Search found 1401 matches

by Elysium
Sun Nov 25, 2018 12:02 pm
Forum: Investing - Theory, News & General
Topic: Small Value: 15 years of underperforming
Replies: 142
Views: 11196

Re: Small Value: 15 years of underperforming

I don’t think there is a problem with relying on FF data. I think the problem is with relying on the advertised name of some funds and finding passive funds that stick to a defined factor mandate. The FF data crystallize what factors have been shown to be significant, and it’s up to the investor to...
by Elysium
Sun Nov 25, 2018 10:04 am
Forum: Investing - Theory, News & General
Topic: Small Value: 15 years of underperforming
Replies: 142
Views: 11196

Re: Small Value: 15 years of underperforming

The 'small growth' funds seems to be more a blend of the FF Small Growth and FF Small Neutral series, and likely explains some of the recent (past 15 years) difference in the returns between FF Small Growth and "Small Growth" index funds. Since 2003 the annually rebalanced FF Small neutral series h...
by Elysium
Sat Nov 24, 2018 7:18 pm
Forum: Investing - Theory, News & General
Topic: Small Value: 15 years of underperforming
Replies: 142
Views: 11196

Re: Small Value: 15 years of underperforming

So the question isn't about SV performance against growth. It is about why the Small value mutual funds have not been able to match the fama-French portfolios? I am pretty sure if you compared the intersection of the stocks each held, it would be pretty clear with the average small value mutual fun...
by Elysium
Sat Nov 24, 2018 12:15 pm
Forum: Investing - Theory, News & General
Topic: Small Value: 15 years of underperforming
Replies: 142
Views: 11196

Re: Small Value: 15 years of underperforming

Can anyone suggest, or present a plot a comparable pair of international small-cap growth and international small-cap value funds or ETFs that goes back 15 years? (Please, real world only, i.e. actual funds or ETFs). I am not aware of any International Small Growth Index funds that goes far. The ac...
by Elysium
Sat Nov 24, 2018 10:31 am
Forum: Investing - Theory, News & General
Topic: Small Value: 15 years of underperforming
Replies: 142
Views: 11196

Re: Small Value: 15 years of underperforming

DISVX = DFA Intl Small Cap Value DFIVX = DFA Intl Large Cap Value DFVQX = DFA Intl Vector Equity (between large & small) MSCI ex-US Index = large cap index ?? What is the right fund comparison to which index? When I had checked last, the active fund Vanguard Intl Explorer which has small growth tilt...
by Elysium
Fri Nov 23, 2018 11:44 pm
Forum: Investing - Theory, News & General
Topic: Small Value: 15 years of underperforming
Replies: 142
Views: 11196

Re: Small Value: 15 years of underperforming

Elysium, Already at limits (maybe beyond) of my knowledge. Don’t want to say anything too wrong. Now if you want some REAL VALUABLE INFORMATION, ignore what I’ve written, and read this article from Larry Swedroe. I’m going to post it separately to in this thread. https://www.etf.com/sections/index-...
by Elysium
Fri Nov 23, 2018 9:32 pm
Forum: Investing - Theory, News & General
Topic: Small Value: 15 years of underperforming
Replies: 142
Views: 11196

Re: Small Value: 15 years of underperforming

That being said, for planning purposes, how about this? Historic size premium 2.5%, historic value premium 3.8%. 2.5% + 3.8% = 6.3%. Since most all of us use long only funds exclusively, cut that in half. 6.3%/2 = 3.15%. Since publication appears to knock off about a 1/3 of widely known premia, let...
by Elysium
Fri Nov 23, 2018 4:59 pm
Forum: Investing - Theory, News & General
Topic: Small Value: 15 years of underperforming
Replies: 142
Views: 11196

Re: Small Value: 15 years of underperforming

One can target a desired expected return, and compared to a TSM/TBM portfolio with given target return, create a SV/TBM portfolio with same target return and bigger allocation to bonds. This could well narrow the potential distribution of returns significantly, increase consistency, and decrease ex...
by Elysium
Fri Nov 23, 2018 10:37 am
Forum: Investing - Theory, News & General
Topic: Small Value: 15 years of underperforming
Replies: 142
Views: 11196

Re: Small Value: 15 years of underperforming

c) You didn't say why you chose 15 years. You really need to say why you chose 15 years. The salient characteristic of 1998-style factor-based strategies is that they had one brief shining moment in 2000-2002, and they really did shine: Hi Nisiprius, I chose last 15 years from 2003 because that is ...
by Elysium
Thu Nov 22, 2018 6:25 pm
Forum: Investing - Theory, News & General
Topic: Small Value: 15 years of underperforming
Replies: 142
Views: 11196

Small Value: 15 years of underperforming

Small Value is now underperforming Small Growth for the last 15 years. Not a lot of insight there. But, the idea SV is superior to SG may not actually have anything, other than all asset classes may perform differently depending on period used.
by Elysium
Mon Nov 19, 2018 5:42 pm
Forum: Investing - Theory, News & General
Topic: Vanguard lowering Admiral level to $3,000?
Replies: 224
Views: 17262

Re: Vanguard lowering Admiral level to $3,000?

So does this mean that Vanguard Individual 401k plans will get access to Admiral Shares and lower expense ratios? That appears to be the case, and such a great news. I logged into my account to check my Solo 401(k) plan and the funds I have now says closed to new investors which is strange consider...
by Elysium
Sat Nov 17, 2018 9:06 am
Forum: Investing - Theory, News & General
Topic: Vanguard's Quantitative Equity Group Losing Talent
Replies: 61
Views: 4161

Re: Vanguard's Quantitative Equity Group Losing Talent

Talent matters in science and engineering, healthcare, etc, real hard sciences that can advance human progress. Not for a junk science like finance and economics. I think you could only operate with this level of disrespect for people in the fields of finance and economics if you had never met a re...
by Elysium
Sat Nov 17, 2018 8:40 am
Forum: Investing - Theory, News & General
Topic: Vanguard's Quantitative Equity Group Losing Talent
Replies: 61
Views: 4161

Re: Vanguard's Quantitative Equity Group Losing Talent

Talent matters in science and engineering, healthcare, etc, real hard sciences that can advance human progress. Not for a junk science like finance and economics. Whoa. Whether a job requires talent and whether it is socially useful are not the same thing. That is the point of my quoted text. The p...
by Elysium
Fri Nov 16, 2018 5:42 pm
Forum: Investing - Theory, News & General
Topic: Vanguard's Quantitative Equity Group Losing Talent
Replies: 61
Views: 4161

Re: Vanguard's Quantitative Equity Group Losing Talent

Actively recruit from top MBA programs vs. getting top talent are two different things. My experiences with Wharton, Stanford, & Harvard MBAs going to top financial services firms is $300k, including bonuses, debt forgiveness, and equity, is easily attainable year 1. Salary won't reach that, but sa...
by Elysium
Fri Nov 16, 2018 5:32 pm
Forum: Investing - Theory, News & General
Topic: Vanguard's Quantitative Equity Group Losing Talent
Replies: 61
Views: 4161

Re: Vanguard's Quantitative Equity Group Losing Talent

Quants have not delivered value anywhere, so what's the point :?: DFA, AQR, WisdomTree, Vanguard, Schwab, you name it, all have quants, these investments have not delivered any value over and beyond simple straight indexes. The only value they add is provide job opportunities for PhD's beyond acade...
by Elysium
Fri Nov 16, 2018 5:03 pm
Forum: Investing - Help with Personal Investments
Topic: I can't take this anymore=) I'm selling stocks and buying bonds!
Replies: 129
Views: 19781

Re: I can't take this anymore=) I'm selling stocks and buying bonds!

Not quite sure if I follow, you say you've lost (according to your math) about 6.6 months of your hard work in terms of dollars in your bond allocation (BIV) since you've started your portfolio and you want to sell your equities at a loss to buy more? If I were in your position I would consider dir...
by Elysium
Thu Nov 15, 2018 6:11 pm
Forum: Personal Consumer Issues
Topic: Lexus NX vs RX
Replies: 10
Views: 1124

Re: Lexus NX vs RX

Boy, what part of the country do you live in with potholes like that :shock: or do you have a special talent towards spottting them and going head on into them :? Either way, both of these cars wouldn't help, as they are both soft riding cars meant for gentle handling on smoother roads. You may want...
by Elysium
Thu Nov 15, 2018 6:04 pm
Forum: Investing - Theory, News & General
Topic: Vanguard's Quantitative Equity Group Losing Talent
Replies: 61
Views: 4161

Re: Vanguard's Quantitative Equity Group Losing Talent

Quants have not delivered value anywhere, so what's the point :?: DFA, AQR, WisdomTree, Vanguard, Schwab, you name it, all have quants, these investments have not delivered any value over and beyond simple straight indexes. The only value they add is provide job opportunities for PhD's beyond acade...
by Elysium
Thu Nov 15, 2018 5:52 pm
Forum: Investing - Theory, News & General
Topic: Vanguard's Quantitative Equity Group Losing Talent
Replies: 61
Views: 4161

Re: Vanguard's Quantitative Equity Group Losing Talent

Quants have not delivered value anywhere, so what's the point :?: I think people who are familiar with this field understand the value that talented people bring to the table and are willing (as a rule) to pay well for that talent. For people in unrelated fields, even very smart people, that value ...
by Elysium
Thu Nov 15, 2018 5:30 pm
Forum: Investing - Theory, News & General
Topic: Vanguard's Quantitative Equity Group Losing Talent
Replies: 61
Views: 4161

Re: Vanguard's Quantitative Equity Group Losing Talent

Quants have not delivered value anywhere, so what's the point :?: DFA, AQR, WisdomTree, Vanguard, Schwab, you name it, all have quants, these investments have not delivered any value over and beyond simple straight indexes. The only value they add is provide job opportunities for PhD's beyond acade...
by Elysium
Thu Nov 15, 2018 5:16 pm
Forum: Investing - Theory, News & General
Topic: Vanguard's Quantitative Equity Group Losing Talent
Replies: 61
Views: 4161

Re: Vanguard's Quantitative Equity Group Losing Talent

Quants have not delivered value anywhere, so what's the point :?: Boy, "anywhere" covers a lot of territory. Jus' sayin' Sorry, as a computer scientist, I don't trust computer models and the formulas put into them by folks with PhD in an area that is not exactly a science. Computer models are great...
by Elysium
Thu Nov 15, 2018 5:06 pm
Forum: Investing - Help with Personal Investments
Topic: Vanguard Global Credit Bond Fund
Replies: 6
Views: 885

Re: Vanguard Global Credit Bond Fund

The question to ask is, do corporations domiciled in different countries / continents with similar credit ratings have ability to borrow in the global credit market at same rates, or do they pay different rates. If the answer is positive, that their ability to raise capital comes at a comparable cos...
by Elysium
Thu Nov 15, 2018 10:38 am
Forum: Investing - Theory, News & General
Topic: Vanguard's Quantitative Equity Group Losing Talent
Replies: 61
Views: 4161

Re: Vanguard's Quantitative Equity Group Losing Talent

Quants have not delivered value anywhere, so what's the point :?: DFA, AQR, WisdomTree, Vanguard, Schwab, you name it, all have quants, these investments have not delivered any value over and beyond simple straight indexes. The only value they add is provide job opportunities for PhD's beyond academ...
by Elysium
Tue Nov 13, 2018 6:31 pm
Forum: Investing - Help with Personal Investments
Topic: Long-term bond index vs Total bond
Replies: 3
Views: 774

Re: Long-term bond index vs Total bond

Two significant risks with long term bonds: 1. Inflation risk 2. Interest rate risk (and of course credit risk in case of corporate bonds) If inflation picks up suddenly, then your long term bonds will not keep up. Suppose the current yield is 4%, and if inflation picks up over that rate then your b...
by Elysium
Mon Nov 12, 2018 5:42 pm
Forum: Investing - Theory, News & General
Topic: Diversification Regret
Replies: 114
Views: 13504

Re: Diversification Regret

That's what I meant with there is no way around it, from a practical sense. Coming to the second part, that of diversifying, I do not think you are getting away from market risk even when you overweight value or size, aren't they are subject to same risk? just varying degrees. At the end of the day...
by Elysium
Mon Nov 12, 2018 4:17 pm
Forum: Investing - Theory, News & General
Topic: Diversification Regret
Replies: 114
Views: 13504

Re: Diversification Regret

I am aware of this argument, that Market is concentrated in single factor risk, beta, and that there are optimal methods to diversify away from that risk. I have made a decision to reject that premise, even while invested in SCV and other asset classes. I do not think there is any way of getting ar...
by Elysium
Mon Nov 12, 2018 3:17 pm
Forum: Investing - Theory, News & General
Topic: Diversification Regret
Replies: 114
Views: 13504

Re: Diversification Regret

My point is that theoretically there is no basis to state I am more diversified than the Market with my active decision to overweight assets that are in fact represented in the Market portfolio. There are no academic studies that proves this is in fact more efficient, and in fact there are studies ...
by Elysium
Mon Nov 12, 2018 10:31 am
Forum: Investing - Theory, News & General
Topic: Diversification Regret
Replies: 114
Views: 13504

Re: Diversification Regret

I have to agree with Taylor on this one, even though I am personally invested in more than just large cap US stocks, and into disproportionate amount of US Small Value, Mid-Caps, etc. The difference is I do know that I am not diversifying, and instead concentrating by having my own personal weighti...
by Elysium
Mon Nov 12, 2018 8:51 am
Forum: Investing - Theory, News & General
Topic: Diversification Regret
Replies: 114
Views: 13504

Re: Diversification Regret

I have to agree with Taylor on this one, even though I am personally invested in more than just large cap US stocks, and into disproportionate amount of US Small Value, Mid-Caps, etc. The difference is I do know that I am not diversifying, and instead concentrating by having my own personal weightin...
by Elysium
Sat Nov 10, 2018 11:03 pm
Forum: Investing - Help with Personal Investments
Topic: Mid and Small Caps?
Replies: 38
Views: 3236

Re: Mid and Small Caps?

Question: People tend to love the idea of adding “small cap value” to their portfolio. For those that espouse to more of a mid-cap tilt vs small, do they go for mid-cap blend, growth, or value similar to small cap fans? I am strongly considering going 50/50 tsm and mid cap in both my kids 529s. I’m...
by Elysium
Sat Nov 10, 2018 10:54 pm
Forum: Investing - Help with Personal Investments
Topic: Mid and Small Caps?
Replies: 38
Views: 3236

Re: Mid and Small Caps?

Question: People tend to love the idea of adding “small cap value” to their portfolio. For those that espouse to more of a mid-cap tilt vs small, do they go for mid-cap blend, growth, or value similar to small cap fans? I am strongly considering going 50/50 tsm and mid cap in both my kids 529s. I’m...
by Elysium
Fri Nov 09, 2018 7:17 pm
Forum: Investing - Help with Personal Investments
Topic: VIG (and SCHD etc) [tilting towards dividend stocks]
Replies: 6
Views: 537

Re: VIG (and SCHD etc) [tilting towards dividend stocks]

Is there any particular reason you want the dividend paying ETF rather than a broad market or S&P 500 etf? Somewhat rhetorical - many would say to focus on total return rather than dividends. With less dividends you have more control of when you take the distribution of cash from the funds via sell...
by Elysium
Mon Nov 05, 2018 8:27 pm
Forum: Personal Finance (Not Investing)
Topic: Evaluating Fed employment vs. contracting
Replies: 12
Views: 760

Re: Evaluating Fed employment vs. contracting

tigermilk wrote:
Mon Nov 05, 2018 8:07 pm
Looking at GS 14/15 or are there actually postings for 14/15? Big difference, Getting a 14/15 can be a huge challenge.
There are postings, several of them, agree getting in at that level is hard as there are many preferred groups first.
by Elysium
Mon Nov 05, 2018 7:53 pm
Forum: Investing - Help with Personal Investments
Topic: Too Mid Cap Heavy in My Small Cap Funds--Best Alternative
Replies: 16
Views: 1219

Re: Too Mid Cap Heavy in My Small Cap Funds--Best Alternative

OP, why do you want to go more small caps instead of mid caps? Historically mid-caps have been as good as small-caps and probably a bit more stable. It doesn't move the needle very much, and if you have VSMAX it is already small cap, with some mid-caps there that doesn't make a siginificant differen...
by Elysium
Mon Nov 05, 2018 7:34 pm
Forum: Personal Finance (Not Investing)
Topic: Evaluating Fed employment vs. contracting
Replies: 12
Views: 760

Re: Evaluating Fed employment vs. contracting

It's difficult to tell since I'm not familiar to the nature of your contracting work. However, currently working for fed in DC and have many friends that do IT consulting work so I can speak generally on this issue. If you're a contractor and your skills are in demand, there will always be work for...
by Elysium
Mon Nov 05, 2018 5:49 pm
Forum: Personal Finance (Not Investing)
Topic: Evaluating Fed employment vs. contracting
Replies: 12
Views: 760

Re: Evaluating Fed employment vs. contracting

I don’t follow your numbers. What does the $35K to $55K represent? I don't know exact salary that will be offered for fed job, so don't have clear way to compare. I estimated last 3 years an extra income around $150K cumulatively compared to a full time job I held with a mega-corp prior to that. To...
by Elysium
Mon Nov 05, 2018 5:36 pm
Forum: Personal Finance (Not Investing)
Topic: Evaluating Fed employment vs. contracting
Replies: 12
Views: 760

Evaluating Fed employment vs. contracting

I'd like to run an evaluation on under what circumstances fed employment would make sense, and whether it is giving up or gaining anything. Here is the background: I do contracting work through major fed contractors as an s-corp owner / employee in the IT enterprise & solution arcchitecture areas. A...
by Elysium
Sat Nov 03, 2018 5:50 pm
Forum: Personal Consumer Issues
Topic: Which Prius or something else?
Replies: 25
Views: 1621

Re: Which Prius or something else?

I don't know what everyone is talking about in terms of visibility on the Prius. We own one, and I used to drive that around everywhere including long trips on highway, short trips around town, daily commute, with and without family, luggage, etc, and never had any problems with visibility. May be I...
by Elysium
Fri Nov 02, 2018 11:50 am
Forum: Investing - Theory, News & General
Topic: Core-4 Investing is LIVE! It really is this time!
Replies: 136
Views: 11671

Re: Core-4 Investing is LIVE! It really is this time!

Elysium, Philosophy is universal: Strategy is personal We all have the same investment philosophy. We believe in low fees, not timing markets, and not trying to beat the markets. We are Bogleheads That being said, you will not find two people on this forum who hold the exact same portfolio. That's ...
by Elysium
Fri Nov 02, 2018 9:10 am
Forum: Investing - Theory, News & General
Topic: Core-4 Investing is LIVE! It really is this time!
Replies: 136
Views: 11671

Re: Core-4 Investing is LIVE! It really is this time!

I am probably going to be a minority voice on this, but I have to say that I am not impressed after going through the portfolio allocations and the ETF selections. First, the only core-4 portffolio that is worth consideration is the classic one. However, there is nothing to this core-4 that the thre...
by Elysium
Mon Oct 29, 2018 5:09 pm
Forum: Personal Finance (Not Investing)
Topic: Am I doing well financially?
Replies: 162
Views: 12787

Re: Am I doing well financially?

I disagree with several posters who are saying OP is doing great. I tried to show why it is so easy to run into CC debt in future, and couple of posters chose to smack me down as alarmist. Here are the problems: 1. Retirement savings rate is too low, should be maxing out, and then do Roth (backdoor)...
by Elysium
Mon Oct 29, 2018 7:38 am
Forum: Personal Finance (Not Investing)
Topic: Am I doing well financially?
Replies: 162
Views: 12787

Re: Am I doing well financially?

As I said, this couple will be in CC debt and negative cash flows once kids arrive. Nearly all responses are recommending reduced spending. Nothing the OP has posted has indicated that either spouse has ever spent more than they earned or accumulated any credit card debt, so it is unfair to assume ...
by Elysium
Sun Oct 28, 2018 10:03 pm
Forum: Personal Finance (Not Investing)
Topic: Am I doing well financially?
Replies: 162
Views: 12787

Re: Am I doing well financially?

I can't belive the amount of you are doing fine replies to this. OP is not doing fine, what's going on here? they are spending 9K a month for two people and no kids. That's 9K. We spent about that much for a family of 4 living near a large urban population center, 2 kids doing all kinds of activitie...
by Elysium
Sun Oct 28, 2018 7:17 pm
Forum: Personal Finance (Not Investing)
Topic: Am I doing well financially?
Replies: 162
Views: 12787

Re: Am I doing well financially?

Oh boy, wait for this couple to have kids, and watch them go into CC debt and negative cash flows. Not being cynical, it is the truth, with this type of spending without kids, the signs aren't good, kids cost a lot and people end up justifying all of those expenses as must have. OP need to have a se...
by Elysium
Fri Oct 26, 2018 7:39 am
Forum: Investing - Help with Personal Investments
Topic: Reaction to Market
Replies: 71
Views: 7716

Re: Reaction to Market

I believe the rally of 2017 and much of 2018 was fueled by the excitement about corporate tax cuts and elimination of regulations, and it had a short shelf life that couldn't survive beyond early 2019. The market realizes this and looking at real things like earnings growth and economic growth, whic...
by Elysium
Thu Oct 25, 2018 2:50 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Why International Diversification Works
Replies: 119
Views: 9551

Re: Larry Swedroe: Why International Diversification Works

They should consider their unique situations given the economic background in their countries. Obviously Nigerian stock exchange and currency is not the same as US, so perhaps they shouldn't be investing in equities at all and instead own physical gold. This is a pointless question that I keep hear...
by Elysium
Thu Oct 25, 2018 12:48 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Why International Diversification Works
Replies: 119
Views: 9551

Re: Larry Swedroe: Why International Diversification Works

There seems to be some reasonable case for 0% and up to 20%, where zero is perfectly fine and one could go up to 20%. There is an UNREASONABLE case for 0%, though many seem willing to accept it for a whole host of unflattering reasons. There is a REASONABLE case for anywhere from 20% to 50%, IMHO, ...
by Elysium
Thu Oct 25, 2018 12:22 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Why International Diversification Works
Replies: 119
Views: 9551

Re: Larry Swedroe: Why International Diversification Works

as with anything, your point maintains its rhetorical force based on the market conditions during which is it proposed. if the dollar were crashing and US equities in a bear market, people would probably spot the error quickly. as it stands, the opposite is true. the US dollar has been on a rampage...
by Elysium
Wed Oct 24, 2018 10:23 pm
Forum: Investing - Theory, News & General
Topic: Larry Swedroe: Why International Diversification Works
Replies: 119
Views: 9551

Re: Larry Swedroe: Why International Diversification Works

I keep asking this question, but no one seems to want to know really. How much of that international returns is attributed to currency movements, and how much is actually from equity returns? Anyway, here is the answer: MSCI EAFE DM Returns (21 Countries) since 2003 shown in USD Hedged, Local, and ...