Burn it on hookers, booze, dope, travel, education
Ask HN: I've saved up $80k USD. What should I do with it?
101–110 of 112 posts
Re: Ask HN: I've saved up $80k USD. What should I do with it?
#102First off: Well done saving up! If you are paralysed about (getting started with) investing, I can recommend the books "A random walk down Wall Street" and the (very thick but well worth it) "The intelligent investor". Especially the last one opened my eyes a lot about how to approach investing. I have the revised edition from 2006, though the original publication was in 1949. The 2006 edition has a section after eac…
One Up On Wall Street, Peter Lynch
I am currently reading this and I can't help but think every single page is a puff piece on how many stocks he owns and which opportunities he did and didn't see.
It doesn't feel like learning about investing for a beginner but rather an autobiography on his portfolio. What did you like about it?
Re: Ask HN: I've saved up $80k USD. What should I do with it?
#103Earlier quoted context omitted.
Even if there were to be a massive freefall in housing it would take the banking system months, and probably years, to get round to processing all the mortgages which were in arrears. Foreclosure is a slow, slow, slow process even at the best of times. People can avoid paying their mortgages and still be living in a property for many years. If you're imagining something that covers a significant amount of property th…
So, you're saying no fall in prices in the short to mid term is expected?
We are preparing to sell our current house and buy a new one. Our realtor (so grain of salt here) said that its currently a buyers market and that he expects it to remain that way at least through fall. But honestly, no one knows and there is no way to know.
Re: Ask HN: I've saved up $80k USD. What should I do with it?
#104Earlier quoted context omitted.
Why precious metals?
The perception that they will hold value while other assets are in flux. Because they're, like, metal, and won't rot, turn into water, or dry up, or have their value crash because no one wants to live in Detroit.
Gold's value floats just like any commodity. Oil isn't going to rot either, but is famously volatile.
As I understand it, gold reliably appreciates in times of economic distress. Whether now is a good time to buy, seems like a question worth taking seriously.
Re: Ask HN: I've saved up $80k USD. What should I do with it?
#105I am building a startup, invest in me. Not kidding. No really.
Re: Ask HN: I've saved up $80k USD. What should I do with it?
#106Earlier quoted context omitted.
Are you familiar with https://portfoliocharts.com/portfolio/golden-butterfly/ 20% Total Stock Market 20% Small Cap Value 20% Long Term Bonds 20% Short Term Bonds 20% Gold You could replace short term bonds with Cash, TIPS, CDs, Bitcoin.
Not this portfolio, but I don't see the point of buying bonds anymore, at least when you invest a relatively small amount of money. Low interest, risk is relatively high compared to what you can earn, and no inflation protection.
Long term bonds benefit from low interest rates.
https://portfoliocharts.com/2019/05/27/high-profits-at-low-r...
Re: Ask HN: I've saved up $80k USD. What should I do with it?
#107Wisdom of the crowd: https://old.reddit.com/r/personalfinance/wiki
You decide whether to trust it. Considering your circumstances, the advice can be condensed to buying and continually investing into ETF and holding the assets for a couple of decades, as a few fellow HNers already said.
Re: Ask HN: I've saved up $80k USD. What should I do with it?
#108If you have any debt and less than 3-6 months of emergency savings, and do not own your home, I recommend starting with a free BYU personal finance class (I can dig if you cant find a link), and/or Dave Ramsey materials.
I second this - pay off any non-mortgage debt (student loans, cars, etc) before investing.
Re: Ask HN: I've saved up $80k USD. What should I do with it?
#109Earlier quoted context omitted.
One Up On Wall Street, Peter Lynch
I am currently reading this and I can't help but think every single page is a puff piece on how many stocks he owns and which opportunities he did and didn't see. It doesn't feel like learning about investing for a beginner but rather an autobiography on his portfolio. What did you like about it?
The idea that one can go about his own world, think for himself, and get into positions based off his own information advantages before wall street catches on. As a type 1 diabetic, this idea has paid off handsomely with my returns on $TNDM and $DXCM
Re: Ask HN: I've saved up $80k USD. What should I do with it?
#110Dollar cost averaging into an index fund. After paying down any high interest debts and earmarking at least 3 months worth of living expenses into a savings account or other cash equivalent as an emergency fund. There’s a great decision making flowchart floating around somewhere or other.
There are a handful of them. Some simple, some complex. Here is a complex one... https://i.imgur.com/c0p24cU.png
This flow chart is awesome! I'm not sure I agree on the order of all of the steps. For example you may want to put section 3 before section 2. Also, it looks like this is recommending saving for a downpayment on a house before maxing out your 401k. It makes sense but I'm not sure it is one size fits all.