Recorded Q&A with Rick Ferri and the RTP Bogleheads

Discuss all general (i.e. non-personal) investing questions and issues, investing news, and theory.
Post Reply
User avatar
Topic Author
Steve Thorpe
Posts: 232
Joined: Mon Oct 15, 2007 1:26 pm
Location: Durham, NC

Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by Steve Thorpe » Mon Jun 23, 2014 10:49 am

[ Edited to fix the link to the YouTube video - my apologies as the first one had audio problems ]

Hello Bogleheads,

Our June 14 RTP, NC chapter meeting with special guest Rick Ferri was fabulous! Some good news for those interested in observing our discussion - Rick and all attendees encouraged me to publicly share the recording I made. So I uploaded it to Youtube and our conversation is now viewable through the following link: http://youtu.be/VEV84f40mmY My favorite section is from 34:30 to 46:06 as Rick describes the "Aha moment" when the low-cost passively managed philosophy clicked for him. It was fascinating to learn about!

Some topics covered during our Skype discussion included:

Rick described a 100-page eBook he's writing on the "Education of an Index Investor" that will cover 1) the "Aha moment" of an investor when they develop the indexing philosophy; 2) the research and implementation where an investor develops a strategy for their own unique circumstances; and 3) the discipline required to stick with the strategy over the long haul. He also described a rebalancing white paper he's working on.

Overconfidence in bull markets

Life strategy funds as a way of enforcing discipline

Tracking error

Rick's "Aha moment" when he realized that indexing was the way to go, and how he moved from the brokerage world to the RIA world soon after

Bogleheads all share the philosophy but our individual strategies are all different

Asset location, taxes and uncertainty about future tax laws

In what circumstances there is a need for an investor to have an advisor

The role of Single Premium Immediate Annuities (SPIAs) and which type of investors might benefit the most

ETFs vs. traditional index funds, and in what circumstances would an ETF be the way to go.

Bond strategies (e.g. High yield bonds or not? International bonds or not? Short or Intermediate term? etc.)

Rick highly recommends Bill Schultheis' "The Coffee House Investor" to new investors (especially the little green book which was the first edition). Rick's "Serious Money" is also a good one for new investors -- plus it is free!

Those are a few of the many topics covered during our Q&A with Rick that ran for about 1 hour and 47 minutes.... we all had a great time and it was an honor to have such a fine guest at our local chapter meeting. Thank you Rick for sharing your Saturday morning with us!

Steve
Last edited by Steve Thorpe on Mon Jun 23, 2014 6:41 pm, edited 1 time in total.
Steve Thorpe

Retire_Early
Posts: 14
Joined: Thu May 01, 2014 3:17 pm

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by Retire_Early » Mon Jun 23, 2014 12:32 pm

I have several points where the sound cuts out starting around the 10 minute mark and going out for long periods of time. I would like to hear the video, but its not really even usable as it stands now since I don't read lips.

User avatar
Topic Author
Steve Thorpe
Posts: 232
Joined: Mon Oct 15, 2007 1:26 pm
Location: Durham, NC

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by Steve Thorpe » Mon Jun 23, 2014 2:27 pm

[Edited to fix the link -- original Google Drive link also had the audio problem]

Hello Retire Early,

Oh shoot, my apologies. I'm sorry to hear that. On my mac the original Quicktime document played fine all the way through; maybe it got messed up somehow when I uploaded it to Youtube.

Here is another method that may work.... I uploaded it to my Google Drive and the original file should be accessible through this link. Could you please try downloading it to your local computer and let me know how it goes?

https://drive.google.com/file/d/0By6NFi ... sp=sharing

Thanks,

Steve
Last edited by Steve Thorpe on Mon Jun 23, 2014 7:24 pm, edited 1 time in total.
Steve Thorpe

Retire_Early
Posts: 14
Joined: Thu May 01, 2014 3:17 pm

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by Retire_Early » Mon Jun 23, 2014 4:00 pm

If you download the source file and play with Quicktime the audio seems to be there. Thanks

User avatar
Leif
Posts: 2761
Joined: Wed Sep 19, 2007 4:15 pm

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by Leif » Mon Jun 23, 2014 4:11 pm

Steve Thorpe wrote:
Rick's "Serious Money" is also a good one for new investors -- plus it is free!

Steve
Where is it available for free? Amazon has it for $12.95.

2retire
Posts: 376
Joined: Wed Jun 13, 2012 9:00 am

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by 2retire » Mon Jun 23, 2014 4:20 pm

Leif wrote: Where is it available for free? Amazon has it for $12.95.
From his website:

http://www.rickferri.com/books-by-rick- ... aight-talk

PS: Thanks for the video.

User avatar
Topic Author
Steve Thorpe
Posts: 232
Joined: Mon Oct 15, 2007 1:26 pm
Location: Durham, NC

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by Steve Thorpe » Mon Jun 23, 2014 7:30 pm

Hello folks,

My apologies to those who encountered audio problems when viewing the video as originally posted. It seems the utility I used to record it required a pre-processing step to make it Internet-ready. I've run that process and the document is now shared through a new YouTube link as well as through a publicly accessible Google Drive link. I would recommend viewing it through YouTube but for those who have interest in downloading the file from Google Drive I'll also leave that link available for a while. Here are the updated links (also fixed above):

YouTube (recommended):
http://youtu.be/VEV84f40mmY

Google Drive:
https://drive.google.com/file/d/0By6NFi ... sp=sharing

Hope you enjoy Rick's excellent Bogleheads appearance.... everyone in attendance sure did and we learned a lot.

Thanks and best wishes,

Steve
Steve Thorpe

User avatar
jmndu99
Posts: 341
Joined: Sun Jul 14, 2013 4:18 pm

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by jmndu99 » Mon Jun 23, 2014 8:57 pm

Thank you for sharing this (as suggested by Mr. Ferri).

Every bit helps. I definitely will be listening to this one again.


Best

africa
Posts: 2
Joined: Sun Mar 04, 2012 4:28 pm

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by africa » Tue Jun 24, 2014 8:04 am

Too bad this link still has gaps. Would you be willing to summarize what Rick had to say about international bonds.

moshe
Posts: 496
Joined: Thu Dec 12, 2013 1:18 pm
Location: Boston, MA

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by moshe » Tue Jun 24, 2014 9:14 am

Thank you Steve and Mr Ferri for sharing! Much appreciated.
My money has no emotions. ~Moshe | | I'm the world's greatest expert on my own opinion. ~Bruce Williams

User avatar
Topic Author
Steve Thorpe
Posts: 232
Joined: Mon Oct 15, 2007 1:26 pm
Location: Durham, NC

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by Steve Thorpe » Tue Jun 24, 2014 9:46 am

[ Edited since nobody can be "seeing" audio gaps. D'oh! Make that "hearing"! :P ]
africa wrote:Too bad this link still has gaps. Would you be willing to summarize what Rick had to say about international bonds.
Hello africa,

Are you hearing audio gaps in http://youtu.be/VEV84f40mmY ? (this is the updated link I posted) If so could you please let me know what time(s) within the video you're hearing the gaps. If there is still an issue with the updated video, I would like to see if I can duplicate the problem and figure out a way to resolve it.

Thanks,

Steve
Last edited by Steve Thorpe on Tue Jun 24, 2014 2:13 pm, edited 2 times in total.
Steve Thorpe

User avatar
laughlinlvr
Posts: 167
Joined: Wed Nov 18, 2009 3:34 pm
Location: ID, NV

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by laughlinlvr » Tue Jun 24, 2014 12:01 pm

Rick, Steve and RTP Bogleheads:

Excellent presentation. Thank you all so much.

(Steve - No gaps in the updated YouTube link. I heard everything and in good quality too.)
Investing - The hardest way to make an easy living.

User avatar
SpringMan
Posts: 5412
Joined: Wed Mar 21, 2007 11:32 am
Location: Michigan

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by SpringMan » Tue Jun 24, 2014 12:35 pm

Loved the video. Never heard the blueberry pie explanation regarding the benefit of simple portfolios. My portfolio leaves too much blueberry mess left on my plate :) . I wonder if, other than overlap and difficulty managing complex portfolios, do they really leave blueberries (dollars) behind (left on your plate) like a pie sliced too many times?
Best Wishes, SpringMan

User avatar
Toons
Posts: 13427
Joined: Fri Nov 21, 2008 10:20 am
Location: Hills of Tennessee

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by Toons » Tue Jun 24, 2014 12:46 pm

Thanks for the link :happy
"One does not accumulate but eliminate. It is not daily increase but daily decrease. The height of cultivation always runs to simplicity" –Bruce Lee

User avatar
Ruggles
Posts: 8
Joined: Tue Apr 08, 2014 8:53 am
Location: CT

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by Ruggles » Tue Jun 24, 2014 4:00 pm

Really enjoyed this, thanks for posting. Good luck on the new book, Rick! :beer
Do stupid things faster. Drink more coffee!

User avatar
patriciamgr2
Posts: 800
Joined: Mon Nov 19, 2007 3:06 pm

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by patriciamgr2 » Wed Jun 25, 2014 1:49 am

Thanks for posting the link.

I'm really looking forward to Mr. Ferri's new ebook on the education of an index investor. I hope he lets us know when that becomes available; it sounds like it will be a perfect introduction to our philosophy of investing.

User avatar
laughlinlvr
Posts: 167
Joined: Wed Nov 18, 2009 3:34 pm
Location: ID, NV

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by laughlinlvr » Thu Jun 26, 2014 7:42 am

Rick,

Thanks for the heads-up that Vanguard Total Bond Fund (VBTLX) does not contain any TIPS. As I'm approaching retirement I had recently began to change my aa to include a greater bond portion. I assumed that VBTLX would have TIPS in it given its name as you pointed out in your presentation. (You pointed out it doesn't have any TIPS.) Anyway, after checking the Vanguard website I found that the two target funds I already hold (VTINX & VTTVX) do have TIPS in them.

I'm sure you already knew this. Thanks for the alert in your presentation that sent me off to do a better job of drilling down into my aa.
Investing - The hardest way to make an easy living.

Dadarkar
Posts: 150
Joined: Tue May 22, 2007 9:23 pm

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by Dadarkar » Fri Jun 27, 2014 9:51 am

Steve:Thanks for posting
Rick: Thanks. This was an excellent advice put in simple words.

4ransom
Posts: 82
Joined: Mon Jul 30, 2007 3:27 pm

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by 4ransom » Fri Jun 27, 2014 1:39 pm

Great vedio, thanks Rick and thanks Steve for all the work recording and posting!

chw
Posts: 740
Joined: Thu May 24, 2012 4:22 pm

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by chw » Sat Jun 28, 2014 5:20 am

Thanks Steeve for posting the video, and Rick for suggesting it. The setup and format of the meeting really extracted maximum detail on a variety of topics. While the video is the length of a feature film, it doesn't get boring (at least to bogleheads). If there's a wiki for video files, I believe this should be considered.

User avatar
Topic Author
Steve Thorpe
Posts: 232
Joined: Mon Oct 15, 2007 1:26 pm
Location: Durham, NC

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by Steve Thorpe » Sun Jun 29, 2014 3:28 pm

Hello Bogleheads,

I'm glad many others are also enjoying Rick's guest appearance at the RTP Bogleheads.

africa: Now that the Youtube video's audio is working properly (see above for the corrected link), you should be able to see Rick's various comments on International Bonds by viewing them directly. Rather than summarize them here I will point you to the place in the video - this segment runs from approximately 53:40 to 1:02:44 of the video (which has a total run time of almost 1 hour 48 minutes).

Thanks & best wishes.
Steve Thorpe

User avatar
cfs
Posts: 4154
Joined: Fri Feb 23, 2007 1:22 am
Location: ~ Mi Propio Camino ~

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by cfs » Sun Jun 29, 2014 5:20 pm

Steve and Rick

Thanks for the video, this is a good one, and yes, it is Sunday and I did watch the whole thing.

And now let me catch the rest of the World Cup action.

Thanks for reading.
~ Member of the Active Retired Force since 2014 ~

staythecourse
Posts: 6993
Joined: Mon Jan 03, 2011 9:40 am

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by staythecourse » Sun Jun 29, 2014 6:03 pm

Must say you know when you are a nerd when you can't wait to find some free time to watch this video!!

Mr. Ferri's "AAAA", in my opinion, is the best single intermediate book on what is important in investing and asset allocation is around so can't wait to read his new book.

For many of the folks out there if you haven't read his less famous "Power of Passive Investing" one should as it is a treasure chest of info. regarding the data out there pointing to passive index investing.

Good luck.
"The stock market [fluctuation], therefore, is noise. A giant distraction from the business of investing.” | -Jack Bogle

User avatar
Topic Author
Steve Thorpe
Posts: 232
Joined: Mon Oct 15, 2007 1:26 pm
Location: Durham, NC

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by Steve Thorpe » Fri Jul 25, 2014 11:09 am

Hello Diehards,

I'd mentioned my favorite section in the video is from 34:30 to 46:06 as Rick describes the "Aha moment"... I observed Rick has posted on his blog about this moment. See http://www.rickferri.com/blog/strategy/ ... investing/. The blog article describes the key point although to me it is still more fun to watch the video from the June 14 RTP Bogleheads meeting (see above for that link).

Thank you Rick for sharing this part of your background with us!
Steve Thorpe

User avatar
abuss368
Posts: 17132
Joined: Mon Aug 03, 2009 2:33 pm
Location: Where the water is warm, the drinks are cold, and I don't know the names of the players!
Contact:

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by abuss368 » Fri Jul 25, 2014 2:37 pm

I have always been very impressed with Rick Ferri and have learned a tremendous amount in terms of investing from him.

Best.
John C. Bogle - Two Fund Portfolio: Total Stock & Total Bond. "Simplicity is the master key to financial success."

samjuno
Posts: 89
Joined: Fri Sep 21, 2007 10:55 pm

Re: Recorded Q&A with Rick Ferri and the RTP Bogleheads

Post by samjuno » Sun Jul 27, 2014 1:13 am

After watching this interview, I downloaded his free book, read his comments re: asset allocations & found it to be the impetus I needed to get my allocation in line with my "investor psychology".

Thanks for posting this. I will be regularly checking his blog from now on.

-sam

Post Reply