Search found 634 matches

by foglifter
Tue Aug 10, 2010 12:16 pm
Forum: Cash
Topic: TIPS for cash component?
Replies: 21
Views: 17230

Re: TIPS for cash component?

LNGTERMER wrote: Thanks foglifter, so in this case I am assuming you would still rebalance if the bands go off sync. How about a ticker for and I bond?
I'm not sure if I bonds have tickers... maybe you could just treat it as a MM fund - with a share price of $1.
by foglifter
Tue Aug 10, 2010 11:53 am
Forum: Cash
Topic: TIPS for cash component?
Replies: 21
Views: 17230

Re: TIPS for cash component?

:D I view the PRPFX/EDV 90/10 strategy and the ibonds in the PP cash portion to be the two best ideas I have come up with in the whole PP discussion. MediumTex, that is very interesting, are you saying instead of SHY for the cash portion we hold PRPFX/EDV 90/10? No, I believe PRPFX/EDV 90/10 was hi...
by foglifter
Tue Aug 10, 2010 11:50 am
Forum: Permanent Portfolio Discussion
Topic: Rebalancing questions
Replies: 13
Views: 9098

Re: Rebalancing questions

I second that, but just to make sure we are talking about the same thing, when I say 5- 35% I am talking about an asset gaining that percentage.  If I'm reading your numbers correctly it means the asset share in the portfolio can rise to anywhere from 30% to 60%! Nothing wrong with that - you might...
by foglifter
Mon Aug 09, 2010 7:04 pm
Forum: Cash
Topic: TIPS for cash component?
Replies: 21
Views: 17230

Re: TIPS for cash component?

Thanks for a good input, MediumTex. Do you know if the interest payments from I bonds are taxable at the state level?
by foglifter
Mon Aug 09, 2010 6:36 pm
Forum: Permanent Portfolio Discussion
Topic: Rebalancing questions
Replies: 13
Views: 9098

Re: Rebalancing questions

I'd like to continue this thread and ask our rebalancing experts what they would recommend to those who tend to be more comfortable with a simpler rebalancing strategy (if one is possible at all). 1. Are there any grounds behind HB's recommended 15/35 rebalancing bands or are they purely theoretical...
by foglifter
Mon Aug 09, 2010 4:47 pm
Forum: Cash
Topic: TIPS for cash component?
Replies: 21
Views: 17230

Re: TIPS for cash component?

I've never dealt with I Bonds and since many of you recommend them I got intrigued. Looks like current yield is 1.74%, which is not that bad.

Can someone outline the best way to buy them - TreasuryDirect, my brokerage account etc.? Is it easy to sell them if I need cash?
by foglifter
Sat Aug 07, 2010 11:34 am
Forum: Permanent Portfolio Discussion
Topic: Finally... my PP is set
Replies: 9
Views: 6976

Re: Finally... my PP is set

Thanks Clive, this is a good writeup. I didn't face a dilemma of lump sum vs. gradual entrance into PP as I sort of "morphed" my old over-sliced BH-style allocation into PP.

AIM approach looks interesting, I think it's a flavor of value averaging, isn't it?
by foglifter
Fri Aug 06, 2010 2:11 pm
Forum: Stocks
Topic: Market-Cap Weighting and Bubbles
Replies: 4
Views: 5664

Re: Market-Cap Weighting and Bubbles

Maybe market-cap weighting isn’t as much of an issue because the stock allocation of the PP is relatively low at 25%-35%? I guess you got it right  :D. Consider slice-n-dicing of equity part as the icing on the cake. I use US TSM as a core with some dividend-tilted small cap emerging markets exposu...
by foglifter
Fri Aug 06, 2010 1:46 am
Forum: Permanent Portfolio Discussion
Topic: Finally... my PP is set
Replies: 9
Views: 6976

Finally... my PP is set

Just sharing a bit of joy - after many months of slicing-and-dicing, reading, asking questions, fighting doubts and BIG help of this forum (and BH PP thread) I've nailed down my PP! Input from many of you on different nuances of PP helped immensely. Special thanks to Craigr and MediumTex for ideas o...
by foglifter
Fri Aug 06, 2010 1:18 am
Forum: Cash
Topic: TIPS for cash component?
Replies: 21
Views: 17230

Re: TIPS for cash component?

Thanks for the reminder. I do see that TIPS are a less-than-ideal method of holding cash. I'll probably just keep my MM at ING for now… maybe look at more I Bonds. I know some people prefer MM funds to bank accounts, but given miserable yields I prefer to keep cash in high-yield accounts in bank or...
by foglifter
Fri Aug 06, 2010 12:25 am
Forum: Cash
Topic: TIPS for cash component?
Replies: 21
Views: 17230

Re: TIPS for cash component?

Title says it. Why (or why not) use TIPS  as the cash component? TIPS are supposed to protect against inflation. In PP this is taken care of by gold. Cash should to some extent save your portfolio when everything else goes down, so TIPS won't be a good choice in this case. Remember 2008? TIPS poste...
by foglifter
Thu Aug 05, 2010 12:34 am
Forum: Variable Portfolio Discussion
Topic: VP ideas
Replies: 26
Views: 17678

Re: VP ideas

I have been considering a PP + IVY +Bogle mix for my VP.  Essentially, it's a 5x20 mix composed of VTWSX, Gold, LT Treas, ST Tres/TIPS, and REIT.  I'm hoping it would act much like a PP, but with Bogle-Swenson twist.  More Global stock covering developed and emerging markets as well as exposure to ...
by foglifter
Tue Aug 03, 2010 7:17 pm
Forum: Gold
Topic: iShares cuts expenses on IAU
Replies: 10
Views: 8878

Re: iShares cuts expenses on IAU

I've just posted a link to a good analysis of all available paper gold instruments in the GTU, GLD, SGOL, etc thread, thought it might be interesting for some folks. The article was published before the recent IAU ER cut. There is some controversy about GLD, but interestingly IAU was not mentioned i...
by foglifter
Tue Aug 03, 2010 7:08 pm
Forum: Gold
Topic: GTU, GLD, SGOL, etc
Replies: 10
Views: 10988

GTU, GLD, SGOL, etc

I found an interesting analysis of various gold investment options available today, it compares fund structure, tax treatment etc. The recommendation is basically to choose SGOL, which stores gold in Switzerland. Nothing bad said about IAU though, and given the recent expense ratio cut I wonder if I...
by foglifter
Tue Aug 03, 2010 4:46 pm
Forum: Variable Portfolio Discussion
Topic: VP ideas
Replies: 26
Views: 17678

Re: VP ideas

Thanks for jumping in Clive, you did remind me about Swedroe and Taleb allocations. I recently nailed down my PP (finally!) and I do use some limited skewing in the equity bucket: TSM + EM LV + EM SV. I used to have some US SV, but due to high ER of a SV fund in my retirement plan I decided to drop ...
by foglifter
Tue Aug 03, 2010 1:03 pm
Forum: Variable Portfolio Discussion
Topic: VP ideas
Replies: 26
Views: 17678

Re: VP ideas

I've been thinking about these two strategies for quite a while: Mebane Faber's sector rotation and 200-day SMA timing. Then I checked back "The greatest HB PP thread" on BH and saw Clive's posting about these on page 67 . I think I could probably split my VP between the two: - 50% sector rotation w...
by foglifter
Tue Jul 27, 2010 1:26 pm
Forum: Variable Portfolio Discussion
Topic: VP ideas
Replies: 26
Views: 17678

Re: VP ideas

Here is a summary of suggestions so far: 1) Macro bets (Wonk) 2) Stock picking / special situations (Craigr) 3) Meb's monthly trading system 4) Lazy portfolio from another guru Other options are Meb's other higher returning rotation system: http://www.mebanefaber.com/2009/06/25/combining-rotation-a...
by foglifter
Mon Jul 26, 2010 3:05 pm
Forum: Variable Portfolio Discussion
Topic: VP ideas
Replies: 26
Views: 17678

Re: VP ideas

You can call me a gold bug for now.   ;)  I fully expect to go PP neutral in about 5 years and then overweight equities in about 10 years.  I agree with Craig in that often the best investment is in one's own business.  I wouldn't be where I am today without the same decision. No, I won't call you ...
by foglifter
Mon Jul 26, 2010 2:51 pm
Forum: Variable Portfolio Discussion
Topic: VP ideas
Replies: 26
Views: 17678

Re: VP ideas

And then I stumbled up the HBPP thread on the Bogleheads forum... That bogleheads PP thread is one of the most amazing internet discussions I have ever been part of. That is so true! And the subject of that thread is truly remarkable - "Updated modification of HB PP". Most of us here can't help try...
by foglifter
Mon Jul 26, 2010 2:20 pm
Forum: Permanent Portfolio Discussion
Topic: HB Fund or ETF
Replies: 21
Views: 13198

Re: HB Fund or ETF

This is aside the point, but I wonder: presently I have my Cap' Gains/Dividends and Interest Payments from my mutual funds set to reinvest.  Should I instead have them sent to a MM account for rebalancing later? If it is in a taxable account I would turn off reinvestment option and do that manually...
by foglifter
Sun Jul 25, 2010 5:59 pm
Forum: Permanent Portfolio Discussion
Topic: HB Fund or ETF
Replies: 21
Views: 13198

Re: HB Fund or ETF

I wonder if the interest from long and short term treasuries could be structured so that they are held internally and not passed through to shareholders.  The goal would be to reduce pass-through taxable income of the fund and increase NAV instead. I think this is how PRPFX is implemented - it keep...
by foglifter
Sun Jul 25, 2010 1:54 am
Forum: Permanent Portfolio Discussion
Topic: PP Buyers Remorse...Some Sound Feedback Needed!
Replies: 45
Views: 26980

Re: PP Buyers Remorse...Some Sound Feedback Needed!

I wish I could figure out how to post a screen shot to show you, but I can't, so I'll try to give you some results to illustrate. pumpkin, here's how you can post the image 1. Make a screen shot of the particular window you want to post using Windows snipping tool or via Alt+Print 2. Save it in a f...
by foglifter
Sun Jul 25, 2010 1:35 am
Forum: Permanent Portfolio Discussion
Topic: HB Fund or ETF
Replies: 21
Views: 13198

Re: HB Fund or ETF

I'm interested too.
by foglifter
Fri Jul 23, 2010 3:06 pm
Forum: Variable Portfolio Discussion
Topic: VP Mutual Fund Suggestions
Replies: 25
Views: 20578

Re: VP Mutual Fund Suggestions

Is the 50/50 allocation just your rough guess or something calculated? It's my rough guess, but I'll bet it's very close to what 100% TLT would give you.  If it's different, it's not by much. In my view, EDV is a great way of taking an intermediate term bond fund (which is what most 401(k) plans of...
by foglifter
Fri Jul 23, 2010 12:59 pm
Forum: Variable Portfolio Discussion
Topic: VP Mutual Fund Suggestions
Replies: 25
Views: 20578

Re: VP Mutual Fund Suggestions

I wonder if it's possible to substitute a mix of VUSTX and EDV for TLT. Do you think it would be a good replacement? 50% VUSTX/50% EDV is, IMHO, a suitable approach to the LT bond potion of the PP, though it begins to look a lot like a solution that is more complicated than the problem. As you migh...