The Calm Post - Stay the course thread.

Discuss all general (i.e. non-personal) investing questions and issues, investing news, and theory.
Puretaxableindexer
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Re: The Calm Post - Stay the course thread.

Post by Puretaxableindexer »

Forget earnings, growth rates, trade deals as long as this Coronavirus is spreading. Despite that, I have kept my AA basically the same for a long long time, which is 70/30 US/Intl stock indexes and multi-sector bond funds.
Unladen_Swallow
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Re: The Calm Post - Stay the course thread.

Post by Unladen_Swallow »

vipertom1970 wrote: Wed Feb 26, 2020 10:19 am For me the best way to prepare for big market drop is not AA, it’s having no mortgage, no debt, low expenses and having at least two years of EF. My portfolio dropped close to 200k last couple days but I din’t even break a sweat or panic at all.
This might not be everyone's cup of tea, but it is absolutely mine!

My personal philosophy and key to my financial peace of mind - in this order:

1. High savings rate (tax advantaged) and being debt free
2. Then investment portfolio
"I think it's much more interesting to live not knowing than to have answers which might be wrong." - Richard Feynman
TomCat96
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Re: The Calm Post - Stay the course thread.

Post by TomCat96 »

Everyone go back to work.

Nothing to see here.
WarAdmiral
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Re: The Calm Post - Stay the course thread.

Post by WarAdmiral »

Yawn... //An appropriate reaction to "The Clam Post"

"Inactivity strikes us as a particularly intelligent behavior" - Warren and Charlie.
bikechuck
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Re: The Calm Post - Stay the course thread.

Post by bikechuck »

OOOOOOOM
OOOOOOOM
OOOOOOOM
GCD
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Re: The Calm Post - Stay the course thread.

Post by GCD »

MnD wrote: Wed Feb 26, 2020 10:11 am
GCD wrote: Wed Feb 26, 2020 10:07 am My wife and I have been retired several years now and the only thing that bothers me about this recent volatility is I'm missing out on such a great buying opportunity! Oh well. We've weathered storms before. No big deal.
If you maintain a fixed asset allocation and have a rule-based rebalancing strategy, a retiree can benefit greatly from buying opportunities that are presented in down markets.
In my particular situation I am 100% stock with my investible assets. I'm not excited enough about the buying opportunity to start shifting non-liquid assets around to create cash to buy more stocks. Now 2 months from now when the schools go on early summer break, everyone that can is teleworking, etc. and the markets have really melted down in temporary overreaction, I may be inspired to make some lifestyle choices to free up cash for investment.
rockstar
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Re: The Calm Post - Stay the course thread.

Post by rockstar »

Puretaxableindexer wrote: Wed Feb 26, 2020 2:48 pm Forget earnings, growth rates, trade deals as long as this Coronavirus is spreading. Despite that, I have kept my AA basically the same for a long long time, which is 70/30 US/Intl stock indexes and multi-sector bond funds.
And it's going to disrupt supply chains. This is eventually going to impact financials. We might not know how bad until Q2 earnings.
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SmileyFace
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Re: The Calm Post - Stay the course thread.

Post by SmileyFace »

rockstar wrote: Wed Feb 26, 2020 3:28 pm
Puretaxableindexer wrote: Wed Feb 26, 2020 2:48 pm Forget earnings, growth rates, trade deals as long as this Coronavirus is spreading. Despite that, I have kept my AA basically the same for a long long time, which is 70/30 US/Intl stock indexes and multi-sector bond funds.
And it's going to disrupt supply chains. This is eventually going to impact financials. We might not know how bad until Q2 earnings.
Don't these statements belong in the "Free Fall" thread? 8-)
Now can folks appreciate why I didn't think we needed a third non-actionable thread :D
Sigz
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Re: The Calm Post - Stay the course thread.

Post by Sigz »

Another triple digit red day. Stay the course!
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watchnerd
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Re: The Calm Post - Stay the course thread.

Post by watchnerd »

Spinola wrote: Wed Feb 26, 2020 11:23 am I am staying the course. My AA allows me to rest easy. It has rebalanced itself from 62% equities downward a bit .. 8-)
I rode out the 2008 crisis with a similar AA and my portfolio more than tripled since then. Also making my contributions as usual, into 403b automated and just made a Roth contribution into VTI (80%) and VTV(20%) . Stay the course.
:sharebeer

Image
What is "Guaranteed" in your AA graph?
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MnD
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Re: The Calm Post - Stay the course thread.

Post by MnD »

Ramjet wrote: Wed Feb 26, 2020 10:35 am
MnD wrote: Wed Feb 26, 2020 10:08 am
Ramjet wrote: Wed Feb 26, 2020 8:51 am
abuss368 wrote: Wed Feb 26, 2020 8:46 am
Ramjet wrote: Wed Feb 26, 2020 8:43 am I can see a retiree having some angst over this, everyone else...meh
Maybe and maybe not. My folks are retired and this has not phased them. Their asset allocation has what they need in bonds.
Agree, I just doubt most retirees have the proper asset allocation. Not talking Bogleheads
There is no "proper" asset allocation for a retiree. It is very specific for any given retiree for their capacity to take risk (which can be objectively determined) and their willingness to take risk which is a function of investing personality.
What information are you using to infer that "most" retirees don't have the proper allocation? I find that most opinions like that just reflect a persons investing personality being some distance from the norm and hence "everyone else" seems off base when viewed through that lens.
The U.S. adult financial literacy level is at 57% according to the Standard & Poors Global Financial Literacy Survey

Knowing that, how can someone reasonable assume that the average person has the proper asset allocation?

You are looking too much into something that is simply not there
The median total value of financial asets available to support retirement (broad definition including retirement and non-retirement accounts) for households age 60-69 is $40,000. https://dqydj.com/retirement-savings-by ... ed-states/
Asset allocation is a meaningless term for most retirees because they don't have any meaningful level of financial assets.
One can doubt that most retirees have the proper asset allocation but that's just conjecture.
70/30 AA for life, Global market cap equity. Rebalance if fixed income <25% or >35%. Weighted ER< .10%. 5% of annual portfolio balance SWR, Proportional (to AA) withdrawals.
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Spinola
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Re: The Calm Post - Stay the course thread.

Post by Spinola »

watchnerd wrote: Wed Feb 26, 2020 5:06 pm What is "Guaranteed" in your AA graph?
TIAA Traditional. Currently earning an average interest rate of 3.95% across all my "vintages"
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Ramjet
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Re: The Calm Post - Stay the course thread.

Post by Ramjet »

MnD wrote: Wed Feb 26, 2020 5:08 pm
Ramjet wrote: Wed Feb 26, 2020 10:35 am
MnD wrote: Wed Feb 26, 2020 10:08 am
Ramjet wrote: Wed Feb 26, 2020 8:51 am
abuss368 wrote: Wed Feb 26, 2020 8:46 am

Maybe and maybe not. My folks are retired and this has not phased them. Their asset allocation has what they need in bonds.
Agree, I just doubt most retirees have the proper asset allocation. Not talking Bogleheads
There is no "proper" asset allocation for a retiree. It is very specific for any given retiree for their capacity to take risk (which can be objectively determined) and their willingness to take risk which is a function of investing personality.
What information are you using to infer that "most" retirees don't have the proper allocation? I find that most opinions like that just reflect a persons investing personality being some distance from the norm and hence "everyone else" seems off base when viewed through that lens.
The U.S. adult financial literacy level is at 57% according to the Standard & Poors Global Financial Literacy Survey

Knowing that, how can someone reasonable assume that the average person has the proper asset allocation?

You are looking too much into something that is simply not there
...One can doubt that most retirees have the proper asset allocation but that's just conjecture.
https://www.fool.com/retirement/2020/02 ... about.aspx

"More than half (55%) of Americans don't know how their retirement investments are allocated, according to a recent survey from Schroders. Even more worrisome, though, is that 43% of survey respondents say they don't plan to adjust their asset allocation as they head into retirement"
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Mactheriverrat
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Re: The Calm Post - Stay the course thread.

Post by Mactheriverrat »

rockstar wrote: Wed Feb 26, 2020 3:28 pm

And it's going to disrupt supply chains. This is eventually going to impact financials. We might not know how bad until Q2 earnings.
I turned on CNBC ( they have a problem for every solution) today for a couple of minutes. They were talking as if the coronavirus would be the death of every living being on earth. So it really doesn't matter.

Jeeeez - Now back to my ice cold bud light.
Everything evolves. | May Every Sunrise Bring You Hope. May Every Sunset Bring you Peace.
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HomerJ
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Re: The Calm Post - Stay the course thread.

Post by HomerJ »

Mactheriverrat wrote: Wed Feb 26, 2020 9:59 pm
rockstar wrote: Wed Feb 26, 2020 3:28 pm

And it's going to disrupt supply chains. This is eventually going to impact financials. We might not know how bad until Q2 earnings.
I turned on CNBC ( they have a problem for every solution) today for a couple of minutes. They were talking as if the coronavirus would be the death of every living being on earth. So it really doesn't matter.

Jeeeez - Now back to my ice cold bud light.
I told my wife there's no point of sticking to my diet since we're all going to be dead in a few weeks anyway.

Think I'll open a Bud Light too.
A Goldman Sachs associate provided a variety of detailed explanations, but then offered a caveat, “If I’m being dead-### honest, though, nobody knows what’s really going on.”
NotTooDeepLearning
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Re: The Calm Post - Stay the course thread.

Post by NotTooDeepLearning »

I'm holding UPRO through all of this. It's not that bad.
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watchnerd
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Re: The Calm Post - Stay the course thread.

Post by watchnerd »

HomerJ wrote: Wed Feb 26, 2020 11:03 pm
Mactheriverrat wrote: Wed Feb 26, 2020 9:59 pm
rockstar wrote: Wed Feb 26, 2020 3:28 pm

And it's going to disrupt supply chains. This is eventually going to impact financials. We might not know how bad until Q2 earnings.
I turned on CNBC ( they have a problem for every solution) today for a couple of minutes. They were talking as if the coronavirus would be the death of every living being on earth. So it really doesn't matter.

Jeeeez - Now back to my ice cold bud light.
I told my wife there's no point of sticking to my diet since we're all going to be dead in a few weeks anyway.

Think I'll open a Bud Light too.
Oh, I was using the virus as an excuse to buy new home gym toys to "stay healthy to fight the disease so I don't die in 2 weeks" to my DW.

I'm drinking gin tonic.
70% Global Market Weight Equities | 15% Long Treasuries 15% short TIPS & cash || RSU + ESPP
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Cubicle
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Re: The Calm Post - Stay the course thread.

Post by Cubicle »

Supposedly something happened with the socks stocks today. What was I supposed to do? Because I can't even find my password.
"Oh look another bajillion point declin-Ooooh!!! A coupon for pizza!!!!" <--- This is what everyone's IPS should be. ✓✓✓
HEDGEFUNDIE
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Re: The Calm Post - Stay the course thread.

Post by HEDGEFUNDIE »

Cubicle wrote: Thu Feb 27, 2020 12:54 am Supposedly something happened with the socks stocks today. What was I supposed to do? Because I can't even find my password.
You should probably get that password reset before the state escheats your holdings.
rick2427
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Re: The Calm Post - Stay the course thread.

Post by rick2427 »

Thank you for starting this CALM Thread.
I 'm glad I decided to keep 3 years expenses in CD's and the rest in an asset allocation that I can live with.
I am staying put...will rebalance as per my IPS.
Thank you BOGLEHEADS!!
vipertom1970
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Re: The Calm Post - Stay the course thread.

Post by vipertom1970 »

rick2427 wrote: Thu Feb 27, 2020 1:37 am Thank you for starting this CALM Thread.
I 'm glad I decided to keep 3 years expenses in CD's and the rest in an asset allocation that I can live with.
I am staying put...will rebalance as per my IPS.
Thank you BOGLEHEADS!!
Don't' worry, this is just like a little bump on the road and it's only back to around December 2019. 2008-2009 taught me to stay the course, keep on investing when I was down over 45%. Glad to see you had good amount saved in CD.
JiggyWillis
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Re: The Calm Post - Stay the course thread.

Post by JiggyWillis »

The Guided Meditation is awesome!

It seems like months I have been watching the weekly auto investments to the 401k buy nothing but total bond trying to catch up to my AA. Now I will get to buy total stock market-- Oh, Goodie! It does look like the portfolio will tick back under seven figures today if futures are any indication. That's not so fun.

I will do nothing different.
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midareff
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Re: The Calm Post - Stay the course thread.

Post by midareff »

Age 72, 8 years retired soon to start year 9. AA normally 48/48/4, equities, FI and cash. As of this AM down .06% for the year and up 11.89% for the prior 12 months. The Shiller is still plenty high at 29.59, so lots more sell off can come. Have enough FI for the rest of our lives, ... read less enjoy more of life and make good memories.
Greg in Idaho
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Re: The Calm Post - Stay the course thread.

Post by Greg in Idaho »

Spinola wrote: Wed Feb 26, 2020 5:24 pm
watchnerd wrote: Wed Feb 26, 2020 5:06 pm What is "Guaranteed" in your AA graph?
TIAA Traditional. Currently earning an average interest rate of 3.95% across all my "vintages"
I thought I recognized that AA chart format/fonts...

I have grown to love my chunk of TIAA Traditional - earning pretty much the same rate...as the equities in our portfolio have swelled and we've gotten closer to retirement, I've had to regularly shift more to the fixed income side, and that retirement account has been all TIAA Traditional for a number of years. Such a nice chunk of ballast at a decent rate of return (quite nice actually, relative to others options of that type). Very calming...
harvestbook
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Re: The Calm Post - Stay the course thread.

Post by harvestbook »

Ramjet wrote: Wed Feb 26, 2020 8:50 pm

"More than half (55%) of Americans don't know how their retirement investments are allocated, according to a recent survey from Schroders. Even more worrisome, though, is that 43% of survey respondents say they don't plan to adjust their asset allocation as they head into retirement"
My guess is those folks still end up doing far better than most.
I'm not smart enough to know, and I can't afford to guess.
rick2427
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Re: The Calm Post - Stay the course thread.

Post by rick2427 »

Don't' worry, this is just like a little bump on the road and it's only back to around December 2019. 2008-2009 taught me to stay the course, keep on investing when I was down over 45%. Glad to see you had good amount saved in CD.
Thank you ViperTom1970 :happy
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sperry8
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Re: The Calm Post - Stay the course thread.

Post by sperry8 »

These sorts of drawdowns achieve two things (both positive). They remove people from the market who never should've been in the market in the first place. Second, they remove companies who shouldn't have been alive anyway (since they won't be able to raise their ever needed debt loads to even higher absurd levels). This cleans out the market for the next, and inevitable, next all time high.

Yes, if you pay attention to the hyper-media these days, it's hard to watch. But that's sort of the point of the media these days. It'd also be hard to listen (and take seriously) every silly thought that popped into our brains each day. To get through the days, we have trained ourselves to ignore most of the self talk our brains spew out. Do the same with the media and it'll be easier to remain calm and be all in for the next all time high. January was not the last all time high ever for the stock market. Set a proper AA, and stay the course.
BH contest results: 2019: #233 of 645 | 18: #150 of 493 | 17: #516 of 647 | 16: #121 of 610 | 15: #18 of 552 | 14: #225 of 503 | 13: #383 of 433 | 12: #366 of 410 | 11: #113 of 369 | 10: #53 of 282
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cashboy
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Re: The Calm Post - Stay the course thread.

Post by cashboy »

sperry8 wrote: Thu Feb 27, 2020 11:44 am These sorts of drawdowns achieve two things (both positive). They remove people from the market who never should've been in the market in the first place. Second, they remove companies who shouldn't have been alive anyway (since they won't be able to raise their ever needed debt loads to even higher absurd levels). This cleans out the market for the next, and inevitable, next all time high.

Yes, if you pay attention to the hyper-media these days, it's hard to watch. But that's sort of the point of the media these days. It'd also be hard to listen (and take seriously) every silly thought that popped into our brains each day. To get through the days, we have trained ourselves to ignore most of the self talk our brains spew out. Do the same with the media and it'll be easier to remain calm and be all in for the next all time high. January was not the last all time high ever for the stock market. Set a proper AA, and stay the course.
good points all. :happy

i would like to add a third positive thing achieved.

These sorts of drawdowns
validates/confirms
to those that have an appropriate AA (for them)
and an IPS that details what should (and should not) be done (for them)
that their plans (AA and IPS) allow them to 'weather the storm' to 'stay the course'.
Three-Fund Portfolio: FSPSX - FXAIX - FXNAX (with slight tilt of CDs - CASH - Canned Beans - Rice - Bottled Water)
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Michael Patrick
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Re: The Calm Post - Stay the course thread.

Post by Michael Patrick »

I've just resolved not to look at my retirement account balances. I stayed the course through the Great Recession, and I don't see any reason to do anything different this time.
alfaspider
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Re: The Calm Post - Stay the course thread.

Post by alfaspider »

All you need to do is is ask yourself: what I am I investing FOR?

If it's for an immediate need and you were all in on equities just before a big market drop, that's rather unfortunate. But your asset allocation was probably wrong. If you are investing for retirement and that date is many years off, then why should you care about the vicissitudes month to month or even year to year?

It's fun to watch that net worth number climb higher (for those who track it), but it's a fundamentally ephemeral number until you are getting close to needing the money.
GCD
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Re: The Calm Post - Stay the course thread.

Post by GCD »

Ramjet wrote: Wed Feb 26, 2020 8:50 pm

"Even more worrisome, though, is that 43% of survey respondents say they don't plan to adjust their asset allocation as they head into retirement"
Oh no! :shock:

That describes me. Oh well, further proof that it’s all on the individual and these broad statements are often questionable.
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watchnerd
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Re: The Calm Post - Stay the course thread.

Post by watchnerd »

alfaspider wrote: Thu Feb 27, 2020 1:24 pm All you need to do is is ask yourself: what I am I investing FOR?

If it's for an immediate need and you were all in on equities just before a big market drop, that's rather unfortunate. But your asset allocation was probably wrong. If you are investing for retirement and that date is many years off, then why should you care about the vicissitudes month to month or even year to year?

It's fun to watch that net worth number climb higher (for those who track it), but it's a fundamentally ephemeral number until you are getting close to needing the money.
My AA is 70/30*, but my retirement accounts are 100% stocks.

I can't touch my retirement accounts without penalty until late 2029.

There is a behavioral benefit during bad times to keeping bonds in taxable.
70% Global Market Weight Equities | 15% Long Treasuries 15% short TIPS & cash || RSU + ESPP
sbaywriter
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Re: The Calm Post - Stay the course thread.

Post by sbaywriter »

I'm staying calm because although I'm a natural worrier, at this stage in my life (70s), I've learned what I need to do to stay calm. Among them: never watch TV news, spend minimal time on Internet news. Focus on productive activities. Try to think of ways to help others stay calm versus pass on your worries to them.

Anyhow because I earlier decided to keep my stocks within a range of "how much I'm willing to lose in a 50 percent drop" I have been pulling money out of stocks for last 3 years and putting into MM, so I am overweighted cash so no urge (or need) to pull anything out of stocks, mild urge to put a little back in but no rush.
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Tejfyy
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Re: The Calm Post - Stay the course thread.

Post by Tejfyy »

Bogleheads Guide to Investing: "Wall Street can't stand buy-and-hold strategies because brokers need trading activity to make money."


Indeed!

This is my first downturn experience as a paying-attention-investor. I'm 60 and don't feel like working much anymore but do because "I need the money." Or more accurately, I will need the money. And that’s why I invest too. How much will I really need. Who knows.

Philosophically and materially, I believe I have very little in common with most who post here.
And I probably have a higher risk tolerance given my lifestyle—I can and do live happily on relatively little stuff and money. Or maybe I have a lower risk tolerance: the less you have, the less you worry about losing.

What I do have is a deep sense of satisfaction snubbing capital’s death grip on my consciousness and playing capitalism my way. And these forums have contributed to my ability to do that.

So, I may have to work longer, I may have to eat crappy food, I may decide to end it all before it gets ugly, ugly.

Who knows.

And that’s the point.
pasadena
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Re: The Calm Post - Stay the course thread.

Post by pasadena »

This week has been extremely interesting to me. I've been investing since I opened my first Roth IRA in 2015. I did have a 401(k) before that, started in 2012, but I had no idea what I was doing and never paid attention to it after setting it up with a target retirement fund based on my age.

In 2015 I had spare money, so I read up on Bogleheads and set my two AA according to what I *thought* was a good compromise for me, and something that I *thought* I could keep during a downturn. I has served me well, and I've had many good nights' sleep since then.

But I've never been through a noticeable market dip. In December 2018 I didn't really pay attention until it was almost finished, because I was busy changing jobs and relocating.

Well, this week's downturn has me completely unfazed.

I find it all fascinating, including the human aspects (overreacting, even on this forum, we humans do love our doom and gloom), and spend a lot of time reading up on it, but I am totally emotionless when it comes to my portfolio. I'm glad my 401(k) contribution is coming, I'm glad it's bigger because I'm front-loading, but that's it. I did rebalance a little yesterday because my AA had almost reached the band and it seemed like as good a time as any.

All I can think about is that this is expected, that my AA already has it "priced in", I have a least 15 years before retirement, and hopefully 30 or 40 years after that, and that this will either be long forgotten, by then, or it will have been a good thing in the long run. So far, it's only 4 days out of two or three decades of investing.

It's only been a week, almost. I'm guessing it gets harder the longer it lasts, we will see how long it takes to get a reaction out of me if that happens. But for now, meh.

So, for this short period of time, I have learned that I probably:

1) Have the right AA for me and my goals
2) Have drunk the kool aid, glass and straw included
3) Or maybe I just don't understand anything and I'm like the village's idiot who doesn't see the fire in the house.

For those who are struggling, I encourage you to read through this amazing post, and all others where people tell the story of not selling, or buying more during 2007-2009/2011 and coming out way ahead.

Keep calm indeed.
ginrummy
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Re: The Calm Post - Stay the course thread.

Post by ginrummy »

Those that are staying the course, it would be nice to know if you still have earned income coming in. Just for the sake of conversations. :wink: Perhaps our usernames could be color coded or something.
omposton
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Re: The Calm Post - Stay the course thread.

Post by omposton »

I currently can't figure out what staying the course means. I have a significant (for me anyway) amount of money in RSUs and I was starting the process of cleaning up my asset allocation situation and diversifying. I guess I should continue to sell slowly but surely and move money into mutual funds per my plan? Even though "staying the course" for most people means not selling...
sylph
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Re: The Calm Post - Stay the course thread.

Post by sylph »

100/0 , 27 years old, recently hit the 100K investment Mark, now down by ~10%, did ROTH conversion in Jan for me and Feb beginning for Husband(no regrets), staying the course, planning to buy 5K worth of SP500 , thinking what to buy in international :?:
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wshang
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Re: The Calm Post - Stay the course thread.

Post by wshang »

If I say I am with you 100% in principal, does that mean I went completely into cash? :D :D
The cure shouldn't be worse than the disease.
frugalmama
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Re: The Calm Post - Stay the course thread.

Post by frugalmama »

Sconie wrote: Wed Feb 26, 2020 6:36 am Two thumbs up! What is going on now in the markets is just "noise"-----and while I certainly could be wrong, I bet that in a year or two people will look back on this and wonder what all the angst and nervousness was about :beer .
+1 I think that people who feel a lot of angst weren't actually comfortable with their asset allocation and didn't know their risk tolerance to begin with. I'm 100% stocks. However, I'm not concerned as I was 100% stocks during the last recession and am happy where I came out.

I like the idea of this thread. I made my regular investment 2 days ago and plan to make my next one next week as usual. I do still have income coming in...I have diversification in jobs and so even if one job goes away, I will still have other income sources to rely on.
Independent George
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Re: The Calm Post - Stay the course thread.

Post by Independent George »

I have to admit - I'm not feeling calm... I'm feeling greedy. I'm really tempted to dip into my emergency fund to buy more stocks right now. When I feel really crazy, I want to put it all into emerging markets.

This would be a really poor decision because (1) it's an emergency fund, and the risk of job loss is directly correlated with to the risk of a recession, and (2) I am nearly doubling my 401k contribution this year (from ~11k in 2019 to an expected 19.5k in 2020), so already made the decision to buy more stocks this year. Assuming I stay employed, this was just fortuitous market timing on my behalf.
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Re: The Calm Post - Stay the course thread.

Post by Ztx »

100% stocks allocation. Staying the course!
vipertom1970
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Re: The Calm Post - Stay the course thread.

Post by vipertom1970 »

Independent George wrote: Thu Feb 27, 2020 11:53 pm I have to admit - I'm not feeling calm... I'm feeling greedy. I'm really tempted to dip into my emergency fund to buy more stocks right now. When I feel really crazy, I want to put it all into emerging markets.

This would be a really poor decision because (1) it's an emergency fund, and the risk of job loss is directly correlated with to the risk of a recession, and (2) I am nearly doubling my 401k contribution this year (from ~11k in 2019 to an expected 19.5k in 2020), so already made the decision to buy more stocks this year. Assuming I stay employed, this was just fortuitous market timing on my behalf.
Don't use emergency fund for buy equities, just keep contributing to 401k and ignore the noise. I retired at 50, I maxed out my 401K from 1995-2019(24 years) then I rolled over to an IRA last August for around $1,050,000. If you do the math, I think the return was around 375% and I was in 100% equities. 2008-2009 recession made last couple days correction like a little bump on the road.
Last edited by vipertom1970 on Fri Feb 28, 2020 12:57 am, edited 3 times in total.
wantrepreneur
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Re: The Calm Post - Stay the course thread.

Post by wantrepreneur »

I had been sitting on a large chunk of investable cash, and I used today's correction to put in half of it. Waiting for a few days in case another correction happens before I put in the other half. If the correction is short lived, I can sit on cash until the new buying opportunity arrives.

I am thankful for this community every day!
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whodidntante
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Re: The Calm Post - Stay the course thread.

Post by whodidntante »

Ztx wrote: Fri Feb 28, 2020 12:05 am 100% stocks allocation. Staying the course!
--Edward Smith
Your post wasn't very funny, so I added the part in bold.
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watchnerd
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Re: The Calm Post - Stay the course thread.

Post by watchnerd »

ginrummy wrote: Thu Feb 27, 2020 10:00 pm Those that are staying the course, it would be nice to know if you still have earned income coming in. Just for the sake of conversations. :wink: Perhaps our usernames could be color coded or something.
Yes, of multiple kinds.

Wages, capital gains, RSUs, cash bonus, dividends, interest income.
70% Global Market Weight Equities | 15% Long Treasuries 15% short TIPS & cash || RSU + ESPP
Monsterflockster
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Re: The Calm Post - Stay the course thread.

Post by Monsterflockster »

max12377 wrote: Wed Feb 26, 2020 5:34 am Hi Bogleheads-

Since we have a stocks skyrocket and stocks plummet thread, can we start one where we can go for refuge ? I love to read posts from those who are calm and riding out the volatility both on the upside and downside. I see plenty of boasting on the upside and hand wringing panic on the downside. I know .. it’s human nature and I have the same reactions, trust me. Just looking to see if we can get a calmer heads prevail thread where we post things like Jack’s reassuring wisdom or Taylor’s gems as we deal with the inevitable volatility.

I think this panic will subside but even if there are challenges ahead I want a team of Bogleheads to help us all stay the course in true Bogleheads fashion.

Max
I bought on the way up. Now buying at those prices once again. I’m not retiring for 25 years. Pretty sure it will have recovered by then but who knows.
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LilyFleur
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Re: The Calm Post - Stay the course thread.

Post by LilyFleur »

I've lost about $50,000 this year. Yawn.
Jon_PassiveInvestor
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Re: The Calm Post - Stay the course thread.

Post by Jon_PassiveInvestor »

wantrepreneur wrote: Fri Feb 28, 2020 12:30 am I had been sitting on a large chunk of investable cash, and I used today's correction to put in half of it. Waiting for a few days in case another correction happens before I put in the other half. If the correction is short lived, I can sit on cash until the new buying opportunity arrives.

I am thankful for this community every day!
Wait until Monday! Bloody Friday incoming!
100% VTSAX in Taxable Account. | 100% VTSAX in Retirement Accounts
Norsky19
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Re: The Calm Post - Stay the course thread.

Post by Norsky19 »

When the market tanks like this...I'm assuming the Target Date retirement funds will eventually do a rebalance??? Sell off bond and buy more stock? So this seems like a pretty decent time to own a TDR fund....Let it do its thing. Thoughts?
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