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lucky we changed Mama's retired portfolio to 30/70 3 or 5 months ago.. followed several member's ideas since last yr and sold out of mama's stocks portfolio from 80 to now ~ 30s%.
think I'm gonna buy some QQQ tomorrow on margin unless a big pop at the opening
krug just now:
One small note of nonpanic over bond yields: the 10-year has fallen in half, but it's still a bit higher than it was in much of 2016, when it didn't presage recession. The reason we have a yield curve inversion is that the Fed raised short-term rates. That now looks like a clear mistake — partly bc the Fed misjudged the labor market, partly bc it gave too much credence to stimulus from tax cut. But I think this story makes the yield curve inversion less ominous than it might otherwise seem. Put it this way: one story is that we've been in secular stagnation all along, and the only thing that really changed was a temporary bout of irrational exuberance at the Fed.
Yes, beginning last Thursday and completing yesterday. I sold all equity funds down to a foothold status with the exception of VHCOX, RPMGX and VGHCX. the first two simply due to the protected nature of the share class in my account. Vanguard Healthcare remains fully invested due to it being what I consider to be defensive in nature. All foreign holdings are reduced to that foothold status since they're a mess.
Still, I have about 50% equities due to REITs and divi payers, which are currently safe havens.
Morningstar: "...Combine all of these factors, along with explicit government subsidies on deposit insurance and mortgage insurance as well as the implicit subsidy of being too big to fail domestically (all big six Canadian banks are labeled as domestic systemically important banks), and we believe an environment exists in Canada where excess returns for banks are almostcertain..."
Nada. Month ago I stashed 100% of 2020 budget needs in cash - near the year’s highs. Worked well last year.
Otherwise, steady as it goes. If I was 10-15 years younger I’d be fire-walking / buying down with every 750-1000 point drop in the Dow. Too old for that kinda s*** any more.
Thanks to those who have / will respond. Interesting market. Bears watching. If this continues, there will be calls from many (including some in Congress) to fire Powell. Such is the environment we find ourselves these days. (And I’m trying very hard to steer clear of politics.)
Not selling anything, but I am tempted to, again, up my play in IAU (gold). Up over 18% since June 1st. I started playing in December and it didn't move a lot until summer. I'm guessing it has plenty of room in the next year to keep moving.
August is known for volatility. I just asked my crystal ball and it said "No" to the question, "is it time to panic". So, there you go
Mostly just watching the show. (Did make one minor portfolio adjustment this afternoon to lock in a loss.) Things have become interesting. Just checked my YTD returns. Up 9.8% through COB today. That's good for my asset mix. Don't really have a good sense for where the market will go from here. Even if I did, it would have a 50% chance of being wrong!
@hank 's method for squirreling away 2020 $'s makes sense to me. I have enough $'s in ZEOIX, SHV, and few other similar funds in my Cash Pot to take of that (that's as close to "cash" as I get). Distributions near the end of the year will cause me to do some portfolio shuffling however.....
I don't have to tell you guys, but the problem with buying the dip, is that you don't know how low it will go. Added to Wellington at beginning of the month, my normal purchasing time.
I don't have to tell you guys, but the problem with buying the dip, is that you don't know how low it will go. Added to Wellington at beginning of the month, my normal purchasing time.
I don't have to tell you guys, but the problem with buying the dip, is that you don't know how low it will go. Added to Wellington at beginning of the month, my normal purchasing time.
The guys here will tell ya. It really makes no difference with a long time horizon. What was the S&P at 10 years ago? 20?
"It really makes no difference with a long time horizon."
And that is one of the most important facts to always keep in mind. It's also the reason that Ted, myself, and a few others here have greatly reduced our exposure to the markets: when you hit 80, that time horizon ain't so very long.
I reduced my equity position to 45% of holdings last week. This is more of a tactical move for now. Will be looking to increase this back gradually as the market goes down (assuming it continues).
the problem with buying the dip, is that you don't know how low it will go.
One of the many things I like about DSE_X is the automatic monthly buying; god forbid I should do that sort of thing. Though I may try and do something tomorrow morning, as noted above. Not though if dow jumps 400 at the open.
Not bailing nor trimming. Rocking along with my asset allocation of 20% cash, 40% income and 40% equity. Looking for my next spiff buy step to appear somewhere around the 2750 range for the S&P 500 Index.
"It really makes no difference with a long time horizon."
And that is one of the most important facts to always keep in mind. It's also the reason that Ted, myself, and a few others here have greatly reduced our exposure to the markets: when you hit 80, that time horizon ain't so very long.
I would imagine your investment strategy is slightly different
Sold out of most mama's fidelity equities positions at openings . Will Add more Fbnd and fidelity2015 TDF
The fund companies finally realized that one size does not fit all, so they've got multiple series of TDFs.
Would your Fidelity 2015 fund be:
FFVFX (Freedom® 2015), that "Seeks high total return until its target retirement date. Thereafter, the fund's objective will be to seek high current income and, as a secondary objective, capital appreciation"?
Or FLIFX (Freedom® Index 2015), that "Seeks high total return until its target retirement date. Thereafter, the fund's objective will be to seek high current income and, as a secondary objective, capital appreciation"?
Or FIRUX (Simplicity RMD 2015), that "seeks total return until its horizon date through a combination of current income and capital growth. Thereafter, the fund's objective will be to seek high current income and, as a secondary objective, capital appreciation"?
Rather glad I trimmed equities last year. My biggest equity (balanced, really) position is still PRWCX. Total equity exposure is 37% of portfolio. I took a slug from PRSNX and bought RPSIX lately, just at the "wrong" time, but that's a very short-term view. I switched into RPSIX for the routinely higher (a bit) monthlies, compared to PRSNX. And PRSNX was starting to look more risky. But the small equity position in RPSIX has kept it from rising along with my PTIAX and PRSNX during the current downdraft. Still, I can't complain--- much.
But cash is coming to an end too. To be replaced by some new wondrous digital something or other. Hadn't you heard?
Don't even start me. And governments are using plastic-ish "paper" bills to foil counterfeiting. Canada, Europe. No such thing as a penny any longer, in Canada. Your change at the store is rounded up or down! I wonder what my old PAPER $1 CAD might be worth right now, which I saved from decades ago? "Eh?" LOL.
No, I don’t try to time the markets. My asset allocation is set to my time horizon and needs. Reduced my overall stock percentage from about 60% to 50% when I retired because we would be making periodic withdrawals, but no need to change now because we have enough assets in “safe” investments to last years without needing to sell any stocks.
Comments
Nope ... bought some today in my Roth and 403b
krug just now:
One small note of nonpanic over bond yields: the 10-year has fallen in half, but it's still a bit higher than it was in much of 2016, when it didn't presage recession. The reason we have a yield curve inversion is that the Fed raised short-term rates.
That now looks like a clear mistake — partly bc the Fed misjudged the labor market, partly bc it gave too much credence to stimulus from tax cut. But I think this story makes the yield curve inversion less ominous than it might otherwise seem.
Put it this way: one story is that we've been in secular stagnation all along, and the only thing that really changed was a temporary bout of irrational exuberance at the Fed.
REgards,
Ted
Source CNBC:
Still, I have about 50% equities due to REITs and divi payers, which are currently safe havens.
Morningstar: "...Combine all of these factors, along with explicit government subsidies on deposit insurance and mortgage insurance as well as the implicit subsidy of being too big to fail domestically (all big six Canadian banks are labeled as domestic systemically important banks), and we believe an environment exists in Canada where excess returns for banks are almost certain..."
Otherwise, steady as it goes. If I was 10-15 years younger I’d be fire-walking / buying down with every 750-1000 point drop in the Dow. Too old for that kinda s*** any more.
Thanks to those who have / will respond. Interesting market. Bears watching. If this continues, there will be calls from many (including some in Congress) to fire Powell. Such is the environment we find ourselves these days. (And I’m trying very hard to steer clear of politics.)
August is known for volatility. I just asked my crystal ball and it said "No" to the question, "is it time to panic". So, there you go
will start buying.
@hank 's method for squirreling away 2020 $'s makes sense to me. I have enough $'s in ZEOIX, SHV, and few other similar funds in my Cash Pot to take of that (that's as close to "cash" as I get). Distributions near the end of the year will cause me to do some portfolio shuffling however.....
That's why we nibble and build up positions over time!
And that is one of the most important facts to always keep in mind. It's also the reason that Ted, myself, and a few others here have greatly reduced our exposure to the markets: when you hit 80, that time horizon ain't so very long.
One of the many things I like about DSE_X is the automatic monthly buying; god forbid I should do that sort of thing. Though I may try and do something tomorrow morning, as noted above. Not though if dow jumps 400 at the open.
Would your Fidelity 2015 fund be:
FFVFX (Freedom® 2015), that "Seeks high total return until its target retirement date. Thereafter, the fund's objective will be to seek high current income and, as a secondary objective, capital appreciation"?
Or FLIFX (Freedom® Index 2015), that "Seeks high total return until its target retirement date. Thereafter, the fund's objective will be to seek high current income and, as a secondary objective, capital appreciation"?
Or FIRUX (Simplicity RMD 2015), that "seeks total return until its horizon date through a combination of current income and capital growth. Thereafter, the fund's objective will be to seek high current income and, as a secondary objective, capital appreciation"?