In the market or out?

[SlugSlinger]

With the .gov and FED trying to kill jobs and wreck the economy to stop the Bidenflation what are you doing with your investments?

In the past six months:
Dow down - 4670.86 (13.59%)
S&P down - 756.80 (16.98%)
Nasdaq down - 3044.49 (21.84%)

I'm thinking the market dropping is just getting started. I am seeing folks saying it could drop 40% from here.

I dumped my GOLD stock at around $25. It's currently down over $10 or 40% in the past 6 months.

I am waiting for real estate to drop the reported 40-50% so I can buy some land. (I'm not holding my breath).

 

[TANSTAAFL]

Really POed. Not only has my portfolio lost well over 25%, it has lost 20+ percent of it's purchasing power. Only thing that is up is Real Estate, over 20% in my case, however the other shoe will drop on that very soon.

 

[emapples]

With the .gov and FED trying to kill jobs and wreck the economy to stop the Bidenflation what are you doing with your investments?

In the past six months:
Dow down - 4670.86 (13.59%)
S&P down - 756.80 (16.98%)
Nasdaq down - 3044.49 (21.84%)

I'm thinking the market dropping is just getting started. I am seeing folks saying it could drop 40% from here.

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I dumped my GOLD stock at around $25. It's currently down over $10 or 40% in the past 6 months.


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I am waiting for real estate to drop the reported 40-50% so I can buy some land. (I'm not holding my breath).

I have a very few natural gas plays open but sold everything else in my IRA’s I am kinda stuck with limited options on my 401k

 

[OKRuss]

I thought buying on the way down was considered dollar cost averaging. In my 401K, I'm buying as I did pre-pandemic. I've got enough years before retirement that catching up shouldn't be an issue. Prior to pandemic, I leveraged an IRA to buy land 3-4 years ago(up 70-80% based on estimate from realtor) and 'parked' 25% of my overall portfolio into money market and bonds. Holding off on funding my Roth for the year and may wait until the deadline next year.

 

[SlugSlinger]

I thought buying on the way down was considered dollar cost averaging. In my 401K, I'm buying as I did pre-pandemic. I've got enough years before retirement that catching up shouldn't be an issue. Prior to pandemic, I leveraged an IRA to buy land 3-4 years ago(up 70-80% based on estimate from realtor) and 'parked' 25% of my overall portfolio into money market and bonds. Holding off on funding my Roth for the year and may wait until the deadline next year.

Yeah, consistently buying the market is dollar cost averaging. That's the thing to do when the market drops, and since it's a long term investment. Too many people quit contributing to their retirement accounts when the market drops dramatically. Then they start buying when its up. That's pretty much human nature.

I rode out the crash in 2008, except when the market was close to the bottom I moved from conservative funds to aggressive funds and gained more on the way up than I lost when it dropped.

I am actually trying something different during this "crash". I am contributing to a cash account instead of the fund I was in and sold off when Biden was elected. I am going to try to catch it close to the bottom and on the way back up. Those who dollar costs average usually have a better return than those who try to time the market.

 

[emapples]

I thought buying on the way down was considered dollar cost averaging. In my 401K, I'm buying as I did pre-pandemic. I've got enough years before retirement that catching up shouldn't be an issue. Prior to pandemic, I leveraged an IRA to buy land 3-4 years ago(up 70-80% based on estimate from realtor) and 'parked' 25% of my overall portfolio into money market and bonds. Holding off on funding my Roth for the year and may wait until the deadline next year.

If all you have is a 401k you don’t have an option, now is the time to be throwing extra in if you can, because you are right the in that system dollar cost averaging is all you have (plus you can rebalance into less volatile stuff when the market is high and back into the growth stuff when it drops) but overall that is an investing myth. Big money players (smart money) do NO SUCH THING! They don’t dollar coast average they don’t diversify broadly. But finding a money manager that doensn’t just stick you in funds and charge you 1 yo 2% is hard to do.

 

[OKRuss]

If all you have is a 401k you don’t have an option, now is the time to be throwing extra in if you can, because you are right the in that system dollar cost averaging is all you have (plus you can rebalance into less volatile stuff when the market is high and back into the growth stuff when it drops) but overall that is an investing myth. Big money players (smart money) do NO SUCH THING! They don’t dollar coast average they don’t diversify broadly. But finding a money manager that doensn’t just stick you in funds and charge you 1 yo 2% is hard to do.

Agree. If I had more time on my hands and more knowledge of the market and various companies/industries to buy individual stocks, I'd likely have better returns. I don't expect the DOW to be back to the kind of returns we've gotten the past 10-15 years as I think it's over-inflated towards the big companies(FAANG). Look at what happened to FedEx - playing on the strong economy and not looking far enough ahead to lessen a 20%+ downturn in 1 day! They knew the 1st quarter wasn't going to be good quite some time back and personally feel the execs think there's still a monopoly between them and UPS yet UPS didn't post nearly the bad results. I don't see raising the shipping rates 6-7% across the boards will fix their downturn but rather drive folks to other options like UPS, USPS and/or Amazon. Just my .2 cents.

 

[emapples]

Agree. If I had more time on my hands and more knowledge of the market and various companies/industries to buy individual stocks, I'd likely have better returns. I don't expect the DOW to be back to the kind of returns we've gotten the past 10-15 years as I think it's over-inflated towards the big companies(FAANG). Look at what happened to FedEx - playing on the strong economy and not looking far enough ahead to lessen a 20%+ downturn in 1 day! They knew the 1st quarter wasn't going to be good quite some time back and personally feel the execs think there's still a monopoly between them and UPS yet UPS didn't post nearly the bad results. I don't see raising the shipping rates 6-7% across the boards will fix their downturn but rather drive folks to other options like UPS, USPS and/or Amazon. Just my .2 cents.

That is the issue people work and don‘t have time to review it, and finding real folks to manage you money is hard. Most of them have told me sure buy into these funds and we will only charge you 1% “(on money you already have mind you) and I won’t do that. I am still searching for a results oriented folks, you know I will give you 10% on what you grow for me, if you make 100K you get 10K if you make me 10K you get 1K, that simple. I am not going to pay them 1or 2% to manage money I already have that makes no sense. We are in a position where we could see a flat market for 3 to 5 years (once it’s done dropping of course)

 

[swampratt]

The last big tank I lost 50% but let it all ride and it went back up and more than quadrupled.
If it gets bad and like Mad Max days money will not mean a thing anyway.

 

[kroberts2131]

I’m late to the game with getting smart on my money so I’m not losing much but I haven’t changed a thing with my TSP (401k for feds) and just hoping once things swing back up I can make up for the lost time in years past!