451–460 of 509 posts
Earlier quoted context omitted.
you support censoring technology topics on a technology forum?
Yes, when it's nothing more than a bunch of shills potentially convincing the naive into buying into their pyramid scheme.
Earlier quoted context omitted.
Do you actually think there was a lot of volume for Bitcoin at 20k? A handful of people even bought Bitcoin at the 20k level. It was only trading at prices that high for a few hours
Yes I do. Significantly more so than the weeks/years since. There was weeks and weeks of heavy volume, as it declined to $3000. If you bought over $10k, you've had money tied up doing nothing for 2.5 years in nonsense. Prices don't go parabolic like that unless dumb money gets involved, and subsequently wiped out. https://www.tradingview.com/x/73konLcD/
Personally I would hold the cash until there is blood in the streets. That is the time that fortunes are made. We arent quite there yet, possibly next year. In 2000 investors were screaming at buffet because he was sitting on billions in cash. They were saying he had lost his touch, he should pay a dividend etc. Then in 2001 the crash happened and he was able to get some great deals. The time to buy is when everyone…
The fact that a lot of people think this gives me confidence that it isn't going to happen anytime soon. I'll get nervous when the rhetoric is "The market is looking great for years to come!", like back in 2005/2006.
Just skimming some of the replies here makes me think you will get better advice on the Bogleheads forum [1]. Despite the minimalist appearance it is actually a great place to get sensible financial advice. I would start with the wiki page on managing a windfall [2], then search through older replies to similar questions. This kind of question gets asked there a lot, so there should be some recent threads. [1] https:…
Bear in mind Personal Finance is pretty conservative. Depending on how much time you have in the market you can take some more aggressive bets. I'm not suggesting r/WallStreetBets style investing but something like a risk parity adjusted pairing of 3X leveraged S&P with 3X leveraged treasuries can yield dramatically better returns over time [1]. I'm not recommending it per se, to each their own risk tolerance and res…
Earlier quoted context omitted.
You're conflating index funds with S&P 500 Index funds, though. You can buy an index fund with _zero_ tech stocks. You can buy something like VINIX which has considerably less weight on the BigN tech firms.
The VINIX is down 3% YTD while the rest of the market ballooned. Looks like we "picked stocks" by picking the indexes here, too? I just don't understand the insistence on indexes. We're afraid of picking stocks that go bankrupt? We work in tech, and a lot of us are science nerds. Surely we can pick names based on how we think those technologies are likely to be successful. We have access to a lot more information tha…
Expect inflation over the next 10 years, so keep the land & real estate investments (good hedge against inflation). Also, there are strategic ways to use these for tax purposes...talk to a good tax lawyer.
Treat 10% as "gambling" money with investments. Try to pick some stock market sleepers.
Spread 60% across a few American Funds and/or Vanguard selections, depending on your risk tolerance. Also, max out a Roth IRA every year starting now.
Keep 7-10% in a savings account that's accessible for emergencies.
Put 7-10% into bond funds.
Take whatever's left and put into a down payment on more real estate, either for a personal property or investment property.
Earlier quoted context omitted.
Dividends are left-pocket right-pocket. Dividends can help you psychologically, but in a way, it’s like forced selling once per year or per quarter. Edit: if it helps you to invest, by all means, do it. But since dividends are mostly psychological, there is no point in limiting your stock picks to companies with a high dividend.
On the other hand, companies with long histories of sustained and rising dividend payments also tend to outperform the S&P500 in terms of total return (dividends + capital gains), and do so with lower volatility. Reasons include having a business that is profitable and stable enough to sustain such payouts and a management culture that appropriately balances shareholder interest (by paying dividend) against the long-…
Earlier quoted context omitted.
Dividends are left-pocket right-pocket. Dividends can help you psychologically, but in a way, it’s like forced selling once per year or per quarter. Edit: if it helps you to invest, by all means, do it. But since dividends are mostly psychological, there is no point in limiting your stock picks to companies with a high dividend.
it's not psychological at all. Dividends give you returns that can be reinvested in whatever you want, so it helps with diversification. Now, in the US companies have muddled the field so good dividends don't mean much, but it is still useful to remember this.
Earlier quoted context omitted.
So does an equivalent increase in the share price of the underlying
Not really. Share buyback may be an advantage, but it doesn't necessarily reflect on the price of the stock. In other words, a company can buy its own stock and price can fall anyway (see for example GE). This cannot happen with money deposited on your account.
Everything else is the typical movement of any stock, that of course can be detached from reality. The thing is: people are way too focused on the dividend part as if this was the only valid way to investing.