Holding $600K in cash - feeling like an idiot. Options???

[Fermion]

But you said you never rebalanced in your years of investing.

I caught that as well

 

[street]

NW-Bound/Fermion >>> LOL you guys are jonnie on the spot! Well I never have bought from my cash but it is an option and a plus to have that cash roll.

I have never rebalanced in over 40 years, but I could/might buy more equity if it got low and stayed there awhile. I would rather buy land then invest in more stocks this time in my life.

I guess I never thought of buying more as rebalancing but I'm not very fluent in finances and do things an unorthodox way.

Thanks LOL!!

 

[NW-Bound]

Many posters are afraid of being called market timers, so instead of saying buying low, they say they "rebalance" to bring their stock AA back to their set point.

I have no qualm about declaring myself a market timer and a stock picker too. I buy and sell whenever and whatever I want, if I feel like it.

I want to buy low/sell high, and when I am successful I stabilize the market by the contrarian moves. When people panic and want to get out, I help them out by buying their shares for them and give them cash. When people clamor to buy, buy, buy, I sacrifice my shares to them. Without people buying low, the market will go lower. If nobody sells high the market will become a tulip mania.

As the late Sir Templeton said, he did the above to help people. I try to do the same, although it is not easy to get it right all the time. I am still learning and trying, being a nice guy that I am.

 

[street]

^ See, how uneducated I am about all this. I honestly never would have even considered that as rebalancing. I never have done it, but it maybe tempting just because I do have some cash to do so. I see now that I'm well funded in cash to survive a long time, maybe longer then I have time.
As an accumulator through my investing years I bought and never really knew what the market was doing. I beleive you experts call that dollar cost averaging. I'm learning slowly but catching on!!

I will let you know if I rebalance, I know what it means now. Thanks NW-Bound

 

[NW-Bound]

Nah, if what you have been doing all these years, or rather not doing anything , is good and gets you to this point, why change?

I am on the other hand a tinkerer and experimenter, and I like to fine-tune my technique. Maybe it will work better, maybe worse. The main point is I enjoy what I am doing, and if it does not work and costs me too much money, then I will stop and revert to doing nothing.

 

[Koolau]

^ See, how uneducated I am about all this. I honestly never would have even considered that as rebalancing. I never have done it, but it maybe tempting just because I do have some cash to do so. I see now that I'm well funded in cash to survive a long time, maybe longer then I have time.
As an accumulator through my investing years I bought and never really knew what the market was doing. I beleive you experts call that dollar cost averaging. I'm learning slowly but catching on!!

I will let you know if I rebalance, I know what it means now. Thanks NW-Bound

I have often beat-up on myself because I've been a lousy investor. But, since I've been a good saver, I have "enough." You clearly have "enough" so who cares if we did it "right?"

Enjoy!

 

[street]

I have often beat-up on myself because I've been a lousy investor. But, since I've been a good saver, I have "enough." You clearly have "enough" so who cares if we did it "right?"

Enjoy!

That is right! The one thing I did right was to save and invest the rest took care of itself. It least I got one thing right, and won doing it my way. Lol

Thanks Koolau

 

[NW-Bound]

I don't know all the things that Street did or did not do, but a guy who has a WR as low as 0.5% has a lot that others may envy.

 

[RetireAge50]

Our 75% stocks 25% cash allocation now has has just above 600k in cash. Feels fine to me, no idiot feelings.

 

[Koolau]

Our 75% stocks 25% cash allocation now has has just above 600k in cash. Feels fine to me, no idiot feelings.

Yep! Hard to call anyone with that much money an idiot, in my humble opinion. Lots of folks would LOVE to be THAT idiot!

 

[Winemaker]

Our 75% stocks 25% cash allocation now has has just above 600k in cash. Feels fine to me, no idiot feelings.

We have about $350,000 in cash right now, and I don't consider myself as an idiot. Others may have another opinion, but I don't live to gleam in the eye of others.

 

[Dtail]

100k in cash for us.

 

[Shabby]

Why not a MM fund like PVOXX? That’s where mine is.

 

[Mountain skier]

We have way more than $600k in cash and we sleep like babies at night