Search found 24746 matches

by dbr
Wed Jan 17, 2018 11:40 pm
Forum: Investing - Help with Personal Investments
Topic: Portfolio Help for Retiree
Replies: 3
Views: 316

Re: Portfolio Help for Retiree

Yes, the issue here is to know what you are invested in and how much money you would like to take out every year. You already feel comfortable that your savings will outlast your lifetime, so the idea that you want to preserve your principal needs to be elaborated. Are you saying that you want to ha...
by dbr
Wed Jan 17, 2018 11:29 pm
Forum: Investing - Theory, News & General
Topic: Automatic rebalancing and bond maturity
Replies: 6
Views: 365

Re: Automatic rebalancing and bond maturity

I'm not sure how the calculus of duration of bonds has much to do with this. Seems like an important and basic concept for a new investor to learn, and particularly relevant when that investor writes, From what I understand, to receive the full value of a bond, it's important to hold to maturity. T...
by dbr
Wed Jan 17, 2018 11:13 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Advisor Bullied Me
Replies: 22
Views: 2696

Re: Vanguard Advisor Bullied Me

It is possible that if a person wants to draw down an account at the rate of $1700/month that this means using all the money in a fairly short term. In that case 60% or 80% bonds would be appropriate. What I see here is massive miscommunication regarding the nature of the relationship between the cu...
by dbr
Wed Jan 17, 2018 10:28 pm
Forum: Personal Consumer Issues
Topic: Looking for a reasonably priced, safe international destination
Replies: 99
Views: 5271

Re: Looking for a reasonably priced, safe international destination

When my wife was young she read Europe on $5 A Day and resolved and succeeded at doing it at half that. I'm not going to say when that was, but I will say that isn't what we do now. I would probably admit to one hundred times that $2.50 a day now, all in, if not more. I will say there is some releva...
by dbr
Wed Jan 17, 2018 10:21 pm
Forum: Investing - Theory, News & General
Topic: Automatic rebalancing and bond maturity
Replies: 6
Views: 365

Re: Automatic rebalancing and bond maturity

The principle you are thinking of is that you should not hold a bond fund if your time horizon is shorter than its duration. If you hold a bond fund with a 5-year duration for 5 years, you will make up any losses from rate increases with the higher yields. For this purpose, your time horizon is the...
by dbr
Wed Jan 17, 2018 9:05 pm
Forum: Personal Finance (Not Investing)
Topic: Real Estate Versus Stocks
Replies: 2
Views: 335

Re: Real Estate Versus Stocks

You should search the forum for many threads on real estate that may be of interest. https://www.google.com/search?sitesearc ... eal+estate
by dbr
Wed Jan 17, 2018 9:00 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Advisor Bullied Me
Replies: 22
Views: 2696

Re: Vanguard Advisor Bullied Me

I am new to investing via a brokerage account. Previously I had only an employer-sponsored IRA. I had been managing my own holdings in the IRA and averaged an 11% return. After opening a brokerage account last summer, I was automatically set up with a personal advisor who told me that I MUST get ri...
by dbr
Wed Jan 17, 2018 8:33 pm
Forum: Personal Consumer Issues
Topic: How to overcome the fear of spending money? (Buying a car)
Replies: 26
Views: 1356

Re: How to overcome the fear of spending money? (Buying a car)

Maybe you need conditioning therapy. Spend a few thousand on a fancy vacation. Then spend a few thousand on some new furniture. Go on like that a couple more times and build up. Take a cruise for $10k-12k. After a little while $30K for a car will just feel second nature. More seriously, I really hav...
by dbr
Wed Jan 17, 2018 8:24 pm
Forum: Investing - Help with Personal Investments
Topic: Bond investing for a very long retirement?
Replies: 28
Views: 1762

Re: Bond investing for a very long retirement?

Based on historical data the maximum withdrawal rate at "100%" success is not 100% stocks. 50/50 is probably closer to the optimum than 100/0 is. What is maximized at 100% stocks is the range of wealth left at the end of the retirement period, but that is a different objective. That is not true for...
by dbr
Wed Jan 17, 2018 6:37 pm
Forum: Personal Consumer Issues
Topic: How to overcome the fear of spending money? (Buying a car)
Replies: 26
Views: 1356

Re: How to overcome the fear of spending money? (Buying a car)

If you actually have a retirement plan that should include how much you are saving each year vs. spending. Your plan would tell you the impact of spending this money rather than saving it. The result would be in the form of what age you can reach retirement or what your retirement income can be expe...
by dbr
Wed Jan 17, 2018 6:23 pm
Forum: Investing - Help with Personal Investments
Topic: Bond investing for a very long retirement?
Replies: 28
Views: 1762

Re: Bond investing for a very long retirement?

For me the hangup really is the bonds...I feel comfortable which stock index funds I am invested in. There are so many different angles as to how I should approach the bonds. Yes, bonds present so many choices that actually don't make much difference that one can wander around in there forever. It'...
by dbr
Wed Jan 17, 2018 6:18 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Retirement Planning
Replies: 2
Views: 373

Re: Vanguard Retirement Planning

. . . was directed to consult with a Vanguard Investment Advisor that charges .3%. Would appreciate direction to a web site that provides retirement information for a more reasonable price Thanks in advance That is disturbing. What do you really mean when you say "directed to consult . . ." Does th...
by dbr
Wed Jan 17, 2018 6:05 pm
Forum: Personal Consumer Issues
Topic: London/Paris Trip Questions
Replies: 30
Views: 902

Re: London/Paris Trip Questions

1. Is it cheaper to purchase plane tickets and book the hotel online (e.g. Travelocity, Expedia etc.)? Or should I look for a travel agent here in the US to help. I would avoid all OTAs (online travel agents, such as Travelocity and Expedia). The problems that ensue when something gets upset and tw...
by dbr
Wed Jan 17, 2018 5:51 pm
Forum: Investing - Theory, News & General
Topic: What to adjust now if not leaving a legacy?
Replies: 10
Views: 673

Re: What to adjust now if not leaving a legacy?

I guess as time goes on and you find yourself with increasingly more wealth you get rid of it by spending it. You can also give away increasingly more money, but that is cheating as current gifts and eventual legacy are not really distinct uses of wealth. The annuity approach solves the problem in t...
by dbr
Wed Jan 17, 2018 5:27 pm
Forum: Investing - Theory, News & General
Topic: Recent market gains
Replies: 18
Views: 1352

Re: Recent market gains

Keep in mind there is no money in the market because stocks are not money. What is happening is that the buyers of stocks are transferring money to the sellers of stocks, but there is not more money in total than before. However, that does not change the actual question as to who is giving up money ...
by dbr
Wed Jan 17, 2018 5:15 pm
Forum: Investing - Help with Personal Investments
Topic: Bond investing for a very long retirement?
Replies: 28
Views: 1762

Re: Bond investing for a very long retirement?

Maybe I am missing something. You have 3M in assets with a proposed 40k/yr draw? That isn't even a 2% withdrawal rate. The ERN chart shows 100% success rate for 60 years at a withdrawal rate of 3% even with a 50/50 portfolio. Why would you need to take it to 100% stocks? To give myself the extra cu...
by dbr
Wed Jan 17, 2018 4:41 pm
Forum: Investing - Help with Personal Investments
Topic: Diversification
Replies: 8
Views: 369

Re: Diversification

Most people here do not think it is productively possible to adjust asset allocation according to what one thinks it is going to do and would advocate setting an asset allocation that meets ones needs and then leave it alone. If you want to study tactical asset allocation to the point you believe it...
by dbr
Wed Jan 17, 2018 4:37 pm
Forum: Investing - Help with Personal Investments
Topic: Bond Market
Replies: 30
Views: 2115

Re: Bond Market

And on the plus side, it leaves you with 7%-yielding bonds and the possibility to buy more going forward, not a bad place to be. I was of belief that yields would take a considerable time to catch up with changes since they have to work their way through the fund? Say hypothetically interest rates ...
by dbr
Wed Jan 17, 2018 4:30 pm
Forum: Investing - Theory, News & General
Topic: Is lump sum or dollar cost averaging more in line with boglehead values?
Replies: 22
Views: 1396

Re: Is lump sum or dollar cost averaging more in line with boglehead values?

Normally if you are in the market when it goes up and out of the market when it goes down then you come out ahead compared to the opposite.
by dbr
Wed Jan 17, 2018 10:45 am
Forum: Personal Finance (Not Investing)
Topic: Stats on When People Take Social Security
Replies: 115
Views: 7045

Re: Stats on When People Take Social Security

Delaying works for us, for others it may not. There's no way you can make an informed decision without understanding the rules and plugging in your own numbers. Emotions should have no place in that decision. Somebody needs to fire up a couple of retirement calculators and enter different scenarios...
by dbr
Wed Jan 17, 2018 10:29 am
Forum: Investing - Theory, News & General
Topic: Automatic rebalancing and bond maturity
Replies: 6
Views: 365

Re: Automatic rebalancing and bond maturity

Hey all, I hope I'm not starting too many topics. I did a search for this but couldn't find anything...perhaps that in itself answers my question, but anyway... I am settling on my AA and am thinking I'm going to exchange my 100% equities for the Lifestrategy Growth fund. From what I understand, to...
by dbr
Wed Jan 17, 2018 9:53 am
Forum: Investing - Theory, News & General
Topic: Is there a reason I can't do a single-transaction rebalance in my IRAs?
Replies: 3
Views: 392

Re: Is there a reason I can't do a single-transaction rebalance in my IRAs?

I don't know why it is but it is true but many/most/all 401k plans seem to allow a one shot redistribution of the assets over funds at any time. At least mine does.
by dbr
Wed Jan 17, 2018 9:18 am
Forum: Investing - Help with Personal Investments
Topic: Asset Allocation Location for Annuities
Replies: 1
Views: 107

Re: Asset Allocation Location for Annuities

I have two annuities. Both pay a fixed interest amount, one has a yearly distribution, the other does not. I'm wondering in what category I should consider these when figuring my asset allocation. Would they be under bonds? What are the terms on which you can extract the assets? If you can't obtain...
by dbr
Wed Jan 17, 2018 9:04 am
Forum: Investing - Help with Personal Investments
Topic: Bond Market
Replies: 30
Views: 2115

Re: Bond Market

I understand the NAV can fall a bit given that rates are rising but the rise is hardly much... 75 basis points in the span of the next year? If the bonds actually started yielding 75 basis points more, the NAV would drop by that times the duration, which is over 4.5% in the case of the Vanguard tot...
by dbr
Wed Jan 17, 2018 9:01 am
Forum: Investing - Help with Personal Investments
Topic: Bond Market
Replies: 30
Views: 2115

Re: Bond Market

How important is it to you what the return on bonds is? Are your holding almost all your money in bonds and have some pending obligations that involve disaster if you fall a bit short due to even minimal losses in bonds? In that case I think it is legitimate to be concerned. My allocation is curren...
by dbr
Tue Jan 16, 2018 11:41 pm
Forum: Investing - Help with Personal Investments
Topic: Bond Market
Replies: 30
Views: 2115

Re: Bond Market

How important is it to you what the return on bonds is? Are your holding almost all your money in bonds and have some pending obligations that involve disaster if you fall a bit short due to even minimal losses in bonds? In that case I think it is legitimate to be concerned. Or --- are you a holder ...
by dbr
Tue Jan 16, 2018 9:54 pm
Forum: Investing - Theory, News & General
Topic: Vanguard account change
Replies: 14
Views: 1230

Re: Vanguard account change

It just so frustrating that Vanguard's process requires so much work for a survivor. I have for years done things like set up automated transfers from Vanguard to banks with much care so that they would provide needed funds if I would die and now my wife will have to do all the work over or I might...
by dbr
Tue Jan 16, 2018 6:06 pm
Forum: Investing - Theory, News & General
Topic: Is lump sum or dollar cost averaging more in line with boglehead values?
Replies: 22
Views: 1396

Re: Is lump sum or dollar cost averaging more in line with boglehead values?

. . . it seems like one is taking higher risk in this scenario. Of course. Why the bleep :happy are you putting that money in the market if it isn't to take the risk? This illustrates how questions about DCA are really questions about the asset allocation -- how much risk one is deciding to take. A...
by dbr
Tue Jan 16, 2018 6:00 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Personal Advisory Services vs. Schwab Intelligent Advisory
Replies: 15
Views: 1086

Re: Vanguard Personal Advisory Services vs. Schwab Intelligent Advisory

Also, investment management, which is where rebalancing falls, is not the same as investment advice. Management should not be very expensive.
by dbr
Tue Jan 16, 2018 5:59 pm
Forum: Personal Finance (Not Investing)
Topic: Understanding the Great Recession Impact
Replies: 44
Views: 3217

Re: Understanding the Great Recession Impact

Someone may be confusing stock at a discount in a 401k with stock at a discount in an ESPP, which is not tax deferred investing.
by dbr
Tue Jan 16, 2018 4:52 pm
Forum: Investing - Help with Personal Investments
Topic: Tax implications of rebalancing
Replies: 7
Views: 489

Re: Tax implications of rebalancing

I may need $200,000 of my taxable money to buy a property this year if what I want becomes available. That's why I want to get it into something safer than stocks. I know the Wellesley fund can lose money too, and it's not tax efficient, but it feels safer than the Total Stock Market. If stocks are...
by dbr
Tue Jan 16, 2018 4:46 pm
Forum: Personal Finance (Not Investing)
Topic: retirement scenario [safety of IRA funds]
Replies: 17
Views: 1385

Re: retirement scenario [safety of IRA funds]

total net worth as of today is $733k $248K is cash and $484k is investments (TSP, 401k roth ira, rollover ira, Ameritrade) of the 484k i want to move 380k of it to a safe place more for a guarantee for when i am 60. i plan on retiring at 53, i do not own a home. i will be moving over to Thailand at...
by dbr
Tue Jan 16, 2018 4:41 pm
Forum: Investing - Help with Personal Investments
Topic: ThomasPartners Dividend Growth Question.
Replies: 14
Views: 1466

Re: ThomasPartners Dividend Growth Question.

I assumed Thomas Partners was a mutual fund, but can't find a ticker. Maybe it just a stock account. The following is interesting, and makes me wonder exactly what the total fees really are. Note too that returns are listed back to 2003, but Schwab did not partner up with Thomas until 2013. Additio...
by dbr
Tue Jan 16, 2018 10:30 am
Forum: Investing - Help with Personal Investments
Topic: ThomasPartners Dividend Growth Question.
Replies: 14
Views: 1466

Re: ThomasPartners Dividend Growth Question.

Anyone who can actually figure out a strategy that is better than total market investing should find it child's play to manage that strategy. There should be plenty of ways to do so without paying 1% costs for active funds of some kind.
by dbr
Tue Jan 16, 2018 10:23 am
Forum: Investing - Theory, News & General
Topic: [Mark Cuban -] "Diversification is for idiots..."
Replies: 26
Views: 3598

Re: Diversification is for idiots...

As stated by William Bernstein, author of The Four Pillars of Investing, ...concentrating your portfolio in a few stocks maximizes your chances of getting rich. Unfortunately, it also maximizes your chance of becoming poor. Owning the whole market—indexing—minimizes your chances of both outcomes by...
by dbr
Tue Jan 16, 2018 10:20 am
Forum: Personal Finance (Not Investing)
Topic: Reason for Power of Attorney?
Replies: 12
Views: 832

Re: Reason for Power of Attorney?

I have POA for a relative's bank account only. There is no reason for and I do not want to be a joint owner of his money, but being able to pay for things on his behalf with his money has been an absolute necessity lately. Otherwise his money would accumulate thus disqualifying him from benefits whi...
by dbr
Tue Jan 16, 2018 10:12 am
Forum: Investing - Theory, News & General
Topic: [Mark Cuban -] "Diversification is for idiots..."
Replies: 26
Views: 3598

Re: Diversification is for idiots...

MoonOrb wrote:
Tue Jan 16, 2018 10:08 am
Mark Cuban is an idiot; therefore we can expect that his investments are diversified.
Good one.
by dbr
Tue Jan 16, 2018 10:11 am
Forum: Investing - Theory, News & General
Topic: Vanguard account change
Replies: 14
Views: 1230

Re: Vanguard account change

I have found other threads on this topic, but I can't help myself...I need more confirmation: My father recently passed away. He and mom have a joint account (taxable) at Vanguard. We want to take dad's name off the account so that it is just a single account owned by mom, with us four kids as bene...
by dbr
Tue Jan 16, 2018 9:50 am
Forum: Investing - Help with Personal Investments
Topic: 24 year old with a little over a million looking for a stable income.
Replies: 15
Views: 2535

Re: 24 year old with a little over a million looking for a stable income.

For gosh sakes don't fall for the misunderstanding that dividends paid are the income you get and pick investments based on that.

As to how you should invest, that depends on the larger plan you form for yourself, starting now.
by dbr
Tue Jan 16, 2018 9:47 am
Forum: Investing - Help with Personal Investments
Topic: Mom (86) -Recommended Investments/Assett Allocation
Replies: 6
Views: 632

Re: Mom (86) -Recommended Investments/Assett Allocation

After consulting with my mother, she is looking for safety and accessibility without having to pay penalties for retrieval in case of need. Thanks for all your input. That is still pretty ambiguous. An investment in a stock mutual fund would not have a penalty for withdrawal. In fact, if the fund w...
by dbr
Tue Jan 16, 2018 9:37 am
Forum: Investing - Theory, News & General
Topic: Paul Merriman and Small Cap Value
Replies: 91
Views: 7608

Re: Paul Merriman and Small Cap Value

A lot of people seem to think that a SCV-tilt is risky, in the sense that it could underperform for a long period. But based on the last 40+ years, I don't see it. SCV orbits around a mean; TSM *is* that mean. When one gets too far out of sync with the other, the market will recognize that SCV is u...
by dbr
Tue Jan 16, 2018 9:21 am
Forum: Personal Consumer Issues
Topic: Looking for a reasonably priced, safe international destination
Replies: 99
Views: 5271

Re: Looking for a reasonably priced, safe international destination

Your kids are 6 and 3. The vacation is for you. I gather the 6 year old will barely remember it and the 3 year old won't. At that age, I always took my kids to a water/beach based vacation where their experiences are fun/low key affairs. Bermuda fits that need. We went there for a long weekend over...
by dbr
Tue Jan 16, 2018 9:17 am
Forum: Personal Finance (Not Investing)
Topic: Stats on When People Take Social Security
Replies: 115
Views: 7045

Re: Stats on When People Take Social Security

Yes, if you are unemployed at 62 it is very likely you need the SS then. The people I know that for sure elected SS earlier than 70 did not have a choice in any practical sense. Please know that there are some of us who: 1. Have a sizeable nest egg; 2. Have a much higher level of financial training...
by dbr
Mon Jan 15, 2018 6:32 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Personal Advisory Services vs. Schwab Intelligent Advisory
Replies: 15
Views: 1086

Re: Vanguard Personal Advisory Services vs. Schwab Intelligent Advisory

There is a lot more to managing personal finance when the person that was doing it is gone than finding someone to talk to in an office about a bunch of mutual funds. It might help your wife more to at least show her a list of the things you have that a person interacts with over the course of a yea...
by dbr
Mon Jan 15, 2018 3:12 pm
Forum: Personal Finance (Not Investing)
Topic: Getting your spouse on the same page
Replies: 52
Views: 4674

Re: Getting your spouse on the same page

I have a pretty good notion that there isn't going to be a getting on the same page if people are not already there. A negotiation of differences might be possible, but actual agreement probably not.
by dbr
Mon Jan 15, 2018 1:33 pm
Forum: Investing - Theory, News & General
Topic: The Three-Fund Portfolio
Replies: 2008
Views: 1222897

Re: The Three-Fund Portfolio

.....you dont lose it until you sell it so we are willing to ride the ups and downs and plan to stay true to the long term vision of this money. Thoughts? I don't like that expression about "until you sell it." The value is lost when it is lost, period. A much better expression is the second half o...
by dbr
Mon Jan 15, 2018 1:29 pm
Forum: Personal Finance (Not Investing)
Topic: Consulting side gig while at mega corp
Replies: 25
Views: 2115

Re: Consulting side gig while at mega corp

No need to tell them unless you work for a competitive doing the same thing you do now or your company does. At least that is what I would do. A colleague at my former employer was doing a side gig and had not informed our employer. It was in the same industry although not for a direct competitor. ...
by dbr
Mon Jan 15, 2018 12:35 pm
Forum: Personal Finance (Not Investing)
Topic: Consulting side gig while at mega corp
Replies: 25
Views: 2115

Re: Consulting side gig while at mega corp

If leverage your experience means you are a database designer and someone wants you to design databases, then you could be in big trouble. if leverage your experience means you are a database designer and an avid hunter and someone wants you to help them open a gunshop, then not so much. Based on wh...
by dbr
Mon Jan 15, 2018 12:23 pm
Forum: Investing - Theory, News & General
Topic: Investment Grade (barely)
Replies: 9
Views: 1054

Re: Investment Grade (barely)

But I don't spot any discussion on basic single state concentration as a risk. My recollection is that it has been an almost obligatory comment that single state risk is a factor that must be considered. It really comes down to what fraction of one's wealth is involved. If muni bonds are 5% of your...
by dbr
Mon Jan 15, 2018 12:12 pm
Forum: Personal Consumer Issues
Topic: TSA locks for luggage
Replies: 18
Views: 1263

Re: TSA locks for luggage

I only take things that I would like to be stolen in checked luggage. But why take checked luggage anyways? People can travel for work requirements or to events that just simply require large, expensive, and not carryable luggage. I think shipping ahead can be an option in those cases. There are al...