Like pension plans, prepaid tuition 529 plans are disappearing. Virginia closed its Prepaid529 plan to new enrollments on May 1, 2019, after facing pressure to lower the costs of prepaid tuition contracts, a move that allegedly would have threatened the health of the program. Frankly, the prepaid program was significantly smaller than the other two… Continue reading How does Virginia’s new Tuition Track Portfolio work?
To date, I’ve kept my covered calls experiments to my shares in Dumpster Fire, Inc. By selling these calls, I’ve traded future blowout returns for down-side insurance and income generation. I’ve also used it to ease out of my position in DFI, something I had a hard time doing on my own because of psychological… Continue reading Juicing Returns By Selling Covered Calls
This past week, I sold my bond holdings and spread the proceeds between our US equities and international equities allocation. It was a combination of selling our positions in VTIP, BND and VBIPX, and then gifting appreciated shares of VTEB. Why? Previously, my fixed income target was 15%. Recently, I realized that I wasn’t considering… Continue reading Bond-like Assets
There’s no shortage of market pundits predicting impending doom. The current trend of prophecy is pointing to astronomical price-to-earnings ratios and how calamity ensued the last time this happened. If I’m an investor with a lump sum to invest, what do I do? The last thing I want to do is drop it in an… Continue reading Which is the winner? Lump sum investing or dollar cost averaging?
The other day, a friend asked me to tell them what I thought about one of the options in their workplace 401(k), “The Growth Fund of America” by American Funds, ticker AGTHX. To evaluate an investment option, I generally look at three things: objective, fee structure, and benchmark performance. What is AGTHX? AGTHX is an… Continue reading How to Evaluate An Investment Option using AGTHX
One challenge that first time investors face is where to invest. The options are nearly infinite, with the financial industry creating new products every day. The myriad of choices are overwhelming. I propose the following four levels of investing. A beginning investor could start at the first level and as their education and stomach for… Continue reading Level Up Your Asset Allocation
For my readers in the United States, happy 4th of July! And for my readers outside of the United States, happy 4th of July as well 🙂 In a previous post I looked at target date funds offered by Vanguard. In my opinion, they are a great benchmark to measure other target date funds, including… Continue reading Comparing my 401(k)’s Target Date Funds