Search found 10604 matches

by MotoTrojan
Mon Sep 21, 2020 1:31 pm
Forum: Personal Investments
Topic: How does total stock market index rebalance value vs growth
Replies: 8
Views: 481

Re: How does total stock market index rebalance value vs growth

It doesn't need to rebalance. It holds the whole market. The whole market is in balance at all times. Growth and value aren't defined as absolutes, they are defined as percentiles of the market. Fama and French originally defined them this way: We also break NYSE, Amex, and NASDAQ stocks into three...
by MotoTrojan
Mon Sep 21, 2020 1:24 pm
Forum: Personal Investments
Topic: How does total stock market index rebalance value vs growth
Replies: 8
Views: 481

Re: How does total stock market index rebalance value vs growth

If lifestrategy 60/40 suffers a huge equity drawdown, rebalances, then you withdraw you have effectively done the same thing as just selling bonds to get back to your target AA; these are equivalent end results. Why wouldn’t you want to stay at your target AA? I would never split a value and growth ...
by MotoTrojan
Mon Sep 21, 2020 1:19 pm
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

(a) The monthly alpha. (b) The yearly alpha. These refer to the fact that your portfolio produced slightly lower returns than one would've expected given the exposure it had to various factors and the returns of those factors themselves. It probably is because it loaded on negative momentum, and mo...
by MotoTrojan
Mon Sep 21, 2020 11:54 am
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

How is DFSVX doing so much better than other small cap values today? Around a 3-4% difference. Shouldn't Avuv be doing similar That's a mutual fund, it's price won't update until after the market close. I guarantee it'll be down bigly :oops: Forgot about that, but will it make a 4% difference? Coul...
by MotoTrojan
Mon Sep 21, 2020 11:52 am
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

Thanks for those links. Value is a difficult concept for me because to some degree it seems subjective. Some stocks that appear to be more "growth" might be considered as a great value by some due to strong prospects for future profit growth. And as mototrojan mentioned, even book values aren't app...
by MotoTrojan
Mon Sep 21, 2020 11:49 am
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

nzahir wrote: Mon Sep 21, 2020 11:43 am How is DFSVX doing so much better than other small cap values today? Around a 3-4% difference. Shouldn't Avuv be doing similar
Answered above but I’ll just say again, short term price swings is not a helpful metric IMHO for deciding which fund to use.
by MotoTrojan
Mon Sep 21, 2020 11:41 am
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

Can we rejoice today because the difference between small-value and large growth has become even wider today? Isn't that what is great about being a Small Cap Value believer, we can cheer when SCV outperforms because, well its outperforming, and we can also cheer when it underperforms, since we kno...
by MotoTrojan
Mon Sep 21, 2020 11:25 am
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

muffins14 wrote: Mon Sep 21, 2020 10:28 am Can we rejoice today because the difference between small-value and large growth has become even wider today?
Still a good ways to go to the extreme set earlier this month, no?
by MotoTrojan
Mon Sep 21, 2020 11:25 am
Forum: Investing - Theory, News & General
Topic: U.S. stocks in free fall
Replies: 20319
Views: 2777797

Re: U.S. stocks in free fall

"Investors pulled $3.5 billion from the largest tech ETF [QQQ] Friday, the biggest daily withdrawal for the fund in 20 years." Source Watched QQQ for months and dediced to buy some end of last week. I wouldn't be surprised if we get a 2nd dotcom crash at this point. Market is always tryining to mak...
by MotoTrojan
Mon Sep 21, 2020 11:23 am
Forum: Investing - Theory, News & General
Topic: U.S. stocks in free fall
Replies: 20319
Views: 2777797

Re: U.S. stocks in free fall

"Investors pulled $3.5 billion from the largest tech ETF [QQQ] Friday, the biggest daily withdrawal for the fund in 20 years." Source Watched QQQ for months and dediced to buy some end of last week. I wouldn't be surprised if we get a 2nd dotcom crash at this point. Market is always tryining to mak...
by MotoTrojan
Mon Sep 21, 2020 11:15 am
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

Speaking of intangibles and book value, here is a pretty interesting paper. https://alphaarchitect.com/2020/09/21/intangible-capital-and-the-value-factor-has-your-value-definition-just-expired/ Have only read the summary, but they show that while composite weights of metrics such as B/P, E/P, S/P et...
by MotoTrojan
Mon Sep 21, 2020 11:14 am
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

This is a very basic question, but, how are defining "value", and which equities qualify as "value" and which do not? Is this based mainly on price to book (from my reading of HML, it looks like it's primarily based on price to book)? This is an EXCELLENT question and for me it will always be a wor...
by MotoTrojan
Mon Sep 21, 2020 7:06 am
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

Ah you’re asking how to compare funds, not how the funds achieve said value exposure. Clearest and most consistent way is to regress the HML factor exposure which is based on P/B, but that is less effective with some niche funds. But there’s nothing stopping you from calculating any of these other ...
by MotoTrojan
Sun Sep 20, 2020 7:28 pm
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

This is a very basic question, but, how are defining "value", and which equities qualify as "value" and which do not? Is this based mainly on price to book (from my reading of HML, it looks like it's primarily based on price to book)? Many ways. Some use P/B, many a composite of various things like...
by MotoTrojan
Sun Sep 20, 2020 5:37 pm
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

This is a very basic question, but, how are defining "value", and which equities qualify as "value" and which do not? Is this based mainly on price to book (from my reading of HML, it looks like it's primarily based on price to book)? Many ways. Some use P/B, many a composite of various things like...
by MotoTrojan
Sun Sep 20, 2020 5:36 pm
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

Trying to learn more about PV. I'm doing a factor regression on an int. ex. US portfolio with 50% VEA and 50% DISVX. I choose 5 factor Fama & French (good choice?). Market (Rm-Rf) 1.08 0.017 62.373 0.000 1.050...1.118 Size (SMB) 0.14 0.043 3.375 0.001 0.060...0.229 Value (HML) 0.19 0.054 3.530 0.00...
by MotoTrojan
Sun Sep 20, 2020 9:40 am
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

Here's the fund info: VUSE - Vident Funds From the fact sheet, it slices across cap weightings: large cap - 30.9% mid cap - 41.9% small cap - 27.1% The fund tracks the Vident Core U.S. Stock Index TM . How does that index track against other indices? Some more info here but still a bit vague: https...
by MotoTrojan
Sun Sep 20, 2020 9:36 am
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

But sometimes I wonder if international is even worth it considering the unrecoverable tax withholdings. Whenever I've used triceratops tax efficiency calculator, I've found that US and Ex-USA funds are perfectly fine from a tax perspective for me. Actually quite close. I hold FNDE in my taxable ac...
by MotoTrojan
Sat Sep 19, 2020 9:59 pm
Forum: Personal Investments
Topic: Losing Money with Index Funds
Replies: 149
Views: 13977

Re: Losing Money with Index Funds

I'm curious as to why the question is specific to index funds. Are you implying you might have lost less in active funds? I only have index funds. VTSAX, VBTLX and VFIAX...I just recently opened my Vanguard account and am a complete beginner. :o VTSAX and VFIAX are nearly identical. VTIAX (internat...
by MotoTrojan
Sat Sep 19, 2020 5:38 pm
Forum: Personal Investments
Topic: Losing Money with Index Funds
Replies: 149
Views: 13977

Re: Losing Money with Index Funds

I'm curious as to why the question is specific to index funds. Are you implying you might have lost less in active funds? I only have index funds. VTSAX, VBTLX and VFIAX...I just recently opened my Vanguard account and am a complete beginner. :o VTSAX and VFIAX are nearly identical. VTIAX (internat...
by MotoTrojan
Sat Sep 19, 2020 9:43 am
Forum: Personal Investments
Topic: Fund Performance Comparisons
Replies: 23
Views: 1298

Re: Fund Performance Comparisons

Good points but I think historical growth/past performance does mean something and I'd sure want to know how a fund has performed YTD, 1yr, 3yr, 5yr 10yr and since inception before investing. I realize past performance is no guarantee of future results but if a fund has consistently outperformed an...
by MotoTrojan
Sat Sep 19, 2020 9:41 am
Forum: Personal Investments
Topic: Fund Performance Comparisons
Replies: 23
Views: 1298

Re: Fund Performance Comparisons

tibbitts wrote: Sat Sep 19, 2020 7:47 am

The fact that you don't seem to understand the share-class concept suggests that you might want to rethink investing until you've learned a little more.
This. This reaffirms that OP is just seeing tickers and not really thinking about the actual holdings or strategies being applied.
by MotoTrojan
Sat Sep 19, 2020 9:39 am
Forum: Personal Investments
Topic: Fund Performance Comparisons
Replies: 23
Views: 1298

Re: Fund Performance Comparisons

Put simply, if it were this easy, you’d be a billionaire manager-of-managers by now who simply invests peoples money in the top performing funds for them and takes 2% and 20% of gains like a hedge fund.
by MotoTrojan
Sat Sep 19, 2020 9:33 am
Forum: Personal Investments
Topic: Fund Performance Comparisons
Replies: 23
Views: 1298

Re: Fund Performance Comparisons

Good points but I think historical growth/past performance does mean something and I'd sure want to know how a fund has performed YTD, 1yr, 3yr, 5yr 10yr and since inception before investing. I realize past performance is no guarantee of future results but if a fund has consistently outperformed an...
by MotoTrojan
Sat Sep 19, 2020 8:06 am
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

New post be Asness on the (lack of a) size effect. https://www.aqr.com/Insights/Perspectives/There-is-No-Size-Effect-Daily-Edition Summary is that illiquidity causes beta to come in low (sometimes well under 1) on small-caps, resulting in the marginally statistically significant premium (alpha). In ...
by MotoTrojan
Fri Sep 18, 2020 10:40 pm
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

Thought you all may enjoy this comparison of VOO, VBR, and SLYV showing percentile scales (top 1000 US stocks) on Size & Book/Price. And here is SLYV vs. AVUV (pretty subtle): Here is all 3 again but instead of size, gross profitability (not seeing any huge differences): One more before I run... VF...
by MotoTrojan
Fri Sep 18, 2020 8:37 pm
Forum: Personal Investments
Topic: Fund Performance Comparisons
Replies: 23
Views: 1298

Re: Fund Performance Comparisons

Good points but I think historical growth/past performance does mean something and I'd sure want to know how a fund has performed YTD, 1yr, 3yr, 5yr 10yr and since inception before investing. I realize past performance is no guarantee of future results but if a fund has consistently outperformed an...
by MotoTrojan
Fri Sep 18, 2020 8:10 pm
Forum: Personal Consumer Issues
Topic: Ring for a new girlfriend
Replies: 83
Views: 6063

Re: Ring for a new girlfriend

Don't go overboard. Scares away the fish. +1 And it sort of creates the expectation that she will spend a similar amount on a gift for you. If this early planning for something like Christmas then she may have already bought you a much less expensive gift for you and that could also be more than a ...
by MotoTrojan
Fri Sep 18, 2020 7:48 pm
Forum: Investing - Theory, News & General
Topic: AQR still singing the same song
Replies: 121
Views: 9963

Re: AQR still singing the same song

Rick Ferri wrote: Fri Sep 18, 2020 7:25 pm Cliff Asness agreed to be my November guest on the Bogleheads on Investing podcast. Bogleheads will be able to ask him intelligent questions that would benefit the community. I will post more next month.

Rick Ferri
This sounds great!!!
by MotoTrojan
Fri Sep 18, 2020 7:46 pm
Forum: Personal Consumer Issues
Topic: Ring for a new girlfriend
Replies: 83
Views: 6063

Re: Ring for a new girlfriend

boogiehead wrote: Fri Sep 18, 2020 7:36 pm What's the occasion, if you don't mind revealing? Seems like you might be setting the bar too high too soon for yourself :P.
Agreed. Setting yourself up for failure unless this is a shallow relationship (nothing against some transactional lovin’).
by MotoTrojan
Fri Sep 18, 2020 7:43 pm
Forum: Personal Investments
Topic: Decision time...to lump sum or not to lump sum
Replies: 24
Views: 2240

Re: Decision time...to lump sum or not to lump sum

gwe67 wrote: Thu Sep 17, 2020 2:03 pm I would be pretty nervous about dumping $797K into the market at once. Lots of potential regret there. Although this is typically the preferred choice over buying-in over time.
Would you also regret not selling your $797K 401k before a crash? They are the same.
by MotoTrojan
Fri Sep 18, 2020 6:52 pm
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

Thought you all may enjoy this comparison of VOO, VBR, and SLYV showing percentile scales (top 1000 US stocks) on Size & Book/Price. https://i.postimg.cc/cCqPNzp4/Small-Value-Comparison.png And here is SLYV vs. AVUV (pretty subtle): https://i.postimg.cc/wvNbFV1K/AVUV-SLYV.png Here is all 3 again but...
by MotoTrojan
Fri Sep 18, 2020 4:26 pm
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

Avantis is just so new and I know the DFA has good track history (has done worse though in the past 20 years though vs SLYV). As shown, DFA really hasn't done much worse (outside of higher expense ratio) than SLYV, it just has higher factor loading and the factors have done worse. See below how 75/...
by MotoTrojan
Fri Sep 18, 2020 3:54 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Multifactor fund VFMF has had a bad year
Replies: 93
Views: 4939

Re: VFMF has had a bad year

1. Why didn't the other factors (momentum, quality) help this year? Momentum HAS helped so far this year, adding some performance relative to the total market. Quality has NOT helped because the quality factor has had negative returns year to date. Size helped a little bit, as did VFMF's slightly h...
by MotoTrojan
Fri Sep 18, 2020 3:46 pm
Forum: Personal Consumer Issues
Topic: Ring for a new girlfriend
Replies: 83
Views: 6063

Re: Ring for a new girlfriend

Can tell you from experience that giving rings as non-engagement gifts is a dangerous activity. Maybe a necklace, earrings, or bracelet would do? OP, this here. 9-10 months is not out of the realm of engagement ring territory for dating in your 30s especially if things are going well or you live to...
by MotoTrojan
Fri Sep 18, 2020 3:41 pm
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

https://www.etrade.wallst.com/v1/stocks/fund_portfolio/portfolio.asp?symbol=VBR Is E*TRADE wrong? It's not wrong, just probably a little misleading if you don't know what you're doing. Why is it misleading, I actually don't know For many reasons. VBR might be buying the smallest of the midcaps whil...
by MotoTrojan
Fri Sep 18, 2020 3:36 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Multifactor fund VFMF has had a bad year
Replies: 93
Views: 4939

Re: VFMF has had a bad year

Vanguard QEG has a very poor track record in everything they have done so far, why would these factor funds be any different than their other long run factor funds. Let's see, long history of mediocre performance at best from Strategic Equity, Strategic Small Cap Equity, Explorer value, US Value (n...
by MotoTrojan
Fri Sep 18, 2020 3:28 pm
Forum: Personal Consumer Issues
Topic: Ring for a new girlfriend
Replies: 83
Views: 6063

Re: Ring for a new girlfriend

Can tell you from experience that giving rings as non-engagement gifts is a dangerous activity. Maybe a necklace, earrings, or bracelet would do?
by MotoTrojan
Fri Sep 18, 2020 3:03 pm
Forum: Personal Investments
Topic: Is retirement in 2 years possible?
Replies: 43
Views: 5777

Re: Is retirement in 2 years possible?

I personally would be nervous with that withdrawal rate this early, but if you can cut back here and there it seems like it would work.

Make sure you actually know what healthcare costs are too.
by MotoTrojan
Fri Sep 18, 2020 1:32 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Multifactor fund VFMF has had a bad year
Replies: 93
Views: 4939

Re: VFMF has had a bad year

. So far VFMF looks okay (if wanting those types of tilts). Here are the factor loads since inception (using daily data to increase sample size): 0.02 = Annual alpha 0.98 = Market 0.45 = Size 0.47 = Value 0.18 = Momentum 0.19 = Profitability [quality] 97.7 = R^2 https://www.portfoliovisualizer.com/...
by MotoTrojan
Fri Sep 18, 2020 1:22 pm
Forum: Investing - Theory, News & General
Topic: So, you want to tilt to growth
Replies: 33
Views: 2807

Re: So, you want to tilt to growth

so if value and growth have outperformed each other 20 yrs each out of 40yr, then why is it taboo on Bogleheads to tilt toward growth, but seems ok to tilt toward value? Overall the true boglehead wouldn't tilt at all, but tilts are favored here when heading toward value. Is it just because we assu...
by MotoTrojan
Fri Sep 18, 2020 12:26 pm
Forum: Investing - Theory, News & General
Topic: Books/websites for a 12 year old to learn about investing
Replies: 14
Views: 843

Re: Books/websites for a 12 year old to learn about investing

Random Walk Down Wallstreet would work for an avid reader at that age I would think. Intro To Bogleheads is good too but more focused on the implementation than simply getting them interested in the overall themes.
by MotoTrojan
Fri Sep 18, 2020 12:16 pm
Forum: Investing - Theory, News & General
Topic: So, you want to tilt to growth
Replies: 33
Views: 2807

Re: So, you want to tilt to growth

Investors buy recent winners rather than build a well-balanced portfolio because of a myopic view of performance. Over the last 40 years, growth has outperformed value 20 times, and value has outperformed growth 20 times, but in the recent past growth has outperformed. so if value and growth have o...
by MotoTrojan
Fri Sep 18, 2020 12:00 pm
Forum: Investing - Theory, News & General
Topic: So, you want to tilt to growth
Replies: 33
Views: 2807

Re: So, you want to tilt to growth

Investors buy recent winners rather than build a well-balanced portfolio because of a myopic view of performance. Over the last 40 years, growth has outperformed value 20 times, and value has outperformed growth 20 times, but in the recent past growth has outperformed. so if value and growth have o...
by MotoTrojan
Fri Sep 18, 2020 11:59 am
Forum: Investing - Theory, News & General
Topic: So, you want to tilt to growth
Replies: 33
Views: 2807

Re: So, you want to tilt to growth

Investors buy recent winners rather than build a well-balanced portfolio because of a myopic view of performance. Over the last 40 years, growth has outperformed value 20 times, and value has outperformed growth 20 times, but in the recent past growth has outperformed. so if value and growth have o...
by MotoTrojan
Fri Sep 18, 2020 11:31 am
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

I don't, but I was talking about mid caps in general (its basically a 50-50 mid and small mix) What makes you say that? My estimate tell me it's closer to 80-20 small-mid. https://www.etrade.wallst.com/v1/stocks/fund_portfolio/portfolio.asp?symbol=VBR Is E*TRADE wrong? It's not wrong, just probably...
by MotoTrojan
Fri Sep 18, 2020 9:35 am
Forum: Investing - Theory, News & General
Topic: Vanguard Multifactor fund VFMF has had a bad year
Replies: 93
Views: 4939

Re: VFMF has had a bad year

Yes, like so many that invest in small value stocks because they did well in the past. Or those that jump into momentum or quality or profitability or low volatility stocks because they performed well in the past. I'd rather performance chase something that has a good long-run history but has done ...
by MotoTrojan
Fri Sep 18, 2020 9:00 am
Forum: Personal Investments
Topic: Thoughts about Leveraged ETF's
Replies: 19
Views: 1172

Re: Thoughts about Leveraged ETF's

Therefore I am looking to place a little money in high risk/ high reward investments. Good thoughts from vineviz above but to flesh it out a bit more, while UPRO is high risk, I don't know that I would call it high reward. This thread's 1st post has a TON of great info on these funds, and actual wa...
by MotoTrojan
Fri Sep 18, 2020 8:55 am
Forum: Investing - Theory, News & General
Topic: Small Cap Value heads Rejoice !!!
Replies: 3110
Views: 227912

Re: Small Cap Value heads Rejoice !!!

VBR does a perfectly fine job at getting exposure to HML relative to say SLYV, and still gets most of the SMB exposure. By holding a little more VBR you can get the same exposure while reducing your overall weighted expense ratio, so unless you need a deeper fund to meet your target exposure, no ne...
by MotoTrojan
Fri Sep 18, 2020 8:02 am
Forum: Personal Investments
Topic: Thoughts about Leveraged ETF's
Replies: 19
Views: 1172

Re: Thoughts about Leveraged ETF's

Therefore I am looking to place a little money in high risk/ high reward investments. Good thoughts from vineviz above but to flesh it out a bit more, while UPRO is high risk, I don't know that I would call it high reward. This thread's 1st post has a TON of great info on these funds, and actual wa...