Anyone into 401k shit?

sweet adeline

fanch75 wrote:

If unsure, a good option is to put money in whatever Index Fund is mirroring the S&P 500 Index Fund. You may make more or less with other funds, but over the long haul it's kind of hard to go wrong with that one.

good advice. over the last 15-20 years the S&P has returned an annualized return of 11% annually. i'll take that any day.

fanch75

sweet adeline wrote:

good advice. over the last 15-20 years the S&P has returned an annualized return of 11% annually. i'll take that any day.

People try to sound all smart & creative, but with the S&P's history & stability, why go against it? I have 50-60% in there with the rest going into other things.

Whenever I take a new job, my first question to HR is, "What fund mimics the S&P 500?"

DriftingByTheStorm

sweet adeline wrote:

so you are saying you should always buy high? thats the opposite of the investment advice i've been given.

No.
I'm saying if you see graph going DOWN you don't bet UP, you wait for it to stabilize, "consolidate", "build a base" and "rebound" a bit before you go long.

That's not buying high,
its called not being stupid.

Repeat: Are you trying to catch a falling knife?

Housing prices, pending home numbers, new starts, and so forth are all continuing to fall ...

and you want to tell this man to buy in to that?
Thats just dumb.

If he wants to put money in the stock market, at least they are "TALKING" about that having tested "bottom" twice ... but the smart money knows that another test is coming in the next few months.

The Dow can't get over 12700, and the S&P isn't pushing anywhere close to breaking 1400 these days. Its been stuck at 1380 and falling slowly over the last week or so.

But at least the paper market is a diversified asset class backed by a multitude of facets of our economy.

Putting your money on real estate at this point, is betting your eggs in one basket, and its a basket with a hole in the bottom right now.

That ALL i'm saying.
You don't go long when every indicator is negative.

DriftingByTheStorm

sweet adeline wrote:

good advice. over the last 15-20 years the S&P has returned an annualized return of 11% annually. i'll take that any day.

Here is a bit of reality for you.
Don't forget to "inflation adjust" any gains rate you are claiming.

inflation adjusted DJIA returns... remember the S&P nearly identicaly mimics the DJIA.

True gains of around 1.9% per annum ... and even with the 2% this guy has tacked on to the government CPI numbers, that is STILL conservative.

The reality is the bubble HAS burst, and though we may try to push it back up short term here (and i'd guess the dow isn't going over 14,000 again regardless anytime approximating soon) ... and the long term outlook for stocks is most probably DOWN.

Just one mans opinion.
But you people who think up is the constant direction are just slightly deluded.

sweet adeline

i'll just put all my money in gold then.

DriftingByTheStorm

sweet adeline wrote:

i'll just put all my money in gold then.

considering the only thing that could make this market truly go and stay up right now is more inflation ... hedging your investments with gold or silver isn't the dumbest thing you could do.

If you could pick up silver at 17.5 an ounce in the next few weeks youd be getting a steal.

It was at 22 a few weeks ago, before a sharp correction due to a number of factors -- pulled margins at large institutions, profit taking from traders, and government manipulation.

IF shit gets ugly, silver could be at 40-60.
But thats pretty ugly we're talking.