/biz/ - Business & Finance

[Anonymous No.58862645]

Who /VTSAXandCHILL/ here?

[Anonymous No.58862672]

>>58862645
For me its VFV since I'm Canadian and too lazy to do Norbert's gambit every month

[Anonymous No.58862689]

whats the fun in that OP
dont u WANT to gamble all your hard earned money away

why invest in a low cost broad united states index and beat out 85%-95% of investors in the long term

who in their right mind wouldn't try to time the market, pick stocks, and gamble

[Anonymous No.58862693]

... (i may or may not have read every book John Bogle ever made)

[Anonymous No.58862696]

>>58862645
VGT for me.

[Anonymous No.58862715]

>>58862689
This but unironically. Life's about having fun :)

[Anonymous No.58862741]

>>58862645
SPY till I DIE bitch nigga

[Anonymous No.58862753]

>>58862645
I currently have a small DCA set up into our aus equivalent 70%VGS/30%VAS. Planning on rotating out of crypto next year and dumping everything I cash out into my vanguard portfolio then ramping up the DCA to the max while I stay with parents. Fuck wasting time climbing corporate ladder when I can just supplement income with dividends while mooching in a low stress position.

[Anonymous No.58862916]

>>58862645
VITSX in my 401k. All but the same thing. I do AVGV and VFQY in my Roth IRA though.

[Anonymous No.58862920]

>>58862693
He wrote some good stuff. He makes many good points and insights about investing, the business landscape, stock holder culture, etc.

[Anonymous No.58863093]

>>58862645

I been doing this since I started working. Plowed shitton of money in index funds now probably 2 years from my minimum retirement goal of $2.3MM. 7% average real rate of return adds up at these numbers on top of contributions.

[Anonymous No.58863644]

34 year old tradie. Should I pull everything out of VFFX (target 2055) and put everything moving forward into VFIAX? The target fund has actually been outperforming the index but has been rated lower.

Right now I am only doing company 401k to get match and nothing else, so my options are limited.

[Anonymous No.58863652]

>>58862645
Hopefully they don’t get to vesta before I have at least 10 nfts

[Anonymous No.58864519]

>>58862645
low IQ VOOmer here, should I start stacking VTSAX instead?

[Anonymous No.58864723]

>>58862645

[Anonymous No.58865108]

58864723
kek. this.
wait for september 18th

[Anonymous No.58865657]

>>58862645
I went ioo for about 3 days and the sold ioo.
Shares are stupid, it takes time, not liquid, slow, and you can't take self custody.

BTC rapes shares.

[Anonymous No.58865664]

>>58863644
>>58864519
depends on what's your strategy? do you want bond and international diversification or do you want an S&P index? or a total equity market index? VOO/VFIAX are only as diversified as the S&P. but you want at least some international diversification. VFFX has about 35% international holdings which is a bit too much for me--I'm shooting for ~20% int. but that mix is based on vanguard's own research / prediction that it's unlikely that US equities will outperform international going forward as consistently as they did in the past

[Anonymous No.58865727]

vtsax in my ira
vang500 in my 401k
vti in my taxable account

[Anonymous No.58866582]

>>58862645
Is VUG still looking good long-term? I’m a noob Boglehead but if I’m not mistaken it had the best ROI of any fund in the last 15 years. I just want to compound at +10% for 2 or 3 decades and retire rich as hell.

[Anonymous No.58866636]

I guess if youre gonna be lame and not trade anything in a tax-advantaged account...but still don't know why you'd choose a mutual fund over and etf unless it's a 401k.

And I'll go off on a tangent on 401ks being gay...get the match and roll into a trad ira when you leave. If you plan to retire early and only live off long term capital gains/qualified divs, you will have an opportunity to convert your pretax accounts to roth tax free. This is really the best way to realize the 401k tax benefits. If you just max it and end up with a huge RMD+SS in retirement, youre forcing yourself into a high tax bracket if you're even alive to fucking use it by then!

[Anonymous No.58866638]

>>58863644
if hope you didn't have target funds in 2022...rip if so

[Anonymous No.58866984]

>>58862916
>AVGV
>Fund of funds

why.jpg

[Anonymous No.58866988]

>>58862672
Kek relatable

[Anonymous No.58866995]

>>58865664
>vanguard's own research / prediction that it's unlikely that US equities will outperform international going forward
Tell us more

[Anonymous No.58867020]

>>58862645
VTSAX/FXAIX/FZROX gigachad coming through

[Anonymous No.58867267]

>>58865664
I wouldn't normally be concerned about diversification but feel like things are only going to get worse so it's good to have a backstop that includes international stocks and bonds even though I'm relatively young. If we were in any other time period I would probably go high risk across the board.

Either way, I am limited by the small number of funds my employer has to choose fund. Once I have some more emergency cash saved and pay off my vehicle, I will open my own IRA.

Would I be diluting too much if I go 50% S&P index and 50% in the target retirement fund?

[Anonymous No.58868290]

>>58866636
I’m a roth 401k chad. Sorry bruv

[Anonymous No.58868297]

>>58862693
he's based so that's fine

[Anonymous No.58869590]

Bump

[Anonymous No.58869674]

>>58867267
>Would I be diluting too much if I go 50% S&P index and 50% in the target retirement fund?
can't really answer this without knowing what the composition of the target fund is. if you're young enough, bond diversification doesn't really matter that much. I was 100% stock up until 30ish. int seems important though. pic rel is from last year
>>58866995
>spoonfeed me

[Anonymous No.58869886]

>>58869674
target retirement fund is:

53.9% Vanguard Total Stock Market Index fund Institutional Plus

36% Vanguard Total International Stock Index Fund Investor Shares

6.9% Vanguard Total Bond Market II Index Fund

3.1% Vanguard Total International Bond II Index Fund

[Anonymous No.58869928]

I buy VYM weekly because I picked it randomly out of what came up when I searched for "high yield index funds", am I gmi?

[Anonymous No.58869934]

Is VAFTGAG a good Vanguard fund?

[Anonymous No.58869936]

>>58869928
Yeah, I think theres some calculations out there that says going with a growth fund like VOO and taking the capital gains tax hit to get income is better than buying a dividend fund like VYM in the long term

[Anonymous No.58870414]

>>58868290
i would contribute more into a roth 401k if i knew wasnt able to retire early

[Anonymous No.58870442]

>>58870414
It's dumb to put more into your 401k than the match unless you already maxed out your ira contributions. Also look into hsa if your employer offers itthose are by far the best retirement accounts if you don't use your health insurance.

[Anonymous No.58870472]

>>58869674
Okay, be a cunt then

[Anonymous No.58871384]

>>58870442
if you read my first post, that's exactly what i suggested. the whole point was you can never pay tax on pretax accounts if you plan ahead and roth convert it in the zero percent bracket. If you stuff a pretax 401k every year, youre gonna fuck yourself over with rmds eventually.

[Anonymous No.58871401]

can someone explain this shit to me as if i am retard because i am.
how do i buy
where do i buy
what makes this different than the other etfs or index funds
what is the difference between an etf and an index fund

[Anonymous No.58871436]

Literally every single workplace I've been to thinks you're a loser if you aren't picking your own plays.
It's like it isn't macho or something
I've literally not spoken to a single person that invests passively as a rule

[Anonymous No.58871653]

>>58871436
Ignore them. They are gambling out of desperation instead of competency and careful planning. Knew some dude bro dirtbike riding type at a previous job that were trying to get rich day trading. He also had multiple baby mamas they owed alimony to and had a penchant for living above his means with no degree. Not the impression of someone who actually knew what they were doing.

Who gives a fuck what they think. Keep it to yourself. Sharing your finances with others, especially any successes, is a recipe for trouble.

Joe Kennedy Sr. pulled out of the market before the 1929 crash, and he said the indicator it was time to get out was when he heard the shoeshine boy giving stick advice.

[Anonymous No.58871670]

>>58867267
>>58871384
How do you pull this 401k pretax to roth conversion off without paying any taxes? Could you spell it out step by step for a midwit like me?

[Anonymous No.58871751]

>>58871401
I use e-trade

[Anonymous No.58871816]

>>58862645
>open ROTH
>dump all funds into tobacco companies
>set dividends to reinvest
>ignore ETFcucks and index losers

drugs always sell anon

[Anonymous No.58872193]

>>58862645
Based

[Anonymous No.58872417]

>>58862645
I have over 25k in VTSAX between my IRA and 401k. 27

[Anonymous No.58872439]

>>58866582
Bump for an answer

[Anonymous No.58872574]

>>58872439
Just buy VTI

[Anonymous No.58872723]

>>58869886
with your suggestion, you'd be tilting your portfolio significantly towards US stocks, which may be fine. that's how I was setup until a few years ago. but I'm becoming convinced that international can play a bigger role going forward especially with electrification and China for being the hub for battery production, as well as semiconductors in Taiwan (AI, etc.)
>>58866636
>you will have an opportunity to convert your pretax accounts to roth tax free
this is beyond stupid
>>58869928
dividend funds only make sense if you can / need to live off the dividends. if it's just being re-invested, you're just getting taxed on the income for nothing, and you're better off in more value/growth focused funds
>>58870442
401k contributions lower your taxable income and that's a huge incentive to keep contributing even after maximizing company match. the main reason you'd switch to a Roth is if you think you might need the funds at some point (like buying a house)
>>58871384
roth conversion is a feature most retirement plans don't have, and it's done with after-tax contributions, not pre-tax. RMDs are only a problem if you have several million, like 8-digits, by 72
>>58871670
>How do you pull this 401k pretax to roth conversion off without paying any taxes?
you don't. you pay taxes on the distributions because it's considered income. and you'll also pay a penalty if you withdraw before 59.5
>>58866582
>>58872439
VUG is basically just a tech stock (similar to VGT.) so how much do you believe in the big tech companies over 2-3 decades? what if healthcare turns out to be great? biotech/pharma did really well over the pandemic. what about finance? or energy? bogleheads is grounded in diversification. IMO sitting in one sector isn't all that diverse, but it's ultimately up to you to figure out your risk tolerance and investment philosophy. but it's important to keep in mind that past performance does not predict the future

[Anonymous No.58872726]

>>58862645
based, i just moved all my VSMAX positions to VTSAX last week. still got VGT tho, my cost basis is way too low to exit, maybe 5 years after a split

>>58862696
the only ETF worth investing in imo

>>58867020
yeah i just do whatever total stock index they offer. my vanguard is VTSAX, my 401k is the similar thing, my HSA is FZEROX, it's all the same thing

>>58869886
target retirement funds are a scam, you're just paying more in expense ratios to underperform the market as a whole

>>58869934
no you need VTBRAP

[Anonymous No.58872728]

>>58872723
>roth conversion is a feature most retirement plans don't have, and it's done with after-tax contributions, not pre-tax. RMDs are only a problem if you have several million, like 8-digits, by 72
roth conversion is a fucking pain in the ass. i cashed out my municipal retirement 10% in cash and 90% in a rollover IRA that's been sitting there for years. i need to become a poorfag for 1 single year so i can safely absorb the rollover tax event without skyrocketing myself to the highest tax bracket. i was honestly just gonna leave it alone until i actually retire

[Anonymous No.58872742]

>>58872723
>401k contributions lower your taxable income and that's a huge incentive to keep contributing even after maximizing company match. the main reason you'd switch to a Roth is if you think you might need the funds at some point (like buying a house)
smart man, trad 401k's do lower taxable income which is awesome cuz you can reduce your tax burden by 22.5k per year, which going overemployed at 2x 120k salaries can be the difference between 35% and 32% tax burden. and it's still great anywhere in 6-figure hell

fortunately my company just gives me 3% of my salary once a year, it's not a match, it's a profit-sharing plan so i can legally over-contribute. i'd honestly continue to max out my trad 401k even if i didn't need to, just for the tax benefits

but you can maintain a roth IRA, and HSA, and a roth i401k at the same time. all of those combined gives you like a $50-75k limit on tax-advantaged investments, more than i could possibly spend on retirement per year. just ignoring the roth i401k, i can do like $33k per year which is a lot of savings

[Anonymous No.58872754]

>mfw my vanguard 401k is up 9% over the last 8 months and I'm down 25% on crypto and all I do is buy and hold.
>mfw even my company, whirlpool, matching with their stock is down 13% vs vanguard.

What the fuck? Is the 8% a year meme really the only way to make it? And if I want to make it harder and faster I need to find a better, more well paying job?

[Anonymous No.58872764]

>>58872754
i mean a 10x over 30 years isn't terrible since you can reliably repeat it every singe year of your working life with little or no risk. crypto bros are the coombrains of personal finance, and yes i did just realize $70k+ in btc profit in order to sink it into another hard asset (real estate). but it was a calculated risk and i went in hard during the extended crash to $16k and sold near the ATH at $65k

[Anonymous No.58872766]

>>58872754
>last 8 months
Too short a timeframe to claim that. If you have a mix of vanguard and crypto and you are young just hold what you have until next year, unless your crypto portfolio consists of memecoins then you should reconsider what you are doing.

[Anonymous No.58872771]

>>58872766
yeah it's not even past the long-term cap gains threshold lol. and i didn't sell all my btc either, i'd rather have less liquidity to buy a house than exit a lucrative position i've been seriously building since like 2018 when i discovered bitwage