Search found 888 matches

by zeugmite
Tue Oct 17, 2017 8:10 pm
Forum: Investing - Theory, News & General
Topic: Fellow TDA bogleheads [TDA dropping Vanguard ETFs from commission-free list]
Replies: 298
Views: 13685

Re: Fellow TDA bogleheads [TDA dropping Vanguard ETFs from commission-free list]

denovo wrote:
Tue Oct 17, 2017 7:54 pm
They make you wait 14 weeks after opening up the account to get cash bonuses. TD would give it to you immediately.
Why does this matter? You'll have to hold longer than that to keep it.
by zeugmite
Tue Oct 17, 2017 4:28 pm
Forum: Investing - Theory, News & General
Topic: Fellow TDA bogleheads [TDA dropping Vanguard ETFs from commission-free list]
Replies: 298
Views: 13685

Re: Fellow TDA bogleheads [TDA dropping Vanguard ETFs from commission-free list]

Fidelity just looked a lot better. $2 less in commission per trade, lots of highly liquid, fairly low-cost iShares ETF's with no commission, and no 30-day limits on commission claw-back. TDA must have received a huge chunk of change from their new buddy providers to make this move. Here's the offici...
by zeugmite
Sun Oct 15, 2017 8:03 pm
Forum: Investing - Help with Personal Investments
Topic: What if HSA contribution more than gross income?
Replies: 1
Views: 261

What if HSA contribution more than gross income?

This is a theoretical question from trying to understand HSA rules. So HSA contributions are not subject to earned income rules like IRA contributions, only insurance type. If you had little earned income, and you made thousands worth of HSA contributions all from post-tax money, don't you end up wi...
by zeugmite
Thu Sep 28, 2017 1:41 pm
Forum: Investing - Help with Personal Investments
Topic: Allocation in TIAA-CREF
Replies: 27
Views: 2121

Re: Allocation in TIAA-CREF

It behaves like a mutual fund and can transfer to a beneficiary. In order for it to behave like an annuity, you must annuitize it. --vtMaps Thanks, I assume you're referring to the "payout phase" when you say you have to annuitize it to make it behave like an annuity, since that is one of the optio...
by zeugmite
Thu Sep 28, 2017 1:35 am
Forum: Investing - Help with Personal Investments
Topic: Allocation in TIAA-CREF
Replies: 27
Views: 2121

Re: Allocation in TIAA-CREF

So can you leave money in the fund indefinitely (besides RMD, obviously), and if so, does the fact that it is an "annuity" have any ramifications on death? Would it transfer to a beneficiary just like IRA money? Or would it have no value like a single-life annuity?
by zeugmite
Wed Sep 27, 2017 3:04 am
Forum: Investing - Help with Personal Investments
Topic: Allocation in TIAA-CREF
Replies: 27
Views: 2121

Re: Allocation in TIAA-CREF

GSRA is liquid like any mutual fund in your 403b - no restrictions at all. Obviously, this is just for moving money around WITHIN the 403b. Understood, I'm thinking that if the GSRA crediting rate falls too far behind, say, high quality corporate bond yields a few years down the line, hands wouldn'...
by zeugmite
Tue Sep 26, 2017 2:25 pm
Forum: Investing - Help with Personal Investments
Topic: Allocation in TIAA-CREF
Replies: 27
Views: 2121

Re: Allocation in TIAA-CREF

If your plan is a GSRA, there's no liquidity issue. You can transfer out whenever you want. If your plan is something else, I believe you're subject to the 10-year transfer requirement (although they pay 4% instead of 3% for your loss of liquidity). If you search TIAA Traditional here you'll find a...
by zeugmite
Thu Aug 31, 2017 1:16 pm
Forum: Investing - Theory, News & General
Topic: Ally Bank: No one can answer a simple question
Replies: 19
Views: 3291

Re: Ally Bank: No one can answer a simple question

At the end of the day, it's up to their backend software writers, internal auditors, and external regulators to make sure they've calculated everything right. While financial institutions tend to be among the more competent at math, I have seen enough to know that they also cut corners when there is...
by zeugmite
Sun Jul 09, 2017 5:08 pm
Forum: Investing - Theory, News & General
Topic: yahoo finance - adjusted price data incorrect?
Replies: 63
Views: 8170

Re: yahoo finance - adjusted price data incorrect?

What is going on with Yahoo Finance? It has not been reporting mutual fund prices since July 3 and the one for June 30 is null. It looks like the last free place to get historical data is gone. Are there any other options? You might be able to scrape it from the NASDAQ site, but not sure how sustain...
by zeugmite
Fri Jun 30, 2017 10:33 am
Forum: Investing - Theory, News & General
Topic: The Final, Definitive Thread on Brokerage Transfer Bonuses
Replies: 574
Views: 90819

Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

Earl Lemongrab wrote:I haven't really tracked the coming and going of the offers closely enough to say.
Not sure if already mentioned, but how long from funding are free trades available at TD? Immediately or you have to wait/ask?
by zeugmite
Wed May 31, 2017 9:17 am
Forum: Investing - Theory, News & General
Topic: Credit unions are non-profit, how come they do not dominate over banks???
Replies: 73
Views: 6361

Re: Credit unions are non-profit, how come they do not dominate over banks???

1. Fee-free ATM network kind of sucks 2. No multi-state branch network 3. Poor interest rates on liquid accounts 4. Poor technology innovation, e.g. web sites, mobile banking, etc. 5. Poor hours of operation, closes early and often 6. Small number of banking products They are really only good for ma...
by zeugmite
Wed May 24, 2017 7:01 pm
Forum: Investing - Theory, News & General
Topic: Ally Self-Directed Trading
Replies: 11
Views: 1603

Re: Ally Self-Directed Trading

At least they are putting pressure on the low end with $4.95 trades, that's likely going to be the commission cap going forward everywhere.
by zeugmite
Thu May 18, 2017 6:25 pm
Forum: Investing - Theory, News & General
Topic: yahoo finance - adjusted price data incorrect?
Replies: 63
Views: 8170

Re: yahoo finance - adjusted price data incorrect?

Adjusted price is not that useful, as I stated previously. What you should be concerned with is daily return. For days with a dividend distribution, just add the distribution back into the price*. Once you have all the daily returns, you can find whatever price sequence you want. * Yahoo reports the...
by zeugmite
Tue May 16, 2017 7:57 am
Forum: Investing - Theory, News & General
Topic: yahoo finance - adjusted price data incorrect?
Replies: 63
Views: 8170

Re: yahoo finance - adjusted price data incorrect?

i was pulling price history data from finance.yahoo.com, and i noticed that the "adjusted close price" is the same as the "close price" even before/after dividend payments. Is there a bug in the site? I've seen this. You can just do your own calculations though, and anyways adju...
by zeugmite
Sun May 14, 2017 11:25 am
Forum: Investing - Theory, News & General
Topic: iShares Proxy: Vote No on iShares sale to BlackRock
Replies: 27
Views: 12414

Re: iShares Proxy: Vote No on iShares sale to BlackRock

Any thoughts on the latest iShares vote? I am too tired to figure out what it is really about. Adding board members? Swapping them? Some other proposals?

https://www.ishares.com/us/literature/s ... y-2017.pdf
by zeugmite
Sun May 14, 2017 10:55 am
Forum: Investing - Theory, News & General
Topic: Why does Vanguard/Blackrock not offer a fund that replicates the market portfolio?
Replies: 19
Views: 2148

Re: Why does Vanguard/Blackrock not offer a fund that replicates the market portfolio?

What is the rationale for holding world market cap? I am not sure there is a plausible equilibrium story here given all the home-state biases and investment restrictions.
by zeugmite
Sun May 14, 2017 10:35 am
Forum: Investing - Theory, News & General
Topic: Why does Vanguard/Blackrock not offer a fund that replicates the market portfolio?
Replies: 19
Views: 2148

Re: Why does Vanguard/Blackrock not offer a fund that replicates the market portfolio?

If you like that strategy, ticker GAA gets pretty darn close to it, only slightly tilting to value and momentum factors. Oh, and its relatively cheap, given the components. GAA recently (centered at early 2016) had a bout of nearly 15% down and up. That seems odd. Overall, through its short existen...
by zeugmite
Sun May 14, 2017 10:33 am
Forum: Investing - Theory, News & General
Topic: Why does Vanguard/Blackrock not offer a fund that replicates the market portfolio?
Replies: 19
Views: 2148

Re: Why does Vanguard/Blackrock not offer a fund that replicates the market portfolio?

then lever it up or down for risk Tangential question: How would one lever such a portfolio *down* for risk? Typically one levers their equity portfolio down by adding more bonds, but I don't think that is allowed here... Add cash or TIPS. As for levering up, just go to IB and use margin. It's esse...
by zeugmite
Sat May 13, 2017 10:47 pm
Forum: Investing - Theory, News & General
Topic: American Funds beat out Vanguard Index over lifetime?
Replies: 63
Views: 8291

Re: American Funds beat out Vanguard Index over lifetime?

Of course, this is all picking the funds NOW that have outperformed the Vanguard Index - not a fair comparison. Correct. If 30 people roll dice 15 times and add up the results, somebody will win. Pointing out who won after the fact is trivial. American Funds products are good products if you can ge...
by zeugmite
Fri May 12, 2017 5:17 pm
Forum: Investing - Theory, News & General
Topic: Goofy idea - moving 401k to money market each weekend
Replies: 15
Views: 1854

Re: Goofy idea - moving 401k to money market each weekend

When stocks and ETFs open for trading each morning, they apparently don't open at the same price they closed at the end of the previous trading day. So even if you had a SuperFast Trading Computer and bought in again at one second past 9:30, there would be a difference in price. Perhaps someone can...
by zeugmite
Fri May 12, 2017 2:16 pm
Forum: Investing - Theory, News & General
Topic: Goofy idea - moving 401k to money market each weekend
Replies: 15
Views: 1854

Re: Goofy idea - moving 401k to money market each weekend

Ah, I think the 3 day settle period ruins the thought entirely. If, in theory, you could exit an index fund friday and get back in for tuesday, I would expect the guaranteed two days of interest to have a (small) chance of beating whatever the index does over the long term. (I don't have the data t...
by zeugmite
Fri May 12, 2017 2:08 pm
Forum: Investing - Theory, News & General
Topic: Goofy idea - moving 401k to money market each weekend
Replies: 15
Views: 1854

Re: Goofy idea - moving 401k to money market each weekend

You misunderstand how mutual funds (or any funds) are valued on days they are not trading. There is no way to hold a price on the day you sell (Friday) till the day you buy again (Monday).
by zeugmite
Wed May 10, 2017 10:55 pm
Forum: Investing - Theory, News & General
Topic: Twin funds for RMDs: one fund in IRA and the other fund in Taxable account?
Replies: 4
Views: 603

Re: Twin funds for RMDs: one fund in IRA and the other fund in Taxable account?

Wash sales can be a future issue if you hold the same fund in your taxable account and IRA, and reinvest dividends in the fund in the IRA. To avoid a wash sale, don't reinvest dividends in the IRA fund within 30 days before or after selling the taxable fund for a loss; put them in cash or in a mone...
by zeugmite
Mon May 08, 2017 7:20 pm
Forum: Investing - Theory, News & General
Topic: New Roboadvisor - Elm Funds
Replies: 22
Views: 1836

Re: New Roboadvisor - Elm Funds

So what are they actually managing for those 12bp? Why not disclose, instead of going behind what seems like a paywall? Very little information.
by zeugmite
Sun May 07, 2017 9:24 pm
Forum: Investing - Theory, News & General
Topic: The Final, Definitive Thread on Brokerage Transfer Bonuses
Replies: 574
Views: 90819

Re: The Final, Definitive Thread on Brokerage Transfer Bonuses

I just completed a $1000 offer into a Roth IRA at TD Ameritrade. It's nice that they have instituted web-form transfers for at least some source custodians. I did the account opening and transfer on Saturday, and the assets posted today. As it's TDA, they also paid the bonus immediately. There was ...
by zeugmite
Sun May 07, 2017 8:52 pm
Forum: Investing - Theory, News & General
Topic: Are indexed funds overblown?
Replies: 89
Views: 7522

Re: Are indexed funds overblown?

a) what happens if public stocks get very cheap with 99.9999% indexers: Companies generate capital by issuing either stocks (ownership) or by bonds (loans). If stocks look very cheap compared to interest rates(bonds), companies can buyback their own shares. Since 2009, there has been a huge amount ...
by zeugmite
Sun May 07, 2017 5:44 pm
Forum: Investing - Theory, News & General
Topic: Are indexed funds overblown?
Replies: 89
Views: 7522

Re: Are indexed funds overblown?

The survey study discussion starts at around 30:00. The actual study is http://ebusiness.mit.edu/research/papers/172_Chan_STOC.pdf. However, it is really irrelevant to the discussion. Lo was just humoring the interviewer.
by zeugmite
Sun May 07, 2017 4:55 pm
Forum: Investing - Theory, News & General
Topic: Are indexed funds overblown?
Replies: 89
Views: 7522

Re: Are indexed funds overblown?

for those interested in the answer to how much indexing is too much - please listen to the podcast with Barry Ritholz and Andrew Lo - they discuss this. According to Lo, more than 92% would have to index to be too much. In addition, he had some interesting ideas that it would be more beneficial for...
by zeugmite
Sun May 07, 2017 4:42 pm
Forum: Investing - Theory, News & General
Topic: Are indexed funds overblown?
Replies: 89
Views: 7522

Re: Are indexed funds overblown?

....But you do point out where the alternative is, people would pool into private equity to buy out all shares of underpriced companies and liquidate them. I think this already happens... but when the prices being payed by the market relative to value starts getting high the companies go public aga...
by zeugmite
Sun May 07, 2017 3:54 pm
Forum: Investing - Theory, News & General
Topic: Are indexed funds overblown?
Replies: 89
Views: 7522

Re: Are indexed funds overblown?

The person on the other side is going to be an indexer, if there are many of them. Sure, and they will take whatever price the informed investor offers - or where there are two indexers the market maker will set the price based on previous informed bids/offers. The real risk is that prices might be...
by zeugmite
Sun May 07, 2017 3:43 pm
Forum: Investing - Theory, News & General
Topic: Are indexed funds overblown?
Replies: 89
Views: 7522

Re: Are indexed funds overblown?

Bogle talked about this yesterday at the Berkshire meeting. m My thing is given this has never happened before, you cannot reasonably say at which point too much indexing is too much. Maybe it's 50% of the market, maybe it's 70%, or maybe it's 99%. Right? I suspect that anything over 50% by volume ...
by zeugmite
Sun May 07, 2017 3:36 pm
Forum: Investing - Theory, News & General
Topic: Are indexed funds overblown?
Replies: 89
Views: 7522

Re: Are indexed funds overblown?

The bizarre contrived scenario makes very little sense. To make a market, you would need at least two people.. one willing buyer and one willing seller.. the market price will be whatever they agree to transact at on that security. It doesn't really matter if you have N-2 indexers and 2 non-indexer...
by zeugmite
Sun May 07, 2017 3:34 pm
Forum: Investing - Theory, News & General
Topic: Are indexed funds overblown?
Replies: 89
Views: 7522

Re: Are indexed funds overblown?

If the concern is that the price would become less efficient, it could create an incredible opportunity. If there was a stock growing its intrinsic value faster than the others relative to the price that the zombie market set on it, the value would just keep getting larger and larger relative to th...
by zeugmite
Sun May 07, 2017 2:34 pm
Forum: Investing - Theory, News & General
Topic: Are indexed funds overblown?
Replies: 89
Views: 7522

Re: Are indexed funds overblown?

The bizarre contrived scenario makes very little sense. To make a market, you would need at least two people.. one willing buyer and one willing seller.. the market price will be whatever they agree to transact at on that security. It doesn't really matter if you have N-2 indexers and 2 non-indexer...
by zeugmite
Sun May 07, 2017 2:02 pm
Forum: Investing - Theory, News & General
Topic: Are indexed funds overblown?
Replies: 89
Views: 7522

Re: Are indexed funds overblown?

[Response to removed post removed by admin LadyGeek] Moreover, this discussion that comes up every half year, which I am well aware of, never gets to the point nor answers the question posed above. Some of the more serious people who engage in responses have gotten close: The counter question is: h...
by zeugmite
Sun May 07, 2017 1:36 pm
Forum: Investing - Theory, News & General
Topic: Are indexed funds overblown?
Replies: 89
Views: 7522

Re: Are indexed funds overblown?

I'm going to again orient this conversation in a meaningful theoretical direction. Here's a rough thought experiment: Suppose you live in a world of N people (N very large) who all have the same profile of lifetime saving/withdrawal needs and the same access to initial capital, no one more or less t...
by zeugmite
Sun May 07, 2017 12:02 pm
Forum: Investing - Theory, News & General
Topic: Are indexed funds overblown?
Replies: 89
Views: 7522

Re: Are indexed funds overblown?

... Suppose an informative investor who believes certain stocks in a basket are mispriced against others. Suppose further that a horde of uninformative indexers are trading the basket as one, either increasing (accumulating) or decreasing (decumulating) the demand of all stocks together. The one pe...
by zeugmite
Sun May 07, 2017 11:52 am
Forum: Investing - Theory, News & General
Topic: Are indexed funds overblown?
Replies: 89
Views: 7522

Re: Are indexed funds overblown?

If I switch from making 100 random trades a month to indexing, this reduces market impact and noise in pricing. Can you be certain that the money that would have been invested in other ways that is now in indexed strategies would have net contributed information? A lot of the active traders are not...
by zeugmite
Sun May 07, 2017 1:03 am
Forum: Investing - Theory, News & General
Topic: Are indexed funds overblown?
Replies: 89
Views: 7522

Re: Are indexed funds overblown?

... If everyone is making the same investments (i.e., indexing), There ain't no everyone, just a bunch of individuals, and to the extent people like us use total-market indices we simply reflect the market as a whole. By doing so we increase demand for shares of stock, but not their values relative...
by zeugmite
Fri May 05, 2017 11:06 am
Forum: Investing - Theory, News & General
Topic: Increasing correlation between US and international equities
Replies: 66
Views: 5123

Re: Increasing correlation between US and international equities

IMPORTANT: A diversification benefit accrues if the correlation between the two assets is lower than the lower of their Sharpe ratios divided by the higher of their Sharpe ratios. Now, adding a constant to one of the mean value (return) of an asset most definitely does change the Sharpe ratio of th...
by zeugmite
Thu May 04, 2017 8:01 pm
Forum: Investing - Theory, News & General
Topic: Crowd funded real estate?
Replies: 36
Views: 3647

Re: Crowd funded real estate?

Most of these investments return in the neighborhood of 10%. Good, but not "this is suspicious, too good to be true" good. The argument that you're paying for a liquidity premium with REIT seems to be a logical one. I like Realty Shares because of the 4k or 5k investment minimums vs 25k o...
by zeugmite
Thu May 04, 2017 12:52 pm
Forum: Investing - Theory, News & General
Topic: Bill Sharpe's preferred portfolio
Replies: 81
Views: 14925

Re: Bill Sharpe's preferred portfolio

Sharpe is offering an overly academic solution. Really there are many more ways to construct efficient portfolios than to hold market proportions. Restricting to cash + market portfolio is only optimal in some equilibrium that never exists -- and at least in the original construction, if you don't c...
by zeugmite
Thu May 04, 2017 12:49 pm
Forum: Investing - Theory, News & General
Topic: Bill Sharpe's preferred portfolio
Replies: 81
Views: 14925

Re: Bill Sharpe's preferred portfolio

Why would an individual want to hold their bond percentage equal to the global market weight? Risk it n a portfolio should be based on one's ability, willingness, and need to take risk (typically proportional to one's remaining working capital). I could get behind global weighting of the stock comp...
by zeugmite
Wed May 03, 2017 7:16 pm
Forum: Investing - Theory, News & General
Topic: Bill Sharpe's preferred portfolio
Replies: 81
Views: 14925

Re: Bill Sharpe's preferred portfolio

Sharpe only mentioned the four big Vanguard Total funds. But to tweak it even further, I noticed that the Vanguard Total International Bond fund doesn't actually include all of the emerging markets bonds. So, adding that in: Citigroup Emerging Markets Broad Bond Market cap: $1,690,300 million Gives...
by zeugmite
Wed May 03, 2017 2:47 pm
Forum: Investing - Theory, News & General
Topic: A test for when risk factors have positive expected returns
Replies: 61
Views: 4805

Re: A test for when risk factors have positive expected returns

And how can you tell tell when overweight an asset with a unique risk or "risk factor" can be expected to improve your portfolio? Here is my proposed test: An asset X can be expected to have a real risk premium only if you can clearly identity a reasonably broad class of investors who you...
by zeugmite
Wed May 03, 2017 11:32 am
Forum: Investing - Theory, News & General
Topic: Rebalancing to control risk doesn't make sense to me
Replies: 175
Views: 13194

Re: Rebalancing to control risk doesn't make sense to me

You construct an allocation to create a certain returns distribution. You rebalance to keep that distribution. That's a separate problem from whether your risk goes up or down due to the fact that you have more or less assets. If your risk tolerance goes up as you gain more assets, then you construc...
by zeugmite
Mon May 01, 2017 8:37 pm
Forum: Investing - Theory, News & General
Topic: Why aren't my ETF dividends qualified?
Replies: 20
Views: 2802

Re: Why aren't my ETF dividends qualified?

Just looking at a few equivalent funds that don't have 100% QDI (higher is better): Vanguard Russell 2000 ETF 64.33% iShares Russell 2000 ETF 58.29% Vanguard Small-Cap Value ETF 74.84% iShares Morningstar Small-Cap Value ETF 62.27% Vanguard Total Stock Market ETF 92.75% iShares Core S&P Total U....
by zeugmite
Mon May 01, 2017 7:50 pm
Forum: Investing - Theory, News & General
Topic: Why aren't my ETF dividends qualified?
Replies: 20
Views: 2802

Re: Why aren't my ETF dividends qualified?

Fortunately for Vanguard funds, you can look everything up online, and they maintain several years of historical data. Dive in here: https://advisors.vanguard.com/VGApp/iip/advisor/csa/investments/taxcenter/yearendfigures Nice! Now knowing the term to search for, I also found iShare's: m
by zeugmite
Mon May 01, 2017 7:24 pm
Forum: Investing - Theory, News & General
Topic: Case study Broker trade executions
Replies: 144
Views: 15328

Re: Case study Broker trade executions

To clarify, when you calculate inside size, are you aggregating across all venues? Yes. I don't claim you'll get the that amount at the inside (many quotes are effectively dups of others), but it gives an idea of how likely the market maker will internalize vs route your order. So reading through t...