Announcement

Collapse
No announcement yet.

Taxable Account: VTSAX vs VTI

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • Tangler
    replied
    ETFs for taxable are growing on me.

    I own both ETFs and MF.

    If was starting out and had to pick, I would go with VTI & VXUS for a taxable brokerage account.

    Leave a comment:


  • bovie
    replied
    Originally posted by abds View Post

    A market order during market hours, on a very large volume ETF like VTI, with a narrow spread, is very low risk as long as it’s not placed during a time of panic-like volatility. If I’m missing something please correct me.

    A market order placed after hours and set to execute the next morning would seemingly be a very bad idea.
    Correct.

    Leave a comment:


  • abds
    replied
    Originally posted by spiritrider View Post
    With VTI, you have to place a limit (buy) or stop (sell) order at a known price. You should never use market orders.
    A market order during market hours, on a very large volume ETF like VTI, with a narrow spread, is very low risk as long as it’s not placed during a time of panic-like volatility. If I’m missing something please correct me.

    A market order placed after hours and set to execute the next morning would seemingly be a very bad idea.

    Leave a comment:


  • Larry Ragman
    replied
    Originally posted by childay View Post

    Everyone's gotta have a hobby lol. Simple is good. In case not obvious for others, TLH is optional and not gonna move the needle much overall
    I agree it is optional for most and won’t generally move the needle. In my case I am building a bank to offset some property sales, so I look for larger TLH opportunities.

    Leave a comment:


  • childay
    replied
    Originally posted by CordMcNally View Post

    I would prefer just to do a big TLH rather than 5 smaller ones within a month and now all of a sudden I've got a bunch of various mutual funds but your mileage may vary. For me, simplicity is key.
    Everyone's gotta have a hobby lol. Simple is good. In case not obvious for others, TLH is optional and not gonna move the needle much overall

    Leave a comment:


  • CordMcNally
    replied
    Originally posted by childay View Post
    I hear your point but not that complicated really. Just follow my IPS and hold longterm if needed
    I would prefer just to do a big TLH rather than 5 smaller ones within a month and now all of a sudden I've got a bunch of various mutual funds but your mileage may vary. For me, simplicity is key.

    Leave a comment:


  • childay
    replied
    Originally posted by CordMcNally View Post

    On the flip side, if a single intraday swing wipes out what you were going to TLH then you're probably TLHing too much and that's a good way to really start to complicate your portfolio.
    I hear your point but not that complicated really. Just follow my IPS and hold longterm if needed

    Leave a comment:


  • bovie
    replied
    Originally posted by Lordosis View Post
    Isn't the bid ask spread on big funds like vti negligible?
    Generally, yes.

    Leave a comment:


  • Lordosis
    replied
    Isn't the bid ask spread on big funds like vti negligible?

    Leave a comment:


  • bovie
    replied
    Originally posted by CordMcNally View Post

    On the flip side, if a single intraday swing wipes out what you were going to TLH then you're probably TLHing too much and that's a good way to really start to complicate your portfolio.
    Bingo.

    When available, I always go MF route. Just easier.

    Leave a comment:


  • Larry Ragman
    replied
    Originally posted by CordMcNally View Post

    On the flip side, if a single intraday swing wipes out what you were going to TLH then you're probably TLHing too much and that's a good way to really start to complicate your portfolio.
    Yeah, I usually don’t bother until 5 figures. But I know POF for example will TLH for 4 figures.

    Leave a comment:


  • CordMcNally
    replied
    Originally posted by childay View Post

    Because with MF you get close of market price if you sell as spiritrider mentions. I'm somewhat likely to be working at 4 EST even at the VA. Things can fluctuate a lot during the day
    On the flip side, if a single intraday swing wipes out what you were going to TLH then you're probably TLHing too much and that's a good way to really start to complicate your portfolio.

    Leave a comment:


  • childay
    replied
    Originally posted by JB14 View Post

    That's what I figured was what people did, but I just want to automate it and not have to think about it However, I assume Vanguard will allow partial share purchases someday down the line, doesn't Fidelity already allow it?

    Why are ETFs better/easier for TLH?
    Because with MF you get close of market price if you sell as spiritrider mentions. I'm somewhat likely to be working at 4 EST even at the VA. Things can fluctuate a lot during the day

    Leave a comment:


  • spiritrider
    replied
    Originally posted by xraygoggles View Post
    ETFs are better in almost every way
    VTSAX and VTI are two different share classes of the the exact same mutual fund. While VTI has a 0.03% vs. 0.04% expense ratio, VTI is subject to bid ask spreads, which can be detrimental in the accumulation phase.

    With VTI, you have to place a limit (buy) or stop (sell) order at a known price. You should never use market orders. With VTSAX you will always get the market close price.

    This is hardly a case that ETFs; "are better in almost every way." ETF holders tend to trade their portfolios rather then sticking to an IPS/Asset Allocation and buy/hold.

    Leave a comment:


  • xraygoggles
    replied
    ETFs are better in almost every way, UNLESS you want to automate monthly contributions - then you can do that via mutual funds at a set dollar amount, whereas you have to manually buy via ETFs.

    Leave a comment:

Working...
X