Good day to buy?!

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Topic Author
Mode32
Posts: 219
Joined: Mon Mar 02, 2020 1:24 pm

Good day to buy?!

Post by Mode32 »

As the markets continue (on what appears to be) a significant downward slide today, I'm thinking today may be a good bet to buy (i.e., VTSAX)? Again, this would not change regular monthly contributions as always planned. Learning from this forum, I'm also not a fan of market timing, but the possibility of some discounts today seem real.
DesertDiva
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Location: In the desert

Re: Good day to buy?!

Post by DesertDiva »

Mode32 wrote: Mon Mar 09, 2020 10:15 amLearning from this forum, I'm also not a fan of market timing, but...
:oops: :oops: :oops:
runner3081
Posts: 3826
Joined: Mon Aug 22, 2016 3:22 pm

Re: Good day to buy?!

Post by runner3081 »

Sigh.

Good day? Crystal ball is broken. Could drop to 15K tomorrow, or could go to 30K tomorrow.
tdmp
Posts: 83
Joined: Sat Mar 09, 2019 10:12 am

Re: Good day to buy?!

Post by tdmp »

Rebalance according to your IPS. This depends on what your asset allocation is. If you use the 5% band (and fix income is constant), it takes quite a bit of a drop before you get to the 5% band. Certainly fix income changes so you have to recalulate it accordingly.


https://thefinancebuff.com/5-percent-re ... -band.html
BoggledHead2
Posts: 562
Joined: Tue Jun 12, 2018 6:50 pm

Re: Good day to buy?!

Post by BoggledHead2 »

Total INT is at its lowest prices since 2016 ...
and my average cost basis can be lowered ...
and this purchase would keep me right in line with my target asset allocation ...

So, yes - It is time to buy (for me)
retire2022
Posts: 1818
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Location: NYC

Re: Good day to buy?!

Post by retire2022 »

VTI is essentially sept/ October 2019 levels if you didn’t buy then this is a another chance a redo
Shallowpockets
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Re: Good day to buy?!

Post by Shallowpockets »

You already missed it. Should have made your decision earlier. That's is one problem is that people waffle and analyze and things move while that happens. Its OK though, you can wait for the bottom. Do you have a number in mind? Because now your bottom has got to be below the lowest it was earlier today.
tibbitts
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Joined: Tue Feb 27, 2007 6:50 pm

Re: Good day to buy?!

Post by tibbitts »

Shallowpockets wrote: Mon Mar 09, 2020 11:11 am Because now your bottom has got to be below the lowest it was earlier today.
Why? You can only buy at closing prices, not intra-day.
chevca
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Re: Good day to buy?!

Post by chevca »

What would you be buying with... been sitting on cash?
dru808
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Location: mid pac

Re: Good day to buy?!

Post by dru808 »

I’m buying today....

It’s my weekly automatic contribution. every Monday, all the time.
sptm
Sandwich
Posts: 80
Joined: Thu Jul 21, 2016 8:04 pm

Re: Good day to buy?!

Post by Sandwich »

I'll bite.

I made my 2020 ROTH IRA contribution the first week of January - 100% into Vanguard Prime Money Market Fund.

Today, I exchanged a small portion of that into Vanguard 500 Index. My strategy is to exchange ROTH IRA funds from Money Market into 500 Index during "down" days like this. I have a 10+ investment horizon so can afford to ride the ups and downs.
MotoTrojan
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Re: Good day to buy?!

Post by MotoTrojan »

Better than Friday, not sure how it compares to tomorrow.
MotoTrojan
Posts: 10727
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Re: Good day to buy?!

Post by MotoTrojan »

Sandwich wrote: Mon Mar 09, 2020 11:36 am I'll bite.

I made my 2020 ROTH IRA contribution the first week of January - 100% into Vanguard Prime Money Market Fund.

Today, I exchanged a small portion of that into Vanguard 500 Index. My strategy is to exchange ROTH IRA funds from Money Market into 500 Index during "down" days like this. I have a 10+ investment horizon so can afford to ride the ups and downs.
If you can afford to ride the ups and downs, then you should invest as soon as you can. Your "strategy" is expected mathematically to lose in the long-run.
RobLyons
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Re: Good day to buy?!

Post by RobLyons »

Its always a good time to buy, especially today! I follow BH approach with the nuance of being greedy when others are fearful.
I'm not able to max contribute but I don't mind taking my EFs down a bit when good deals arise.
Over the past couple weeks...
2019 Roths have been maxed
Doubled my 403 contributions
Increased weekly 2020 Roth contributions

:greedy :moneybag :D
"Great parenting sets the foundation for a better world"
Topic Author
Mode32
Posts: 219
Joined: Mon Mar 02, 2020 1:24 pm

Re: Good day to buy?!

Post by Mode32 »

I'm looking to contribute a little more toward IRA than I normally would today
Karna6e
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Re: Good day to buy?!

Post by Karna6e »

I was starting my taxable account soon, so I'm looking to purchase for the first time outside of my retirement accounts.

Initially, I thought I would go all-in for VTSAX, but with the market being down, I was thinking about getting into large cap growth/tech companies with lots of cash on hand that could weather any coming recession (Apple, Microsoft, etc). I have it narrowed down to VUG, VGT, or VITAX. Anyone have any thoughts?
inbox788
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Re: Good day to buy?!

Post by inbox788 »

DesertDiva wrote: Mon Mar 09, 2020 10:16 am
Mode32 wrote: Mon Mar 09, 2020 10:15 amLearning from this forum, I'm also not a fan of market timing, but...
:oops: :oops: :oops:
It's been discussed here, just google RBD or "really bad day".

viewtopic.php?t=194427

FWIW, I bought a little on Friday, and really should buy some more today, but the ferocity today has me even more angsty and I'm waiting for the other shoe to drop.
xraygoggles
Posts: 72
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Re: Good day to buy?!

Post by xraygoggles »

Karna6e wrote: Mon Mar 09, 2020 12:52 pm I was starting my taxable account soon, so I'm looking to purchase for the first time outside of my retirement accounts.

Initially, I thought I would go all-in for VTSAX, but with the market being down, I was thinking about getting into large cap growth/tech companies with lots of cash on hand that could weather any coming recession (Apple, Microsoft, etc). I have it narrowed down to VUG, VGT, or VITAX. Anyone have any thoughts?
VGT and VTI top 10 holdings are very similar.
“Compound interest is the eighth wonder of the world. He who understands it, earns it ... he who doesn't ... pays it.”
Every things free
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Location: Rocky Mountains

Re: Good day to buy?!

Post by Every things free »

Today was a good day for me to purchase VTSAX -Total U.S. Stock market.

Someday read the book, The Witch of Wall Street. It's about a woman, Hetty Green.
She taught me. Always have some extra money available for opportunities.
Today was an opportunity.
I'm thankful I had some extra money.

Today was a Hetty Green day.
Kim
You know when you are rich. You can buy anything you want but want nothing.
aceoperations
Posts: 201
Joined: Fri Aug 03, 2012 9:04 am

Re: Good day to buy?!

Post by aceoperations »

Too bad my next paycheck isn't till the end of the week. Those 401k contributions to my S&P500 are set to max... who knows, it might go lower, or it might not. Fortunately, I have more important things to think about... like whats for lunch. :mrgreen:
manatee2005
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Joined: Wed Dec 18, 2019 9:17 pm

Re: Good day to buy?!

Post by manatee2005 »

Every things free wrote: Mon Mar 09, 2020 1:32 pm Today was a good day for me to purchase VTSAX -Total U.S. Stock market.

Someday read the book, The Witch of Wall Street. It's about a woman, Hetty Green.
She taught me. Always have some extra money available for opportunities.
Today was an opportunity.
I'm thankful I had some extra money.

Today was a Hetty Green day.
Kim
What if we tank another 20% from here. Do you have more cash for that opportunity?
Jon_PassiveInvestor
Posts: 306
Joined: Sat Mar 12, 2011 10:23 pm

Re: Good day to buy?!

Post by Jon_PassiveInvestor »

Every things free wrote: Mon Mar 09, 2020 1:32 pm Today was a good day for me to purchase VTSAX -Total U.S. Stock market.

Someday read the book, The Witch of Wall Street. It's about a woman, Hetty Green.
She taught me. Always have some extra money available for opportunities.
Today was an opportunity.
I'm thankful I had some extra money.

Today was a Hetty Green day.
Kim
In same boat. Bought 12k today!
100% VTSAX in Taxable Account. | 100% VTSAX in Retirement Accounts
NYCPete
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Location: New York, NY

Re: Good day to buy?!

Post by NYCPete »

Karna6e wrote: Mon Mar 09, 2020 12:52 pm I was starting my taxable account soon, so I'm looking to purchase for the first time outside of my retirement accounts.

Initially, I thought I would go all-in for VTSAX, but with the market being down, I was thinking about getting into large cap growth/tech companies with lots of cash on hand that could weather any coming recession (Apple, Microsoft, etc). I have it narrowed down to VUG, VGT, or VITAX. Anyone have any thoughts?
Stick with VTSAX and start reading up on tax loss harvesting. Int'l index funds makes a lot of sense in a taxable account because you can take the foreign tax credit, something you can't benefit from in a retirement account. Tax efficient investing is something you can control. You have no idea which companies, funds, or sectors are going to do well in the future.

Best,
Peter
To the extent that a fool knows his foolishness, | He may be deemed wise | A fool who considers himself wise | Is indeed a fool. | | Buddha
Momus
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Joined: Tue Feb 21, 2012 9:23 pm

Re: Good day to buy?!

Post by Momus »

We are back at January 2019 level. All 2019 31% gain is wiped out. I guess it's a good time to buy if you haven't put that money to work since January 2019.
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Nestegg_User
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Re: Good day to buy?!

Post by Nestegg_User »

Momus wrote: Mon Mar 09, 2020 2:14 pm We are back at January 2019 level. All 2019 31% gain is wiped out. I guess it's a good time to buy if you haven't put that money to work since January 2019.
actually, I did some gain "harvesting" on 11/27 and left it in MM, as I wasn't tempted for international/europe

also, retired, getting pension, still deferring SS (but could start anytime but IPS has me at FRA as earliest)... and below 2% wr..... and IPS has me at 45% equities and was at 42% after harvesting.... so yes I do have "dry powder", but I'm probably going to wait until the quarterly earnings report start where I expect the drops to bottom out. (they will likely take awhile to creep up from there)
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StormShadow
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Re: Good day to buy?!

Post by StormShadow »

inbox788 wrote: Mon Mar 09, 2020 1:15 pm
DesertDiva wrote: Mon Mar 09, 2020 10:16 am
Mode32 wrote: Mon Mar 09, 2020 10:15 amLearning from this forum, I'm also not a fan of market timing, but...
:oops: :oops: :oops:
It's been discussed here, just google RBD or "really bad day".

viewtopic.php?t=194427

FWIW, I bought a little on Friday, and really should buy some more today, but the ferocity today has me even more angsty and I'm waiting for the other shoe to drop.
+1.

I'm kicking myself for buying last week.
aceoperations
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Re: Good day to buy?!

Post by aceoperations »

Timing the market on the way down is just as hard as timing it on the way up.
Irisheyes
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Re: Good day to buy?!

Post by Irisheyes »

I bought a little VTSAX yesterday but am selling it today for a 3%+ gain, assuming market stays up into close.

I am more fearful than greedy.
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willthrill81
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Re: Good day to buy?!

Post by willthrill81 »

Irisheyes wrote: Tue Mar 10, 2020 2:20 pm I bought a little VTSAX yesterday but am selling it today for a 3%+ gain, assuming market stays up into close.

I am more fearful than greedy.
Market timing?!? Shame on you!! :twisted: (just kidding)

It's too bad you didn't buy UPRO instead (3x S&P 500 ETF).
“It's a dangerous business, Frodo, going out your door. You step onto the road, and if you don't keep your feet, there's no knowing where you might be swept off to.” J.R.R. Tolkien,The Lord of the Rings
Irisheyes
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Re: Good day to buy?!

Post by Irisheyes »

willthrill81 wrote: Tue Mar 10, 2020 2:23 pm
Irisheyes wrote: Tue Mar 10, 2020 2:20 pm I bought a little VTSAX yesterday but am selling it today for a 3%+ gain, assuming market stays up into close.

I am more fearful than greedy.
Market timing?!? Shame on you!! :twisted: (just kidding)

It's too bad you didn't buy UPRO instead (3x S&P 500 ETF).
:happy That's way above my paygrade....
Ferdinand2014
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Re: Good day to buy?!

Post by Ferdinand2014 »

Mode32 wrote: Mon Mar 09, 2020 10:15 am As the markets continue (on what appears to be) a significant downward slide today, I'm thinking today may be a good bet to buy (i.e., VTSAX)? Again, this would not change regular monthly contributions as always planned. Learning from this forum, I'm also not a fan of market timing, but the possibility of some discounts today seem real.
Everyday is a good day to buy.
“You only find out who is swimming naked when the tide goes out.“ — Warren Buffett
Shallowpockets
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Re: Good day to buy?!

Post by Shallowpockets »

tibbitts wrote: Mon Mar 09, 2020 11:19 am
Shallowpockets wrote: Mon Mar 09, 2020 11:11 am Because now your bottom has got to be below the lowest it was earlier today.
Why? You can only buy at closing prices, not intra-day.

Buy VTI instead. End of day is not good strategy in this moving up and down market.
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