I was 30% into US stocks.. Down 5.5% YTD. Should I now get back in ?

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toomuchRE
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I was 30% into US stocks.. Down 5.5% YTD. Should I now get back in ?

Post by toomuchRE » Tue Nov 20, 2018 10:04 am

So I'm 50:30:20 into CashBond:USstock:IntlStock. Always been like that. So average around 8-9% growth in the past 4-5 years. Down 5% YTD this year and not really taking too much hit due to recent decline. Should I get into the US market now ??

PFInterest
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Re: I was 30% into US stocks.. Down 5.5% YTD. Should I now get back in ?

Post by PFInterest » Tue Nov 20, 2018 10:07 am

with new money?
or you mean make your AA more aggressive?

either way, no one knows.

toomuchRE
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Re: I was 30% into US stocks.. Down 5.5% YTD. Should I now get back in ?

Post by toomuchRE » Tue Nov 20, 2018 10:13 am

I mean with my 50% money which is in cash-bonds-treasury-stablefund....
yeah make it more aggressive now..

harvestbook
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Re: I was 30% into US stocks.. Down 5.5% YTD. Should I now get back in ?

Post by harvestbook » Tue Nov 20, 2018 10:31 am

If it's "always been like that," why bother to change now? Nothing really new has happened that hasn't been happening once or twice a year for the most part.
I'm not smart enough to know, and I can't afford to guess.

PFInterest
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Re: I was 30% into US stocks.. Down 5.5% YTD. Should I now get back in ?

Post by PFInterest » Tue Nov 20, 2018 10:34 am

toomuchRE wrote:
Tue Nov 20, 2018 10:13 am
I mean with my 50% money which is in cash-bonds-treasury-stablefund....
yeah make it more aggressive now..
the market is still positive for the year (maybe not by the end of today). and you want to sell bonds which are negative for the year......

its hardly a game changing moment........
Last edited by PFInterest on Tue Nov 20, 2018 10:35 am, edited 1 time in total.

Jack FFR1846
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Re: I was 30% into US stocks.. Down 5.5% YTD. Should I now get back in ?

Post by Jack FFR1846 » Tue Nov 20, 2018 10:35 am

Start

1) Is it your birthday

2).......If yes, rebalance to 50/30/20

3) wait 1 day

4) Go to 1

End
Last edited by Jack FFR1846 on Tue Nov 20, 2018 10:37 am, edited 1 time in total.
Bogle: Smart Beta is stupid

magicrat
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Re: I was 30% into US stocks.. Down 5.5% YTD. Should I now get back in ?

Post by magicrat » Tue Nov 20, 2018 10:36 am

toomuchRE wrote:
Tue Nov 20, 2018 10:13 am
I mean with my 50% money which is in cash-bonds-treasury-stablefund....
yeah make it more aggressive now..
Why would you change the asset allocation that you've had for a long time (and seems to have worked well for you?)? Did something change in your life / situation?

22twain
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Re: I was 30% into US stocks.. Down 5.5% YTD. Should I now get back in ?

Post by 22twain » Tue Nov 20, 2018 10:40 am

Context matters. Are you a young guy just starting out, or a middle-aged guy in mid-career, or a not-so-middle-aged guy looking to retire in the next few years, or an old guy already retired?
My investing princiPLEs do not include absolutely preserving princiPAL.

NotTooDeepLearning
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Re: I was 30% into US stocks.. Down 5.5% YTD. Should I now get back in ?

Post by NotTooDeepLearning » Tue Nov 20, 2018 6:43 pm

Would you be okay with "getting back in" now and over the course of the next year or two seeing equities slowly lose an additional 20%-30%? If that doesn't seem like a problem, then go for it. It could even go up!

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FrugalInvestor
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Re: I was 30% into US stocks.. Down 5.5% YTD. Should I now get back in ?

Post by FrugalInvestor » Tue Nov 20, 2018 6:53 pm

It's always okay to put money into the market provided you're planning to keep it there for the long term. If you're planning to jump in and out, it's a terrible idea.
Last edited by FrugalInvestor on Tue Nov 20, 2018 9:08 pm, edited 1 time in total.
IGNORE the noise! | Our life is frittered away by detail... simplify, simplify. - Henry David Thoreau

aqan
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Re: I was 30% into US stocks.. Down 5.5% YTD. Should I now get back in ?

Post by aqan » Tue Nov 20, 2018 6:58 pm

are you just being proactive and rebalancing or using the opportunity to buy the dip? either way you could be catching the falling knife make sure you're in for a long term.

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smarcus3
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Re: I was 30% into US stocks.. Down 5.5% YTD. Should I now get back in ?

Post by smarcus3 » Tue Nov 20, 2018 7:02 pm

What's your age? Seems too safe; however to each their own. I'd put more into stocks to reduce your bond exposure. I wouldn't change my asset allocation due to a slight shakeup in the market. Too easy to chase returns. Who knows if it will bounce or crash.
This is my personal opinion. I'm an engineer not a financial advisor.

bhsince87
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Re: I was 30% into US stocks.. Down 5.5% YTD. Should I now get back in ?

Post by bhsince87 » Tue Nov 20, 2018 7:07 pm

S & P 500 is actually up 4.2% since April.

I think you missed your chance! :)
Retirement: When you reach a point where you have enough. Or when you've had enough.

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dogagility
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Re: I was 30% into US stocks.. Down 5.5% YTD. Should I now get back in ?

Post by dogagility » Wed Nov 21, 2018 6:30 am

toomuchRE wrote:
Tue Nov 20, 2018 10:04 am
So I'm 50:30:20 into CashBond:USstock:IntlStock. Always been like that. So average around 8-9% growth in the past 4-5 years. Down 5% YTD this year and not really taking too much hit due to recent decline. Should I get into the US market now ??
Based upon this thread and the other threads you've started, you seem to think you can predict both housing and stock market fluctuations. I think you are mistaken and will lose money if you continue to invest based upon a market timing philosophy.

But to address this post:
1. The US stock market is about even YTD.
2. Much of your loss YTD is from your international exposure.
3. If you invest based upon recent downturns, then you should be putting more money into your international fund.

All in all, I suggest you choose an asset allocation and adhere to it no matter the market. You'll likely come out ahead of your other strategy.
Taking "risk" since 1995.

Call_Me_Op
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Re: I was 30% into US stocks.. Down 5.5% YTD. Should I now get back in ?

Post by Call_Me_Op » Wed Nov 21, 2018 7:47 am

toomuchRE wrote:
Tue Nov 20, 2018 10:13 am
I mean with my 50% money which is in cash-bonds-treasury-stablefund....
yeah make it more aggressive now..
If you have always been risk averse, why would that have suddenly changed?
Best regards, -Op | | "In the middle of difficulty lies opportunity." Einstein

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