The July 2018 vacation and the markets are already +46% for the year.....

catch22

....and we won't have access to a secure terminal for a few weeks. There will have to be a prior and following action(s) plan to the start and finish of the vacation, eh?

Prior

--- Option 1: Sell all equity holdings with the proceeds into U.S. Treasuries.

--- Option 2: Sell all equity holdings with the proceeds into U.S. Treasuries.

--- Option 3: Sell all equity holdings with the proceeds into U.S. Treasuries.

Following

--- Option 1: Review how the "Prior" functioned, and adjust as needed.

--- Option 2: Review how the "Prior" functioned, and adjust as needed.

--- Option 3: Review how the "Prior" functioned, and adjust as needed.

Respectfully,
Catch

Ted

@catch22: I'm sorry, but I don't have the slightest ideas what you are talking about except you repeat the same options three times. Please translate into English for those of us who are intellectually challenged. Option 4. take two aspirin and don't call me in the morning.
Regards,
Ted
Regards,
Ted
Knock Three Times: Tony Orlando:

MikeM

Dido what Ted said. No idea what you said.

Ted

@mikeM: Thanks, its not only me ! Some MFO Members think I'm picking on catch22, but I'm not. I just don't understand what his message is most of the time.
Regards,
Ted

Mark

Translation: He's going on vacation with no access to a secure computer terminal. He plans on selling everything equity and putting the money toward US Treasuries. He plans to evaluate that decision once he returns to a secure base.

To each their own catch. I expect that the stuff I own will continue paying me my dividends and if the market tumbles I'll just use those dividends to make the best buys I can.

PennyBonds

Catch22 is a little bit out there, eh? In July, the helicopter is dropping Catch22 for his fishing trip in the middle of nowhere. Maybe pick him up in August, if the pilot remembers where. So Catch is planning his market strategy.

MikeM

Thanks! Now, explain what 'eh' means?

Ted

@MFO Members: It sure would be nice to have a big boy conversation with catch22, but I don't see that happening. It must be the cold weather in the UP of Michigan.
Regards,
Ted

JoJo26

Makes no sense. And selling entirely from equities with proceeds to treasuries because of their perceived "safety" is myopic. You do what you want, but this approach is straight garbage.

Old_Joe

@MikeM- Being a Michigander, Catch speaks fluent Canadian as a second language. "eh?" means "yes?". But then, being from Buffalo, you probably knew that.

Old_Joe

"this approach is straight garbage"
@JoJo26: Don't be shy... tell us what you really think!

MikeM

90 miles down the thruway @Old_Joe. Yes I knew. Bugs me when those darn Canucks end a statement with a question too.

catch22

Perhaps the 46% YTD return (in the subject line) for 2018 through the end of July, 2018 is a bit of a stretch; but a +21% return for a lot of equity funds seemed a bit of a stretch in January of 2017, for that year, too.

Re-do: I don't find it difficult to imagine an equity pull back in light of the on-going run since the market melt and from the nearer term of Feb., 2016 period.
I picked a few from Fidelity, but there are representative of similar funds from other active managed fund vendors for the period of Feb. 5, 2016 to date total return numbers:

--- FSPTX = +104% (March 6, 2009 to date) +687%
--- FOCPX = +86% (March 6, 2009 to date) +611%
--- FDGRX = +80% (March 6, 2009 to date) +523%
--- FCNTX = +60% (March 6, 2009 to date) +370%
--- FSPHX = +34% (March 6, 2009 to date) +234%

http://stockcharts.com/freecharts/perf.php?FOCPX,FSPTX,FCNTX,FDGRX,FSPHX&p=6&O=011000

Anyway. A temporary exit plan was suggested if for ANY reason the equity markets decided to take a big rest while I would not be able to take any actions with our portfolio as deemed appropriate at the time.
A possible temporary EXIT plan, this is all that was indicated. The day will arrive at some point in the future, yes? I'm sure your plan would be different.
Interesting observations have been presented, and hopefully a few have considered their action plan to preserve capital.
Lastly, the equity sells noted would not be a current taxable event, as the monies in question, are in tax sheltered accounts.

Take care,
Catch

hank

Mark said:

Translation: He's going on vacation with no access to a secure computer terminal. He plans on selling everything equity and putting the money toward US Treasuries. He plans to evaluate that decision once he returns to a secure base. To each their own catch. I expect that the stuff I own will continue paying me my dividends and if the market tumbles I'll just use those dividends to make the best buys I can.

Thanks @Mark for the translation. I can sympathize a bit with Catch. I don’t worry much about investments when out of reach of a secure terminal / traveling. If you have a good plan everything will work out. But being a bit of a market addict, I would miss the daily market buzz. Not that that’s a good trait. Just me.

@Catch22 - Treasuries? While they likely would hold up well or even gain if the market crashed, like any investment, they have some serious drawbacks. Umm ... I’d think public wifi is the “pits” for security, though I’ve resorted to it once or twice in a pinch. Cellular in the U.S. should be reasonably secure. Likely varies greatly outside the country. When traveling in the U.S. I’ll occassionally phone in a trade to the fund company directly - very old school!

Just a crazy thought here. But in the event of a real market panic, I’m not sure that everyone who wanted to would even be able to place trades, Call centers and internet servers could be overwhelmed with sell requests. Must be some fine print somewhere in those contracts absolving your broker of blame if unable to execute your order in a timely manner in the event of unusual or unforeseen circumstances.