Search found 3657 matches

by jalbert
Wed Oct 17, 2018 3:48 pm
Forum: Personal Finance (Not Investing)
Topic: Can you please tell me how much FDIC insurance this scenario has?
Replies: 13
Views: 494

Re: Can you please tell me how much FDIC insurance this scenario has?

The owner is just a single owner Then, they added 2 different beneficiaries Example: John is the single account owner of a Checking, Savings, and several CDs, at one FDIC insured bank. John put Sally and Bob as beneficiaries on his Checking, Savings, and all is his CDs. What would the FDIC insuranc...
by jalbert
Wed Oct 17, 2018 2:38 pm
Forum: Personal Consumer Issues
Topic: Should we move to San Diego from east coast?
Replies: 75
Views: 5596

Re: Should we move to San Diego from east coast?

The car-oriented Southern California lifestyle is not to everyone’s taste. An interest in that lifestyle should be established before worrying about cost of living. There are very very few cities and towns in the U.S. that are not car oriented. I don't think SD is any more car oriented than the vas...
by jalbert
Wed Oct 17, 2018 1:35 pm
Forum: Personal Finance (Not Investing)
Topic: Can you please tell me how much FDIC insurance this scenario has?
Replies: 13
Views: 494

Re: Can you please tell me how much FDIC insurance this scenario has?

libralibra wrote:
Wed Oct 17, 2018 1:26 pm
500k (1 owner x 2 beneficiaries x 250k)
I think it would be $750K. 1 owner plus 2 beneficiaries = 3 people with beneficial interest and insurance at $250K ea.
by jalbert
Wed Oct 17, 2018 2:07 am
Forum: Investing - Help with Personal Investments
Topic: International Fund Down - What to do?
Replies: 36
Views: 2155

Re: International Fund Down - What to do?

very slightly off topic but I read the Bogleheads plan above and it says never bear too much risk, yet I see hordes of ordinary people I know buying individual stock like Netflix saying it's a sure future bet while I think single stocks are too much risk for the average Joe long term investor. What...
by jalbert
Wed Oct 17, 2018 2:03 am
Forum: Investing - Help with Personal Investments
Topic: More safe: Treasury ETF or Bank Account
Replies: 4
Views: 556

Re: More safe: Treasury ETF or Bank Account

I was having a discussion with another person about investments today and the topic came up of which is ultimately safer: An ETF of all Treasuries (such as VGSH or SHV) or an FDIC insured bank account. Opinions? There are two issues in play. How the risk of default of a US treasury security compare...
by jalbert
Wed Oct 17, 2018 12:48 am
Forum: Personal Consumer Issues
Topic: Should we move to San Diego from east coast?
Replies: 75
Views: 5596

Re: Should we move to San Diego from east coast?

The car-oriented Southern California lifestyle is not to everyone’s taste. An interest in that lifestyle should be established before worrying about cost of living.
by jalbert
Wed Oct 17, 2018 12:38 am
Forum: Investing - Help with Personal Investments
Topic: Does Lifestrategy make sense in Roth IRA's
Replies: 21
Views: 2237

Re: Does Lifestrategy make sense in Roth IRA's

An advocate for not using Target Date or other all-in-one funds once withdrawals begin: "Even though I love target-date funds for accumulators,” says Christine Benz, director of personal finance at Morningstar, “most all-in-one funds are suboptimal when it comes to retirement withdrawals because th...
by jalbert
Wed Oct 17, 2018 12:29 am
Forum: Investing - Help with Personal Investments
Topic: 30 y/o Boglehead student, advice for 65 year old Retiring Father
Replies: 26
Views: 2219

Re: 30 y/o Boglehead student, advice for 65 year old Retiring Father

LS Conservative Income is a great choice if he is deathly afraid of the stock market. Only a 20% stock allocation, a 20% drop in the stock market is a 4% drop in asset value. Reasonable choice, but I’d prefer the extra diversification from the inclusion of TIPS in the bond portfolio of the fund Tar...
by jalbert
Tue Oct 16, 2018 10:10 pm
Forum: Investing - Help with Personal Investments
Topic: CREF Global Equities as 403b VTWSX equivalent?
Replies: 8
Views: 476

Re: CREF Global Equities as 403b VTWSX equivalent?

CREF Stock is designed as an all-in-one stock portfolio. It has large, mid, and small-caps, US, developed non-US, and emerging non-US stock. It is a single fund solution for a globally diversified stock portfolio. CREF Stock has a higher percentage in US stock than the total world index, but it is a...
by jalbert
Tue Oct 16, 2018 6:33 pm
Forum: Investing - Help with Personal Investments
Topic: International Fund Down - What to do?
Replies: 36
Views: 2155

Re: International Fund Down - What to do?

You could sell the fidelity fund, take the tax loss, and purchase the similar Vanguard international fund. Whats the advantage there? Also I have Fido account so it might cost me $25-50 to hold the vanguard in Fido . The main advantage is being able to take $3000/yr of the loss against earned incom...
by jalbert
Tue Oct 16, 2018 2:12 pm
Forum: Personal Finance (Not Investing)
Topic: Long-term Care Insurance
Replies: 81
Views: 3340

Re: Long-term Care Insurance

Yes, a good elder care attorney is a must for anyone doing serious LTC planning. If you don't have a desire for a legacy, the issue is much simpler. You can just wait until one spouse needs LTC, then annuitize 'countable' assets for the benefit of the other spouse. If both spouses need LTC simultan...
by jalbert
Mon Oct 15, 2018 6:41 pm
Forum: Personal Finance (Not Investing)
Topic: Switching from ACA to Medicare
Replies: 27
Views: 2708

Re: Switching from ACA to Medicare

Probably not helpful to the OP at this stage, but there often is no disadvantage to splitting up the enrollments for a couple in ACA-exchange-based plans other than paying two bills. It enables having different plans for each person as well. Then when one qualifies for Medicare, the other spouse is ...
by jalbert
Mon Oct 15, 2018 4:33 pm
Forum: Investing - Help with Personal Investments
Topic: Exchanging VT total world stock for VTI & VXUS
Replies: 14
Views: 776

Re: Exchanging VT total world stock for VTI & VXUS

Let’s first look at it without considering that market indices are float-adjusted. If you hold the stocks held by VT and VXUS at market cap weight, you do not have to rebalance to maintain market cap weight as the stocks change in value over time. This is true whether held as individual stocks, in a...
by jalbert
Mon Oct 15, 2018 1:06 pm
Forum: Personal Finance (Not Investing)
Topic: Long-term Care Insurance
Replies: 81
Views: 3340

Re: Long-term Care Insurance

You can likely self-insure with a significantly smaller portfolio than $5 million unless you live in a very high cost of living area. With 4% withdrawals, a $5 million portfolio will yield $200k of annual income. All but the most expensive LTC facilities will cost less than that, possibly much less...
by jalbert
Mon Oct 15, 2018 11:55 am
Forum: Personal Finance (Not Investing)
Topic: Kaiser or CareFirst
Replies: 38
Views: 1820

Re: Kaiser or CareFirst

I'm switching jobs in the next few months and taking a federal job in the Washington DC area. I've always had CareFirst and my spouse uses Kaiser. The federal government offers excellent coverage and rates for plans with both providers so we'd like to get on the same plan going forward. My spouse l...
by jalbert
Mon Oct 15, 2018 1:51 am
Forum: Investing - Theory, News & General
Topic: What events hurt US equity returns in the past 100 years?
Replies: 12
Views: 1054

Re: What events hurt US equity returns in the past 100 years?

The big events are in bold 1929 Great Depression 1973 Energy Crisis 1980 Farm Crisis maybe? 2001 Sept 11 attacks + Dot Com Bubble Burst 2008 Housing Crisis Going back more than 100 years: * Panic of 1907 (Knickerbocker Crisis) * Panic of 1893 * Depression of 1882-1885 * Panic of 1873 (depression la...
by jalbert
Sat Oct 13, 2018 12:09 am
Forum: Investing - Theory, News & General
Topic: Where is that value premium?
Replies: 57
Views: 4052

Re: Where is that value premium?

Since Larry Swedroe argues Value is a risk premium (not a free lunch), I suppose a conservative investor who wants "safe" stocks would own growth. Yes, that does seem ironic when conservative investors swoon over high dividend value stocks. Investing in growth may be as risky as investing in value....
by jalbert
Fri Oct 12, 2018 8:05 pm
Forum: Investing - Theory, News & General
Topic: The benefits of international diversification - NOT: Hulbert
Replies: 80
Views: 5190

Re: The benefits of international diversification - NOT: Hulbert

I'm going to throw a stray thought in there. I have no evidence to back up my claim. Suppose, just suppose that the US with our absolutely monstrous amounts of debt, and our record trade deficits that we are the global customer of the world. We are a net importer for sure, reliant on the strength o...
by jalbert
Fri Oct 12, 2018 7:34 pm
Forum: Investing - Theory, News & General
Topic: Barron's Making the Case for Gold
Replies: 111
Views: 7702

Re: Barron's Making the Case for Gold

I think the bigger point you're ignoring suggested in my post and more succinctly by Jiu Jitsu Fighter is the implication for the dollar's value if there's any question about the US paying back the $15T (much bigger probably by the time, if ever, that question becomes a market focus). That would ov...
by jalbert
Thu Oct 11, 2018 7:32 pm
Forum: Investing - Theory, News & General
Topic: Barron's Making the Case for Gold
Replies: 111
Views: 7702

Re: Barron's Making the Case for Gold

By that time how would selling 8,000 tons of gold (~$300bil at today's prices) be a material part of dealing with the problem, If a person or entity is short on funds to make a loan payment, they need to raise cash to make one or more payments, not repay the entire loan. The US govt needs to be abl...
by jalbert
Thu Oct 11, 2018 2:19 pm
Forum: Investing - Theory, News & General
Topic: Barron's Making the Case for Gold
Replies: 111
Views: 7702

Re: Barron's Making the Case for Gold

If a govt with large gold reserves has trouble meeting debt obligations, it may well choose to sell off gold to raise hard cash rather than printing money to deal with the debt. That’s the whole point and role of having substantial gold reserves to partially back a currency. What would that do to th...
by jalbert
Thu Oct 11, 2018 1:57 am
Forum: Personal Consumer Issues
Topic: 1.5 liter wine
Replies: 52
Views: 11328

Re: 1.5 liter wine

Note: Original Thread is 10 years old. Vintages change in 10 years. Also - if you want decent wine - it doesn't come in a 1.5 liter bottle. Not true: https://www.sherry-lehmann.com/red-wine/D4815/Petrus-Pomerol-Magnum-2014 Even in the normal price range of an average wine drinker many good wines ar...
by jalbert
Wed Oct 10, 2018 10:27 pm
Forum: Investing - Theory, News & General
Topic: Bond Market Index vs Stable Value?
Replies: 6
Views: 666

Re: Bond Market Index vs Stable Value?

Yes, SVF expense ratios typically include a premium to cover the issuer(s) absorbing credit risk and term risk. The main thing is to try to understand what the underlying portfolio is and also what sort of triggering events might cause withdrawals to be processed at market value instead of stable va...
by jalbert
Wed Oct 10, 2018 4:36 pm
Forum: Investing - Theory, News & General
Topic: Barron's Making the Case for Gold
Replies: 111
Views: 7702

Re: Barron's Making the Case for Gold

So do you feel gold is a ridiculous investment as part of a diversified personal asset allocation? Perhaps 3-5% of a portfolio? You don't sound like a hater. A small allocation to gold like 3-5% may reduce portfolio risk, and may improve risk-adjusted return. These benefits are unproven but there c...
by jalbert
Wed Oct 10, 2018 2:21 pm
Forum: Investing - Theory, News & General
Topic: The benefits of international diversification - NOT: Hulbert
Replies: 80
Views: 5190

Re: The benefits of international diversification - NOT: Hulbert

... Non-US equities greatly improved portfolio survivability for US retirees during the inflation of the 1970's... I wonder which countries, and how widely available foreign stock ownership was in the 1970's. Much of the relaxation of capital controls and global market liberalization occurred in an...
by jalbert
Wed Oct 10, 2018 2:17 pm
Forum: Investing - Theory, News & General
Topic: Where is that value premium?
Replies: 57
Views: 4052

Re: Where is that value premium?

Yeah, the Schwab Fundamental indexes did a little better especially small, Those also have more than just value exposure going on. To assess a comparison between the value factor premium and the inflation rate it is preferred to look at portfolios that load on value but do not tilt to other factors...
by jalbert
Wed Oct 10, 2018 2:10 pm
Forum: Investing - Theory, News & General
Topic: Barron's Making the Case for Gold
Replies: 111
Views: 7702

Re: Barron's Making the Case for Gold

For those of you who like to bash gold just remember this: the people who print your money are hoarding gold. This. Why do the haters think governments hold gold? Gold reserves and holdings in reserve currencies by a govt provide stability to the currency managed by the govt and are what enables a ...
by jalbert
Wed Oct 10, 2018 1:56 am
Forum: Investing - Theory, News & General
Topic: Barron's Making the Case for Gold
Replies: 111
Views: 7702

Re: Barron's Making the Case for Gold

Gold Is Cheap. Inflation Is Coming. You Do the Math Inflation leads to rising interest rates which makes bonds more attractive relative to gold, all else equal. Gold prices can thus go either if inflation accelerates. We also don't know that inflation is coming. The fed has lots of ability to drain...
by jalbert
Wed Oct 10, 2018 1:38 am
Forum: Investing - Theory, News & General
Topic: Where is that value premium?
Replies: 57
Views: 4052

Re: Where is that value premium?

What I kind of don't understand is why value would do well in overseas developed markets. Doesn't value typically do well in moderate and rising inflation. With the low inflation in many place, it would seem growth should be favored but I guess it's more complicated than that. Has non-US value over...
by jalbert
Wed Oct 10, 2018 1:29 am
Forum: Investing - Theory, News & General
Topic: Where is that value premium?
Replies: 57
Views: 4052

Re: Where is that value premium?

I own SV Index because even if I am wrong and it never outperforms, I find it hard to imagine that 852 stocks can lag the market by much when they are a meaningful portion of the market. And I have yet to see any research that shows that small & value underperforms. I wish there were a way to get a...
by jalbert
Wed Oct 10, 2018 1:17 am
Forum: Investing - Theory, News & General
Topic: The benefits of international diversification - NOT: Hulbert
Replies: 80
Views: 5190

Re: The benefits of international diversification - NOT: Hulbert

There are two problems with this... A) The Ex-US index is likely to crash just as badly or worse if such things happened. B) These are extremely unlikely events within our lifetime. Non-US equities greatly improved portfolio survivability for US retirees during the inflation of the 1970's. Yeah, th...
by jalbert
Tue Oct 09, 2018 11:46 pm
Forum: Investing - Theory, News & General
Topic: The benefits of international diversification - NOT: Hulbert
Replies: 80
Views: 5190

Re: The benefits of international diversification - NOT: Hulbert

The benefit of int’l diversification is not because of any significant effect on the variance of shorter term returns. The benefit of int’l diversification is to reduce the variance (dispersion of outcomes) of long-term returns. Over long periods, say 30+ years, a portfolio performance miss is an ir...
by jalbert
Tue Oct 09, 2018 12:56 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Why Emerging Markets Matter
Replies: 82
Views: 6242

Re: Larry Swedroe: Why Emerging Markets Matter

I see. Well let's just throw this in the international is lousy bin. 1995-2018 CAGR: 10.18% US 6.11% EM 5.02% Intl Developed ex-US Yes, the unwinding of the Japanese equity bubble hit DM even worse in the 90’s. Non-US DM has a much longer history than EM (much longer than for US equities) and perio...
by jalbert
Tue Oct 09, 2018 3:04 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Why Emerging Markets Matter
Replies: 82
Views: 6242

Re: Larry Swedroe: Why Emerging Markets Matter

The EM index return was not available to investors in 1988 and I think there is survivorship bias in the index return from Argentine equities being dropped from the index. I’m skeptical that investors would have been able to liquidate the position at the valuation used when they were dropped from th...
by jalbert
Tue Oct 09, 2018 2:54 am
Forum: Investing - Theory, News & General
Topic: Why does Vanguard reccomend 60:40 US:International ratio?
Replies: 52
Views: 7632

Re: Why does Vanguard reccomend 60:40 US:International ratio?

First, historical analysis is notorious. It is sensitive to the periods being chosen. You have to assume constant volatility, which is not historical true. etc. Not saying it isn't useful, but the results needs to be taken as informative, not as gospel. Second, it assumes that the future will be th...
by jalbert
Tue Oct 09, 2018 2:45 am
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Why Emerging Markets Matter
Replies: 82
Views: 6242

Re: Larry Swedroe: Why Emerging Markets Matter

EM “outperformance”: https://www.portfoliovisualizer.com/backtest-asset-class-allocation?s=y&mode=2&startYear=1972&endYear=2018&initialAmount=10000&annualOperation=0&annualAdjustment=0&inflationAdjusted=true&annualPercentage=0.0&frequency=4&rebalanceType=1&portfolio1=Custom&portfolio2=Custom&portfol...
by jalbert
Sun Oct 07, 2018 11:12 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Examining Bond Premiums
Replies: 7
Views: 867

Re: Larry Swedroe: Examining Bond Premiums

Very surprised to read just how risky and volatile the term premium actually is!
For 20-year treasuries, as used in the analysis, it is risky and volatile.
by jalbert
Sun Oct 07, 2018 6:01 pm
Forum: Investing - Theory, News & General
Topic: Why does Vanguard reccomend 60:40 US:International ratio?
Replies: 52
Views: 7632

Re: Why does Vanguard reccomend 60:40 US:International ratio?

The argument is based on finding the minimum variance equity portfolio if you hold total market index funds for US and non-US equities. The real problem with Vanguard’s work that it is not based on a random sample of independent trials, which would actually be very difficult if not impossible to ach...
by jalbert
Sat Oct 06, 2018 10:59 pm
Forum: Investing - Theory, News & General
Topic: Why does Vanguard reccomend 60:40 US:International ratio?
Replies: 52
Views: 7632

Re: Why does Vanguard reccomend 60:40 US:International ratio?

Shall I be brutally honest and say that they pulled that magic number out of their butt, and there is nothing really magical about it? I don’t think that is correct. A white paper describing Vanguard’s methodology was referenced above a few times: https://www.bogleheads.org/forum/posting.php?mode=q...
by jalbert
Sat Oct 06, 2018 10:53 pm
Forum: Investing - Theory, News & General
Topic: Where is that value premium?
Replies: 57
Views: 4052

Re: Where is that value premium?

It's a good point but taken together, don't both the MSCI and French-Fama data include a pretty similar country list? That is not the point. Comparing the return of a value portfolio aggregated over, say all of the MSCI developed market countries to the return of an MSCI developed markets total mar...
by jalbert
Sat Oct 06, 2018 10:44 pm
Forum: Personal Finance (Not Investing)
Topic: 1031 exchange duplex to SFR, rent it 2yrs, then move in?
Replies: 2
Views: 388

Re: 1031 exchange duplex to SFR, rent it 2yrs, then move in?

Is this plan likely to be good, bad or ugly? I have an almost fully depreciated rental duplex that I'd like to 1031 exchange to a single family residence. I will rent out the residence to a tenant for two years. During that time I will sell my primary residence and at the end of two years move into...
by jalbert
Sat Oct 06, 2018 6:27 pm
Forum: Investing - Theory, News & General
Topic: Where is that value premium?
Replies: 57
Views: 4052

Re: Where is that value premium?

Thought I'd share this article from a couple years ago: Is the Value Premium Disappearing? . It also analyzes the value premium in developed and emerging international markets. Also this thread: https://www.bogleheads.org/forum/viewtopic.php?t=191001, which analyzes the relationship between the val...
by jalbert
Sat Oct 06, 2018 5:13 pm
Forum: Personal Finance (Not Investing)
Topic: Need Health Insurance (Non-ACA Options)
Replies: 77
Views: 4912

Re: Need Health Insurance (Non-ACA Options)

Yes...I will be switching to an individual policy. So I pay after tax dollars and will get a deduction on tax return? Yes. The premium is a deductible expense for self-employed people. I believe the primary subscriber for the insurance needs to be the same as the person with schedule C income again...
by jalbert
Sat Oct 06, 2018 3:22 pm
Forum: Investing - Help with Personal Investments
Topic: Young investor looking for advice of current situation
Replies: 20
Views: 1530

Re: Young investor looking for advice of current situation

In the software field, the degree serves little purpose and they care more about what you can do, have done and your skills. This is short-term thinking. The degree is about fundamental education providing a foundation for future education which may be informal work you do on your own to develop ne...
by jalbert
Sat Oct 06, 2018 1:06 pm
Forum: Investing - Theory, News & General
Topic: Allan Roth doesn't like single premium annuities
Replies: 185
Views: 9238

Re: Alan Roth doesn't like single premium annuities

If you otherwise would hold a portfolio that includes nominal bonds, there is no reason that the nominal bond allocation cannot be annuitized with a nominal SPIA without much change to the inflation risk of the portfolio.
by jalbert
Sat Oct 06, 2018 12:11 am
Forum: Investing - Theory, News & General
Topic: SLYV vs IJS [SPDR vs. iShares S&P 600 Small Cap Value]
Replies: 201
Views: 10004

Re: SLYV vs IJS [SPDR vs. iShares S&P 600 Small Cap Value]

Another point I didn’t notice articulated before (perhaps missed) is that if there are many more sellers than buyers for an ETF like VIOV, a market maker can buy up shares of VIOV and redeem them from Vanguard receiving the underlying shares of stocks. What this means is that (as long as the underly...
by jalbert
Fri Oct 05, 2018 10:04 pm
Forum: Investing - Help with Personal Investments
Topic: Differences between Index Funds
Replies: 20
Views: 1914

Re: Differences between Index Funds

Vanguard index funds have ETFs as share classes of the same fund as a mutual fund. ETF stands for exchange-traded fund and it is like a mutual fund but its shares trade like shares of a stock. You may be able to deposit assets into the investor share classes of vanguard index fund mutual funds and t...
by jalbert
Fri Oct 05, 2018 9:59 pm
Forum: Personal Finance (Not Investing)
Topic: Need Health Insurance (Non-ACA Options)
Replies: 77
Views: 4912

Re: Need Health Insurance (Non-ACA Options)

I own a small business and have been on a small business Health Insurance plan for years. However, my staff are now either on their spouses plans, or ACA plans because it is less expensive (basically free) because of their income. They all work under 30 hours per week. Anyway, my insurance provider...
by jalbert
Fri Oct 05, 2018 5:18 pm
Forum: Investing - Help with Personal Investments
Topic: Differences between Index Funds
Replies: 20
Views: 1914

Re: Differences between Index Funds

Hello, I'm new to investing. I opened an account with Charles-Schwab and started investing with them. Vanguard always seems to be the index funds people praise but I invested with Charles-Schwab index funds since they had no commission. Is there a major difference between the two that could make up...