Search found 57 matches

by chrikenn
Fri Jul 19, 2013 3:36 pm
Forum: Permanent Portfolio Discussion
Topic: Everything Is Up Today
Replies: 38
Views: 19405

Re: Everything Is Up Today

Hilarious image.  I feel like market timers everywhere have to experience that a time or two (or 10) before they realize they will never win the market timing game.
by chrikenn
Mon Jul 15, 2013 7:59 pm
Forum: Permanent Portfolio Discussion
Topic: PP and taxes
Replies: 3
Views: 3309

Re: PP and taxes

This is an extremely off the cuff calculation, but it gives you a starting point. Say you have a $1 million portfolio. $250K TLT.  ~3.4% SEC YIELD = $8,500 ordinary income. $250K SHV. ~0% SEC YIELD = $0 ordinary income. $250K IAU.  No dividends or interest. $250K VTI.  ~2.0% SEC YIELD = $5,000 call ...
by chrikenn
Mon Jul 01, 2013 10:49 am
Forum: Gold
Topic: Gold Short Squeeze?
Replies: 7
Views: 3561

Re: Gold Short Squeeze?

That would be good for PP holders, right?  At least, in the short term?
by chrikenn
Thu Mar 01, 2012 8:27 am
Forum: Gold
Topic: IAU in taxable -- anybody figure out "Cost Basis Factor" on 1099-B?
Replies: 8
Views: 13869

Re: IAU in taxable -- anybody figure out "Cost Basis Factor" on 1099-B?

It's ironic that this discussion is happening at the same time as the TLT discussion, since the TLT discussion sort of points toward the same idea of owning bonds rather than a bond fund if possible. Haha... and I started both threads.  My problem is that I love to hold both some LT bonds and some ...
by chrikenn
Wed Feb 29, 2012 8:41 am
Forum: Gold
Topic: IAU in taxable -- anybody figure out "Cost Basis Factor" on 1099-B?
Replies: 8
Views: 13869

Re: IAU in taxable -- anybody figure out "Cost Basis Factor" on 1099-B?

Austen, thanks for the info.  Here is my question, though.  You mention that you have to reduce your cost basis.  How exactly do you do that?  Vanguard does not do it automatically.  Nor do I have access to manually change it.  And starting soon, Vanguard will have to report my cost basis to the IRS...
by chrikenn
Wed Feb 29, 2012 8:37 am
Forum: Bonds
Topic: TLT - Why Is Income from Govt Obligations so LOW?
Replies: 95
Views: 48528

Re: TLT - Why Is Income from Govt Obligations so LOW?

Thanks for all the feedback on this.  I may gradually transition my TLT holdings to a combination of Vanguard's LT bond offering and EDV.  As I said in one of my original posts in this thread, Vanguard's LT bond offering results in 94%+ of the income from U.S. Govt. Obligations.  So perhaps Vanguard...
by chrikenn
Sat Feb 25, 2012 6:15 pm
Forum: Bonds
Topic: TLT - Why Is Income from Govt Obligations so LOW?
Replies: 95
Views: 48528

Re: TLT - Why Is Income from Govt Obligations so LOW?

What I meant was the capital gains generated within the fund as it buys and sells bonds to maintain the appropriate bond duration. If it's not capital gains within the fund, I have no idea where the other income would be coming from. I don't know how you would get non-treasury dividends from a port...
by chrikenn
Sat Feb 25, 2012 5:10 pm
Forum: Bonds
Topic: TLT - Why Is Income from Govt Obligations so LOW?
Replies: 95
Views: 48528

Re: TLT - Why Is Income from Govt Obligations so LOW?

I assume the rest would be from capital gains, right? No, I'm not talking about my personal interest/gains.  I'm talking about the actual iShares 2011 tax information sheet that shows the percentage of income derived from U.S. Government Obligations. Here's Vanguard's: http://www.vanguard.com/pdf/u...
by chrikenn
Sat Feb 25, 2012 9:56 am
Forum: Gold
Topic: IAU in taxable -- anybody figure out "Cost Basis Factor" on 1099-B?
Replies: 8
Views: 13869

IAU in taxable -- anybody figure out "Cost Basis Factor" on 1099-B?

I received my IAU 1099-B from Vanguard Brokerage Services last week. Box 2 has a relatively small value for each month, along with a "Cost Basis Factor."  The total for the year adds up to about $100. In general, I get the sense that these small values represent the gold that was sold to cover the e...
by chrikenn
Sat Feb 25, 2012 9:21 am
Forum: Bonds
Topic: TLT - Why Is Income from Govt Obligations so LOW?
Replies: 95
Views: 48528

TLT - Why Is Income from Govt Obligations so LOW?

I've been working on my taxes and recently received my 1099 for TLT (I hold some in a taxable account because I have very little tax-deferred space).  I notice that the iShares tax information sheet shows that ONLY 62.89% of income is derived from U.S. Government Obligations (and therefore shielded ...
by chrikenn
Sun Aug 07, 2011 11:30 am
Forum: Permanent Portfolio Discussion
Topic: Using 529 Educational Accounts To Expand Tax-Sheltered Space
Replies: 2
Views: 3581

Re: Using 529 Educational Accounts To Expand Tax-Sheltered Space

I think it would also be a good vehicle in which to hold LT bonds.  Question is, do any 529 plans have an acceptable LT bond fund as an investment option?  All of them have good equity options, at least.
by chrikenn
Thu Jul 07, 2011 2:55 pm
Forum: Bonds
Topic: In-State Muni Bonds
Replies: 5
Views: 3996

Re: In-State Muni Bonds

moda, Take a look at the return of in-state funds and compare them to national muni funds.  In many instances, the yield on the national fund will be sufficiently higher than the yield on the in-state fund such that the state-tax advantage of the in-state fund is completely negated by the lower yiel...
by chrikenn
Tue Jul 05, 2011 2:13 pm
Forum: Gold
Topic: Illegal to buy/sell gold bullion starting July 15??
Replies: 3
Views: 3995

Illegal to buy/sell gold bullion starting July 15??

See this: http://sgtreport.com/2011/06/breaking-n ... g-july-15/

And if you google "illegal trade gold bullion july 15," quite a few results come up.

Anybody know anything about this?

How will this affect IAU and GLD?
by chrikenn
Fri May 13, 2011 9:46 am
Forum: Permanent Portfolio Funds
Topic: Is PRPFX cost (expense + tax) efficient? The answer is NO.
Replies: 19
Views: 20168

Re: Is PRPFX cost (expense + tax) efficient? The answer is NO.

(3) If you invest $100,000 each into an individual components portfolio and a PRPFX portfolio, and never add to it, over the course of 30 years, the individual components portfolio will end with a value that is approximately $190,000 higher than the value of the PRPFX portfolio (assuming a 8.5% ann...
by chrikenn
Mon Mar 21, 2011 9:12 am
Forum: Permanent Portfolio Discussion
Topic: New poster with a couple of questions
Replies: 8
Views: 6197

Re: New poster with a couple of questions

By the way, I would add that since you do have a chunk of tax-deferred space allocated to the PP, I would not view the taxable account as a separate PP.  I would view it + your tax-deferred PP as your "single" PP chunk.  This way, you could put the less tax efficient holdings (namely, long-term bond...
by chrikenn
Mon Mar 21, 2011 9:08 am
Forum: Permanent Portfolio Discussion
Topic: New poster with a couple of questions
Replies: 8
Views: 6197

Re: New poster with a couple of questions

3. I've read that PRPFX fund is better suited for taxable accounts.  Would this be a better approach for my taxable account that I'm going to be creating soon, or would you guys rather DIY?  (I haven't read through the PRPFX board yet but will look to it for further advice) PRPFX is probably not a ...
by chrikenn
Sat Mar 19, 2011 4:29 pm
Forum: Permanent Portfolio Discussion
Topic: International Permanent Portfolio
Replies: 29
Views: 14353

Re: International Permanent Portfolio

doodle wrote: Cash
12.5 SHY
12.5 ???????????
ISHG is a short-term (1-3 yr) int'l treasury fund.  Not sure if that would work here or not.
by chrikenn
Fri Mar 18, 2011 9:34 am
Forum: Permanent Portfolio Funds
Topic: Does The Swiss Franc Add To PRPFX
Replies: 22
Views: 14750

Re: Does The Swiss Franc Add To PRPFX

I am nowhere near as knowledgeable about the PP as many here, but my impression was that the original purpose of the Swiss Franc was something similar to the purpose of gold, because the Swiss Franc was one of the only currencies actually backed by gold. Given that the Swiss Franc's gold-backing is ...
by chrikenn
Fri Mar 18, 2011 7:38 am
Forum: Bonds
Topic: Unknown Unknowns
Replies: 26
Views: 15479

Re: Unknown Unknowns

Another argument, raised by fnord, is that the statement "given enough time, gold always beats everything else," is simply unrealistic.  I don't know about you, but I'm pretty sure I'm not going to live until I'm 500 years old.  So it doesn't even make sense to ask, "would you rather own currency fr...
by chrikenn
Tue Mar 15, 2011 3:44 pm
Forum: Bonds
Topic: Unknown Unknowns
Replies: 26
Views: 15479

Re: Unknown Unknowns

Companies produce great value while they exist.  The problem is that the life expectancy of most companies isn't all that long. As for bonds, it's the issuer that tends not to last that long. As for "cash", it's also the issuer that tends not to last that long. Would you rather have an ancient Egyp...
by chrikenn
Tue Mar 08, 2011 3:50 pm
Forum: Permanent Portfolio Discussion
Topic: best funds to start a 4 X 25 pp
Replies: 32
Views: 14117

Re: best funds to start a 4 X 25 pp

Adam1226 wrote: Is GTU a PFIC?  I thought it was simply a close ended fund.
It is indeed a PFIC.  Form 8621 required.
by chrikenn
Sat Mar 05, 2011 2:40 pm
Forum: Permanent Portfolio Discussion
Topic: prpfx in place of stable value fund
Replies: 8
Views: 4680

Re: prpfx in place of stable value fund

PRPFX is a good fund, but it's not a good substitute for a stable value fund.  Stable value funds are extremely low risk.  I'm not sure what the max drawdown of a stable value fund might be, but probably somewhere around 0.  PRPFX, in comparison, lost over 8% in 2008. Perhaps PRPFX is right for you,...
by chrikenn
Thu Mar 03, 2011 6:41 pm
Forum: Gold
Topic: Utah ponders new gold legislation...
Replies: 3
Views: 2916

Utah ponders new gold legislation...

http://www.foxnews.com/politics/2011/03/03/utah-considers-return-gold-silver-coins/ Summary: Utah is considering passing a bill allowing gold and silver to officially be used as currency there.  Bill would also eliminate the state's capital gains tax on gold. Thoughts?  Could those more informed tha...
by chrikenn
Thu Mar 03, 2011 3:18 pm
Forum: Stocks
Topic: The S&P 500 Has Peaked for 2011
Replies: 94
Views: 42574

Re: The S&P 500 Has Peaked for 2011

From a longer term perspective, S&P 1332 represents a 100% gain off the lows of two years ago. That's an amazing and historic rally.  I just don't know how much more gas it can possibly have in the tank, given that the underlying economy is still pretty sick. I'm fascinated to see how it will turn ...