Search found 22491 matches

by dbr
Wed Aug 23, 2017 6:14 pm
Forum: Investing - Help with Personal Investments
Topic: What do you do with RMD money you don't need?
Replies: 41
Views: 2438

Re: What do you do with RMD money you don't need?

You don't do anything different with RMD money you don't need than with any other money you don't need. However, as a first step one should not think that the RMD is free money that has just appeared out of nowhere. It is in fact a transfer of assets from tax deferred accounts to taxable accounts ac...
by dbr
Wed Aug 23, 2017 6:10 pm
Forum: Investing - Help with Personal Investments
Topic: Stocks On Sale - What do you buy?
Replies: 7
Views: 529

Re: Stocks On Sale - What do you buy?

It's a silly expression that does not mean anyone is literally running out and finding what is "cheap" as one might in shopping after Christmas sales. The comment is mostly offered to try to impress newbies that one is aware that it is really ok for stock prices to fluctuate, as if one knows some cl...
by dbr
Wed Aug 23, 2017 5:47 pm
Forum: Investing - Help with Personal Investments
Topic: How to Calculate Employer's Match Towards Total Goal
Replies: 10
Views: 410

Re: How to Calculate Employer's Match Towards Total Goal

My husband and I work for the same company and our employer currently matches up to 3% of our income in a simple IRA. We both contribute the full 3%. If my goal is to invest 15% of our income, would it be right to say that we are already investing 6%, since our employer is matching our 3%? Of cours...
by dbr
Wed Aug 23, 2017 5:40 pm
Forum: Investing - Help with Personal Investments
Topic: Bond substitutes ?
Replies: 10
Views: 532

Re: Bond substitutes ?

Does anyone else feel that the total bond market index fund being 2/3 government debt will shackle future bond returns ? If so do you have an alternative? I don't know how the composition of a certain mutual fund can affect bond returns. What you mean is that the returns of that particular fund wil...
by dbr
Wed Aug 23, 2017 5:27 pm
Forum: Investing - Theory, News & General
Topic: "I'm Bill Bengen, and I first proposed the 4% safe withdrawal rate in 1994. Ask me anything!"
Replies: 20
Views: 2993

Re: "I'm Bill Bengen, and I first proposed the 4% safe withdrawal rate in 1994. Ask me anything!"

CFireSim shows quite a few negative end results on a 40-45-50 year time-frames using 50% stocks 50% bonds with 4% withdrawals indexed to inflation. Does CFireSim assume reversion to the mean in stock results? That's a huge factor that most Monte Carlo simulators ignore. Kitces recently had an excel...
by dbr
Sun Aug 20, 2017 8:17 pm
Forum: Personal Consumer Issues
Topic: Safe car for wife and baby
Replies: 91
Views: 4465

Re: Safe car for wife and baby

Maybe you should attempt to reduce the baby's 18k annual commute distance rather than buy a giant vehicle. It is marvelous how powerful simple and obvious games of probability are. Odds of being killed in an auto accident must have a first order dependence on how many miles one travels. All the saf...
by dbr
Sun Aug 20, 2017 8:10 pm
Forum: Personal Consumer Issues
Topic: Safe car for wife and baby
Replies: 91
Views: 4465

Re: Safe car for wife and baby

http://www.iihs.org/iihs/news/desktopnews/on-the-road-again-higher-driver-death-rate-is-a-downside-of-economic-recovery I'd get a Mazda CX-9 or a VW Tiguan for a non-luxury option. These are interesting, and need to be considered alongside the question of driver behavior. The Dodge Challenger (not ...
by dbr
Sun Aug 20, 2017 8:02 pm
Forum: Personal Consumer Issues
Topic: Safe car for wife and baby
Replies: 91
Views: 4465

Re: Safe car for wife and baby

My wife is due to have our first child in about six weeks. She drives a 2016 Honda Civic, which was highly ranked by the NHTSA and IIHS. It was a 5 star and Top Safety Pick. However, common sense (or maybe not) tells me that a larger car like an SUV or a larger sedan would probably be safer in the ...
by dbr
Sun Aug 20, 2017 7:34 pm
Forum: Personal Consumer Issues
Topic: Safe car for wife and baby
Replies: 91
Views: 4465

Re: Safe car for wife and baby

Note that these physically correct and long well known behaviors were done by an independent institute and not the by a government safety agency (unless someone can find a contract that was what actually supported the work). I have worked in this field and can attest that what IIHS is doing there is...
by dbr
Sun Aug 20, 2017 9:04 am
Forum: Investing - Help with Personal Investments
Topic: Lost $7000 today in ONE DAY!
Replies: 183
Views: 14991

Re: Lost $7000 today in ONE DAY!

3. A decline in the market is not a buying opportunity unless you believe it signals a point to time the market. It is very hard to justify that market timing can be successful. Bogleheads would probably mostly look at this in terms of whether or not to rebalance. Rebalancing practiced in the long ...
by dbr
Sun Aug 20, 2017 8:52 am
Forum: Investing - Help with Personal Investments
Topic: Adjusting AA as retirement nears
Replies: 36
Views: 3000

Re: Adjusting AA as retirement nears

IMHO it matters a LOT on what withdrawal rate you are envisaging. E.g. if your current NW allows you to live on a 2% withdrawal rate, then, personally, I would go 100% stocks. I am currently at 100% stocks and have been retired for 17 years. A 50% market drop just jacks up the withdrawal rate to 4%...
by dbr
Sun Aug 20, 2017 8:07 am
Forum: Personal Finance (Not Investing)
Topic: Use of VanguardAdvantage Visa Debit Card at Foreign ATMs for Cash Withdrawals
Replies: 13
Views: 1289

Re: Use of VanguardAdvantage Visa Debit Card at Foreign ATMs for Cash Withdrawals

Fees for ATM use are a consideration as is the exchange rate, but the first has nothing to do with the second.
by dbr
Sun Aug 20, 2017 8:03 am
Forum: Investing - Help with Personal Investments
Topic: Dollar cost averaging on withdrawals?
Replies: 16
Views: 1201

Re: Dollar cost averaging on withdrawals?

To obtain the best return if you have money to invest it should be invested as soon as possible. On the other end if you plan to withdraw money you should leave it invested as long as possible. Money that is invested is at risk, so if you want to reduce risk you should delay as long as possible at i...
by dbr
Sat Aug 19, 2017 9:21 am
Forum: Investing - Help with Personal Investments
Topic: Lost $7000 today in ONE DAY!
Replies: 183
Views: 14991

Re: Lost $7000 today in ONE DAY!

1. You lost all your money the day you invested because stocks and bonds are not money. 2. What fluctuates is the value of your investments measured by what they hypothetically could have been sold for at the market quotes at some point in time. This value is meaningful but it is not money. Boglehea...
by dbr
Thu Jul 13, 2017 6:21 pm
Forum: Personal Finance (Not Investing)
Topic: Designating specific assets for contingencies
Replies: 12
Views: 649

Re: Designating specific assets for contingencies

My post was badly written with respect to the points I wanted to make. It is perhaps better disregarded.
by dbr
Thu Jul 13, 2017 11:40 am
Forum: Personal Finance (Not Investing)
Topic: Designating specific assets for contingencies
Replies: 12
Views: 649

Re: Designating specific assets for contingencies

Dbr: "In this forum we are generally discussing investments in stock and bond mutual funds, so in the context, all of those things are not assets. There have been long discussions about income streams like pensions being assets." Insurance and pensions - and also annuities - are most defi...
by dbr
Thu Jul 13, 2017 11:39 am
Forum: Personal Finance (Not Investing)
Topic: Do you consider business travel to be a perk or a burden?
Replies: 117
Views: 7249

Re: Do you consider business travel to be a perk or a burden?

Both I suppose, but I agree most with the responses that say it's part of the job. My first day at my company was away from my "base" office and I still travel 25% 10 years and several relocations after. Life in professional services I guess. A couple things have made a big difference... ...
by dbr
Thu Jul 13, 2017 11:33 am
Forum: Investing - Theory, News & General
Topic: William Bernstein on Meb Faber's podcast
Replies: 54
Views: 6944

Re: William Bernstein on Meb Faber's podcast

I listened to the podcast the day it came out but did not have a chance to listen to the last 10 minutes, which I just listened to yesterday. He had one interesting point at the end. He said your house should not be considered part of your portfolio. He said if you sell it you have to rent or buy s...
by dbr
Thu Jul 13, 2017 11:13 am
Forum: Personal Finance (Not Investing)
Topic: Designating specific assets for contingencies
Replies: 12
Views: 649

Re: Designating specific assets for contingencies

A point that should be remembered here is that LTCI, SS annuities and pensions, life insurance, etc. are all about managing risk to income. This is not about assets. Where the crossover comes is that assets can be used to purchase income streams, either absolute as in an annuity, or contingent via i...
by dbr
Thu Jul 13, 2017 11:02 am
Forum: Personal Finance (Not Investing)
Topic: Designating specific assets for contingencies
Replies: 12
Views: 649

Re: Designating specific assets for contingencies

Thesaints: "Assigning subsets of assets to a specific target, instead may lead to a suboptimal allocation, if one doesn't consider the overall picture at the end." Please explain what you mean. Wade Pfau was referring to all assets, not just those in an IRA or 401K. He was referring to th...
by dbr
Thu Jul 13, 2017 10:54 am
Forum: Investing - Theory, News & General
Topic: William Bernstein on Meb Faber's podcast
Replies: 54
Views: 6944

Re: William Bernstein on Meb Faber's podcast

I listened to the podcast the day it came out but did not have a chance to listen to the last 10 minutes, which I just listened to yesterday. He had one interesting point at the end. He said your house should not be considered part of your portfolio. He said if you sell it you have to rent or buy s...
by dbr
Thu Jul 13, 2017 10:03 am
Forum: Personal Finance (Not Investing)
Topic: Do you consider business travel to be a perk or a burden?
Replies: 117
Views: 7249

Re: Do you consider business travel to be a perk or a burden?

Time was uncompensated. International travel was mandated on weekends, but even jet-lagged a day or two in Paris, London, or Amsterdam is not a bad thing. Going to manufacturing facilities in Podunk, USA and working 24 hours a day is different, but even then there is always something interesting to ...
by dbr
Thu Jul 13, 2017 9:53 am
Forum: Investing - Help with Personal Investments
Topic: Tax exempt bond fund in brokerage account
Replies: 11
Views: 1046

Re: Tax exempt bond fund in brokerage account

My federal tax bracket is 25%. My state is Nebraska at 6.84%. Duration is long term. I am age 64 and retired and will not likely be needing this money anytime soon. I am just looking for a bond bucket to keep the bond allocation of my total portfolio around 20%. I don't think there is a Nebraska mu...
by dbr
Thu Jul 13, 2017 9:44 am
Forum: Personal Finance (Not Investing)
Topic: Designating specific assets for contingencies
Replies: 12
Views: 649

Re: Designating specific assets for contingencies

"have earmarked the same pool of investments to both cover lifestyle and support liquidity, not clearly distinguishing how these objects can and should be separated. Thus, in a sense, they believe all of their investments must provide liquidity for contingencies, and they spend less in respons...
by dbr
Thu Jul 13, 2017 9:40 am
Forum: Personal Finance (Not Investing)
Topic: Do you consider business travel to be a perk or a burden?
Replies: 117
Views: 7249

Re: Do you consider business travel to be a perk or a burden?

For me more than a perk. In general travel was usually a key activity in any project such as working out high level planning with customers or departments in our own company, such as attending conferences and meeting world class people relevant to our interests, such as collaborating on research wit...
by dbr
Thu Jul 13, 2017 9:34 am
Forum: Investing - Theory, News & General
Topic: Cash vs bond
Replies: 9
Views: 1066

Re: Cash vs bond

Be sure you really understand what that investment is. One thing to ask about is any restrictions on redemptions.
by dbr
Thu Jul 13, 2017 9:31 am
Forum: Investing - Help with Personal Investments
Topic: Stock Allocation: Putting new cash to work
Replies: 3
Views: 238

Re: Stock Allocation: Putting new cash to work

Hi -- Need some advice, fellow investors. I'm age 61, in the first year of retirement. I'm conservative by nature, and have come up with a 30/70 allocation to fixed/equities that will let me sleep at night, and provide the income I need. Here's the problem. For the past few years, I have held 10% i...
by dbr
Thu Jul 13, 2017 9:26 am
Forum: Investing - Help with Personal Investments
Topic: Tax exempt bond fund in brokerage account
Replies: 11
Views: 1046

Re: Tax exempt bond fund in brokerage account

There are any variety of funds that could be appropriate. In general factors to consider are: 1. Your tax rates to determine if any muni fund is a good choice. 2. You state to see if state tax exemption is helpful. A large investment in a single state fund may be more risk than you want. 3. The dura...
by dbr
Thu Jul 13, 2017 9:09 am
Forum: Investing - Help with Personal Investments
Topic: Roll call Warren Buffet 90/10 portfolio
Replies: 89
Views: 14302

Re: Roll call Warren Buffet 90/10 portfolio

I think people just have to face up to the fact that Warren Buffett is absolutely adamant that the way to invest is to hold US stocks for the long term with perhaps some reserve in cash. This is for everyone. People that find this confusing or not to their preference will just have to do something t...
by dbr
Thu Jul 13, 2017 9:02 am
Forum: Investing - Help with Personal Investments
Topic: Thoughts on individual dividend investing?
Replies: 80
Views: 5453

Re: Thoughts on individual dividend investing?

Does anyone think an investment in a set of dividend stocks would have less volatility than an S&P500 investment? What about the volatility of a dividend-focused ETF or regular fund compared to the S&P500? Would such and investment be more stable if used for income? Just curious if anyone h...
by dbr
Thu Jul 13, 2017 8:46 am
Forum: Investing - Theory, News & General
Topic: Liability Matching Portfolio? Really?
Replies: 79
Views: 12494

Re: Liability Matching Portfolio? Really?

...Payout Annuities can certainly help especially after mid 70s due to the mortality credits There are periods when bonds due poorly but stocks do well so you want to hold at least some equity, say 20-30% and that is what I recommend to HNW investors who've won the game, and then use high tilt port...
by dbr
Wed Jul 12, 2017 3:07 pm
Forum: Investing - Help with Personal Investments
Topic: Where to put 65k cash
Replies: 64
Views: 5243

Re: Where to put 65k cash

I'm not thinking in black and white, and that other post has nothing to do with this one. "Stock picking" is a pretty vague term, basically signaling that they're willing to gamble without doing much research. I'm concerned with what indicators I see as concerning in the overall market an...
by dbr
Wed Jul 12, 2017 3:00 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard recommended Retirement allocation too simple?
Replies: 70
Views: 6564

Re: Vanguard recommended Retirement allocation too simple?

Hi ... and thanks for the reply! You state "I'm not sure it is too simple but I think its bad. What's the draw you need and for how long? " After my pension and S.S. I would need aproximately a 2.0%/year draw from my investments to live comfortably for the next 30 years. Are you saying th...
by dbr
Wed Jul 12, 2017 2:45 pm
Forum: Investing - Help with Personal Investments
Topic: I am selling my wellington buying Total stock market and Total bond. Is this the best bond fund for a taxable account?
Replies: 34
Views: 3335

Re: I am selling my wellington buying Total stock market and Total bond. Is this the best bond fund for a taxable accoun

Thank you and does market gains count as qualified dividends? And I will never pay taxes on my initial investment or future investments from post tax dollars? No. What I wrote above is that gains that you might have to pay taxes on take two forms. One possibility is the fund will distribute short t...
by dbr
Wed Jul 12, 2017 2:34 pm
Forum: Investing - Help with Personal Investments
Topic: Where to put 65k cash
Replies: 64
Views: 5243

Re: Where to put 65k cash

First off, I'm not going sway anyone's thinking here so I'm not going to open myself up for ad hominems. I'll give my brief assessment which is easily eviscerated by boglehead "stay the course" logic because, honestly, there isn't much to that argument and every deviation from it is flat ...
by dbr
Wed Jul 12, 2017 2:17 pm
Forum: Investing - Help with Personal Investments
Topic: I am selling my wellington buying Total stock market and Total bond. Is this the best bond fund for a taxable account?
Replies: 34
Views: 3335

Re: I am selling my wellington buying Total stock market and Total bond. Is this the best bond fund for a taxable accoun

What about Target Retirement 2055 is that better for taxes? The money going in is post tax so I thought you just pay taxes on the gains. I thought this was true with Wellington. With any fund you pay in the current year taxes on distributions, which can be dividends, short term capital gains distri...
by dbr
Wed Jul 12, 2017 2:07 pm
Forum: Investing - Theory, News & General
Topic: Dividend Misunderstandings & Only Spend Return
Replies: 282
Views: 15349

Re: Dividend Misunderstandings & Only Spend Return

Dividend lovers seem to be completely obsessed with the word INCOME, almost like it is a drug to them. Yes, dividend enthusiasts are more concerned with the number of shares than the value of those shares. During accumulation, they love to reinvest their dividends and see the number of shares climb...
by dbr
Wed Jul 12, 2017 10:51 am
Forum: Investing - Help with Personal Investments
Topic: better parking place than FTEXX?
Replies: 29
Views: 1519

Re: better parking place than FTEXX?

Ah, I see. But if I'm taking money from SPAXX and buying BND as part of my restructuring toward a 50/50 or 40/60 AA, shouldn't I care more about dividends than its NAV during an equity upsurge? No. You invest in a portfolio to attempt to earn a certain return. But return is variable so the plan is ...
by dbr
Wed Jul 12, 2017 10:27 am
Forum: Investing - Help with Personal Investments
Topic: Thoughts on individual dividend investing?
Replies: 80
Views: 5453

Re: Thoughts on individual dividend investing?

"You can't make gains or losses--positive return or negative return--go away simply by refusing to mark securities to market." Of course I can. The IRS says so. The IRS says I have no gain or loss until I sell my stock. They don't require me to "mark to market." That the IRS doe...
by dbr
Wed Jul 12, 2017 9:45 am
Forum: Investing - Theory, News & General
Topic: Dividend Misunderstandings & Only Spend Return
Replies: 282
Views: 15349

Re: Dividend Misunderstandings & Only Spend Return

As a thought experiment, I wonder how much investor behavior would be affected if tax laws were changed so that stock dividends collected by funds did not have to be distributed to shareholders, and could remain baked into share price as unrealized capital gains. Of course it has no chance of happe...
by dbr
Wed Jul 12, 2017 9:38 am
Forum: Investing - Theory, News & General
Topic: Paul Merriman: The One Fund Every Investor Should Own
Replies: 89
Views: 11818

Re: Paul Merriman: The One Fund Every Investor Should Own

Just thinking out loud and asking. I have been spending a lot of time on Paul Merriman's website. Look like he is really into teaching investors with his books, videos, articles. Also, looks as he is just trying to help investors get better returns if possible (always state no guarantee) just looki...
by dbr
Wed Jul 12, 2017 9:34 am
Forum: Investing - Help with Personal Investments
Topic: better parking place than FTEXX?
Replies: 29
Views: 1519

Re: better parking place than FTEXX?

Ah, I see. But if I'm taking money from SPAXX and buying BND as part of my restructuring toward a 50/50 or 40/60 AA, shouldn't I care more about dividends than its NAV during an equity upsurge? No. You invest in a portfolio to attempt to earn a certain return. But return is variable so the plan is ...
by dbr
Tue Jul 11, 2017 3:06 pm
Forum: Personal Finance (Not Investing)
Topic: Does anyone use ANNUITIES for SOME of their retirement funds?
Replies: 61
Views: 4238

Re: Does anyone use ANNUITIES for SOME of their retirement funds?

In effect I will be purchasing an SPIA, because I have the option to take my pension as a lump sum but I won't. The monthly pay I can get with that exceeds what I could buy on the open market with that cash value. My employer sold me an SPIA because there was no lump sum option. If there had been i...
by dbr
Tue Jul 11, 2017 2:35 pm
Forum: Investing - Theory, News & General
Topic: Paul Merriman: The One Fund Every Investor Should Own
Replies: 89
Views: 11818

Re: Paul Merriman: The One Fund Every Investor Should Own

This debating about past performance is a case of taking comments intended and meaningful to one context and misapplying them to a different context. That is what is going to happen as soon as one lowers complex discussions to the level of mantras (synonyms: slogan, motto, maxim, catchphrase, catchw...
by dbr
Tue Jul 11, 2017 9:42 am
Forum: Investing - Help with Personal Investments
Topic: Thoughts on individual dividend investing?
Replies: 80
Views: 5453

Re: Thoughts on individual dividend investing?

Over at M* there is a whole forum devoted to this: http://socialize.morningstar.com/NewSoc ... F100000098

You will probably find more expertise, more enthusiasm, and also, possibly, more misinformation there than here.
by dbr
Tue Jul 11, 2017 9:40 am
Forum: Investing - Help with Personal Investments
Topic: better parking place than FTEXX?
Replies: 29
Views: 1519

Re: better parking place than FTEXX?

Hello ladies and gentlemen, and thank you again for all you do to help those of us who need it! Since firing our investment manager we've been working (carefully, learning as we go) at consolidating our holdings with the eventual goal of a three or four fund portfolio. We're both retired and have m...
by dbr
Tue Jul 11, 2017 9:28 am
Forum: Investing - Help with Personal Investments
Topic: Is 60/40 too conservative for 31 year old?
Replies: 69
Views: 7557

Re: Is 60/40 too conservative for 31 year old?

I'm no expert by any means, but I'm surprised to see all this support for a 60/40 split for a 30 year old. Even the Target Retirement funds are set to glide at 90/10 until age 40. Now I'm second-guessing my own plans... They have little need to take risk, wife doesn't want to, and 60/40 can be suit...
by dbr
Tue Jul 11, 2017 8:25 am
Forum: Personal Finance (Not Investing)
Topic: What's Your Credit Card Rewards Strategy?
Replies: 2052
Views: 352412

Re: What's Your Credit Card Rewards Strategy?

I jumped on the 70K miles + $50 credit offer as well. Not too familiar with United, though, as I do not travel a lot. I assume the points are convertible for cash (cent per point)? I don't think I have ever heard of an airline miles program where points can be sold back for cash straight up. Some p...
by dbr
Mon Jul 10, 2017 4:34 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Robo advisor
Replies: 20
Views: 2413

Re: Vanguard Robo advisor

Well, I'm not sure how to answer that actually. I thought there will be exit fees and a loss of some sort selling the many funds I have now and buying into the few basic index funds that the Vanguard advisor service suggested for me. OK, so there could be commissions to sell certain funds where you...
by dbr
Mon Jul 10, 2017 3:51 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Robo advisor
Replies: 20
Views: 2413

Re: Vanguard Robo advisor

Thanks to all for answering my question regarding Vanguard transferring my funds over. I will be doing this in a few days and hope it goes smoothly. I have a lot of funds with TD Ameritrade and hope I don't lose lots of money switching out of all the funds into the few index funds Vanguard advisor ...