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Getting paid for doing nothing
Old 06-05-2014, 03:45 PM   #1
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Getting paid for doing nothing

Anyone here ever get weirded out that as a passive investor you get paid for doing nothing?

Just today my stock portfolio went up with several thousand dollars and got a big dividend payment too.

That's more than most 'normal' working people earn in weeks, in some countries even months.

I do realize it can and will go down just as easily, but still. Capitalism is a strange system.
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Old 06-05-2014, 03:47 PM   #2
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Nothing weird about it. You took some risk that presumably others thought was too high. You won the bet. And as you note you don't win all of them, sometimes you lose and the stock goes down.
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Old 06-05-2014, 03:48 PM   #3
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We get paid for putting our money at risk. Beats w*rking any day! :-)
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Old 06-05-2014, 03:50 PM   #4
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Originally Posted by Totoro View Post
Anyone here ever get weirded out that as a passive investor you get paid for doing nothing?

Just today my stock portfolio went up with several thousand dollars and got a big dividend payment too.

That's more than most 'normal' working people earn in weeks, in some countries even months.

I do realize it can and will go down just as easily, but still. Capitalism is a strange system.
To me it's more like deferred income from all the hard work I've put in all these years in order to save enough to invest and for my ability to LBYM and not spend it all. In other words, I've earned the current reward due to past effort (very similar to my annual bonus award).
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Old 06-05-2014, 03:56 PM   #5
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I just mentioned this on another thread. Today is one of the days when I feel fearful. A sense of déjà vu keeps coming. Close to a 5-figure gain, and the MF results have not come in yet. The stock market is weird, or rather schizophrenic.
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Old 06-05-2014, 04:04 PM   #6
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It's a reward for having a stronger stomach than most.
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Old 06-05-2014, 04:20 PM   #7
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I am not quite there yet, but I see a sizable gain in my portfolio too.

And when I bump rent for my new incoming teants, I get an extra $50 to $100 more, per month, than the former tenants were paying, every month. When I check the laundry machines, it gets me a decent amount of cash, just for showing up. When I bill my customers, for work my sub-contractors do, it's nice.

But sometimes, at my real job, it feels like I get paid for doing nothing... And I do not feel too guilty.
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Old 06-05-2014, 04:21 PM   #8
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I must say that I enjoy very much receiving my dividend, interest and rent payments every single month (I don't pay much attention to the market's day-to-day gyrations so I have no idea how much I "made" in the market today). It's so cool! It's not that much money for where I currently live, but it'd pay for a nice lifestyle almost anywhere else in the world.
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Old 06-05-2014, 04:32 PM   #9
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I hear a Wheeee! in this thread.
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Old 06-05-2014, 04:32 PM   #10
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Originally Posted by Amethyst View Post
I hear a Wheeee! in this thread.
No sooner said, than....

Quote:
Originally Posted by Totoro View Post
Anyone here ever get weirded out that as a passive investor you get paid for doing nothing?

Just today my stock portfolio went up with several thousand dollars and got a big dividend payment too.

That's more than most 'normal' working people earn in weeks, in some countries even months.

I do realize it can and will go down just as easily, but still. Capitalism is a strange system.
I ***LOVE*** it!! For years I think I had the worst luck in the universe. Every time anything bad could happen, it did. But karma being as it may be, everything is coming up roses these days.

It's about time!

I am enjoying it thoroughly, knowing that while I may enjoy it now, fate could take everything away in a heartbeat. So, might as well delight in it while I can. I would no more feel weird or guilty about recent market surges, than I would cry in response to beautiful weather.
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Old 06-05-2014, 04:33 PM   #11
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If stock market goes down, someone is taking money out of your pocket for no reason. Do you feel anger then? Stock market is doing its thing, nothing more or nothing less. Money makes money. If someone steals $1M cash from Red Cross and he drops it into your back yard while trying to get a way from cops, you should feel guilty if you intend to keep that money yourself. Silly thread, silly response.
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Old 06-05-2014, 04:42 PM   #12
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Silly thread, silly response.

I don't agree. It's what someone's thinking about. That's why we're here!
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Old 06-05-2014, 04:42 PM   #13
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It feels very surreal. I see numbers on my computer screen and they keep going up. Plus I can exchange it for like real stuff.
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Old 06-05-2014, 04:47 PM   #14
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Perhaps I should exchange the surreal number that Quicken shows me for something real. Else, easy comes, easy goes.

But I do not crave anything. Just the number, abstract as it is, makes me happy. We could all be in a "matrix".
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Old 06-05-2014, 04:52 PM   #15
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As I write in my signature line, "I want my money working for me instead of me working for my money!"

I look forward every month to seeing bond fund dividends magically enter my local bank's checking account, POOF! And the irregular cap gain and stock fund dividends are like gravy, sometimes a LOT of gravy.

It also reminds me of this exchange in a "Seinfeld" episode:

George: "Interest" - it's an amazing thing, you make money by doing nothing.
Jerry: I have some friends who base their lives on that very principal.
George: Really? Who?
Jerry: No one you know.
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Old 06-05-2014, 04:57 PM   #16
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I don't feel guilty. It's a free market, anyone can participate.

I can lend (via a deposit account) and get a percent or two. I can lend to corporations or the government and get a few percent more (and take on credit risk and/or duration risk).

I choose to buy little claim tickets to the earnings of many corporations. My capital is at risk, and I hope to make a fair return on it.

edited to add: Looks like I'm up $14k so far and the mutual funds probably haven't updated yet. Good day to be a REIT, small cap, and SCV investor.
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Old 06-05-2014, 05:17 PM   #17
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$14K today is really good (from the size of your stash as described elsewhere as I have good memory).

My best position is up 6% today, but I have less than 1% in that. My largest position is Berkshire, and even for a conglomerate I only put 3% of portfolio there, and it about matches the market today.
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Old 06-05-2014, 05:57 PM   #18
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Interesting range of replies and views, not what I expected!

Maybe surreal sums it up best for me too.

What a system that essentially rewards someone for doing as little as possible, the ultimate absentee owner. Luckily, that fits my character well.
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Old 06-05-2014, 06:04 PM   #19
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Spend it quick, before the market god takes it away.

Quote:
Originally Posted by Walt34 View Post
Nothing weird about it. You took some risk that presumably others thought was too high. You won the bet. And as you note you don't win all of them, sometimes you lose and the stock goes down.

Take a little chance
It don't mean nothing
Sometimes you win, sometimes you lose

And don't you know that life is just a game
That you play, win or lose, it's all the same

Open your eyes, you better
Look before you leap, take heed
And watch the signs of life
Don't play the cheat
The wheel of fortune just may take its toll

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Old 06-05-2014, 06:44 PM   #20
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I just mentioned this on another thread. Today is one of the days when I feel fearful. A sense of déjà vu keeps coming. Close to a 5-figure gain, and the MF results have not come in yet. The stock market is weird, or rather schizophrenic.
"The market climbs a wall of worry"

Wall Of Worry Definition | Investopedia
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