wmc1000
Thinks s/he gets paid by the post
When it dropped 10%+ we put in 1/3 of our accumulated cash pile as we are retired but our expenses are less than our SS and dividend income.
So. I've shown you mine, what formula or feeling or method do you savvier stock buyers use to inform your purchase times and quantities?
That's easy. I just invest enough to rebalance, and no more.
I keep my equity exposure to 55%. I sell when they reach 60% and buy when they drop to 50%.
But even after yesterday’s big drop, I was still at 52%. At the market high I was at 56%. I still can’t figure out how we could we having such big swings in the market and my exposure has only moved by 4% from high to low.
Does that make sense to anyone?
Exactly!That's easy. I just invest enough to rebalance, and no more.
That's easy. I just invest enough to rebalance, and no more.
I looked at 3 funds that are 50/50 AA. I think your drop from recent high to low should be something like -10%. If you're calculating in a spreadsheet their could be an error of some kind. Still, you could be in funds/etf/stocks that are doing better than the average.I keep my equity exposure to 55%. I sell when they reach 60% and buy when they drop to 50%.
But even after yesterday’s big drop, I was still at 52%. At the market high I was at 56%. I still can’t figure out how we could we having such big swings in the market and my exposure has only moved by 4% from high to low.
Does that make sense to anyone?
Stay fully invested at your desired mix of stocks/bonds.
Then you never have "dry powder" to worry about.
I would/will rebalance if we are 5% off. The dip last week didn't get to 5% off.
My 401k did hit on Friday. I just did not deploy an un-invested funds.
I went in to IVV Friday (about 10% of cash reserves)to see if I could get some benefit when this turns around. If it goes down some more this week, I may go another 10%.
As for my retirement accounts, my AA is usually 60/40, and I am not doing anything yet. If we continue to drop however, I may bump the equity up to 80% since I have a fair amount of recovery time.
Not retired yet, but ~60% in currencies/bonds. We have taken a big black-eye paper-loss these last 2.5 weeks - but we are hopefully employed awhile longer....
Have about 7k sitting on the side. Thinking of plowing it into NEWT. Currently paying 11.64% annually. Dunno.