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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
Reply to @scott: How true! There is almost too much information at one's finger tip that reinforces the tendency of performance chasing , myself included. Over the long term this is not helpful for one to reach his/her long term goals.
Core holdings for over 10-20 years.
YACKX, HAINX, MDISX, FLPSX, LSBRX, VWELX, PRHSX, RNWGX, VINIX
Others I hold for shorter period, while ETFs and several individual stocks are for trading purpose.
Reply to @Art: My only reservation on Fidelity's sector funds is that they are the training ground for new fund managers. Vanguard Health Care, VGHAX and T.Rowe Price Health Care, PRSHX have had stable management team until Jenner moved on. Today,…
Reply to @msf: Thank you for the correction on TDA buying/selling policy. In addition, Vanguard also offer additional purchase for $3 using automatic investing, but two purchases are required. One must speaks with a representative instead doing it…
Reply to @Old_Joe: OSTIX is doing well these days with YTD >4%. It may has less duration risk with short term junk bonds and convertibles, but don't forget the credit risk. However, the default rate is at historical low now, so it may not be as…
Reply to @mrc70: Although Vanguard charges $20 to purchase TF funds (Voyager and Voyager Select accounts), they also charge $20 to sell. In the end it all works out the same comparing to TDA, Fidelity and Schwab. For example, Fidelity charges $75 …
Reply to @Mona: Your friend has some of the best institutional shares without lowest ER that are NOT available to retail investors. The DFA funds are very nice options. If she can manage it herself, there is NO reason to rollover her 401(K).
Reply to @bee: Don't think it is available through USAA brokerage. Am I missing something? Templeton Global bond is available in several share classes.
https://awrd.morningstar.com/SB/USAASB/USAAScreener.asp?module=FVF#
Reply to @VintageFreak: I interpret that as "be careful going forward". Rates will likely be higher several years from now. The 35% bond sleeve will be a drag on the fund's total return. Several weeks ago we witnessed the bond decline due to Fed'…
Interesting comments. As much I like Ms. Gaffney, Eaton Vance Bond fund,institutional share, EVBIX, requires $250K (and $75 transaction fee) while the A share carries 4.75% front load. Not exactly accessible to small investors.
we are looking to invest over the next 5 to 10 years
This is short to intermediate term investment horizon. So be careful when choosing your target asset allocation. If you decide to stay with Vanguard funds only, Wellington (VWEXX), Wellesley Inc…
Reply to @Investor: That's what we have, American New World, class R6, RNWGX, with ER 0.66%. It is a basically an international allocation fund with 1/3 developed market, 1/3 emerging market, and 1/3 international bond. Low volatility and respecta…
Reply to @Investor: R class is typically available in tax-deferred accounts, and it has the lowest expense ratio with sale load. The rest loaded funds are not worthwhile.
to pursue personal interests outside of finance
Wonder what that is? He was the main driving force for the fund's success (not meant to taking anything away from the co-manager Yu Zhang). Not exactly sure how much other distracting management dut…
Reply to @mrc70: Vanguard brokerage has a decent number of fund from other family, even though they are not as many from Fidelity/Schwab. Also there is no fee for purchasing Vanguard ETFs at Vanguard.
Reply to @scott: Wish I have the skill to pick individual REITs. I was approached last year about private equity but decided that was not my cup of tea.
Reply to @Charles: Concur with your observation. Bonds are doing okay up till May and now they are trailing badly. We shifted most of our bonds to balanced/asset allocation and value funds, VWELX, VWINX, and VEIPX. Only one we are keeping is OSIT…
Reply to @johnN: I believe the Japanese trains have left the station several years ago. Oakmark foreign funds have invested heavily in Japan as a backdoor play to Asia's emerging market. Thus far the strategy plays out well.
Recent rise in Japa…
Reply to @MaxBialystock: You hang in there with heat wave. The entire west coast is well over 90-100 F. We have had good connectivity service with Comcast in the Pacific Northwest. If you think this is bad, think about those who get their IT supp…
I would contact Scout shareholder service directly. They should able to provide the current SEC yield. The negative duration is derived from derivatives aiming to protect the portfolio's duration risk in case of rising interest rate.
Sorry, didn't see your post...
For now bonds have been over-sold because of Fed's tapering of $85M monthly bond purchase. The yields have risen quickly in the last few weeks that impact negatively particularly the longer duration funds including FC…
Reply to @MikeM: Clearly the market was ahead of itself while not questioning the consequences of the tapering. One can only hope that end okay but I am not holding my breath. Since spring I raised my cash position close to 20% by reducing mainly …
Reply to @AndyJ: The change came with the addition of the other co-manager. Today Yockey's fund invested much less in financial sector and ARTIX has improved in the last several years.
Good for you. Enjoy.
On the front of Artio's pending sale to Aberdeen, both fixed income and international strategies have underperformed their respective indeces for prolonged periods, and significant outflow contributes to this sale of this on…
Cash may be the king right about now, eh?Reply to @catch22: That is for sure... In the current low interest environment, there is very little opportunity cost for being in cash. At the present there are few place to hid and the summer months will …
