Investing megathread extravaganza

[DaFace]

A place to talk about investing stuff.

[lewdog]

Originally Posted by Hammock Parties

Tell me again about my instincts, lewdick.

Didn’t you say today would suck ass?

[Hammock Parties]

Originally Posted by lewdog

Didn’t you say today would suck ass?

It did for a few hours.

But I didn't buy or sell anything today, bitch.

[ThaVirus]

To people in this thread who have a brain (aka not Clay), are you expecting another big drop in the near future or over these next 6-ish months?

[jdubya]

My 20 year old son has a ROTH IRA. Is today as good a day as any for him to drop some coin in it?

[Rain Man]

Originally Posted by ThaVirus

To people in this thread who have a brain (aka not Clay), are you expecting another big drop in the near future or over these next 6-ish months?

(Taps head to confirm brain presence.)

My theory is that we'll see another drop as a second wave of Covid comes around. But it won't be as big or abrupt as the first because we know a lot more now. So maybe a 5 or 10 percent drop that's more of a skid downward than a fast decline. It'll slowly climb or just stagnate, and then we'll get a vaccine next year and it'll take off again. I think we might get a small bump after the presidential election, too.

[lewdog]

Originally Posted by ThaVirus

To people in this thread who have a brain (aka not Clay), are you expecting another big drop in the near future or over these next 6-ish months?

I’m expecting a large dump late 2020 or early 2021 (50%+). Although the Feds may start buying stocks so who really knows.

Guessing is hard. I always take profits along the way in my brokerage account because no one ever went poor selling stocks for profit. In my investment accounts I just dollar cost average each month and never look back. I rebalance those accounts once a year to my desired allocation.

[lewdog]

Originally Posted by jdubya

My 20 year old son has a ROTH IRA. Is today as good a day as any for him to drop some coin in it?

Time IN the market beats timing the market. If you have the cash, investing sooner rather than later usually results in more compounding interest over time.

[ThaVirus]

Originally Posted by lewdog

Time IN the market beats timing the market. If you have the cash, investing sooner rather than later usually results in more compounding interest over time.

Even if you expect a big dump (50%+) in just a few months?

I guess if you're 20 you've got another 40 years for the market to rebound and compound interest, but would it be better for someone on the older side to ride it out for another 6-9 months before dumping in a boatload of cash?

[Rain Man]

Originally Posted by ThaVirus

Even if you expect a big dump (50%+) in just a few months?

I guess if you're 20 you've got another 40 years for the market to rebound and compound interest, but would it be better for someone on the older side to ride it out for another 6-9 months before dumping in a boatload of cash?

I would tend to agree with Lew that dollar cost averaging is the way to go. None of us really knows what will happen. If we get good news about vaccines and the second wave is small, then the markets will climb from here. So if you put in a little at a time with consistency, you'll manage both downside risk and upside risk.

I love the fact that trades are free now on the brokerages. I can buy $100 of stock at a time now without worrying about fees eating my profits.

[jdubya]

Originally Posted by lewdog

Time IN the market beats timing the market. If you have the cash, investing sooner rather than later usually results in more compounding interest over time.

Every once in awhile i am reminded that no matter how old I get, I`m still capable of asking stupid questions. Feel foolish that I needed reminding that the success of ROTH IRAs are based on CI which is based on time. Thanks the the head slap of wakefulness

[Mr_Tomahawk]

Today was a good day.

[Hammock Parties]

Originally Posted by ThaVirus

To people in this thread who have a brain (aka not Clay), are you expecting another big drop in the near future or over these next 6-ish months?

If you saw my chart this year you'd think more highly of my brain.

[lewdog]

Originally Posted by ThaVirus

Even if you expect a big dump (50%+) in just a few months?

I guess if you're 20 you've got another 40 years for the market to rebound and compound interest, but would it be better for someone on the older side to ride it out for another 6-9 months before dumping in a boatload of cash?

Someone older should limit their stock exposure anyway. If they’re dumping a Boatload on stocks that late in life, that’s their gambling, not money management.

Originally Posted by Hammock Parties

If you saw my chart this year you'd think more highly of my brain.

Realized gains or all paper?

[Hammock Parties]

Originally Posted by lewdog

Realized gains or all paper?

Some realized, some are long-term holds.

But move those goalposts, lewdick.

We're not in the IQ era any more.

I am become death, destroyer of shorts.

[lewdog]

Originally Posted by jdubya

Every once in awhile i am reminded that no matter how old I get, I`m still capable of asking stupid questions. Feel foolish that I needed reminding that the success of ROTH IRAs are based on CI which is based on time. Thanks the the head slap of wakefulness

Not a problem. Easy concept but missed by many.

I’m going to get this thread on track and provide some good responses, articles and information. I’ve spent the last few months screwing around in my posting here and honestly this could be a valuable thread. Pete and Buehler provide good posts, along with Rainman and some occasional others. I’ll even say that Clay isn’t always wrong, but I do enjoy the banter with him. His trading style is risky although no uncommon. I wouldn’t recommend it for most but he’s not always super foolish.