Possible rebalancing opportunity at most
Search found 648 matches
- Sat Mar 02, 2024 9:51 am
- Forum: Investing - Theory, News & General
- Topic: The recent surge: stand pat or "sell high?"
- Replies: 54
- Views: 6445
Re: The recent surge: stand pat or "sell high?"
- Mon Feb 12, 2024 9:32 am
- Forum: Investing - Theory, News & General
- Topic: "Vectors"
- Replies: 9
- Views: 1843
Re: "Vectors"
Bogleheads: I am somewhat of a newsletter junkie. It dates back 50 years ago when the Miami Library subscribed to several dozen financial newsletters. I would go down to the library every month to read the latest newsletters--and the 5 inch thick Morningstar Mutual Funds. In my opinion, currently one of the best financial newsletters is Vectors by George Sisti. Mr. Sisti is a former airline pilot turned financial advisor. This is a link to his latest issue of Vector s: Vectors Comments appreciated. Best wishes. Taylor Jack Bogle's Words of Wisdom: "The Bogleheads forum is a treasure trove of information, as its contributors and visitors alike help one another, with no axe to grind, in all matter of topics that essentially cover the en...
- Wed Feb 07, 2024 4:11 pm
- Forum: Personal Finance (Not Investing)
- Topic: When to Start Soc Sec
- Replies: 61
- Views: 6812
Re: When to Start Soc Sec
I've read many articles on this topic plus I ran the opensocialsecurity.com calculator and was settled on a strategy of delaying my Soc Sec benefit until age 70. I understand that I will need to live to about age 80 or longer for this strategy to have been better than starting at 62. Basic facts - I don't need the money, I was the primary wage earner between my wife and me and I am 3 years older than my wife. I just watched a Dave Ramsey video in which he ranted on that if you do not need the money that the best strategy by far is to commence at 62 and take the after-tax benefit amounts and invest those. He said the returns will far outweigh the increased benefit amount you get by waiting. Does this guy know what he's talking about? take i...
- Mon Jan 22, 2024 4:30 pm
- Forum: Investing - Theory, News & General
- Topic: At what point of the accumulation process (DCA), do you hope the market goes up?
- Replies: 24
- Views: 1959
Re: At what point of the accumulation process (DCA), do you hope the market goes up?
So early on in the accumulation process, you hope market goes down or stays flat. So one can buy at a cheaper rate (DCA). Then lets say one still continues to accumulate (he has not retired). Ideally, the market drops by 99% the day you start working, stays down until you have been saving for years and are ready to retire.... and then shoots up 56,000% to where it would have been if it held 9% annual returns for all those (~30) years. But practically, at what point, does one actually hope the market goes up? Is it possible to actually quantitate it? This is my theory: lets say one has planned that he would be able to retire @10% CAGR with a certain regular investment - in the space of 20 years. Then he would hope the market actually stays ...
- Sat Jan 20, 2024 8:53 am
- Forum: Investing - Theory, News & General
- Topic: Good time for small cap out performance?
- Replies: 41
- Views: 5435
- Wed Jan 17, 2024 6:11 pm
- Forum: Personal Finance (Not Investing)
- Topic: Which loan should I put extra money toward?
- Replies: 17
- Views: 1450
Re: Which loan should I put extra money toward?
+1 absolutelybtq96r wrote: ↑Tue Jan 16, 2024 11:50 pm This is the rare case where the HELOC is both your lowest total amount and highest interest payment. It's also not one you need to be carrying. I'd get rid of that soon as it can be paid.
Then you can put the HELOC payment money towards saving/investing and think about which mortgage to attack. Re two income is great until it stops cold turkey. Just keep enough to float that mortgage in a pinch. Think of it as saving for an internal loan rather than going back to a HELOC.
- Wed Jan 17, 2024 5:58 pm
- Forum: Investing - Theory, News & General
- Topic: How big a portfolio is okay for 100% stock?
- Replies: 115
- Views: 20709
- Mon Jan 15, 2024 3:18 pm
- Forum: Investing - Theory, News & General
- Topic: To rebalance or not rebalance?
- Replies: 53
- Views: 6436
Re: To rebalance or not rebalance?
Consult your IPS.
- Wed Jan 03, 2024 6:41 pm
- Forum: Investing - Theory, News & General
- Topic: If you retired using the 4% rule and the market crashed 50% a week later?
- Replies: 100
- Views: 15984
Re: If you retired using the 4% rule and the market crashed 50% a week later?
I would stick with the original plan and rebalance. There is no need to over react to a significant drop.
The market will eventually recover. Yes some portion in bonds is a wise move.
- Mon Jan 01, 2024 11:23 am
- Forum: Investing - Theory, News & General
- Topic: Market Return vs Earning/Price Ratio
- Replies: 10
- Views: 1301
Re: Market Return vs Earning/Price Ratio
This is probably the best method of guessing the future of the market.
- Fri Dec 29, 2023 12:37 pm
- Forum: Personal Finance (Not Investing)
- Topic: Credit card recommendation: one card to rule them all?
- Replies: 95
- Views: 13900
Re: Credit card recommendation: one card to rule them all?
Sapphire preferred is an excellent card for the categories you mentioned.MtnTravel wrote: ↑Tue Dec 26, 2023 10:35 am Is the Sapphire Preferred or Reserve worth looking at? I can keep my old Amex just as a backup.
We spend quite a bit on dining and travel, which is why we get a lot of points on our current American Express. But not every merchant takes it in the US and almost no one takes it overseas
- Thu Dec 28, 2023 10:01 am
- Forum: Investing - Theory, News & General
- Topic: Am I the only investor allocating more towards Bonds in 2024?
- Replies: 149
- Views: 30628
Re: Am I the only investor allocating more towards Bonds in 2024?
Other than rebalancing or normal glidepath adjustments, no!
- Wed Dec 27, 2023 5:14 pm
- Forum: Personal Investments
- Topic: Buying a rental property with sibling?
- Replies: 17
- Views: 1449
Re: Buying a rental property with sibling?
Over the holidays I had a discussion with my sister and her wife about buying a two-unit rental property that abuts their house. It is habitable but judging from the outside (plywood where a window should be) we think the inside is in rough shape. We think it will fetch between $550k - $600k based on value in Zillow/Redfin, etc. and would probably need $150k - %200k or more of work between the roof and whatever interior work needs to be done. My sister-in-law said she's happy doing the job of managing the property and she's the more "handy" of the two. I personally dislike doing that kind of work, but would if need be. In order to do this, I'd have to liquidate my taxable position ($100k) and maybe dip into my I-Bonds ($30k). I'm...
- Wed Dec 27, 2023 9:47 am
- Forum: Investing - Theory, News & General
- Topic: A Christmas Message
- Replies: 140
- Views: 14261
Re: A Christmas Message
Bogleheads: On Christmas Eve 1944, I was a 20 year old American paratrooper in a snow-covered foxhole outside the Belgian town of Bastogne. The Germans had launched a night attack thinking we would be less alert. They were wrong. We were soon surrounded by several German Divisions who demanded our surrender. Our commander replied "Nuts." You can read about it here: https://www.archivesfoundation.org/documents/surrender-nuts-gen-anthony-mcauliffes-1944-christmas-message-troops/ Merry Christmas! Taylor Jack Bogle's Words of Wisdom: "I’ve known many people in the financial business who’ve said, ‘I’m really proud because I did it all myself.’ And when someone has the temerity to say that to me, and a lot of people do, the first ...
- Sun Dec 24, 2023 8:29 am
- Forum: Personal Investments
- Topic: I Messed Up How Do I Get Back In
- Replies: 97
- Views: 20663
Re: I Messed Up How Do I Get Back In
+2 go back in the same door you came out ofSilverado wrote: ↑Sun Dec 17, 2023 7:15 am+1, just reverse course.TomatoTomahto wrote: ↑Sun Dec 17, 2023 7:09 amEvery time the market has a great month, people come out of the woodwork and vow to “never again.” Did you DCA out of the market or lump sum? My recommendation is to get back in the same way you got out, which most likely was a lump sum. I could be wrong, because I, along with so many others, know nothing.LaramieWind wrote: ↑Sun Dec 17, 2023 6:52 am I want to get back into the market, but how? I am OK with all at once but the market is so high now. Should I wait until there is some correction. A percent each month?
Good luck.
- Sat Dec 16, 2023 11:25 am
- Forum: Personal Investments
- Topic: For Those Who Are Retired Do You Keep Cash Accounts
- Replies: 57
- Views: 12349
Re: For Those Who Are Retired Do You Keep Cash Accounts
I feel that the emergency fund should reside outside of your tax deferred portfolio
so as not create an unwanted tax issue should you need to use it. In addition to that
I keep a couple years of withdrawals in a money market within my portfolio as a buffer for times when
markets are down severely. This lets me SWAN.
so as not create an unwanted tax issue should you need to use it. In addition to that
I keep a couple years of withdrawals in a money market within my portfolio as a buffer for times when
markets are down severely. This lets me SWAN.
- Fri Dec 08, 2023 2:58 pm
- Forum: Personal Finance (Not Investing)
- Topic: Optimizing cc purchase
- Replies: 11
- Views: 1126
Re: Optimizing cc purchase
I have a large expense coming up ($20k) for which the cash is set aside to pay. I would like to optimize the purchase by using a credit card to purchase, then paying the card off in full. The vendor does not charge a cc fee. I have Amex Delta Plat, but I’m wearying of Delta and find it hard to redeem miles and ecredits for where and when I’d like to travel. I have an Amex offer for a non branded Plat card with 80k membership points but I flinch at the $695 annual fee. I have various other cards, not currently in use, most of which have categorized spends that do not apply. Perhaps the most simple is the Fidelity Rewards Visa? Any other ideas? I would acquire and use a general travel card. Either chase ultimate rewards or Amex rewards. Thes...
- Thu Nov 30, 2023 2:39 pm
- Forum: Investing - Theory, News & General
- Topic: Which of the two is correct? [Do dividends matter?]
- Replies: 17
- Views: 2493
Re: Which of the two is correct?
ywHyperchicken wrote: ↑Thu Nov 30, 2023 1:02 pmCAGR 0.43% since 2007
Max. Drawdown -74.54%
Expense Ratio 0.87%
Thanks for the reminder why I am not investing in commodities.
- Thu Nov 30, 2023 12:01 pm
- Forum: Investing - Theory, News & General
- Topic: Which of the two is correct? [Do dividends matter?]
- Replies: 17
- Views: 2493
Re: Which of the two is correct?
DBC ?Hyperchicken wrote: ↑Thu Nov 30, 2023 10:50 am Problem with gold is lack of diversification and not lack of income.
Out of everything, why gold? Buying gold is the equivalent of buying individual stocks.
If there were something like total commodities market index fund, then maybe it would be worth considering. Maybe. But nothing like that exists to my knowledge.
- Tue Nov 21, 2023 3:27 pm
- Forum: Personal Investments
- Topic: How to help coworkers with retirement planning?
- Replies: 66
- Views: 7803
Re: How to help coworkers with retirement planning?
If they didn't ask you, butt out.
If they did ask you, send them to Bogleheads.org.
Never presume to help anyone with something at which you are not a professional.
- Sat Nov 18, 2023 7:48 am
- Forum: Investing - Theory, News & General
- Topic: 30/70 is as good as 60/40
- Replies: 179
- Views: 25954
Re: 30/70 is as good as 60/40
When I used the Vanguard Retirement Nest Egg Calculator to analyze safe withdrawal rates, a 60/40 portfolio has a 91% success rate over 30 years at a 4% withdrawal rate. A 30/70 portfolio has a success rate of...90%. Why would anyone take so much more risk to achieve essentially the same result? Vanguard Retirement Nest Egg Calculator could itself be wrong. These are models based on historical data so don't rely on these too much. 50/50 stocks/bonds and 50/50 active/passive is a well diversified allocation in retirement. Anything else you are rolling a dice. The more I read on this forum and elsewhere, the more I think you're right about the 50/50. I love 50/50. I'm never wrong. If stocks are up, I'm smart for having 50% in stocks. If stoc...
- Thu Nov 09, 2023 7:22 am
- Forum: Investing - Theory, News & General
- Topic: Are treasuries instead of corporate bonds a mistake for people in low-tax states?
- Replies: 19
- Views: 2326
Re: Are treasuries instead of corporate bonds a mistake for people in low-tax states?
If there is a B in the rating it means beware, just sayin!Spring garden wrote: ↑Tue Nov 07, 2023 8:41 pm HT vineviz from similar thread. viewtopic.php?t=259346
I can't speak to accuracy of chart or if it is outdated, but in a bad downturn I would be concerned risk may be higher than has been observed in past (ie no promises that these rates hold true in the future).
- Thu Nov 09, 2023 7:14 am
- Forum: Investing - Theory, News & General
- Topic: "Why Market Timing Doesn't Work"
- Replies: 27
- Views: 5213
Re: "Why Market Timing Doesn't Work"
Substitute, Trend Following, for market timing.
Any difference? Thoughts? How about momentum investing?
Not advocating anything here just provoking thoughts.
Any difference? Thoughts? How about momentum investing?
Not advocating anything here just provoking thoughts.
- Wed Nov 08, 2023 4:21 pm
- Forum: Investing - Theory, News & General
- Topic: earnings yield plus inflation - most straight forward stock return estimate?
- Replies: 90
- Views: 7619
- Mon Nov 06, 2023 7:59 pm
- Forum: Investing - Theory, News & General
- Topic: Can passive index investing beat active AI investing
- Replies: 96
- Views: 9763
Re: Can passive index investing beat active AI investing
Think of AI as just another active investor.WhiteMaxima wrote: ↑Sun Nov 05, 2023 11:15 pm We all know passive investing beat active investing in long term. Can it also beat AI quantitive investing
- Sat Nov 04, 2023 8:50 am
- Forum: Investing - Theory, News & General
- Topic: You can't eat Sharpe Ratio (or can you)?
- Replies: 54
- Views: 4857
Re: You can't eat Sharpe Ratio (or can you)?
Touched on in a recent thread and in other threads in the past, but I wanted to focus on this. I think it's particularly salient now, in light of high interest rates (nominal and real), whereas the P/E of the S&P 500 hasn't really dipped much, suggesting that the ERP is relatively low by recent historical standards. While there are "stay the course" adherents who don't think valuation matters, I, personally, DO think valuation matters, and, for a particular investor, the portfolio that is optimal at, say, 3% interest rates, 7% expected equity returns (ERP ~4%) is not necessarily optimal at 5 or 5.5% interest rates, 8% expected equity returns (ERP ~2.5-3%). I'm not necessarily saying that's my exact figure for ERP right now, b...
- Tue Oct 24, 2023 7:16 am
- Forum: Personal Investments
- Topic: How often do you rebalance your AA, any studies showing return improvement?
- Replies: 46
- Views: 5421
Re: How often do you rebalance your AA, any studies showing return improvement?
+1UpperNwGuy wrote: ↑Tue Oct 24, 2023 7:12 amI do not rebalance to increase my returns. In many cases it decreases my returns. I rebalance to maintain a constant level of risk.
Rebalancing is a risk management tool. It may or may not enhance returns
depending on what phase of the investment cycle you are in. Once a year should suffice.
I do look for extreme market movements also.
- Sat Oct 21, 2023 9:59 am
- Forum: Investing - Theory, News & General
- Topic: earnings yield plus inflation - most straight forward stock return estimate?
- Replies: 90
- Views: 7619
Re: earnings yield plus inflation - most straight forward stock return estimate?
https://www.multpl.com/s-p-500-earnings-yield the earnings yield is currently around 4%. earnings yield for those that dont know, is the 'reverse PE'. instead of price to earnings ratio that investors use to gauge how valuable a stock is, the earnings yield measures the literal amount of money each unit of the stock market is earnings. it measures the profits, the most important thing to the future of a stock. if you add a 3% rider for what is historical inflation, we are looking at 7% returns going forward. when it comes to stock return predictions, i know the conventional boglehead wisdom is "nobody knows nothing"". but if we were to venture a guess, it would seem the earnings yield plus inflation is the simplest and most ...
- Sat Oct 21, 2023 9:52 am
- Forum: Investing - Theory, News & General
- Topic: Should we expect average market returns to be 0 till 2027+?
- Replies: 29
- Views: 3952
Re: Should we expect average market returns to be 0 till 2027+?
https://i.ibb.co/tMbt7V3/stock-market.png Since index investing entails accepting the average market returns that have high long-term correlation with the GDP, shouldn't we, the non-market timers, expect that the market will reverse back some time in the future to the consistent trend(s) (black and blue lines, with slightly different slopes) observable at least since the early 2000's? Of course, in the short-term , the stock market can and will go up, down, or move sideways for some years. That is why this post is not about short-term market timing but long-term return expectation: Shouldn't the expectation of the average market returns be zero for a considerable amount of years (at least 4 years from now), a rather long duration for the m...
- Tue Oct 17, 2023 10:59 am
- Forum: Personal Investments
- Topic: Tired of working. Are we ready to retire?
- Replies: 65
- Views: 13118
Re: Tired of working. Are we ready to retire?
Call it burnt out, but I no longer have any desire to work. We want to call it quits, but unsure we are ready or not. Here are #'s: Assets Retirement account: 1.1mil brokerage account: 1.5mil cash: 0.3mil total: 3mil Annual spending: $115,000 (this includes $1,500/month private insurance + $1,000 extra fund + mortgage) $84,000 (this includes $1,500/month private insurance + $1,000 extra fund + mortgage paid off) Family him: 49yo her: 47yo son: junior in college (his education fund is taken care of) daughter: 1st grade elementary I played 2 scenarios with firecalc, 1) keep paying the mortgage that has 27 years remaining and 2) payoff the mortgage for smaller annual spending. Both scenarios are set for 45 years in retirement. I left out addi...
- Tue Oct 17, 2023 10:25 am
- Forum: Personal Investments
- Topic: To Emergency Fund or not...
- Replies: 53
- Views: 8290
Re: To Emergency Fund or not...
This is my opinion, I feel that that an emergency fund is important particularly when you are in the phases of accumulating. You want to have that partitioning to avoid the temptation of using your retirement funds. You may also be unlucky and suddenly need the money, forcing you to liquidate at 60 to 70 cent on the dollar plus additional penalties for retirement accounts. For example last year I ended up with some unexpected house repairs. If I had no emergency funds I would have had to sell my bonds and stock at a considerable loss. Your emergency fund should be about 6-12 months of expenses. This may seem like a lot of money but will be dwarfed by your entire portion in the future. It will not matter that much to your total return. Thin...
- Wed Oct 11, 2023 4:30 pm
- Forum: Personal Investments
- Topic: Retirement Anxiety w/ Vanguard 50:50 Bond allocation
- Replies: 34
- Views: 5956
Re: Retirement Anxiety w/ Vanguard 50:50 Bond allocation
+1CookieDough wrote: ↑Tue Oct 10, 2023 5:01 pm There's nothing wrong with a 50:50 AA, but if you prefer your original 75:25, you can tell your advisor to change it to that. You're the customer; you're right.
But -- I don't know that I'd go selling bonds right now. Then you're locking in the losses. Might be better to wait and move toward a higher stock allocation over time, or possibly by not reinvesting bond dividends, and instead investing any bond dividends into stock index funds.
BTW, you might be interested in Open Social Security, an online tool that some folks use to strategize when to start their SS benefits, and when their spouse should start their benefit.
https://opensocialsecurity.com/
- Tue Oct 10, 2023 5:26 pm
- Forum: Investing - Theory, News & General
- Topic: Barron's: Stock investors shoud not accept returns less than 9.2%
- Replies: 43
- Views: 5607
Re: Barron's: Stock investors shoud not accept returns less than 9.2%
Food for thought: "By adding the 10-year Treasury’s 4.7% yield to the 4.5% equity risk premium (as calculated by New York University’s Aswath Damodaran) for U.S. large-cap stocks, Colas says the lowest annual compounded return that stock investors should accept over the next decade is 9.2%. " Of course, it seems absurd to decide what returns to "accept" over the next decade, when nobody has any ideas what those returns might be, and I have no idea how the "equity risk premium" was calculated (I assume based on past data, which seems pretty irrelevant). Wall Street isn't blackjack. You can't calculate the odds. https://www.barrons.com/articles/tech-stocks-s-p-500-3fd3e0e4 As an index investor, you pretty much t...
- Tue Oct 10, 2023 5:22 pm
- Forum: Investing - Theory, News & General
- Topic: At what point does BND become attractive?
- Replies: 141
- Views: 23836
Re: At what point does BND become attractive?
Attractiveness is a relative term. Compared to what is the question.Yesterdaysnews wrote: ↑Sat Oct 07, 2023 11:11 am Seems many people are disappointed with the last several years of BND performance, understandable. Right now, investors appear to be happy to camp out at the short end of the curve for fixed income allocations.
My question is at what point does BND and other intermediate durations products become attractive for the fixed income allocation portion of a portfolio?
I realize it takes some time for the higher rates to work their way into a bond fund such as BND.
- Thu Oct 05, 2023 12:27 pm
- Forum: Investing - Theory, News & General
- Topic: Cash is a terrible long-term investment
- Replies: 369
- Views: 39719
Re: Cash is a terrible long-term investment
How did you feel last year when the market lost 20%, bonds lost 13% and inflation was about 7%? What happened to your buying power? ... losses can’t pay my bills. And selling low is something I try to avoid. Having some cash on hand allows me to not do that. Buying power? Are you paying your monthly bills out of your investment portfolio? I don't care if my stock or bond holdings lose value over the course of a year, or two years, or even a longer period. They will regain their lost value over the long-term, and I'm a long-term investor. Many retirees do actually rely to some extent on their portfolios for cash flow to pay monthly expenses. If you are still accumulating, you probably aren't concerned with this (cash equivalents) aspect of ...
- Wed Sep 27, 2023 9:19 pm
- Forum: Investing - Theory, News & General
- Topic: "Does Market Timing Work?"
- Replies: 42
- Views: 4048
Re: "Does Market Timing Work?"
The question shouldn't be does market timing work? Of course it works. The question should be does it beat buy and hold?
The answer is sometimes, if you are lucky and do it just right all the time. Plug in your favorite investment to the
Portfolio analyzer market timing graphing tool. Use different time frames. You'll see how hit and miss it is.
regards, balbrec2
The answer is sometimes, if you are lucky and do it just right all the time. Plug in your favorite investment to the
Portfolio analyzer market timing graphing tool. Use different time frames. You'll see how hit and miss it is.
regards, balbrec2
- Thu Sep 21, 2023 9:53 pm
- Forum: Personal Finance (Not Investing)
- Topic: Debit card fraud
- Replies: 27
- Views: 3486
- Thu Sep 07, 2023 11:37 am
- Forum: Investing - Theory, News & General
- Topic: When will the stock market price in the recent inflation?
- Replies: 44
- Views: 4260
Re: When will the stock market price in the recent inflation?
Stocks as an inflation hedgemuffins14 wrote: ↑Thu Sep 07, 2023 8:08 am I don’t think I even really understand the concept here.
If revenues increase due to companies increasing the price of their products and people are willing to pay the same or higher PE for the stock, or PE increases enough to offset lower earnings, then stock prices should rise.
Just because there is inflation doesn’t mean that stock prices should change, right?
long term, likely good
short term, likely poor.
- Tue Sep 05, 2023 3:50 pm
- Forum: Investing - Theory, News & General
- Topic: Cash is a terrible long-term investment
- Replies: 369
- Views: 39719
Re: Cash is a terrible long-term investment
It does have it's moments.gammalaser wrote: ↑Thu Aug 31, 2023 10:53 pm A great video by Ben Felix on why cash is a terrible investment for the long term
https://www.youtube.com/watch?v=KdzOlRRHOU8
Key points: Cash has low expected returns in the long run due to not carrying any risk premium. And even in a high interest rate environment, stocks/bonds have superior long term expected returns.
My conclusion: Stick to your stock/bond allocation. Don't try to tactically change to cash even in the short term unless you actually need to spend that cash soon or as an emergency fund!
- Sun Sep 03, 2023 10:06 am
- Forum: Personal Investments
- Topic: Is an annuity logical in this situation?
- Replies: 31
- Views: 3168
Re: Is an annuity logical in this situation?
I think that exactly, when someone likes to point out the inferiority of cash equivalents due to inflation.Taylor Larimore wrote: ↑Sat Sep 02, 2023 4:49 pmBogleheads:
Inflation reduces return from nearly all investments--not just annuities.
Best wishes
TaylorJack Bogle's words of wisdom: "Depending on the particular circumstances, annuities are a good idea, but only annuities available at very low cost and commensurately high return."
Inflation is an equal opportunity destroyer of value.
- Sat Sep 02, 2023 7:59 am
- Forum: Investing - Theory, News & General
- Topic: Cash is a terrible long-term investment
- Replies: 369
- Views: 39719
Re: Cash is a terrible long-term investment
How did you feel last year when the market lost 20%, bonds lost 13% and inflation was about 7%? What happened to your buying power? ... losses can’t pay my bills. And selling low is something I try to avoid. Having some cash on hand allows me to not do that. Buying power? Are you paying your monthly bills out of your investment portfolio? I don't care if my stock or bond holdings lose value over the course of a year, or two years, or even a longer period. They will regain their lost value over the long-term, and I'm a long-term investor. Yes, buying power. What your money actually buys. I will be paying bills out of my investment accounts. What’s the point of having them if you aren’t actually using them. Not sure where you’re going with t...
- Wed Aug 23, 2023 5:08 pm
- Forum: Investing - Theory, News & General
- Topic: "These will be the best 10 stocks in 2023, analysts say"
- Replies: 120
- Views: 22738
Re: "These will be the best 10 stocks in 2023, analysts say"
Is this what the same analysts are buying or just what they're saying?
- Tue Aug 15, 2023 11:57 am
- Forum: Personal Investments
- Topic: Pay cash for mortgage or keep funds in the market?
- Replies: 53
- Views: 4908
Re: Pay cash for mortgage or keep funds in the market?
200k at 7% for 30 years would cost you 479k if you held to term.
I would pay now and DCA back into your investments.
Not paying 7% is just as good as earning 7% except it is tax free, so it is actually better.
7% would be a good rate of return on a diverse portfolio.
over 30 years but there is no telling what the markets will give you.
You can lock it in now by paying up front. Given your age you have time to rebuild.
your portfolio.
The one caveat to the mortgage is if rates go up, you look smart to have locked in and
if rates go down, you can refinance. I'd rather take the sure 7% myself.
I would pay now and DCA back into your investments.
Not paying 7% is just as good as earning 7% except it is tax free, so it is actually better.
7% would be a good rate of return on a diverse portfolio.
over 30 years but there is no telling what the markets will give you.
You can lock it in now by paying up front. Given your age you have time to rebuild.
your portfolio.
The one caveat to the mortgage is if rates go up, you look smart to have locked in and
if rates go down, you can refinance. I'd rather take the sure 7% myself.
- Sun Jul 30, 2023 9:12 am
- Forum: Investing - Theory, News & General
- Topic: is it accurate to say almost no one beats the market?
- Replies: 136
- Views: 11794
Re: is it accurate to say almost no one beats the market?
Is it necessary to beat the market to do well? For me and I suspect many others
the answer is no. I'll take Market returns at no effort anytime.
the answer is no. I'll take Market returns at no effort anytime.
- Thu Jul 27, 2023 5:19 pm
- Forum: Investing - Theory, News & General
- Topic: Factoring Pensions and Social Security into Asset Allocation
- Replies: 34
- Views: 4266
Re: Factoring Pensions and Social Security into Asset Allocation
It's a bad idea. Just NO!
- Thu Jul 27, 2023 4:48 pm
- Forum: Investing - Theory, News & General
- Topic: What is your overall portfolio weighted expense ratio
- Replies: 333
- Views: 43590
- Mon Jul 24, 2023 7:25 pm
- Forum: Personal Investments
- Topic: Calculate Value of a Pension for AA
- Replies: 55
- Views: 5805
- Mon Jul 24, 2023 11:19 am
- Forum: Investing - Theory, News & General
- Topic: Human capital correlation with stock market?
- Replies: 26
- Views: 2628
Re: Human capital correlation with stock market?
Never invest more than 5-10% of your money in your employer's stock, no matter
how good it looks. (think Enron)
Beyond that stay diversified, use index funds
how good it looks. (think Enron)
Beyond that stay diversified, use index funds
- Sat Jul 22, 2023 8:11 am
- Forum: Investing - Theory, News & General
- Topic: How did you deal with the uncertainty of retiring???
- Replies: 83
- Views: 10038
Re: How did you deal with the uncertainty of retiring???
I went from working full time 48hrs a week shift work, to 12 hrs a week, consulting
with the same company. Keeps me busy and puts a few extra bucks in my pocket.
I plan to wind this down in a couple more years. Meticulous planning both on
the spending side and the saving/investing side gave me the confidence to leave.
Having a good group of friends outside of your job is extremely helpful. social interaction
is extremely important. Learn to play Pickleball
with the same company. Keeps me busy and puts a few extra bucks in my pocket.
I plan to wind this down in a couple more years. Meticulous planning both on
the spending side and the saving/investing side gave me the confidence to leave.
Having a good group of friends outside of your job is extremely helpful. social interaction
is extremely important. Learn to play Pickleball
- Fri Jul 21, 2023 8:06 am
- Forum: Investing - Theory, News & General
- Topic: an AI engine's "thoughts" on US stocks and bonds
- Replies: 75
- Views: 6851
Re: an AI engine's "thoughts" on US stocks and bonds
“It's tough to make predictions, especially about the future.” ― Yogi Berra