Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Old 07-26-2020, 12:56 PM   #41
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
RunningBum's Avatar
 
Join Date: Jun 2007
Posts: 10,890
I'm fine. I went from 60% equity to 55% by selling off some losers and only partly buying back other stock funds. The recovery has me back to 57.5% stocks. If it keeps running, I'll be back at 60/40. It we take a big drop, I'll buy more stock to get it back to 60/40. For now being 2.5% off my AA does not bother me.
RunningBum is offline   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 07-26-2020, 01:27 PM   #42
Full time employment: Posting here.
iloveyoga's Avatar
 
Join Date: Jan 2017
Location: Des Moines
Posts: 902
I feel great. I already had a fairly conservative allocation, so made no changes. But I did realize that I really don't need to worry as we can easily live on our incoming pensions and SS. And no travel has certainly been a money saver.
__________________
Retired in 2013 and we are living the dream!
iloveyoga is offline   Reply With Quote
Old 07-26-2020, 01:37 PM   #43
Moderator Emeritus
aja8888's Avatar
 
Join Date: Apr 2011
Location: The Woodlands, TX
Posts: 12,429
Quote:
Originally Posted by Sunset View Post
+1

I only sold within IRA and ROTH accounts (due to tax reasons), and only those things that were pretty close to the Feb highs , off by about 10%->12%.

Yes, a little FOMO regret as those same things are higher than Feb, and if I had sold them now I'd have an extra 30->40 K (big approximate).

We are still in the market with taxable accounts and 401K, but are now more conservative from our 85%->90% stock allocation. It was a great run for the last 10 yrs, so now it's ok to be more conservative.

I actually feel calmer when I hear the market drop some %, I don't even look.

I only sold in my IRA so no tax consequences. Taxable is mostly CDs and a municipal bond fund.

I did buy into a bond fund (ISTB) in the IRA which is mostly treasury paper. I am going to be 77 soon and won the game so no sense gambling as I can't make it back if the equity market crashes for a decade or so. What's in equities now (15%) is a lump of SCHB and 7 preferred stocks. I'm sitting on a lot of cash and that's OK.
__________________
Everyone has a plan until they get punched in the mouth...philosopher Mike Tyson
aja8888 is offline   Reply With Quote
Old 07-26-2020, 01:37 PM   #44
Thinks s/he gets paid by the post
jollystomper's Avatar
 
Join Date: Apr 2012
Posts: 3,567
The only action I took was to do some tax loss harvesting. I got lucky as I did it near the March bottom and reinvested what I sold in a different area. The gain of the reinvestment has far outgrown the loss I took.

As I have mentioned before, I had always assessed, during "good" market times, what my portfolio values would be at 50% of the equity prices, and set my AA to be comfortable with that. The drop helped me confirm that I would still sleep at night.

During the time the biggest financial move I have made was paying off our mortgage. I have no idea how the markets will go in the "short" . But my own personal feeling is having no debt is a good thing, no matter what happens in the short run.
__________________
FIREd date: June 26, 2018 - wwwwwwhat a rush!
jollystomper is offline   Reply With Quote
Old 07-26-2020, 02:03 PM   #45
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
OldShooter's Avatar
 
Join Date: Mar 2017
Location: City
Posts: 6,541
Quote:
Originally Posted by TechLead View Post
... How do you feel now about your decision? ...
I won't know for five or ten years. Then I'll be able to look back and see how things turned out.

My new favorite Buffett quotation: "Lethargy bordering on sloth should remain the cornerstone of an investment style."
OldShooter is offline   Reply With Quote
Old 07-26-2020, 02:28 PM   #46
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Mar 2003
Posts: 18,085
I sold/shorted in January and February, still largely in cash and short term bonds. Fine and dandy. Wish I had jumped on gold, otherwise just waiting for the inevitable fallout.
__________________
"All animals are equal, but some animals are more equal than others."

- George Orwell

Ezekiel 23:20
brewer12345 is offline   Reply With Quote
Old 07-26-2020, 02:49 PM   #47
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
MRG's Avatar
 
Join Date: Apr 2013
Posts: 9,845
Quote:
Originally Posted by pb4uski View Post
Except, if memory serves me correctly, there has been pretty high historical correlation between W2R posting and market crashes.... that is my signal.
More powerful than a pandemic.
MRG is online now   Reply With Quote
Old 07-26-2020, 02:55 PM   #48
Thinks s/he gets paid by the post
 
Join Date: Oct 2017
Location: Chapel Hill, NC
Posts: 3,329
I sold all my equities in May and I am sleeping well and feeling good about my decision. I may or may not get back into some equities some day (I am age 69 so I may decide not to). Personally I think we are in for major economic problems in the United States, we ain't seen nothing yet.
harllee is online now   Reply With Quote
Old 07-26-2020, 03:08 PM   #49
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
calmloki's Avatar
 
Join Date: Jan 2007
Location: Independence
Posts: 6,638
Gee - thanks a bunch W2R. I'm busily trying to convince my gal to let me ease out of rentals and sell the hard assets that have done so well during all the various crashes. She is enquiring just what we are to put the property sale proceeds into that will make a fraction of what the rentals make. And now - now, as we are reviewing an apartment sale offer - NOW you pick to utter the big W~~~ word?

Duck and cover folks - Monday is coming and the voodoo queen augurs ill for the market!
__________________
"Be kind whenever possible. It is always possible." Dalai Lama
calmloki is offline   Reply With Quote
Old 07-26-2020, 03:10 PM   #50
Thinks s/he gets paid by the post
 
Join Date: Apr 2010
Posts: 3,750
Stayed the course with no changes. Did the same on the last downturn and the one before.

I believe that a downturn is the time to buy, not the time to sell.

Not buying this time around, but not selling either. I know a few people who elongated their retirement plans by panic selling during 2008/9 lows, moving in to to fixed, and not enjoying the subsequent gains.
brett is online now   Reply With Quote
Old 07-26-2020, 03:11 PM   #51
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
REWahoo's Avatar
 
Join Date: Jun 2002
Location: Texas: No Country for Old Men
Posts: 47,837
Quote:
Originally Posted by calmloki View Post

Duck and cover folks - Monday is coming and the voodoo queen augurs ill for the market!
Stand down. Check who posted the "W" word...it wasn't W2R.
__________________
Numbers is hard

Retired in 2005 at age 58, no pension
REWahoo is offline   Reply With Quote
Old 07-26-2020, 03:34 PM   #52
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
calmloki's Avatar
 
Join Date: Jan 2007
Location: Independence
Posts: 6,638
But but but - post #27?

wonder if Walmart still needs greeters?
__________________
"Be kind whenever possible. It is always possible." Dalai Lama
calmloki is offline   Reply With Quote
Old 07-26-2020, 03:37 PM   #53
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
REWahoo's Avatar
 
Join Date: Jun 2002
Location: Texas: No Country for Old Men
Posts: 47,837
Quote:
Originally Posted by calmloki View Post
But but but - post #27?

wonder if Walmart still needs greeters?
Hey, I'm doing my best here. Don't go fact checking me and screwing things up!
__________________
Numbers is hard

Retired in 2005 at age 58, no pension
REWahoo is offline   Reply With Quote
How do you feel now? (4 Months later)
Old 07-26-2020, 03:45 PM   #54
Recycles dryer sheets
 
Join Date: Apr 2011
Posts: 147
How do you feel now? (4 Months later)

Everything we had in equities stayed in equities. We had a fair amount still sitting in cash from a property sale last November, so I bought more equities at the end of February, the last week of March, and mid April. In June we decided to remodel our kitchen and baths so I sold out of Wellington (which I don’t really consider equities since it is a mix of stocks and bonds), which will pay for all of that, buy DW a new car later this year, and fund two years of tuition at Northeastern University for our son (we already had two years in a 529).

So, the net effect of all that is we have approximately the same amount of cash/liquid investments that we had as of the market highs in February. Well, except for that little $140k tax bill we just paid.
kevdude is offline   Reply With Quote
Old 07-26-2020, 03:45 PM   #55
Thinks s/he gets paid by the post
Dash man's Avatar
 
Join Date: Mar 2013
Location: Limerick
Posts: 3,204
We’re doing fine. We did some Roth conversions when this all started, followed by selling some equities in our taxable account to build up our cash a bit, but not too drastic a move. Some was tax loss harvesting and some was to buy into some stocks I thought would do better with pandemic. It turned out well for us. We also sold some to buy a townhome for my son and his family when they moved to be near us. Overall we’re very pleased with our situation and have enough in cash to last 5+ years.
Dash man is online now   Reply With Quote
Old 07-26-2020, 03:56 PM   #56
Recycles dryer sheets
 
Join Date: Feb 2018
Posts: 126
Quote:
Originally Posted by Rianne View Post
We're fine with our 60/40 AA. I'd like to understand fund management. For instance, you buy the Total Stock Market Fund. Do the fund managers move companies in and out based on their success or failures? Say Apple has the highest number of shares in that fund then Facebook (or whatever) down the line. Then Tesla gets in the mix. Do fund managers rearrange the companies best suited for that fund? Since I don't follow the specific companies in funds, I hope fund managers do.
For funds that track an index, no, fund managers do not choose the stocks. An example is VTI - total stock market. The Vanguard computer systems keeps the relative values of its holdings in line with the pertinent index. More info here: https://investor.vanguard.com/etf/profile/VTI

Similar strategies are followed for other funds and ETFs that are based in stock indices (VOO = S&P 500, for example). It’s my understanding that means that even if known stressors are approaching, the fund holds the stock as long as the index does.

This is one of the reasons that I divested about 75% of my equities from index ETFs in March, before the worst of the drops. Since then, I’ve built my own portfolio up, buying on dips, for stocks I like. It’s a lot of work. Thank goodness for Vanguard’s free trades, or I couldn’t do this. We are almost back up to our all-time high. I have just over 50% in cash, with limit orders set to execute on any upcoming hard dips. I’m really happy to have such a high percentage of cash at the moment, and I will welcome the addition of high quality stocks to my portfolio on any upcoming dips.
RVplusDog is offline   Reply With Quote
Old 07-26-2020, 03:59 PM   #57
Thinks s/he gets paid by the post
street's Avatar
 
Join Date: Nov 2016
Posts: 4,437
Wasn't March the lowest drop for YTD? Why would anyone sell in March with having the largest drop so far this year??

I didn't do a thing this time just like 3 bad times I went through in the last 40 years being in the market.
street is online now   Reply With Quote
Old 07-26-2020, 04:03 PM   #58
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
MRG's Avatar
 
Join Date: Apr 2013
Posts: 9,845
Fine. Moved 100k in equities to a 2% 3yr fixed annuity and then had a couple of cds mature. I splurged with some and have some in reserve. According to my attorney I'm going to get some settlement money this year, that's going to pay taxes. I am cautiously building a new niche equity with some play money.

Longer term I am fearful of pandemics. My great grandparents died off in the 1890s during a 5 year pandemic. What do I know?
MRG is online now   Reply With Quote
Old 07-26-2020, 04:27 PM   #59
gone traveling
 
Join Date: Jul 2020
Posts: 100
Quote:
Originally Posted by street View Post
Wasn't March the lowest drop for YTD? Why would anyone sell in March with having the largest drop so far this year??

I didn't do a thing this time just like 3 bad times I went through in the last 40 years being in the market.
I suspect people who sold in March expect even larger decline to come. Maybe it was panic selling. From past posts there is fair number of them.

Maybe they are right, maybe not.
TechLead is offline   Reply With Quote
Old 07-26-2020, 04:29 PM   #60
Thinks s/he gets paid by the post
 
Join Date: Dec 2014
Location: St. Charles
Posts: 2,621
It's the end of world as we know it, and I feel fine

No changes, beside the usual sells to raise cash for the next few years.

Realistically, our stocks are for long term use (legacy). Our bonds/FI/cash are likely more than we need. Slowly reducing equities by taking int/div and distributions as cash, and putting those in to Cd's/bonds.
__________________
If your not living on the edge, you're taking up too much space.
Never slow down, never grow old!
CardsFan 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
Real Estate: Sell first; buy later. Or Buy First Sell later Livin Large in MT Life after FIRE 36 01-31-2020 09:17 PM
10 year plan still 10 years away...19 months later 10years away Hi, I am... 13 08-02-2013 09:46 PM
ER in 4 months...or 11 months...or 24 months... BarbWire Hi, I am... 3 01-05-2012 06:50 AM
Logistics of paying off balloon mortgage, then selling house 1-2 months later RunningBum FIRE and Money 9 05-28-2008 11:04 PM
19 months later - update igsoy FIRE and Money 6 09-29-2007 01:52 PM

» Quick Links

 
All times are GMT -6. The time now is 12:00 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2021, vBulletin Solutions, Inc.