Search found 2827 matches

by alec
Sun Dec 10, 2017 4:20 pm
Forum: Investing - Theory, News & General
Topic: Do DFA Funds have lower trading costs than Index Funds?
Replies: 25
Views: 801

Re: Do DFA Funds have lower trading costs than Index Funds?

They stated that index funds in general rebalance once every year when the index they track rebalances. When this occurs the index funds need to shift their allocations accordingly and quickly to minimize tracking error. This leads to non flexibility in regards to time (since it needs to occur quic...
by alec
Mon Nov 20, 2017 9:08 pm
Forum: Personal Finance (Not Investing)
Topic: Merrill Lynch wants personal info--How to deal
Replies: 33
Views: 3301

Re: Merrill Lynch wants personal info--How to deal

BTW, I just read the link that alec provided (thank you!). It said that they can ASK for the information, but customers are not required to provide it. It's for the company to make investment recommendations--we don't want any recommendations from ML anyway. Yeah, I'd just tell them to go stick it,...
by alec
Mon Nov 20, 2017 7:24 pm
Forum: Personal Finance (Not Investing)
Topic: Merrill Lynch wants personal info--How to deal
Replies: 33
Views: 3301

Re: Merrill Lynch wants personal info--How to deal

Merrill is probably gathering info to comply with the know your customer/suitability rules. http://www.finra.org/investors/suitability-what-investors-need-know I’d read “to better serve you” to mean “so I can try to sell you our high fee financial products.” :D Did your MIl have a full service broke...
by alec
Tue Nov 14, 2017 9:17 am
Forum: Investing - Theory, News & General
Topic: "No Transaction Fee" (NTF) hidden fees; TDAmeritrade
Replies: 8
Views: 1023

Re: "No Transaction Fee" (NTF) hidden fees; TDAmeritrade

I agree completely with the article, of course. There's a reason why you don't see any dirt cheap mutual funds in the now old-fashioned NTF fund platforms. Those funds almost universally have 12b-1 fees that have you paying for the NTF platform. And I am positive that "platform payments" from fund ...
by alec
Wed Nov 08, 2017 9:38 pm
Forum: Investing - Help with Personal Investments
Topic: Ran out of space for bonds in tax-deferred accounts. Now what?
Replies: 17
Views: 1958

Re: Ran out of space for bonds in tax-deferred accounts. Now what?

Depending on your tax bracket, you may want a low cost muni bond fund.
by alec
Wed Nov 08, 2017 7:35 pm
Forum: Investing - Help with Personal Investments
Topic: Bond Fund question - active vs. managed (VBMFX vs. PICYX)
Replies: 16
Views: 847

Re: Bond Fund question - active vs. managed (VBMFX vs. PICYX)

Op, I think bonds are an area where Active investing often outperforms passive investing, even with higher ER expenses. I hold some PIMCO (PONPX) in the Portfolio along with VCSH and BIV. :beer Eh, it's been a few years, but all of the studies I read concluded that, once you choose the type of bond...
by alec
Tue Nov 07, 2017 8:35 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Total Corporate Bond ETF listing announced
Replies: 8
Views: 1199

Re: Vanguard Total Corporate Bond ETF listing announced

How is it truly a "Total" Corporate Bond ETF if it is only investment-grade bonds? Would you need high-yield exposure, or at the very least an ETF like iShares Fallen Angels USD Bond ETF (FALN) ? I don't know the answer myself, but it seems strange to call it a "Total" bond fund. Is it simply becau...
by alec
Thu Nov 02, 2017 6:50 pm
Forum: Personal Finance (Not Investing)
Topic: Future Fed: Autism, Insurance, and the cost of ABA Therapy
Replies: 25
Views: 2265

Re: Future Fed: Autism, Insurance, and the cost of ABA Therapy

Used to get ABA and OT for my son though I'm not a federal employee so our insurance was different. What's you maximum out of pocket? Those co-pays certainly add up but they should count towards your deductable and maximum out of pocket for the year. We crunched the cost of the insurance premiums c...
by alec
Thu Oct 26, 2017 8:08 am
Forum: Investing - Help with Personal Investments
Topic: Question regarding 401(k) catch-up contributions and employer match
Replies: 29
Views: 1531

Re: Question regarding 401(k) catch-up contributions and employer match

Have you emailed the example to HR and pointed out how you can lose out on the match? And then ask will this happen?

Also, does your 401k plan document have something like “true up match” that occurs after the plan year is over?
by alec
Wed Oct 25, 2017 7:11 pm
Forum: Investing - Theory, News & General
Topic: TIAA traditional -- How did they do that and What's the catch?
Replies: 31
Views: 2626

Re: TIAA traditional -- How did they do that and What's the catch?

I have wondered the same thing and came up empty. I don't get it. The non-liquid version is even higher. I think I am getting 4.25% right now. If what they are doing is legit, someone else should be able to replicate it and offer a competitive rate. The only comparable investment I can think of is ...
by alec
Mon Oct 23, 2017 7:24 pm
Forum: Personal Consumer Issues
Topic: Running shoes/insoles
Replies: 35
Views: 2194

Re: Running shoes/insoles

My runner friends with wide feet prefer Altras.
by alec
Sun Oct 22, 2017 7:20 pm
Forum: Investing - Theory, News & General
Topic: Table 11.3 of The Bogleheads' Guide to Investing
Replies: 4
Views: 627

Re: Table 11.3 of The Bogleheads' Guide to Investing

I think it’s assumed that all the bond return comes from the interest/coupons. Why would you expect capital gains from bonds over 30 years?
by alec
Mon Oct 16, 2017 8:04 pm
Forum: Investing - Theory, News & General
Topic: 30 year tips auction-thursday 10/19, yield 0.86%?
Replies: 47
Views: 4374

Re: 30 year tips auction-thursday 10/19, yield 0.86%?

TIPS- get them while they're hot! We have a different definition of "hot". https://s1.postimg.org/6j5u44vt5r/TIPS_Then_and_Now_Capture.jpg Please do the same chart but include the yields from 1997-1998. Then, imagine it's 2007, and you're trying to decide whether to buy LT TIPS when yields were rou...
by alec
Mon Oct 16, 2017 7:24 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Giving Less in Dividends than Competitors?
Replies: 13
Views: 2230

Re: Vanguard Giving Less in Dividends than Competitors?

EddyB wrote:
Mon Oct 16, 2017 7:13 pm
Assuming these competitors track the same assets, did your adviser explain why he thinks higher dividends are better?
They don't. Some of the ETF selected by the UBS advisor specifically focus on dividends, while the Vanguard ETFs don't.
by alec
Sat Oct 07, 2017 8:32 am
Forum: Personal Finance (Not Investing)
Topic: Pension Freeze - What did you do?
Replies: 71
Views: 5966

Re: Pension Freeze - What did you do?

To me, this is somewhat inevitable. In the 1940's, life expectancy is about 63. Now, it is about 79. They have to put more money in, cut benefits, and/or raise retirement age. My personal view is that the only reliable pension is from the fed. The rest of us have to LBYM and save as much as possibl...
by alec
Sat Oct 07, 2017 7:40 am
Forum: Personal Finance (Not Investing)
Topic: Pension Freeze - What did you do?
Replies: 71
Views: 5966

Re: Pension Freeze - What did you do?

Late last year, my company froze the pension, and replaced it with more contributions to the 401k whether employees contribute or not... on top of the match. A few weeks after the announcement, HR had a whole bunch of open meetings to go through the details, and then the third party benefits consult...
by alec
Thu Sep 28, 2017 10:35 am
Forum: Personal Finance (Not Investing)
Topic: Lost my job and looking for advice on next steps
Replies: 43
Views: 5490

Re: Lost my job and looking for advice on next steps

Thanks for the feedback. My wife is a teacher. I will need to explore if health coverage is remotely possible through her employer. I haven't looked at ACA yet notwithstanding all the uncertainty surrounding it at present. We live in HCOLA area. Until our son finishes college, we plan to stay put. ...
by alec
Wed Sep 20, 2017 9:15 am
Forum: Investing - Theory, News & General
Topic: differences between stock exchanges
Replies: 5
Views: 780

Re: differences between stock exchanges

awesome insight! thanks everyone! Exchange listed stocks and ETFs trade on almost any of the 10+ US exchanges as well as off exchange, which executes 30-40% of US listed equity volume. The ETF doesn't have to be listed on an exchange to trade on that exchange. I wouldn't worry where the ETF is list...
by alec
Sat Sep 16, 2017 7:37 am
Forum: Personal Consumer Issues
Topic: Name something you had to have and now you regret purchasing it?
Replies: 275
Views: 25894

Re: Name something you had to have and now you regret purchasing it?

My house (purchased in May 2005). Luckily, it's a small house, so it didn't really lose that much value in the housing crisis, but we've had to upgrade almost everything in the house (kitchen, bathroom, flooring, painting, roof, HVAC, hot water heater, etc.). Hopefully, it'll be relatively stable un...
by alec
Tue Sep 05, 2017 8:11 pm
Forum: Personal Consumer Issues
Topic: Name something you had to have and now you regret purchasing it?
Replies: 275
Views: 25894

Re: Name something you had to have and now you regret purchasing it?

$350 golf driver 15 years ago. I've played 10 times since then.
by alec
Thu Aug 31, 2017 12:23 pm
Forum: Investing - Theory, News & General
Topic: Value Factor Investing is not Value Investing
Replies: 126
Views: 10073

Re: Value Factor Investing is not Value Investing

I totality agree with this "Value Factor Investing is not Value Investing". In my world...I like dividends, for the "Snowball" effect. But dividend paying companies can be value or growth stocks. A lot of people think that only value companies pay a dividend and by wanting dividends make you a valu...
by alec
Sat Aug 26, 2017 2:47 pm
Forum: Personal Consumer Issues
Topic: Desperate to get rid of mosquitoes, what else could we try?
Replies: 62
Views: 4391

Re: Desperate to get rid of mosquitoes, what else could we try?

Ive had good luck throwing mosquito dunks everywhere there is standing water including gutters, hollows in trees, low spots, ponds, drainage fields, and certainly your neighbors tires... they release a bacteria into the water that is safe to the environment/pets/animals/people but kills mosquito la...
by alec
Fri Aug 25, 2017 5:59 am
Forum: Investing - Theory, News & General
Topic: Amazed by Vanguard Wellington's Performance
Replies: 62
Views: 9868

Re: Amazed by Vanguard Wellington's Performance

Are there any active funds that really cause you to consider that maybe it really is possible to outperform indexes? For me, Wellington definitely has to be one of them. I'm surprised that no one has mentioned "factors" in the thread so far. When I run a 5-factor regression against Wellington I get...
by alec
Sat Aug 12, 2017 6:28 am
Forum: Personal Consumer Issues
Topic: Elite status clubs that you are part of?
Replies: 31
Views: 3623

Re: Elite status clubs that you are part of?

The Stonecutters.
by alec
Thu Aug 03, 2017 7:07 pm
Forum: Investing - Help with Personal Investments
Topic: My wife is getting ready to retire from thr Federal Government.
Replies: 30
Views: 3153

Re: My wife is getting ready to retire from thr Federal Government.

Sounds like these guys the SEC just sued

SEC Files Fraud Charges Against Former Brokers Targeting Federal Retirees

https://www.sec.gov/news/press-release/2017-135
by alec
Wed Aug 02, 2017 9:48 pm
Forum: Investing - Theory, News & General
Topic: Vanguard's Global Wellesley Income and Global Wellington Funds in registration [now available]
Replies: 113
Views: 27125

Re: Vanguard's Global Wellesley Income and Global Wellington Funds in registration

I didn't see any statement on whether the U.S. vs international allocation was going to be fixed by mandate or whether it would be adjusted as part of the active management based on some determination of value. Any thoughts on this? It could be in the registration statement vanguard filed with the ...
by alec
Wed Aug 02, 2017 4:26 pm
Forum: Investing - Theory, News & General
Topic: Regional stock exchanges
Replies: 4
Views: 372

Re: Regional stock exchanges

Page 6 states that common stocks listed on all the US exchanges are eligible. The exchanges are listed. https://us.spindices.com/documents/methodologies/methodology-sp-us-indices.pdf I am getting the opposite message: "Eligible securities are the common stock of U.S. companies with a primary listin...
by alec
Wed Aug 02, 2017 2:53 pm
Forum: Investing - Theory, News & General
Topic: Regional stock exchanges
Replies: 4
Views: 372

Re: Regional stock exchanges

Page 6 lists the eligible US exchanges. Maybe Boston doesn't list common stock anymore.

https://us.spindices.com/documents/meth ... ndices.pdf
by alec
Fri Jul 28, 2017 7:49 pm
Forum: Personal Finance (Not Investing)
Topic: Finance as a college major?
Replies: 50
Views: 4692

Re: Finance as a college major?

Seems like a small sample size. Did you ask then if they've taken a college finance course?

Or for that matter been to a college party? :D
by alec
Wed Jul 26, 2017 8:21 pm
Forum: Personal Finance (Not Investing)
Topic: GF Picking a college major
Replies: 105
Views: 6286

Re: GF Picking a college major

I think she should go talk to the college career counselors or a faculty advisor. Most majors assign you a faculty advisor. Find out what courses of subjects she likes. Many, many college kids go into college with something in mind, but switch to something else. I switched from engineering to no maj...
by alec
Tue Jul 25, 2017 9:07 pm
Forum: Personal Finance (Not Investing)
Topic: Life insurance as a tax diversification strategy
Replies: 39
Views: 2598

Re: Life insurance as a tax diversification strategy

A friend recently meet with a Thrivent representative and was presented with an idea using life insurance as a tax diversification strategy: “A cash-value life insurance policy can potentially offer investment growth, a tax-free source of income in retirement and tax benefits while you save. With a...
by alec
Thu Jul 20, 2017 6:02 am
Forum: Personal Consumer Issues
Topic: Indoor activities for a 3-year-old
Replies: 61
Views: 3415

Re: Indoor activities for a 3-year-old

We got our kids a crash pad from ikea, so they could jump off the couch onto it.
by alec
Thu Jun 29, 2017 5:19 am
Forum: Investing - Help with Personal Investments
Topic: Pension Evaluation Help
Replies: 5
Views: 916

Re: Pension Evaluation Help

Since you don't need the money know and your tax rate is high, I'd wait until late 50s or 60s.
by alec
Wed Jun 28, 2017 5:35 am
Forum: Personal Finance (Not Investing)
Topic: UPS freezing pensions for non-union
Replies: 6
Views: 1861

Re: UPS freezing pensions for non-union

After accruals to the existing defined benefit retirement plan stop in 2023, UPS will begin a contribution program that will place between 5 percent and 8 percent of a worker’s eligible salary into a 401(k), depending on seniority. Some workers also will get a transition benefit. This is what my co...
by alec
Sun Jun 11, 2017 2:18 pm
Forum: Personal Finance (Not Investing)
Topic: Feasible path to early retirement?
Replies: 18
Views: 2349

Re: Feasible path to early retirement?

OP, Your gross income = 280K. Your annual savings = 36K + 3.5K per month = 36K + 38K = 74K. Let's assume that you pay 100K in tax every year, your annual expense = 280K - 74K (savings) - 100K tax = 106K. To retire early, you need about 30X your annual expense approximately 3 million. In summary, yo...
by alec
Wed Jun 07, 2017 5:39 am
Forum: Personal Consumer Issues
Topic: My Wife is having our 5th child. What is an appropriately extravagant push gift?
Replies: 90
Views: 8556

Re: My Wife is having our 5th child. What is an appropriately extravagant push gift?

When my neighbor had her fourth kid, her spouse took a month off work.
by alec
Sun May 28, 2017 1:31 pm
Forum: Investing - Theory, News & General
Topic: Using Funded Ratio to drive retirement investment plan - Part 1 of Funded Ratio series
Replies: 116
Views: 12988

Re: Using the Funded Ratio to drive your retirement investment plan

Bobcat An excellent post (along with several other recent threads you've been a part of). Full of wisdom and good suggestions. For what it's worth, I've long been against investing in long bonds. I'm still at least a decade from retirement and during my accumulation phase I've always used intermedi...
by alec
Sun May 28, 2017 1:06 pm
Forum: Investing - Theory, News & General
Topic: Using Funded Ratio to drive retirement investment plan - Part 1 of Funded Ratio series
Replies: 116
Views: 12988

Re: Using the Funded Ratio to drive your retirement investment plan

Very useful, thank you very much. I will explore this further. A question, as I'm pretty new to the liability matching portfolio concept - When pricing the real life annuity, does one price an annuity with COLA, or without COLA? I'm sure the answer is obvious, but not to me unfortunately. Real life...
by alec
Sat May 27, 2017 6:43 am
Forum: Personal Consumer Issues
Topic: Recommendations for moisturizing lotions that don't feel greasy
Replies: 37
Views: 3450

Re: Recommendations for moisturizing lotions that don't feel greasy

mancich wrote:Regular Aveeno works great. And even the Equate brand (Walmart generic) works really well and costs a lot less.
:beer Aveeno is great.
by alec
Mon May 22, 2017 1:40 pm
Forum: Investing - Theory, News & General
Topic: Index fund investor donates millions
Replies: 12
Views: 2525

Re: Index fund investor donates millions

dodecahedron wrote:
I also find his healthy living habits inspiring (walking 4 miles a day, which can be a challenge in DC summers!) and working out with a personal trainer a couple times a week.
He probably walks at 6am... like most of the older folks in my neighborhood in the D.C. 'Burbs. :D
by alec
Fri May 19, 2017 3:46 pm
Forum: Personal Finance (Not Investing)
Topic: One time chance to reselect Defined Benefits or Defined Contribution
Replies: 35
Views: 3451

Re: One time chance to reselect Defined Benefits or Defined Contribution

:sharebeer A few other questions: - what spousal benefit is available under the DB scheme, and is it something that would be valuable? ie is your partner (if any) be in a situation where a survivor benefit would be useful (due to low income, lack of pension arrangements, ill health or unemployment, ...
by alec
Wed May 17, 2017 7:13 pm
Forum: Investing - Help with Personal Investments
Topic: Forced Retirement
Replies: 28
Views: 3287

Re: Forced Retirement

vetdoc wrote: my SS $26,000 wifes SS estimated at age 66 $ 2,000
Are you currently drawing SS, or can you delay until 70?

Is the $2,000 for your wife correct? Usually spouses can get about half of the higher spouse's SS.
by alec
Sun May 14, 2017 6:19 am
Forum: Investing - Theory, News & General
Topic: Does trade execution speed matter?
Replies: 15
Views: 1932

Re: Does trade execution speed matter?

I recently bought some JPGE which is commission free at etrade. Before I placed the order the quote page said last trade 55.912 and with a bid and offer spread about 0.05 around the last trade price. When I placed the order I did the get same price as the quoted last trade price, which was better t...
by alec
Sat May 13, 2017 9:29 pm
Forum: Personal Finance (Not Investing)
Topic: Wrestling with upgrading home situation
Replies: 4
Views: 762

Re: Wrestling with upgrading home situation

How annoying is your current house? Ours is small and often annoying, but we're too cheap to upgrade.
by alec
Wed Apr 26, 2017 6:39 pm
Forum: Personal Consumer Issues
Topic: How to find a good local mechanic?
Replies: 19
Views: 1262

Re: How to find a good local mechanic?

I've found that Word of mouth is the best.
by alec
Sun Apr 23, 2017 7:56 am
Forum: Investing - Theory, News & General
Topic: Does Knowledge of Fellow Employees’ Retirement Contributions Encourage Greater Participation?
Replies: 13
Views: 1562

Re: Does Knowledge of Fellow Employees’ Retirement Contributions Encourage Greater Participation?

The one thing that is guaranteed to bring greater participation is switching from "opt-in" to "auto-enrollment with opt-out". In fact I believe that's now considered fiduciary best practice in plan design. :thumbsup The OP could suggest this strategy. Also, there are lots of companies that send out...
by alec
Sat Apr 22, 2017 3:04 pm
Forum: Investing - Theory, News & General
Topic: Case study Broker trade executions
Replies: 155
Views: 17564

Re: Case study Broker trade executions

Depends on what you're trading, but 100-200k is not a ton. You can buy something like $10M of SPY without going more than a single level into the book. I just do what you said, I send limit orders a couple ticks into the spread anytime in the afternoon. I only trade very liquid instruments though (...
by alec
Sun Apr 16, 2017 7:53 pm
Forum: Personal Finance (Not Investing)
Topic: Help me decide pension benefits, single life, 50%, 75% and/or 100% survival benefits
Replies: 41
Views: 3387

Re: Help me decide pension benefits, single life, 50%, 75% and/or 100% survival benefits

2pedals wrote: If she dies my pension reverts back to single life.
I think is key here. As such, I'd show the various options to your spouse and see which she wants if you pre-decease her. For example, "if I die before you, you'd get $XX from social security and $YY from my pension".

-Alec
by alec
Sun Apr 16, 2017 6:44 am
Forum: Personal Finance (Not Investing)
Topic: New law will ban NYC employers from asking about salary history
Replies: 15
Views: 2102

Re: New law will ban NYC employers from asking about salary history

Not sure if it's law in MD now, but my employer said earlier in this year that we couldn't ask about salary history in interviews anymore.
by alec
Fri Apr 07, 2017 11:54 am
Forum: Personal Finance (Not Investing)
Topic: Telling Family About Daughters 529 For Gifts
Replies: 52
Views: 4200

Re: Telling Family About Daughters 529 For Gifts

My daughter is almost three years old, and my wife's family and mine are always buying her tons of toys for holidays. We already have a 529 plan setup to allow gifts to go towards a college fund. Have any of you had success in getting family to tone down the toys/gifts and up the donations? What di...