Search found 9203 matches

by Rick Ferri
Mon Sep 06, 2021 1:35 pm
Forum: Investing - Theory, News & General
Topic: Must listen interview with VTSAX/VTI manager Gerry O'Reilly, and Vanguard Head of ETFs and Index ProdMgt. Rich Powers!
Replies: 66
Views: 10215

Re: Must listen interview with VTSAX/VTI manager Gerry O'Reilly, and Vanguard Head of ETFs and Index ProdMgt. Rich Power

Here are the numbers mentioned: ~ about 50% of all US equity mutual funds assets are indexed in some way. - about 10% of the free float $45 trillion US equity market is owned by Vanguard investors in index and active funds. - about 3% of the free float $45 trillion US equity market is managed in the...
by Rick Ferri
Sun Sep 05, 2021 5:33 pm
Forum: Investing - Theory, News & General
Topic: Ted Aronson will be our next Bogleheads on Investing podcast guest
Replies: 4
Views: 1418

Ted Aronson will be our next Bogleheads on Investing podcast guest

Theodore (Ted) Aronson is the Founder of Aronson, Johnson, and Ortiz (AJO), an institutional investment advisor with $20 billion under management. He has an B.S. and M.B.A. From The Wharton School of Business, University of Pennsylvania, and is on the Spelman College Board of Trustees. Ted joined Dr...
by Rick Ferri
Sat Sep 04, 2021 7:03 pm
Forum: Investing - Theory, News & General
Topic: Must listen interview with VTSAX/VTI manager Gerry O'Reilly, and Vanguard Head of ETFs and Index ProdMgt. Rich Powers!
Replies: 66
Views: 10215

Re: Must listen interview with VTSAX/VTI manager Gerry O'Reilly, and Vanguard Head of ETFs and Index ProdMgt. Rich Power

All ETF creation and redemption is done in the same way. It’s done in-kind. This means that stock comes in, and stock goes out. No trading occurs in the fund.
by Rick Ferri
Sat Sep 04, 2021 6:56 pm
Forum: Investing - Theory, News & General
Topic: Must listen interview with VTSAX/VTI manager Gerry O'Reilly, and Vanguard Head of ETFs and Index ProdMgt. Rich Powers!
Replies: 66
Views: 10215

Re: Must listen interview with VTSAX/VTI manager Gerry O'Reilly, and Vanguard Head of ETFs and Index ProdMgt. Rich Power

Is this correct? -> So it appears that the managers can unload low-cost-basis shares to 401(k)s and other tax-advantaged accounts. That means the unrealized capital gains will not flow to taxable investors. And keep the high basis shares around until they are replaced with higher basis shares. Not ...
by Rick Ferri
Sat Sep 04, 2021 5:34 pm
Forum: Investing - Theory, News & General
Topic: Must listen interview with VTSAX/VTI manager Gerry O'Reilly, and Vanguard Head of ETFs and Index ProdMgt. Rich Powers!
Replies: 66
Views: 10215

Re: Must listen interview with VTSAX/VTI manager Gerry O'Reilly, and Vanguard Head of ETFs and Index ProdMgt. Rich Power

Gerry and his team spend an enormously disproportionate amount of time fooling with small, illiquid stocks that comprise less than one percent of the CRSP US Total Market Index. Is it beneficial for investors to have the good minds at Vanguard spending so much time on something nearly immaterial fo...
by Rick Ferri
Fri Sep 03, 2021 7:24 am
Forum: Investing - Theory, News & General
Topic: Must listen interview with VTSAX/VTI manager Gerry O'Reilly, and Vanguard Head of ETFs and Index ProdMgt. Rich Powers!
Replies: 66
Views: 10215

Re: Must listen interview with VTSAX/VTI manager Gerry O'Reilly, and Vanguard Head of ETFs and Index ProdMgt. Rich Power

...It was a little disappointing to learn, though, that I'm actually not a model customer. I own (and advocate owning) the mutual fund share class instead of the ETF share class, and I hold it directly at Vanguard. Seems pretty much like they'd rather folks do neither of those! I haven't listened t...
by Rick Ferri
Thu Sep 02, 2021 1:31 pm
Forum: Investing - Theory, News & General
Topic: Must listen interview with VTSAX/VTI manager Gerry O'Reilly, and Vanguard Head of ETFs and Index ProdMgt. Rich Powers!
Replies: 66
Views: 10215

Re: Must listen interview with VTSAX/VTI manager Gerry O'Reilly, and Vanguard Head of ETFs and Index ProdMgt. Rich Power

We spoke with him last week, and he is very interested in the Bogle Center and how he can get involved. The Bogleheads on Investing podcast now has over 800,000 downloads since its inception three years ago. Our first guest was Jack Bogle. It was one of the last recordings Mr. Bogle made before he p...
by Rick Ferri
Thu Sep 02, 2021 8:24 am
Forum: Investing - Theory, News & General
Topic: Must listen interview with VTSAX/VTI manager Gerry O'Reilly, and Vanguard Head of ETFs and Index ProdMgt. Rich Powers!
Replies: 66
Views: 10215

Must listen interview with VTSAX/VTI manager Gerry O'Reilly, and Vanguard Head of ETFs and Index ProdMgt. Rich Powers!

Podcast Link: Episode 037: Gerry O‘Reilly and Rich Powers Gerry O'Reilly is the manager of the $1.3 trillion Vanguard Total Stock Market Index Fund and ETF, and Rich Powers is the Head of ETF and Index Product Management at Vanguard. In this fascinating interview, we go behind the scenes to learn ho...
by Rick Ferri
Sat Aug 28, 2021 1:40 pm
Forum: Investing - Theory, News & General
Topic: Vanguard - New Active Funds for PAS
Replies: 142
Views: 12067

Re: Vanguard - New Active Funds for PAS

I agree that PAS is still one of the best alternatives for a non-financial spouse that you will find.

Rick Ferri
by Rick Ferri
Fri Aug 27, 2021 9:17 pm
Forum: Investing - Theory, News & General
Topic: Vanguard - New Active Funds for PAS
Replies: 142
Views: 12067

Re: Vanguard - New Active Funds for PAS

I can say firsthand that many PAS clients ultimately decide to self-manage. It’s a simple four-fund portfolio, exactly the same as LifeStrategy funds. Many people I speak with question paying 0.3% for this, and many quite PAS. I can also say firsthand that “Complexity is job security” in the advisor...
by Rick Ferri
Fri Aug 13, 2021 8:35 pm
Forum: Investing - Theory, News & General
Topic: Next Bogleheads podcast guest will be the mgr of VTSAX / VTI
Replies: 36
Views: 4870

Re: Next Bogleheads podcast guest will be the mgr of VTSAX / VTI

I will ask broad questions of interest to a general audience of VTSAX and VTI holders. These include proxy voting, buying micro cap, and what’s in an ETF creation basket (sample or fully replicated). I will not ask any questions about their views of expected performance of this fund or any other Van...
by Rick Ferri
Tue Aug 10, 2021 12:48 pm
Forum: Investing - Theory, News & General
Topic: Next Bogleheads podcast guest will be the mgr of VTSAX / VTI
Replies: 36
Views: 4870

Next Bogleheads podcast guest will be the mgr of VTSAX / VTI

I am excited to be interviewing Gerard O'Reilly, the Vanguard Total Stock Market fund manager for the next Bogleheads on Investing podcast. Also joining us will be Rich Powers, Vanguard head of ETF and mutual fund management. The podcast will be recorded on August 30 and aired in early September. My...
by Rick Ferri
Tue Jul 27, 2021 5:31 pm
Forum: Investing - Theory, News & General
Topic: Jason Hsu, Ph.D., is my recent guest on the "Bogleheads on Investing" podcast
Replies: 9
Views: 3673

Re: Jason Hsu, Ph.D., is my recent guest on the "Bogleheads on Investing" podcast

Jason talked about why Chinese stocks listed in the United States have less oversight and are less creditworthy than Chinese stocks listed in China. That is now in the news as the Chinese government cracks down on companies that list in the US rather than in China.

Rick Ferri
by Rick Ferri
Sun Jul 25, 2021 11:44 am
Forum: Investing - Theory, News & General
Topic: Elder Abuse and Financial Fraud: latest Bogleheads on Investment podcast
Replies: 46
Views: 7146

Re: Elder Abuse and Financial Fraud: latest Bogleheads on Investment podcast

[ Speaking as someone who drafted annuity contract language for my former employer, I can see how annuities seem infernally complicated to the vast majority of people. Even a contract as simple as a MYGA can run to about 15 typewritten pages, plus the "Buyer's Guide to Annuities" which is...
by Rick Ferri
Sat Jul 24, 2021 7:19 pm
Forum: Investing - Theory, News & General
Topic: Elder Abuse and Financial Fraud: latest Bogleheads on Investment podcast
Replies: 46
Views: 7146

Re: Elder Abuse and Financial Fraud: latest Bogleheads on Investment podcast

I found the warning to not invest in annuities at all to be very counter to some of the information I've seen posted on this and other investing forums for later in life. Great coverage of a lot of situations people take for granted as 'that would never happen to me' and 'my family would never do t...
by Rick Ferri
Sat Jul 24, 2021 5:24 pm
Forum: Investing - Theory, News & General
Topic: Elder Abuse and Financial Fraud: latest Bogleheads on Investment podcast
Replies: 46
Views: 7146

Elder Abuse and Financial Fraud: latest Bogleheads on Investment podcast

Lisa Bragança, JD, MBA, is my latest Bogleheads on Investing podcast guest. She is a former Branch Chief in the Division of Enforcement of the Chicago Office of the Securities & Exchange Commission where she handled investigations of accounting fraud, Ponzi schemes, insider trading, churning, an...
by Rick Ferri
Sat Jun 26, 2021 7:36 am
Forum: Investing - Theory, News & General
Topic: "The Price You Pay for College" A new Bogleheads on Investing podcast with guest, NYT columnist Ron Lieber
Replies: 42
Views: 5846

"The Price You Pay for College" A new Bogleheads on Investing podcast with guest, NYT columnist Ron Lieber

Here is the link: Episode #35: Ron Lieber and the "Price You Pay for College" My guest this month is Ron Lieber , an award-winning New York Times “Your Money” columnist and the author of a new book, “The Price You Pay for College: An Entirely New Roadmap for the Biggest Financial Decision ...
by Rick Ferri
Mon Jun 21, 2021 8:05 pm
Forum: Investing - Theory, News & General
Topic: I'll never regret not having international funds in my portfolio
Replies: 281
Views: 20335

Re: I'll never regret not having international funds in my portfolio

I'll never regret finding Bogleheads.org A successful index fund investor goes through four phases: 1) Darkness - takes advice from everyone; 2) Enlightenment - realizes a market return is superior to their return; 3) Complexity - overdoing everything to find optimal; 4) Simplicity - invests in a f...
by Rick Ferri
Wed Jun 09, 2021 8:46 pm
Forum: Investing - Theory, News & General
Topic: Rick Ferri on the Rational Reminder Podcast
Replies: 28
Views: 3681

Interview with Rick Ferri

[Thread merged into here --admin LadyGeek]

In 2019, I did a 30-minute interview on a Canadian podcast called Rational Reminder. I thought it was a good one. You may find it interesting:

Rational Reminder with Rick Ferri

Enjoy!
by Rick Ferri
Wed Jun 09, 2021 3:59 pm
Forum: Investing - Theory, News & General
Topic: Vanguard updates individual 401k plan documents
Replies: 11
Views: 1027

Re: Vanguard updates individual 401k plan documents

If you were the sole proprietor of a business and you use the Vanguard 401k prototype plan for retirement, you were not able to roll existing 401k or IRA assets into the plan. That meant you had to keep those accounts seperate, and if you had pre-tax IRA money, you could not do a backdoor Roth. Now ...
by Rick Ferri
Wed Jun 09, 2021 7:40 am
Forum: Investing - Theory, News & General
Topic: Vanguard updates individual 401k plan documents
Replies: 11
Views: 1027

Re: Vanguard updates individual 401k plan documents

Soon2BXProgrammer wrote: Tue Jun 08, 2021 10:15 am
Rick Ferri wrote: Tue Jun 08, 2021 10:00 am Log on to update your documents.
I logged in on the administrator side, and i didn't see anything that would say i want to update my documents?
The website to update documents is:

http://vanguard.com/restate

Rick
by Rick Ferri
Tue Jun 08, 2021 10:00 am
Forum: Investing - Theory, News & General
Topic: Vanguard updates individual 401k plan documents
Replies: 11
Views: 1027

Vanguard updates individual 401k plan documents

Good news for Vanguard Individual 401k plans (aka solo 401k). New plan documents now allow you to roll existing IRA accounts into the solo 401k plan, thus clearing the way for a backdoor Roth contribution. Log on to update your documents.

Rick
by Rick Ferri
Sat Jun 05, 2021 8:38 am
Forum: Investing - Theory, News & General
Topic: John Bogle - Investment Return vs Market Return
Replies: 67
Views: 4572

Re: John Bogle - Investment Return vs Market Return

"the annual dividend yield plus the annual rate of earnings growth" A company earns money. A dividend is paid out in cash. What's left is retained by the company and grows earnings in the future. Hence, the total return of the market, given valuations are the same (same P/E to same P/E ti...
by Rick Ferri
Fri Jun 04, 2021 9:14 am
Forum: Investing - Theory, News & General
Topic: John Bogle - Investment Return vs Market Return
Replies: 67
Views: 4572

Re: John Bogle - Investment Return vs Market Return

"the annual dividend yield plus the annual rate of earnings growth" A company earns money. A dividend is paid out in cash. What's left is retained by the company and grows earnings in the future. Hence, the total return of the market, given valuations are the same (same P/E to same P/E tim...
by Rick Ferri
Fri May 28, 2021 10:05 pm
Forum: Investing - Theory, News & General
Topic: Jason Hsu, Ph.D., is my recent guest on the "Bogleheads on Investing" podcast
Replies: 9
Views: 3673

Re: Jason Hsu, Ph.D., is my recent guest on the "Bogleheads on Investing" podcast

Discussion on crypto? Let’s not make this great podcast out to be something it is not. We spent fifty minutes talking about the evolution of factor investing in the US and China, then talked about China’s Central Bank’s initiative to development a crypto currency for perhaps two minutes at the end. ...
by Rick Ferri
Sun May 16, 2021 5:10 pm
Forum: Investing - Theory, News & General
Topic: "Beware of Sci-Fi Portfolios"
Replies: 185
Views: 15943

Re: "Beware of Sci-Fi Portfolios"

Simplicity is the ultimate sophistication. :D
by Rick Ferri
Sun May 16, 2021 8:35 am
Forum: Investing - Theory, News & General
Topic: Rick Ferri and Bonds
Replies: 38
Views: 5476

Re: Rick Ferri and Bonds

In summary, I wouldn’t get hung up on what real yield bonds provide at any particular time. They are not meant to make you rich. Bonds are meant to provide a shock absorber when risky assets collapse, and provide liquidity when you need it without having to sell growth assets.
by Rick Ferri
Sat May 15, 2021 2:17 pm
Forum: Investing - Theory, News & General
Topic: Rick Ferri and Bonds
Replies: 38
Views: 5476

Re: Rick Ferri and Bonds

I'm not looking to make any changes at the moment. For now, I'm simply asking to gain a better understanding. I don’t think there’s much to understand, frankly, except perhaps that we should be very careful about the types of portfolio advice we are “adamant” about. There are no assets which we can...
by Rick Ferri
Sat May 15, 2021 12:00 pm
Forum: Investing - Theory, News & General
Topic: Rick Ferri and Bonds
Replies: 38
Views: 5476

Re: Rick Ferri and Bonds

Should you own bonds? Even with historic low rates, bonds are a shock absorber in your portfolio. They’re the cushion between your emergency fund and your long-term equity holdings. For accumulators, the size of your shock absorber depends on how rough of a ride you can handle before bailing out. F...
by Rick Ferri
Sat May 15, 2021 11:36 am
Forum: Investing - Theory, News & General
Topic: Rick Ferri and Bonds
Replies: 38
Views: 5476

Re: Rick Ferri and Bonds

Should you own bonds? Even with historic low rates, bonds are a shock absorber in your portfolio. They’re the cushion between your emergency fund and your long-term equity holdings. For accumulators, the size of your shock absorber depends on how rough of a ride you can handle before bailing out. Fo...
by Rick Ferri
Sat May 08, 2021 12:06 pm
Forum: Investing - Theory, News & General
Topic: LIVE May 8th Bogleheads® Speaker Series featuring financial planner Kara Beth Vance, CFP®
Replies: 15
Views: 2379

Re: LIVE May 8th Bogleheads® Speaker Series featuring financial planner Kara Beth Vance, CFP®

The event is now live, but it's not intuitive where to go.

You'll need to click the BOTTOM link after you log in:

Live Discussion here: Christine Benz of Morningstar in conversation Kara Beth Vance of Timothy Financial
by Rick Ferri
Fri May 07, 2021 9:30 am
Forum: Investing - Theory, News & General
Topic: "Bogleheads on Investing" podcast transcripts are becoming available
Replies: 63
Views: 10086

Re: "Bogleheads on Investing" podcast transcripts are becoming available

All the "Bogleheads on Investing" podcast transcripts are now available.

Awesome job!

:D
by Rick Ferri
Mon May 03, 2021 2:23 pm
Forum: Investing - Theory, News & General
Topic: Jeff Ptak of Morningstar is our "Bogleheads on Investing" podcast guest for a deep look into the active v passive debate
Replies: 8
Views: 1516

Re: Jeff Ptak of Morningstar is our "Bogleheads on Investing" podcast guest for a deep look into the active v passive de

The most interesting part for me was the discussion of the performance gap between active and passive (index) funds. While there are some active funds that outperform passive funds over a measurement period, the index funds have "won" on average. And the "winning" percentage for...
by Rick Ferri
Sun May 02, 2021 8:33 am
Forum: Investing - Theory, News & General
Topic: Jeff Ptak of Morningstar is our "Bogleheads on Investing" podcast guest for a deep look into the active v passive debate
Replies: 8
Views: 1516

Jeff Ptak of Morningstar is our "Bogleheads on Investing" podcast guest for a deep look into the active v passive debate

Bogleheads on Investing , Episode 33, guest Jeff Ptak, host Rick Ferri Jeff Ptak, CFA, is the global head of manager research at Morningstar Research Services, LLC, and past president & chief investment officer of Morningstar Investment Services. He also Co-hosts Morningstar's "The Long Vi...
by Rick Ferri
Thu Apr 22, 2021 7:11 am
Forum: Investing - Theory, News & General
Topic: Why Is There a Gap in International Expense Ratios of Growth and Value vs Total International?
Replies: 16
Views: 1450

Re: Why Is There a Gap in International Expense Ratios of Growth and Value vs Total International?

You're slicing the pie in too many pieces if you're dividing international value and growth.

Stick with total international funds (VXUS or VEU).

Rick Ferri
by Rick Ferri
Sat Apr 10, 2021 1:50 pm
Forum: Personal Finance (Not Investing)
Topic: Ed Slott's new book NEW RETIREMENT SAVINGS TIME BOMB
Replies: 154
Views: 12021

Re: Ed Slott's new book NEW RETIREMENT SAVINGS TIME BOMB

State taxes matter also. If you're are in a high-income tax state like CA or NY, and move to a no tax state like TX or NV in retirement, a large tax-deferred account is a blessing because it avoids paying state income taxes. OTOH, if you earn money in a no-tax state and defer the income, then retire...
by Rick Ferri
Tue Apr 06, 2021 11:58 am
Forum: Investing - Theory, News & General
Topic: Talking Taxes with Phil DeMuth on the April "Bogleheads on Investing" podcast
Replies: 14
Views: 2023

Re: Talking Taxes with Phil DeMuth on the April "Bogleheads on Investing" podcast

It was mentioned the practice of super funding 529 with the expectation of paying a penalty in the future [withdrawal for non-education expense]. I guess the calculation would just come down income tax now vs income tax then. As it is likely the 10% penalty would be less than long term capitol gain...
by Rick Ferri
Sun Apr 04, 2021 6:58 pm
Forum: Investing - Theory, News & General
Topic: Talking Taxes with Phil DeMuth on the April "Bogleheads on Investing" podcast
Replies: 14
Views: 2023

Talking Taxes with Phil DeMuth on the April "Bogleheads on Investing" podcast

I'm talking taxes with Phil Demuth, Ph.D. He is Managing Director at Conservative Wealth Management, LLC, and the author of nine personal finance books, most co-authored with his pal, economist Ben Stein. Here is the link to the podcast: Episode 032: Phil DeMuth, host Rick Ferri Phil has written for...
by Rick Ferri
Sat Mar 20, 2021 8:25 pm
Forum: Personal Investments
Topic: What is the expected real return of S&P 500 for the next 30 years?
Replies: 143
Views: 18998

Re: What is the expected real return of S&P 500 for the next 30 years?

Real earning growth comes from long-term economic growth, i.e. GDP growth. More revenue (GDP) = more earnings. There are costs in the middle, like financing costs and taxes. If those are higher, margins decline, and it's harder for earnings and dividends to grow, thus, valuations decline. https://ww...