Investors....come in please!

[javacontour]

As others have likely already said, 75% of fund managers are unable to beat the S&P500 index. So why not just buy an S&P500 index fund?

It will mirror the market as a whole, and typically such funds have lower fees than the actively managed funds, of which, over time 3 out of 4 will fail to beat the index. From 1980 until the end of last year, the S&P500 has an average return of over 9%

Had a median wage worker invested the same amount of money as his 12.4% contribution to Social Security every year from 1980 to 2019, that worker would have about $1.4 million in their S&P500 fund today.

They could be taking 2x that median wage as a retirement benefit, or about 130K per year and likely never touch the principle.

Warren Buffet, as far as I know, has not lost on his million dollar challenge, where he bets he can beat any hedge fund manager over a 10 year period, using the index. https://www.investopedia.com/articl...bet-hedge-funds-year-eight-brka-brkb.asp

 

[JeffKeryk]

Go to your local Schwab office.
Tell them your goals.
Show them your 401K.

They will help.
Please do not expect to see the gains of the last 11 years; you will likely be disappointed.
At this point, I would be conservative; you do not have time to recover.

Good luck.

 

[pbm]

The financial talking heads are blaming yesterdays rout on "supply chain disruption" from China due to coronavirus. In other words...the world economy is too dependent on China (even for things like antibiotics). I'd be looking at stocks from countries who will eventually compete with China now that we see how dangerous it is to allow them to dominate. PS: At least one person in Washington realized this...but it seems too many others were making money from China to worry about it.

 

[toneydoc]

Vanguard has some really low cost funds to own

Pick out an index fund and put it to work there where it is managed by a computer

 

[demarpaint]

Do your own homework, taking advice on message boards from total strangers can be dangerous. Having said that, flirting with the Coronavirus volatility can be a real crap shoot.............

 

[thastinger]

Originally Posted by vw7674
Originally Posted by daves66nova
What stocks are good to buy today or tomorrow, the 25th? I have about 8k

Best advice I ever heard was this: What do you buy? Do you buy Chevrolet trucks? Buy GM
Use Amazon? Guess what, consider Amazon. Same for gasoline, or Coca-cola or whatever you habitually consume.
If you like it, it will probably stick around till you either die or tire of it.


I concur with this for something you want to hold on to for the long haul. I bought some Coke (KO) 30 years ago, never sold it and it has done well over that period of time.

 

[PimTac]

First, you should be maxing out on your contributions to your 401k and Roth before considering any further investments.

When that is accomplished you could research companies. Do your own homework and don't rely on others to tell you which stock to buy. Educating yourself is worthy and long lasting.

Finally, investments in single stocks should not exceed 4% of your total portfolio. That is a old rule but it still has credence.

 

[Schmoe]

You don't think the market drop was partially from comments by a presidential candidate on 60 Minutes that aired Sunday night??

 

[ARCOgraphite]

I likely made a hair trigger impulse boo boo last night and threw some idle cash into a market index fund looking for a little bounce.

I haven't even looked at the market today. Though I suspect it might dive a bit more through midweek.

I retirement, I've been loading up in, and concentrating in, some High Dividend paying securities with a more or less stable market value,
and B rated short term bond funds. as a income generator. But 65% is in GMM for safety.

Don't want to lose the last decade of gains.

 

[dblshock]

SQQQ

 

[Wolf359]

Originally Posted by Schmoe
You don't think the market drop was partially from comments by a presidential candidate on 60 Minutes that aired Sunday night??


Who even watches 60 minutes? It's pretty clear it's from Corvid-19. While China seems to be somewhat contained, it's really hard to say because it's not fully up and running yet. There's a huge spread in South Korea, Iran just announced several deaths and the death rate is only supposed to be 2-4% so there's probably lots more cases that either haven't been diagnosed or disclosed. Then you have cases in Italy and it appears it's not well contained and some just popping up in Africa. Supply chain problems are already starting to show up. That gets you a 3+ percent drop in the markets.

Not some show that hardly anyone watches.

 

[1978elcamino]

Originally Posted by daves66nova
What stocks are good to buy today or tomorrow, the 25th? I have about 8k


I would recommend that you only buy stocks that you think will go up.

 

[Leo99]

Originally Posted by pitzel
Originally Posted by Imp4

Did you just recommend that someone invest in an asset that has appreciated only 10% total over 40 years?
Let's sure hope that past performance is no indication of future results...

I don't give investment recommendations, but you aren't going to achieve above-average returns by buying/owning the same stuff that everyone else does. If you want to resemble "everyone else", just go buy an broad S&P500 index fund or whatever.


It's not a competition. It's a matter of risk, reward and time to event horizon.

If the OP needs average returns between now and retirement to retire comfortably why assume additional risk trying to beat average returns.

 

[PimTac]

Originally Posted by dblshock
SQQQ




Unless you are very knowledgeable and constantly in front of a computer screen then no.

That is not a investment. That is speculation.

 

[Mr Nice]

Maxing out Roth IRA is a no brainer.

I agree SQQQ is good if you are retired and in front of a computer all day.

I've made a little $$$ with TQQQ.

 

[ZeeOSix]

Originally Posted by pbm
The financial talking heads are blaming yesterdays rout on "supply chain disruption" from China due to coronavirus. In other words...the world economy is too dependent on China (even for things like antibiotics). I'd be looking at stocks from countries who will eventually compete with China now that we see how dangerous it is to allow them to dominate. PS: At least one person in Washington realized this...but it seems too many others were making money from China to worry about it.


Word is that the virus is now showing up in many countries, and they expect it to still spread especially if other countries don't try to contain it. World travel these days is a prime method for a virus like this to spread fast. If companies have to shut down in order to try and prevent the spreading, then it's easy to see what impact that will be on the economy.

 

[Fattylocks]

Take a look at Goodyear, nasdaq symbol GT.
Kind of already beat down but a strong recession proof company.

 

[JHZR2]

merged Into the long-standing investment thread.

 

[daves66nova]

Originally Posted by 99Saturn
How long will you planning on holding onto the investment?
Til I retire, 60

 

[daves66nova]

Originally Posted by Mr Nice
Maxing out Roth IRA is a no brainer.

I agree SQQQ is good if you are retired and in front of a computer all day.

I've made a little $$$ with TQQQ.
so how does a Roth make money? I don't see mine ever gaining unless I put in my own money into it.