I just bought some in early April, I consider them a shorter term investment, if I was going to invest long term (>10 yrs) I would buy stocks/reits, for anything shorter then I use balance funds or bond funds.as they currently have a negative yield?
I'm thinking of dumping my TIPS in my 401K and switching to stocks. Thoughts?
For better or for worse, I did. Changing asset allocation only because of what the tea leaves may or may not seem to say isn't consistent with investing as I know it. YMMVAs always, the question is "Where do you take the money?"
The OP option is stock, which changes the AA. Is anyone selling TIPS and buying some other fixed income asset?
The key word being "only". I did ratchet back from a 70/30 target to 60/40 after the 2008-09 meltdown -- though I waited until late 2010 and into 2011 to do most of the rebalancing to the lower equity stake. Living through that crash suggested to me that 70/30 was a little too "rich" for my blood in the long term. I've found that it's a lot easier to "set and forget" 60/40 than it was with 70/30.For better or for worse, I did. Changing asset allocation only because of what the tea leaves may or may not seem to say isn't consistent with investing as I know it. YMMV
Yep, the underline was definitely intentional...Changing asset allocation only because of what the tea leaves may or may not seem to say isn't consistent with investing as I know it. YMMVThe key word being "only".
As always, the question is "Where do you take the money?"
The OP option is stock, which changes the AA. Is anyone selling TIPS and buying some other fixed income asset?
Why stocks? Would that change your allocation mix?as they currently have a negative yield?
I'm thinking of dumping my TIPS in my 401K and switching to stocks. Thoughts?
I don't see why you need a destination for funds taken out of TIPS. Cash at 0% is better than TIPS at -x%.
As to the possibility of continuing capital growth, perhaps, but where might it end?
Overall, good decisions are rewarded over time.
Ha