Dow Crash Coming To Your 401k

[Coach is Back!]

Stocks hammered again? 🤑

 Enjoy the show!



-NT

I am and not worried in the slightest.

[Montague]

Now is a good time to buy.

[loco]

Stocks hammered again? 🤑

 Enjoy the show!

-NT

http://www.getbig.com/boards/index.php?topic=620698.msg8619951#msg8619951

[loco]

Now is a good time to buy.

It's always a good time to buy.    

"Dollar-cost averaging (DCA) is an investment technique of buying a fixed dollar amount of a particular investment on a regular schedule, regardless of the share price. The investor purchases more shares when prices are low and fewer shares when prices are high."
https://www.investopedia.com/terms/d/dollarcostaveraging.asp

[Coach is Back!]

Now is a good time to buy.

Yep, now that we don't have our gym anymore, I've been doing a lot more investing in the markets and basically taking advantage of the volatility.

[Montague]

Yep, now that we don't have our gym anymore, I've been doing a lot more investing in the markets and basically taking advantage of the volatility.

As do most intelligent long-term investors.

I never understood critics who point to stock market dips as a bad thing.
A market dip isn't a good thing, its not a bad thing, it's just a thing - one that happens all the time.

Furthermore (and, I'm not directing this at you, Coach, because I'm sure you already know it), the factors that drive stocks down, typically drive the value of bonds UP. That's why a diversified investment portfolio is crucial.

So long as one's asset allocation is effectively divided by risk rather than the "50/50" strategy many folks erroneously use, then they should yield a decent return regardless of economic conditions.

There's a number of time-tested, proven formulas that have been published within the last 10 years that accomplish just that. The one I've been using was back-tested 40 years with good results.

[loco]

move your money out of stocks and into cd's, cash, money markets ect.

preservation of capital is key. if you do nothing, kiss your money goodbye.

U.S. has 600,000 new millionaires

March 16, 2011: 1:37 PM ET

NEW YORK (CNNMoney) -- What recession? The millionaire population jumped in the U.S. by 8% last year, fueled by the stock market recovery, according to an industry report on Wednesday.

The number of U.S. households worth at least $1 million rose to 8.4 million in 2010, compared to 7.8 million the prior year, according to a report by Spectrem Group.
http://money.cnn.com/2011/03/16/news/economy/millionaires/index.htm?source=cnn_bin&hpt=Sbin

Market continues to hold support while waiting on election results. I anticipate a large selloff if Trump were to be victorious.

-NT

   
Billionaire George Soros reportedly lost nearly $1 billion during Trump rally

Billionaire George Soros lost nearly $1 billion after the stock market surged following Donald Trump 's unexpected Nov. 8 election victory, The Wall Street Journal reported.

The hedge-fund manager's former deputy, Stanley Druckenmiller, however, foresaw the rally and gained a sizable profit, the Journal reported, citing people close to the matter.

The sources told the Journal Soros was cautious about the market going into the election and became bearish after Trump won.

Stocks and Treasury yields jumped in the wake of Trump's victory, amid the prospects of looser regulations in certain sectors, lower tax rates, and fiscal stimulus.

Soros' hedge fund, Soros Fund Management, manages about $30 billion for Soros and his family. Soros was a supporter oof Hillary Clinton's campaign.

http://finance.yahoo.com/news/billionaire-george-soros-reportedly-lost-134916493.html



Millennials bought leveraged gold ETFs after Trump was elected and got hammered: NYSE trader

Yahoo Finance Video • December 19, 2016

Bloomberg reports they piled into gold ETFs, some with leverage, after the election, expecting Trump to trigger a risk-selloff. The opposite occurred and gold has dropped nearly 15% from the election-night high.
http://finance.yahoo.com/video/millennials-bought-leveraged-gold-etfs-183454148.html

[Montague]

U.S. has 600,000 new millionaires

March 16, 2011: 1:37 PM ET

NEW YORK (CNNMoney) -- What recession? The millionaire population jumped in the U.S. by 8% last year, fueled by the stock market recovery, according to an industry report on Wednesday.

The number of U.S. households worth at least $1 million rose to 8.4 million in 2010, compared to 7.8 million the prior year, according to a report by Spectrem Group.
http://money.cnn.com/2011/03/16/news/economy/millionaires/index.htm?source=cnn_bin&hpt=Sbin

   
Billionaire George Soros reportedly lost nearly $1 billion during Trump rally

Billionaire George Soros lost nearly $1 billion after the stock market surged following Donald Trump 's unexpected Nov. 8 election victory, The Wall Street Journal reported.

The hedge-fund manager's former deputy, Stanley Druckenmiller, however, foresaw the rally and gained a sizable profit, the Journal reported, citing people close to the matter.

The sources told the Journal Soros was cautious about the market going into the election and became bearish after Trump won.

Stocks and Treasury yields jumped in the wake of Trump's victory, amid the prospects of looser regulations in certain sectors, lower tax rates, and fiscal stimulus.

Soros' hedge fund, Soros Fund Management, manages about $30 billion for Soros and his family. Soros was a supporter oof Hillary Clinton's campaign.

http://finance.yahoo.com/news/billionaire-george-soros-reportedly-lost-134916493.html



Millennials bought leveraged gold ETFs after Trump was elected and got hammered: NYSE trader

Yahoo Finance Video • December 19, 2016

Bloomberg reports they piled into gold ETFs, some with leverage, after the election, expecting Trump to trigger a risk-selloff. The opposite occurred and gold has dropped nearly 15% from the election-night high.
http://finance.yahoo.com/video/millennials-bought-leveraged-gold-etfs-183454148.html

"Millenials" are better than anything currently on TV.

[loco]

"Millenials" are better than anything currently on TV.

LOL...true.  Point is, market timing never goes well unless you get lucky, no different than gambling. 

[Montague]

LOL...true.  Point is, market timing never goes well unless you get lucky, no different than gambling. 

Yes.
NOTHING the average investor does can control the market, but intelligence and good strategy can help you capitalize or weather it accordingly.

[loco]

Yes.
NOTHING the average investor does can control the market, but intelligence and good strategy can help you capitalize or weather it accordingly.

More like NOBODY can predict the market.  Even the autistic guy, the only person, who knew the housing market would crash and bet millions on it wasn't 100% sure and it took three to five years longer than he thought. 

[Coach is Back!]

What happened to neurotoxin?

[loco]

What happened to neurotoxin?

He shows up only when there are stock market loses, as if that validates all his failed predictions and failed financial advice.

Strong Reports From Facebook and GM Send US Stocks Climbing

Oct. 31, 2018, at 10:21 a.m.

https://www.usnews.com/news/business/articles/2018-10-31/asian-shares-climb-on-strong-us-earnings-boj-stands-pat

[Princess L]

He shows up only when there are stock market loses, as if that validates all his failed predictions and failed financial advice.

Strong Reports From Facebook and GM Send US Stocks Climbing

Oct. 31, 2018, at 10:21 a.m.

https://www.usnews.com/news/business/articles/2018-10-31/asian-shares-climb-on-strong-us-earnings-boj-stands-pat

Those tariffs really screwed things up didn't they
 

[loco]

Those tariffs really screwed things up didn't they
 

They sure did:

http://www.getbig.com/boards/index.php?topic=647039.msg9082408#msg9082408

[Coach is Back!]

He shows up only when there are stock market loses, as if that validates all his failed predictions and failed financial advice.

Strong Reports From Facebook and GM Send US Stocks Climbing

Oct. 31, 2018, at 10:21 a.m.

https://www.usnews.com/news/business/articles/2018-10-31/asian-shares-climb-on-strong-us-earnings-boj-stands-pat

Right before closing yesterday I bought 25 shares. Can't pass on lows like that. At the time of this post, it's up +4.33%

[loco]

Right before closing yesterday I bought 25 shares. Can't pass on lows like that. At the time of this post, it's up +4.33%

Coach, if you are buying individual stocks, only when the market is down, or you are investing in actively managed mutual funds, you need to read and watch this.  I used to do what you are doing now and thought I was doing pretty well, until I learned better the hard way.


Passive Investing: The Evidence the Fund Management Industry Would Prefer You Not to See

Warren Buffett, letter to Berkshire Hathaway shareholders, 1996
"Most investors, both institutional and individual, will find that the best way
to own common stocks is through an index fund that charges minimal fees."
http://www.berkshirehathaway.com/letters/1996.html

Warren Buffett Just Won a $1 Million Bet
December 30, 2017

In 2007, Warren Buffett bet a million dollars that an index fund would outperform a collection of hedge funds over the course of 10 years. This week he won that bet.

Over the course of the bet the S&P 500 index fund returned 7.1% compounded annually, significantly more than the basket of funds selected by an asset manager at Protégé Partners. That basket only returned an average of 2.2%.
http://fortune.com/2017/12/30/warren-buffett-million-dollar-bet/

Warren Buffett’s 15-Minute Retirement Plan
If Warren Buffett weren't the world's best stock picker, how would he plan for retirement?

Luckily for the rest of us, he's answered this question before. In an annual letter to shareholders, Buffett laid out a retirement plan that would take just minutes to implement. This is the very two-pronged plan he outlined for governing the trust he's leaving behind for his wife:

My advice to the trustee could not be more simple: Put 10% of the cash in short-term government bonds and 90% in a very low-cost S&P 500 index fund. (I suggest Vanguard's. (NASDAQMUTFUND:VFINX)) I believe the trust's long-term results from this policy will be superior to those attained by most investors -- whether pension funds, institutions, or individuals -- who employ high-fee managers.

Buffett suggests the Vanguard S&P 500 index as one of the best funds for investing in U.S. stocks. A good fund for short-term government bonds can be found under the same roof. The Vanguard Short-Term Government Bond Index Fund (NASDAQMUTFUND:VSBSX) should fit investors just fine for this purpose.
http://www.fool.com/investing/general/2016/01/06/warren-buffetts-15-minute-retirement-plan.aspx

Vanguard 500 Index Fund Admiral Shares (VFIAX)
https://personal.vanguard.com/us/funds/snapshot?FundId=0540&FundIntExt=INT

Vanguard Short-Term Government Bond Index Fund Admiral Shares (VSBSX)
https://personal.vanguard.com/us/funds/snapshot?FundId=1942&FundIntExt=INT


eBook: If You Can: How Millennials Can Get Rich Slowly
by William J Bernstein
$0.99
http://www.amazon.com/If-You-Can-Millennials-Slowly-ebook/dp/B00JCC5JKI/ref=sr_1_1?s=books&ie=UTF8&qid=1408805650&sr=1-1&keywords=if+you+can

Vanguard Total Stock Market Index Fund Admiral Shares (VTSAX)
https://personal.vanguard.com/us/funds/snapshot?FundId=0585&FundIntExt=INT

Vanguard Total Bond Market Index Fund Admiral Shares (VBTLX)
https://personal.vanguard.com/us/funds/snapshot?FundId=0584&FundIntExt=INT

Vanguard Total International Stock Index Fund Admiral Shares (VTIAX)
https://personal.vanguard.com/us/funds/snapshot?FundId=0569&FundIntExt=INT

[Dos Equis]

What happened to neurotoxin?

Mons Venus only posts when the market drops. 

[Montague]

Mons Venus only posts when the market drops. 

 

[Coach is Back!]

Coach, if you are buying individual stocks, only when the market is down, or you are investing in actively managed mutual funds, you need to read and watch this.  I used to do what you are doing now and thought I was doing pretty well, until I learned better the hard way.


Passive Investing: The Evidence the Fund Management Industry Would Prefer You Not to See

Warren Buffett, letter to Berkshire Hathaway shareholders, 1996
"Most investors, both institutional and individual, will find that the best way
to own common stocks is through an index fund that charges minimal fees."
http://www.berkshirehathaway.com/letters/1996.html

Warren Buffett Just Won a $1 Million Bet
December 30, 2017

In 2007, Warren Buffett bet a million dollars that an index fund would outperform a collection of hedge funds over the course of 10 years. This week he won that bet.

Over the course of the bet the S&P 500 index fund returned 7.1% compounded annually, significantly more than the basket of funds selected by an asset manager at Protégé Partners. That basket only returned an average of 2.2%.
http://fortune.com/2017/12/30/warren-buffett-million-dollar-bet/

Warren Buffett’s 15-Minute Retirement Plan
If Warren Buffett weren't the world's best stock picker, how would he plan for retirement?

Luckily for the rest of us, he's answered this question before. In an annual letter to shareholders, Buffett laid out a retirement plan that would take just minutes to implement. This is the very two-pronged plan he outlined for governing the trust he's leaving behind for his wife:

My advice to the trustee could not be more simple: Put 10% of the cash in short-term government bonds and 90% in a very low-cost S&P 500 index fund. (I suggest Vanguard's. (NASDAQMUTFUND:VFINX)) I believe the trust's long-term results from this policy will be superior to those attained by most investors -- whether pension funds, institutions, or individuals -- who employ high-fee managers.

Buffett suggests the Vanguard S&P 500 index as one of the best funds for investing in U.S. stocks. A good fund for short-term government bonds can be found under the same roof. The Vanguard Short-Term Government Bond Index Fund (NASDAQMUTFUND:VSBSX) should fit investors just fine for this purpose.
http://www.fool.com/investing/general/2016/01/06/warren-buffetts-15-minute-retirement-plan.aspx

Vanguard 500 Index Fund Admiral Shares (VFIAX)
https://personal.vanguard.com/us/funds/snapshot?FundId=0540&FundIntExt=INT

Vanguard Short-Term Government Bond Index Fund Admiral Shares (VSBSX)
https://personal.vanguard.com/us/funds/snapshot?FundId=1942&FundIntExt=INT


eBook: If You Can: How Millennials Can Get Rich Slowly
by William J Bernstein
$0.99
http://www.amazon.com/If-You-Can-Millennials-Slowly-ebook/dp/B00JCC5JKI/ref=sr_1_1?s=books&ie=UTF8&qid=1408805650&sr=1-1&keywords=if+you+can

Vanguard Total Stock Market Index Fund Admiral Shares (VTSAX)
https://personal.vanguard.com/us/funds/snapshot?FundId=0585&FundIntExt=INT

Vanguard Total Bond Market Index Fund Admiral Shares (VBTLX)
https://personal.vanguard.com/us/funds/snapshot?FundId=0584&FundIntExt=INT

Vanguard Total International Stock Index Fund Admiral Shares (VTIAX)
https://personal.vanguard.com/us/funds/snapshot?FundId=0569&FundIntExt=INT

These are great finds!!! Thanks

[loco]

These are great finds!!! Thanks

You are welcome, and may God smite thee with the curse of immense wealth, and may thee never recover!  

[Princess L]

You are welcome, and may God smite thee with the curse of immense wealth, and may thee never recover!  

Need to get the flock outta CA. 

[Montague]

Coach, if you are buying individual stocks, only when the market is down, or you are investing in actively managed mutual funds, you need to read and watch this.  I used to do what you are doing now and thought I was doing pretty well, until I learned better the hard way.


Passive Investing: The Evidence the Fund Management Industry Would Prefer You Not to See

Warren Buffett, letter to Berkshire Hathaway shareholders, 1996
"Most investors, both institutional and individual, will find that the best way
to own common stocks is through an index fund that charges minimal fees."
http://www.berkshirehathaway.com/letters/1996.html

Warren Buffett Just Won a $1 Million Bet
December 30, 2017

In 2007, Warren Buffett bet a million dollars that an index fund would outperform a collection of hedge funds over the course of 10 years. This week he won that bet.

Over the course of the bet the S&P 500 index fund returned 7.1% compounded annually, significantly more than the basket of funds selected by an asset manager at Protégé Partners. That basket only returned an average of 2.2%.
http://fortune.com/2017/12/30/warren-buffett-million-dollar-bet/

Warren Buffett’s 15-Minute Retirement Plan
If Warren Buffett weren't the world's best stock picker, how would he plan for retirement?

Luckily for the rest of us, he's answered this question before. In an annual letter to shareholders, Buffett laid out a retirement plan that would take just minutes to implement. This is the very two-pronged plan he outlined for governing the trust he's leaving behind for his wife:

My advice to the trustee could not be more simple: Put 10% of the cash in short-term government bonds and 90% in a very low-cost S&P 500 index fund. (I suggest Vanguard's. (NASDAQMUTFUND:VFINX)) I believe the trust's long-term results from this policy will be superior to those attained by most investors -- whether pension funds, institutions, or individuals -- who employ high-fee managers.

Buffett suggests the Vanguard S&P 500 index as one of the best funds for investing in U.S. stocks. A good fund for short-term government bonds can be found under the same roof. The Vanguard Short-Term Government Bond Index Fund (NASDAQMUTFUND:VSBSX) should fit investors just fine for this purpose.
http://www.fool.com/investing/general/2016/01/06/warren-buffetts-15-minute-retirement-plan.aspx

Vanguard 500 Index Fund Admiral Shares (VFIAX)
https://personal.vanguard.com/us/funds/snapshot?FundId=0540&FundIntExt=INT

Vanguard Short-Term Government Bond Index Fund Admiral Shares (VSBSX)
https://personal.vanguard.com/us/funds/snapshot?FundId=1942&FundIntExt=INT


eBook: If You Can: How Millennials Can Get Rich Slowly
by William J Bernstein
$0.99
http://www.amazon.com/If-You-Can-Millennials-Slowly-ebook/dp/B00JCC5JKI/ref=sr_1_1?s=books&ie=UTF8&qid=1408805650&sr=1-1&keywords=if+you+can

Vanguard Total Stock Market Index Fund Admiral Shares (VTSAX)
https://personal.vanguard.com/us/funds/snapshot?FundId=0585&FundIntExt=INT

Vanguard Total Bond Market Index Fund Admiral Shares (VBTLX)
https://personal.vanguard.com/us/funds/snapshot?FundId=0584&FundIntExt=INT

Vanguard Total International Stock Index Fund Admiral Shares (VTIAX)
https://personal.vanguard.com/us/funds/snapshot?FundId=0569&FundIntExt=INT

Loco, you consistently post quality content, and this post is no exception!
That video was very insightful.


I've read of Buffett's pro-stance on index funds twice before, and am considering expanding my portfolio in that direction even more, given the way the market has been lately. The only reason I've put it off is because I was averaging over 14% for so long since the 2016 election. (And, I'm not crediting Trump for that. It's merely a reference point.)

Lately, that percentage has dropped enough (10.5%) that I'm now considering tweaking my strategy some - especially given the direction of things analysts like Dalio are predicting.

[Hypo]

Loco, you consistently post quality content, and this post is no exception!
That video was very insightful.


I've read of Buffett's pro-stance on index funds twice before, and am considering expanding my portfolio in that direction even more, given the way the market has been lately. The only reason I've put it off is because I was averaging over 14% for so long since the 2016 election. (And, I'm not crediting Trump for that. It's merely a reference point.)

Lately, that percentage has dropped enough (10.5%) that I'm now considering tweaking my strategy some - especially given the direction of things analysts like Dalio are predicting.

Grab yourself the age-old classic The Intelligent Investor, move into an index, cheaper than in Graham's time.

Prescribe to Taleb's idea of barbell investing: 85-90% in rock sold index funds. The rest in stupid high-risk speculatives...because you never know. Think of bitcoin when it was 5c a coin.

[IroNat]

Loco, you consistently post quality content, and this post is no exception!
That video was very insightful.


I've read of Buffett's pro-stance on index funds twice before, and am considering expanding my portfolio in that direction even more, given the way the market has been lately. The only reason I've put it off is because I was averaging over 14% for so long since the 2016 election. (And, I'm not crediting Trump for that. It's merely a reference point.)

Lately, that percentage has dropped enough (10.5%) that I'm now considering tweaking my strategy some - especially given the direction of things analysts like Dalio are predicting.

Bogle: "Nobody knows nuttin'."