Search found 23645 matches

by dbr
Sat Nov 18, 2017 10:50 am
Forum: Investing - Help with Personal Investments
Topic: Current precarious equity environment for a retiree
Replies: 29
Views: 1569

Re: Current precarious equity environment for a retiree

I would suggest you revisit your asset allocation %'s if you are getting nervous about market behavior. I retired 6 years ago with a smidgen over my minimum number and as the market progressed it took almost yearly re-balancing from equities to bonds to retain my desire to SWAN. My last rebalance w...
by dbr
Sat Nov 18, 2017 10:48 am
Forum: Investing - Help with Personal Investments
Topic: Confused about cash and retirement - isn't this really about market timing?
Replies: 17
Views: 1254

Re: Confused about cash and retirement - isn't this really about market timing?

I am lost as to how cash specifically is of some particular advantage to the retiree. That said, we seem to end up with 1%-2% of assets floating around in cash of some kind anyway.
by dbr
Sat Nov 18, 2017 10:46 am
Forum: Personal Consumer Issues
Topic: Water Heater Install $1,800!
Replies: 63
Views: 7275

Re: Water Heater Install $1,800!

It's not uncommon that people with experience, tools, know-how, and strong friends make light of all sorts of diy jobs that a more average individual would be nuts to attempt on their own. My experience as a homeowner is that the more experienced and knowledgeable I have gotten the more quickly I j...
by dbr
Sat Nov 18, 2017 10:26 am
Forum: Investing - Theory, News & General
Topic: Experience with 401K "Self Directed Brokerage Account"
Replies: 4
Views: 175

Re: Experience with 401K "Self Directed Brokerage Account"

There is not normally a choice of broker. My 401k offers Schwab at $120/year plus something like $75 to buy a mutual fund or $7.95 to buy an ETF, and nothing to sell. I have most of my 401k in the brokerage and trade almost never.
by dbr
Sat Nov 18, 2017 10:23 am
Forum: Investing - Help with Personal Investments
Topic: Sale of Home Proceeds - Net Loss & No plans to purchase for 2 years
Replies: 2
Views: 158

Re: Sale of Home Proceeds - Net Loss & No plans to purchase for 2 years

At least two years is very different from at two years. Even so, I think CDs are probably a good choice here.
by dbr
Sat Nov 18, 2017 10:21 am
Forum: Personal Consumer Issues
Topic: Water Heater Install $1,800!
Replies: 63
Views: 7275

Re: Water Heater Install $1,800!

1 - Pipe cutter $12 2- Sharkbite hotwater heater connecting hoses $40 1- Gas connection line (yellow) $25 1- Overflow drain $7.99 Plumbers tape - $.99 1- Hot water heater of choice at what ever cost you are willing. Turn off the water. Turn off heater. Make sure gas to heater is off. Attach hose to...
by dbr
Sat Nov 18, 2017 10:16 am
Forum: Investing - Help with Personal Investments
Topic: Vanguard Personal Advisor Services/Portfolio Review
Replies: 10
Views: 677

Re: Vanguard Personal Advisor Services/Portfolio Review

Has the advisor confirmed that you have the resources to support your planned spending having made appropriate estimates of costs and contingencies in retirement. That consideration is far more important than your asset allocation but you don't mention having received any advice about that.
by dbr
Sat Nov 18, 2017 10:09 am
Forum: Investing - Help with Personal Investments
Topic: Current precarious equity environment for a retiree
Replies: 29
Views: 1569

Re: Current precarious equity environment for a retiree

If you've won the game, why keep playing? You haven't won the game. The game isn't over until you're dead. Until then you are still playing. Put everything in (nominal) bonds? Now you're exposed to inflation risk which, historically, has been far worse than equity risk. Put everything in TIPS to av...
by dbr
Sat Nov 18, 2017 10:07 am
Forum: Investing - Help with Personal Investments
Topic: Do you include the sale of your home as part of your retirement planning?
Replies: 28
Views: 624

Re: Do you include the sale of your home as part of your retirement planning?

What I think I am hearing is most don't see themselves utilizing independent or assisted living facilities, only more traditional LTC or skilled nursing. I find this consistent with my relatives but I have also observed that once in either independent or assisted living their attitudes changed and ...
by dbr
Sat Nov 18, 2017 9:54 am
Forum: Investing - Help with Personal Investments
Topic: Do you include the sale of your home as part of your retirement planning?
Replies: 28
Views: 624

Re: Do you include the sale of your home as part of your retirement planning?

That would be an alternate scenario one can run. It makes sense to take a look at it sometime.
by dbr
Sat Nov 18, 2017 9:36 am
Forum: Investing - Theory, News & General
Topic: The 4% rule DOES fail but still makes sense!
Replies: 141
Views: 8559

Re: The 4% rule DOES fail but still makes sense!

Someone correct me if I am wrong but isn't the 4% rule that you withdraw 4% of your starting portfolio's value adjusted for inflation each year. In other words if you start with a million dollar portfolio you can withdraw $40,000 each year adjusted for inflation. It seems like a lot of folks think ...
by dbr
Fri Nov 17, 2017 5:00 pm
Forum: Investing - Theory, News & General
Topic: Monte Carlo Analysis VS Historical Rolling Periods
Replies: 12
Views: 660

Re: Monte Carlo Analysis VS Historical Rolling Periods

My very amateur and inexperienced opinion is that using historical periods solves more problems than it imposes compared to figuring out how to hypothesize realistic inputs to a Monte Carlo approach. However all such models are prone to significant uncertainty and should be used for insight into how...
by dbr
Fri Nov 17, 2017 4:56 pm
Forum: Investing - Theory, News & General
Topic: Should we be using high equity retirement portfolios? - Some cFIREsim scenarios.
Replies: 44
Views: 3200

Re: Should we be using high equity retirement portfolios? - Some cFIREsim scenarios.

OP. In 2008, I was pondering SSR while caring for my Mother, 24/7, and after my older Bro's (professional economist, risk management, big bank) visitation. I discovered more detailed algorithmic retirement and longevity calculators over the relatively simple MFs' calculators. The detailed calculato...
by dbr
Fri Nov 17, 2017 2:46 pm
Forum: Investing - Help with Personal Investments
Topic: Taxable account investments
Replies: 7
Views: 743

Re: Taxable account investments

I'm 74 years old, retired, and need to invest a fairly large amount of cash. Right now, my portfolio is 50/50 stocks and bonds. Tax deferred accounts are no longer available and, I have moved all my bond funds to tax deferred accounts to delay taxes. My brokerage account is made up of stock index f...
by dbr
Fri Nov 17, 2017 2:40 pm
Forum: Investing - Theory, News & General
Topic: Yet another TIPS thread
Replies: 2
Views: 347

Re: Yet another TIPS thread

It seems to me Larry changed from a strategy of shifting between TIPS and nominal to a strategy of shifting duration in TIPS. But there is no hard and fast rule.
by dbr
Fri Nov 17, 2017 2:24 pm
Forum: Personal Consumer Issues
Topic: United change fees
Replies: 24
Views: 1125

Re: United change fees

I could be wrong about what transpired, but I think the standard transaction is that they credit you with the original cost of the ticket and they charge you the change fee and the cost of the changed ticket. The new ticket can easily cost more than the original ticket and a one-way could cost more ...
by dbr
Fri Nov 17, 2017 2:06 pm
Forum: Investing - Help with Personal Investments
Topic: cash balance plan
Replies: 3
Views: 382

Re: cash balance plan

It depends on whether that is enough prospective growth in wealth to meet your objectives.
by dbr
Fri Nov 17, 2017 9:42 am
Forum: Investing - Theory, News & General
Topic: Should we be using high equity retirement portfolios? - Some cFIREsim scenarios.
Replies: 44
Views: 3200

Re: Should we be using high equity retirement portfolios? - Some cFIREsim scenarios.

The main puzzle in the whole thing is that most outcomes of "safe" rates of spending are that the investor dies with a lot of unspent money. How is that a problem? The more I can leave for the grandkids, the better. Because it means a person may have worked longer than they wanted, spent less than ...
by dbr
Thu Nov 16, 2017 7:27 pm
Forum: Investing - Help with Personal Investments
Topic: Help Advise with a Fidelity Managed (discretionary) Account
Replies: 14
Views: 776

Re: Help Advise with a Fidelity Managed (discretionary) Account

You can easily afford making an annual gift to Fidelity so why not? It will mean someone is there to keep on top of things, answer your wife's questions when you are not around etc. I'm not so sure this immunizes you from being moved to expensive funds, being sold some crazy annuity, or something, b...
by dbr
Thu Nov 16, 2017 6:13 pm
Forum: Personal Finance (Not Investing)
Topic: Pile of Cash - What to do
Replies: 24
Views: 2417

Re: Pile of Cash - What to do

If the market is too high why do you have over a million dollars of stocks? Yep, that makes no sense. There is no advice without a more thoughtful sense of what one is trying to do. The best answer absent any more information is to invest the same way everything else is invested except maybe some c...
by dbr
Thu Nov 16, 2017 6:06 pm
Forum: Investing - Help with Personal Investments
Topic: What to do with my Taxable Equity Portfolio to be used as a Bridge in 3 Years?
Replies: 6
Views: 445

Re: What to do with my Taxable Equity Portfolio to be used as a Bridge in 3 Years?

Bridge fund means you are going to spend all that money over the next three years meaning you are going to sell all those funds over the next three years meaning you are going to be taxed on all that capital gain over the next three years. The only question is whether to dump all the gain into one y...
by dbr
Thu Nov 16, 2017 4:22 pm
Forum: Investing - Theory, News & General
Topic: Should we be using high equity retirement portfolios? - Some cFIREsim scenarios.
Replies: 44
Views: 3200

Re: Should we be using high equity retirement portfolios? - Some cFIREsim scenarios.

It has been understood for a long time (and probably brushed under the rug a lot as well) that high stock allocations in retirement are not particularly risky in the kind of markets typical at least in the US over the last century or so. More relevant issues are that outcome depends a lot on how muc...
by dbr
Wed Nov 15, 2017 7:06 pm
Forum: Investing - Help with Personal Investments
Topic: Capital Gains in IRA [are they taxable?]
Replies: 8
Views: 621

Re: Capital Gains in IRA [are they taxable?]

Thanks, All. I called Vanguard back after posting my message because I just wasn't able to believe what the first rep had told me. The second rep confirmed what you've all said too, i.e., the capital gains from selling out of Franklin and buying into Vanguard are only taxable upon withdrawal from t...
by dbr
Wed Nov 15, 2017 6:02 pm
Forum: Personal Finance (Not Investing)
Topic: Fair way to split expenses?
Replies: 105
Views: 4214

Re: Fair way to split expenses?

The fair way is for each person to pay his/her own expenses. In the case there is a single bill, such as mortgage and insurance on a jointly owned house or paying for a hotel room jointly occupied, the expense should be split. It might be a practical compromise that the grocery bill be split as main...
by dbr
Wed Nov 15, 2017 5:53 pm
Forum: Investing - Theory, News & General
Topic: Do you subscribe to taking risk only on the equity side
Replies: 40
Views: 2186

Re: Do you subscribe to taking risk only on the equity side

I don't think of a portfolio this way. I think of a portfolio having risk and return as an entity. The risk and return of the portfolio can be calculated from the weighted proportions of the risk and return of the components (and the correlations). As a matter of arithmetic stocks are riskier and hi...
by dbr
Wed Nov 15, 2017 5:46 pm
Forum: Investing - Help with Personal Investments
Topic: Capital Gains in IRA [are they taxable?]
Replies: 8
Views: 621

Re: Capital Gains in IRA [are they taxable?]

s, but Vanguard is telling me I must sell the Franklin Funds, which will incur capital gains taxes, and then buy the new Vanguard Funds. I thought you could buy and sell mutual funds in your IRA without paying capital gains. What am I missing? Thanks so much! Tammy Your sentence exactly as written ...
by dbr
Wed Nov 15, 2017 5:34 pm
Forum: Investing - Help with Personal Investments
Topic: 403b Question on Vanguard Fees
Replies: 4
Views: 238

Re: 403b Question on Vanguard Fees

They are clearly withholding $400 for 403b contributions. But Vanguard only shows a $398 contribution each month. So I take it this is part of Vanguard's fee structure, correct? Where they take that $2 each month for fees? Vanguard is the custodian but it is unlikely they are getting the fee. There...
by dbr
Wed Nov 15, 2017 5:27 pm
Forum: Investing - Theory, News & General
Topic: Age in bonds, tax-sheltered options
Replies: 8
Views: 898

Re: Age in bonds, tax-sheltered options

I want to say, "fine, but which bonds?" Is it simple enough just to go with VBTLX with perhaps a bit of VTABX? or is it worth it to seek TIPS, treasuries, or even CD's (are these available in sheltered accounts?)? I'm feeling a bit lazy by asking this to the forum since everyone here is so quick an...
by dbr
Wed Nov 15, 2017 10:34 am
Forum: Personal Consumer Issues
Topic: Chromebook/Similar for Elderly Dad
Replies: 30
Views: 1664

Re: Chromebook/Similar for Elderly Dad

I would seriously consider an iPad rather than a Chromebook. Chromebook is great tool for folks who need to simple work like word processing, spreadsheets, surfing, etc. If you need something super simple, easy to use for someone that doesn't doesn't do hardly any typing and doesn't need to do "wor...
by dbr
Wed Nov 15, 2017 10:31 am
Forum: Investing - Help with Personal Investments
Topic: divertify vanguard brokerage account portfolio
Replies: 3
Views: 449

Re: divertify vanguard brokerage account portfolio

I am in my 30s and I have a brokerage account with Vanguard and plan to keep the money in for at least 7 years to save up for a downpayment for a house. I feel my portfolio is not very diversified. I currently hold 9.7% Vanguard Growth Index Fund Admiral Shares 41.1% Vanguard Total Bond Market Inde...
by dbr
Tue Nov 14, 2017 9:42 pm
Forum: Personal Consumer Issues
Topic: How do you stop junk mail?
Replies: 29
Views: 1434

Re: How do you stop junk mail?

You can't stop it and if we all did the Post Office would go out of business and we would not have mail service. (Is the latter really true?) You can stop it, or at least nearly so, and the U.S. Post Office was in existence for many years before catalogues and junk mail were common. The USPS provid...
by dbr
Tue Nov 14, 2017 9:24 pm
Forum: Personal Consumer Issues
Topic: How do you stop junk mail?
Replies: 29
Views: 1434

Re: How do you stop junk mail?

You can't stop it and if we all did the Post Office would go out of business and we would not have mail service. (Is the latter really true?)
by dbr
Tue Nov 14, 2017 9:16 pm
Forum: Investing - Help with Personal Investments
Topic: Opinion of Total Stock Market Index
Replies: 21
Views: 2239

Re: Opinion of Total Stock Market Index

I tend to trust their math and reasoning over my own desire to get greedy and make an extra .5% per year in the market To be fair, an extra 0.5% per year is *huge* over the long run. Compounded over two decades it's an additional 10%. Your mathematical point is correct. I think it is more a matter ...
by dbr
Tue Nov 14, 2017 9:12 pm
Forum: Investing - Help with Personal Investments
Topic: Help deciding between Wellesley and 4 Corporate Bond Index Funds
Replies: 14
Views: 1476

Re: Help deciding between Wellesley and 4 Corporate Bond Index Funds

If your primary concern is capital preservation, I wouldn't go for anything more than CD's or short-term bonds--with at least half in Treasuries. You might almost keep up with inflation. It sounds like what you're really looking for is an investment that offers capital preservation, but with a dece...
by dbr
Tue Nov 14, 2017 6:20 pm
Forum: Personal Consumer Issues
Topic: Honda Accord Hybrid EX-L- great deal or not?
Replies: 26
Views: 1709

Re: Honda Accord Hybrid EX-L- great deal or not?

I can't comment on whether or not you want that make/model compared to a different one, but it does seem when a deal pops up you should take it. Someone else could buy that car tomorrow. I once made a mistake like that looking at a hail damaged car that was thousands off. I didn't buy it that day an...
by dbr
Tue Nov 14, 2017 5:54 pm
Forum: Investing - Help with Personal Investments
Topic: Opinion of Total Stock Market Index
Replies: 21
Views: 2239

Re: Opinion of Total Stock Market Index

This is a good fund with a diversified selection of equities in the US market and low costs. However, you should not be investing by picking funds because they are good but because you have the right asset allocation for your needs, have the diversity you want, and have minimal costs. I have no idea...
by dbr
Tue Nov 14, 2017 5:38 pm
Forum: Personal Finance (Not Investing)
Topic: "Unsuspending" Social Security Benefits
Replies: 27
Views: 2971

Re: "Unsuspending" Social Security Benefits

My wife recently received a letter from SS that says: "You get monthly benefits as a spouse. If you apply for retirement benefits on your own social security number our records show you may get higher benefits. You must apply before we can pay the higher benefit amount. You can apply conveniently at...
by dbr
Tue Nov 14, 2017 4:21 pm
Forum: Investing - Help with Personal Investments
Topic: Mother in retirement: Withdraw annually or monthly?
Replies: 19
Views: 1903

Re: Mother in retirement: Withdraw annually or monthly?

The result is just a question of the overall asset allocation. In this case withdrawing annually presumably results in slightly higher allocation to cash giving a little less return at a little less risk. I think overall the difference is very small. It would seem to be an unnecessary complication t...
by dbr
Tue Nov 14, 2017 4:16 pm
Forum: Personal Consumer Issues
Topic: What is the difference between retiring and resigning from a job?
Replies: 42
Views: 4276

Re: What is the difference between retiring and resigning from a job?

My Company was doing periodic layoffs due to reduced demand in our specific industry. I was managing a project but was able to negotiate a several month delayed retirement (to complete the project) in return for a layoff vs straight retirement. Admittedly this was a somewhat unique scenario but som...
by dbr
Tue Nov 14, 2017 10:55 am
Forum: Investing - Help with Personal Investments
Topic: 3 fund Portfolio vs Multiple funds
Replies: 11
Views: 813

Re: 3 fund Portfolio vs Multiple funds

Also, Lazy Portfolios: https://www.marketwatch.com/lazyportfolio (click the portfolio name to see the Vanguard funds each holds). Hah! I just followed this link and clicked on the "Second Grader's Starter" portfolio link. And it's pretty much the classic three fund portfolio. It actually uses the e...
by dbr
Tue Nov 14, 2017 10:51 am
Forum: Investing - Theory, News & General
Topic: The 4% rule DOES fail but still makes sense!
Replies: 141
Views: 8559

Re: The 4% rule DOES fail but still makes sense!

First, many MMM people's claim is: the 4% rule never fails. They did not understand the statistics. The original 4% rule calculation had a success rate of about 96%, so it did fail in about 4% of the tested cases. As someone who's spent a fair amount of time lurking on the MMM blog and boards, I'm ...
by dbr
Tue Nov 14, 2017 10:47 am
Forum: Investing - Theory, News & General
Topic: The 4% rule DOES fail but still makes sense!
Replies: 141
Views: 8559

Re: The 4% rule DOES fail but still makes sense!

You have to take the context into account. The original Bengen study based it on actual market returns. The worst starting year was in 1967 IIRC. If your portfolio drops by 20% in year 1 of 30 the subsequent 29 years will likely be better because the markets have better valuations after the drop. W...
by dbr
Tue Nov 14, 2017 10:40 am
Forum: Investing - Help with Personal Investments
Topic: Wife's 401k investment options (high fees!)
Replies: 26
Views: 1171

Re: Wife's 401k investment options (high fees!)

Your wife is being cheated out of her money because the company management is unable, unwilling, or too stupid to do better. Only she can judge whether there is a possibility of lobbying for something better. I don't think this has to do with HR but with the top two or three managers in the company....
by dbr
Tue Nov 14, 2017 10:34 am
Forum: Investing - Help with Personal Investments
Topic: [Solved] Starting investing in a long-run bull market: advices ?
Replies: 15
Views: 1442

Re: Starting investing in a long-run bull market: advices ?

Mathematically you are far better off if the market goes down soon that if it goes down fifteen or twenty years from now. The only real mistake a young investor can make is to not invest. Oh, and the other mistake is to try to mess around with your investments because you think you know what the mar...
by dbr
Tue Nov 14, 2017 10:28 am
Forum: Investing - Help with Personal Investments
Topic: 3 fund Portfolio vs Multiple funds
Replies: 11
Views: 813

Re: 3 fund Portfolio vs Multiple funds

I agree holding 3 portfolios ( total stock, total international stock, total bond ) will make it easier for us to manage, follow closely and all that. Some call it " Lazy portfolio" . On the other hand there are good funds out there with long standing good history . So why should one limit himself ...
by dbr
Tue Nov 14, 2017 10:18 am
Forum: Investing - Theory, News & General
Topic: What is all the recent talk about a bond bubble?
Replies: 22
Views: 2256

Re: What is all the recent talk about a bond bubble?

As of today the yield is 2.08%. What seems crazy is that I can earn more on a 5-year CD, with FDIC insurance no risk of loss of principal. It leaves me scratching my head a bit as to why I would want to buy a bond at all and not just buy CDs. Why would you be scratching your head. CDs are a differe...
by dbr
Tue Nov 14, 2017 10:11 am
Forum: Investing - Theory, News & General
Topic: Buffett 90/10 Portfolio vs Target Retirement
Replies: 29
Views: 3147

Re: Buffett 90/10 Portfolio vs Target Retirement

John Bogle also says "Forget the needle, buy the haystack". I see the US as only a part of a larger haystack (the world market). We wouldn't think of only buying stocks from the city or state where we were born or raised. Why buy only stocks from the country in which we were born and raised? Google...
by dbr
Tue Nov 14, 2017 10:07 am
Forum: Investing - Help with Personal Investments
Topic: Portfolio Advice: late to the game
Replies: 4
Views: 625

Re: Portfolio Advice: late to the game

1. The allocation was derived by a Vanguard PAS rep. I'm grateful for the push from the rep, which I required to be in the market, but I'm really unsure about the logic behind the AA, especially when I factor in my wife's age, it being 13 years my junior. Why would any of her monies be in bonds giv...
by dbr
Tue Nov 14, 2017 9:51 am
Forum: Investing - Help with Personal Investments
Topic: problem new Vanguard Global Wellington fund
Replies: 29
Views: 1838

Re: problem new Vanguard Global Wellington fund

It might be easy enough to wait a few months until the system catches up with this new fund unless there is some special glory to being in at the opening.
by dbr
Tue Nov 14, 2017 9:43 am
Forum: Investing - Theory, News & General
Topic: Buffett 90/10 Portfolio vs Target Retirement
Replies: 29
Views: 3147

Re: Buffett 90/10 Portfolio vs Target Retirement

We are 95% and 5% cash..I'm up 32% this year. We are retired and live on 70000 a years. We made $400000 this year. Its what you spend. If I lost everything I would still be able to live on my small pension and SS at 70. Never made more then $80000 a years. but have 2.3m. I will move more into cash ...