Search found 814 matches

by ge1
Sat May 21, 2022 9:46 am
Forum: Personal Finance (Not Investing)
Topic: Rental real estate in inflationary times
Replies: 60
Views: 7725

Re: Rental real estate in inflationary times

I work in this industry - and I would highly recommend to sell. Institutional buyers are still paying top dollars for rental homes, with the increase in rates I don’t see how the current price level is sustainable. That's where my hesitation to sell comes from. Why are they buying? What is it that they know and I don't? The rate increase is known to all and should be "priced in". I wouldn’t overthink it. A lot of asset managers are still sitting on tons of $ which they need to invest - and still much easier to explain to your investors your invested in residential real estate which saw tremendous growth than for example office space. Don’t underestimate the power of recency bias and herd behavior. This is without a doubt an excel...
by ge1
Sat May 21, 2022 9:41 am
Forum: Personal Investments
Topic: Vanguard Muni funds - can anyone explain the strange price behavior?
Replies: 33
Views: 4245

Re: Vanguard Muni funds - can anyone explain the strange price behavior?

I sold intermediate and longterm muni bond funds (VWITX and VWLUX) last year as the exact opposite was happening, i.e. prices literally increasing every day and the yield was no longer attractive to me compared with the risk of falling prices. Over the last 2 weeks I bought VWLUX again, I am very comfortable at this price level / with the current distribution yield. So from my perspective now would be exactly the wrong time to sell them.
by ge1
Fri May 20, 2022 4:57 pm
Forum: Investing - Theory, News & General
Topic: Dry Powder Holders
Replies: 22
Views: 3172

Re: Dry Powder Holders

Total portfolio mid 7 figures, we were over 70% in cash at year-end. No point owning bonds with those rates. Since then invested over 1m in bonds, including BND very recently, before that just individual treasuries / corporates. Very happy about the increase in rates. Similarly in equity, I view certain areas such as small and large cap value and international now as fairly valued and invested 1m or so. Still trading opportunistically into the (at least that’s how I view them) bear market rallies, the volatility is just too great to pass up. Another 5-10% drop on the S&P would make value stocks very attractive and total market probably about “fair”. Any declines lower than that would be gravy and a nice opportunity to essentially lock-i...
by ge1
Tue May 17, 2022 7:51 pm
Forum: Personal Finance (Not Investing)
Topic: Rental real estate in inflationary times
Replies: 60
Views: 7725

Re: Rental real estate in inflationary times

I work in this industry - and I would highly recommend to sell. Institutional buyers are still paying top dollars for rental homes, with the increase in rates I don’t see how the current price level is sustainable.
by ge1
Tue May 17, 2022 7:45 pm
Forum: Personal Finance (Not Investing)
Topic: High Earners - What's Your Profession?
Replies: 1217
Views: 223015

Re: High Earners - What's Your Profession?

CFO at a private SME. Base of $300k plus expected 200k bonus, could be higher depending on results.
by ge1
Sun May 15, 2022 7:21 am
Forum: Personal Finance (Not Investing)
Topic: Share your Net Worth Regression
Replies: 350
Views: 59837

Re: Share your Net Worth Regression

House up 150k or so, investments up close to 100k, had a large purchase of 80k, so net up 170k or so.
by ge1
Sat May 14, 2022 2:29 pm
Forum: Investing - Theory, News & General
Topic: Do you ever think “is this (drop) the big one”?
Replies: 66
Views: 8239

Re: Do you ever think “is this (drop) the big one”?

Short answer: Yes, I think we are in a multi-year correction of growth stocks, similar to 2000/2001. Valuation of value stocks / international stocks looks already reasonable, so any further decreases would make that very attractive entry points.

Practical implications: For the last 2 years or so I have only invested in US Value stocks. I missed the big run up in growth stocks, but that didn‘t bother me one bit as I didn‘t think it would last.
by ge1
Thu May 12, 2022 1:57 pm
Forum: Investing - Theory, News & General
Topic: Lessons from this crash
Replies: 290
Views: 34142

Re: Lessons from this crash

Not really a lesson but good to see that valuations still matter and ultimately, even if it takes a VERY long time, valuation come down to earth, which is and will be very painful for a lot of investors.

And then there was the obvious stuff, like owning a total bond fund with a 6 or 7 year duration and a yield in the low 1% is probably not a good idea.

Still ways to go though in this one I would think, so let's see what else shakes out.
by ge1
Thu May 12, 2022 7:29 am
Forum: Investing - Theory, News & General
Topic: What a Great Moment to Invest!
Replies: 133
Views: 26511

Re: What a Great Moment to Invest!

Not sure about "great" - but I get where you are coming from and agree, investors can finally invest and expect "normal" long term returns, certainly when investing in value stocks (growth stocks have further to fall in my opinion). I was ridiculously heavy in cash coming into this year, I certainly enjoy buying both stocks and bonds at much better valuations.
by ge1
Wed May 11, 2022 8:23 pm
Forum: Investing - Theory, News & General
Topic: The unmitigated disaster that is International Investing
Replies: 13
Views: 1777

Re: The unmitigated disaster that is International Investing

02nz wrote: Wed May 11, 2022 8:14 pm
FrugalConservative wrote: Wed May 11, 2022 8:12 pm
02nz wrote: Wed May 11, 2022 8:07 pm
Siri, find me a textbook example of recency bias.
15 years of zero gains. How exactly does 15 years fit into a recent event?
In the context of the history of the stock market, the U.S. outperformance since 2010 is very much recent.
Maybe in the history of the stock market, but not in the history of the average investor…

Even more concerning: It‘s not like earnings and/or dividends have grown significantly and the valuation is depressed. The dividend yield is actually lower now than it was 10 or 15 years ago. This is a story of lack of earnings growth of international companies and therefore lack of share price growth, which should be concerning for everyone investing internationally.
by ge1
Wed May 11, 2022 8:04 pm
Forum: Investing - Theory, News & General
Topic: The unmitigated disaster that is International Investing
Replies: 13
Views: 1777

The unmitigated disaster that is International Investing

Just a shout-out to international investing which continues its incredible poor run. Looking at the Vanguard Total International All World Ex-US ETF (VEU), we are now - 15 years after inception - almost exactly at the same price where it was launched. Dividends only for 15 years. Wow.
by ge1
Wed May 11, 2022 4:02 pm
Forum: Personal Investments
Topic: Anyone stuck in a bad investment
Replies: 29
Views: 2633

Re: Anyone stuck in a bad investment

I bought Citigroup stock in 2005 pre financial crisis in the mid 40s. Citi was viewed like a bond, pays a 4% dividend yield and may move up a little.

Fast forward to spring of 2008, Citi now trades in the 20s. I sold them @ 23.60, realizing a 10k loss.

Today's closing price, 14 years later, was a (stock-split adjusted) 4.76.
by ge1
Tue May 10, 2022 7:06 pm
Forum: Investing - Theory, News & General
Topic: What changes in asset allocation you're considering?
Replies: 60
Views: 4127

Re: What changes in asset allocation you're considering?

jebmke wrote: Tue May 10, 2022 5:44 pm
ge1 wrote: Tue May 10, 2022 5:34 pm I had a very high % of our portfolio in cash (approx 50%) and I enjoying buying bonds and stocks at much cheaper prices.
Out of curiosity, how long have you been 50% cash?
I just checked, I was actually 76% cash at 12/31 lol. Didn't realize it was that high. I only keep my year-end spreadsheets, at 12/31 2020 I had 61% in stocks, 7% in bonds and 32% in cash. I don't recommend this for anyone else, but I am very comfortable making big changes to my asset allocation.
by ge1
Tue May 10, 2022 5:34 pm
Forum: Investing - Theory, News & General
Topic: What changes in asset allocation you're considering?
Replies: 60
Views: 4127

Re: What changes in asset allocation you're considering?

I had a very high % of our portfolio in cash (approx 50%) and I enjoying buying bonds and stocks at much cheaper prices.
by ge1
Sat May 07, 2022 1:27 pm
Forum: Personal Investments
Topic: Anybody dive into the long end of the bond pool yet?
Replies: 22
Views: 2479

Re: Anybody dive into the long end of the bond pool yet?

I exited the longterm muni bond fund (VWLUX) a while ago due to valuation concerns, I just put a buy order in for Monday. Price is down over 13% from the max and the lowest it has been in over 20 years with the exception of the financial crisis and a short spell in 2011.
by ge1
Fri May 06, 2022 7:33 pm
Forum: Personal Finance (Not Investing)
Topic: Share your Net Worth Regression
Replies: 350
Views: 59837

Re: Share your Net Worth Regression

I don’t usually pay attention to net worth including residence, but after the big up day this week (Wednesday?), my spreadsheet showed 7.0m the first time, so that was pretty cool.

We are up 85k YTD in investment returns and house is up easily 150k.
by ge1
Fri May 06, 2022 2:07 pm
Forum: Investing - Theory, News & General
Topic: Diversify with real estate?
Replies: 14
Views: 1573

Re: Diversify with real estate?

Short answer, I think now is exactly the wrong time to invest in real estate. Price appreciation (and rent increases) have been insane over the last 18 months and we are clearly in bubble territory. Commercial investors are buying rental communities at sub 4 cap rates which makes no sense at all, especially with borrowing costs having risen 200bp plus.

So I would wait until the inevitable correction and then invest.

(I have fairly significant investments with Fundrise which have done very well over the last 1 1/2 years, however I'm reducing them now for these exact reasons.)
by ge1
Fri May 06, 2022 2:00 pm
Forum: Investing - Theory, News & General
Topic: Buying/selling 1 yr treasury
Replies: 18
Views: 2385

Re: Buying/selling 1 yr treasury

When buying individual Treasuries, you lock in an exact return (yield to maturity) if hold them until maturity.

Selling earlier is not an issue, but you may see changes in the price, either up or down.
by ge1
Fri May 06, 2022 12:24 pm
Forum: Investing - Theory, News & General
Topic: Different perspective - active trading is working in volatile markets
Replies: 3
Views: 338

Different perspective - active trading is working in volatile markets

I know many on this forum will disagree with this, but in volatile markets like we have had them for a while now, it is clear to me that an active trading strategy is working. No options or shorting, simply buying stocks of companies after significant declines and selling after small gains, typically at least 0.50%. I made 658 trades in our IRAs last year and 250 trades this year plus a smaller number of trades in our taxable accounts and on average made just over $20k of monthly gains (tax adjusted for gains in taxable accounts). This is with close to 2m in IRAs and 1m in taxable account. I'm not saying this is necessarily a superior strategy, but the sample size is large enough for me now to realize that this is repeatable as long as mark...
by ge1
Fri May 06, 2022 12:13 pm
Forum: Personal Investments
Topic: What is your actual - IN REALITY - average annual return?
Replies: 64
Views: 8794

Re: What is your actual - IN REALITY - average annual return?

Great and very important question. I started tracking my portfolio returns in 2013 and since then my compounded annual return has been 5.5% as per today. That may sound low, but our portfolio is very conservative given low need to take risk. My benchmark portfolio (10% cash / 40% bonds / 30% US Stocks / 20% Intl Stocks) has a CAGR of 4.0% and a simple Total World Stocks 60% / Bonds 30% / Cash 10% would have had a CAGR of 4.8%. The outperformance is solely due to this year, where my portfolio is performing much better than the benchmark.
by ge1
Thu May 05, 2022 9:36 pm
Forum: Investing - Theory, News & General
Topic: One-Year CD rate of 1.75% APY
Replies: 19
Views: 3488

Re: One-Year CD rate of 1.75% APY

I buy them in my Vanguard brokerage account and my Fidelity IRA. I buy in the secondary market, they are frequently traded. You can also buy through Treasury Direct, but that is probably the worst website in the universe. The fact i have to buy my ibonds there is bad enough. At vanguard, do you do that under "trade stocks and listed securities" or "trade bonds or cds"? those seem like the only two at Vanguard that are relevant. It‘s under Trade Bonds. I don‘t have it up right now and I do it more in my Fidelity IRA, but there should be an option secondary market and then you select between Treasuries, Agencies and Corporate. Within Treasuries you select which one. I only started doing it this year with the increase in r...
by ge1
Thu May 05, 2022 9:16 pm
Forum: Investing - Theory, News & General
Topic: One-Year CD rate of 1.75% APY
Replies: 19
Views: 3488

Re: One-Year CD rate of 1.75% APY

I buy them in my Vanguard brokerage account and my Fidelity IRA. I buy in the secondary market, they are frequently traded.

You can also buy through Treasury Direct, but that is probably the worst website in the universe. The fact i have to buy my ibonds there is bad enough.
by ge1
Thu May 05, 2022 9:06 pm
Forum: Investing - Theory, News & General
Topic: One-Year CD rate of 1.75% APY
Replies: 19
Views: 3488

Re: One-Year CD rate of 1.75% APY

1 year US Treasuries are yielding over 2%, why would you get a CD for 1.75%?
by ge1
Sat Apr 30, 2022 3:37 pm
Forum: Personal Consumer Issues
Topic: Warmer Climate Needed. Love to hear from folks who live there
Replies: 50
Views: 8205

Re: Warmer Climate Needed. Love to hear from folks who live there

To some folks. . Hawaii, especially where I describe. . is known to be a very "healing place" of several places on the planet. . . to health the spirit and the body and the mind, etc. . . Maybe. . .just to rent a nice place for 6 months or a year. . . just to "be". . . I still remember visiting Hawaii many years ago. Something special about that island life... I live in central NC, near Raleigh. It does have all 4 seasons. During seasonal transitions, the locals constantly joke about the wildly fluctuating weather. Shorts and t-shirt one day, a freeze kills your garden the next, then back to shorts and t-shirt weather. I love living here, just be aware you have to be in South Carolina to escape the snow, or live near Wi...
by ge1
Fri Apr 29, 2022 8:54 pm
Forum: Investing - Theory, News & General
Topic: What are you up YTD? [Year To Date]
Replies: 5249
Views: 900317

Re: What are you up YTD? [Year To Date]

Up 1.5%. What are you investing in??? We have a very unconventional portfolio, fully aware this is not for everyone. Low need to take risk plus I viewed stocks as highly overvalued. - 40% cash - 20% alternative investments (mix across Fundrise real estate investments, private loans, private equity) - 20% US Treasuries, ibonds and a few select corporate bonds which I hold until maturity (no bond funds). Have only started building this over the last 2 months (with the exception of ibonds which I started last year) - Up to 20% in stocks, which I trade frequently in our IRAs. I know day trading sounds horrible, but for the last 2 years the volatility has been so crazy it seemed stupid not to take advantage of it. Will deploy more cash should r...
by ge1
Sat Apr 16, 2022 4:08 pm
Forum: Personal Investments
Topic: Fundrise Review?
Replies: 44
Views: 8180

Re: Fundrise Review?

Started investing 1.5 years ago. Very impressed so far. Frequent and open communication. I like them so much that I invested some $ to buy their pre IPO shares as well (up 30% since I bought them and admittedly a very illiquid and risky investment).
by ge1
Mon Apr 11, 2022 9:34 pm
Forum: Investing - Theory, News & General
Topic: Jeremy Grantham (Jan 26, 2022) being asked a lot of tough questions about his super bubble call...
Replies: 601
Views: 72305

Re: Jeremy Grantham (Jan 26, 2022) being asked a lot of tough questions about his super bubble call...

On a personal level, I find a lot of these comments pretty sad to read. Of course Grantham has been wrong with some of his predictions (but following him for years I‘m fairly certain he is more right than wrong), but to just dismiss him as a guy who wants to sell you something and have zero intellectual curiosity to actually read his newsletters and think about topics he raises is not a sign of a great boglehead - it’s just ignorant.
by ge1
Mon Apr 11, 2022 7:56 pm
Forum: Investing - Theory, News & General
Topic: Why buy Bond ETF/Fund?
Replies: 43
Views: 4371

Re: Why buy Bond ETF/Fund?

To put some real numbers behind this discussion, I had 150k in BND in my 401k which I sold last summer for 86.45. The price is now over 10% lower. Bogleheads are probably aware of the impact of interest rate changes on the value of bonds, but pretty sure the average investor doesn‘t expect to lose 10% in a diversified bond investment.
by ge1
Mon Apr 11, 2022 4:47 pm
Forum: Investing - Theory, News & General
Topic: Why buy Bond ETF/Fund?
Replies: 43
Views: 4371

Re: Why buy Bond ETF/Fund?

[/quote] To borrow from a post by Vineviz, with a bond fund with an average duration of 6.8 years... If your investment horizon is less than 6.8 years then you're holding the wrong bond fund. If your investment horizon is more than 6.8 years you should be cheering for additional drops in NAV. If your investment horizon is exactly 6.8 years, you should be indifferent to drops in NAV. [/quote] That is spot on. My investment horizon is most definitely not 6.8 years when bond yields were at record lows a couple of months ago. And thanks for all the responses btw, there of course benefits of holding a diversified bond fund. I guess my question should have been more precisely "when yield are at record lows like they were a couple of month ag...
by ge1
Mon Apr 11, 2022 9:02 am
Forum: Investing - Theory, News & General
Topic: Why buy Bond ETF/Fund?
Replies: 43
Views: 4371

Why buy Bond ETF/Fund?

I only recently discovered how easy it is to buy bonds directly in my Fidelity or Vanguard brokerage accounts and have started to buy US Treasuries with different maturities. I'm curious why anyone would invest in a broad bond ETF/Fund like BND and take the risk of capital losses?

I understand BND provides exposure beyond US Treasuries, but just seems to take on a lot of risk for very little extra return.
by ge1
Wed Mar 23, 2022 7:32 am
Forum: Investing - Theory, News & General
Topic: buying Tbills
Replies: 63
Views: 8548

Re: buying Tbills

PersonalFinanceJam wrote: Wed Mar 23, 2022 7:15 am
ge1 wrote: Wed Mar 23, 2022 6:08 am Dumb question, but how do you buy Tbills with Vanguard: I have a brokerage account and a mutual fund account.

thanks
I think the screenshots and flow from this article are still relevant for Vanguard. The finance buff shows how to buy treasuries at auction from Vanguard and Fidelity
https://thefinancebuff.com/treasury-bi ... arket.html
Awesome, thanks.
by ge1
Wed Mar 23, 2022 7:14 am
Forum: Investing - Theory, News & General
Topic: buying Tbills
Replies: 63
Views: 8548

Re: buying Tbills

Got it, thanks both.
by ge1
Wed Mar 23, 2022 6:08 am
Forum: Investing - Theory, News & General
Topic: buying Tbills
Replies: 63
Views: 8548

Re: buying Tbills

Dumb question, but how do you buy Tbills with Vanguard: I have a brokerage account and a mutual fund account.

thanks
by ge1
Tue Mar 22, 2022 7:43 pm
Forum: Investing - Theory, News & General
Topic: time to get back into total bond?
Replies: 53
Views: 7680

Re: time to get back into total bond?

feh wrote: Tue Mar 22, 2022 8:43 am Yes, I know good bogleheads don't time the market; with that out of the way....

For those of you that changed their fixed income holdings away from total bond over the last year, are things getting to the point where you're thinking about getting back in?
Yes. I sold BND when it traded around 84 and then again 86. I started adding again this week.
by ge1
Sun Sep 05, 2021 6:05 pm
Forum: Personal Investments
Topic: Low need to take risk - low allocation to stocks
Replies: 39
Views: 4546

Re: Low need to take risk - low allocation to stocks

Thanks Bob. We are already doing the 20k annual max in I- bonds exactly for the reasons you outlined. Interesting point about the living trust, I’ll look into that.
by ge1
Sun Sep 05, 2021 3:28 pm
Forum: Personal Investments
Topic: Low need to take risk - low allocation to stocks
Replies: 39
Views: 4546

Re: Low need to take risk - low allocation to stocks

I agree with the comments that changing ones asset allocation based on valuation is a slippery slope. It‘s a discussion for another day and I don‘t want it to distract for the main point of reducing one‘s allocation to risky assets when the required rate of returns becomes low. I think my main reason for reducing the allocation to stocks is that the upside is limited, whereas the downside is real. We are essential financially independent now and we wouldn‘t change our lifestyle if we had 8, 9 or 10m. On the other hand, if we had 60% in stocks and „lost“ 50% of that or 1.7m, that would put financial independence out of reach again for some time. Emotionally I don’t think I would have a very difficult time with that, it’s more a case of why r...
by ge1
Sun Sep 05, 2021 12:26 pm
Forum: Personal Investments
Topic: Low need to take risk - low allocation to stocks
Replies: 39
Views: 4546

Re: Low need to take risk - low allocation to stocks

Thanks for all the thoughtful responses. I agree that I shouldn‘t decrease my allocation to stocks any more and have no plans in doing so. We have another 5-7% in real estate and private equity investments, so total “risky assets“ are around 30%.

I also need to add that our low allocation to stocks is also driven by what I view as excessive valuations. Should we see a significant correction, I would have no problem to increase our allocation to stocks to 50% or so, but probably not beyond that.
by ge1
Sun Sep 05, 2021 11:27 am
Forum: Personal Investments
Topic: Low need to take risk - low allocation to stocks
Replies: 39
Views: 4546

Low need to take risk - low allocation to stocks

The last few years have been very good for us financially. Our net worth crossed the 6m mark this year and investable assets are 5.7m. We are in our late 40s, one child in middle school. We significantly decreased our allocation to stocks to around 20-25% given the low need to take risk, is anyone else in a similar situation doing the same? Just seems to me that everyone on this site has 60%, 70% or more allocated to stocks.

Thanks
by ge1
Sat Jun 12, 2021 8:41 am
Forum: Personal Finance (Not Investing)
Topic: If your net worth is over $3 million, how did you do it?
Replies: 913
Views: 239060

Re: If your net worth is over $3 million, how did you do it?

#1, 2 and 3: Married well.

Naturally I'm tracking our net worth in a spreadsheet :happy , we crossed $5m last year and exceeded $6m this year. Reached $1m 15 years ago.

My wife (and her parents) were smart enough to invest in real estate when she left college - not huge amounts of money, but gave us the first $200-300k to keep investing. We both had well earning jobs until several years ago when my wife quit and I took on significant "career risk" a few years ago which paid out handsomely.

The power of compounding is truly astonishing: It took us 15 years to get to $3m - the next 3m took only 5 years.

Also interesting when I look at our portfolio that 1/3 is from capital gains.
by ge1
Fri Jan 08, 2021 7:41 pm
Forum: Investing - Theory, News & General
Topic: What is the "Quit when you won the game" portfolio?
Replies: 177
Views: 22776

Re: What is the "Quit when you won the game" portfolio?

We have been 30-40% stocks for several years now due to low need to take risk. Mid 7 figure portfolio. Late 40s. I’m happy to invest more in stocks when I see attractive opportunities (think last spring), but generally this seems to be our sweet spot. Couldn’t care less if other make gazillions investing in tech stocks.

(I don’t understand the obsession with bonds at the current yield levels, we sold most of our bonds last year, bought some CDs and hold a lot of cash right now, waiting for better investment opportunities.)
by ge1
Sat Jan 02, 2021 2:02 pm
Forum: Personal Investments
Topic: Where To Invest Significant Windfall Now?
Replies: 10
Views: 1325

Re: Where To Invest Significant Windfall Now?

I can tell you what I do, knowing this is not exactly bogleheads style... - We have a low need to take risk with mid 7 seven figure portfolio and usually don’t have more than 40% / 45% in stocks - Due to concerns about the TSLAs of the world, I hold our stock in value type ETFs (SPYV or VBR for example). - With bond yields so low, we have a lot of cash - In times of steep market losses like last spring, I’m happy to increase my allocation to stocks to 60 or 70% with the goal of reducing back to 40-45% when markets recover. That style has worked well for me over the years, I’m just no the type who can just buy the market and forget about it. It sounds like you “won the game” so at a minimum I would reduce your exposure to stocks, hold a lot ...
by ge1
Sat Jan 02, 2021 8:16 am
Forum: Personal Consumer Issues
Topic: How to watch winter sports on TV/online?
Replies: 0
Views: 229

How to watch winter sports on TV/online?

I'm a big fan of all the winter sports (skiing, cross country, ski jumping, biathlon etc), but I'm struggling to find a way to watch the races on TV and/or online. We have a youtube TV subscription, which has very limited races. Peacock is great, unfortunately they will simply provide the live feed without any commentary...

any recommendations?

thanks
by ge1
Fri Jan 01, 2021 6:27 pm
Forum: Personal Investments
Topic: Self Directed IRA for real estate financing
Replies: 8
Views: 1409

Re: Self Directed IRA for real estate financing

Thanks for the responses. I did some more research and and it can be done fairly cheaply, certainly cheaply compared with my tax savings.

I will go ahead with it, will be happy to report here about my experience.

Also just clarify, I’m not doing the flips and nor am I lending to an affiliated person or corporation.
by ge1
Fri Jan 01, 2021 6:22 pm
Forum: Personal Investments
Topic: How many reached FI goal in 2020?
Replies: 62
Views: 5473

Re: How many reached FI goal in 2020?

We reached our goal this year as well, in late 40s.

Will keep working, but certainly nice to know I don’t necessarily have to.

Congrats!
by ge1
Thu Dec 31, 2020 8:53 am
Forum: Personal Investments
Topic: Self Directed IRA for real estate financing
Replies: 8
Views: 1409

Self Directed IRA for real estate financing

I have been providing financing for real estate flips for several years. These are high interest rate loans, typically running 4-6 months, secured by the underlying property. I would love to do this from a self directed IRA to avoid paying taxes on the high interest rate loans.

Does anybody have any experience with this?

thanks
by ge1
Thu Dec 31, 2020 8:42 am
Forum: Personal Investments
Topic: How to get higher returns with secured loans
Replies: 53
Views: 4267

Re: How to get higher returns with secured loans

Thanks Abe for taking the time and providing all this detail. I can certainly see how this generates an attractive income stream.

In our own experience, we have been very successful in providing short term loans to finance house flips. Attractive interest rate and loan is secured by property. We are on Nr. 17 now and never had any issues.
by ge1
Wed Dec 30, 2020 7:29 pm
Forum: Personal Finance (Not Investing)
Topic: Share your net worth progression
Replies: 4273
Views: 1072496

Re: Share your net worth progression

smby wrote: Wed Dec 30, 2020 7:20 pm
ge1 wrote: Wed Dec 30, 2020 5:40 pm We have a very conservative portfolio due to low need to task risk, hardly ever more than 40% stocks with a lot in cash. Average return since 2004 is 5.5%.

Annual savings have been consistently over 200k in the last 7 or 8 years, this year is over 300k with an additional 800k to come early next year due to a specific situation at my company.

We have been very lucky and blessed.
Thank you for sharing the progression....i guess we all get conservative as we get older. What age and HHI are you in? Simillar NW as yours so am curious
Late 40s, HHI typically in the 600-700ks.
by ge1
Wed Dec 30, 2020 5:40 pm
Forum: Personal Finance (Not Investing)
Topic: Share your net worth progression
Replies: 4273
Views: 1072496

Re: Share your net worth progression

We have a very conservative portfolio due to low need to task risk, hardly ever more than 40% stocks with a lot in cash. Average return since 2004 is 5.5%.

Annual savings have been consistently over 200k in the last 7 or 8 years, this year is over 300k with an additional 800k to come early next year due to a specific situation at my company.

We have been very lucky and blessed.
by ge1
Tue Dec 29, 2020 7:23 pm
Forum: Personal Finance (Not Investing)
Topic: What did you spend in 2020?
Replies: 204
Views: 16059

Re: What did you spend in 2020?

Approx 240k. Excluding taxes.