Another Year/What I Learned/What I have Known

[street]

I look back at this year and what I saw, was a record high, one of the fastest drop in history, the worst December in history and everything in between.

What I learned and really what I have known all along is nothing really has changed in my life style.

I lived the same as I did through all the good times and down times in the 40 years of investing. I believe a good plan will survive the good, bad and ugly, which again this year has giving me that confidence and reassurance. Life goes on, stocks go up and down with years of no gains.

I have been once again shown that don't panic, stay calm, don't listen to all the experts, and stay the course.

So, what have you learned from an interesting year so far?

[marko]

Quote:

Originally Posted by street What I learned and really what I have known all along is nothing really has changed in my life style. I lived the same as I did through all the good times and down times in the 40 years of investing. I believe a good plan will survive the good, bad and ugly, which again this year has giving me that confidence and reassurance. Life goes on, stocks go up and down with years of no gains. I have been once again shown that don't panic, stay calm, don't listen to all the experts, and stay the course.

+1

I noted in another thread that if a bear market or recession is going to derail your RE, then maybe you need to reconsider how FI you really are.

Can't say I've come across any dramatic insights this year but '08 taught me to chill during times like these; it maybe even made me a bit too chill, which now that I think of it, has me worried.......

[TDub]

The biggest thing I learned was that the fundamentals, the very basics, are all that’s needed for FI success. Invest and save early and on autopilot, remember market drops are not to be feared but expected and even celebrated, LBYM, and work with DW as a team to balance saving, spending, giving.

I read too many finance books and needlessly over complicated things, just to go back to the drawing board and simplify.

I also learned it doesn’t take much income to live a happy and comfortable life. Everything extra is just a bonus...it provides freedom through FI, greater opportunities to give, and maybe a fun surprise for our heirs.

[Lewis Clark]

I didn't learn it this year, but was again reminded of the importance of being kind and generous to others.

[street]

All very well, said!

[pacergal]

This year I have heard my fathers voice in my head, reminding that "the stock market will return, it always does, be patient". The same thing he reassured me of in the previous down markets.
I also log on this forum almost daily to continue to read, learn and grow from all of you. And its not just about money--reading about your lives and "what you do all day" is so valuable and reinforces that retirement can be a wonderful fulfilling part of life--so much to see and do!
While I was working, I let everything ride. These past two years in retirement, I have learned that my "sleep number" is closer to 55/45.
Doing well, enjoying retirement life, thanks in part, to this forum!

[MRG]

This year I learned my PCP is a total incompetent fool.

She is going to be replaced and I'm going to be much more vocal in the future..

[Lsbcal]

I relearned that I cannot short term time the market. Not that I did this but I really thought December would be good. I am even on record here stating that "the next week would be good" ... that was last week .

I did learn that market highs are a good time to spend. We remodeled the kitchen and so took a lot off the equity table. Pure lucky timing. Rebalanced before the latest downturn as per plan to rebalance down to set maximum risk level.

I should learn not to predict but I think next year will be a nicely up one ... if the trade war ends ... if there are no total presidential screwups and if I did not leave something out .... Plenty of caveats.

[Dtail]

It was my first full year of investing by myself. So made a couple of rookie mistakes in getting into NASDAQ directly too late and increasing small caps too late.
However I didn't panic, didn't change my overall AA, calculators still at 100% and now at a more comfortable mix of index funds. Fund fees on stocks below .005%.

Drove around in 79 degrees with the top down today. Life is still good.

[street]

^ Just got in and my wife said DOW up 1000. WOW! Here is one more record I have seen in this year the single most gain in a day. LOL Yes, I agree life is beautiful and great and money really is just a gift.

[brett]

We were grounded for a number of months. My spouse had a critical medical procedure in Aug. she is now of the list as it were. We are off for our snowbird trip in a few weeks.

What we re-learned? How precious good health is and how one’s health can change in the blink of an eye. Best to make the most of life while we can and while we have the good health to enjoy it. Financial issues can quicky fade when health issues are in the balance.

[Lsbcal]

Quote:

Originally Posted by brett We were grounded for a number of months. My spouse had a critical medical procedure in Aug. she is now of the list as it were. We are off for our snowbird trip in a few weeks. What we re-learned? How precious good health is and how one’s health can change in the blink of an eye. Best to make the most of life while we can and while we have the good health to enjoy it. Financial issues can quicky fade when health issues are in the balance.

From time to time I have to kick myself and remember what's really good in life. Have a great snowbird trip!

[Conundrum]

I learned not to watch CNBC and Cramer anymore.

Also, REALLY dig deep and try to understand what your REAL risk tolerance is.

Also, I am reminded again that courtesy, kindness, and integrity go a long ways.

[steelyman]

Quote:

Originally Posted by Conundrum I learned not to watch CNBC and Cramer anymore.

Very wise. PBS’ Nightly Business Report is produced by CNBC but has a much calmer and less crazy style that informs without encouraging you to shoot yourself in the foot. And not a Cramer in sight.

[Scuba]

I learned that I took on too much volunteer work, so I am getting off our HOA Board in January and earlier this year I resigned from another volunteer gig. Still doing quite a bit with the local university. I want to keep doing the parts I enjoy most (student interactions and mentoring) and minimize the things I find too similar to my former work (Board meetings).

I already knew this, but I was also reminded how easy it is for me to gain weight and get out of shape if I am not vigilant. I have been struggling with a foot problem that two podiatrists and my GP haven’t been able to help me with. My primary exercise was walking and I’ve had to lay off that for a few months. Should have substituted something else but I didn’t. Between lack of activity and lots of good eating, I now have a big challenge facing me. My own fault, but frustrating!

[VanWinkle]

Quote:

Originally Posted by Conundrum I learned not to watch CNBC and Cramer anymore. Also, REALLY dig deep and try to understand what your REAL risk tolerance is. Also, I am reminded again that courtesy, kindness, and integrity go a long ways.

This is a great statement that we forget sometimes.

[Rianne]

Met with our VG Flagship rep. on Christmas Eve morning. Bought into 5 yr. CD for a little more comfort, but the rest portfolio is stay the course. He was very positive about our estimated spending (we went high to cover unexpected issues, $70K). He felt NP for 40 years with SS and small pension. He explained our misinterpretations of bond funds benefits. I guess we're good.

[Moemg]

I learned to not take the flu lightly . The 2018 flu landed me in the hospital .

[Stormy Kromer]

Keeping two years living expense in MM funds is comforting during a 10% market decline.

[harllee]

I am glad of what I learned in the 2008-09 recession. For me to be able to sleep at night I have to have a substantial cash cushion. I did not have enough cash in 2008 and I had many sleepless nights but I held on and came out OK in the end. Now I have a substantial cash cushion (several years living expenses) and I do not even watch the market, sleep like a baby.

I too am trying to be kinder and appreciate my friends and family more. There may be turmoil going on all over the world but the only thing I can control is what I personally do and I am trying to be a better person.

I appreciate this Forum and all I have learned on here. Thanks to all of you.