|
|
09-27-2014, 10:41 AM
|
#21
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Nov 2007
Posts: 7,746
|
Quote:
Originally Posted by Donzo
|
Picking last year's winning managers is somewhat like picking last night's winning lottery numbers.
__________________
Retired in 2013 at age 33. Keeping busy reading, blogging, relaxing, gaming, and enjoying the outdoors with my wife and 3 kids (8, 13, and 15).
|
|
|
|
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!
Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!
You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!
|
09-27-2014, 10:50 AM
|
#22
|
Thinks s/he gets paid by the post
Join Date: Sep 2006
Posts: 2,840
|
Quote:
Originally Posted by FUEGO
Makes me glad I have incredibly boring Vanguard index funds (with a few ishares ETFs index funds thrown in for spice). I'd hate to have to consider selling a highly appreciated position (which is almost everything I own now) and taking a tax hit if the managers change suddenly and I want out.
|
I thought PIMCO, like any managed fund would be spinning off the interest and capital gains each year as you go along so there should not be a major tax hit for this? How could this result in a major tax hit when you sell? I thought the deferral of taxes was a benefit of index funds and the tax hit hen you sell was their downside, not managed funds. I would think the 25- 30% excess return Gross was providing versus the benchmark index over the last 10-15 years would have paid all taxes due and resulted in a large post tax position.
For performance over the index it is competing against Morningstar said PIMCO total return fund averaged 1.4% better per year for the last 10 years (6.0% vs 4.6%) for last 5 years 5.1 vs 4.1 for the last 3 years 4.4 vs 2.4 for the last year it is down 3.5 vs 4.0. To state that one down year is proof managed money cannot work is incorrect.
And the fact that Janus has such a low starting base is going to be an asset for anyone getting in early with him, as he was able to earn outsized returns with an amazing level of funding that few money managers can handle. It is possible his age though is resulting in a cognitive decline that will effect future returns, but in interviews I have seen, he still seems real sharp.
__________________
But then what do I really know?
https://www.early-retirement.org/forums/f44/why-i-believe-we-are-about-to-embark-on-a-historic-bull-market-run-101268.html
|
|
|
09-27-2014, 11:15 AM
|
#23
|
Full time employment: Posting here.
Join Date: Apr 2006
Posts: 944
|
Quote:
Originally Posted by FUEGO
Picking last year's winning managers is somewhat like picking last night's winning lottery numbers.
|
I made that mistake early in my investing days. Mostly by reading Money mag and taking their suggestions
__________________
Freed at 49. You only live once - live it
|
|
|
09-27-2014, 12:33 PM
|
#24
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: May 2008
Posts: 7,422
|
PIMCO employees were not allowed to talk to him during the day nor make eye contact.
They had to be in the office at 4:15 AM.
Appears he drove out Mohammed El Eryan.
|
|
|
09-27-2014, 12:42 PM
|
#25
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Nov 2010
Location: Sarasota, FL & Vermont
Posts: 36,263
|
I've been a Money reader for over 20 years. To me, they advocate no-load, low-cost index funds more than anything.
__________________
If something cannot endure laughter.... it cannot endure.
Patience is the art of concealing your impatience.
Slow and steady wins the race.
Retired Jan 2012 at age 56
|
|
|
09-27-2014, 04:44 PM
|
#26
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Nov 2007
Posts: 7,746
|
Quote:
Originally Posted by Running_Man
I thought PIMCO, like any managed fund would be spinning off the interest and capital gains each year as you go along so there should not be a major tax hit for this? How could this result in a major tax hit when you sell? I thought the deferral of taxes was a benefit of index funds and the tax hit hen you sell was their downside, not managed funds. I would think the 25- 30% excess return Gross was providing versus the benchmark index over the last 10-15 years would have paid all taxes due and resulted in a large post tax position.
|
Now that you mention it, you're probably right regarding most PIMCO funds (are all of them bond funds?). Bond funds don't tend to have a lot of capital appreciation over time like equity funds do. Most gains from bonds are interest payments. So maybe my fears of high cap gains coming due aren't as warranted for PIMCO given they manage mostly bond funds (on an AUM basis).
Otherwise, many actively managed equities funds do appreciate over time, only spitting out some of the gains in the form of CG distributions and dividends.
__________________
Retired in 2013 at age 33. Keeping busy reading, blogging, relaxing, gaming, and enjoying the outdoors with my wife and 3 kids (8, 13, and 15).
|
|
|
09-27-2014, 04:56 PM
|
#27
|
Thinks s/he gets paid by the post
Join Date: Jul 2006
Posts: 1,901
|
I think he rode the bond bull for all it was worth. Now, not so easy.
__________________
“I guess I should warn you, if I turn out to be particularly clear, you've probably misunderstood what I've said” Alan Greenspan
|
|
|
09-27-2014, 06:15 PM
|
#28
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Feb 2004
Location: Portland, Oregon
Posts: 7,108
|
This, IMHO, really gets back to the issue of what to do when you have a stellar fund that implodes for reasons other than market sector. I have OAKIX which has been stellar until recently and wonder why I am standing put.
__________________
Duck bjorn.
|
|
|
09-30-2014, 06:28 AM
|
#29
|
Thinks s/he gets paid by the post
Join Date: Feb 2004
Location: Mid Hudson Valley
Posts: 1,781
|
Quote:
Originally Posted by explanade
Sounds like Gross is going to a competitor to try to hurt his previous employer. You'd think he'd have a non-compete clause in his contract?
Still wanting to prove something at 70 ...
|
Definitely not FIRE material. He'll probably die at his desk...
__________________
In a panamax down by the river.
|
|
|
10-02-2014, 01:56 PM
|
#30
|
Moderator Emeritus
Join Date: May 2007
Posts: 12,894
|
I sold half of our PIMCO Total Return stake in DW's Fidelity 401K. She signed up for Brokeragelink and the money will be going to a plain total bond index ETF. The PIMCO fund's high expenses were arguably justified by Gross' superior record over the years, but not anymore, especially in this low yield environment. I am still pondering what to do with the second half. A TIPS fund maybe.
|
|
|
10-02-2014, 02:05 PM
|
#31
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jun 2002
Location: Texas: No Country for Old Men
Posts: 50,003
|
Quote:
Originally Posted by FIREd
I am still pondering what to do with the second half. A TIPS fund maybe.
|
Only a few weeks until PenFed usually rolls out their annual "CD Special". Worth waiting to see what they do this year?
__________________
Numbers is hard
|
|
|
10-02-2014, 02:09 PM
|
#32
|
Moderator Emeritus
Join Date: May 2007
Posts: 12,894
|
Quote:
Originally Posted by REWahoo
Only a few weeks until PenFed usually rolls out their annual "CD Special". Worth waiting to see what they do this year?
|
I think that I only have access to brokered CDs with Brokeragelink (inside a 401K). I do have some cash stashed up elsewhere to take advantage of any Penfed CD special however.
|
|
|
11-03-2014, 02:15 PM
|
#34
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Mar 2003
Posts: 18,085
|
More importantly, when will he finally STFU?
__________________
"All animals are equal, but some animals are more equal than others."
- George Orwell
Ezekiel 23:20
|
|
|
|
|
Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
|
|
Thread Tools |
|
Display Modes |
Linear Mode
|
Posting Rules
|
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts
HTML code is Off
|
|
|
|
» Recent Threads
|
|
|
|
|
|
|
|
|
|
|
|
|
» Quick Links
|
|
|