. I substituted July 2016-August 2018 inflation for July 2016-September 2018 since September 2018 numbers are not out yet.
by MnD
Sun Oct 07, 2018 9:38 am
Forum: Investing - Theory, News & General
Topic: 40-60% drawdown in bonds
Replies: 42
Views: 3735

40-60% drawdown in bonds

1940-81 were not happy times for the fixed income investor. 1982 through mid-2016 cemented the "bonds are for safety" mentality into nearly every current investor, but one wonders if that concrete isn't getting a little old. https://www.bloomberg.com/view/articles/2018-02-12/bond-bear-markets-aren-t...
by MnD
Sun Oct 07, 2018 9:08 am
Forum: Investing - Theory, News & General
Topic: “It’s probably wise to sell to the sleeping point.” - Jack Bogle
Replies: 83
Views: 11493

Re: “It’s probably wise to sell to the sleeping point.” - Jack Bogle

I have a hard time understanding this concept: sell to the sleeping point. I am not sure what that actually means. It seems to me that in a recession/crisis, the correlation of stocks and bonds moves to '1', and both tank. Did people with a 50% allocation to bonds really sleep all that much better ...
by MnD
Sun Oct 07, 2018 8:29 am
Forum: Investing - Theory, News & General
Topic: “It’s probably wise to sell to the sleeping point.” - Jack Bogle
Replies: 83
Views: 11493

Re: “It’s probably wise to sell to the sleeping point.”

If someone is close to retirement or in retirement and has the retirement secured, I’d say don’t mess around. Consider doing something more definitive than just 5-10% to lock in the gains of the last decade. Monte Carlo Simulation can be very helpful for these decisions. 8 weeks from retirement and...
by MnD
Sat Oct 06, 2018 7:46 pm
Forum: Investing - Theory, News & General
Topic: “It’s probably wise to sell to the sleeping point.” - Jack Bogle
Replies: 83
Views: 11493

Re: “It’s probably wise to sell to the sleeping point.”

If someone is close to retirement or in retirement and has the retirement secured, I’d say don’t mess around. Consider doing something more definitive than just 5-10% to lock in the gains of the last decade. Monte Carlo Simulation can be very helpful for these decisions. 8 weeks from retirement and...
by MnD
Sat Oct 06, 2018 11:31 am
Forum: Investing - Theory, News & General
Topic: Stress testing for those contemplating retirement in the next couple years
Replies: 28
Views: 2773

Re: Stress testing for those contemplating retirement in the next couple years

Almost everybody here has moved past 25x to some higher number... You are claiming to speak for “almost everybody” on BH. That is a strong statement that requires strong evidence. You certainly don’t speak for me. Agree - unlikely. Also - the definition of "expenses" is highly subjective and can be...
by MnD
Sat Oct 06, 2018 10:48 am
Forum: Investing - Theory, News & General
Topic: Stress testing for those contemplating retirement in the next couple years
Replies: 28
Views: 2773

Re: Stress testing for those contemplating retirement in the next couple years

Yes it handles that because we'll be spending a percent of portfolio balance versus a fixed inflation-adjusted amount. Safe income streams cover true needs (about 50% of spending) and % of portfolio balance spending covers wants (the other 50%). If the market drops 50% and never recovers we'll be le...
by MnD
Sat Oct 06, 2018 9:47 am
Forum: Investing - Help with Personal Investments
Topic: The Psychological Dimension Of The Transition To Retirement
Replies: 25
Views: 2798

Re: The Psychological Dimension Of The Transition To Retirement

If your social life, your feeling of social status and worth in society is tied to your position and you're happiest at work with your "team" then you'll probably have big problems. The money part is easy-peasy assuming you have enough. Cut yourself a paycheck every month with auto-deposit to checki...
by MnD
Sat Oct 06, 2018 9:38 am
Forum: Personal Finance (Not Investing)
Topic: Book or other resource for managing spending phase of investing
Replies: 6
Views: 758

Book or other resource for managing spending phase of investing

This board seems to be a fantastic resource for the accumulation phase of investing but is a bit light on investing and other details of financial management when in retirement and actually spending the financial resources accumulated over a lifetime. I have read enough to know I'm not even remotely...
by MnD
Fri Oct 05, 2018 9:51 pm
Forum: Investing - Theory, News & General
Topic: Why not a 2 fund portfolio like Bogle suggests
Replies: 79
Views: 13609

Re: Why not a 2 fund portfolio like Bogle suggests

watchnerd wrote:
Fri Oct 05, 2018 9:41 pm
lostdog wrote:
Fri Oct 05, 2018 9:36 pm
VT and BNDW is even better. Way more diversification and so so simple.

VT= Vanguard Total World Equity Index
BNDW=Vanguard Total World Bond Index

Someone should write a book about this.
No, BNDW is horrible.
VT= Vanguard Total World Equity Index
DODLX = Dodge and Cox Global Bond
by MnD
Fri Oct 05, 2018 9:23 pm
Forum: Personal Consumer Issues
Topic: What purchase saved you the most money?
Replies: 136
Views: 12605

Re: What purchase saved you the most money?

1 spouse,1 house and 1 truck (every 15 years for the last item).
And attic insulation - amazing if what you have is inadequate!
by MnD
Fri Oct 05, 2018 2:18 pm
Forum: Investing - Theory, News & General
Topic: A little blip - and the media goes crazy
Replies: 16
Views: 2252

Re: A little blip - and the media goes crazy

A $20 trillion bond index is on track for its second-worst year in history Published: Oct 5, 2018 2:01 p.m. ET Bloomberg Barclays U.S. Aggregate Bond Index has lost around 2.5% on a total return basis, so far this year. https://www.marketwatch.com/story/a-20-trillion-bond-index-is-on-track-for-its-s...
by MnD
Fri Oct 05, 2018 10:49 am
Forum: Investing - Theory, News & General
Topic: Social Security and Asset Allocation
Replies: 50
Views: 4931

Re: Social Security and Asset Allocation

My goal is to have a 50/50 Stock and Bond Asset Allocation. I calculate a NPV of my Social Security Benefit and include it in my bond allocation. Any thoughts on this? This is what Bogle himself says to do. I like the idea. Jack Bogle has a net worth in the hundreds of millions of dollars. He does ...
by MnD
Fri Oct 05, 2018 9:12 am
Forum: Investing - Theory, News & General
Topic: Social Security and Asset Allocation
Replies: 50
Views: 4931

Re: Social Security and Asset Allocation

I have an income sheet indicating all income streams including from portfolio spending, pension and SS. I also have a asset sheet with portfolio and NPV of pension and SS. The income sheet is more useful but I like having both. AA of portfolio is 70/30 for life 8 weeks out from retirement. Pension a...
by MnD
Fri Oct 05, 2018 7:41 am
Forum: Personal Finance (Not Investing)
Topic: How much effort to close an estate and is it worth it?
Replies: 13
Views: 1423

Re: How much effort to close an estate and is it worth it?

Most states have a very simplified process for small estates. One page very simple forms to collect assets - that sort of thing. We closed our FIL's and MIL's estates in two different states and the work involved each time was minimal. Google "Closing small estates in (State Name)" For example in Ca...
by MnD
Thu Oct 04, 2018 11:34 pm
Forum: Investing - Help with Personal Investments
Topic: Where to park 40k?
Replies: 9
Views: 1241

Re: Where to park 40k?

T-bills.
You did not state your desired parking time but for example, a 13-week T-bill yields 2.22% and is exempt from state taxes.
If your marginal state tax rate is 5% that's a taxable equivalent yield of 2.34%.
by MnD
Thu Oct 04, 2018 6:48 pm
Forum: Investing - Theory, News & General
Topic: Enjoying your money before retirement
Replies: 65
Views: 6214

Re: Enjoying your money before retirement

I just know a lot of people with very significant retirement accounts who don't have any other money besides an emergency fund earning continually nothing that they never want to touch and paychecks. They do things like get "low cost" auto loans and stress out about new roofs and appliances and the ...
by MnD
Thu Oct 04, 2018 10:02 am
Forum: Personal Consumer Issues
Topic: Black suit with dark brown shoes?
Replies: 59
Views: 3927

Re: Black suit with dark brown shoes?

I saw an SEC webinar the other day where one of the lead presenters did the black suit and brown shoes combo. It didn't look horrible, but I noticed it about 2 seconds after he stood up to talk. The suit looked pretty high quality and fit perfectly - not some frumpy government employee that crawled ...
by MnD
Wed Oct 03, 2018 9:43 pm
Forum: Investing - Theory, News & General
Topic: Correlation between the FIRE movement and one of the greatest bull markets
Replies: 158
Views: 13026

Re: Correlation between the FIRE movement and one of the greatest bull markets

1982-2000 was a whole lot more exciting than the recent run, which is simply the recovery from an awful investing decade ending in a catastrophic global financial crisis. I guess if you inherited a big bucket of money in early 2009 from your Uncle Miser and you lump summed it all into the market you...
by MnD
Tue Oct 02, 2018 9:50 am
Forum: Investing - Theory, News & General
Topic: Enjoying your money before retirement
Replies: 65
Views: 6214

Re: Enjoying your money before retirement

Your spending should be coming out of your income. Who made this a "rule"? Investing is about making money with money. If someone wants to spend some of the money they made with money at any age - good for them. Its not 100% about waiting until old age to enjoy the benefits of being successful in i...
by MnD
Tue Oct 02, 2018 8:52 am
Forum: Investing - Theory, News & General
Topic: Enjoying your money before retirement
Replies: 65
Views: 6214

Re: Enjoying your money before retirement

Out of college, before kids and house purchase 1987-1990 we built a $70K taxable brokerage account 100% in equity and never added another dime. We've spent $100's of thousands from it new cars, vacations, remodeling projects, college and it's still quite a bit larger on an inflation-adjusted basis t...