Murray's Bell Curve sources were not reputable, when not thoroughgoing bigots.
http://www.nybooks.com/articles/1995/02/02/the-bell-curve-and-its-sources-1/
http://www.nybooks.com/articles/1994/12/01/the-tainted-sources-of-the-bell-curve/
(paywalled, alas)
http://www.slate.com/articles/briefing/articles/1997/01/the_bell_curve_flattened.html
https://www.splcenter.org/fighting-hate/extremist-files/individual/charles-murray

Hi Guys,
I don't have much to contribute to this current exchange because I have not devoted much time or thought to UBI (Universal Basic Income). I perceived it as an idea well ahead of its time for anything approaching adoption in one of its many potential formats. It has had and will continue to have a challenging uphill climb. It was recently convincingly defeated in a Swiss referendum. Here is a Link that reports on the Swiss vote:
http://www.nytimes.com/2016/06/06/world/europe/switzerland-swiss-vote-basic-income.html
One of its early and persistent advocates is prolific author Charles Murray. I was most impressed with his coauthored book "The Bell Curve". He developes his arguments with great care and much data. Here is a Link to a recent article by him that was published in the WSJ.
http://www.wsj.com/articles/a-guaranteed-income-for-every-american-1464969586
It's a rather lengthy article but a worthwhile examination of the pros and cons of the UBI controversy. All UBI plans are complex. That must be so when redistributing national wealth. The issue is so complex that any implementations of UBI are likely to be in the distant future. I choose to not invest much time examining the many options since they will most assuredly and dramatically change with compromise a key element. Enjoy.
Best Wishes.

On the Matthews-Seafarer question, the chart shows MAPIX (AF's old fund) still outpointing SFGIX* since SFGIX's inception, +41.8% to +30.5%.
Yes, they're different animals, but generally I've thought Foster appears to be good manager who's made a mistake with his long-running underweight to Asia (and at one point, before I stopped following the fund closely, some not-so-hot security selection in Latin America). The Asia underweight may seem slight, but over time, it's had to have some effect.
Just another view ...
* If the chart shows only Seafarer, as I think a direct link sometimes does, just add MAPIX to the chart to see the pattern.

Yeah, what to do with the supposedly (usually mythical) undeserving, when life is still claimed to be Aesop-like.
http://krugman.blogs.nytimes.com/2016/03/15/return-of-the-undeserving-poor/
http://www.nytimes.com/2014/01/20/opinion/krugman-the-undeserving-rich.html
http://www.nytimes.com/2014/01/10/opinion/krugman-the-war-over-poverty.html
Let us count the ways things would improve nationally with UBI, for starters.

So I have one fund BPRRX at Scottrade that I will lose since it is closed to new investors.

You could do an ACAT transfer of your BPRRX shares to another brokerage before closing out your Scottrade account. It appears that transferring out part of your account is free at Scottrade, but they'll charge you $75 if you transfer out virtually your whole account (i.e. if you leave less than their $2500 min).
See footnote 9 in Scottrade's fee schedule:
https://www.scottrade.com/documents/alt/CommissionsandFees.pdf
More generally, various brokerages' outgoing transfer fees:
http://www.brokerage-review.com/findbroker/acat-account-transfer-fees.aspx

Like I said above, I already have Schwab. I also asked if I can open another account at Schwab. Now that was a bad question.
The reason I have multiple brokerage accounts is to spread my risks. I am a very paranoid person. Imagine if I only had account with Wellstrade.
I have portfolios at Vanguard, Fidelity, Schwab, Merrill and Scottrade at this time. That's why I own close to 50 funds. I guess I could own 40 funds. The point is not to own 50 funds with two accounts at 1 brokerage.
TRP brokerage NTF offerings are scarce and I use it for managing inlaws money so don't want to mix things. I do have IRA at TRP and Scottrade. I could transfer IRA to Schwab.
TradeKing sucks I just found out.
So I have one fund BPRRX at Scottrade that I will lose since it is closed to new investors. Others I could either sell, or maybe some of them include in other portfolios if I really need.
Scottrade was so good to me. Is there any chance Scottrade will stay as a unit of TDA? Or maybe Scottrade brand has better name and TDA will assimilate into Scottrade and the latter's back-end systems (sic) are retained. Freakin' headache!!!

Whenever I hear him speak or listen to an interview, I walk away thinking, What a smart guy, his fund's gotta turn up sooner or later. Then it bombs another year. Rinse and repeat... I'm still holding FAAFX (about 7% of my portfolio, though it would be more if it had grown at the same rate as the rest) only because I'm sure that the year after I sell it, it will pop 50%.

Fidelity Automatic Investment Program lets you schedule periodic purchases.
https://www.fidelity.com/cash-management/automatic-investments
See footnote: "After the initial investment, a $5 fee is charged per automatic investment into a FundsNetwork transaction fee fund."
You have to schedule at least two purchases, but the system allows you to cancel at any time, so you can cancel after you've made one purchase.
https://www.fidelity.com/customer-service/automatic-investments-faqs
http://socialize.morningstar.com/NewSocialize/forums/t/346014.aspx

I have most of my accounts at E*TRADE as a legacy BrownCo customer and have been pretty happy with the collection of NTF funds they have. Customer service seems to be the main issue. For years I dealt with a guy who was great. He got things done, he went to bat for me when I needed or wanted something like making Grandeur Peak Emerging Markets fund available quickly after launch, and he always followed up on questions I had.
More recently it's the opposite and I find customer service much more stressful because not only are more of the answers bad answers for me, which has to be expected sometimes, but I have to chase after them more for answers. Sometimes they've provided answers that seem more like they just want to be done with my question and move on to the next one rather than actually trying to make the customer experience better- even if the answer isn't what I might hope for.

Though I would go elsewhere for TF funds (e.g. Scottrade $17, E*Trade $20, or Fidelity with $5 to add shares to an existing position).

@msf, is your comment about Fido pricing when adding to an existing position their general approach? I can't find that anywhere on their website or in my account documents. I have a small account at Fido and have always avoided TF funds because I mostly like to add to positions over time, but if the $50 fee was just on the first purchase and each additional purchase was only $5 I might reconsider in some cases.

VF - not sure if you're reading this correctly. Years ago, TDA had no NTF funds, plus a high transaction fee; the combo meant I didn't even take a look at them.
But that was years ago. These days, it's got a very respectable stable of NTF funds. Though I would go elsewhere for TF funds (e.g. Scottrade $17, E*Trade $20, or Fidelity with $5 to add shares to an existing position).

DavidV is correct on fees for vanilla TDA accounts. Here's the pricing page; click on Mutual Funds tab: https://www.tdameritrade.com/pricing.page
"Please note: No-transaction fee (NTF) funds (except ProFunds and Rydex) held 180 days or less are subject to a Short-Term Redemption fee, which is a flat fee of $49.99."
I disagree that 180 day holding period is an impediment to a fund investor. In addition, TDA has one of the largest lists of NTF ETFs (30 day holding period).
TDAmeritrade also has special accounts with different terms. For instance, here are my terms (90 day holding period, $25 TF funds):
https://www.tdameritrade.com/retail-en_us/resources/pdf/SDPS1009.pdf

That's not the case for all funds they offer. Some funds have a long holding time or TF, but having the range of funds/classes available in this supermarket is well-worth it, imho.

TDA is not a good brokerage for MF investors. Minimum holding time for NTF 6 month, and TF charge $50 twice, when you buy and sell them.

TDA is not a good brokerage for MF investors. Minimum holding time for NTF 6 month, and TF charge $50 twice, when you buy and sell them.

https://www.sec.gov/Archives/edgar/data/1444822/000119312516723525/d253834d485apos.htm
AQR Large Cap Relaxed Constraint Equity Fund
AQR Small Cap Relaxed Constraint Equity Fund
AQR International Relaxed Constraint Equity Fund
AQR Emerging Relaxed Constraint Equity Fund

From the article:
"The median value of mutual funds owned by U.S. families was $120,000 in 2015."
"Half of all households have fund balances higher than $120,000 and half have lower balances."
See below a chart from that article. It shows that roughly only 45% of US households own any funds.
Now I'm certainly not great at math. But if more than half own nothing at all, then they must be included in that "half have lower balances." If so, that would seem to skew that "median value" well to the low side, suggesting that those on the high side must have balances hugely in excess of $120,000.
If the 55% who own no funds are not included in the "half have lower balances", then I question the entire premise of the article, and it's value for much of anything.

In the minor details department, might be worth noting that the PRBLX portfolio position in WF is an outlier in the Parnassus funds generally. Aside from PRBLX, the only P. fund that owns WF is PARNX, and it's top 25 but well down the list.
The firm as a whole is traditionally light in banks, putting most of its fairly limited financials stake in asset managers, insurance, credit cards, etc. The only other banks anywhere in the P. stable as of last report are Capital One (PARWX, PARNX) and the small-cap regional First Horizon (PARNX, PARMX).
Given the rest of the P funds' approach, I'd be interested in reading in some detail why Ahlsten went so heavily into WF in the first place. (I imagine WF will be a big topic in the Q3 report that should be coming out in a couple of weeks or so.) I can remember just once (in recent times, anyway) when he did another big leapfrog to a #1 position, and that was with Apple after a selloff, last year I think it was.
P.S. Naturally it's worth factoring into thinking on the subject that P. doesn't do nearly as much "house-view" investing as say Pimco, and that the two Dodson funds are growth funds, not blend like PRBLX and PARMX.

FYI: (I will link intereview as soon as it becomes available for free, generally early Sat. morning)
Regards,
Ted
September 30, 2016
Dear WEALTHTRACK Subscriber,
Few money managers have the conviction, wherewithal, stamina and independence to stick with positions that remain unpopular and unprofitable for years before paying off. This week’s guest is one of the few! We’ll be joined by Bruce Berkowitz, a deep value, long-term investor who rarely gives interviews. I have been interviewing him on WEALTHTRACK since 2007 and he has always generated a great deal of interest.
Berkowitz is Founder and Portfolio Manager of the three Fairholme funds - his Flagship Fairholme fund, launched in late 1999, the Fairholme Focused Income fund started in 2009, and the Fairholme Allocation fund begun in late 2010.
The Fairholme fund, for which he was given Morningstar’s Domestic Stock Fund Manager of the Decade Award in 2010 has delivered 10% annualized returns with dividends and distributions reinvested since inception, nearly triple the market’s total return.
However, the last decade has been much more difficult. The fund has badly lagged the market over the past 10, 5 and 3 year periods despite having several stellar years including 2012 and 2013 when it crushed the market and led its Morningstar Large Value category, gains that were offset by a big decline in 2011 and then another subpar performance in 2014, hurting its track record. The fund, which once had over $20 billion in assets, is now a fraction of that.
Berkowitz is famous for taking big positions in a handful of companies that are generally shunned and panned by Wall Street when he is accumulating them. He has made a fortune over the years in concentrated stakes in health care, energy and financial services. He has also poured a fortune in recent years into companies such as Florida real estate company The St. Joe Company and retailer Sears, as well as financial firms such as Fannie Mae and Freddie Mac, which have yet to pay off.
There’s a well-known saying “Don’t fight city hall”… but Berkowitz is taking on the entire U.S. federal government. Fairholme is engaged in a multi-year lawsuit against the U.S. government over its handling of the conservatorship of the two mortgage giants, which although hugely profitable, are still under government control and paying enormous dividends to the government - but not to preferred shareholders like Fairholme. I began the interview by asking him why he is so committed to fighting this battle.
If you are unable to join us for the show on television, you can watch it on our website, WealthTrack.com, starting over the weekend. If you’d like to see it earlier, it is available to our PREMIUM subscribers right now. We also have an EXTRA interview with Berkowitz about his views on the presidential candidates. He says it is more about the team than the candidate.
Thank you for watching. Have a great weekend and make the week ahead a profitable and productive one.
Best Regards,
Consuelo

(PRBLX holds WFC as its #1 position, added there during the last quarter.)
Src: https://www.parnassus.com/our-firm/highlight/184
Due Diligence on Wells Fargo
SAN FRANCISCO, CA, September 27, 2016
You may have seen recent news that Wells Fargo (WF) is facing scrutiny over its cross-selling programs that resulted in employees opening accounts and credit cards for customers without permission. As a significant shareholder and a responsible investment firm, Parnassus Investments is deeply concerned about this information.
We are conducting a thorough due diligence process. We have initiated conversations directly with executive leadership at Wells Fargo, and are currently evaluating and monitoring the various remedies the firm has applied. As additional information becomes available, we will further engage directly with Wells Fargo leadership.
At this time, the Parnassus investment team does not believe there exists a deterioration in WF’s company fundamentals. Wells Fargo management is still working through revisions to their cross-selling policies to remove incentives for practices that could harm customers, employees and the firm’s reputation. Although these new incentive and compensation policies are still in development, WF management has assured Parnassus that the firm and its team members will continue to emphasize deep client relationships.
However, given the circumstances, Parnassus strongly recommends that the Wells Fargo Board of Directors consider pay packages for WF executives who were responsible for the cross-selling programs in accordance with the WF’s claw back policies.
While WF’s responsible investing profile has been temporarily weakened by the firm’s cross-selling practices, it is important to note that the firm has many positive social aspects. Wells Fargo remains one of the largest corporate charitable donors in the U.S., has a strong reputation for promoting diversity and inclusion, and in general is regarded as a positive workplace.
It is our current belief that Wells Fargo has the capacity to recover from the damage that has occurred to its brand, including its relationships with customers, employees and regulators. As more information is made publicly available, we will of course update our evaluation and communicate to our shareholders.
Mutual fund investing involves risk, and loss of principal is possible.

I've waffled about reducing PRBLX for general portfolio allocations this year but not pulled the trigger yet.
This situation inclines me to do that just on principle since WFC is their #1 position, at least until this thing blows over -- granted, a 5% allocation won't move the needle much on the fund's performance, but still. I like the rest of the fund's holdings/positioning, so not doing anything out of haste, obviously. I thought PRBLX and PRWCX would be a nice combination, but maybe I'll just fold some/all of PRBLX into PRWCX and call it a day. *shrug*

The more I read about the history and etiology of the WF churning,
http://blogs.wsj.com/moneybeat/2016/09/16/from-gr-eight-to-gaming-a-short-history-of-wells-fargo-and-cross-selling/
the more I am thinking I am going to bail completely out of PRBLX, 100%. I expect such a fund, that makes such whoop over its DD in the SR space, to at least read the financial press and raise a fuss as warranted. Must think about this and sleep on it. Jeez louise.

Isn't WFC on of Warren Buffet's largest holdings? I haven't seen any comments about Warren.

This was a rather strange sentence:
"Buying Scottrade could enable TD Ameritrade to reduce costs by eliminating redundant back-office systems, while bringing in new customers, he said."
The simplest interpretation is that what was meant was that the combined entity could save costs by settling on one of the legacy systems and tossing the other. But that wouldn't be eliminating redundant systems at TDAmeritrade, which is how the quote literally reads.
Another possibility, while similar, would have TDAmeritrade elimintating its own redundancy. I don't know how fully ThinkOrSwim has been integrated into TDAmeritrade, but TDA could eliminate that redundancy by tossing its system and taking Scottrade's.
Whatever they do (assuming this acquisition happens), watch out for glitches. Barron's wrote in 2011 about TDA's 2009 acquisition of ThinkOrSwim in Hiccups in TD's Latest Acquisition: "We've covered quite a few consolidations among online brokerages. Some went extremely well, some were disasters. "
http://www.barrons.com/articles/SB50001424052702303545104576524570860463438
Not to beat a dead horse, but one of the most notorious integrations of financial institutions was Wells Fargo's acquisition of First Interstate (can't WF do anything right?):
"In its haste to eliminate redundancies in the two organizations' branch networks, back-office systems and staffing, Wells Fargo had touched off a chain reaction of operational glitches and customer-service embarrassments. These caused cost overruns, serious damage to the bank's historically strong reputation and brand name and, worst of all, market share declines, which are very difficult to reverse."
http://www.institutionalinvestor.com/article.aspx?articleID=1027771

These latest comments reminded me of some more examples of how the middle class is being decimated.
Recently on Japan television, I saw a show where the topic was robots. In one example, humanoid robots were working on a assembly line along with humans. These types of robots were doing amazing things like picking up tools to tighten assemblies or using power drills to drill holes, much like humans. The humans were there for QC.
Another point is in the environmental arena where the current administration just signed into effect a marine reserve off the New England coast. This was prime fishing grounds for many types of fish and shellfish. 5000 sq. miles if I'm not mistaken. The same is happening on the west coast too as well as sealing off land from logging and ranching.
https://news.cnrs.fr/articles/putting-humanoid-robots-to-work