Here's a statement of the obvious: The opinions expressed here are those of the participants, not those of the Mutual Fund Observer. We cannot vouch for the accuracy or appropriateness of any of it, though we do encourage civility and good humor.
Support MFO
Donate through PayPal
Sven
Lynn,
Thank you so much. I am planning on a 3-year ladder since I am a year away from retirement. Lots of spreadsheet work to calculate the income replacement needed. This ladder will create a steady income stream. So thank you for all your help.
I moved back to high quality bond funds this year. Some of which you covered in the SA article. For now, I will stay with agency bonds to the bond ladder. I will pick active managers for corporate bonds.
Sven
REITS have had a nice one-year run-up from a trough hit last autumn. I suspect the rally in bonds has helped, as real estate is highly interest rate sensitive.
@hank, you are right on with the interest rate correlation. Now that Fed is more likely …
Oppenheimer's investors (529 participants) took a sizable loss in their "Core Bond" within a conservative portfolio. Oppenheimer settled out of court and a new administrator, TIAA-CRAF was named afterward
doj.state.or.us/releases/pages/2009/rel1119…
@catch, We have visited and enjoyed a number of Candian cities. To maintain a reasonable real estate market value, there is nothing wrong with some limitations from foreign investment. Vancourer Islands have many American retirees who learned the …
Last time we visited Vancourer, BC, the real estate market value was bid up by mainland Chinese investors. Guess that is a good way to obtain real asset.
After reviewing all available options, we chose Iowa 529 plan that uses a host of Vanguard index funds. The choices are either age-based or individual portfolio. We are very happy with the age-based portfolio and its return for the past 15 years. …
Cost is only one of many criteria to consider. What is more important is what are the underlying index funds and the % allocation are used. I am curious how for-profit companies such as Schwab can offer these products below cost.
Think the Fed learned earlier this year the world reacted poorly with 25 basis points hike in US. This signaled US economy is getting stronger while the rest of world are cutting rates.
I still say there will be one hike this year but not necessa…
Market share of Windows-based cell phones is in single digit, whereas the rest is dominated by Android and Apple's iOS. I learned my lesson with Android phones and moved on from there.
Blackberry once has a sizable market share among the busines…
@catch22, like Mark pointed out - get yourself an iPhone. I had a Samsung phone and within one year I gave that away because it picked out all kind of nasty stuff. Some malware came from Android App Store - how wonderful!
This headache gone awa…
Warren Buffet also recommended broadly diversified index funds for most investors.
I watched Ellis interview and thought it was pretty good. To achieve excess alpha consistently Year after year has been proven challenging and there are few money …
The Boston-based mutual-fund giant, which holds Valeant’s stock in a number of its funds, sharply boosted its holdings in the second quarter
Valeant's stock is taking a beating as their reported earnings being questioned while the company is being i…
The full disclosure is not a requirement, but smaller shops tend to be do a better job. Just because Chris Davis funds disclosed the size of his personal stake in the Davis fund, it doesn't mean I want to invest with them either. The large financi…
It is a good idea for couples to review their finance on quarter basis with respect to their retirement target, kids college fund and others. My father passed away a month ago and there is lots to do even though there is a will in place. We have y…
Not encouraging picture. The more important question is how do they fall behind: (1) inapproapriate asset allocation, (2) sold out in 2007-2008, (3) contribution below the annual limit, or (4) a combination of 1-3.
@Ted, Agree with your assessment that TRP tends to pick solid managers. Vanguard Health Care fund also been successful in transitioning a new manager since Ed Owens retired since 2012. This sector has been trailing S&P index, but over longer …
@MikeM, exactly! Maybe that is the next move in case this approach is not attracting new asset. Fidelity is now offering $ for bringing in new asset.
Nice to know Schwab is offering this. Vanguard offers a hybrid approach with robo and a live …
no more than 0.35%
Fidelity got to be more competitive in light of many robo advisors who much less. What are their unique advantages compared to say Betterment and Wealhfront who charge 0.25% at the asset level above $10K?
Gross's Unconstrained fund is trailing other "unconstrained" funds. The magic is gone, and now he is relating sex on the topic of finance. He made enough money and he can sit on the sideline in cash, whereas many of small investors may not choose …
There is much room to manage the earning number to meet (preferably) exceed street expectation. That is how top level executives get their bonus.
I have been rebalancing lately into cash.
@Old_Joe, That is my exact point. Those who seek income are being forced into riskier bond sectors in order to get higher yields. Other are moving into dividend paying stocks. Both of which carry higher risk profiles, especially in down market. …
@JohnChisum, Like you I am facing the same issues with bonds. Perhaps I am a bit early, I reallocated high yield and emerging market debts to US investment grade bonds, intermediate term. Also I am keeping some in Vanguard Total Bond Index In my 4…
Still early to another entry point. Been trading VDE several times this year for modest gain. Slow global growth is a concern. Exxon Mobil reported poor earning this morning, down over 40% from same period of a year ago.
@Edmond, I agree with your assessment. I review Vanguard's information from time to time, but it is difficult to conceive how a low interest environment can provide reasonable returns on bonds in the future, say risk free instruments such as treasu…
“I think they’re protecting the longer-term interests of their investors,” said Josh Brown, chief executive officer at Ritholtz Wealth Management. “I think it is a fantastic move they are making. Size is negatively correlated with performance.”
The…
Drone investing
Target-date funds are a great financial innovation with the potential to help millions of investors. But if you do set your investments that way, you shouldn’t ever really forget them.
Investors on autopilot may never learn the bas…
We have had saving and checking accounts with BOA. Luckily we found a local federal credit union that can handle majority of our needs. We moved on from BOA almost 20 years ago.
Debt can crush families. While we cannot control what we inherit fr…
This is the product of low yield environment that force those who seek decent income return and not knowing the downside risk. How can one retire relying on CD and treasury?