So, Where Do We Put Our Investment Money Now??

[HTSS_TR]

Originally Posted By: Char Baby
Many would say to stay put!
Others will say to put your money into the safe haven and ride it out there!

I would put the 401K/IRA monies into the safe spot! No Growth/No Loss!

No growth is a lost after inflation.

Timing market is almost impossible, to be safe have your money in a conservative growth and income fund(s) with Fidelity or other large investment companies. Over 50-10-15 years your investment will be better than in bonds or money market account.

 

[Turk]

Originally Posted By: Falken
nothing beats simply increasing your cash flow by reducing your debt.



Yep, I pad off everything years ago and am 100% Debt-Free!

 

[xfactor9]

We're 6 years into this economic expansion and bull market. This is not the time to buy equities. Expansions last 5-8 years, then are followed by a bear market decline around 30-60%. So even if the stock market rises another 20%, then falls by even a modest 35%, it will be far lower than it is now.

The best time to buy is during or right after a recession. Anyone buying now should be very nervous

 

[supton]

Originally Posted By: xfactor9
We're 6 years into this economic expansion and bull market. This is not the time to buy equities. Expansions last 5-8 years, then are followed by a bear market decline around 30-60%. So even if the stock market rises another 20%, then falls by even a modest 35%, it will be far lower than it is now.

The best time to buy is during or right after a recession. Anyone buying now should be very nervous




Curious what you would think: better to pay down debt, or split the money between debt and retirement? Obviously best to be debt free and then invest, but since retirement saving is very often dependent upon time in the market, I wonder about putting the next bits of my money into the mortgage or into retirement. [Already have company match, but as pay raises come in there is more money to put someplace.]

 

[Warstud]

Originally Posted By: xfactor9
We're 6 years into this economic expansion and bull market. This is not the time to buy equities. Expansions last 5-8 years, then are followed by a bear market decline around 30-60%. So even if the stock market rises another 20%, then falls by even a modest 35%, it will be far lower than it is now.

The best time to buy is during or right after a recession. Anyone buying now should be very nervous




I agree. That's why my 401k is currently in a money market account.

 

[Leo99]

Originally Posted By: Warstud
Originally Posted By: xfactor9
We're 6 years into this economic expansion and bull market. This is not the time to buy equities. Expansions last 5-8 years, then are followed by a bear market decline around 30-60%. So even if the stock market rises another 20%, then falls by even a modest 35%, it will be far lower than it is now.

The best time to buy is during or right after a recession. Anyone buying now should be very nervous




I agree. That's why my 401k is currently in a money market account.


Don't sit on the sidelines too long. Inflation will cause you to lose money just by sitting idle.

 

[Turk]

Originally Posted By: xfactor9
We're 6 years into this economic expansion and bull market. This is not the time to buy equities. Expansions last 5-8 years, then are followed by a bear market decline around 30-60%. So even if the stock market rises another 20%, then falls by even a modest 35%, it will be far lower than it is now.

The best time to buy is during or right after a recession. Anyone buying now should be very nervous




This is why I am asking..... Bonds aren't looking good either!

So. Let's say one has $100k "sitting" in a Money Market Fund. Doing nothing. Today.

Leave it there then? Invest it in "boring" stocks?
Where & which Ticker Symbol(s)?

 

[linkbelt]

[/quote]


This is why I am asking..... Bonds aren't looking good either!

So. Let's say one has $100k "sitting" in a Money Market Fund. Doing nothing. Today.

Leave it there then? Invest it in "boring" stocks?



I have over $100k "sitting" in I Bonds. The interest for the next 6 mos. is exactly zero! (I never thought I see the day!) My CD's are not doing much better.
The stocks I own are doing ok, so far.
I have my eye on some more "boring" stocks, but I think they are overpriced at this time.
Therefore, I am between "a rock and a hard place"
I will just leave things as they are for now.

 

[Leo99]

Stocks I like:

SWKS Skyworks
DIS Disney
AAPL Apple

IBB Biotech ETF

 

[Vuflanovsky]

What can you say....it's a tough time to be 54 and retired...or retired period. Things will change but if you're retired that early and don't have plans to work again or only part time, etc. then you likely need a long term plan. That plan might not definitely present itself for awhile.

My 89 year old mom is now investing small amounts (~10K) in health care mutual funds and may put some into financials as since 2009 she's gained enough to cover most of the RMDs on her IRA. The risk / reward for her is OK as she can lose small amounts if it came to that. It's gotten harder in recent years to be in fixed income investments just as it's gotten harder to be retired if you don't have a million dollar plus portfolio.

 

[Mr Nice]

AT&T is boring but pays over 5% dividends.
As you get older that extra income from dividends is important to keep up with inflation.

 

[Vuflanovsky]

Definitely. If you're well into retirement and looking at a 5% total return as adequate and safe then boring and predictable would be where you'd want to be.

There's a local financial columnist in the paper here who runs a pension consulting firm. He says that the average retiree should never go below 40% in equities with much of those equities being dividend paying stocks and/or mutual funds. Keeping more than about a years needs in savings would likely hurt the retiree if 2007-09 ( and the subsequent recovery ) is any indication.

 

[Doog]

Originally Posted By: Turk

Say we need to re-balance/re-deploy. I'm 54 and retired early. Too much in "cash" accounts.
Bond Funds are not looking good.


Unfortunately early retirees will be really hurt in our "high debt" economic government strategy. The US dollar has no place to go but down in value. The Fed has painted themselves in a corner with zero interest rates and the global economy is faltering. So the only place to put investment money is the NYSE, Nasdaq, real property, or a business.

Retirement in America is a scary proposition.

 

[HTSS_TR]

Many retirees moved to Central/South America or South East Asia, with Social Security monthly payment of $1500-2000 a couple can live comfortable in those countries.

 

[Mr Nice]

I spent a month in Panama and I would NOT want to live there.

You can retire comfortably considering you have 30+ years to plan for it. I'm 53 and have all my ducks lined up for when I turn 59.5

I might work to stay busy... not because I need the money.

 

[xfactor9]

You can get 1% with FDIC money market accounts now. You will lose a little to inflation, but it will be for only a couple of more years before the next recession hits. Then you'll have another great buying opportunity and can easily make up for the loss to inflation you're suffering now

 

[linkbelt]

Originally Posted By: xfactor9
You can get 1% with FDIC money market accounts now. You will lose a little to inflation, but it will be for only a couple of more years before the next recession hits. Then you'll have another great buying opportunity and can easily make up for the loss to inflation you're suffering now


You, Sir, are on target!

 

[Leo99]

Originally Posted By: xfactor9
You can get 1% with FDIC money market accounts now. You will lose a little to inflation, but it will be for only a couple of more years before the next recession hits. Then you'll have another great buying opportunity and can easily make up for the loss to inflation you're suffering now


In theory. If you wait for the market to bottom out, you'll miss the bottom, the market will rebound, and then be right back to where you are today. Sitting on the sidelines while inflation eats you up.