+1.

+1. True. But I'm not going near that stuff.

Good afternoon All,
Serious question here as I feel I should but do not know the answer.
CDs.
When I buy them thru a bank, let's say for example sake, $100k, 3% APY, I see $103000 a year later in my account.
How does that work for CDs that you buy thru Schwab. When I look at the value, it makes no sense to me what the value and gain/loss is. For instance I opened a 3.55% brokered CD thru Schwab 3.5 years ago with $90k and it states the value is ~$90,492. No way that can be correct right? I called and their rep could not explain it. Does it all "true up" at the end of the CD term?
I hope this question makes sense.
Best,
Baseball Fan

I bought into the small cap fund in August of last year (it is closed to new investors, but I had an existing position in a retirement account) not realizing that the size of year-end distributions. The fund has never recovered from the 2021 distributions and the downturn in the market.

Not directly on point but worth keeping in mind is that active share is only a measure of how many stocks held by a fund are not identical to stocks in its benchmark index. So a 100% active fund could hold Pepsi instead of Coke, UMC instead of TSMC, etc.
IOW, active may mean less than one thinks, especially when it comes to overall market behaviour as opposed to tweaking around the edges.

Chart in the article:

Seems to point out that active management has a very low alpha add when it comes to Global Emerging Market across all time frames. Maybe just buy the index VWO, VEIEX, etc

Shorter-term TIPS held individually to maturity follow the CPI (less discount to par at purchase) & work as intended. Purchase at Treasury Direct (TD) or brokerages. Of course, go to TIPS after fully using annual limits for I Bonds (at TD only). TIPS funds (Mutual Funds, ETFs) introduce other factors – rate effects via duration; non-maturity; annual distributions of inflation-adjustments (whether earned or not); confusing presentations of 30-day SEC yields (real only vs real + current CPI). Beware of this when reading media articles (Twitter, M*, MFO 8/1/22) about issues of TIPS funds. https://ybbpersonalfinance.proboards.com/thread/278/mechanics-buying-selling-yr-tips?page=1&scrollTo=729

Just checked Fidelity and there are at least 5 more banks offering 1 year CD at 3.0%.

☞ Free link to NPR Article
Excerpts from the article:

The problems are mounting for Robinhood, a company that had big ambitions to revolutionize markets by attracting millions of amateur investors into stock trading for the first time.
On Tuesday, the company announced plans to cut almost a quarter of its staff, citing economic uncertainty, a steep selloff in cryptocurrencies, and a deteriorating market environment. This is the second round of layoffs for Robinhood, which reduced its workforce by about 9% in April.
The cuts mark another reversal for a company that created an app for trading stocks that became wildly popular when COVID-19 spread and the economy shut down, leaving millions stuck at home with plenty of time on their hands. At the time, interest rates were near zero, tech companies were expanding, and Americans had extra cash thanks to stimulus checks from the federal government.
But a deep downturn in markets has eroded Robinhood's fortunes this year. The company has seen its shares tank more than 70% since raising almost $2 billion when it went public in a high-profile initial public offering in 2021.
On Tuesday, CEO Vlad Tenev acknowledged in a blog post that the first staff reduction a few months ago "did not go far enough. As CEO, I approved and took responsibility for our ambitious staffing trajectory — this is on me," he wrote. "In this new environment, we are operating with more staffing than appropriate."
Robinhood has also attracted government scrutiny. Also on Tuesday, a New York financial regulator fined the company $30 million "for significant failures in the areas of bank secrecy act/anti-money laundering obligations and cybersecurity."
Robinhood is not the only tech company to lay off staff. Shopify, Netflix, Tesla and several crypto companies have also cut their workforces amid the worsening economic outlook.

. Unclear why he recycled 5 yr old stuff.
https://twitter.com/MichaelKitces/status/1553821828153577475

Probably because the first six months of 2022 caused a lot of panic among the SWR crowd, with stocks and bonds falling sharply together, thus threatening the idea that a balanced fund will sail you through any storm. I interpret the Kitces tweet as in the vein of "stay the course." Even Bengen was wavering, in that piece I cited above.

It appears some case was filed in PA concerning the target date funds:
https://www.cnbc.com/2022/03/15/vanguard-created-big-tax-bills-for-target-date-fund-investors-lawsuit-claims.html
or
https://www.barrons.com/advisor/articles/vanguard-target-date-retirement-funds-lawsuit-51647366034
and from a law firm:
https://www.silverlaw.com/blog/did-you-get-hit-with-a-surprise-tax-bill-in-your-vanguard-target-date-retirement-fund/

@Mitchelg
You stated:

"Pelosi should be in jail for hubbies frontrunning trades. Disgusting."

Will you please expand upon anything factual about the "frontrunning".
With the growth sectors sell off through this year into June; purchases into growth and tech sectors in late June was a prudent choice, so far.
From a technical investing standpoint, the RSI 14 in growth and tech sectors had been traveling along the low 30's range. Technical theory indicates an RSI in the 30's range is an oversold indicator, and worth paying attention for a buy point.
Nvidia, in particular, is an excellent investment choice in the tech. sector; as this company has survived many market storms since January of 1999; and remains an important company in the tech. sector. Price performance since going public = +22,171.95% as of Tuesday, 11am. We've traded in and out of this stock several times in the early 2000's. Silly us should have maintained some shares.
Thank you for taking time to respond.
Remain curious,
Catch

@davidrmoran, thanks, I missed that. Kitces' tweet was on 7/31/22. I also checked Kitces' Twitter feed and the tweet dated 7/31/22 is there too. Unclear why he recycled 5 yr old stuff.
https://twitter.com/MichaelKitces/status/1553821828153577475
In building the OP, I captured the link to the "image" and also to the more detailed referenced "article" that I thought would be more useful. I didn't provide the link to tweet itself (above). But I see now that the article and chart are from 5 years ago. I also see that you have posted a comment on that article's feed (below) TODAY and let us see if there is a response,
https://www.kitces.com/blog/safe-withdrawal-rate-calculator-software-big-picture-timeline-app-reviews/#comment-5935337942
May be you can engage him on Twitter if you are there.

Added #NUGT
gold has bottomed
Probably 12 24 months play

+1

+1, 2, 3 @msf
I think generally (but not always) there’s some rough correlation between risk and potential reward in any investment. Even a stock or fund that’s been racking up a “mere” 30% in consecutive annual returns sets off caution flags in my mind. That type of reward isn’t achieved with only “modest” risk of capital.
Anybody remember what ENRON was churning out yearly before the roof caved in?
Or, for that matter … ARKK :)

Thank you. Sounds like Clyde McGregor’s been “promoted” and will be “transitioning” away from OAKBX while the new team settles in.
OAKBX is an old favorite. Unloaded it late in 2018 after it stunk up the joint. Recently considered buying in again, but darned if I can figure out what they’re trying to accomplish with their current portfolio. Not much remarkable there. Phillip Morris? This fund was once good at uncovering overlooked “niche” equity investments and effectively hedging risk through strategic equity selection. That .84% ER ought to get you more than it apparently does.

https://www.sec.gov/Archives/edgar/data/1540305/000089418922005239/defiancespakandpsyliquidat.htm
Filed Pursuant to Rule 497(e)
File Nos. 333-179562; 811-22668
Defiance Next Gen SPAC Derived ETF (SPAK)
Defiance Next Gen Altered Experience ETF (PSY)
August 1, 2022
Supplement to the Summary Prospectuses, Prospectus, and Statement of Additional Information (“SAI”),
each dated April 30, 2022
The Board of Trustees of ETF Series Solutions, upon a recommendation from Defiance ETFs, LLC, the investment adviser to the Defiance Next Gen SPAC Derived ETF and Defiance Next Gen Altered Experience ETF (each, a “Fund” and collectively, the “Funds”), has determined to close and liquidate the Funds immediately after the close of business on August 30, 2022 (the “Liquidation Date”). Shares of the Funds are listed on the NYSE Arca, Inc.
Effective on or about August 8, 2022, each Fund will begin liquidating its portfolio assets. This will cause each Fund to increase its cash holdings and deviate from the investment objective and strategies stated in the Funds’ prospectus.
The Funds will no longer accept orders for new creation units after the close of business on the business day prior to the Liquidation Date, and trading in shares of the Funds will be halted prior to market open on the Liquidation Date. Prior to the Liquidation Date, shareholders may only be able to sell their shares to certain broker-dealers, and there is no assurance that there will be a market for the Funds’ shares during that time period. Customary brokerage charges may apply to such transactions.
On or about the Liquidation Date, each Fund will liquidate its assets and distribute cash pro rata to all remaining shareholders. These distributions are taxable events. Distributions made to shareholders should generally be treated as received in exchange for shares and will therefore generally give rise to a capital gain or loss depending on a shareholder’s tax basis. Shareholders should contact their tax advisor to discuss the income tax consequences of the liquidation. As calculated on the Liquidation Date, each Fund’s net asset value will reflect the costs of closing each Fund, if any. Once the distributions are complete, the Funds will terminate. Proceeds of the liquidation will be sent to shareholders promptly after the Liquidation Date.
For additional information, please call 1-833-333-9383.
Please retain this Supplement with your Summary Prospectuses, Prospectus, and SAI for future reference.

As one digs a little, it just keeps getting better.
It seems that the 10% performance fee used to be 11%:
https://prdistribution.com/news/tbo-capital-announces-reduction-of-performance-fees-for-all-balances-2.html
The application form lets you send in money and lets you make daily withdrawals. That's an open end fund. But the Terms and Conditions page says that this is a "closed ended [sic] mutual fund".
How many decades of industry experience does it take to differentiate between an open end fund and a closed "ended" fund?
The page goes on to say that "It offers monthly dividends to investors instead of growth option i.e. increase in NAV (share) price."
This begs the question: is it selling shares of its underlying holdings every month and distributing proceeds to keep its NAV from growing?
I think I'll stop now. This is like shooting fish in a barrel. I'll leave with a couple of questions based on this excerpt:

Outperformed 95% of peers over the last six years with less risk.
...
Long-tenured advisors of three PhDs and one MD in internal medicine

What are the 5% of health care fund peers who have made more than 50% annualized over the last six years? Or is this "outperforming 95% of peers" just a made up figure to make it seems that the 50% returns reported are not equally fictitious?
M* premium screener returns no funds of any type with 50% returns over the past five years.
Stringing together the best performing health care fund in each of the last six calendar years, e.g. FSMEX (8.68% in 2016), ETIHX (45.83% in 2017) and so on, one achieves only a 36% annualized return. All actual health care funds returned less than my cherry-picked combo.
Who are the PhDs and MD? TBO Capital names only four principals, and none of them hold any sort of doctorate degree according to their Linked In profiles.

Bengen has been in the press quite a bit lately, with still other values for the "safe" rate: https://www.marketwatch.com/story/why-retiring-this-year-could-be-a-worst-case-scenario-11655488295?mod=brett-arends.
If of interest, the Trinity study is another in this vein (they used a broader mix of asset classes, but also found the 1960s to be the most perilous point). The wikipedia article links to some follow on research: https://en.wikipedia.org/wiki/Trinity_study

"His original paper was based on just two asset classes, intermediate-term Treasury bonds and large-cap stocks. He has since concluded that by adding a third asset class, small-cap stocks, investors could safely withdraw as much as 4.5% annually."
(Jan of last year.)
from
https://www.barrons.com/articles/the-originator-of-the-4-retirement-rule-thinks-its-off-the-mark-he-says-it-now-could-be-up-to-4-5-51611410402