Join Early Retirement Today
View Poll Results: What should I do?
Sell stock and RE now on $1.1M 22 61.11%
Hold stock and RE now on whatever it turns into 2 5.56%
Wait for $1.6M 9 25.00%
Other (post a reply with your recommendation!) 3 8.33%
Voters: 36. You may not vote on this poll

Reply
 
Thread Tools Search this Thread Display Modes
Old 07-25-2007, 12:35 PM   #21
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
cute fuzzy bunny's Avatar
 
Join Date: Dec 2003
Location: Losing my whump
Posts: 22,697
Quote:
Originally Posted by kumquat View Post
it's a large cap
So were worldcom, enron, tyco, aig and a host of others. To paraquote some financial porn mag I was reading in the doctors office some years ago "Super blue chips that every investor simply has to own, at any price".

Concentration can make you rich or make you poor. Granted dilution is rarely a get rich quick tactic, but its also rarely a get poor strategy.
__________________

__________________
Be fearful when others are greedy, and greedy when others are fearful. Just another form of "buy low, sell high" for those who have trouble with things. This rule is not universal. Do not buy a 1973 Pinto because everyone else is afraid of it.
cute fuzzy bunny is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 07-25-2007, 03:58 PM   #22
Thinks s/he gets paid by the post
 
Join Date: Apr 2007
Posts: 1,304
Quote:
Originally Posted by cute fuzzy bunny View Post
Concentration can make you rich or make you poor. Granted dilution is rarely a get rich quick tactic, but its also rarely a get poor strategy.
CFB has a good point here. During accumulation and while working, you could take a little more risk. In retirement and distribution, you may want to ensure you have something to distribute. One 'Enron' and you're toast.

Best of luck in you decison.
__________________

__________________
Life is GREAT!
megacorp-firee is offline   Reply With Quote
Old 07-26-2007, 04:13 PM   #23
Dryer sheet wannabe
 
Join Date: Jul 2007
Posts: 11
Thanks to all for your very helpful comments and suggestions.

megacorp-firee asked about whether I have health insurance covered in my proposed $30K retirement budget. I do, to the tune of $5K a year, which I see as $2400 for a high-deductible catastropic insurance plan, plus $2600+ (whatever more I can spare, up to the limit) to tuck away in an HSA account, never to be touched except in dire emergency. I'm currently 54 and in good health. Can I get some feedback from those of you who have retired, are those figures more or less realistic? My budget also contains several thousand per year for unexpected expenses, which is where I'd pull the money from if I actually had some medical expenses (besides the insurance), which usually I don't.
__________________
brandywine is offline   Reply With Quote
Old 07-26-2007, 04:17 PM   #24
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
cute fuzzy bunny's Avatar
 
Join Date: Dec 2003
Location: Losing my whump
Posts: 22,697
Do you have "capital" items worked into your budget? Home repairs, replacement cars, lawn mowers, tires, new furnace, water heater, etc?

How about a handle on miscellaneous small expenses?

I havent looked at my budget in a while, but I think I was running about 8k a year just for those items...
__________________
Be fearful when others are greedy, and greedy when others are fearful. Just another form of "buy low, sell high" for those who have trouble with things. This rule is not universal. Do not buy a 1973 Pinto because everyone else is afraid of it.
cute fuzzy bunny is offline   Reply With Quote
Old 07-26-2007, 11:47 PM   #25
Thinks s/he gets paid by the post
 
Join Date: Apr 2007
Posts: 1,304
Quote:
Originally Posted by brandywine View Post
Thanks to all for your very helpful comments and suggestions.

megacorp-firee asked about whether I have health insurance covered in my proposed $30K retirement budget. I do, to the tune of $5K a year, which I see as $2400 for a high-deductible catastropic insurance plan, plus $2600+ (whatever more I can spare, up to the limit) to tuck away in an HSA account, never to be touched except in dire emergency. I'm currently 54 and in good health. Can I get some feedback from those of you who have retired, are those figures more or less realistic? My budget also contains several thousand per year for unexpected expenses, which is where I'd pull the money from if I actually had some medical expenses (besides the insurance), which usually I don't.
Just retired, and my COBRA for me and DW will cost $630/month. We are 56 and 57 yo. I expect these costs to go up every year. when COBRA runs out (18 months), we will be at $900/month at todays prices for 'retiree med insur' from megacorp. I will be shopping around for a less expensive alternatives. So be aware that if your $30K retirement budget is not COLA'ed you can expect less and less discretionary funds available.
__________________
Life is GREAT!
megacorp-firee is offline   Reply With Quote
Old 07-27-2007, 07:15 PM   #26
Dryer sheet wannabe
 
Join Date: Jul 2007
Posts: 11
Quote:
Originally Posted by cute fuzzy bunny View Post
Do you have "capital" items worked into your budget? Home repairs, replacement cars, lawn mowers, tires, new furnace, water heater, etc?

How about a handle on miscellaneous small expenses?

I havent looked at my budget in a while, but I think I was running about 8k a year just for those items...
Oh yes, those are all covered in the budget based on my actual expenses over the past 10 years plus a reasonable margin (and of course my budget also has an annual 3% COLA increase built in). Plus there's a $5K "Unexpected Expenses" bucket for the unanticipated. The problem with health insurance is that I've never bought it, so I have no basis for estimating the real cost (other than the quotes on ehealthinsurance.com, which could have additional hidden charges which would hike up the annual cost). That's why I was wondering what people are actually paying.
__________________
brandywine is offline   Reply With Quote
Don't blow it now
Old 07-29-2007, 03:59 PM   #27
Dryer sheet aficionado
 
Join Date: Jul 2007
Posts: 38
Don't blow it now

I can't tell you what you should do with respect to YOUR retirement. I'm one year younger than you and have about the same net worth. I am going to work a few more years because after coming this far I don't want to just get by...and you didn't mention a provision for health care.

I can say with a high degree of confidence that the NPV of keeping the stock is negative: asuming equal probabilities of a payoff of $1.6 mill or $0.00 the NPV is $800K...or a probable loss of $300K. Sell now. You've won the war already, you just have a little mopping up operation to do. Don't blow it now.
__________________

__________________
hayekcapitalist is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
A serious question (for once), about the theory of buy and hold and down markets AirJordan FIRE and Money 60 03-12-2007 10:29 AM
How to answer questions. ???With a question or assignment????? dex Forum Admin 2 02-25-2007 08:56 AM
A question about cash dividend and commission dasinsin FIRE and Money 11 09-23-2006 07:11 PM
Tax question re moving $$ from one bucket the next. tednvon FIRE and Money 9 10-10-2005 08:57 AM
Audio Question Bob_Smith Other topics 10 12-31-2004 04:42 PM

 

 
All times are GMT -6. The time now is 08:12 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.