Investing megathread extravaganza

[DaFace]

A place to talk about investing stuff.

[petegz28]

The real bite the last couple of days was there was no where to run but cash. Usually you would see bonds or even gold catching a bid but everything has been on sale. Today you did see bond yields come in a bit and the 10 yr is already back to 2.68% in from 2.88% less than 48 hours ago. The markets are still selling off world wide as we speak. Japan is down over 5% and London futures are down over 6% while Dow and SP500 futures in overnight trading are off 2% give or take.

A week ago every was screaming that we needed a correction. Today people are screaming cause we are getting it.

[TwistedChief]

Originally Posted by lewdog

What’s the reason you don’t post in here more? We could use your great dialogue and knowledge.

This is probably my favorite CP thread. People are cordial, offer advice and there’s very little bickering.

Two primary reasons:
1/ My job is markets. I am literally glued to them 24hrs a day. I come to CP for the escape of hearing people heap scorn on Alex Smith.
2/ My expertise is global interest rates and my trading style lends itself to shorter-term (multi-day rather than multi-month) moves. My understanding was this thread was more geared toward discussing single name equity plays. I honestly feel I have no edge and nothing to add in that arena. All of the personal money I have invested (disclaimer: because of the nature of my job, I maintain a larger-than-normal cash allocation for mental health reasons) is passive.

The sad reality is the bulk of professionals who are paid to pick stocks and spend every waking moment attempting to do so aren't very good at their jobs. Markets are really, really, REALLY hard.

[Hog's Gone Fishin]

Boeing went from 360 to 321 this morning. If it gets to 300-305 it might be a good buy.

[MahiMike]

2 weeks ago I went all cash. First time I've ever timed it right. Lucky I guess but I went with my gut.

[kepp]

Originally Posted by MahiMike

2 weeks ago I went all cash. First time I've ever timed it right. Lucky I guess but I went with my gut.

Nice. I was talking about it last week, but didn't do anything. Oh well, I'm in it for the long haul and have time to watch it bounce back.

[Hog's Gone Fishin]

MahiMike > Warren Buffet

Buffet lost 5 BILLION on Monday

Zuckerburg lost 3.2 BILLION

[Rain Man]

Originally Posted by MahiMike

2 weeks ago I went all cash. First time I've ever timed it right. Lucky I guess but I went with my gut.

I keep thinking about pulling some out to diversify. I probably should've done that last week. Oh, well. Head down, teeth gritted, I'm buying into the wind.

[lewdog]

Originally Posted by Over Yonder

Yea, I know you are correct. You may not remember, but me and you had a brief discussion about this over on the DC side a while back. I'm that type of guy that looks at investing like this. If I keep all my money and my employers match plus the little dab of interest/dividend it accumulates, I am satisfied. Like I said, I'm not a gambler.

And for the record, the in my reply was to his joke, not anything else. Definitely not trying to be rude or anything. I have a very meager traditional IRA and the 401k down at work. Love reading this thread and seeing how those of you who are brave are winning the game. Sometimes I wish my brain wasn't wired the way it is, I could possibly be making coin too

Oh I do remember now! I do appreciate you being honest. We all have different pucker factors. I am in no way trying to change what you do.

That being said, the power of compounding interest is very real. People like to look at the highest value of their portfolio, and freak out when it loses money in a correction like this week. Truth be told, those with 25-30 year investment windows. who consistently contribute to retirement accounts, will come out vastly ahead of those who do not use such accounts, simply due to compounding interest of decades.

I have a family member who started investing into a stock market retirement account in 1978. Fast forward to 2008 when the market crashed. At that time they had contributed a total of $150k throughout those 30 years into this account. Even at the absolute bottom of the market in 2008, it was still worth $400k. Sure it was scary and worrisome to see their retirement money get cut in half! But as they told me, they were still well ahead of where they'd be if they had simply placed that money into a savings account all those years. Fast forward another 10 years to 2018, and without adding another penny to this account in those 10 years, it's now worth close to $1M.

That's the power of compounding interest at work.

[CanadaKC]

Canada is in the midst of creating a legalized commodity marijuana market which is attracting big names like GW Pharmaceutical, Phillip Morris, etc...to get in the multi billion dollar action. A lot of weed companies have been created awaiting the legalization date and the strongest are Canopy, Aurora, The Hydropothecary Corporation, and Future Farm Technologies. The stocks fluctuate in price but are worth a 2-4 year window until the biggie corporations gobble up all the smaller companies.

[Discuss Thrower]

Originally Posted by lewdog

Oh I do remember now! I do appreciate you being honest. We all have different pucker factors. I am in no way trying to change what you do.

That being said, the power of compounding interest is very real. People like to look at the highest value of their portfolio, and freak out when it loses money in a correction like this week. Truth be told, those with 25-30 year investment windows. who consistently contribute to retirement accounts, will come out vastly ahead of those who do not use such accounts, simply due to compounding interest of decades.

I have a family member who started investing into a stock market retirement account in 1978. Fast forward to 2008 when the market crashed. At that time they had contributed a total of $150k throughout those 30 years into this account. Even at the absolute bottom of the market in 2008, it was still worth $400k. Sure it was scary and worrisome to see their retirement money get cut in half! But as they told me, they were still well ahead of where they'd be if they had simply placed that money into a savings account all those years. Fast forward another 10 years to 2018, and without adding another penny to this account in those 10 years, it's now worth close to $1M.

That's the power of compounding interest at work.

Too risky.

[Amnorix]

Originally Posted by petegz28

The real bite the last couple of days was there was no where to run but cash. Usually you would see bonds or even gold catching a bid but everything has been on sale. Today you did see bond yields come in a bit and the 10 yr is already back to 2.68% in from 2.88% less than 48 hours ago. The markets are still selling off world wide as we speak. Japan is down over 5% and London futures are down over 6% while Dow and SP500 futures in overnight trading are off 2% give or take.

A week ago every was screaming that we needed a correction. Today people are screaming cause we are getting it.

What people primarily need is PATIENCE.

[Hog's Gone Fishin]

Well, got back about 60% of yesterdays losses.Reduced portfolio from 12 to 4 yesterday. Bought Amazon at the close yesterday and Boeing today. Tomorrow is the last day I get to pull my hair out and then fishin for 3 days.

[Rain Man]

Originally Posted by Amnorix

What people primarily need is PATIENCE.

What's the symbol for that? I'll look into it.

[Rain Man]

It's going back up! Exuberance! I feel exuberance!

[Hog's Gone Fishin]

Originally Posted by Rain Man

What's the symbol for that? I'll look into it.

It's not in my portfolio either.