Search found 542 matches

by jhogue
Mon Nov 09, 2020 8:43 am
Forum: Permanent Portfolio Discussion
Topic: 5% guaranteed vs PP Results
Replies: 16
Views: 766

Re: 5% guaranteed vs PP Results

I was wondering with ST rates at 0 and LT rates at 1.54 if people still had confidence of that performance over the next 20 years. No question, the Fed has intended for its Zero Interest Rate Policy (ZIRP) to lower the entire Treasury yield curve, end-to-end, since 2008. Despite 12 years of non-sto...
by jhogue
Wed Oct 28, 2020 10:47 am
Forum: Cash
Topic: Best current options for cash and STT's?
Replies: 40
Views: 2537

Re: Best current options for cash and STT's?

Investors in online Ally bank CDs ( 5 year CD currently 1.00%) should take note of a thread over on bogleheads: Ally has apparently ended its online early withdrawal option. Holders of CDs who want an early redemption must now call the bank and speak in person to a customer service rep. There are al...
by jhogue
Thu Oct 22, 2020 12:58 pm
Forum: Other Discussions
Topic: Why are you afraid of if the “other” party wins?
Replies: 107
Views: 1663

Re: Why are you afraid of if the “other” party wins?

While our political melee and racial issues are concerning and a manifestation of our dysfunction as a species...I'm much more concerned about our ability to cope with climate change. Ironically it's not even a Black swan event. We have known for quite sometime that this is going to present challen...
by jhogue
Tue Oct 20, 2020 11:15 am
Forum: Cash
Topic: Volcker
Replies: 6
Views: 440

Re: Volcker

I remember how Volcker crushed inflation with high interest rates. It was great if you were saving dollars. Not so good if you were trying to take out a long term mortgage on a house. I got my first money market fund from Dreyfus about 1979-1980. At its height, I think I was getting 20-21% on my mon...
by jhogue
Sun Oct 18, 2020 10:45 am
Forum: Cash
Topic: New iBond rate 1.68%
Replies: 1
Views: 329

Re: New iBond rate 1.68%

1. To give it some context, the 1 November I-bond yield of 1.68% is better than on-line Ally Bank's advertised 5 year CD (1.00%) or a 10 year Treasury (0.77%). The best no-risk short term investment out there today-- and probably the only one without a negative real yield right now. 2. Don't forget ...
by jhogue
Wed Oct 14, 2020 3:46 pm
Forum: Cash
Topic: Best current options for cash and STT's?
Replies: 40
Views: 2537

Re: Best current options for cash and STT's?

Good question, barrett. From an HBPP technical standpoint, I don’t think there is anything wrong with using 1-3 month T-bills for Cash as you have described. The only problem is that doing so is practically guaranteed to earn a negative real rate of interest over the coming year, given the Fed’s ann...
by jhogue
Wed Oct 14, 2020 10:00 am
Forum: Cash
Topic: Best current options for cash and STT's?
Replies: 40
Views: 2537

Re: Best current options for cash and STT's?

My target Cash position, consisting of equal parts FDLXX/ 1 yr. T-bills/ I-Bonds, is very similar. Over the past year I have stopped buying T-bills and shifted toward FDLXX/ 0 / I-bonds as T-bill yields have fallen to close to 0%. Has Fidelity waived the .42% expense ratio on FDLXX? If so, that fun...
by jhogue
Mon Oct 12, 2020 1:07 pm
Forum: Other Discussions
Topic: Ruth Bader Ginsburg
Replies: 141
Views: 3588

Re: Ruth Bader Ginsburg

Corto,
Thanks for providing one more reason to confirm 48 year old Judge Barrett.
by jhogue
Mon Oct 12, 2020 12:50 pm
Forum: Other Discussions
Topic: Ruth Bader Ginsburg
Replies: 141
Views: 3588

Re: Ruth Bader Ginsburg

Diane Feinstein, who is 87 years old and obviously suffering from hardening of the attitudes, accused ACB of letting the dogma live loudly within her. The senator never took back those words.

Sounds like an unconstitutional religious test to me.
by jhogue
Mon Oct 12, 2020 12:41 pm
Forum: Cash
Topic: I Bonds!
Replies: 11
Views: 891

Re: I Bonds!

1. The older I get, the more I appreciate 30 years of federal tax deferral and 30 years of state and local tax exemption. BTW that federal tax exemption continues even if you have reached the age of Required Minimum Distributions. Why redeem your I-bonds now, if they still fulfill their original int...
by jhogue
Thu Sep 24, 2020 2:54 pm
Forum: Cash
Topic: I Bonds!
Replies: 11
Views: 891

Re: I Bonds!

Savings bonds and CDs both have purchase limits. In the case of CDs, the purchase limit ($250,000) is a function of FDIC and NCUA insurance policies. Those limits are periodically adjusted (always upward), primarily because of the effect of inflation. In the case of savings bonds, annual purchase li...
by jhogue
Tue Sep 22, 2020 11:38 am
Forum: Cash
Topic: I Bonds!
Replies: 11
Views: 891

Re: I Bonds!

I think that I bonds will never get much recognition.

The very fact that they carry a 0.00% expense ratio means that banks and brokerage firms will never have any incentive to advertise them. In fact, they have every reason to instruct their legions of financial advisors NOT to advertise them.