Search found 26966 matches

by dbr
Thu Jun 21, 2018 5:16 pm
Forum: Investing - Help with Personal Investments
Topic: Grandparents requested our help to manage $300K
Replies: 29
Views: 3286

Re: Grandparents requested our help to manage $300K

Hello! I'm Beach's wife and I have an update. Good News - They bought a boat, and are very excited about it. We're happy for them. Bad News - They've been going to "Financial Seminars" :oops: I had no idea people set these things up to take advantage of old people. They really are a target market f...
by dbr
Thu Jun 21, 2018 2:25 pm
Forum: Investing - Theory, News & General
Topic: Does an IPS really need to be 5 pages long to be valuable?
Replies: 50
Views: 1869

Re: Does an IPS really need to be 5 pages long to be valuable?

My IPS Statement is outlined for others, my hares, to follow after my demise. I’m missing something. Why would your heirs need a plan that was intended to meet your goals, after you are gone? Your goals are no longer a factor then. Wouldn’t they just need a list of debts and investing accounts, wit...
by dbr
Thu Jun 21, 2018 12:09 pm
Forum: Investing - Theory, News & General
Topic: Does an IPS really need to be 5 pages long to be valuable?
Replies: 50
Views: 1869

Re: Does an IPS really need to be 5 pages long to be valuable?

I do not have an IPS (Investment Policy Statement). With only three broad market index funds, plus a "stay-the-course" philosophy, I found an IPS to be an unnecessary waste of time. Our lives are frittered away with detail. Simplify. Simplify. -- Henry David Thoreau Thanks! Exactly. My initial IPS ...
by dbr
Thu Jun 21, 2018 12:06 pm
Forum: Investing - Help with Personal Investments
Topic: "Never time the market" vs. lump sum investment
Replies: 45
Views: 1829

Re: "Never time the market" vs. lump sum investment

Because what investors need to hear when they ask this question (which they do almost every day on this board) is not advice about allocation instead of DCA/lump sum: they need the complete answer. Which, it seems, we agree is something like the following. "Using DCA on a windfall instead on invest...
by dbr
Thu Jun 21, 2018 12:03 pm
Forum: Investing - Help with Personal Investments
Topic: Life Strategy Growth Fund, Target Fund, or Total Stock Market
Replies: 43
Views: 2278

Re: Life Strategy Growth Fund, Target Fund, or Total Stock Market

I don't know enough about how the NY teachers pension system works. Does your school district match part of your contribution? Here in MN we all pay about 7.5% employee and 7.5% employer contribution out of every check. This makes it pretty easy to make projections about how much the pension will p...
by dbr
Thu Jun 21, 2018 11:48 am
Forum: Investing - Theory, News & General
Topic: Revisiting Risk and Reward
Replies: 14
Views: 920

Re: Revisiting Risk and Reward

Siamond, could you please put in option to download the articles as PDF format. (get lots of extraneous material when trying to convert the webpage to PDF using browser). your PDF could keep formatting, pagination, and all attribution Hm. Good question. I don't think there is a standard solution wi...
by dbr
Thu Jun 21, 2018 11:46 am
Forum: Investing - Help with Personal Investments
Topic: Life Strategy Growth Fund, Target Fund, or Total Stock Market
Replies: 43
Views: 2278

Re: Life Strategy Growth Fund, Target Fund, or Total Stock Market

I would start by figuring out how much your teachers pension fund will pay you in retirement, and at what age you can take it. It's probably some formula like 50% of your highest years salary. Once you know this you will have a better target as to how much you have to save in your personal accounts...
by dbr
Thu Jun 21, 2018 11:44 am
Forum: Investing - Help with Personal Investments
Topic: "Never time the market" vs. lump sum investment
Replies: 45
Views: 1829

Re: "Never time the market" vs. lump sum investment

But Vanguard poses it as being about the wrong question and the wrong odds. No. This question (DCA vs lump sum investment) is not only an INCREDIBLY common question, even among investors with some experience, but it is EXACTLY the question posed by the OP. Issues like this, where the intuitive acti...
by dbr
Thu Jun 21, 2018 11:27 am
Forum: Investing - Theory, News & General
Topic: Does an IPS really need to be 5 pages long to be valuable?
Replies: 50
Views: 1869

Re: Does an IPS really need to be 5 pages long to be valuable?

The recommendation for an IPS is to ensure that people think through their investing properly rather than flying around with wrong, half-baked, or constantly waffling and flapping in the breeze ideas. Once that purpose is achieved or if a person is not doing that, it isn't needed. An IPS might be a ...
by dbr
Thu Jun 21, 2018 11:17 am
Forum: Investing - Help with Personal Investments
Topic: Life Strategy Growth Fund, Target Fund, or Total Stock Market
Replies: 43
Views: 2278

Re: Life Strategy Growth Fund, Target Fund, or Total Stock Market

I would start by figuring out how much your teachers pension fund will pay you in retirement, and at what age you can take it. It's probably some formula like 50% of your highest years salary. Once you know this you will have a better target as to how much you have to save in your personal accounts...
by dbr
Thu Jun 21, 2018 10:25 am
Forum: Investing - Help with Personal Investments
Topic: "Never time the market" vs. lump sum investment
Replies: 45
Views: 1829

Re: "Never time the market" vs. lump sum investment

Vanguard does publish a misleading result, however. They state that lump sum comes out ahead about two thirds of the time. This is true but the misleading part is that the possibility that DCA comes out ahead 1/3 of the time makes the proposition sound like a bet with odds. I'm not sure what you me...
by dbr
Thu Jun 21, 2018 10:19 am
Forum: Investing - Help with Personal Investments
Topic: What should be my stock/bond allocation?
Replies: 21
Views: 1440

Re: What should be my stock/bond allocation?

Thank you for your responses. I am new to this so let me give some more detail. The sale of the business will generate all cash for us (8 million). Our business was everything. Outside of the sale, we have two years worth of living expenses and a house in which we have 65% equity. To cover 3 kids a...
by dbr
Thu Jun 21, 2018 10:05 am
Forum: Investing - Help with Personal Investments
Topic: "Never time the market" vs. lump sum investment
Replies: 45
Views: 1829

Re: "Never time the market" vs. lump sum investment

I think that just like choosing an appropriate asset allocation for your investments, deciding between a lump sum vs. periodic strategy comes down to which allows you to sleep well (or better) at night and stick with your decision . Over the long-term the market goes up so there's a greater likelih...
by dbr
Thu Jun 21, 2018 10:00 am
Forum: Investing - Help with Personal Investments
Topic: "Never time the market" vs. lump sum investment
Replies: 45
Views: 1829

Re: "Never time the market" vs. lump sum investment

Vanguard has a paper which may help in your situation, as it looks to answer the question How might an individual who receives a $1 million windfall approach the decision of investing those funds immediately versus dollar-cost averaging the investment over time? Thanks for providing that link. Vang...
by dbr
Thu Jun 21, 2018 9:40 am
Forum: Investing - Help with Personal Investments
Topic: "Never time the market" vs. lump sum investment
Replies: 45
Views: 1829

Re: "Never time the market" vs. lump sum investment

Well, maybe the presumption that the asset allocation needs thinking through is not wrong at all.
by dbr
Thu Jun 21, 2018 9:38 am
Forum: Personal Consumer Issues
Topic: Surprise - Costco sells - but does not install vehicle batteries
Replies: 57
Views: 3250

Re: Surprise - Costco sells - but does not install vehicle batteries

I would be with the people who may prefer that a mass retailer not attempt to install the battery. It might not even be completely stupid with a current model vehicle under warranty to have a dealer do it so there is no dispute about who caused what to stop working. My position is a little jaded hav...
by dbr
Thu Jun 21, 2018 9:33 am
Forum: Investing - Help with Personal Investments
Topic: Helping mom with inheritance. Help!
Replies: 11
Views: 1107

Re: Helping mom with inheritance. Help!

I would climb in the bandwagon of splitting the money between an SPIA and retaining some of it for emergencies. Is there any other resource for emergencies? If that is actually you, then maybe all the amount could go for an SPIA. Also maybe there are some current back expenses that need paying? Thos...
by dbr
Thu Jun 21, 2018 9:26 am
Forum: Personal Consumer Issues
Topic: 1st Car Mechanic service experience
Replies: 41
Views: 1981

Re: 1st Car Mechanic service experience

The fraction of our spending that goes to maintenance and operation of vehicles is so small as to be negligible. The delta on whether or not I do it myself is below negligible. The delta on what gas mileage we get is below negligible. These facts were so even when we had to drive cars to get to work...
by dbr
Thu Jun 21, 2018 9:20 am
Forum: Investing - Theory, News & General
Topic: Do you invest in Real Estate ? Why ?
Replies: 55
Views: 4609

Re: Do you invest in Real Estate ? Why ?

No I don't want to be bothered with it and there is no purpose to be served by doing it. I do own the house we live in. That is not the same thing as you mean, I am sure.

I also don't tilt to factors because I don't need to and I don't want to.
by dbr
Thu Jun 21, 2018 9:12 am
Forum: Investing - Help with Personal Investments
Topic: What should be my stock/bond allocation?
Replies: 21
Views: 1440

Re: What should be my stock/bond allocation?

40/60 to 60/40 are probably all reasonable. The main thing is to just be cognizant of the fact that negative saving at a younger age leaves less for the future. There is nothing intrinsically wrong with that. It might be the most productive thing is to model the situation for the long term in FireCa...
by dbr
Thu Jun 21, 2018 9:05 am
Forum: Investing - Help with Personal Investments
Topic: "Never time the market" vs. lump sum investment
Replies: 45
Views: 1829

Re: "Never time the market" vs. lump sum investment

Thank you all for all the helpful responses! I understand your points about this approach of waiting for a crash being a loser's game. The asset allocation I am interested in is 100% equity, and I intend on not touching it for the next 10+ years at least (regardless of market conditions), this is w...
by dbr
Thu Jun 21, 2018 9:03 am
Forum: Investing - Theory, News & General
Topic: Does an IPS really need to be 5 pages long to be valuable?
Replies: 50
Views: 1869

Re: Does an IPS really need to be 5 pages long to be valuable?

Are you finding the suggestions in the Wiki not adequate: https://www.bogleheads.org/wiki/Investment_policy_statement#Example_IPS I don't know if one of those is five pages somehow. I have interesting experiences at school with kids who write 25 word one page essays by skipping every line of a wide ...
by dbr
Thu Jun 21, 2018 8:51 am
Forum: Investing - Theory, News & General
Topic: Does an IPS really need to be 5 pages long to be valuable?
Replies: 50
Views: 1869

Re: Does an IPS really need to be 5 pages long to be valuable?

In my opinion such an IPS is insane and has confused planning with execution. It might be a person should have detailed procedures for execution, but if that is the case the direction had better be tested with whoever might eventually need to follow it. Also, plans for actual operations have to be u...
by dbr
Thu Jun 21, 2018 8:47 am
Forum: Investing - Help with Personal Investments
Topic: "Never time the market" vs. lump sum investment
Replies: 45
Views: 1829

Re: "Never time the market" vs. lump sum investment

My hypothesis is that people who can't decide between investing now and waiting are really people who have not resolved what their asset allocation should be. It the prospect is too scary it is probably because your anticipated asset allocation is too risky. At least that is something to think abou...
by dbr
Thu Jun 21, 2018 8:35 am
Forum: Investing - Help with Personal Investments
Topic: "Never time the market" vs. lump sum investment
Replies: 45
Views: 1829

Re: "Never time the market" vs. lump sum investment

My hypothesis is that people who can't decide between investing now and waiting are really people who have not resolved what their asset allocation should be. It the prospect is too scary it is probably because your anticipated asset allocation is too risky. At least that is something to think about.
by dbr
Thu Jun 21, 2018 8:32 am
Forum: Investing - Help with Personal Investments
Topic: what to do with my heavy cash position
Replies: 8
Views: 555

Re: what to do with my heavy cash position

What information are you looking at that is causing confusion. Censoring bad information is a good starting point. One idea is to stop looking at all the baloney that is posted about DCA. I don't know where this comes from, but it is baloney. If you have clear reasoning about why you prefer to be 8...
by dbr
Thu Jun 21, 2018 8:17 am
Forum: Investing - Help with Personal Investments
Topic: Considering adding VWALX; pros-cons
Replies: 13
Views: 1163

Re: Considering adding VWALX; pros-cons

The primary purpose of bonds in a portfolio is to mitigate risk. A common wisdom is to take your risks on the stock side of your portfolio where you can. So while the pro of the high-yield muni may be higher immediate income, you've outlined the cons already. Just keep in mind that the high-yield m...
by dbr
Thu Jun 21, 2018 7:48 am
Forum: Investing - Help with Personal Investments
Topic: what to do with my heavy cash position
Replies: 8
Views: 555

Re: what to do with my heavy cash position

We would like to hold at least the 50k from the sale of a home in something low risk (CD, i-bonds, MM) since we plan on purchasing a home in two years. We have considered holding up to 100k so we have a nice downpayment ready to go. The 335k in the brokerage was invested in Q3 of last year and I ha...
by dbr
Thu Jun 21, 2018 7:38 am
Forum: Investing - Help with Personal Investments
Topic: Life Strategy Growth Fund, Target Fund, or Total Stock Market
Replies: 43
Views: 2278

Re: Life Strategy Growth Fund, Target Fund, or Total Stock Market

Why the total Stock market fund instead of adding in some bonds with the Lifestategy Growth? A reason not to use blended funds in taxable is that either now or eventually you will not want this fund due to tax costs. Especially if you eventually do not want this fund later on it may be costly to ma...
by dbr
Wed Jun 20, 2018 8:56 pm
Forum: Investing - Help with Personal Investments
Topic: Life Strategy Growth Fund, Target Fund, or Total Stock Market
Replies: 43
Views: 2278

Re: Life Strategy Growth Fund, Target Fund, or Total Stock Market

For those who are interested one can Google for the NY Teachers' Tax Deferred Annuity (TDA) for the details.
by dbr
Wed Jun 20, 2018 6:28 pm
Forum: Investing - Help with Personal Investments
Topic: Life Strategy Growth Fund, Target Fund, or Total Stock Market
Replies: 43
Views: 2278

Re: Life Strategy Growth Fund, Target Fund, or Total Stock Market

Yes, i'm barely able to afford a home in NY- I'm looking at Co-Ops. Let me just rephrase this to keep it nice and simple. Forget I'm looking to buy a home. What would you guys advise to get the best possible returns for: -A 30 year old, NY teacher who will receive a pension, and saves 10% of his pa...
by dbr
Wed Jun 20, 2018 6:21 pm
Forum: Investing - Help with Personal Investments
Topic: Life Strategy Growth Fund, Target Fund, or Total Stock Market
Replies: 43
Views: 2278

Re: Life Strategy Growth Fund, Target Fund, or Total Stock Market

Alright, So then, if I understand this correctly, if I wanted to buy a house sooner than later I'd be best getting my money out of this account and putting it in the bank or a CD. -If I plan to invest for the long haul, i'd be best taking the money out and putting it in a Total Stock Market fund in...
by dbr
Wed Jun 20, 2018 6:01 pm
Forum: Investing - Help with Personal Investments
Topic: Life Strategy Growth Fund, Target Fund, or Total Stock Market
Replies: 43
Views: 2278

Re: Life Strategy Growth Fund, Target Fund, or Total Stock Market

Alright thanks.. So, if you were me what would you do? Leave the money in the target 2035 fund, move it to 2055 target fund, or move it to life strategy growth? If you really mean you are saving to buy a house in the next few years you would be best off saving this money in a bank savings account o...
by dbr
Wed Jun 20, 2018 5:53 pm
Forum: Investing - Help with Personal Investments
Topic: Life Strategy Growth Fund, Target Fund, or Total Stock Market
Replies: 43
Views: 2278

Re: Life Strategy Growth Fund, Target Fund, or Total Stock Market

Thanks for the replies so far everyone. My funds are in a Personal account, NOT an IRA. I am trying to collect as much interest as I can as I am saving up for a home. I chose the 2035 Target fund as I was trying to do the advice of the 'your age' in bonds, so around 30% of it is bonds now; although...
by dbr
Wed Jun 20, 2018 4:20 pm
Forum: Investing - Help with Personal Investments
Topic: Life Strategy Growth Fund, Target Fund, or Total Stock Market
Replies: 43
Views: 2278

Re: Life Strategy Growth Fund, Target Fund, or Total Stock Market

A consideration that applies to taxable accounts is that a time goes by and gains accumulate, undoing a choice you decide you don't want becomes costly. For this reason I would not put a blended fund in a taxable account. Actually holding bonds as such in taxable is not so bad as bond funds don't ac...
by dbr
Wed Jun 20, 2018 3:09 pm
Forum: Investing - Theory, News & General
Topic: Why is Mr. Bogle so against investing internationally?
Replies: 24
Views: 2712

Re: Why is Mr. Bogle so against investing internationally?

Mr. Bogle asserted that he is not fond of investing in foreign stocks as Currency risk is huge also other countries isn't as hard working as the US. So is it a safe bet to invest 100% of my stock assets into a domestic firms index etf? What do you mean by a safe bet? No investment in stocks is "saf...
by dbr
Wed Jun 20, 2018 11:51 am
Forum: Investing - Help with Personal Investments
Topic: Safe Growth Strategy
Replies: 11
Views: 1002

Re: Safe Growth Strategy

Thanks for that information; something I wasn’t familiar with. Basically a zero sum hedge against inflation that preserves what you have along with the liquidity (which to me, means having access to it within a year). By safest, I guess my definition lies somewhere between not losing anything (whic...
by dbr
Wed Jun 20, 2018 10:27 am
Forum: Investing - Help with Personal Investments
Topic: Safe Growth Strategy
Replies: 11
Views: 1002

Re: Safe Growth Strategy

What would be the safest way to keep it liquid (want to travel), but still outgrow inflation? EFT’s, Bonds, CD, Annuity, etc. Too much info and advice out there to sort through. Thank you. This is one of those impossible propositions because it opposes one undefined and meaningless optimum (safest)...
by dbr
Wed Jun 20, 2018 10:15 am
Forum: Investing - Help with Personal Investments
Topic: Considering adding VWALX; pros-cons
Replies: 13
Views: 1163

Re: Considering adding VWALX; pros-cons

Add 5% to the stock side/allocation of your portfolio if you want to reach for more return. Stick with Int-Term Tax-Exempt in this rising interest rate environment. Thanks for the response. As I move into retirement I am looking to reduce my equity allocation currently at 65%; down to ~ 50-50 . The...
by dbr
Wed Jun 20, 2018 9:03 am
Forum: Personal Finance (Not Investing)
Topic: Employer creating new role for my promotion, need help
Replies: 11
Views: 1593

Re: Employer creating new role for my promotion, need help

Just to clarify, the OP has an opportunity to play what appears to be a huge role in a very small company that does not have much of a defined hierarchy or job structure. I think all the usual concept that apply to Megacorp don't operate here. HR does not exist in the big company sense of the term. ...
by dbr
Wed Jun 20, 2018 8:48 am
Forum: Investing - Help with Personal Investments
Topic: Stock Investments questions and advice?
Replies: 7
Views: 489

Re: Stock Investments questions and advice?

Hello all, I had a few questions about investments and also wanted to get some advice on just general things. I'm fairly new to this all. I'm currently reading a book called: "One up on Wall Street" to grasp the understanding of stocks. I hope the formatting is in the proper order as well. Question...
by dbr
Wed Jun 20, 2018 8:26 am
Forum: Investing - Theory, News & General
Topic: Which boglehead rule do you break--and are ok with
Replies: 152
Views: 11097

Re: Which boglehead rule do you break--and are ok with

Difficult question since "Boglehead Rules" and general rules of investing often intersect. For example, is the general belief of paying off a mortgage prior to retirement a Boglehead or more generally accepted approach (Or both)? Who establishes what is or is not a Boglehead rule? Seems to me that ...
by dbr
Wed Jun 20, 2018 8:12 am
Forum: Investing - Help with Personal Investments
Topic: How do folks pull retirement income out of Wellesley?
Replies: 12
Views: 1920

Re: How do folks pull retirement income out of Wellesley?

The lower your tax bracket the less tax efficiency is an issue. The best evaluation is to fill out dummy tax returns for alternate investment holdings of similar overall return and risk using estimated distributions and compare the actual tax costs in dollars. Then you can decide if whatever differ...
by dbr
Tue Jun 19, 2018 2:34 pm
Forum: Investing - Help with Personal Investments
Topic: rsu & iso [Restricted Stock Unit & Incentive Stock Option]
Replies: 12
Views: 717

Re: rsu & iso [Restricted Stock Unit & Incentive Stock Option]

An alternate situation that I experienced at a public company was annual ISO awards over an extended period of time but in perhaps modest amounts. Most people followed a strategy of exercise to sell a few months before the ten year expiration. Basically it was just holding a rolling ten year portfol...
by dbr
Tue Jun 19, 2018 2:09 pm
Forum: Investing - Help with Personal Investments
Topic: Could somebody explain this to me please?
Replies: 3
Views: 927

Re: Could somebody explain this to me please?

I'm not sure what you mean by a "total bond" AA. If you mean a holding of a diversified collection of bonds such as Vanguard Total Bond Market Index Fund, then no, this fund is not like that. If you mean can a stable value fund like this be part of the low risk or "fixed income" portion of a portfol...
by dbr
Tue Jun 19, 2018 1:06 pm
Forum: Investing - Help with Personal Investments
Topic: Financial Literacy...
Replies: 19
Views: 1307

Re: Financial Literacy...

In this day of the internet a lot of basic information is at your fingertips by going to Google and looking things up. For example: https://en.wikipedia.org/wiki/401(k) Already in the second paragraph of the introduction there are links to some of the other kinds of tax preferred accounts. If you co...
by dbr
Tue Jun 19, 2018 11:36 am
Forum: Personal Finance (Not Investing)
Topic: Do you think it is smart to disclose that you have passive investments to other people?
Replies: 43
Views: 4129

Re: Do you think it is smart to disclose that you have passive investments to other people?

Thank you guys for your responses. I can see the potential downsides and that it would be better just building trust/loyalty by focusing on what makes you serve your clients best. Have you decided yet on whether to attend med school, MBA or take a year or more to work in a few related areas? Yes, I...
by dbr
Tue Jun 19, 2018 11:23 am
Forum: Investing - Theory, News & General
Topic: What does it mean: Rule No. 1: Never lose money
Replies: 67
Views: 5372

Re: What does it mean: Rule No. 1: Never lose money

gundlached wrote:
Tue Jun 19, 2018 11:20 am
Sounds like more of a folksy buffett-ism than an investment strategy.
Yes, that is the whole point. The real problem is in someone trying to figure out how that can be an investment strategy when it obviously can't be.
by dbr
Tue Jun 19, 2018 11:21 am
Forum: Personal Consumer Issues
Topic: Article on hotel booking sites - no bargains
Replies: 37
Views: 3484

Re: Article on hotel booking sites - no bargains

On occasion you may get a better deal by booking direct with the hotel. That is, if the price is already better. It is highly unlikely that a desk clerk who answers your call will have the power to actually give you a better price than the rate he sees pop up on his screen. Perhaps it will work at ...