Search found 402 matches

by JustinR
Wed Jan 02, 2013 6:52 am
Forum: Investing - Theory, News & General
Topic: 2012 Market Returns in review
Replies: 10
Views: 1538

Re: 2012 MARKET RETURNS in review

Hi: We maintain market returns data in the wiki. The US stock returns data for CRSP, and Dow Jones indexes do not become available until the index provider publishes factsheets for the fourth quarter 2012. Here is the US stock market returns page. US index returns - 2012 - Bogleheads Additional ret...
by JustinR
Wed Jan 02, 2013 5:49 am
Forum: Investing - Theory, News & General
Topic: XIRR question - beginner
Replies: 57
Views: 5317

Re: XIRR question - beginner

Does anyone know why, if you start with a balance of 0, XIRR gives you 0% no matter what you do?

Try it, set your first value to $0.
by JustinR
Tue Jan 01, 2013 11:04 am
Forum: Investing - Theory, News & General
Topic: How to calculate return on a portfolio
Replies: 55
Views: 6099

Re: How to calculate return on a portfolio

I wonder why Vanguard doesn't have return in percentage form anywhere on the site, other than "1 year". Or am I missing something?
by JustinR
Tue Jan 01, 2013 5:38 am
Forum: Investing - Theory, News & General
Topic: How to calculate return on a portfolio
Replies: 55
Views: 6099

Re: How to calculate return on a portfolio

Thanks guys. My pleasure. Question about XIRR. It's annualized right? Yes. Is there a way to un-annualize it or another formula or function so that I can get total return similar to the 107% figure above (using total lifetime spreadsheet data)? In other words, I'm not looking for "average annu...
by JustinR
Tue Jan 01, 2013 3:15 am
Forum: Investing - Theory, News & General
Topic: How to calculate return on a portfolio
Replies: 55
Views: 6099

Re: How to calculate return on a portfolio

Thanks guys. Question about XIRR. It's annualized right? Is there a way to un-annualize it or another formula or function so that I can get total return similar to the 107% figure above (using total lifetime spreadsheet data)? In other words, I'm not looking for "average annual return" (is...
by JustinR
Mon Dec 31, 2012 1:12 am
Forum: Investing - Theory, News & General
Topic: [401k] Employer Contributions and returns: contrib. or gain?
Replies: 17
Views: 2985

Re: [401k] Employer Contributions and returns: contrib. or g

Ok thank you for all of your opinions.

I agree now, employer contributions are considered contributions. The return shouldn't be about my personal financial performance, but how well my portfolio did. Also, I'm sure that's how the 401k carrier calculates returns as well.
by JustinR
Mon Dec 31, 2012 12:35 am
Forum: Investing - Theory, News & General
Topic: How to calculate return on a portfolio
Replies: 55
Views: 6099

Re: How to calculate return on a portfolio

How do you link annual returns for a total lifetime return?

Does Rick's formula for linking quarterly -> annual work the same way?

So if you had annual returns of 20%, 30%, -5%, and 40% it would be:

1.2 * 1.3 * .95 * 1.4 - 1 = 107%?

That doesn't seem right to me for some reason.
by JustinR
Sun Dec 30, 2012 5:36 am
Forum: Investing - Theory, News & General
Topic: [401k] Employer Contributions and returns: contrib. or gain?
Replies: 17
Views: 2985

Re: [401k] Employer Contributions and returns: contrib. or g

When calculating your portfolio's return, do you consider employer contributions part of the "contributions" or do you just treat it as part the gains? I'm leaning towards the latter since they're not your contributions. They are not investment gains. They are contributions made on your b...
by JustinR
Sun Dec 30, 2012 5:19 am
Forum: Investing - Theory, News & General
Topic: [401k] Employer Contributions and returns: contrib. or gain?
Replies: 17
Views: 2985

[401k] Employer Contributions and returns: contrib. or gain?

When calculating your portfolio's return, do you consider employer contributions part of the "contributions" or do you just treat it as part the gains?

I'm leaning towards the latter since they're not your contributions.
by JustinR
Sun Dec 30, 2012 1:15 am
Forum: Investing - Theory, News & General
Topic: How to calculate return on a portfolio
Replies: 55
Views: 6099

Re: How to calculate return on a portfolio

Return=(ending balance - starting balance - contributions) / (starting balance + contributions) Dividends reinvested need not be concerned about, but put into another account would need to be factored into this. I have this formula: (End - Start - Contributions) / (Start + (Contributions/2)) OR (En...
by JustinR
Wed Dec 26, 2012 6:51 pm
Forum: Investing - Theory, News & General
Topic: Any reasons NOT to buy or sell this weekend? (end of year)
Replies: 12
Views: 1673

Re: Any reasons NOT to buy or sell this weekend? (end of yea

... Are there any reasons not to do any of the following things now, or rather... 1) Buy in taxable December has a lot of distribution dates. You should usually wait until after a distribution date to buy, so you don't "buy the dividend. Read this Vanguard literature: m Perfect, thanks! I'll c...
by JustinR
Wed Dec 26, 2012 9:54 am
Forum: Investing - Theory, News & General
Topic: Any reasons NOT to buy or sell this weekend? (end of year)
Replies: 12
Views: 1673

Re: Any reasons NOT to buy or sell this weekend? (end of yea

You say you might rebalance in taxable but then you don't list selling in taxable in your question. There may be tax reasons for or against selling in taxable. As for buying in taxable, 401k, or Roth, avoiding a wash sale would be one reason not to buy in any of those places, but that is not linked...
by JustinR
Wed Dec 26, 2012 7:53 am
Forum: Investing - Theory, News & General
Topic: Any reasons NOT to buy or sell this weekend? (end of year)
Replies: 12
Views: 1673

Any reasons NOT to buy or sell this weekend? (end of year)

I'm planning on adding new money this weekend (and perhaps rebalance in my taxable and retirement accounts), which happens to be right before the new year. Are there any reasons not to do any of the following things now, or rather... would it be better to wait to do any of these things NEXT YEAR ? 1...
by JustinR
Wed Dec 26, 2012 7:28 am
Forum: Investing - Theory, News & General
Topic: Rebalancing - literature about frequency, anyone?
Replies: 25
Views: 1508

Re: Rebalancing - literature about frequency, anyone?

http://www.vanguard.com/pdf/icrpr.pdf
https://institutional.vanguard.com/iwe/pdf/FAIPRTP.pdf

From those papers, it seems that rebalancing quarterly at 10% bands, or annually at 10%, is optimal. At least as good as any other rule of thumb I guess.
by JustinR
Sat Dec 22, 2012 9:08 pm
Forum: Investing - Help with Personal Investments
Topic: Tax Implications of Selling Stock Before Year's End?
Replies: 11
Views: 1370

Re: Tax Implications of Selling Stock Before Year's End?

There can be no simple answer because you didn't give enough information about why you need to rebalance and whether this is taxable account or not. I wait until an RBD to rebalance and do not rebalance based on a date on the calendar. Sorry. Both taxable and retirement. I rebalance across my entir...
by JustinR
Sat Dec 22, 2012 12:24 am
Forum: Investing - Help with Personal Investments
Topic: Tax Implications of Selling Stock Before Year's End?
Replies: 11
Views: 1370

Re: Tax Implications of Selling Stock Before Year's End?

Sorry to hijack the thread, but along the same lines...

I'm set to rebalance next week (last week of Dec). This would entail exchanging some funds and POSSIBLY contributing new money. Should I just wait til January 1?

Just looking for a simple answer, thank you in advance.
by JustinR
Fri Dec 14, 2012 4:45 am
Forum: Investing - Theory, News & General
Topic: Stock Market success
Replies: 78
Views: 11335

Re: Stock Market success

I'm looking for success stories of people who have won the lottery. Can anyone help me out?
by JustinR
Mon Nov 19, 2012 5:27 am
Forum: Investing - Theory, News & General
Topic: Do you....DCA, lump sum, VA, etc....? (poll)
Replies: 25
Views: 1300

Re: Do you....DCA, lump sum, VA, etc....? (poll)

I threw lump sum in there as well but I think that more applies to those who come into windfalls, not most people who would like to invest every paycheck. If there is another method I missed, please post. All input appreciated, thanks! Not sure I understand. If you invest every time you have enough...
by JustinR
Wed Oct 24, 2012 1:14 am
Forum: Local Chapters and Bogleheads Community
Topic: Reflections on Bogleheads 11
Replies: 35
Views: 5296

Re: Reflections on Bogleheads 11

Thanks for the writeup Kathleen.

Could you elaborate on why the Vanguard offices were so disappointing? What do you mean by institutionalized? I thought that the Vanguard offices were intentionally not fancy because of costs.
by JustinR
Wed Oct 03, 2012 5:55 am
Forum: Investing - Theory, News & General
Topic: Worse to be in market wishing you were out, or vice versa?
Replies: 44
Views: 3811

Re: Worse to be in market wishing you were out, or vice vers

I don't know. Has anyone ever committed suicide from not being in the market during an upswing?
by JustinR
Sun Sep 23, 2012 3:09 pm
Forum: Investing - Theory, News & General
Topic: Reminder: Most Vanguard Funds Now Have Quarterly Dividends
Replies: 35
Views: 3592

Re: Reminder: Most Vanguard Funds Now Have Quarterly Dividen

Aren't dividends the only way that equities compound?
by JustinR
Sun Sep 16, 2012 3:10 am
Forum: Investing - Theory, News & General
Topic: How do you know when to rebalance?
Replies: 30
Views: 2134

Re: How do you know when to rebalance?

What is your theory, plan, etc for knowing when to rebalance your portfolio? I can't really figure out how to figure it out. Do you require that a particular asset become some percentage too small or too large? How did you figure out how much was too small and how much was too large? For example, I...
by JustinR
Sun Sep 09, 2012 7:38 am
Forum: Investing - Theory, News & General
Topic: I-Bonds and the Treasury Savings Bond Wizard ?
Replies: 85
Views: 19855

Re: Re:

On November 1st, or whenever they become known, enter the new Fixed and Inflation rates into cells C31 and D31; and enter TRUE into cell B31. Do the same for the Monthly Calculator, except it doesn't have the "Ready" column. I also have an I Bond Value Calculator web site which I'll updat...
by JustinR
Sun Sep 09, 2012 4:16 am
Forum: Investing - Theory, News & General
Topic: I-Bonds and the Treasury Savings Bond Wizard ?
Replies: 85
Views: 19855

Re:

Since no one has mentioned a spreadsheet that computes the monthly values, I polished up one I've been using and made it available. Below is a sample for the purchase tommoran2 says he made in March 2008. Not knowing the amount of his purchase I arbitrarily assumed $1,000. The spreadsheet makes no ...
by JustinR
Tue Aug 28, 2012 1:55 am
Forum: Investing - Theory, News & General
Topic: more great service from Treasury Direct!
Replies: 74
Views: 11259

Re: more great service from Treasury Direct!

People didn't see my edit, so I just want to update that on Sunday night, it worked.

I was swarmed with about 10 OTP codes in my inbox at once from the backlogged server. In any case it's working now. Thanks everyone!
by JustinR
Mon Aug 27, 2012 12:25 am
Forum: Investing - Theory, News & General
Topic: Can someone clarify rebalancing bands? Particularly 5/25
Replies: 5
Views: 673

Can someone clarify rebalancing bands? Particularly 5/25

I still get confused by this, it's not explained in the wiki, and people seem to have contradictory answers to exactly how it works. Say I slice and dice in four equal equity funds, with the rest in bonds: 18% Equity1 18% Equity2 18% Equity3 18% Equity4 28% Bonds How does the 5/25 rule apply to Equi...
by JustinR
Sun Aug 26, 2012 1:52 pm
Forum: Investing - Theory, News & General
Topic: more great service from Treasury Direct!
Replies: 74
Views: 11259

Re: more great service from Treasury Direct!

I think the OTP system, or their automatic email server, is broken at the moment. Hopefully they get it fixed when they go back to work on Monday. I just tried and received the email immediately. A lot of sites do maintenance early Sunday morning and I am commonly unable to access several sites aro...
by JustinR
Sun Aug 26, 2012 8:08 am
Forum: Investing - Theory, News & General
Topic: Poll: What is your Bond Allocation %?
Replies: 93
Views: 14990

Re: Poll: What is your Bond Allocation %?

I have a question: for "age minus 10" does this simply mean subtract 10 from your age or does it mean subtract 10% from your age? Mr. Bogel wrote in "The Little Book of Common Sense Investing" that one could subtract 10% from one's age for one's bond allocation. The first one, s...
by JustinR
Sun Aug 26, 2012 8:01 am
Forum: Investing - Theory, News & General
Topic: more great service from Treasury Direct!
Replies: 74
Views: 11259

Re: more great service from Treasury Direct!

I believe the "problem" being reported here is that they fixed the problem. There have been many complaints about getting the One Time Password (OTP) whether they registered the computer or not. Registered computers are now recognized; One Time Passcode (OTP): You'll need a One Time Passc...
by JustinR
Sun Aug 26, 2012 5:02 am
Forum: Investing - Theory, News & General
Topic: more great service from Treasury Direct!
Replies: 74
Views: 11259

Re: more great service from Treasury Direct!

Is anyone not able to receive the OTP (one time passcode) in their email right now? I've tried having them resend it several times, and nothing.
by JustinR
Mon Aug 20, 2012 10:36 am
Forum: Investing - Theory, News & General
Topic: How did people invest before the internet?
Replies: 48
Views: 7277

Re: How did people invest before the internet?

If you lived in a large city you could hang out in a brokerage office. I remember the large boards they had up where you could follow the market. There were two brokerages I could visit during my lunch break, EF Hutton, and ML. I'm sure there were others nearby, as well. Sam I Am Interesting...alth...
by JustinR
Mon Aug 20, 2012 10:11 am
Forum: Investing - Theory, News & General
Topic: How did people invest before the internet?
Replies: 48
Views: 7277

Re: How did people invest before the internet?

If you lived in a large city you could hang out in a brokerage office. I remember the large boards they had up where you could follow the market. There were two brokerages I could visit during my lunch break, EF Hutton, and ML. I'm sure there were others nearby, as well. Sam I Am Interesting...alth...
by JustinR
Mon Aug 20, 2012 9:48 am
Forum: Investing - Theory, News & General
Topic: How did people invest before the internet?
Replies: 48
Views: 7277

How did people invest before the internet?

Like, a) how did they find out the latest prices of specific stocks, and b) put in buy/sell orders? TV? I guess that's how those scrolling stock tickers would be useful. I always found those to be weird because you would have to wait until the symbol you cared about scrolled by Radio? I'm guessing t...
by JustinR
Mon Aug 20, 2012 5:13 am
Forum: Investing - Theory, News & General
Topic: How important is saving??
Replies: 53
Views: 5277

Re: How important is saving??

I don't believe that savings or investing will necessarily prove as beneficial to younger people today as they have to the typical boglehead. Besides the probability of at least one or more generation experiencing lower savings/investment returns than were common in the recent past, it seems likely...
by JustinR
Tue Aug 14, 2012 10:24 pm
Forum: Investing - Theory, News & General
Topic: Poll: What is your Bond Allocation %?
Replies: 93
Views: 14990

Re: Poll: What is your Bond Allocation %?

Right now, with 210 votes and over 24 hours after the poll began, the mean is at " Age - 9 " in bonds. Compare to previous polls: 1 2 Bogleheads 2007: Age - 13 Bogleheads 2011: Age - 6 Bogleheads 2012: Age - 9 This reaffirms the fact that Bogleheads themselves in practice do not follow th...
by JustinR
Tue Aug 14, 2012 10:21 am
Forum: Investing - Theory, News & General
Topic: "The Secret of two-times pay" from Your Money Ratios
Replies: 97
Views: 15938

Re: "The Secret of two-times pay" from Your Money Ratios

This "rule of thumb" seems kind of meaningless, since everyone's salaries are different? If someone's pay is $30k, what does that mean for them?
by JustinR
Tue Aug 14, 2012 7:48 am
Forum: Investing - Theory, News & General
Topic: Poll: What is your Bond Allocation %?
Replies: 93
Views: 14990

Re: Poll: What is your Bond Allocation %?

Right now, with 261 votes, the mean is at " Age - 9 " in bonds. Compare to previous polls: 1 2 Bogleheads 2007: Age - 13 Bogleheads 2011: Age - 6 Bogleheads 2012: Age - 9 This reaffirms the fact that Bogleheads themselves in practice do not follow the age-in-bonds guideline. I'm not actual...
by JustinR
Mon Aug 13, 2012 5:56 am
Forum: Investing - Theory, News & General
Topic: Poll: What is your Bond Allocation %?
Replies: 93
Views: 14990

Re: Poll: What is your Bond Allocation %?

Just to clarify, you just want a snapshot at this particular momen, right? So, if an investor was 32 and held only a Vanguard Target Retirement fund (which holds a constant AA until the investor is 40, then increases bonds at a rate of around 1.5% per year), you'd only want to know that the investo...
by JustinR
Mon Aug 13, 2012 2:42 am
Forum: Investing - Theory, News & General
Topic: Poll: What is your Bond Allocation %?
Replies: 93
Views: 14990

Poll: What is your Bond Allocation %?

This is a more comprehensive poll to see where Bogleheads stand in practice in regards to the age-in-bonds rule of thumb. It's arranged from riskiest to most conservative, and if you input the wrong answer the first time, you can re-vote. Feel free to elaborate on your answer in the comments if you ...
by JustinR
Sun Aug 12, 2012 10:16 am
Forum: Personal Finance (Not Investing)
Topic: HSAs in California
Replies: 105
Views: 27172

HSAs in California

m While contributions are deductible on one's federal income tax, this is not always true for state income tax. The following states are not in conformity with federal legislation and do not recognize HSAs, so contributions are not deductible and earnings are taxable[1]: Alabama California New Jerse...
by JustinR
Mon Aug 06, 2012 5:52 am
Forum: Investing - Help with Personal Investments
Topic: Other options besides Roth and 401K?
Replies: 39
Views: 5315

Re: Other options besides Roth and 401K?

How would I be able to find a match if my 401K does not offer any sort of match? I honestly don't exactly know what a HSA account is. HSA is Health Savings Account. m While contributions are deductible on one's federal income tax, this is not always true for state income tax. The following states a...
by JustinR
Sun Jul 01, 2012 11:57 pm
Forum: Investing - Theory, News & General
Topic: Active Passive Bet Year 6: Active Winning
Replies: 155
Views: 16934

Re: Active Passive Bet Year 6: Active Winning

Wouldn't the bet have been better if you guys chose a bunch of funds? (like 10 or more)

1 fund each doesn't indicate much.
by JustinR
Sun Jun 24, 2012 7:33 pm
Forum: Investing - Help with Personal Investments
Topic: When saving for a goal (bonds) do you include it in your AA?
Replies: 11
Views: 855

Re: When saving for a goal (bonds) do you include it in your

I'm thinking "no" because 5 years from now when I suddenly withdraw it to pay for my goal, my AA will be out of whack. Is there something that will prevent you from rebalancing to get back to your AA at that time (i.e., sell stocks to buy bonds)? I guess if you only have a taxable account...
by JustinR
Sun Jun 24, 2012 7:13 pm
Forum: Investing - Help with Personal Investments
Topic: When saving for a goal (bonds) do you include it in your AA?
Replies: 11
Views: 855

When saving for a goal (bonds) do you include it in your AA?

I'm saving for a home purchase in about 5 years, so instead of contributing new money into my normal portfolio, I'm setting aside the "savings" in I-Bonds, etc. So for example, do I include the $10k of I-Bonds as part of my fixed-income asset allocation? I'm thinking "no" because...
by JustinR
Sun Jun 17, 2012 5:19 pm
Forum: Investing - Theory, News & General
Topic: Navy Federal CU Interest Rates Down Again
Replies: 14
Views: 1934

Re: Navy Federal CU Interest Rates Down Again

Aren't I Bonds 2.20% for one year? That seems like a good alternative.
by JustinR
Sun Jun 03, 2012 10:30 pm
Forum: Investing - Theory, News & General
Topic: Get out your stopwatch: it's a race!
Replies: 41
Views: 3832

Re: Get out your stopwatch: it's a race!

Google "Vanguard Emerging Markets Index Fund" -> first result -> Portfolio & Management tab
by JustinR
Sun Jun 03, 2012 10:25 pm
Forum: Investing - Theory, News & General
Topic: Being a boglehead = taking the hit
Replies: 31
Views: 2942

Re: Being a boglehead = taking the hit

My rebalancing date isn't up for a few weeks...and I'm dying to do it now that the market has fallen so much...but no market timing!
by JustinR
Thu Apr 26, 2012 11:09 am
Forum: Investing - Theory, News & General
Topic: more great service from Treasury Direct!
Replies: 74
Views: 11259

Re: more great service from Treasury Direct!

Yes, you have to get the form signed and mail it to TD, and it can be any bank. There have been other threads about this: see one here http://www.bogleheads.org/forum/viewtopic.php?f=1&t=91737 I'm not sure what the form proves either, but it seems to be the price of admission if you want to pla...
by JustinR
Thu Apr 26, 2012 12:57 am
Forum: Investing - Theory, News & General
Topic: more great service from Treasury Direct!
Replies: 74
Views: 11259

Re: more great service from Treasury Direct!

I just applied for an account today. In the verification email it said: Dear Account Holder, Thanks again for opening a TreasuryDirect account. We are having difficulty verifying the information you provided when opening your account. For your protection, please complete the Account Authorization fo...
by JustinR
Tue Apr 17, 2012 12:05 am
Forum: Investing - Help with Personal Investments
Topic: Buying a house in 5 years - what should I do investmentwise?
Replies: 12
Views: 2007

Re: Buying a house in 5 years - what should I do investmentw

Justin, we've been saving for about three years for our down payment on our next house. We've kept ours in money market savings, but given how much our interest rate declined, I would look for more yield if I had to do it over again. A lot of people here like I-bonds - inflation-protected savings b...