Has Investing to Live Become Harder?

[rjohnla]

Thanks, I have not looked at beta's for some time. 1.25 is to high.

[brewer12345]

I am not sure I understand what OP is asking. Has it become harder to invest successully? Depends on your point of view, I suppose. If you are looking for livable returns over the long haul, what is wrong with a diversified portfolio that contains some flavors of US equities, EAFE equities, emerging equities, USD and non-USD fixed income and perhaps a dollop of commodities or merger arbitrage funds? It isn't complicated unless you really, really want it to be.

[rjohnla]

Hi brewer, to clarify investing & making money too.

[brewer12345]

Quote:

Originally Posted by WAVE3 Hi brewer, to clarify investing & making money too.

Clear as mud.

What is wrong with the Vanguard Wellington fund, for example?

[rjohnla]

Brewer, can't really answer that, don't know. But like Vanguard, it's all in Admiral T-Bill account = 0 return, lovely.

I'll check it out - thanks.

[rjohnla]

BTW, thanks everyone for input on this and another post. I will spend some time going over the replies. And I appreciate all the homework you have assigned me.....

Question, know of any investment clubs where people are subscribed to this site? Hear clubs do well, less you get 'group think', don't see much of that here.

I willy typo knots.

[W2R]

No problem living comfortably off my investments. Since that is what the majority of retirees here are doing, I too am a bit mystified.

[rjohnla]

That's what my parents and grandparents (depression era) did. Seems we can't now. Just read USG unfunded liabilities. Average net worth in US = $5k. We have to watch SS (read USG is thinking of 'means testing' for SS [rant/excuse me: it's our money....] and increasing retirement age to I think 72), taxes on those deferred 401k's, etc. Haves pay for have not's?

Just one idea, if you will, have some cash outside US. IRS does not like it, they'll send you lots of forms. But that is real international diversification. You may be subject to US jurisdiction, but the cash is subject to the jurisdiction of the country it's in - Switzerland, Singapore, are good. Great liability protection with the Swiss. Gov. will not allow repatriation under duress. Has to go to Swiss courts.

[MichaelB]

Quote:

Originally Posted by W2R No problem living comfortably off my investments. Since that is what the majority of retirees here are doing, I too am a bit mystified.

+1

[brewer12345]

Quote:

Originally Posted by WAVE3 That's what my parents and grandparents (depression era) did. Seems we can't now. Just read USG unfunded liabilities. Average net worth in US = $5k. We have to watch SS (read USG is thinking of 'means testing' for SS [rant/excuse me: it's our money....]and increasing retirement age to I think 72), taxes on those deferred 401k's, etc. Haves pay for have not's?

I have ammo, stored water and non-perishable food for those contingencies. All out of tinfoil, though.

[rjohnla]

Brewer, I'm with you, and have tin foil. You can have some.

[imoldernu]

Am not sure what I would do today.
We made our commitment many years ago, to CD's and later on IBond's...
A different time, a different world... In the 1980's and early 1990's the safe (FDIC) investments were paying from 5% to 11%... The structure of Ibonds is such that a base rate (early 2000's) was 2 to 3% with a return formula of as much as 7+%. The individual purchase limit was $30K/year per person...
At this point our hope is that the security of US Government Guaranty will protect us, and that the inflation index of IBonds will keep us fairly close in the event of rapid inflation. We are currently receiving about 5 1/2%... Nothing to get rich on, but we do sleep well at night.

As a poor cousin here, I couldn't and wouldn't give advice for the future. Longer term, with a 40 year horizon, I think I'd be at least partially in land. As my rich farmer friend says... they're not making much of it any more.

[nun]

Quote:

Originally Posted by WAVE3 We have to watch SS (read USG is thinking of 'means testing' for SS [rant/excuse me: it's our money....]and increasing retirement age to I think 72), taxes on those deferred 401k's, etc. Haves pay for have not's?

Hmm....at the risk of Porky since when was there an account at SSA with your name on it? And yes, SS is there for the "Haves to pay for the have nots", it's been expanded to cover most people who work since it's inception, but didn't start out that way. Also the low waged get a proportionally higher benefit from SS than the higher waged.

I'm diversified when it comes to SS too as I will qualify for both US and UK versions of it....in fact recent UK reforms mean that my payments will be higher under new legislation.

[aja8888]

Like my Japanese friend told me one time when he was a boy interned during WWII: "I just keep my head down and keep thinning the cabbage......."

[braumeister]

Quote:

Originally Posted by WAVE3 Brewer, I'm with you, and have tin foil. You can have some.

Time to get on board?
LME, Aluminum Is Seen Trading Steady $1760, Bullish Trend | Investing.com

We're living in this world; we have to adjust ourselves to it, not the other way around.

[rjohnla]

Nun, Have a SS card with name/account on it and access to my SSA account on-line. I think of it as my money.

[rjohnla]

You know I'm guessing most of us are boomers? We'll keep the right polls in place to get what is ours. We're a big block of votes. A Light at end of tunnel?

[calmloki]

Man proposes, God disposes. It is a real hoot reading my back of envelope income streams from years past. Loans pay off, people declare bankruptcy, Penfed drops their certificate rate. rentals become more or less profitable, credit cards start paying me. Uncle Mick has the answer quoting some sport captain. Agile mobile hostile:

Alonzo Smith "Jake" Gaither (April 11, 1903 – February 18, 1994) was the head football coach at Florida A&M University (FAMU) for 25 years, and amassed one of the best winning records of any college football coach.

[brewer12345]

Quote:

Originally Posted by WAVE3 You know I'm guessing most of us are boomers? We'll keep the right polls in place to get what is ours. We're a big block of votes. A Light at end of tunnel?

Not me. I am sure you buggers will hold the rest of us by the ankles and shake to make sure SS and medicare get paid for.

[nun]

Quote:

Originally Posted by WAVE3 Nun, Have a SS card with name/account on it and access to my SSA account on-line. I think of it as my money.

You have no account balance or control over your payments. He Government has your taxes and determines how much you get in SS, it's not a DC plan.