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Thanks. The first paper references Subchapter M (of Subtitle A) of the tax code. This is where the 50% rule, Section II(C)(1)(b)(i) in the second paper, comes from.
Here's the tax code itself: https://www.law.cornell.edu/uscode/text/26/851
W…
If a CEF had 95% invested in one security, it would cease to be a CEF and be in violation of the Investment Company Act. ... In other words, I think this isn't a particularly realistic example of a "constructive return of capital."
It's a simplifyi…
Effective maturity is different from effective duration.
I have issues with the definition above of effective maturity, but it will suffice to demonstrate that effective maturity and effective duration are different.
Consider a single, vanilla,…
If you're opening a new brokerage account anyway in order to automatically buy stocks, there's Robinhood.
https://robinhood.com/us/en/support/articles/recurring-investments/
The disappointment is that one used to be able to start investing in T. Rowe Price funds without having to meet the minimum fund requirement if you used an automatic investment plan (AIP).
Essentially, you agree to let the fund tap your bank account…
I must have blinked. I don't recall Wellington being reopened after it was closed to third parties in 2019:
https://mutualfundobserver.com/discuss/discussion/48728/vanguard-wellington-fund-closed-to-third-party-intermediaries
In recent years, fund…
Does it make sense to compare FLPSX to domestic (not global) equity funds? That's what M* (mid cap value) and Lipper (mid cap core) funds do. Does it make sense for Fidelity to show the fund's performance in a poorer light by using a domestic in…
Assuming arguendo that your claim about Exhibits A-D is correct, they don't refute the statement that "past performance does not guarantee future results." Exceptions do not refute a general statement.
A more convincing argument could be made if …
I vaguely recall that T. Rowe Price used to allow one to bootstrap a TRP fund by setting up automatic investments for a new position. Apparently no longer. The message I get when I try to do this for a TRP fund position I closed out is:
Fund mu…
Vanguard’s first quarter dividend for 2021 is in the amount of $0.65640, up 18.4%. ...
Vanguard's first quarter dividend for 2021 is in the amount of $0.65640. This is far superior to the first quarter for 2020, which had the amount of $0.55440. ..…
Certainly the two classification systems - Morningstar and Refinitiv Lipper - are different. But the Lipper classification system familiar to users is, like M*'s, composition based not investment objective based (except for sectors; see below).
Un…
The TD Ameritrade pricing page confirms that it charges $6.95 for online OTC (pink sheet) transactions in both foreign and domestic stocks. (Schwab charges $50 for online OTC transactions in foreign stocks.) Fidelity charges $0 (aside from a no…
M*'s heard of the fund, it just doesn't have much to say about MMFs.
http://globaldocuments.morningstar.com/documentlibrary/dochistory.aspx?investmentId=FMUSA0006E&investmenttype=1###
That's actually a nice link to hold onto.
If you try cl…
I agree with @MrRuffles that if one hasn't gotten EIP1 or EIP2 by now, the checks likely aren't coming. The money can be claimed as a Recovery Rebate Credit on one's 2020 tax return.
Timing on filing is another matter. Generally, file early if …
It's not uncommon for investment management firms to have separate teams for different strategies. For example, here are RW Baird's equity teams:
https://www.bairdassetmanagement.com/baird-equity-asset-management/team#GrowthTeam
Those divide alon…
At 200% long and 16% short fixed income (per M*), the shorting by CLMAX is basically noise. @bee was interested in funds that are purely or at least substantially short. 184% net long is the opposite. The juice in the fund comes more from l…
My MMFs are up, short term, YTD, long term. I may die rich in a billion years.
With "cash alternative" funds like RPHYX, up 0.10% for the week, 0.14% for the past month, and 0.46% YTD, and "old faithfuls" like PRWCX, up 0.17% for the week, 1.85%…
From what I read, the second economic impact payment (EIP2) guidelines did not change the child age eligibility:
A qualifying child is a child who meets the following conditions: ...
The child was under age 17 on December 31, 2019
https://www.irs.go…
Nice find. I'm guessing that because two "live" funds cannot share the same ticker, the "new" funds (organized under James Alpha Funds Trust) can't claim their tickers until Monday when the old funds (organized under the Saratoga Advantage Trust) …
Not a boo boo, just a fund that most people wouldn't be looking at. The fund is also a good answer to the question: who would buy a bond (or bond fund) with a negative yield?
T. Rowe Price used to offer a variable annuity. While it hasn't be…
Not to be confused with PRRXX, Government Money Fund.
"The fund is only available as an investment option for variable annuity and variable life insurance contracts."
https://www.troweprice.com/literature/public/country/us/language/en/literature-…
SOR looks like a reasonable alternative for FPACX if you're interested in a different fund from the same management team. As such it's somewhat similar, and has a fair coefficient of correlation (0.72, meaning an R² of 0.52), per Portfolio Visuali…
"DFFVX is UP 17.31% YTD while FCPVX is UP 25.13% YTD. (I confirmed that data on their respective sites. M* YTD TR data for the latter is incorrect.) "
First US News, now slamming M*.
Fidelity's FCPVX is up 25.13 YTD though March 11. (There's this…
Trigger finger a little slow today ? @msf
Stay safe DerfToo many open windows, so sluggish system. Meanwhile I received an MFO error message saying there was a posting problem. Apparently there wasn't.
You were done with this discussion when you suggested that all one needed to know about a source (here, US News) is that they listed as their top fund one that had only one top decile performance in the past eleven years. Seriously.
I accepted th…
You were done with this discussion when you suggested that all one needed to know about a source (here, US News) is that they listed as their top fund one that had only one top decile performance in the past eleven years. Seriously.
I accepted th…
RE: US News Rankings...
You really don't need to go any further than looking at their #1 ranked SCV fund, DFFVX.
...
Seriously, ONCE in the Top Ten percentile in 11 years, and it's magically the #1 ranked SCV fund?
...
Kind of reminds me of som…
In looking at the presumed fund that serves as the inspiration for the new ETF (PRCOX), it's remarkable how similar the PRCOX fund is to an S&P 500 Index fund. (But that's what it is designed to be- see Fact sheet, below.
Sounds similar to the o…
Value funds of all stripes have been drifting toward and into blend for the past few years. In moderation this doesn't worry me, so long as they keep a value tilt. My thinking is that funds that move around within reason can be holding true to the…
I share JonG's conservatism, though mine is based on additional concerns.
The fund is submanaged by Orange Investment Advisors. The day-to-day managers of the fund are the Orange ones: Jay Menozzi and Boris Peresechensky. Both came over from…
"that income level [to qualify for a 2021 Covid recovery rebate check] is based on their 2019 tax returns"
There's a lot of conflicting information floating around, including from news organizations, so don't be surprised if any particular descript…
"the healthcare system is actually portable."
"OJ you are right. Nothing is free."
Since OJ's comment was regarding healthcare, it is worth noting that Heinlein (TANSTAAFL) aside, a small number of healthcare services are literally free.
Though i…
Yes, those are the funds up exactly 0.97%. As you noted, that's not helpful if one is comparing with a multi-fund portfolio.
One isn't likely to achieve that return in either the aggregate or with an individual fund these days without using jun…
Intimately related to the question of what is a bond fund is why own bonds or a bond fund in the first place? A reason often given is to reduce overall portfolio volatility, i.e. to zig when stocks are zagging. The mention of Sharpe ratio (based…
"21 July"? Dang furriners. What country's 1988 rates are you quoting? And whom are you quoting?
As to Clement's 2021 suggestion that one go for 75% stock/25% cash, his description seems fair. These days, one gives up about 1% in yield in g…
There are so many possibilities here that I'm not going to try to guess what lots you sold under what conditions and what was aggregated on the 1099.
It is worth commenting on the suggestion that "a fund or brokerage must continue to use the averag…
Calculating gain on the sale of mutual fund shares is not as hard as it may appear to be. There are just two questions to answer: "you need to determine which shares were sold and the basis of those shares."
https://www.irs.gov/publications/p550#e…
