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bru wrote:I'm sure mine would show the same (also purchased in May). When I last checked it seemed like they don't add in the most recent accrued interest until some time in the next month.
Interesting. Well, 5 months at 4.60% APR makes $95.83, but that would only take it up to September of last year... […]
Historic data is fun to look at it, but it is not always very useful.
There are currently only 4 AAA rated companies - MSFT, Exxon, J&J, and ADP. I personally use their products on an almost daily basis and it is absurd to compare them with A-rated munis. They are not going to default any time soon.
Also, when looking at the data, it is important to look at the right data. Default risk is not always the biggest risk. Downgrades and investor reactions to the downgrades might be a much bigger risk. For example, if AA muni, which is owned by VG fund, will be downgraded by S&P to A and investors start to request a bigger premium for owning this muni then it […]
There are currently only 4 AAA rated companies - MSFT, Exxon, J&J, and ADP. I personally use their products on an almost daily basis and it is absurd to compare them with A-rated munis. They are not going to default any time soon.
Also, when looking at the data, it is important to look at the right data. Default risk is not always the biggest risk. Downgrades and investor reactions to the downgrades might be a much bigger risk. For example, if AA muni, which is owned by VG fund, will be downgraded by S&P to A and investors start to request a bigger premium for owning this muni then it […]
CGX wrote:Morningstar classifies FIBIX as "High Risk" and PTTRX as "Average Risk". I'm thinking this M* classification may be misleading when put in the context of implementing a stock/bond mix, where FIBIX has shown much lower correlation vs. PTTRX.
Morningstar's risk ratings are by category; FIBIX has higher risk than the average intermediate-term Government bond fund, while PTTRX has about the same risk as the average intermediate-term corporate bond fund. […]
The stocks market's performance so far in January is right out of the text books. A rally is occuring during a presidential election year, small stocks are outperforming large cap stocks, and value stocks outperforming growth stocks. I don't make sector bets, but those who did based on historic results were rewared this month.
This paper by Praveen Das and S. P. Uma Rao University of Louisiana at Lafayette found the January effect was signification round the world. Nonetheless, the authors conclude that there is no excess return to be gained by trying to time this phenomenon.
"The annualized excess January value premium ranges from 42.96 percent for Scandinavian countries to 9.24 percent for EAFE markets with 20.28 percent for U.S. Even though such a predictable pattern exists, our analysis suggests that large standard deviations would not allow a viable investment strategy."
Rick Ferri […]
This paper by Praveen Das and S. P. Uma Rao University of Louisiana at Lafayette found the January effect was signification round the world. Nonetheless, the authors conclude that there is no excess return to be gained by trying to time this phenomenon.
"The annualized excess January value premium ranges from 42.96 percent for Scandinavian countries to 9.24 percent for EAFE markets with 20.28 percent for U.S. Even though such a predictable pattern exists, our analysis suggests that large standard deviations would not allow a viable investment strategy."
Rick Ferri […]
wvudss wrote:Preparing my taxes and had a question on my traditional-IRA "Basis".
My income level is too high for direct Roth contributions, so I did the following:
January 2012 -- Traditional IRA -- $5,000 contribution for 2011 with after-tax (non-deductible contributions).
Backdoor conversion to Roth-IRA the next day, so the event should not have taxable consequences.
However, my tax software is treating the distribution as income so I must have made a mistake.
My understanding is that the "basis" in a tradional IRA is the sum of all non-dedcutible contributions less the witdrawls of non-deductible contributions. In other words, I put $5,000 in and took $5,000 out so my basis is "0". Can anyone offer some advice?
Your basis when […]
As long as they keep the ER's as low as they are (and somehow regularly lowering them), I'm not worried about how much they pay the executives.
They're doing the job they've been put in place to do.
And earning every penny of it. […]
They're doing the job they've been put in place to do.
And earning every penny of it. […]
Bogleheads / www.bogleheads.org
2012-01-27 Re: CC Reward offers - Why do you need to activate/enroll?
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NB: Roth conversions used to be disallowed for people with high incomes until recently. Congress removed the restriction. So the back door was explicitly opened by the Congress. I doubt the IRS will go against Congress on this one. […]
Bogleheads / www.bogleheads.org
2012-01-27 Re: Mathematicians/Scientists:Ever consider a career in fina
baw703916 wrote:umfundi wrote:I graduated with a PhD in Engineering / Applied Math from Princeton in 1980. I went on to design engines for GM.
In that next decade, a lot of engineers of my type went to Wall Street to create what is now called Financial Engineering. They knew how to make models (differential equations describing systems) and they knew how to program computers to solve those models. And, there were new, powerful Unix workstations for the technical analysts to run the models and exploit the inefficiencies.
There were a number of mathematicians / scientists / engineers by training whose only career was finance.
Keith
For some reason, as I was reading your post, the thought popped into my head of what it would […]
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