Lessons for Building a Winning Portfolio 5 doc

... value each year as capital gains. Fortunately, there are now “tax-efficient” index funds designed for taxable accounts, which are generally able to avoid capital gains. In 1999, Vanguard created ... expense are least for large-cap funds, intermediate for small-cap and foreign funds, and greatest for emerging market funds. They are tabulated in Table 3-1. 94 The Four Pillars of Investi...

Ngày tải lên: 20/06/2014, 20:20

... the roads and public safety made travel a danger- ous, slow, and extremely uncomfortable endeavor. At a stroke, the railroads made overland travel cheap, safe, rapid, and relatively comfortable. ... financial chaos of Paris arrived a most extraordinary Scotsman: John Law. After escaping the hangman for killing a man in a 1694 duel, he studied the banking system in Amsterdam and ev...

Ngày tải lên: 20/06/2014, 20:20

... economic impact as largeasthat of financialjournalism. Just as many automobilepur- chasers will buy on the basisof a favorable reviewinCar and Driver,aglowing money manager storycanmove vast amounts ... 30 years. As you can see from Figures 12-1 and 12-2, a 6.7% withdrawal rate would actually have depleted all the portfolios in about 15 years. This means that a “penalty” of about 1 .5%...

Ngày tải lên: 20/06/2014, 20:20

... 8%4%— Stock Market Index Vanguard Tax-Managed 20% 18% 16% 14% 12% 10% 8%6%4%2%— Small Cap Vanguard Tax-Managed 25% 22 .5% 20% 17 .5% 15% 12 .5% 10% 7 .5% 5% 2 .5% — International Vanguard REIT (VA) 15% 13 .5% ... 12% 10 .5% 9% 7 .5% 6% 4 .5% 3% 1 .5% — Treasury Ladder—2 .5% 5% 7 .5% 10% 12 .5% 15% 17 .5% 20% 22 .5% 25% Vanguard Short-Term — 2 .5% 5% 7 .5% 10% 12 .5% 15% 17 .5% 20% 22 .5%...

Ngày tải lên: 20/06/2014, 20:20

... Fund, 261 Vanguard Small-Cap Index Fund, 99 Vanguard Tax-Managed Small-Cap Index Fund, 99 Vanguard Total International Fund, 255 , 256 Vanguard Total Stock Market Fund, 104, 246 Vanguard Value Index ... 52 . 05% U.S. small-cap value stocks (Russell 2000 Val.) 51 .88% Real estate investment trusts (DFA REIT) – 65. 58% Int’l. large-cap stocks (EAFE) 56 .40% Int’l. large-cap value stocks (EAF...

Ngày tải lên: 20/06/2014, 20:20

... employing an amortization calculation, typically using a standard financial calculator, such as a Texas Instruments TI BA- 35, which can be bought for about $20. This is an extremely common procedure among ... withdrawal rate would actually have depleted all the portfolios in about 15 years. This means that a “penalty” of about 1 .5% –2% was extracted by “the luck of the draw.” In ot...

Ngày tải lên: 21/06/2014, 02:20

... financial chaos of Paris arrived a most extraordinary Scotsman: John Law. After escaping the hangman for killing a man in a 1694 duel, he studied the banking system in Amsterdam and even- tually ... Industrial Average, which had toyed with the 1,000 level in January 1973, was now trading at 8 75 six and a half years later. 154 The Four Pillars of Investing England sea captain, doc...

Ngày tải lên: 21/06/2014, 12:20

... paying, and paying and paying and paying and paying and paying The advertisement goes on to explain how the product being pushed, the Gateway Incentive Variable Annuity, pays the salesman a 4% ... million. At that point, the fund’s performance turned around, and it gradually began to accumulate assets again, finally reaching the $1 billion mark in 1998. In that year, it beat the S&P 5...

Ngày tải lên: 21/06/2014, 12:20

... Sheltered International Vanguard Tax-Managed MSCI EAFE Open-end * 0. 35% $10,000/NA 324 Taxable International Vanguard International NA Open-end none 0.64% $3,000/$1,000 910Sheltered Value Fidelity Spartan ... of a finan- cial advisor just to gain access to DFA? Probably not. Their tax-man- aged, foreign-small and foreign-value funds carry expenses which are 0.2% to 0.6% higher than Vanguar...

Ngày tải lên: 21/06/2014, 12:20

... companies arecalled “growth stocks,” and those ofbad companies arecalled“value stocks.” Let’s considerfor a moment, Wal-Martand Kmart. The formeris finan- cially healthyand universallyadmired, ... withlegendary management, a steadily growing stream of earnings, and a hugepileof cash on hand for emergencies. The latterisasick puppy, having recently declaredbankruptcy due to marginal fi...

Ngày tải lên: 20/06/2014, 20:20