|
|
04-02-2010, 07:45 AM
|
#41
|
Thinks s/he gets paid by the post
Join Date: Mar 2010
Location: Chicago
Posts: 1,154
|
ripper1
I was down about 25% in 3/09 and then took a gamble and moved about 20,000 from my fixed account into VTSMX. I just thought it was the buying opportunity of a lifetime. I was lucky. I am up substantially from then and have since then rebalanced to 50/50.
|
|
|
|
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!
|
04-02-2010, 07:48 AM
|
#42
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Oct 2005
Location: North Oregon Coast
Posts: 16,483
|
Quote:
Originally Posted by ripper1
I was down about 25% in 3/09 and then took a gamble and moved about 20,000 from my fixed account into VTSMX. I just thought it was the buying opportunity of a lifetime.
|
Perhaps the final chapter isn't in, but perhaps in retrospect it was that opportunity, something like this generation's 1982. Time will tell.
I didn't get too brave. I did rebalance my equities up once during the crash, in January 2009, and that helped me recover a bit more.
__________________
"Hey, for every ten dollars, that's another hour that I have to be in the work place. That's an hour of my life. And my life is a very finite thing. I have only 'x' number of hours left before I'm dead. So how do I want to use these hours of my life? Do I want to use them just spending it on more crap and more stuff, or do I want to start getting a handle on it and using my life more intelligently?" -- Joe Dominguez (1938 - 1997)
|
|
|
04-02-2010, 07:50 AM
|
#43
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jun 2002
Location: Texas: No Country for Old Men
Posts: 50,003
|
It should come as no surprise those not yet retired, not living off their nest egg and usually still contribution to the pot are more likely to have recovered than those of us withdrawing from our stash...
__________________
Numbers is hard
|
|
|
04-02-2010, 07:57 AM
|
#44
|
gone traveling
Join Date: Apr 2009
Location: Eastern PA
Posts: 3,851
|
Quote:
Originally Posted by NW-Bound
As I do not really care about RE values, I quoted only my liquid portfolio, both before and after-tax accounts. I suspect many other posters did the same.
|
Agreed. My portfolio is what I live on. My home is what I live in. Never confuse the two ...
|
|
|
04-02-2010, 08:22 AM
|
#45
|
Gone but not forgotten
Join Date: Jan 2007
Location: Sarasota,fl.
Posts: 11,447
|
Quote:
Originally Posted by REWahoo
It should come as no surprise those not yet retired, not living off their nest egg and usually still contribution to the pot are more likely to have recovered than those of us withdrawing from our stash...
|
That was a sobering lesson for what can go wrong in retirement . I'm glad my portfolio recovered as well as it has .I'm not totally back but I'm a lot closer to the high than the lows .
|
|
|
04-02-2010, 08:43 AM
|
#46
|
Recycles dryer sheets
Join Date: May 2007
Posts: 444
|
I too made an aggressive move and bought more equities during the downturn. I promised myself that if I was able to get within 5% of my previous high I would adjust my allocation and get more conservative. I got antsy back in September and when I reached the 5% mark I went all cash....now I'm waiting for that double dip
|
|
|
04-02-2010, 08:46 AM
|
#47
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Feb 2006
Location: Washington, DC
Posts: 11,317
|
Quote:
Originally Posted by novaman
I got antsy back in September and when I reached the 5% mark I went all cash....now I'm waiting for that double dip
|
What if it never comes (i.e. what if the next dip comes many years from now)?
__________________
Idleness is fatal only to the mediocre -- Albert Camus
|
|
|
04-02-2010, 08:49 AM
|
#48
|
Recycles dryer sheets
Join Date: May 2007
Posts: 444
|
Quote:
Originally Posted by donheff
What if it never comes (i.e. what if the next dip comes many years from now)?
|
err yeah- that could be a problem for me. I've thought about slowly getting back in but don't see any good reason for why the market is climbing right now......but hey, I know I know, its impossible to time the market
|
|
|
04-02-2010, 08:51 AM
|
#49
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Mar 2005
Location: Chicago
Posts: 13,151
|
Quote:
Originally Posted by novaman
I too made an aggressive move and bought more equities during the downturn. I promised myself that if I was able to get within 5% of my previous high I would adjust my allocation and get more conservative. I got antsy back in September and when I reached the 5% mark I went all cash....now I'm waiting for that double dip
|
Timing is tough, ain't it? Believe me, I understand. You got in right but out early. Whenever I try to do a little timing, it seems like there is only one way to do it right and a seemingly infinite number of ways to do it wrong!
This time I chose to do nothing. Already retired, there was no source of new funds to invest so I would have had to rebalance towards equities to try to take advantage of the dip. I compromised and didn't rebalance but also didn't panic and sell, just held.
I'm still down from the peak in 10/07 (details above) but ahead of the level where I RE'd in 7/06 so no complaints at this point. I've enjoyed almost 4 great years of retirement, withdrawing from the portfolio each year, and still have a little more than the day I walked out of MegaCorp. But, I'm still below my peak.
Different ways of lookin' at it...... Just saying.....
|
|
|
04-02-2010, 09:10 AM
|
#50
|
Recycles dryer sheets
Join Date: Dec 2007
Posts: 482
|
Prior to the crash, all-time high was May 2008. DW and I are still working, so we are still contributing the max to our retirement accounts and did so through out the recent bear market. Today we are about 14% above the 2008 high. Now we are discussing our exit strategy. She'll probably RE about this time next year with me following suit a few years later. We could RE now, but the last two years has us thinking we should have a larger margin of safety.
__________________
Retire date Jan. 10, 2018
|
|
|
04-02-2010, 09:44 AM
|
#51
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jun 2006
Posts: 12,880
|
The results are probably depend a lot upon whether one is in the accumulation phase or decumulation phase.
__________________
Al
|
|
|
04-02-2010, 10:29 AM
|
#52
|
Thinks s/he gets paid by the post
Join Date: Aug 2007
Posts: 1,224
|
Quote:
Originally Posted by youbet
This time I chose to do nothing. Already retired, there was no source of new funds to invest so I would have had to rebalance towards equities to try to take advantage of the dip. I compromised and didn't rebalance but also didn't panic and sell, just held.
|
As much as people think rebalancing improves returns there is no good evidence it does so. It does manage the level of risk in your portfolio so is, therefore, worth doing. Standing still and doing nothing is frequently a very good strategy in investing - assuming your underlying plan is sound
DD
__________________
At 54% of FIRE target
|
|
|
04-02-2010, 11:31 AM
|
#53
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jan 2008
Location: NC
Posts: 21,200
|
Now for us as well, investment performance and additional savings (still working-accumulating, for now)...
__________________
No one agrees with other people's opinions; they merely agree with their own opinions -- expressed by somebody else. Sydney Tremayne
Retired Jun 2011 at age 57
Target AA: 50% equity funds / 45% bonds / 5% cash
Target WR: Approx 1.5% Approx 20% SI (secure income, SS only)
|
|
|
04-02-2010, 11:55 AM
|
#54
|
Administrator
Join Date: Jul 2005
Location: N. Yorkshire
Posts: 34,050
|
Quote:
Originally Posted by REWahoo
It should come as no surprise those not yet retired, not living off their nest egg and usually still contribution to the pot are more likely to have recovered than those of us withdrawing from our stash...
|
Quote:
Originally Posted by TromboneAl
The results are probably depend a lot upon whether one is in the accumulation phase or decumulation phase.
|
This was my case. Savings went down 11.5% over 5 quarters, then up 28% over this last 4 quarters. I just kept pumping in savings at my normal, high rate and re-balancing to keep the AA at my target.
Now I'm RE'ed things will be different next time around.
__________________
Retired in Jan, 2010 at 55, moved to England in May 2016
Enough private pension and SS income to cover all needs
|
|
|
04-02-2010, 12:41 PM
|
#55
|
Thinks s/he gets paid by the post
Join Date: Sep 2008
Posts: 2,171
|
Quote:
Originally Posted by ESRwannabe
I am almost back to even on my investment return. As of yesterday my 5 year investment return was down -.3%.
Today was a big up day for my portfolio, so I may have a positive return now.
|
My retirement savings are at an all time high, but I think that's because I'm still in the accumulation phase. I'm not sure how to calculate what my return has been over the last several years, because my contributions have varied over that time. Is there a plug-in-the-numbers spreadsheet somewhere that I can use to figure this out?
Anyway, I'm just glad my balance isn't dropping faster than the contributions come in as it was a little over a year ago. That was scary!
Also, this is my retirement accounts only. If I count my house, I might still be going backwards. I'm pretty sure housing prices here haven't recovered anywhere near as much as the market has. There are five brand-new townhouses just down the street from me. They were finished some months ago but last time I checked, only one had sold. It went for about as much as the high appraisal I got on my residence in 2006, but is larger and newer, suggesting that my home would now sell for many thousands of dollars less.
|
|
|
04-02-2010, 12:46 PM
|
#56
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jul 2006
Posts: 11,401
|
Quote:
Originally Posted by donheff
A hair short of the high but some of it was moved into real estate (paid off a $165K mortgage).
Edit: But we were adding to the pot until this year and still are not all the way back. Bottom line we took a hit!
|
If you paid off a $165 liability with $165 of assets, the net effect on your net worth should be zero. This makes me wonder how many people on the Board are calculating NW without accounting for liabilities.
My NW (assets minus liabilties) is at an all time high.
My assets look even better!
|
|
|
04-02-2010, 12:47 PM
|
#57
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jul 2006
Posts: 11,401
|
Quote:
Originally Posted by FIREdreamer
Pre-crisis high: May 2008
Crisis bottom: November 2008 (down almost 18% from the pre-crisis high)
Back to pre-crisis high: May 2009
Currently: all time high, 82% higher than pre-crisis high.
Still working, and still adding money to our portfolio.
Net worth since March 2001:
|
Wow. I'd like to know how you got that last bit of almost vertical slope going!
|
|
|
04-02-2010, 01:03 PM
|
#58
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Nov 2007
Posts: 7,746
|
Quote:
Originally Posted by Meadbh
This makes me wonder how many people on the Board are calculating NW without accounting for liabilities.
|
I think we are getting a lot of apples, oranges, bananas, and grapefruits reported here. Hard to compare apples to apples.
My numbers above were based on net worth (assets minus liabilities). Assets being anything valuable enough to care about (cars, house, investments, accounts receivable, loans to family), liabilities being anything I owe (college loans, mortgage, credit card debt, an I O U to my daughter's piggy bank for $70).
I think there was a lengthy debate here a couple years ago about what should be included in net worth, and some suggested houses and mortgages have no place. If that were the case though, then I would call it something besides net worth.
__________________
Retired in 2013 at age 33. Keeping busy reading, blogging, relaxing, gaming, and enjoying the outdoors with my wife and 3 kids (8, 13, and 15).
|
|
|
04-02-2010, 01:21 PM
|
#59
|
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jul 2006
Posts: 11,401
|
Quote:
Originally Posted by FUEGO
I think we are getting a lot of apples, oranges, bananas, and grapefruits reported here. Hard to compare apples to apples.
My numbers above were based on net worth (assets minus liabilities). Assets being anything valuable enough to care about (cars, house, investments, accounts receivable, loans to family), liabilities being anything I owe (college loans, mortgage, credit card debt, an I O U to my daughter's piggy bank for $70).
|
I include liabilities (all of which mortgages on revenue properties and therefore good debt). I don't bother with personal property since I drive a 15 year old car and don't have any valuable antiques or artwork.
Quote:
Originally Posted by FUEGO
I think there was a lengthy debate here a couple years ago about what should be included in net worth, and some suggested houses and mortgages have no place. If that were the case though, then I would call it something besides net worth.
|
I agree. The definition of Net Worth is very clear in the accounting textbooks. If we are excluding real estate assets and liabilities, perhaps we could all it "investable assets".
|
|
|
04-02-2010, 01:38 PM
|
#60
|
Administrator
Join Date: Jul 2005
Location: N. Yorkshire
Posts: 34,050
|
Quote:
Originally Posted by Meadbh
I include liabilities (all of which mortgages on revenue properties and therefore good debt). I don't bother with personal property since I drive a 15 year old car and don't have any valuable antiques or artwork.
I agree. The definition of Net Worth is very clear in the accounting textbooks. If we are excluding real estate assets and liabilities, perhaps we could all it "investable assets".
|
I don't own a house, so no house value, and I have no liabilities. I didn't include any assets which is why I said "savings" in my post - "investable assets" is a better term I think.
__________________
Retired in Jan, 2010 at 55, moved to England in May 2016
Enough private pension and SS income to cover all needs
|
|
|
|
|
Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
|
|
Thread Tools |
|
Display Modes |
Linear Mode
|
Posting Rules
|
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts
HTML code is Off
|
|
|
|
» Recent Threads
|
|
|
|
|
|
|
|
|
|
|
|
|
» Quick Links
|
|
|