Search found 3406 matches

by jalbert
Wed Aug 15, 2018 10:24 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Betting Against Beta
Replies: 8
Views: 907

Re: Larry Swedroe: Betting Against Beta

Beta is the largest driver of expected return for most stocks under CAPM and multi-factor models. I’m trying to understand how one can simultaneously believe those models are correct and believe that low beta stocks have a higher expected return than high beta stocks. Another point is that many low ...
by jalbert
Wed Aug 15, 2018 5:54 pm
Forum: Investing - Theory, News & General
Topic: Are Investment and Retirement Accounts Proctected Against Identity Theft?
Replies: 4
Views: 361

Re: Are Investment and Retirement Accounts Proctected Against Identity Theft?

I’m not an attorney, so don’t take this as an authoritative response. My understanding is that the following are the legal protections for financial accounts. Banks and credit unions, consumer accounts: Regulation E: https://www.federalreserve.gov/bankinforeg/regecg.htm I don’t think it applies to b...
by jalbert
Wed Aug 15, 2018 3:03 pm
Forum: Investing - Theory, News & General
Topic: Daily contributions to non-US equity returns
Replies: 0
Views: 81

Daily contributions to non-US equity returns

Most US investors who invest in non-US equities, use aggregated total, DM, or EM investment products and track indices for those classes. This is a highly appropriate diversification to use. It still is interesting to see which countries are driving the returns on a given day. The following link sho...
by jalbert
Wed Aug 15, 2018 1:38 pm
Forum: Investing - Help with Personal Investments
Topic: Trying to simplify - 18 holdings all less than 1% of total portfolio
Replies: 11
Views: 556

Re: Trying to simplify - 18 holdings all less than 1% of total portfolio

This year, sell the ones that overperformed the market, and sell any that are at a loss. Your excess gains will approximately pay the tax. Sell the rest a year or so later but if there is a market selloff before that, sell then as both the individual holdings and a diversified portfolio will both be...
by jalbert
Wed Aug 15, 2018 12:59 pm
Forum: Investing - Theory, News & General
Topic: Take your canes out in Emerging Markets
Replies: 20
Views: 2021

Re: Take your canes out in Emerging Markets

Largest driver of the EM sell off today: CNYA and MCHI (Chinese equities) are both down over 4% in USD valuation. Other individual country EM equity indices are down less than aggregate EM indices in USD valuation. TUR (Turkish equities) is up almost 3% in USD valuation Edit: EZA (South Africa) is d...
by jalbert
Wed Aug 15, 2018 11:48 am
Forum: Investing - Theory, News & General
Topic: Take your canes out in Emerging Markets
Replies: 20
Views: 2021

Re: Take your canes out in Emerging Markets

I shall ignore the 110-year-old anecdote about alleged successes of unidentified "old veterans of Wall street" unless you can convince me that those venerable gents in were investing in emerging markets index funds in 1908. Well, apparently Henry Clews was a British citizen who was investing in the...
by jalbert
Wed Aug 15, 2018 12:30 am
Forum: Personal Consumer Issues
Topic: How often do you check your brokerage accounts
Replies: 73
Views: 4457

Re: How often do you check your brokerage accounts

RagnarRahl: I do not have a brokerage account. Everything is held directly with Vanguard and in my checking account. I check my Vanguard balance for fraud or mistakes once or twice a year. Never had a problem. Best wishes. Taylor How long do you have to report an account error once it is called to ...
by jalbert
Wed Aug 15, 2018 12:04 am
Forum: Investing - Help with Personal Investments
Topic: 401K fund allocation advice
Replies: 7
Views: 341

Re: 401K fund allocation advice

The simplest thing would be to just hold a target year fund aligned with your retirement year, possibly adjusting the year to the 70/30 portfolio. If you want to manage it yourself to get lower expense ratios, you can use these fund products with ERs shown. The allocation: 30% US BOND INDEX FUND 0.0...
by jalbert
Tue Aug 14, 2018 10:24 pm
Forum: Investing - Help with Personal Investments
Topic: 401K fund allocation advice
Replies: 7
Views: 341

Re: 401K fund allocation advice

To provide recommendations, what is needed for each fund in your posting is:

Fund name, fund ticker symbol, expense ratio.

The expense ratio should be from the 401K as this can vary from the expense ratio published by the fund provider.
by jalbert
Tue Aug 14, 2018 8:12 pm
Forum: Investing - Theory, News & General
Topic: How do index funds affect stock valuations?
Replies: 13
Views: 661

Re: How do index funds affect stock valuations?

If you buy or sell shares of an index fund, the dollar volume is spread across the entire market in proportion to the free float, a measure of liquidity of all the stocks. If you buy or sell shares of all of the stocks in a non-index portfolio, some stocks must be overweighted in the portfolio by vi...
by jalbert
Tue Aug 14, 2018 5:18 pm
Forum: Investing - Help with Personal Investments
Topic: Inflation adjusted annuity
Replies: 26
Views: 1498

Re: Inflation adjusted annuity

When real yields were negative a few years ago, insurance companies could not easily cover the liabilities of COLA’d annuities, and many stopped offering them. I think The Principal still does, maybe MetLife as well, not sure.
by jalbert
Tue Aug 14, 2018 2:57 pm
Forum: Investing - Theory, News & General
Topic: TLH partner for IXUS
Replies: 5
Views: 409

Re: TLH partner for IXUS

VXUS or a mix of 80% VEA & 20% VWO are both good TLH options for IXUS. A mix of IEFA & IEMG would also work.
by jalbert
Mon Aug 13, 2018 3:42 am
Forum: Investing - Help with Personal Investments
Topic: Old dog needs to learn to manage his investments
Replies: 60
Views: 5002

Re: Old dog needs to learn to manage his investments

I would suggest reading the article before dismissing the majority of its results. Equities and bonds have different left-tail failure modes and there is no reason that a 50-50 mix could not have significantly lower variance of 30-year of 40-year real returns than either asset class by itself. In fa...
by jalbert
Sun Aug 12, 2018 7:01 pm
Forum: Investing - Help with Personal Investments
Topic: Old dog needs to learn to manage his investments
Replies: 60
Views: 5002

Re: Old dog needs to learn to manage his investments

To put in in mathematical terms, equity portfolios have a much more perilous left tail than do safe assets, even when on average they are likely to outperform safe assets. In nominal terms, yes. The 30-year or 40-year real returns of nominal bonds have as perilous a left tail as equities. Have you ...
by jalbert
Sun Aug 12, 2018 3:47 pm
Forum: Investing - Help with Personal Investments
Topic: Old dog needs to learn to manage his investments
Replies: 60
Views: 5002

Re: Old dog needs to learn to manage his investments

Where I disagree with you is in your mis-characterization of risk. With a higher equity allocation, while you "fail" less often, when you do fail, you are more likely to fail by a lot. Running out of money is running out of money. Not sure what you mean be fail by a lot. With a portfolio of 50% lar...
by jalbert
Sat Aug 11, 2018 11:55 pm
Forum: Investing - Theory, News & General
Topic: The Bigger Story: Fidelity Expense Ratios
Replies: 91
Views: 8126

Re: The Bigger Story: Fidelity Expense Ratios

Forgive me if this was highlighted in one of the longer threads, but this chart seems to me a bigger story than the introduction of the two ZERO expense funds. Other Fidelity index funds have expense ratios on average half of Vanguard's expense ratios. http://i65.tinypic.com/t85aiq.png If there is ...
by jalbert
Sat Aug 11, 2018 11:27 pm
Forum: Investing - Help with Personal Investments
Topic: Old dog needs to learn to manage his investments
Replies: 60
Views: 5002

Re: Old dog needs to learn to manage his investments

The risk adjustment questionnaires are ludicrous. In my experience, even when I choose the most risk averse answers they offer, I end up with an excessive equity allocation. Recommendations for asset allocation by fund companies have been getting more aggressive over the years. I tend to look at ag...
by jalbert
Sat Aug 11, 2018 11:04 pm
Forum: Investing - Help with Personal Investments
Topic: Old dog needs to learn to manage his investments
Replies: 60
Views: 5002

Re: Old dog needs to learn to manage his investments

That 600k in 10 years should be over 1million... with no new contributions. With no new contributions, to achieve $1M in today's dollars would require a 5.1% real return over the next 10 years. The odds of achieving that with a 60/40 portfolio are quite low. I have no quantitative opinion about the...
by jalbert
Sat Aug 11, 2018 10:45 pm
Forum: Personal Consumer Issues
Topic: Bulk file rename utility? (e.g. add prefix to all files in a directory)
Replies: 13
Views: 844

Re: Bulk file rename utility? (e.g. add prefix to all files in a directory)

That's what subdirectories/subfolders are for. The point of a hierarchical file system is to avoid needing to categorize things by naming conventions involving substrings in the file names. In the example, you could create a subfolder with the prefix name and move the files there. You still can ref...
by jalbert
Sat Aug 11, 2018 2:45 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe:Don’t Go “Mad Money”
Replies: 22
Views: 3107

Re: Larry Swedroe:Don’t Go “Mad Money”

It also took alot more risk than holding the S&P500 from being less diversified.
by jalbert
Sat Aug 11, 2018 2:35 pm
Forum: Personal Consumer Issues
Topic: Bulk file rename utility? (e.g. add prefix to all files in a directory)
Replies: 13
Views: 844

Re: Bulk file rename utility? (e.g. add prefix to all files in a directory)

That's what subdirectories/subfolders are for. The point of a hierarchical file system is to avoid needing to categorize things by naming conventions involving substrings in the file names. In the example, you could create a subfolder with the prefix name and move the files there. You still can refe...
by jalbert
Fri Aug 10, 2018 10:24 pm
Forum: Investing - Theory, News & General
Topic: Would buy and hold work if Japan's lost decade happens?
Replies: 64
Views: 7445

Re: Would buy and hold work if Japan's lost decade happens?

“So when did the overall stock market really make it back to its pre-crash peak?” Hulbert asks. “Just four years and five months after its mid-1932 low, according to data provided … by Ibbotson Associates, a division of Morningstar. source: http://blog.validea.com/the-great-depre ... very-myth/ Tha...
by jalbert
Fri Aug 10, 2018 8:30 pm
Forum: Personal Consumer Issues
Topic: Piano Tuning - Cost and Recommendations
Replies: 9
Views: 731

Re: Piano Tuning - Cost and Recommendations

It may need more than one tuning to get it in tune given how long since it was tuned. A basic tuning in our area is $90-95. Tuning and servicing by a certified piano technician would be $125-140, likely worth the extra cost for a Yamaha upright, at least for the current servicing needs. If it requir...
by jalbert
Fri Aug 10, 2018 8:20 pm
Forum: Investing - Help with Personal Investments
Topic: Old dog needs to learn to manage his investments
Replies: 60
Views: 5002

Re: Old dog needs to learn to manage his investments

I'm a little surprised that you folks seem to be leaning toward the Lifestrategy fund rather than the Three or Four Fund Portfolio? After so many years of having a dozen mutual funds putting it all in one fund seems a little, all eggs in one basket to me. Even though the single funds risk is spread...
by jalbert
Fri Aug 10, 2018 7:37 pm
Forum: Investing - Help with Personal Investments
Topic: Old dog needs to learn to manage his investments
Replies: 60
Views: 5002

Re: Old dog needs to learn to manage his investments

You could hold a 50:50 mix of VSCGX and VSMGX to get to 50% stock, but once you have more than one fund and have to rebalance from time to time, you might as well hold the underlying index funds. This also gives you the opportunity to set a different percentage for int’l stocks as a percentage of yo...
by jalbert
Fri Aug 10, 2018 7:02 pm
Forum: Personal Consumer Issues
Topic: Piano Tuning - Cost and Recommendations
Replies: 9
Views: 731

Re: Piano Tuning - Cost and Recommendations

What brand and type piano? How long since it was last tuned?
by jalbert
Fri Aug 10, 2018 12:58 pm
Forum: Personal Finance (Not Investing)
Topic: Response from boss re: market analysis
Replies: 71
Views: 7358

Re: Rude response from boss re: market adjustment

I guess perception is different for all. I felt the "reconsider your position" part was unnecessary. I can accept a "no" answer I think the "reconsider your position" had to do with your being part-time. Working part-time gives you no leverage with the employer. You are not establishing yourself as...
by jalbert
Fri Aug 10, 2018 11:55 am
Forum: Investing - Help with Personal Investments
Topic: treasury bills 4 weeks not always available?
Replies: 10
Views: 608

Re: treasury bills 4 weeks not always available?

You could just put this in the Vanguard Treasury Money Market fund VUSXX and pay Vanguard 9 bp/year to manage it for you. 7-day SEC yield is 1.89% compounding to 1.91%.
by jalbert
Fri Aug 10, 2018 3:17 am
Forum: Investing - Theory, News & General
Topic: The stock market is shrinking.
Replies: 68
Views: 7196

Re: The stock market is shrinking.

When I say “shrinking,” I’m using a specific definition: the reduction in the number of publicly traded companies on exchanges in the United States. In the mid-1990s, there were more than 8,000 of them. By 2016, there were only 3,627... The mid-1990’s were an outlier in the other direction, not a s...
by jalbert
Fri Aug 10, 2018 12:35 am
Forum: Investing - Theory, News & General
Topic: Illiquidiity scenarios for Mutual Funds/ETFs
Replies: 21
Views: 1143

Re: Illiquidiity scenarios for Mutual Funds/ETFs

Why do you wish to convert it to ETF shares? I could see doing that if you wish to do a transfer-in-kind of the asset to another broker. Otherwise, leaving it as a mutual fund preserves the option of holding it as either a mutual fund or ETF, as you could convert to an ETF if it ever became clearly ...
by jalbert
Fri Aug 10, 2018 12:24 am
Forum: Investing - Help with Personal Investments
Topic: Old dog needs to learn to manage his investments
Replies: 60
Views: 5002

Re: Old dog needs to learn to manage his investments

Is this a taxable account or tax-qualified account? If it is a taxable account, you will need to understand the embedded capital gains and losses to understand the tax consequences of re-allocating the assets and then to see what strategies are feasible.
by jalbert
Thu Aug 09, 2018 1:23 pm
Forum: Investing - Help with Personal Investments
Topic: keep cash in after-tax for bridge to Social Security ?
Replies: 32
Views: 2693

Re: keep cash in after-tax for bridge to Social Security ?

The alternate strategy to compare with is moving the cash in after-tax accounts to equities, moving a commensurate amount of equities to fixed-income in your tax-deferred account, and realizing income from your tax-deferred account to cover expenses until you are 70 and take SS, but no (or reduced) ...
by jalbert
Thu Aug 09, 2018 12:41 pm
Forum: Investing - Help with Personal Investments
Topic: QLAC and RMD
Replies: 7
Views: 440

Re: QLAC and RMD

Not disputing that delaying to age 85 is best, but I think it depends on where one’s marginal income lives within a given tax bracket. Delaying to 85 delays the RMDs for longer, but concentrates the income into fewer total years. This could move some of the income into a higher tax bracket. On the o...
by jalbert
Thu Aug 09, 2018 12:49 am
Forum: Investing - Theory, News & General
Topic: Fidelity Files for two Fidelity ZERO℠ Funds (0.00% ER total stock and total international mutual funds)
Replies: 619
Views: 52495

Re: Fidelity Files for two Fidelity ZERO℠ Funds (0.00% ER total stock and total international mutual funds)

We sure argue a lot on the fringes around here. I don't advocate argument; I advocate understanding. Anyway, Tax efficiency is one of the 10 Boglehead principles and can make a difference (when you're young even a 10 basis point advantage is significant when compounded over a lifetime) so I don't c...
by jalbert
Wed Aug 08, 2018 10:34 pm
Forum: Investing - Theory, News & General
Topic: Fidelity Files for two Fidelity ZERO℠ Funds (0.00% ER total stock and total international mutual funds)
Replies: 619
Views: 52495

Re: Fidelity Files for two Fidelity ZERO℠ Funds (0.00% ER total stock and total international mutual funds)

It appears that the Fidelity total US index funds FSTVX have had a lower ER than the corresponding Vanguard index funds for 7 years. How does that translate into overall before-tax performance? http://quotes.morningstar.com/chart/fund/chart?t=FSTVX®ion=usa&culture=en_US&dataParams=%7B%22zoomKey%2...
by jalbert
Wed Aug 08, 2018 4:47 pm
Forum: Investing - Help with Personal Investments
Topic: How safe is VTIP?
Replies: 31
Views: 2115

Re: How safe is VTIP?

TIP funds are bond funds, so they decline when interest rates go up. So they are not equivalent to savings accounts or money market funds. I didn't know TIPS are considered bonds. Since the yields of TIPS is not predetermined, I thought they are just another securities..... Thanks a lot for correct...
by jalbert
Tue Aug 07, 2018 11:30 pm
Forum: Investing - Help with Personal Investments
Topic: How safe is VTIP?
Replies: 31
Views: 2115

Re: How safe is VTIP?

It would help to know what OP meant by "safe" -- protection of principal, protection or growth of real value, FDIC insurance? Different answers for different questions. I agree. Safe , along with best , is among the most ambiguous words posted on this forum. PJW I see what you are saying. I think m...
by jalbert
Tue Aug 07, 2018 11:22 pm
Forum: Investing - Help with Personal Investments
Topic: VIOV + VSIAX
Replies: 9
Views: 772

Re: VIOV + VSIAX

I've historically held VSIAX but recently moved to VIOV for more small cap value exposure in my tax deferred accounts. In a tax-qualified account you might as well hold SLYV the State St. S&P Small-cap 600 value ETF. It is not as tax efficient as IJS or VIOV but it has an ER of 0.15%, 5 bp/yr lower...
by jalbert
Tue Aug 07, 2018 11:57 am
Forum: Personal Finance (Not Investing)
Topic: Tax Strategies for Selling a Rental Property - Not Section 1031 Eligible
Replies: 11
Views: 759

Re: Tax Strategies for Selling a Rental Property - Not Section 1031 Eligible

And I'm happy to be out of the landlord business -- I know many enjoy it/do well with it, but it's not for me (at least, not right now), and in particular is not a good thing when you're over 1000 miles away from your property. If you live in a state with income tax, that will also apply to the gain.
by jalbert
Tue Aug 07, 2018 2:43 am
Forum: Investing - Theory, News & General
Topic: Fidelity Files for two Fidelity ZERO℠ Funds (0.00% ER total stock and total international mutual funds)
Replies: 619
Views: 52495

Re: Fidelity Files for two Fidelity ZERO℠ Funds (0.00% ER total stock and total international mutual funds)

VTIAX is a perfectly good fund to hold in taxable. If you were to TLH and move to Fidelity, I would suggest switching to ITOT as a comparable. VTIAX is a total int’l stock index fund and ITOT is a total US stock index fund, not comparable. IXUS or a combination of (80% VTMGX, 20% VEMAX) would be su...
by jalbert
Tue Aug 07, 2018 12:55 am
Forum: Investing - Theory, News & General
Topic: Fidelity Files for two Fidelity ZERO℠ Funds (0.00% ER total stock and total international mutual funds)
Replies: 619
Views: 52495

Re: Fidelity Files for two Fidelity ZERO℠ Funds (0.00% ER total stock and total international mutual funds)

Could you please explain how the collateral return on investment can be negative if it is invested safely? I don't see it. I think you understood this but just to be clear, I was talking only about losses on the investment of collateral, not on securities lending losses due to the borrower's credit...
by jalbert
Tue Aug 07, 2018 12:51 am
Forum: Investing - Theory, News & General
Topic: Fidelity Files for two Fidelity ZERO℠ Funds (0.00% ER total stock and total international mutual funds)
Replies: 619
Views: 52495

Re: Fidelity Files for two Fidelity ZERO℠ Funds (0.00% ER total stock and total international mutual funds)

Back to the lending question--I took a look at the SAI for the Schwab total market fund and about 88% of the gross revenue makes it back to the fund as net revenue--so very close to Vanguard. Fidelity seems to be the odd man out here. I tried looking for older versions of the Fido SAI on Edgar to s...
by jalbert
Tue Aug 07, 2018 12:23 am
Forum: Investing - Help with Personal Investments
Topic: How safe is VTIP?
Replies: 31
Views: 2115

Re: How safe is VTIP?

I recently stumble upon VTIP (and similarly SCHP). They seem to give a better yield (2.12% for VTIP and 2.33% for SCHP) than all online High-Yield saving accounts (about 1.8%). Are they safe places to put emergency fund and down payment for a house? Thanks! High-yield savings account for emergency ...
by jalbert
Mon Aug 06, 2018 8:42 pm
Forum: Investing - Theory, News & General
Topic: Question about share dilution
Replies: 26
Views: 1518

Re: Question about share dilution

Normally companies issue new shares to fund new business activities. These should have the promise of future enhanced revenue.
by jalbert
Mon Aug 06, 2018 7:48 pm
Forum: Personal Finance (Not Investing)
Topic: Tax Strategies for Selling a Rental Property - Not Section 1031 Eligible
Replies: 11
Views: 759

Re: Tax Strategies for Selling a Rental Property - Not Section 1031 Eligible

You aren’t looking at a large capital gain. Depreciation recapture is taxed as regular income though. The sale will turn accrued passive losses into active losses you will take the year you sell. Strategies to reduce the tax exposure would be maxing out trad 401K and IRA and HSA contributions (using...
by jalbert
Mon Aug 06, 2018 6:06 pm
Forum: Investing - Theory, News & General
Topic: Fidelity Files for two Fidelity ZERO℠ Funds (0.00% ER total stock and total international mutual funds)
Replies: 619
Views: 52495

Re: Fidelity Files for two Fidelity ZERO℠ Funds (0.00% ER total stock and total international mutual funds)

Could you please explain how the collateral return on investment can be negative if it is invested safely? I don't see it. I think you understood this but just to be clear, I was talking only about losses on the investment of collateral, not on securities lending losses due to the borrower's credit...
by jalbert
Mon Aug 06, 2018 5:53 pm
Forum: Personal Finance (Not Investing)
Topic: LTC Insurance: How to buy it?
Replies: 20
Views: 1158

Re: LTC Insurance: How to buy it?

An article I read fairly recently suggested using a broker that is not aligned with any particular insurance company, but who can assist with originating with any LTCi provider. Such a broker will have no stake in which policy you take, and can help clarify your requirements and identify plans that ...
by jalbert
Mon Aug 06, 2018 2:43 pm
Forum: Investing - Theory, News & General
Topic: Is schwab TSM index fund serving 2 masters?
Replies: 29
Views: 3131

Re: Is schwab TSM index fund serving 2 masters?

Naw, they just take a bite out of your lunch when you do things like park cash in a money market fund. The MM funds are not the problem. Where investors lose out is when the sweep fund is held as bank deposits in a bank owned by the firm, and that sweep fund yields little more than 0. Investors the...
by jalbert
Mon Aug 06, 2018 2:33 pm
Forum: Investing - Theory, News & General
Topic: Treasury Bonds are the Only Bonds You Need
Replies: 112
Views: 11290

Re: Treasury Bonds are the Only Bonds You Need

You're recommending IT or LT bonds when rates haven't peaked ?
Let us know when they ring the bell indicating intermediate and/or long rates hit their peaks.