Search found 84 matches

by CRTR
Mon Sep 24, 2018 9:26 pm
Forum: Investing - Help with Personal Investments
Topic: Small cap tilt
Replies: 86
Views: 5427

Re: Small cap tilt

OK, I'm pretty sure I'm in the minority on this board (except for Larry Swedroe) but I've been VERY WELL served by having an extreme small cap tilt for the past 21 years. In fact, the equity portion of my portfolio has outperformed the classic Boglehead simple approach (TSM/TISM) on both an absolut...
by CRTR
Mon Sep 24, 2018 8:13 pm
Forum: Investing - Help with Personal Investments
Topic: Novice question
Replies: 9
Views: 559

Re: Novice question

the short answer to your question is NO. There is NOT a good reason for not using CDs over bonds or bond funds for the next couple years. In fact, I would make the argument if your time horizon is, in fact, two years, CDs would be the better option because there is not interest rate risk. For exampl...
by CRTR
Mon Sep 24, 2018 6:54 pm
Forum: Investing - Help with Personal Investments
Topic: Help with moving from an Advisor to a self managed account
Replies: 9
Views: 769

Re: Help with moving from an Advisor to a self managed account

You are in great shape! It appears that you have more than enough funds to cover both you and your wife. It's just a matter of your deciding how you want to do it . . . there is a LOT going on in your portfolio and a lot of potential issues with any changes you make. Furthermore, it seems your futur...
by CRTR
Mon Sep 24, 2018 5:09 pm
Forum: Investing - Help with Personal Investments
Topic: Help choosing Emerging Market Funds/ETFs
Replies: 8
Views: 828

Re: Help choosing Emerging Market Funds/ETFs

SCHE, VEIEX or VWO would be my choice for the following reasons:
1. cheap/low ER
2. lower correlation to US equities and developed market equities thus better diversification
3. probably SCHE if in a taxable account
by CRTR
Sat Sep 22, 2018 5:49 pm
Forum: Investing - Help with Personal Investments
Topic: Mom's Estate: Can you help please?
Replies: 44
Views: 1976

Re: Mom's Estate: Can you help please?

One thing I noticed was the Coastal Home. Not sure if someone mentioned this already. If that is part of her will, it will have to go through probate in California. Doing probate yourself is a major pain in California (I know, I did it when my Dad passed ~10 years ago). Paying someone to do it is qu...
by CRTR
Sat Sep 22, 2018 1:30 pm
Forum: Investing - Help with Personal Investments
Topic: Getting Started with Rental Property Investments
Replies: 8
Views: 839

Re: Getting Started with Rental Property Investments

..... I’d also recommend against buying a condo for a rental as the HOA will kill any cash flow opportunity. .... My rental condo balance sheet and net monthly cash flow begs to differ. :D What is the monthly rental compared to the purchase cost? What % of property value is your property tax? I don...
by CRTR
Sat Sep 22, 2018 8:53 am
Forum: Investing - Help with Personal Investments
Topic: Small cap tilt
Replies: 86
Views: 5427

Re: Small cap tilt

OK, I'm pretty sure I'm in the minority on this board (except for Larry Swedroe) but I've been VERY WELL served by having an extreme small cap tilt for the past 21 years. In fact, the equity portion of my portfolio has outperformed the classic Boglehead simple approach (TSM/TISM) on both an absolut...
by CRTR
Fri Sep 21, 2018 4:34 pm
Forum: Investing - Help with Personal Investments
Topic: Out of Market
Replies: 23
Views: 3282

Re: Out of Market

The 5 year terms are yielding over 3%, some portion allocated to 5 year bucket increases return, the risk is inflation, but with 20% in 5 year terms, you are not overly exposed to it. In addition to the risk of inflation, there is also opportunity risk. That means that if interest rates rise during...
by CRTR
Fri Sep 21, 2018 4:17 pm
Forum: Investing - Help with Personal Investments
Topic: HELOC as a bonds replacement for drawing down from in a downturn?
Replies: 36
Views: 2136

Re: HELOC as a bonds replacement for drawing down from in a downturn?

I'm sorry to hear about the difficulties you experienced during those times. You also raise a really good point. A HELOC is not a very good source of emergency funds if it can be cut off arbitrarily. I wondered why they didn't touch my HELOC if so many others were affected. So, I called K Fitzgeral...
by CRTR
Fri Sep 21, 2018 3:20 pm
Forum: Investing - Help with Personal Investments
Topic: HELOC as a bonds replacement for drawing down from in a downturn?
Replies: 36
Views: 2136

Re: HELOC as a bonds replacement for drawing down from in a downturn?

It's good question. I never had the need to access my emergency funds. BofA never closed the account, even during the financial crisis. I doubt it would have been difficult to access the fund if I did need them. The HELOC came with checks, a VISA or I could have had the $$ directly deposited into m...
by CRTR
Thu Sep 20, 2018 6:26 pm
Forum: Personal Finance (Not Investing)
Topic: Whole Life vs Universal Life Insurance
Replies: 30
Views: 1628

Re: Whole Life vs Universal Life Insurance

I am 29, and want to start a life insurance policy. I am attracted to the permanent plans, as they can actually pay back. I am trying to decided if I should go with whole life or Universal. From reading it seems like whole life usually offers some good dividens that can be reinvested, but universal...
by CRTR
Thu Sep 20, 2018 6:20 pm
Forum: Investing - Help with Personal Investments
Topic: Total Bond or Total Bond/short-term
Replies: 48
Views: 4682

Re: Total Bond or Total Bond/short-term

... I'm sorry if this is off topic but why not consider a Cd ladder instead of a short-term bond ladder or fund? You get zero interest rate risk and the yield is higher than ST bonds or funds (currently, >3% on 4 year CD is widely available). Nowadays, you can purchase CDs with minimal early withdr...
by CRTR
Thu Sep 20, 2018 5:22 pm
Forum: Investing - Help with Personal Investments
Topic: HELOC as a bonds replacement for drawing down from in a downturn?
Replies: 36
Views: 2136

Re: HELOC as a bonds replacement for drawing down from in a downturn?

I like(d) the strategy so much that I used it for a related reason. I used a HELOC as my emergency fund for >20 years, which allowed me to keep that money in the market instead of a low interest account. I set it up at my bank (BofA). Their HELOC came with a 25 year term/10 year draw, usually had 1...
by CRTR
Thu Sep 20, 2018 7:18 am
Forum: Investing - Help with Personal Investments
Topic: Total Bond or Total Bond/short-term
Replies: 48
Views: 4682

Re: Total Bond or Total Bond/short-term

Personally, I'm only using short-term bond funds because when I look at bond funds I would want the fund to roughly match what a ladder of individual bonds I might be willing to hold to maturity would look like. If I would hold a ladder of bonds maturing in 1,2,3,4, and 5 years out it gets me an av...
by CRTR
Thu Sep 20, 2018 3:12 am
Forum: Investing - Help with Personal Investments
Topic: HELOC as a bonds replacement for drawing down from in a downturn?
Replies: 36
Views: 2136

Re: HELOC as a bonds replacement for drawing down from in a downturn?

I like(d) the strategy so much that I used it for a related reason. I used a HELOC as my emergency fund for >20 years, which allowed me to keep that money in the market instead of a low interest account. I set it up at my bank (BofA). Their HELOC came with a 25 year term/10 year draw, usually had 1 ...
by CRTR
Wed Sep 19, 2018 1:02 pm
Forum: Investing - Help with Personal Investments
Topic: Taking Over Management of $7M Portfolio - Need Review/Help Allocating
Replies: 50
Views: 3982

Re: Taking Over Management of $7M Portfolio - Need Review/Help Allocating

My grandma has asked me to do this and all of the heirs are supportive of the decision. She is completely with it mentally and none of her children would claim otherwise. She would assign me power of attorney on all the accounts. I know my aunts and uncles well and don't expect any issues from them...
by CRTR
Wed Sep 19, 2018 6:06 am
Forum: Investing - Help with Personal Investments
Topic: UTMA help.... advice needed for inherited UTMA
Replies: 9
Views: 506

Re: UTMA help.... advice needed for inherited UTMA

With the recent tax reform change to trust tax brackets for UTMA unearned income above the dependents standard deduction and tax rate. It is far more favorable to hold equities in UTMA accounts. You can have up to $4700/year in LTCGs and QDIVs and pay no taxes. However, even with that, you will wan...
by CRTR
Wed Sep 19, 2018 5:26 am
Forum: Personal Finance (Not Investing)
Topic: Best Next Move? HELOC / Mortgage, etc.
Replies: 3
Views: 464

Re: Best Next Move? HELOC / Mortgage, etc.

Lots of unknowns here which make it tough to give a definitive answer. For example, what are you current loan payments (P&I)? We don't know, for sure, what future mortgage rates will be. Don't know how long you will stay in current house. How much can you afford to pay/month. Is your motivation to r...
by CRTR
Tue Sep 18, 2018 5:50 pm
Forum: Personal Finance (Not Investing)
Topic: What is a reasonable fee charged by financial planners?
Replies: 30
Views: 2138

Re: What is a reasonable fee charged by financial planners?

As you can imagine, there are limitless methods for charging people for financial advice. I lean towards the fee for service/advice model as opposed to the assets under management (AUM) based fee. In the former, most planners charge by the hour or a flat fee for a given job ($2500 for comprehensive ...
by CRTR
Tue Sep 18, 2018 5:29 pm
Forum: Investing - Theory, News & General
Topic: Robert Shiller interview: "Market could get a lot higher"
Replies: 28
Views: 4473

Robert Shiller interview: "Market could get a lot higher"

Ran across this. Thought some might be interested in what the "guru" has to say. This sort of thing always cracks me up. Popularly, just about every pundit out there has been forecasting doom and gloom any day now for the equities and they typically base their predictions mostly on Shiller's CAPE ra...
by CRTR
Mon Sep 17, 2018 4:54 pm
Forum: Investing - Help with Personal Investments
Topic: Laddered CDs
Replies: 28
Views: 2813

Re: Laddered CDs

Fidelity is easy to do it with . . . but you might not want to . . . . I helped a friend do it last year. You might want to consider other destinations. I use www.depositaccounts.com to get an idea of what rates are available and used that as my benchmark. Currently, at Fidelity 2.45% is the best I ...
by CRTR
Mon Sep 17, 2018 4:40 pm
Forum: Personal Finance (Not Investing)
Topic: Whole Life vs Universal Life Insurance
Replies: 30
Views: 1628

Re: Whole Life vs Universal Life Insurance

I'm with "gclancer" on this one. Let's start with the basics: 1. Why do you need life insurance? 2. How much life insurance do you need? How did you arrive at that number? It sounds like the appeal of permanent policies is the "investment returns" you can earn. The way I think of permanent policies ...
by CRTR
Fri Sep 14, 2018 6:18 pm
Forum: Investing - Help with Personal Investments
Topic: Investing Portfolio Mix
Replies: 5
Views: 437

Re: Investing Portfolio Mix

Thank you for the feedback. I will look into maxing out the TSP. What is the reason for doing the tax differed option as opposed to the Roth? With the remaining money that we have, we would like it to be invested in something that we can can take out whenever we want when we hit that 50 mark not a ...
by CRTR
Fri Sep 14, 2018 5:19 pm
Forum: Investing - Help with Personal Investments
Topic: VTSAX and VTMSX in taxable
Replies: 12
Views: 1502

Re: VTSAX and VTMSX in taxable

Thesaints wrote:
Fri Sep 14, 2018 4:29 pm
Small-caps will necessarily be a little less tax efficient.
Maybe but definitely not in this case. Tax losses for VTMSX are about half that of VTSAX (see for yourself on either Morningstar or Vanguard).
by CRTR
Fri Sep 14, 2018 2:41 pm
Forum: Investing - Help with Personal Investments
Topic: Using 401k loans to max tax advantaged accounts early in career
Replies: 24
Views: 1241

Re: Using 401k loans to max tax advantaged accounts early in career

Couple other thoughts . . . . The interest is paid with post-tax dollars and goes into a qualified account. For example, a $50,000 loan carrying a 6 percent interest rate will generate $3000 annually in interest that will be taxed at your marginal income tax rate. The $3000 will be taxed AGAIN when...
by CRTR
Fri Sep 14, 2018 1:35 pm
Forum: Investing - Help with Personal Investments
Topic: Using 401k loans to max tax advantaged accounts early in career
Replies: 24
Views: 1241

Re: Using 401k loans to max tax advantaged accounts early in career

So two big issues that I see. 1). I believe most 401k loans charge interest, so you would have to weigh the potential tax savings verse the interest rate. 2). The much larger concern would be you losing your job before any income increases. Most 401k loans have to be paid back within a very short t...
by CRTR
Fri Sep 14, 2018 1:26 pm
Forum: Investing - Help with Personal Investments
Topic: Investing Large Sum of Cash in VUSXX @ Etrade
Replies: 7
Views: 624

Re: Investing Large Sum of Cash in VUSXX @ Etrade

I have no issues with the choice. Very safe fund. I guess my question is how soon -- or even if you know -- do you expect to access the funds? Another safe, higher yielding option could be a CD ladder. I have a 5 CD year ladder and the worst yield is 2.6% and will be turned over to ~3.5% in December...
by CRTR
Fri Sep 14, 2018 1:04 pm
Forum: Investing - Help with Personal Investments
Topic: Small cap tilt
Replies: 86
Views: 5427

Re: Small cap tilt

OK, I'm pretty sure I'm in the minority on this board (except for Larry Swedroe) but I've been VERY WELL served by having an extreme small cap tilt for the past 21 years. In fact, the equity portion of my portfolio has outperformed the classic Boglehead simple approach (TSM/TISM) on both an absolute...
by CRTR
Thu Sep 13, 2018 12:07 pm
Forum: Investing - Help with Personal Investments
Topic: expenses in a 401k
Replies: 6
Views: 418

Re: expenses in a 401k

That's a nice 401k you have!!

Ironically, you are paying less in your 401k than I do in a Vanguard i401k. In a Vanguard i401k, you are limited to Investor Class Shares. The ER of of VFINX is 0.14% as opposed to the 0.08% you're paying.
by CRTR
Tue Sep 11, 2018 4:02 pm
Forum: Investing - Help with Personal Investments
Topic: Asset allocation after paying off mortgage
Replies: 22
Views: 1796

Re: Asset allocation after paying off mortgage

thought you might find this discussion by Alan Roth interesting.

https://www.financial-planning.com/news ... e-mortgage

Mathematically, his position makes perfect sense to me.
by CRTR
Tue Sep 11, 2018 3:58 pm
Forum: Investing - Help with Personal Investments
Topic: Retirement accounts transfer question
Replies: 14
Views: 1025

Re: Retirement accounts transfer question

Just to complicate matters, I have another option . . . . open an i401k (with Etrade, just to name one option) and roll over the 403B funds to the i401k. I established an i401k years ago as a sole proprietor, expecting to earn some $ moonlighting . . . I never did. I rolled over my old employer 401k...
by CRTR
Sun Jul 01, 2018 11:04 am
Forum: Investing - Help with Personal Investments
Topic: VFIAX - TD Ameritrade -> Vanguard [Vanguard 500 Index]
Replies: 18
Views: 842

Re: VFIAX - TD Ameritrade -> Vanguard

Ironically, you can't buy Admiral Class funds in a 401k at Vanguard. You are limited to Investor Class funds. Interestingly, you can buy Admiral Class funds at Etrade though you may have to pay $20 commission.
by CRTR
Sun Jul 01, 2018 10:58 am
Forum: Investing - Help with Personal Investments
Topic: High-tax bracket (35%), 401K maxed, should I max Mega Backdoor Roth IRA?
Replies: 8
Views: 1269

Re: High-tax bracket (35%), 401K maxed, should I max Mega Backdoor Roth IRA?

So, you have an employer sponsored 401k and an individual 401k? Just curious . . . . . How are you able to pull that off? Self-employed income? Are they unrelated employers (not part of "controlled groups")?
by CRTR
Sun Jul 01, 2018 10:49 am
Forum: Investing - Help with Personal Investments
Topic: Actively managed international funds vs index international funds.
Replies: 14
Views: 1659

Re: Actively managed international funds vs index international funds.

Hmmmmmm . . . . just for fun and to play Devil's Advocate/to stoke the active/passive debate: 1. Correct me if I'm wrong but Isn't the best performing international (NOT including global funds) fund at VG over the past 10, 15, 20 years an actively managed one? (See VINEX). I'm unaware of any world e...
by CRTR
Mon May 14, 2018 12:31 pm
Forum: Investing - Help with Personal Investments
Topic: Allocation to combine Dave Ramsey and Vanguard?
Replies: 79
Views: 7842

Re: Allocation to combine Dave Ramsey and Vanguard?

Hi guys! Looking for thoughts on the following asset allocation? Dave Ramsey recommends staying aggressive not just when young but even through retirement. His split is an even 25% for Growth and Income, Growth, Aggressive Growth, and International. I've heard this described as Large, Mid, Small, I...
by CRTR
Fri May 11, 2018 6:58 pm
Forum: Investing - Help with Personal Investments
Topic: RMD—Move Cash or Equity?
Replies: 5
Views: 761

Re: RMD—Move Cash or Equity?

Hmmm . .. .couple of thoughts, off the top of my head. 1. I manage my Mom's portfolio and she has some old Vanguard Wellington holdings in her taxable brokerage account. It is NOT that tax efficient, in my opinion. She loses 1-2% per year of the total return due to taxes. So, I'm not sure I agree co...
by CRTR
Tue May 08, 2018 11:48 am
Forum: Investing - Help with Personal Investments
Topic: Emergency Fund Investment Plan
Replies: 24
Views: 2629

Re: Emergency Fund Investment Plan

OK, I'm probably going to get flamed for this but going to put it out there anyway . . . I don't have an "emergency fund", per se. Never have, never will. What I do have is a HELOC. I promise to try not to flame, because 95% of your reasoning makes perfect sense to me. Still, as a guy who spent mos...
by CRTR
Tue May 08, 2018 11:24 am
Forum: Investing - Help with Personal Investments
Topic: Concerns about RMD for roth vs tIRA contribution
Replies: 37
Views: 2099

Re: Concerns about RMD for roth vs tIRA contribution

I can't tell you what you 'should' do but I can tell you our plans. We are putting: 50% of our savings into pretax 15% of our savings into Roth 35% of our savings into after tax I don't know what the future will hold but with that breakdown we feel like we are getting a good tax break now and will ...
by CRTR
Tue May 08, 2018 8:28 am
Forum: Investing - Help with Personal Investments
Topic: Looking for an individual 401k that will accept qualified plan rollovers
Replies: 9
Views: 452

Re: Looking for an individual 401k that will accept qualified plan rollovers

I would like to be able to roll over my retirement savings from my current company's 401k to the individual 401K to take advantage of ERISA protections. What new ERISA protections do you get in Solo 401k that you DONT have in your employer 401k? Especially, since an owner-only employer retirement p...
by CRTR
Tue May 08, 2018 8:20 am
Forum: Investing - Help with Personal Investments
Topic: Concerns about RMD for roth vs tIRA contribution
Replies: 37
Views: 2099

Re: Concerns about RMD for roth vs tIRA contribution

I can't tell you what you 'should' do but I can tell you our plans. We are putting: 50% of our savings into pretax 15% of our savings into Roth 35% of our savings into after tax I don't know what the future will hold but with that breakdown we feel like we are getting a good tax break now and will ...
by CRTR
Tue May 08, 2018 8:04 am
Forum: Investing - Help with Personal Investments
Topic: Emergency Fund Investment Plan
Replies: 24
Views: 2629

Re: Emergency Fund Investment Plan

OK, I'm probably going to get flamed for this but going to put it out there anyway . . . I don't have an "emergency fund", per se. Never have, never will. What I do have is a HELOC. It doesn't cost me anything. I can access it any time I want . . . .which has been never . . . it satisfies all the re...
by CRTR
Tue May 08, 2018 7:38 am
Forum: Investing - Help with Personal Investments
Topic: No Admiral Shares in a Vanguard Individual 401(k)
Replies: 46
Views: 12558

Re: No Admiral Shares in a Vanguard Individual 401(k)

Is this still true? I am trying to decide where to open my Individual 401(k) and would like to open it at Vanguard (where my other accounts are). However, if you can't buy the Admiral shares then I would consider opening elsewhere. On the White Coat Investor Podcast, I heard that you could open an ...
by CRTR
Sun May 06, 2018 11:59 am
Forum: Investing - Help with Personal Investments
Topic: Emergency Fund
Replies: 10
Views: 1511

Re: Emergency Fund

I keep 100% of my portfolio invested. I don't have an emergency fund, per se. I do have a HELOC that doesn't cost me anything and I can access the funds any time I need to . . . which has been never . . . Keeping 6 months expenses in cash or highly liquid, low volatility assets (no or low return, in...
by CRTR
Sun May 06, 2018 11:44 am
Forum: Investing - Help with Personal Investments
Topic: Barclays Schiller CAPE ETN
Replies: 14
Views: 1439

Re: Barclays Schiller CAPE ETN

This is an interesting thread in that it may have answered a long standing question I've had . . . . a work colleague has used the same advisor for 15-20 years. He boasts his portfolio performance (dollar weighted OR time weighted) consistently has beat the market. I, of course, was VERY skeptical ....
by CRTR
Fri Apr 27, 2018 12:53 pm
Forum: Investing - Help with Personal Investments
Topic: Considering a CD ladder
Replies: 45
Views: 8149

Re: Considering a CD ladder

May I ask, is there a simple "CD Ladder for Dummies" approach that you recommend? :?: I understand Fidelity has options, but it would also seem there would be additional costs associated with that. Frankly the above conversations are above my level of understanding/expertise. (thanks in advance) Th...
by CRTR
Fri Apr 27, 2018 12:38 am
Forum: Investing - Help with Personal Investments
Topic: Any Vanguard Global Min Vol Fans? (VMVFX)?
Replies: 17
Views: 1955

Re: Any Vanguard Global Min Vol Fans? (VMVFX)?

Yes, I am . . . . so far. . . . IN January 2015, I redeemed some shares in a partnership and opened a small joint account at Vanguard. For kicks and giggles, we split the money into 3 equal piles and invested each 1/3 into Global Equity (VHGEX), Total World Stock Index (VTWSX) and Minimum Volatility...
by CRTR
Thu Apr 26, 2018 12:55 pm
Forum: Investing - Help with Personal Investments
Topic: Considering a CD ladder
Replies: 45
Views: 8149

Re: Considering a CD ladder

I have some recent (~15 years) experience with CDs. Here are some thoughts . . . . . There is nothing wrong with your idea. I've been doing it for ~7 years in my Mom's account. Her returns have outpaced Vanguard Total Bond fund by significant margin, with less "risk" (volatility and no loss of princ...
by CRTR
Wed Apr 25, 2018 8:41 pm
Forum: Investing - Help with Personal Investments
Topic: Tax inefficiency
Replies: 5
Views: 492

Re: Tax inefficiency

well, tough to give my full opinion without knowing more but that won't stop me from tossing in my two bits anyway . . . how about gifting the shares with the lowest basis to the charity of her choice and unload the rest. With distributions that high, it won't take long to come out ahead . . . as tr...