Search found 373 matches

by Morse Code
Thu Mar 21, 2024 9:42 pm
Forum: Personal Consumer Issues
Topic: Contractors and construction costs
Replies: 15
Views: 3197

Re: Contractors and construction costs

I’m a heavy DIYer. I’ve seen materials costs come down a good bit. Lumber was insane. April 2020 4x8 sheet of osb was $12. It peaked around $45 for me and is now around $15 again. 2x4 $3 down from around 2x that. The problem seems to me largely labor. I saw a guy on Facebook today Who wanted a set of stairs installed on his deck and most people thought it was a two to $3000 job for a professional (I agree) and he got three quotes with lowest at $7500. Seems to me the trades are squeezing everything they can out of desperate people in a supply limited labor market. I don’t blame them, but my DIY skills have never paid off so well: I finished a nice room in my basement recently for $1500 in materials only. I’m in western ny and bought a new ...
by Morse Code
Tue Mar 19, 2024 10:03 am
Forum: Personal Finance (Not Investing)
Topic: Did you use Real Estate to build wealth?
Replies: 72
Views: 9351

Re: Did you use Real Estate to build wealth?

The value of our real estate is a substantial percentage of our net worth. We paid it off by building a house, living in it about ten years, selling, building another to live in for about ten years, selling, and now we're building a third and final house with cash. When I say "building", I mean we were our own general contractor and did much of the finish work ourselves. I wouldn't recommend it to others unless they know they have the right skills.

I don't really like having such a large asset that only pays me imputed rent, but no house payment is pretty nice as we approach retirement.
by Morse Code
Tue Mar 19, 2024 7:14 am
Forum: Investing - Theory, News & General
Topic: Genius of the Financial Industry
Replies: 44
Views: 3034

Re: Genius of the Financial Industry

z3r0c00l wrote: Tue Mar 19, 2024 6:39 am
rickyfris wrote: Tue Mar 19, 2024 4:19 am buddy wait till you learn about taxes...
Right, because they just pay for the Army, Navy, Air Force, highways, power lines, clean drinking water, social security, NIH, police, justice system, prisons, NASA, free public schooling, inexpensive state schools, national parks, local parks and waterways, bridges, tunnels, dams, reservoirs, libraries, roads... don't get much back there. :oops:...
If only they stopped there...
by Morse Code
Wed Mar 13, 2024 9:34 pm
Forum: Investing - Theory, News & General
Topic: Where does your [investing] inspiration come from?
Replies: 31
Views: 3115

Re: Where does your inspiration come from?

When I read Malkiel's Random Walk when I was about thirty, it resonated so much, it changed my life forever. There have been a few others like Millionaire Next Door, Why We Get Fat, and How to Think Like a Roman Emperor.
by Morse Code
Tue Mar 12, 2024 2:29 pm
Forum: Investing - Theory, News & General
Topic: Taxable accounts: VTI vs AVUS (VT vs AVGV etc)
Replies: 26
Views: 5951

Re: Taxable accounts: VTI vs AVUS (VT vs AVGV etc)

Split VT into VTI / VXUS for the foreign tax credit and just let it float in tangent with VT's composition or tilt it however you see fit. You'll thank yourself later. AVGV is ok but it's an all value fund and you'll be stuck with whatever composition it decides for you. I guess that kind of gets to the heart of my question. Must I split equities into two funds for best tax efficiency? I really prefer a single fund, but not at a significant cost. Because AVGV is a fund of funds, you get the foreign tax credit. Thank you. So AVGV would actually be more tax efficient than VT because VT is not a fund of funds? How does AVGV compare to a combination of VTI/VXUS from a tax standpoint? Probably not because it has higher yields. You'd want to loo...
by Morse Code
Tue Mar 12, 2024 1:49 pm
Forum: Investing - Theory, News & General
Topic: Taxable accounts: VTI vs AVUS (VT vs AVGV etc)
Replies: 26
Views: 5951

Re: Taxable accounts: VTI vs AVUS (VT vs AVGV etc)

I'm sitting on the proceeds from the sale of a house in my brokerage account. It's currently all in a money market fund, but I would like to purchase equities with a portion of it. I've never owned equity funds in a taxable account and, for some reason, I'm a little hesitant about it. I think it's the perceived tax complexity that's giving me pause, which may be a little irrational. I would prefer a single fund that holds both domestic and int'l, so I'm considering either VT or AVGV. My simple question is, are both of these funds considered appropriate in a taxable account? I'm pretty sure the answer is yes, but I'm just making sure before I act. Split VT into VTI / VXUS for the foreign tax credit and just let it float in tangent with VT's...
by Morse Code
Tue Mar 12, 2024 9:20 am
Forum: Investing - Theory, News & General
Topic: Taxable accounts: VTI vs AVUS (VT vs AVGV etc)
Replies: 26
Views: 5951

Re: Taxable accounts: VTI vs AVUS (VT vs AVGV etc)

I'm sitting on the proceeds from the sale of a house in my brokerage account. It's currently all in a money market fund, but I would like to purchase equities with a portion of it. I've never owned equity funds in a taxable account and, for some reason, I'm a little hesitant about it. I think it's the perceived tax complexity that's giving me pause, which may be a little irrational. I would prefer a single fund that holds both domestic and int'l, so I'm considering either VT or AVGV. My simple question is, are both of these funds considered appropriate in a taxable account? I'm pretty sure the answer is yes, but I'm just making sure before I act. Split VT into VTI / VXUS for the foreign tax credit and just let it float in tangent with VT's...
by Morse Code
Tue Mar 12, 2024 9:09 am
Forum: Investing - Theory, News & General
Topic: Taxable accounts: VTI vs AVUS (VT vs AVGV etc)
Replies: 26
Views: 5951

Re: Taxable accounts: VTI vs AVUS (VT vs AVGV etc)

I'm sitting on the proceeds from the sale of a house in my brokerage account. It's currently all in a money market fund, but I would like to purchase equities with a portion of it. I've never owned equity funds in a taxable account and, for some reason, I'm a little hesitant about it. I think it's the perceived tax complexity that's giving me pause, which may be a little irrational.

I would prefer a single fund that holds both domestic and int'l, so I'm considering either VT or AVGV. My simple question is, are both of these funds considered appropriate in a taxable account? I'm pretty sure the answer is yes, but I'm just making sure before I act.
by Morse Code
Thu Mar 07, 2024 9:08 pm
Forum: Personal Consumer Issues
Topic: Alaska trip without taking a cruise - help
Replies: 53
Views: 4879

Re: Alaska trip without taking a cruise - help

When I go back to Alaska, I will spend all my time on the Kenai Peninsula. I will get an Air BNB and take day trips to all the wonderful scenic trails.
by Morse Code
Mon Mar 04, 2024 8:18 pm
Forum: Personal Consumer Issues
Topic: sauna or hot tub, which to get and why?
Replies: 52
Views: 4854

Re: sauna or hot tub, which to get and why?

I have built saunas in three different homes I've owned. I believe it improves my sleep significantly among other benefits.

I do like to soak in a hot tub, but prefer a garden tub so I can just drain the water each time.
by Morse Code
Wed Feb 21, 2024 7:57 pm
Forum: Personal Finance (Not Investing)
Topic: Michigan ACA Silver near FPL; Vision and Dental
Replies: 8
Views: 897

Re: Michigan ACA Silver near FPL; Vision and Dental

Following. Can't answer your questions, but I live close to you and may be looking at ACA in a year or two, so I'm interested in the discussion.
by Morse Code
Tue Feb 20, 2024 7:14 pm
Forum: Personal Consumer Issues
Topic: Best < $100 purchase?
Replies: 299
Views: 56483

Re: Best < $100 purchase?

Probably a $99 DeWalt drill/driver. Use it for nearly every project.
by Morse Code
Fri Feb 16, 2024 6:00 pm
Forum: Personal Investments
Topic: Small Cap Value - US/International
Replies: 25
Views: 2433

Re: Small Cap Value - US/International

Do a search for the "Larry Portfolio". I think you will find an equity recommendation of 50% SCV, 30% Int'l SCV, and 20% EM Value.
by Morse Code
Wed Feb 14, 2024 8:47 am
Forum: Personal Investments
Topic: What I just learned from the BH's - What about you?
Replies: 25
Views: 2909

Re: What I just learned from the BH's - What about you?

Morse Code wrote: Wed Feb 14, 2024 8:24 am
sgoak wrote: Tue Feb 13, 2024 8:23 pm ...For an unexpected expense, just sell the stock ETF in taxable and use the proceeds for the expense.
Just rebuy a similar but not identical stock ETF in the IRA for the same amount, so the portfolio stock ETF is not really being reduced...
Why couldn't you buy the exact ETF in your IRA? Do wash sale rules apply to all your accounts collectively?
Nevermind. I actually read the Wiki on Wash Sale rules. My bad. The above is something I learned today. :)
by Morse Code
Wed Feb 14, 2024 8:24 am
Forum: Personal Investments
Topic: What I just learned from the BH's - What about you?
Replies: 25
Views: 2909

Re: What I just learned from the BH's - What about you?

sgoak wrote: Tue Feb 13, 2024 8:23 pm ...For an unexpected expense, just sell the stock ETF in taxable and use the proceeds for the expense.
Just rebuy a similar but not identical stock ETF in the IRA for the same amount, so the portfolio stock ETF is not really being reduced...
Why couldn't you buy the exact ETF in your IRA? Do wash sale rules apply to all your accounts collectively?
by Morse Code
Wed Feb 14, 2024 8:01 am
Forum: Personal Investments
Topic: Basic Question About Taxable Investing in Equities
Replies: 11
Views: 765

Re: Basic Question About Taxable Investing in Equities

Each of the 10 "tax lots" will have a different cost basis. The brokerage keeps up with this for you, but...you have choices about how you choose to see the basis and how you sell from your investment. If you choose "average cost basis", the account will assign the average basis to each share in each tax lot. If you sell using average cost basis, the basis used for each share is the average. If you choose "specific ID" for your cost basis, each tax lot will retain its actual basis. You'll have 10 different lots with 10 different cost basis amounts. Specific ID seems to be the most common choice here because people might want to sell or distribute shares that have the highest or the lowest cost basis. Examples....
by Morse Code
Wed Feb 14, 2024 7:42 am
Forum: Personal Investments
Topic: Basic Question About Taxable Investing in Equities
Replies: 11
Views: 765

Re: Basic Question About Taxable Investing in Equities

jebmke wrote: Wed Feb 14, 2024 7:32 am The brokers will track this for you.
So as I buy and sell, I will just get an annual tax document from my broker that lists total long and short term cap gains, ordinary dividends, interest, etc? Nothing to track on my end?
by Morse Code
Wed Feb 14, 2024 7:32 am
Forum: Personal Investments
Topic: Basic Question About Taxable Investing in Equities
Replies: 11
Views: 765

Basic Question About Taxable Investing in Equities

In taxable accounts, I have only held money market funds for emergencies and short term saving. Due to the proceeds from the sale of a house, I'm now in a position to invest in equities in a taxable brokerage account, so I'm trying to understand the tax considerations.

If I purchase shares in a stock ETF for $10,000, ten times, for a total of $100,000, will it complicate my future taxes a lot more than if I just purchase $100,000 in one lump sum? In other words, are fewer transactions better than more, from a tax complexity standpoint, or is it easily tracked so "six of one, half dozen of the other"?
by Morse Code
Sun Feb 11, 2024 9:01 am
Forum: Investing - Theory, News & General
Topic: Avantis Core Fixed Income ETF (AVIG)
Replies: 19
Views: 2029

Re: Avantis Core Fixed Income ETF (AVIG)

nedsaid wrote: Sat Feb 10, 2024 11:40 am There is a similar thread than ran two years ago that discusses these issues. The original poster in that thread was discussing making a DFA or an Avantis Fixed Income fund as the core of their fixed income portion of their portfolio. Vineviz, NiceUnparticularman, Taylor Larimore, and myself weighed in here. You might find it interesting.

viewtopic.php?t=391133
Thank you! Exactly the kind of discussion I was looking for.
by Morse Code
Sat Feb 10, 2024 6:03 am
Forum: Investing - Theory, News & General
Topic: Avantis Core Fixed Income ETF (AVIG)
Replies: 19
Views: 2029

Re: Avantis Core Fixed Income ETF (AVIG)

I'm not necessarily interested in active management, but I do want a single bond fund for my fixed income allocation. It seems the prevailing wisdom on the forum has changed to either a bond ladder or multiple funds to manage average duration. Makes me want to just go all stocks and a money market fund with a few years of expenses in retirement. I don't know if the prevailing wisdom has changed or will change, the prevailing wisdom is based on Jack Bogle's ideas on investing which has stood the test of time. I have seen enough of multiple portfolios over multiple periods perform and react to different scenarios, and at the end a lot of what we discuss has not made a huge difference. It is always very very hard to improve substantially over...
by Morse Code
Fri Feb 09, 2024 1:51 pm
Forum: Investing - Theory, News & General
Topic: Avantis Core Fixed Income ETF (AVIG)
Replies: 19
Views: 2029

Re: Avantis Core Fixed Income ETF (AVIG)

nisiprius wrote: Fri Feb 09, 2024 1:32 pm
Morse Code wrote: Fri Feb 09, 2024 12:35 pm Thanks for the responses.

What do you guys think about using something like Vanguard's Target Retirement Income Fund as my sole fixed income component? It would give me US bonds, Int'l bonds, and short term TIPS in one package.
To point out the obvious, it also has 20% stocks, but I assume you knew that.

I think it's one of many perfectly reasonable choices.
Yes. Actually 30% stocks, so I would have to account for that. I just wonder if getting three bond funds in a package is worth the .08 ER compared to cheaper pure bond funds.
by Morse Code
Fri Feb 09, 2024 12:35 pm
Forum: Investing - Theory, News & General
Topic: Avantis Core Fixed Income ETF (AVIG)
Replies: 19
Views: 2029

Re: Avantis Core Fixed Income ETF (AVIG)

Thanks for the responses.

What do you guys think about using something like Vanguard's Target Retirement Income Fund as my sole fixed income component? It would give me US bonds, Int'l bonds, and short term TIPS in one package.
by Morse Code
Fri Feb 09, 2024 8:59 am
Forum: Investing - Theory, News & General
Topic: Avantis Core Fixed Income ETF (AVIG)
Replies: 19
Views: 2029

Re: Avantis Core Fixed Income ETF (AVIG)

My advice is not to overthink bond funds (at least normal "core" bond funds--intermediate-term, investment grade). You can do your own backtesting, but what I've found is that in any portfolio with any "normal" allocation to stocks, the stock-bond ratio is hugely important, and changes would have made a big difference. The exact composition of the stocks would have made much less difference. The exact composition of bonds would have made even less. Don't think that all investing decisions need equal consideration just because they are decisions, and in all investigations look at numeric data and not just peoples' words. Focus on "how much does this matter," not just on "which is better." If you're &q...
by Morse Code
Fri Feb 09, 2024 6:12 am
Forum: Investing - Theory, News & General
Topic: Avantis Core Fixed Income ETF (AVIG)
Replies: 19
Views: 2029

Re: Avantis Core Fixed Income ETF (AVIG)

FYI Vanguard now has two active bond etfs, VCRB and VPLS. Probably worth considering too. I'm not necessarily interested in active management, but I do want a single bond fund for my fixed income allocation. It seems the prevailing wisdom on the forum has changed to either a bond ladder or multiple funds to manage average duration. Makes me want to just go all stocks and a money market fund with a few years of expenses in retirement. Decide what average duration suits you and use a Treasury index fund that is closest. That was my original plan, to use intermediate term Treasury, but this forum has me overthinking things I think, implying that a single intermediate term fund is suboptimal. I really value simplicity for my wife's sake after ...
by Morse Code
Fri Feb 09, 2024 5:57 am
Forum: Investing - Theory, News & General
Topic: Avantis Core Fixed Income ETF (AVIG)
Replies: 19
Views: 2029

Re: Avantis Core Fixed Income ETF (AVIG)

UsualLine wrote: Thu Feb 08, 2024 9:08 pm FYI Vanguard now has two active bond etfs, VCRB and VPLS. Probably worth considering too.
I'm not necessarily interested in active management, but I do want a single bond fund for my fixed income allocation. It seems the prevailing wisdom on the forum has changed to either a bond ladder or multiple funds to manage average duration. Makes me want to just go all stocks and a money market fund with a few years of expenses in retirement.
by Morse Code
Thu Feb 08, 2024 2:40 pm
Forum: Investing - Theory, News & General
Topic: Avantis Core Fixed Income ETF (AVIG)
Replies: 19
Views: 2029

Avantis Core Fixed Income ETF (AVIG)

The increased interest in fixed income investments on the forum coincides with my need to start paying more attention to fixed income as I approach retirement, so I'm exploring all my options, but I'm a little overwhelmed with all the possibilities. Does anyone have opinions or analysis to offer on this ETF from Avantis? I think of Avantis as an equity play. Do they have something to offer on the fixed income side that justifies the .15 ER and would help keep things simple for me?
by Morse Code
Mon Feb 05, 2024 6:50 pm
Forum: Investing - Theory, News & General
Topic: Lifecycle Investing Challened - Scott Cederburg
Replies: 83
Views: 8023

Re: Lifecycle Investing Challened - Scott Cederburg

Ok in that case I return to my confusion about how your graph tells us: A) that there is a causal relationship between relative equity valuations and investor asset allocation preference (a high bar of proof) as opposed to B) the inevitable and mathematically necessary correlative relationship between relative equity valuations and overall asset allocation across all investors I simply stated that " investor behavior is both irrational and predictable", and that "In other words, there is a strong positive correlation between stock prices and investor allocation to stocks -- investors buy more as prices rise, and vice versa." I think 0.94 since 1975 is a fairly strong positive correlation. Buying on the way up and sellin...
by Morse Code
Wed Jan 31, 2024 5:26 pm
Forum: Personal Consumer Issues
Topic: Suggestions on where to move?
Replies: 135
Views: 10935

Re: Suggestions on where to move?

Gecko10x wrote: Wed Jan 31, 2024 3:44 pm
Isabelle77 wrote: Wed Jan 31, 2024 1:17 pm
Sax32 wrote: Wed Jan 31, 2024 1:16 pm
Gecko10x wrote: Wed Jan 31, 2024 11:41 am If you don't want hot & humid summers, you could go further north.
Maybe a medium to large city in Wisconsin or Michigan?
Ithaca, NY is nice but might not be big enough for you... maybe Syracuse, although I've not been there.
Lexington, KY seemed nice the short times I was there.
I'm from Minnesota and Wisconsin and Michigan are extremely cold in the winter. I myself cannot wait to get a secondary home in either Texas, Florida or Arizona when I'm ready. I hate winters and need an escape. The Spring, Summer and Fall are nice.
Yes, we considered the Grand Rapids area for a minute but it's too cold.
...it's all too damn hot & humid in the summer...
Agree. I would never live very far from the 45th parallel north.
by Morse Code
Tue Jan 23, 2024 8:28 am
Forum: Personal Consumer Issues
Topic: What are some of the things that improved YOUR quality of life?
Replies: 254
Views: 42486

Re: What are some of the things that improved YOUR quality of life?

Doing things ourselves like house cleaning, yardwork, cooking, maintenance, home improvements...
by Morse Code
Wed Jan 03, 2024 8:39 pm
Forum: Investing - Theory, News & General
Topic: Avantis mix you prefer
Replies: 15
Views: 2374

Re: Avantis mix you prefer

17outs wrote: Wed Jan 03, 2024 2:57 pm Question to those interested: If you wanted to make a preferred 2 fund equity portfolio using Avantis funds which would you use?

I am curious on what others like in this area. I was looking at AVGE/AVGV in 50/50 but maybe even a 40/60. The latter Xray shows:

20 16 10
13 10 4
13 11 4

US 65 exUS 35

This is for long term money (30 years)

AVGE/AVUV 65/35 xray shows

12 12 10
8 8 3
24 18 6

US 80 exUS 20

Thoughts on these? What do you like better for a total portfolio with a good scv tilt while staying globally diversified?
I don't see the point in owning both AVGE and AVGV. I like AVGV all by itself.
by Morse Code
Sat Dec 23, 2023 7:49 am
Forum: Investing - Theory, News & General
Topic: Replace Bonds With International Stocks?
Replies: 210
Views: 26022

Re: Replace Bonds With International Stocks?

A retiree in the year 2000 did better with bonds in their portfolio than being in 100% global equity mix. I do remember that one we had folks in our office 55-64ish age range getting ulcers, panicking etc due to being nearly or actually all equities at that point. I work in tech and I remember all the dancing during the irrational exuberance phase that quickly turned into wailing and tears. Any analysis of investing strategy that does not strongly weigh human behavior should be viewed with extreme caution IMO. As they say in the RR podcast, a person should "turn off the human brain and behave like data". Some folks are better than others at this (different thresholds for panic selling). You mean behave like past data and fool you...
by Morse Code
Thu Dec 21, 2023 4:54 pm
Forum: Investing - Theory, News & General
Topic: The Illusion of the Small Cap premium
Replies: 121
Views: 17567

Re: The Illusion of the Small Cap premium

White Coat Investor wrote: Wed Dec 20, 2023 3:57 pm
Morse Code wrote: Sat Dec 16, 2023 12:49 pm So small outperformed large, but it was an illusion?
I think the article is saying that you could get the same increased return with midcaps.
But the definition of "small cap premium" is small minus large. Poorly chosen title, at the very least.
by Morse Code
Thu Dec 21, 2023 4:46 pm
Forum: Personal Finance (Not Investing)
Topic: how much do you think you need to retire?
Replies: 294
Views: 62129

Re: how much do you think you need to retire?

InNameOnly wrote: Thu Dec 21, 2023 6:35 am Turns out less than I thought. Retired in 2019 with our paid off home on 40 acres in the woods. Life is like a permanent holiday. Get up, hike with the dog, return home and fix a meal, read till I feel like a nap. Drive to town once a week for groceries. Life is good.

Been retired 5 years with what I thought was 25x and portfolio is now up 22%. Been doing Roth conversions each year. Again, life is good. Keep it simple.

:sharebeer
You're speaking my language. :sharebeer
by Morse Code
Mon Dec 18, 2023 10:07 am
Forum: Investing - Theory, News & General
Topic: Paul Merriman -SCV- 1930-2019 Evidence - Patience Leads to Better Returns
Replies: 161
Views: 22235

Re: Paul Merriman -SCV- 1930-2019 Evidence - Patience Leads to Better Returns

rkhusky wrote: Mon Dec 18, 2023 6:49 am
Morse Code wrote: Mon Dec 18, 2023 4:40 am
TipsQuestions wrote: Sun Dec 17, 2023 2:48 pm Any SCV data more than 20-30 years old doesn't reflect real world returns, and should be discounted, if not discarded.
So if a tree falls in the woods, but there is no one there to hear it, it didn't make a sound?
Depends on how you define “a sound”.
I guess you could say the same thing about "real world returns".
by Morse Code
Mon Dec 18, 2023 4:45 am
Forum: Investing - Theory, News & General
Topic: The Illusion of the Small Cap premium
Replies: 121
Views: 17567

Re: The Illusion of the Small Cap premium

the_wiki wrote: Sun Dec 17, 2023 9:56 am
Morse Code wrote: Sat Dec 16, 2023 12:49 pm So small outperformed large, but it was an illusion?
I think it’s saying mid cap was just as good.
I thought the small cap premium was measured against large; small minus large. It looks like they found a premium in the US, but not across all markets worldwide. I think the title is misleading.
by Morse Code
Mon Dec 18, 2023 4:40 am
Forum: Investing - Theory, News & General
Topic: Paul Merriman -SCV- 1930-2019 Evidence - Patience Leads to Better Returns
Replies: 161
Views: 22235

Re: Paul Merriman -SCV- 1930-2019 Evidence - Patience Leads to Better Returns

TipsQuestions wrote: Sun Dec 17, 2023 2:48 pm Any SCV data more than 20-30 years old doesn't reflect real world returns, and should be discounted, if not discarded.
So if a tree falls in the woods, but there is no one there to hear it, it didn't make a sound?
by Morse Code
Sat Dec 16, 2023 12:49 pm
Forum: Investing - Theory, News & General
Topic: The Illusion of the Small Cap premium
Replies: 121
Views: 17567

Re: The Illusion of the Small Cap premium

So small outperformed large, but it was an illusion?
by Morse Code
Wed Dec 13, 2023 7:27 am
Forum: Investing - Theory, News & General
Topic: My Case Against Factor Investing
Replies: 93
Views: 19560

Re: My Case Against Factor Investing

"Long periods of underperformance" might be trying on a late retiree. And you can't eat "a form of diversification." But what is under-performing what? The S&P 500 was more likely to under-perform small-cap value (SCV) in each decade, rather than the other way around. [https://www.bogleheads.org/forum/viewtopic.php?t=300811 So Mr. Ferri was incorrect when he used the phrase? ...are willing to pay higher fees, and are capable of suffering through long periods of underperformance.... Rick Ferri did not specify the frequency or likelihood of such underperformance The dataset we have shows that it occurs roughly 20% of the time, similar to the frequency of occurrence for treasuries outperforming the Total Stock Market I...
by Morse Code
Wed Dec 06, 2023 9:50 am
Forum: Investing - Theory, News & General
Topic: Avantis ETF Filing Today
Replies: 106
Views: 19867

Re: Avantis ETF Filing Today

drumboy256 wrote: Wed Dec 06, 2023 9:35 am Oddly enough, I checked AVGV's FoF's and it looks like AVMV (Avantis Mid-cap Value) ETF has become part of the family..... Carry on! :sharebeer
AVGV and chill... :beer
by Morse Code
Wed Nov 08, 2023 10:20 am
Forum: Personal Investments
Topic: Permission to Do Something Scary (to me)
Replies: 57
Views: 6777

Re: Permission to Do Something Scary (to me)

Many thanks for all the thoughtful replies. Rather than address every comment, I'll give a few general responses: Some of you seem to think I'm suggesting retiring on 18x. I fully intend to keep making enough income so we don't have to dip into savings, whether I leave my current job or not. I don't really see the need to subject myself to a full portfolio review. We have about $1.1M with a newly built house worth $800-900K, two new vehicles, and no debt. My current employer is very unstable. Chances are good the company will either be bought-out, or go out of business in the next 2-3 years. After reading the many replies, I think the obvious thing for me to do is start the habitat business as a "side-hustle" on evenings and Satur...
by Morse Code
Tue Nov 07, 2023 9:11 pm
Forum: Personal Investments
Topic: Permission to Do Something Scary (to me)
Replies: 57
Views: 6777

Re: Permission to Do Something Scary (to me)

Instead I'm contemplating quitting my six-figure salary corporate job and taking a lower paying job or starting a small business doing something I enjoy. Morse Code, " Instead I'm contemplating quitting my six-figure salary corporate job and taking a lower paying job " Why do you think the lower paying job is less stressful and easier? Normally, they are not. "starting a small business doing something I enjoy. " How much money can you afford to lose while doing it? KlangFool I never said my job is stressful or hard. I've been doing it for almost thirty years and it gives me no satisfaction, just a paycheck. The type of business I'd like to start has very little start up cost or overhead. The loses would come from the op...
by Morse Code
Tue Nov 07, 2023 8:42 pm
Forum: Personal Investments
Topic: Permission to Do Something Scary (to me)
Replies: 57
Views: 6777

Re: Permission to Do Something Scary (to me)

m@ver1ck wrote: Tue Nov 07, 2023 8:31 pm There’s also this other calculator - that plots probably of death at an age vs probably of money lasting you.
It’s an eye opener.

Turns out the probability of my dying at certain times is 98% and change of money running out 5%..

Leading me to consider tapping out from the workforce earlier.
I've seen that before. It does provide a different perspective.
by Morse Code
Tue Nov 07, 2023 8:41 pm
Forum: Personal Investments
Topic: Permission to Do Something Scary (to me)
Replies: 57
Views: 6777

Re: Permission to Do Something Scary (to me)

Beensabu wrote: Tue Nov 07, 2023 8:03 pm
Morse Code wrote: Tue Nov 07, 2023 6:36 pm The business would be a different field and would be providing wildlife habitat services in a rural area. I already have knowledge and experience with this. Leads would be provided by the local Natural Resources Conservation Service. They told me they have people ask for this kind of help frequently to implement practices required by various government programs.
That is really cool. You'd definitely be filling a need.
This would be living my dream if I could pull it off.
by Morse Code
Tue Nov 07, 2023 6:37 pm
Forum: Personal Investments
Topic: Permission to Do Something Scary (to me)
Replies: 57
Views: 6777

Re: Permission to Do Something Scary (to me)

happyisland wrote: Tue Nov 07, 2023 6:17 pm I guess I'll go against the grain here and say I think you should take the pay cut and the increase in life enjoyment. I'd rather have to tighten my belt and be happy than be financially more secure but miserable. I followed my own advice 20 years ago, giving up a lucrative career that was making me unhappy for an entrepreneurial venture with my best friend. I would undoubtedly have more money in the bank if I had stuck it out for the last 2 decades, but I am doing fine money-wise, and far happier than I think I would have been otherwise.
:beer
by Morse Code
Tue Nov 07, 2023 6:36 pm
Forum: Personal Investments
Topic: Permission to Do Something Scary (to me)
Replies: 57
Views: 6777

Re: Permission to Do Something Scary (to me)

Instead I'm contemplating quitting my six-figure salary corporate job and taking a lower paying job or starting a small business doing something I enjoy. It would help to qualify this some more. You could be talking about leaving a job which pays $300K to take a $20K a year job or leaving a job that pays $125K to take a job that pays $75K. Those are very different situations. It also was not clear if you were talking about taking a lower paying job in the same general field or starting over in some new field altogether. I don't have the statistics handy but a lot of small businesses fail and are often high pressure for the owners so I would be cautious about that. It would also be good to see what sort of jobs are available in your own fie...
by Morse Code
Tue Nov 07, 2023 5:54 pm
Forum: Personal Investments
Topic: Permission to Do Something Scary (to me)
Replies: 57
Views: 6777

Re: Permission to Do Something Scary (to me)

AllMostThere wrote: Tue Nov 07, 2023 3:16 pm You really need to have a good handle on your expenses, now and in the future. Health Insurance is very expensive, so have a plan how to fund. Retiree insurance, ACA or other? Additionally, I would use additional modeling tools. Take a look a FireCalc, it's pretty good. Nothing wrong with downshifting provided you have a reliable plan and a fully aligned partner. Good luck. Come back here often. :beer

https://firecalc.com/
:beer
by Morse Code
Tue Nov 07, 2023 5:44 pm
Forum: Personal Investments
Topic: Permission to Do Something Scary (to me)
Replies: 57
Views: 6777

Re: Permission to Do Something Scary (to me)

I would slog it out to ensure a rock-solid retirement but that’s just me. I like the feeling of security. I agree with this advice. Here are three potential strikes against your plan. Given that we don't have a complete picture of your finances, these may be more/less relevant to you, but are worth considering. 1. I retired at age 54 but had many more years of expenses covered, so consider it less risky than what you are proposing. 18x is a great start, to be sure. I would not have retired with only 18x. 2. Another challenge with your proposal is health insurance. I have super affordable retiree health insurance (thanks to my spouse) but there are many, many posts on these forums regarding very high health care expenses and game playing to...
by Morse Code
Tue Nov 07, 2023 3:31 pm
Forum: Personal Investments
Topic: Permission to Do Something Scary (to me)
Replies: 57
Views: 6777

Re: Permission to Do Something Scary (to me)

Beensabu wrote: Tue Nov 07, 2023 3:25 pm You could stick with the job (and the salary) for at least a couple more years or until you get laid off. But just take it easy and do all the prep for starting your side business.

Then find a part-time job doing whatever that offers health insurance benefits for part-timers, and spend the rest of the time on your "fun for me" business that you'll have gotten the ball rolling on by then.
I like this thinking, which is probably where this is headed for me.
by Morse Code
Tue Nov 07, 2023 3:24 pm
Forum: Personal Investments
Topic: Permission to Do Something Scary (to me)
Replies: 57
Views: 6777

Re: Permission to Do Something Scary (to me)

greg24 wrote: Tue Nov 07, 2023 3:19 pm It sounds like you are considering making a change just because some tool said it might work out.

Don't do it. Don't consider it. Move on.
With all due respect, I'm considering making a change because I'm unhappy in my current situation and I've finally reached a stage where I can possibly do something about it.