Jump to content


  • Posts

  • Joined

  • Last visited

Recent Profile Visitors

The recent visitors block is disabled and is not being shown to other users.

AzCactus's Achievements


Enthusiast (6/14)

  • Conversation Starter
  • First Post
  • Collaborator
  • Posting Machine Rare
  • Dedicated

Recent Badges



  1. I totally buy this. Nothing is wrong with Greg but he's like 60/61. If Warren goes another 3-4 years which doesn't seem crazy given his energy that puts Abel basically at 65. Unless this is going to be a company of geriatrics they need more youth off the bench
  2. I think the four biggest drivers here (nothing mind blowing) are: Expenses- Necessary expenses like rent, food, utilities etc. If this is a higher % of overall budget saving is hard. Income-Probably more obvious then expenses but similar mindset. The less you make the harder it is to save. Behavior-Probably underrated. I see most things falling into needs, wants and desires. We need to eat-$4/meal, we want Chipotle-$10/meal and we desire the steakhouse at $40/meal. Too many people get this wrong not only with food but other things like autos, houses, clothes etc. Time allocation-kinda ties income income. The way that people spend their discretionary time is critical. If you don't have money maybe Ubering, Instacarting or other second jobs are better uses of time than going to a bar and watching rich athletes do their job.
  3. I'm sure I'm going to get some sh** for this but is it me or does it seem like they aren't doing such a great job as investment managers. A few thoughts: They have both been with Berkshire 10+ years The amount they manage doesn't seem to have grown so significantly given how big Berkshire is Warren doesn't appear to bring them up a ton My thoughts based on being a shareholder is that Buffett praises publicly but these two guys don't seem mentioned very often. Additionally, the amount they are managing while obviously a lot doesn't seem insane. I kinda wonder if they just bought VOO for Berkshire if shareholders might be better off. I just want to be clear-I'm not saying they aren't great investors with smallish sums I'm saying that maybe they are a bit outside their element or something. Anyone else kinda feel like this or am I just an a**hole
  4. This is part of the reason Netanyahu should lose his job. This and the fact that he has never taken responsibility (I am aware of for 10/7.
  5. Help me understand how Hamas agreed to any proposal. Didn't they basically just give a counter offer to Israel? If you change the terms of what is initially offered, what you are accepting is not what was initially proposed. Someone let me know what I'm missing.
  6. Love hearing Greg speak. It's good to see the next generation.
  7. Been spending time on Reddit-probably too much time and I've been reading about overmployment (OE). For those unfamiliar overmemployment is basically working two jobs during hours that usually overlap to a high degree. Main advantage is you get paid more money. Main disadvantage is you could fired and some people find overemployment immoral. Question for the forum is what are your thoughts on OE and more specifically if you are or have been OE how do you manage both jobs to a satisfactory level.
  8. @John Hjorth-Thanks for the insights. I have thought about keeping things exactly as they are and letting the account slowly drawdown. I have also thought about the potential liability. As her trustee, the trust documents afford me the ability to make investments for her best interest. However, there isn't a formal investment mandate. There are two other beneficiaries who I am relatively close to but it is fair that if the account were to fall substantially they may attempt legal action against me. My main concerns (and the reason for thinking about investing more aggressively) include: Her income-About 35% of her income is social security, the rest is interest income from a hysa. My expectation is that this will decrease eventually. If interest rates were to fall to 2020 or 2021 levels this would significantly increase her drawdown. Might look into CD's to offset some risk here Her expenses-Between potentially needing a caretaker around more or the option of her being in a nursing home-her expenses could increase substantially. By my estimates in a worse case scenario they could approximately double. Her life expectancy-While I mentioned above and think it's likely that 4 years is around the right number if she lived much longer this would further drain her expenses. Ultimately my fears are that in 2ish years interest rates and therefore her income is much lower, her condition has decreased and her expenses are much higher and the drawdown goes up substantially and this becomes a real challenge. Even at the present time we are talking about increasing her care which would likely increase about 1K/month to drawdown.
  9. Thanks all for the advice. She partially raised me so this hits home hard. @Saluki-I appreciate your guidance and this seems to be a pretty safe strategy. @vinod1-Will need to research annuities a bit more but if the return is around what you indicated that seems like it would reduce stress significantly.
  10. Stage 6 is pretty bad. There are only 7 stages and she can seldom enjoy her life. She defecates wherever she is even if it's not at a toilet and can't really have a cohesive conversation. My other concern is that if (when) interest rates fall the vast majority of her income (currently interest income) is going to fall and that's going to increase the drawdown rate potentially substantially.
  11. Hey guys-looking for some advice. My grandma is 92 and due to having some issues with her kids I'm managing her assets. Her physical health is good, however she also has stage 6 dementia (there's a total of 7 stages). The average life expectancy for someone with this is 4 years or fewer. This is not age adjusted A big more below: Her expenses are about $4,500. She has $1300 in social security-bringing her net expenses to about $3,200/month Her asset base is about 600K and it's currently all in a hysa earning about 4.8%. This creates about $2,400/month on a pretax basis so we can estimate $2,000 after taxes. Effectively we are going into the principal at about $1200/month or $14,400 per year. My thought is to invest her funds as shown below: 25%-VOO-dividends reinvested 25%-SCHD-dividends reinvested 10%-FZILX-dividends reinvested 40%-money market/CD's. My thought was to dollar cost average over the next 24 months. No rhyme or reason here just seems that the market is a little overheated. Any guidance is appreciated. Thanks in advance and happy to answer any questions.
  12. I guess we don't know right-there's only one reality. But markets don't go up forever-last year markets were up like 30%-was that actually warranted? My point is over the course of a general cycle-periodic pullbacks are healthy. In this specific cycle, there are several factors that are (somewhat) unique-inflation at a 30 year high, student loan debt at an all time high, a maxed out fed etc. Lastly here, I wouldn't categorize what I mentioned as fears other than the fear of a recession. It's a fact that inflation is at like a 40 year high, it's a fact that housing is unaffordable and it's a fact that student loan debt is hurting many consumers. If we look at the past call it 15 years there have been a couple of times (2008 and 2020) where the fed has intervened in a huge, huge way and we can't push the can down the road forever. Appreciate the healthy debate @Gregmal
  13. I would be surprised if we are at the bottom. Interest rates are going up, housing is not affordable for a large segment of the population, consumers might be squeezed and the US (maybe lots of the world) is headed into a recession. Also, lest we forget, the fed has totally shot their load-they have no tools I'm aware of. Not making predictions, just saying I wouldn't be surprised if we saw more downside pressure
  • Create New...