These look like ~1.5% apr, isn’t there a lot better options (and FDIC)?
I’m seeing returns of 2.66% in the last 12 months and 1.1% in the last 3 months (4.4% APR) in a higher rate environment
4.25% here but haven’t looked at it too deep. My job situation is up in the air, once its not, I may just boost my emergency fund/cash to 100k and the shop around for bonuses with it. Zero faith in the market rn.
I’m not sure if there’s a difference in risk if you’re talking about money market funds via different providers, but I doubt that a Vanguard MMF vs. a Schwab MMF is meaningfully different controlling for the types of assets they invest in. In terms of HYSA vs. MMF, I know there’s theoretically more risk in a money market fund, but I put my cash in SNSXX, which only invests in U.S. Treasuries, so I’m viewing that as essentially the same as being FDIC insured. (Until debt ceiling negotiations fall through!) I’m sure this is not as good as buying treasuries directly, because of the expense ratio, but it’s also super easy so I’m going to pretend it’s the optimal thing to do.
It’s a little unnerving to me when I think about it how much I don’t optimize these decisions. I’m sure I could benefit from a financial advisor, but I’m too lazy/cheap to go to one.
uh .35% expense ratio seems huge. 5 year yield of 1.12%? What I am missing?
Agree on the .35% expense ratio. I don’t know why the reported 5 year yield is so low, but it’s the current yield (4.26%) that matters. That will fluctuate with changes in rates, obviously.
For comparison, the Vanguard equivalent fund is VUSXX, which has an expense ratio of only 0.09% and a current yield of 4.67%. The reported 5 year return on that is 1.33%.
But regardless of whether it’s Vanguard or TD Ameritrade, I have no idea why I’m still keeping a separate Capital One HYSA at 3.5% instead of a MMF at a brokerage where I already have an account.
https://bogleheads.org/forum/viewtopic.php?t=403453
Hey can we retire early? Btw, my wife’s parents are loaded and are paying for our kids’ college education, and my wife has a trust fund that owns a mine and generates six figures in annual income.
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LOL. It’s not even, “Can we retire now?” It’s “Can we retire 15 years from now?”
I guess the variable is that the mine royalty is “decreasing” with time. I suppose if it goes to zero soon, then that might be an actual question. Didn’t read beyond OP, tho.
You’re better off picking up a part time job and saving those dollars than optimizing what seems like a perfectly acceptable level of activity and knowledge.
Unless you want to make it something of a hobby. Which is what those boglehead freaks do.
If it makes you feel better, there is no financial advisor that really gives a shit about the kind of optimization.
You’re the wrong person for a financial advisor. You’d realize immediately that the cost wouldn’t justify it. Maybe if you hired a fee-only, hourly person to look over your portfolio every so often, that would make sense. Those kinds of people (who are good) are hard to find.
Standard brag post.
Yeah things are pretty murky with your current 400k/yr income and only debt being 450k on a sub 3% mortgage. Is it? Ok here lemme list off all my boglehead approved funds my retirement is in like that matters at all
Asshole.
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Compared to the ones with 8 figure NW (which come up a lot), his is nothing to be that impressed by. It’s not even a particularly sick brag.
I refinanced my student loans with First Republic years ago. Anyone know what might happen to my monthly payments?
There are people on bogleheads who claim to work at Lowe’s or whatever for the health insurance while sitting on 10+ million dollars. Absolute freaks
LOL wat? Even post Obamacare?
I don’t find that weird in and of itself. I find it weird they do that and then virtue signal by blogging about it. That’s some profound loneliness.
Nothing like moving your kid into college while you’re fucking 70
No fucking way
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Posts like that are why I got snipped with zero kids at 44. I don’t want any surprises.
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Did you bank some sperm in case you have a change of heart?