Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Old 02-09-2018, 01:46 PM   #481
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
NW-Bound's Avatar
 
Join Date: Jul 2008
Posts: 29,904
Quote:
Originally Posted by audreyh1 View Post
... for me as a retiree living off of investments, longer term I’m older, more feeble, and ultimately dead. I don’t care about having the biggest pot when I die, I care more about year to year volatility. I prefer a moderate allocation with good survival characteristics.
I have heirs to leave money to. So, it is not wasted if I leave it behind.

And then, as I described, if my WR is as low as 2.5% (much lower with SS), then my stash should grow. And when it grows, that 2.5% WR will also grow. Still practicing delayed gratification, you might say.

But I do not need to blow any additional dough right now. And my WR can justify 100% stock, and if I have a strong stomach, then what's wrong with the method?

Not saying that's what I will do. Just a mental exercise.
__________________
"Those Who Can Make You Believe Absurdities Can Make You Commit Atrocities" - Voltaire (1694-1778)
NW-Bound is online now   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 02-09-2018, 01:47 PM   #482
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
audreyh1's Avatar
 
Join Date: Jan 2006
Location: Rio Grande Valley
Posts: 30,476
Quote:
Originally Posted by Rickt View Post
I thought bonds were going to rise when the stocks drop.....but why are the bond funds going down (although not as much) as well along with the stock funds?
The bond funds are actually what are causing the stocks to decline. And what the stocks drop big the bond funds do improve a little bit. But lately once stocks settle down, the bond funds start dropping again making the stock market sell off again.

Until this recent interest rate rise settles down its going to be volatile.
__________________
Retired since summer 1999.
audreyh1 is offline   Reply With Quote
Old 02-09-2018, 01:49 PM   #483
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
NW-Bound's Avatar
 
Join Date: Jul 2008
Posts: 29,904
Quote:
Originally Posted by W2R View Post
Unbelievable! The Dow is UP 122 at the moment. (gobbling popcorn)
Shhh....
Quote:
Originally Posted by MichaelB View Post
So, we've gone from the end of the world to everything is beautiful, and the afternoon isn't even over.
True, the day is not over. No more Wh***, please.
__________________
"Those Who Can Make You Believe Absurdities Can Make You Commit Atrocities" - Voltaire (1694-1778)
NW-Bound is online now   Reply With Quote
Old 02-09-2018, 01:53 PM   #484
Full time employment: Posting here.
 
Join Date: Dec 2013
Posts: 549
Plop plop fizz fizz oh what a relief it is
Free bird is offline   Reply With Quote
Old 02-09-2018, 01:54 PM   #485
Full time employment: Posting here.
 
Join Date: Dec 2013
Posts: 549
Green green I love green
Free bird is offline   Reply With Quote
Old 02-09-2018, 01:59 PM   #486
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
audreyh1's Avatar
 
Join Date: Jan 2006
Location: Rio Grande Valley
Posts: 30,476
Quote:
Originally Posted by W2R View Post
Unbelievable! The Dow is UP 122 at the moment. (gobbling popcorn)
Yeah that was a crazy swing from down >500 to up >200 in an hour! And now closer to break even.

We went immediately from a historical extreme low volatility environment to an extremely high volatility environment!
__________________
Retired since summer 1999.
audreyh1 is offline   Reply With Quote
Old 02-09-2018, 02:00 PM   #487
Thinks s/he gets paid by the post
redduck's Avatar
 
Join Date: Mar 2005
Location: yonder
Posts: 2,851
Quote:
Originally Posted by FIREmenow View Post
Just saw headline: "Jeff Bezos, Warren Buffett, Bill Gates lose $10B in market plunges...."
Somewhere towards the end of the article it mentions that scrabbler lost three Corollas in market plunges.
__________________
When the people shall have nothing more to eat, they will eat the rich--philosopher Jean-Jacques Rousseau
redduck is offline   Reply With Quote
Old 02-09-2018, 02:01 PM   #488
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
audreyh1's Avatar
 
Join Date: Jan 2006
Location: Rio Grande Valley
Posts: 30,476
Quote:
Originally Posted by NW-Bound View Post
I have heirs to leave money to. So, it is not wasted if I leave it behind.

And then, as I described, if my WR is as low as 2.5% (much lower with SS), then my stash should grow. And when it grows, that 2.5% WR will also grow. Still practicing delayed gratification, you might say.

But I do not need to blow any additional dough right now. And my WR can justify 100% stock, and if I have a strong stomach, then what's wrong with the method?

Not saying that's what I will do. Just a mental exercise.
Not interested in buying business class airfare yet?

The problem with delaying gratification as you age is you are aging! And the clock is ticking!
__________________
Retired since summer 1999.
audreyh1 is offline   Reply With Quote
Old 02-09-2018, 02:04 PM   #489
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
NW-Bound's Avatar
 
Join Date: Jul 2008
Posts: 29,904
At this point, I can do a lot more than business class with 2.5%WR + SS. A lot more. I need to get into a new mentality.
__________________
"Those Who Can Make You Believe Absurdities Can Make You Commit Atrocities" - Voltaire (1694-1778)
NW-Bound is online now   Reply With Quote
Old 02-09-2018, 02:06 PM   #490
Full time employment: Posting here.
 
Join Date: Dec 2013
Posts: 549
Morgan & Goldman getting those trading profits in early in the year. Churn baby churn
Free bird is offline   Reply With Quote
Old 02-09-2018, 02:07 PM   #491
Gone but not forgotten
 
Join Date: Jan 2007
Location: Sarasota,fl.
Posts: 11,447
Anybody who did not see this coming is an idiot .
Moemg is offline   Reply With Quote
Old 02-09-2018, 02:10 PM   #492
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
NW-Bound's Avatar
 
Join Date: Jul 2008
Posts: 29,904
Seriously, my wife said that with the difference between coach and business seats, we can help a lot of wretched souls with our donation. And I agree.

That's the mentality that I talked about. It is easier if I had more money.
__________________
"Those Who Can Make You Believe Absurdities Can Make You Commit Atrocities" - Voltaire (1694-1778)
NW-Bound is online now   Reply With Quote
Old 02-09-2018, 02:12 PM   #493
Thinks s/he gets paid by the post
 
Join Date: Feb 2014
Posts: 2,055
Caught in a dreaded down channel...
Attached Images
File Type: jpg Screenshot from 2018-02-09 15-06-34.jpg (250.6 KB, 51 views)
jim584672 is offline   Reply With Quote
Old 02-09-2018, 02:12 PM   #494
Full time employment: Posting here.
 
Join Date: Dec 2013
Posts: 549
I lost three riding mowers in this carnage
Free bird is offline   Reply With Quote
Old 02-09-2018, 02:21 PM   #495
Thinks s/he gets paid by the post
USGrant1962's Avatar
 
Join Date: Dec 2016
Location: DC area
Posts: 1,820
Quote:
Originally Posted by jim584672 View Post
Caught in a dreaded down channel...
No, anyone can see that we are forming an upside-down head and shoulders and will surely have a huge upside breakout in about 4 trading days.
__________________
FI and Semi-ER March 24, 2017
Consulting to stay engaged

"All models are wrong, some are useful." - George Box
ďThere is always a well-known solution to every human problem: neat, plausible, and wrong.Ē - H.L. Mencken
USGrant1962 is offline   Reply With Quote
Old 02-09-2018, 02:30 PM   #496
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
NW-Bound's Avatar
 
Join Date: Jul 2008
Posts: 29,904
Said I should sit on my hands. I will come clean now. Couldn't do that, so this morning I threw another Civic into the jaws of the market.

That's the 3rd time since the rout began. To reduce my sin, I wrote an out-of-the-money covered call out to March 16. The premium is equivalent to a new set of tires for said Civic.

I will not ask you to wish me luck. I know you all do, because if I get hurt you will too.
__________________
"Those Who Can Make You Believe Absurdities Can Make You Commit Atrocities" - Voltaire (1694-1778)
NW-Bound is online now   Reply With Quote
Old 02-09-2018, 02:39 PM   #497
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
audreyh1's Avatar
 
Join Date: Jan 2006
Location: Rio Grande Valley
Posts: 30,476
Quote:
Originally Posted by NW-Bound View Post
Seriously, my wife said that with the difference between coach and business seats, we can help a lot of wretched souls with our donation. And I agree.

That's the mentality that I talked about. It is easier if I had more money.
Perhaps, but where is the balance? We can all give away most of our money to wretched souls and get by on less. Where does it stop?

Beefed up my DAF last year, but Iíll be giving more later when Iím not able to spend so much on myself because Iím too old to travel or get sick, or whatever.
__________________
Retired since summer 1999.
audreyh1 is offline   Reply With Quote
Old 02-09-2018, 02:42 PM   #498
Full time employment: Posting here.
 
Join Date: Dec 2013
Posts: 549
FOMO turned to FOGI. Fear of getting in.
Free bird is offline   Reply With Quote
Old 02-09-2018, 02:44 PM   #499
Full time employment: Posting here.
 
Join Date: Dec 2013
Posts: 549
I see your Civic & raise you an Accord
Free bird is offline   Reply With Quote
Old 02-09-2018, 02:45 PM   #500
Full time employment: Posting here.
 
Join Date: Dec 2013
Posts: 549
Into the dreaded down channel
Free bird 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
T-Theory - Secular Bear Market - Market down into June/July? dex FIRE and Money 8 08-26-2010 06:48 PM
Pay down existing mortgage or save up for big down payment? Andre1969 Young Dreamers 13 04-29-2010 10:05 AM
Housing prices down; Stock Market down; Economy slowing; & the benefits dex FIRE and Money 32 03-16-2007 04:46 PM
How do you deal with a down market day like today? dante60093 FIRE and Money 31 07-17-2004 01:17 PM
Buy House Now w/Low Down or Save Bigger Down? BigMoneyJim Young Dreamers 11 07-14-2004 04:23 PM

» Quick Links

 
All times are GMT -6. The time now is 10:48 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2021, vBulletin Solutions, Inc.