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tony

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  1. Boy, talk about adding to the current drama. I'm glad you are fine.
  2. Scott Seems like you and Steve and me share similar values and family backgrounds which taught us so much. I'm not worried about us . If anything can be learned now on a personal level from this virus mess, it is everybody should try and live below their means and, try to save for the future because as we know, life can get messy and full of surprises quickly. Unfortunately, consumerism is very enticing. No savings, but definitely updated iPhones, multiple credit cards, wide-screen tvs, game consoles, and new cars are common among many who can't afford them. I encourage Americans who possibly can, put those government stimulus checks in an emergency fund if you don't have to mitigate it for lost wages. So many Americans have no money saved for events like this.I agree that the Fire movement offers good advice but, that advice is nothing we didn't already know . The problem I have with the Fire movement is retiring in your twenties -thirties is just not realistic IMHO. High taxes, raising children, plus childcare, plus high education costs, plus high medical premiums (with low payouts more and more common) keeps families broke. And then there is also events like we are now facing. The always going up higher cost of living in general makes me feel a FIRE lifestyle might be unattainable long term . As Steve points out this will be the challenge for the FIRE investor. The US economy is facing its greatest challenge since the great depression and suddenly Americans are finding themselves in uncharted territory as none of us I can safely say saw this coming (except for Bill Gates). I personally felt the market was due for a correction and I made adjustments on a hunch but I too was caught blindsided by the depth of what is currently happening . We are all scrambling to adopt. I enjoyed and appreciate hearing from you and Steve. Tony
  3. The stock market wasn’t going to create wealth forever. So what about the FIRE movement? I personally mentioned in my posts as did others that the early retirement Fire movement might have been a bit too optimistic and perhaps a tad unrealistic.. Now things have changed as they eventually always do for one reason or another. We'll see how everyone adjusts. Link to article is below. https://www.nytimes.com/2020/04/02/style/fire-movement-stock-market-coronavirus.html?algo=top_conversion&fellback=false&imp_id=718283461&imp_id=14773195&action=click&module=Most Popular&pgtype=Homepage
  4. Ceci Dominguez celebrated her 67th birthday alone in her home in the Elysian Valley neighborhood of Los Angeles. The threat of coronavirus kept her from friends and family—and from the part-time jobs and informal gigs that keep her frugal budget balanced. https://www.msn.com/en-us/money/retirement/coronavirus-shock-is-destroying-americans-retirement-dreams/ar-BB11JqJB?li=BBnb7Kz
  5. A great easy to understand video suitable as a reminder to all of us that it's probably not the end of the investing world for us . Thanks for sharing such good advice. Those looking for a bottom to this market sell off may be disappointed to learn that mega one day rallies like the ones we've experienced are typically NOT the start of a recovery. See Chart Below. We must be more encouraged by days and weeks and months when investors take modest bites at risky investments than in great mouthfuls. I'm glad your video mentioned Dollar Cost Averaging as one good method of slowly easing back in. We are not out of the woods yet. Unemployment rates are soaring but at the same time, there is money to be made in this new market or further money lost if you are not careful. Just like we should not ease up on this pandemic we shouldn't jump to conclusions that the market drop is over. Note: Everyone's situation is different.Anything I write on this website is my personal opinion and should not be considered investment advice. Please do your own research. Quote
  6. Steve and Krow I'm no expert here but my opinion is we can't shut down the country for months over this.The economic consequences could be worse than the virus . It would and will do incredible damage to our economy of the likes we have never seen. I think we should only ask people of a certain age to quarantine as well as those who have other illnesses eventually. The rest need to do their due diligence and take everyday precautions but return to normal routines.Certainly this drill is teaching us what precautions to take. Perhaps pockets of high concentration like New York, Seattle and parts of California and Florida should have more stringent rules. Let the governors and mayors decide. In Italy a certain Northern pocket of the country is where the problem is serious. The rest of the country not so much. Opening the gates will possibly spread the virus but folks usually can beat it so we in essence would be spreading immunity. I believe its called a "Herding Effect" I know that seems inhumane but having a 20-30% unemployment rate is inhumane too. I'm seeing great opportunities for businesses to invest in public health going forward. I know we should ignore the noise when it comes to investments right now .but I just sold my taxable international fund at a good loss. Seeing I seem to owe the government money ever year. it was an opportunity I could not pass up. I'm keeping my eye on my taxable accounts for tax loss harvesting as Whyme mentioned. So far I remain in the black in most of my funds. I won't do anything otherwise in my IRA accounts. I won't being paying my tax bill until July now. There is no easy answer to the horrible mess we are in. I pray for all that are ill and I certainly don't think the stock market or the economy is more important than human life. Tony Note: Everyone's situation is different.Anything I write on this website is my personal opinion and should not be considered investment advice. Please do your own research.
  7. Download the Book THE PDF file should open. Apple Books » | PDF » | Epub » | Mobi » (Additional help: Opening .mobi files on a Kindle | How to open Epub files on Kobo Reader, Barnes & Noble Nook, and Google Play Books.)
  8. I thought I'd share this with all of you . With so much misinformation out there this is a good reference. I found it in line with what I have been reading on responsible /reputable websites. I realize this is not about investing but considering what we all are going through, I hope it will be allowed to be shared. It does have a chapter on investing It's 160 pages plus long.
  9. DCA is entirely a risk management issue. Sure, “on average,” lump sum investment yields better results, except when it doesn’t. The problem is that no one knows in advance when that will be. When one dumps in a large sum of money into an investment, not only is the entire amount put “to work,” it is also put at risk. In this current market when we are just starting to see the beginning of the worst of this situation, who knows how bad it can get. The upward potential is reduced sure , but risk is reduced to a much greater degree.If one has money to “play with” in the market, go ahead and speculate, gamble, and dump in funds as one sees fit. If one has limited means and needs every penny available to survive in retirement, then one needs to stick to traditional rules of asset allocation and systematic investing. The market is too unpredictable to know which is the better approach. Regardless I'm hearing many folks will be getting a lump sum of 1,200.00 from the government. Don't have the details but I believe everyone with income below $70,000 gets it but I'm not clear on the details. I think this should only be given to people who really need it and not everybody but I understand they are trying to keep the economy afloat. I'm afraid our comments here are only making investing sound complicated and scary to others when its supposed to be simple.
  10. Is that because of time? How would it be different. ?
  11. That was my point just don't dump it in all at once with a sudden windfall. Take time to think how you want to proceed. Don't make an emotional decision.DCA is the way back into the market. Although some experts say it doesn't matter if you lump sum an amount or DCA the money back into stocks. DCA is attacked by some as a useless endeavor. I always DCAveraged my accounts through thick and thin and it worked for me. ScottO thanks for your contributions to this discussion and thanks for the links.
  12. I was trying to consolidate accounts and move them all to Vanguard. My goal was not necessarily to trigger a deduction. i was with my rights at 31 days and yes i could have repurchased the very same Fidelity fund but that wasn't my goal. I guess we can argue all we want about what timing is as we continue to do . I might have a different understanding of it that you do. I'm just sharing my ideas and my way of doing things. i'm not asking anyone to do what I do. I'm not trying to give anyone specific advice.
  13. I received this advice from Vanguard directly years ago. The rules were/are murky, that If I sold Fidelity Total and purchased Vanguard Total I would still have to pay taxes on any gain. But I sold my shares in Fidelity years ago at a loss moved to Vanguard Total 31 days later and took the loss on Vanguard's advice and nothing negative happened. I got the deduction. You can do it. As I said don't just take my word for it, do your own research but it worked for me and that's what I was told by Vanguard to do. Not looking for an argument here. It was a one time thing. I'm not doing it over and over again to beat any system.To play it safe perhaps you should do what Whyme said and go from a 500 fund to a total fund to take the loss or visa versa. What "substantially identical" means is interesting wording. Might it mean you can't sell a Fidelity Index Fund and then re buy it (the exact same fund).later just to take a loss ?. In terms of a significant lump sum non retirement account. i certainly would not drop it in the stock market right now under these circumstances. all at once was my point i guess you could but it would not hurt to park it a while in a money money account instead of leaving it in a checking account collecting no interest on it. Is that marketing timing? I think it's just being cautious.
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