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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
Not sure if the market has reached the bottom. Certainly don't want confirmations biases from pundits. Several things to think about:
1. What will the earnings look like in the upcoming reporting season? Better or not?
2. Has inflation peaked a…
Here is NB mutual fund, presumably with front-load waived and being available in major brokerages.
https://morningstar.com/funds/xnas/nrbax/portfolio
It would be interesting to see how much lower the ER will be. This OEF is at 1.10%.
This M* article explains more on commodity strategy funds. TIPS are often used as collateral for investing in future contracts (derivatives).
Strategy design heavily influences performance, too. Most commodity strategies aim to closely track a sp…
Sometime doing ok is good enough for me in this environment. This year many international funds are down 20+ % and VWILX is down over 30%. The 2008's drawdown has taught me that it is much easier to stay invested in conservative funds and they tend…
I too have invested in VWILX for awhile when growth stocks were in favor. When long time Baillie Gifford manager, James Anderson announced his retirement, I rotated gradually to value-oriented VG Global Wellington, VGWAX, as part of risk reduction. …
You have lots of patience. I used both Chrome and Safari browsers but not successful. Tried to clear the cache in history and several reboots, no luck. I was, however, able to place the order at Fidelity.
Thank you for all your feedback. No longer maturity fixed income vehicles for sure. I am looking at the shorter-end of treasury or CD ladder - a bit more yield than money market. Since they will be for our tax-deferred accounts, tax-exempt advantage…
Thank you for your patience in your explanation. Where can I find the real yield at auction if the secondary market YTM is different from the real yield?
I place an order with Fidelity easily this morning. Trying the same transaction with Vanguard…
I notice that this morning on Bloomberg that 5-year TIPS yield is at 0.45% and the coupon (rate) at 0.13% (round off from 0.125%).
https://bloomberg.com/markets/rates-bonds/government-bonds/us
In addition, at Fidelity, the same 5-yr TIPS stated t…
It is more of a question of when rather than if a recession will happen. The probability has been ratcheted upward since the beginning of this year. Next is to watch for consumer spending (70% of the economy), layoff and upcoming earnings.
The n…
Learned my 2008 lesson and hold NO risky debt this year.
France and former ambassador, Henry Kissinger, want Ukraine to negotiate a deal; basically give up part of eastern region. Ukraine refused as long they get arm support from the west.
On th…
This year USD has been strong against many currencies. Also flight to safety I stress times also account for that. Learned that lesson from 2008 - EM debts fall like equity! In addition, those EM debts with sizable Russian exposure are added to th…
5 year TIPS auction is coming next week as @yogibb mentioned in earlier post. Here is more info from TIPWatch.
https://tipswatch.com/2022/06/14/attention-investors-tips-are-now-a-viable-attractive-alternative-to-i-bonds/#comments
I am planning to…
@hank, think there are more downside coming with several more rate hikes in 2022. Higher rates put pressure on stocks, especially tech stocks as shown in NASDAQ. This stock reversal reflects recession fear.
Better to focus on I bonds, individual TI…
There may be a concern of aggressive rate hike only hasten a recession. Seeing layoff now in some mortgage industry. When this spreads to the broader workforce in the future, that can spell problem.
S&P500 is up 1.3% on Wednesday morning. Will see later what % the rate hike is. Many traders are leaning toward 75 bps.
Wonder if the rate hike will improve the already bearish investor sentiment?
CDs are attractive relative to money market. The 18-month ladder that @Tarwheel suggested is near the sweet spot. When the rates go higher later this year (several more rate hikes are anticipated), start a second CD-ladder. Will check out our local…
Buying CD ladder makes sense as partial replacement of money market in the cash bucket. The shorter end looks attractive. After the June rate hike, the CD rates will likely to increase. Recalled that CDs were paying double digits back in the 70’s,…
Thanks for the Stockcharts plots that are helpful to see the differences between VTIP and TIP.
One can buy individual TIPS from their brokerages. New issues are available based on the auction schedule. Here is more information from Fidelity.
You…
That decision came from CDC.
The official said the Centers for Disease Control and Prevention had determined the requirement was no longer needed.
Airlines dropped their face mask requirement due to violent customers.
In fall 2019 when COVID s…
Giruox has been a master in using bond & cash positions to counteract his equity risk. His goal is to provide equity-like return while maintain below market risk over a 5 years period.
Krane strategy seems to be to throw stuff at the wall and see what sticks.
It appears Krane is all about asset gathering. That is not a compelling and winning strategy.
How many 50 bps rate hike depends on the PCE number that the Fed is tracking. The 2% target may need to shift upward. The root cause of this inflation is more complex than that of the 70’s. Today we are facing supply chain disruption, war, wages,…
Thanks @Crash. He is not happy with Amazon on several fronts. Retail sale and cloud service are flat. Hard to justify the high valuation going forward. Now it is at 3.6%.
The stock allocation in the fund is at 64%, a bit lower than the past w…
The news is widely reported. Try this.
https://wraltechwire.com/2022/06/07/robinhood-other-trading-apps-might-get-bad-news-soon-as-sec-may-change-rules/
Beware that ZH is Russian-tilted site. Many old posters here avoid it.
That is NRA's talking point. Teachers are already under-paid. Now they want them to take on additional life and death risk as armed teachers. That is absolutely nuts!
The other option is put minimum into tsp 6% (not 17 18%) and transfer all new incomes into private ira
Not sure what private IRA you are referring to. Think you need to look at the actual $ amount allow in 401(k) contribution, not % of your salar…
