Search found 9569 matches

by Rick Ferri
Thu Feb 29, 2024 6:35 pm
Forum: Investing - Theory, News & General
Topic: Vanguard Announces CEO Retirement and Appointment of President
Replies: 366
Views: 34405

Re: Vanguard Announces CEO Retirement and Appointment of President

No love lost here.

When I started the “Bogleheads On Investing” podcast, I interviewed Jack Bogle as my first guest. I wanted to interview Tim Buckley shortly thereafter. He told me to my face that he would LOVE to be a podcast guest. But when Jack Bogle died, I couldn’t get a response from his office. When I finally did, I was told “not interested.”

Hopefully the new CEO will be more open.
by Rick Ferri
Thu Feb 22, 2024 7:26 pm
Forum: Investing - Theory, News & General
Topic: If you hate paying taxes, you'll love learning about them. Episode 67, "Bogleheads on Investing" guest, Kaye Thomas.
Replies: 26
Views: 5168

Re: If you hate paying taxes, you'll love learning about them. Episode 67, "Bogleheads on Investing" guest, Kaye Thomas.

From Kaye Thomas…

“Twice I’ve had to reconstruct the website because of spam and/or malware that came in as a result of offering a forum. I don’t have staff to monitor the situation, so in the most recent reconstruction of the website I eliminated the forum, at least for the time being. I’ll bring it back if I can identify a way to do it that doesn’t expose the website to these kinds of problems.”
by Rick Ferri
Mon Feb 19, 2024 9:54 am
Forum: Investing - Theory, News & General
Topic: If you hate paying taxes, you'll love learning about them. Episode 67, "Bogleheads on Investing" guest, Kaye Thomas.
Replies: 26
Views: 5168

If you hate paying taxes, you'll love learning about them. Episode 67, "Bogleheads on Investing" guest, Kaye Thomas.

LINK> Episode 67: Kaye Thomas on income taxes and how to lower them If you hate paying taxes, then you should love learning about taxes because that’s the way to reduce them. My guest, Kaye Thomas, received his law degree from Harvard Law School in 1980 and then began his career as a tax attorney, dealing with complex tax matters related to business transactions, finance, and compensation. Kaye now spends his time as a writer, publisher, public speaker, and consultant on topics relating to taxation and investments. He has written several books, including Capital Gains…Minimum Taxes, Go Roth! A guide to the Roth IRA and other Roth accounts, and Consider Your Options, a plain language guide to company stock and stock option compensation plans...
by Rick Ferri
Sat Feb 10, 2024 9:20 pm
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34451

Re: What's in Rick Ferri's portfolio?

Charles Joseph wrote: Fri Feb 09, 2024 5:39 pm All US is fine. This continues to bear itself out.
All US is not what I own or recommend.

If that's what you choose to do, fine.

Rick Ferri
by Rick Ferri
Fri Feb 09, 2024 3:12 pm
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34451

Re: What's in Rick Ferri's portfolio?

The past data said it might be a good strategy. Turns out, splitting Euro / Pacific 50-50 didn't add any value. So, why get complicated?
by Rick Ferri
Thu Feb 08, 2024 11:13 am
Forum: Investing - Theory, News & General
Topic: Shiller PE seems mostly useless
Replies: 208
Views: 12256

Re: Shiller PE seems mostly useless

The price of bubblegum does an equally good job predicting long-term market returns!

You may enjoy my parody on CAPE:

The Bubblegum Ratio And Future Stock Returns

Rick Ferri
by Rick Ferri
Thu Feb 08, 2024 9:45 am
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34451

Re: What's in Rick Ferri's portfolio?

TimeIsYourFriend wrote: Wed Feb 07, 2024 3:13 pm Can you comment on the passage that your book recommended splitting developed intl into Europe and Asia for a rebalancing bonus? I assume this was Rick Ferri's book (although they spelled it Rick Ferry in the other thread).
That idea didn't turn out to be useful. I now recommend a simpler approach: a total international stock index fund.

Rick
by Rick Ferri
Tue Jan 23, 2024 3:53 pm
Forum: Investing - Theory, News & General
Topic: More Evidence Against Factor Investing
Replies: 473
Views: 33732

Re: More Evidence Against Factor Investing

The link between risk and expected return is a fundamental investment principal that extends back tens of thousands of years. Ii is a market of stocks, each with different risk and thus different expected return. All Avantis does is attempt to determine which companies have the most risk and builds portfolios around that concept in an attempted to capture a higher return that is embedded in the current valuation.

Listen to my podcast:

https://bogleheads.podbean.com/e/episod ... ick-ferri/
by Rick Ferri
Tue Jan 23, 2024 10:26 am
Forum: Investing - Theory, News & General
Topic: More Evidence Against Factor Investing
Replies: 473
Views: 33732

Re: More Evidence Against Factor Investing

This is all quite simple. Some companies in the public markets have higher risk than others, thus investors must expect to be compensated more for investing in those riskier stocks.
by Rick Ferri
Tue Jan 23, 2024 10:21 am
Forum: Investing - Theory, News & General
Topic: The new "Bogleheads on Investing" podcast covers real estate and REITs
Replies: 9
Views: 1963

Re: The new "Bogleheads on Investing" podcast covers real estate and REITs

Lot’s of good information on REITs and real estate investing in this podcast.
by Rick Ferri
Mon Jan 22, 2024 6:41 pm
Forum: Investing - Theory, News & General
Topic: The new "Bogleheads on Investing" podcast covers real estate and REITs
Replies: 9
Views: 1963

The new "Bogleheads on Investing" podcast covers real estate and REITs

This month's podcast covers the real estate investing spectrum, from flipping homes to the largest REITs. LINK> Episode 66: Dr. Jim Dahle and John Worth, Ph.D. on real estate investing My two guests are James Dahle, MD, a practicing emergency physician, founder of The White Coat Investor, and the creator of the "No Hype Real Estate Investing" course, and John Worth, Ph.D., Executive Vice President of Research and Investor Outreach at Nareit. Our topic in the episode is real estate investing. We cover the spectrum of real estate investment opportunities, from flipping homes to listed real estate investment trusts (REITs). This podcast is supported by the John C. Bogle Center for Financial Literacy , a non-profit organization approv...
by Rick Ferri
Mon Jan 22, 2024 2:28 pm
Forum: Investing - Theory, News & General
Topic: More Evidence Against Factor Investing
Replies: 473
Views: 33732

Re: More Evidence Against Factor Investing

First, why does it exist? That's still hotly debated. I believe, as Eduardo does, that the premium exists because value companies are riskier. More risk requires a higher expected return. It's no different than investing in a B-rated corporate bond versus an A-rated corporate bond. However, I can choose the interest rate difference I require for choosing the B-rated bond vs the A-rated bond. I don’t have that luxury in choosing between seemingly safer stock X vs seemingly riskier stock Y. I have no idea which of the two stocks is going to outperform. You don't know which bond will outperform either because the B-rated bond could default. My point is that any security that has a higher perceived risk over the market would be bid down in pri...
by Rick Ferri
Sun Jan 21, 2024 10:16 am
Forum: Investing - Theory, News & General
Topic: More Evidence Against Factor Investing
Replies: 473
Views: 33732

Re: More Evidence Against Factor Investing

There is no question a value premium has existed in the global equity markets, and it really doesn't matter how you define value. Any way you measure it, there's a premium in the data. My question is twofold.

First, why does it exist? That's still hotly debated. I believe, as Eduardo does, that the premium exists because value companies are riskier. More risk requires a higher expected return. It's no different than investing in a B-rated corporate bond versus an A-rated corporate bond.

Second, will YOU capture the premium? There are many reasons you won't, as I highlighted in a recent podcast with Adviser Perspective, and at the 2023 Bogleheads Conference.

Rick Ferri
by Rick Ferri
Fri Jan 19, 2024 9:27 am
Forum: Investing - Theory, News & General
Topic: Investment advisors - what is the mandate
Replies: 36
Views: 3766

Re: Investment advisors - what is the mandate

Rick, is it possible to find an entity that simply "takes care of" everything from money management to investing to planning to taxes to estate and legal issues all in one place. That is not including ultra wealthy people who can probably maintain a personal staff to cover all of that. Many "financial planners" will say they'll do all this, but I would question their true motivation if they're paid only by AUM fees. Incentives drive advice. If they're paid solely by the amount of money they manage, their focus is on bringing in clients to manage their money, and everything else will be less important to them. You might try looking for a flat-fee adviser who doesn't have that incentive. Thanks. I was also asking about wh...
by Rick Ferri
Fri Jan 19, 2024 9:11 am
Forum: Investing - Theory, News & General
Topic: Investment advisors - what is the mandate
Replies: 36
Views: 3766

Re: Investment advisors - what is the mandate

dbr wrote: Fri Jan 19, 2024 8:35 am Rick, is it possible to find an entity that simply "takes care of" everything from money management to investing to planning to taxes to estate and legal issues all in one place. That is not including ultra wealthy people who can probably maintain a personal staff to cover all of that.
Many "financial planners" will say they'll do all this, but I would question their true motivation if they're paid only by AUM fees. Incentives drive advice. If they're paid solely by the amount of money they manage, their focus is on bringing in clients to manage their money, and everything else will be less important to them. You might try looking for a flat-fee adviser who doesn't have that incentive.
by Rick Ferri
Fri Jan 19, 2024 8:23 am
Forum: Investing - Theory, News & General
Topic: Investment advisors - what is the mandate
Replies: 36
Views: 3766

Re: Investment advisors - what is the mandate

dorster wrote: Thu Jan 18, 2024 2:17 pm In my (very limited) experience advisors do not give input regarding tax optimization at even the most basic level. Its more just portfolio management and parrying questions.
It depends on the type of adviser you hire.

- If you're working with a broker from one of the brokerage firms (Merrill, Wells Fargo, Edward Jones, etc.) you probably won't get much.
- If you hire an adviser to manage your portfolio for an AUM fee, like Vanguard PAS or an independent, you might get a little more.
- If you hire an advice-only adviser who is paid to actually ADVISE you rather than sell something or manage your money, you will get tax advice.

Rick Ferri
by Rick Ferri
Thu Jan 18, 2024 7:18 am
Forum: Investing - Theory, News & General
Topic: What's in Rick Ferri's portfolio?
Replies: 132
Views: 34451

Re: What's in Rick Ferri's portfolio?

is taking risk on the fixed income side (vice US intermediates) only for those who have large portfolios that really would not need to draw down amounts of significance during a long bear? Correct. This is a long-term hold in a taxable account if it doesn't affect your tax rate or IRMAA. The dividend from PFFD is ~67% long-term capital gain and the rest is ordinary income. Here is the website https://www.globalxetfs.com/funds/pffd/ What drew you to PFFD versus other preferred etfs? It has the lowest fee. How did you arrive at your 20% allocation, within your FI, for your preferreds? I don't have 20%. The allocation is only about 3% of my portfolio. I think you could have 20% of your fixed income allocation in PFFD, but that is the maximum....
by Rick Ferri
Tue Jan 16, 2024 2:21 pm
Forum: Investing - Theory, News & General
Topic: More Evidence Against Factor Investing
Replies: 473
Views: 33732

Re: More Evidence Against Factor Investing

Rick Ferri wrote: Tue Jan 16, 2024 11:43 am This is correct. Small-value is a multi-factor strategy used to capture both the SmL and HmL factors in one fund - if they exist - net of cost.
I suppose that is one way to view it, but don't many factor proponents say size is dead? Why include a factor in a multi-factor strategy that is considered dead?
That's what some have said. I have no idea if the size premium is dead or just taking a long nap.

Rick Ferri
by Rick Ferri
Tue Jan 16, 2024 11:43 am
Forum: Investing - Theory, News & General
Topic: More Evidence Against Factor Investing
Replies: 473
Views: 33732

Re: More Evidence Against Factor Investing

I came across this recently: Long-Only Value Investing: Size Doesn’t Matter! https://alphaarchitect.com/2023/06/attention-value-investors-size-doesnt-matter/ Many factor investors are familiar with “small-cap value investing,” which is a reasonable allocation for long-term investors who can tolerate a lot of volatility. Why are there so many small-cap value investors? Small-cap value investors have been told that the value premium is higher, on average, in small stocks versus larger stocks. Unfortunately, this is not true if you are a long-only value investor.(1). Our own Jack Vogel recently published a paper called “Long-Only Value Investing: Does Size Matter?” which makes this point clear This is correct. Small-value is a multi-factor st...
by Rick Ferri
Mon Jan 15, 2024 2:27 pm
Forum: Personal Finance (Not Investing)
Topic: For those retired or FI, how much do you spend annually?
Replies: 499
Views: 79449

Re: For those retired or FI, how much do you spend annually?

delamer wrote: Mon Jan 15, 2024 11:25 am
Rick Ferri wrote: Mon Jan 15, 2024 11:17 am People who fall into the HNW category have at least $1 million in liquid financial assets.
Thanks.

Is there a NW point where you see a significant jump in spending?
$10 million perhaps
by Rick Ferri
Mon Jan 15, 2024 11:17 am
Forum: Personal Finance (Not Investing)
Topic: For those retired or FI, how much do you spend annually?
Replies: 499
Views: 79449

Re: For those retired or FI, how much do you spend annually?

People who fall into the HNW category have at least $1 million in liquid financial assets.
by Rick Ferri
Mon Jan 15, 2024 10:28 am
Forum: Personal Finance (Not Investing)
Topic: For those retired or FI, how much do you spend annually?
Replies: 499
Views: 79449

Re: For those retired or FI, how much do you spend annually?

Rick Ferri wrote: Mon Jan 04, 2021 9:58 am
Does anybody spend significantly more than $90k/year in retirement?
I speak with hundreds of retirees each year. Most are HNW individuals or couples. The median budget in retirement is about $70,000 - this includes travel but does not include income tax or gifts. Only about 10% of the retirees I speak with spend more than $100,000 per year, and that's usually because they have two homes or travel extensively.

Rick Ferri
For the record, this number has increased to about $82,000 per year due to inflation since 2021.

Using this link:

US BLS CPI Inflation Calculator

$70,000 in January 2021 has the same buying power as $82,086 today.

Rick Ferri
by Rick Ferri
Sun Jan 14, 2024 11:22 am
Forum: Investing - Theory, News & General
Topic: MUST LISTEN "Bogleheads on Investing" podcast with financial historian Edward Chancellor
Replies: 165
Views: 22870

Re: MUST LISTEN "Bogleheads on Investing" podcast with financial historian Edward Chancellor

nyejos11 wrote: Wed Jan 10, 2024 8:18 pm Thanks for doing that podcast with Ed Chancellor, Rick. That was brilliant. Fascinating that he thinks financial repression will continue to be the default, and that TIPS ( and I-bond for that matter) could be a good choice going forward.
Maybe TIPs will save the day. Maybe not.

Inflation makes it tougher, even for TIPS.

Assume TIPS gives you a 2% real yield + inflation, and taxes are 32% (Fed only, no state).

If inflation is low (1%) you earn 3%, pay 1% tax, and net 2%, thus beating inflation by 1%. Great.

But what if inflation is high (5%), you earn 7%, pay 2.25% tax, and net 4.75%. You lost purchasing power.

Rick
by Rick Ferri
Sat Jan 13, 2024 9:10 am
Forum: Investing - Theory, News & General
Topic: Investment advisors - what is the mandate
Replies: 36
Views: 3766

Re: Investment advisors - what is the mandate

First, what makes you think this investment adviser knows enough about taxes or estate planning to have that discussion? I think you're giving advisers far too much credit. Second, think like a 1% AUM adviser for a minute. Why would they recommend strategies that reduce their income? Even if they did know to do a large Roth conversion at a lower tax rate, taking a significant amount out of an IRA and converting to a Roth creates a large tax bill, and that would reduce AUM fees. It's the same conflict of interest when an adviser sees a high-interest loan but doesn't say that your best investment would be to take money from the investment account and pay off the loan. Sad, but true. Third, the adviser has no liability. His defense is that the...
by Rick Ferri
Fri Jan 12, 2024 10:49 am
Forum: Investing - Theory, News & General
Topic: New "Bogleheads on Investing" podcast #65: Dr. Qian Wang, Vanguard economic and market outlook of 2024
Replies: 43
Views: 7038

Re: New "Bogleheads on Investing" podcast #65: Dr. Qian Wang, Vanguard economic and market outlook of 2024

Here is the report we discussed: Vanguard Economic and Market Outlook for 2024 On page 19 are they saying in the bar chart that a 40/60 portfolio will yield the same 10-year annualized return as a previous 60/40 portfolio? As a retired couple in our early 70s I'm wondering if we should scale back from our 60/40 allocation. We have 'enough' I think; our current withdrawal rate is 1.3%. Thoughts? First, none of these forecasts are guaranteed. Second, since you have more than enough, you're no longer investing entirely for yourself. Consider a conservative allocation for what you believe you'll need during your lifetimes, and a second, probably more aggressive allocation for the money that's going to your heirs. You might find yourself correc...
by Rick Ferri
Wed Jan 03, 2024 11:10 am
Forum: Investing - Theory, News & General
Topic: 2024 Hedge Fund contest
Replies: 156
Views: 26725

Re: 2024 Hedge Fund contest

East-West Fund

I'm going 100% long RIVN. Rivian Automotive Inc. Cl A

Wise investors will short this stock based on my performance in the last few years. :oops:
by Rick Ferri
Fri Dec 29, 2023 6:42 pm
Forum: Investing - Theory, News & General
Topic: My appearance on Ralph Nader’s podcast where we discussed Jack Bogle and the Bogleheads
Replies: 2
Views: 1099

My appearance on Ralph Nader’s podcast where we discussed Jack Bogle and the Bogleheads

I was a recent guest on Ralph Nader’s podcast to discuss Jack Bogle and the Bogleheads. My segment starts at 30:10 minutes and lasts for about 15 minutes.

Busboys & Bogleheads with Ralph Nader

Note that the first 30 minutes is controversial political talk and not part of my interview.

Enjoy!

Rick Ferri
by Rick Ferri
Fri Dec 22, 2023 5:37 pm
Forum: Investing - Theory, News & General
Topic: New "Bogleheads on Investing" podcast #65: Dr. Qian Wang, Vanguard economic and market outlook of 2024
Replies: 43
Views: 7038

Re: New "Bogleheads on Investing" podcast #65: Dr. Qian Wang, Vanguard economic and market outlook of 2024

I gave it an honest listen But after hearing the podcast it doesn't look like vanguard has given an honest listen to the fed Eg. Dr. Wang says that monetary policy will become increasingly restrictive but Powell suggested that fed would be proactively loosening monetary policy ahead of any severe downturn. Also with rationales like "fading of US exceptionalism" in my opinion this forecast is bound for the dustbin at higher rate of velocity than any previous vanguard forecast. Ah! You didn't listen carefully enough. :wink: Qian was talking about REAL yields, not nominal yields. If inflation is 4%, and the nominal Fed funds rate is 5%, the real yield is 1.0%. When inflation falls to 2%, and the Fed cuts to 3.5%, the real yield is 1...
by Rick Ferri
Fri Dec 22, 2023 2:08 pm
Forum: Investing - Theory, News & General
Topic: New "Bogleheads on Investing" podcast #65: Dr. Qian Wang, Vanguard economic and market outlook of 2024
Replies: 43
Views: 7038

Re: New "Bogleheads on Investing" podcast #65: Dr. Qian Wang, Vanguard economic and market outlook of 2024

This interview wasn’t to get Bogleheads to time the markets. Far from it. I enjoy listening to very smart and thoughtful people who spent their lives studying global economics talk about what might be going on out there. Whether you use that in your portfolio or not is up to you.

Rick Ferri
by Rick Ferri
Fri Dec 22, 2023 11:53 am
Forum: Investing - Theory, News & General
Topic: New "Bogleheads on Investing" podcast #65: Dr. Qian Wang, Vanguard economic and market outlook of 2024
Replies: 43
Views: 7038

Re: New "Bogleheads on Investing" podcast #65: Dr. Qian Wang, Vanguard economic and market outlook of 2024

SevenBridgesRoad wrote: Fri Dec 22, 2023 10:32 am Market predictions for an entire year? Yawn. No thanks.
You clearly did not listen to the interview.

Rick Ferri
by Rick Ferri
Thu Dec 21, 2023 6:15 pm
Forum: Investing - Theory, News & General
Topic: New "Bogleheads on Investing" podcast #65: Dr. Qian Wang, Vanguard economic and market outlook of 2024
Replies: 43
Views: 7038

New "Bogleheads on Investing" podcast #65: Dr. Qian Wang, Vanguard economic and market outlook of 2024

My interesting interview with Dr. Qian Wang, Vanguard’s Asia-Pacific chief economist and global head of the Vanguard Capital Markets Model team in the Investment Strategy Group. We discuss their new report, "Vanguard economic and market outlook for 2024: A return to sound money." LINK TO PODCAST> Episode 65: Dr. Qian Wang, Vanguard economic and market outlook of 2024, host Rick Ferri LINK TO REPORT> Vanguard economic and market outlook for 2024: A return to sound money. Qian Wang, Ph.D., is Vanguard’s Asia-Pacific chief economist and global head of the Vanguard Capital Markets Model team in the Investment Strategy Group. She is also a member of Vanguard’s Strategic Asset Allocation Committee and its Time-Varying Asset Allocation S...
by Rick Ferri
Sat Dec 16, 2023 7:25 pm
Forum: Investing - Theory, News & General
Topic: My Case Against Factor Investing
Replies: 93
Views: 19392

Re: My Case Against Factor Investing

I found it distressing that Rick Ferri apparently is throwing in the towel on the Total Economy portfolio as enumerated in the second edition of All About Asset Allocation . I decided to reexamine my own portfolio that resembles the Total Economy portfolio light of this. I wouldn't say he has thrown in the towel. There is still a Total Economy portfolio as one of his Core-4 portfolios. https://core-4.com This isn't true. I never threw in the towel on factor investing. I was asked to give the case against factor investing, and that's what I did. Listen to the interview. For the record, I follow the Total Economy Portfolio myself, and I've owned RZV for 15 years and VBR for ten years. Rick Ferri Didn’t you drop REITS? I substituted it with a...
by Rick Ferri
Sat Dec 16, 2023 7:24 pm
Forum: Investing - Theory, News & General
Topic: My Case Against Factor Investing
Replies: 93
Views: 19392

Re: My Case Against Factor Investing

I found it distressing that Rick Ferri apparently is throwing in the towel on the Total Economy portfolio as enumerated in the second edition of All About Asset Allocation . I decided to reexamine my own portfolio that resembles the Total Economy portfolio light of this. I wouldn't say he has thrown in the towel. There is still a Total Economy portfolio as one of his Core-4 portfolios. https://core-4.com This isn't true. I never threw in the towel on factor investing. I was asked to give the case against factor investing, and that's what I did. Listen to the interview. For the record, I follow the Total Economy Portfolio myself, and I've owned RZV for 15 years and VBR for ten years. Rick Ferri Didn’t you drop REITS? I substituted it with a...
by Rick Ferri
Sat Dec 16, 2023 2:07 pm
Forum: Investing - Theory, News & General
Topic: My Case Against Factor Investing
Replies: 93
Views: 19392

Re: My Case Against Factor Investing

DaufuskieNate wrote: Sat Dec 16, 2023 12:15 pm
KarlJ wrote: Sat Dec 16, 2023 12:00 pm I found it distressing that Rick Ferri apparently is throwing in the towel on the Total Economy portfolio as enumerated in the second edition of All About Asset Allocation. I decided to reexamine my own portfolio that resembles the Total Economy portfolio light of this.
I wouldn't say he has thrown in the towel. There is still a Total Economy portfolio as one of his Core-4 portfolios. https://core-4.com
This isn't true. I never threw in the towel on factor investing. I was asked to give the case against factor investing, and that's what I did. Listen to the interview.

For the record, I follow the Total Economy Portfolio myself, and I've owned RZV for 15 years and VBR for ten years.

Rick Ferri
by Rick Ferri
Thu Dec 14, 2023 11:09 am
Forum: Investing - Theory, News & General
Topic: My Case Against Factor Investing
Replies: 93
Views: 19392

Re: My Case Against Factor Investing

The transcripts of all podcasts can be found at BogleCenter.net.

Rick Ferri
by Rick Ferri
Sat Dec 09, 2023 9:21 pm
Forum: Investing - Theory, News & General
Topic: My Case Against Factor Investing
Replies: 93
Views: 19392

My Case Against Factor Investing

I'm not against factor investing per se, if you know what you're getting into, are willing to pay higher fees, and are capable of suffering through long periods of underperformance. But when asked to make a case against it, here is what I said...

The Case Against Factor Investing
A podcast from Adviser Perspectives

Rick Ferri
by Rick Ferri
Thu Dec 07, 2023 11:03 am
Forum: Investing - Theory, News & General
Topic: William Bernstein on TIPS, asset allocation, and four deep risks
Replies: 189
Views: 30090

Re: William Bernstein on TIPS, asset allocation, and four deep risks

GaryA505 wrote: Sun Dec 03, 2023 11:38 am Can we assume Rick meant Vanguard VTIP/VTAPX ?
Yes. :happy
by Rick Ferri
Sat Nov 25, 2023 9:04 am
Forum: Investing - Theory, News & General
Topic: New Bogleheads podcast. Episode 64: Victor Haghani and James White, ”The Missing Billionaires”
Replies: 51
Views: 14758

Re: New Bogleheads podcast. Episode 64: Victor Haghani and James White, ”The Missing Billionaires”

pizzy wrote: Sat Nov 25, 2023 8:53 am We already have a thread discussing the book.

viewtopic.php?t=414623

Are the backgrounds of the guests on a podcast not fair game when discussing the podcast?
Then discuss the interview topics.

Backgrounds of podcast guests are relevant when useful to the discussion. Some of the comments in this thread are not because they express opinions on a person’s wealth that are not useful to the discussion of this thought provoking book or my interview.

Rick Ferri
by Rick Ferri
Sat Nov 25, 2023 8:47 am
Forum: Investing - Theory, News & General
Topic: New Bogleheads podcast. Episode 64: Victor Haghani and James White, ”The Missing Billionaires”
Replies: 51
Views: 14758

Re: New Bogleheads podcast. Episode 64: Victor Haghani and James White, ”The Missing Billionaires”

ScubaHogg wrote: Sat Nov 25, 2023 2:47 am It’s interesting to have read the book and then read these posts before I listen to the interview. The focus of the posts is definitely not covering the main thesis of the book, at least according to my reading
The focus of the interview was on the book. I agree some of the posts in this thread have gone off topic.
by Rick Ferri
Fri Nov 24, 2023 12:46 pm
Forum: Investing - Theory, News & General
Topic: New Bogleheads podcast. Episode 64: Victor Haghani and James White, ”The Missing Billionaires”
Replies: 51
Views: 14758

Re: New Bogleheads podcast. Episode 64: Victor Haghani and James White, ”The Missing Billionaires”

The asset allocation formula in the book is based on the difference between the real TIPS yield and the S&P 500 earnings yield (P/E inverted). I looked at the data. This methodology has worked in the long run, but is VERY blunt. There have been decades when it didn’t add value, and a few shorter periods where it was simply wrong.

I don’t argue with guests, but I do push back on occasion. That’s what I did in this interview. Both Victor and James openly state that a fixed allocation works perfectly fine if religiously applied.

Rick Ferri
by Rick Ferri
Fri Nov 24, 2023 11:26 am
Forum: Investing - Theory, News & General
Topic: New Bogleheads podcast. Episode 64: Victor Haghani and James White, ”The Missing Billionaires”
Replies: 51
Views: 14758

Re: New Bogleheads podcast. Episode 64: Victor Haghani and James White, ”The Missing Billionaires”

Victor lost much of his wealth in the LTCM blowup. He admits it was 9 figures. The company had returned a meaningful amount of capital to the outside investors by that time, leaving their personal money exposed. This is the lesson about “are you a stock or a bond?”. Victor was clearly a stock.
by Rick Ferri
Fri Nov 24, 2023 7:28 am
Forum: Investing - Theory, News & General
Topic: New Book on the Life Cycle Model - "The Missing Billionaires: A Guide to Better Financial Decisions"
Replies: 154
Views: 33050

Re: New Book on the Life Cycle Model - "The Missing Billionaires: A Guide to Better Financial Decisions"

Rick Ferri wrote: Tue Nov 21, 2023 11:37 am Victor Haghani and James White are my guests on the next Bogleheads on Investing podcast.

It will be available the week of November 27.

Rick Ferri
This podcast is now posted...

viewtopic.php?t=417347
by Rick Ferri
Fri Nov 24, 2023 7:27 am
Forum: Investing - Theory, News & General
Topic: New Bogleheads podcast. Episode 64: Victor Haghani and James White, ”The Missing Billionaires”
Replies: 51
Views: 14758

New Bogleheads podcast. Episode 64: Victor Haghani and James White, ”The Missing Billionaires”

My podcast guests Victor Haghani and James White are co-authors of " The Missing Billionaires, A Guide to Better Financial Decisions. " This fascinating book discusses accumulating wealth, investment risk-sizing, and making better financial decisions. Here is the link> Episode 64: Victor Haghani and James White, ”The Missing Billionaires,” host Rick Ferri Markets have behaved very well for 100 years, resulting in real profits for investors. However, few rich families from the early 1900s have been able to retain their wealth despite exceptional returns in the markets. The problem isn’t that people make poor decisions about what to invest in, they make poor “risk decisions” about how much risk to take and when to take it. This podc...