ncbill
Thinks s/he gets paid by the post
Zero...I sold everything last year to tax loss harvest and have been too nervous to get back in...
What percentage are you down so far?
- Thread starter ESRwannabe
- Start date
On 3/23, my balance was down roughly 30%. I panicked, contacted our Vanguard advisor, and asked to move everything into cash. He calmed me down, said that would be a huge mistake and suggested we adjust our allocation (from 60/40 to 75/25); He sold some bonds & bought some stocks. Since then the market has increased, along with our balance; we're currently down 10%.
I am so grateful he talked some sense into me. I know better...I guess I just needed to hear it from him.
I am, however, still uneasy about the future of this market; now I"m contemplating changing the allocation back to 60/40 (now that my balance has gotten back to my comfort zone). Any thought on this?
I am so grateful he talked some sense into me. I know better...I guess I just needed to hear it from him.
I am, however, still uneasy about the future of this market; now I"m contemplating changing the allocation back to 60/40 (now that my balance has gotten back to my comfort zone). Any thought on this?
easysurfer
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
- Joined
- Jun 11, 2008
- Messages
- 13,151
My thought is that you need an allocation that doesn't keep you at night.
For me, I use the (100 - my age) rule of thumb formula as for what percentage to keep in equities. That way, I don't let my fear and greed get in the way. I focus on the math percentage calculation and not what happens externally. Plus, I save a phone call not having to call someone to calm me down
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RetireAge50
Thinks s/he gets paid by the post
- Joined
- Aug 6, 2013
- Messages
- 1,660
-10.6% ytd as of last night 69/18/13
vince
Recycles dryer sheets
-6.74%.... 50/50 (target going into this downturn)…. -14.74%/1.63% YTD
My stock/bond portion is down 14%, my networth* is down 9.6%.
I did sell some Funds early in the Covid scare (2-28) and bought back (3-25). I bought back 17% cheaper than I sold, (tax deferred accounts), only the future will say if I bought back to early, it was still a good move though and lucky!
* I have never included my home in networth.
I did sell some Funds early in the Covid scare (2-28) and bought back (3-25). I bought back 17% cheaper than I sold, (tax deferred accounts), only the future will say if I bought back to early, it was still a good move though and lucky!
* I have never included my home in networth.
wmc1000
Thinks s/he gets paid by the post
-19.22% mostly because we are heavily weighted in ATT stock and a couple of oil refiner stocks. Oh well, we'll collect the dividends currently varying from 6.77% to 21% and keep on keeping on.
The 21% dividend stock is currently less than 10% of our holdings so if it doesn't pan out long term it is not a huge issue. I consider it my gambling play.
The 21% dividend stock is currently less than 10% of our holdings so if it doesn't pan out long term it is not a huge issue. I consider it my gambling play.
I just made a new XIRR spreadsheet to look at the last 12 months. Down 1.9% YTD, up 11% last 12 months. AA around 95% with some out and in action late February and late March.
What really stood out was that 2019 market performance was distorted because of the big drop from October to late December followed by a recovery that was complete in March. The year end gains in 2019 were distorted by the fact that we started down so much.
Short term outperformance of stock indexes can unfortunately provide a false sense of comfort that assumes having a low equity position is the right away to invest.
If one has a long term time horizon and wants /needs growth having high equity exposure will put you in a much better position of achieving those goals. The volatility you experience is the emotional price you pay for excellent long term returns.
"The stock market is a device for transferring money from the impatient to the patient." - Warren Buffett
If one has a long term time horizon and wants /needs growth having high equity exposure will put you in a much better position of achieving those goals. The volatility you experience is the emotional price you pay for excellent long term returns.
"The stock market is a device for transferring money from the impatient to the patient." - Warren Buffett
Maidensong
Recycles dryer sheets
We're down 12% YTD. Our AA is 100% equities and mutual funds. No bonds. We've only ever lost money on bonds.
Good for you. I am up 10% based on 1st quarter returns with 100% treasuries (mainly VUSUX). However, the poll at the beginning of this thread only counts percentage down and not percentage up like you and me.
BTW...I have a system of returning to my 60/40 portfolio in 10% increments before I had re-allocated to 100% treasuries last year after the yield curve inverted:
10% decline=10% equities, 30% decline=30% equities. etc. Since the market was down 32% a few weeks ago, I am now 30/70 with 70% treasuries and 30% equities that were purchased in 10% increments of my portfolio at the 10%, 20% 30% market decline. There is no guessing when the bottom will be.
harllee
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Wow Perryinva, good job there--what are you invested in?
Lawrencewendall
Full time employment: Posting here.
Ytd -31.64% 86/13/1 aa
as you say, it depends on wants and needs, and that goes to appropriate time horizons, all of which influence one's risk tolerance. I don't "need" to maximize growth, as much as I "need" to minimize the risk to my nest egg. My earning days are over, my timeline relatively short. A big drop, and a 10 year recovery would severely alter my retirement plans.
LRDave
Thinks s/he gets paid by the post
I answered the poll earlier because I was sure of the band we were in, but just calculated it:
-2.1%
-2.1%
stepford
Thinks s/he gets paid by the post
Currently down an even 10% on a nominal 50/50 AA (allowed it to drift up to 52/48 in mid-February - now down to 46/54).
Time for you all to enjoy some schadenfreude - my losses would be less but about 2% of my NW was in the now universally despised Boeing stock. (now down to about 1.2% of my NW). If I'd been smart enough to unload the BA last summer I'd only be down about 8.5%. Oh well.
Time for you all to enjoy some schadenfreude - my losses would be less but about 2% of my NW was in the now universally despised Boeing stock. (now down to about 1.2% of my NW). If I'd been smart enough to unload the BA last summer I'd only be down about 8.5%. Oh well.
I was at about 7/20/73 already on 2/19, with equities only in FOCPX & FFNOX. At about Dow 25000 I started back in too soon, with mainly more FOCPX bought incrementally through DOW 19000, and utility stocks favorites I follow and trade regularly, DUK & D at their near bottoms (D@63 & DUK @73). Bought in roughly $560k total. I sold both utilities on Thursday. Wish I had bought a lot more but I really thought more drops to come.
well, as far as the Boeing stock, people often say "if you get out, when will you get back in?" but far less often ask "if you get in, when will you get out?"
