Great theory. And you know when a bottom has been reached, how?
Investing Strategies. What is your move?
- Thread starter PimTac
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Great theory. And you know when a bottom has been reached, how?
Bottoms are impossible to predict. My goal is not to find the bottom.
It's just to wait in a Money Market fund for a substantial decline in all asset classes and then start buying.
This would allow avoiding a huge loss, and instead buying low where a recovery (3 years afterwards) could make you a fortune. If the crash doesn't happen, I'm still earning a guaranteed 5% annually, which I am content with.
Timing the market is impossible. Everyone should always be 100% invested all the time.
Except the current market has too many distortions and this 1 time, I want to be in a risk free asset earning 5% annually, and wait for a significant market decline that I believe has to be coming. Every bubble must burst.
All my cash is invested
What makes you think a market decline is on the horizon ?
I made a little money back in 2022 with the market decline.
I'm not saying it will happen in 2023, but it will happen eventually in the near future. The current economy is not build on a solid foundation. Every house of cards must collapse, and I am a little too close to retirement age to get wiped out.
There is 1 sentence Warren Buffet said in an interview a few years ago.
That 1 sentence has really stuck with me.
Warren Buffet said: "Rising interest rates act like gravity on stock prices."
What he means is that it costs growth companies more to borrow money to expand their businesses.
It means people will leave the stock market (aka sell stocks) when the risk free assets earn a good return (ex: 5% like it is now).
The reason the stock market has gotten so overvalued is that with 0% interest rates for most of the last 15 years,
bank accounts were paying 0%, so the only game in town was the stock market, and everyone put money in and with more buyers than sellers a bubble formed. But now with money markets paying 5%+ return, this trend will reverse. More sellers than buyers, markets could go down over an extended period.
If I'm wrong, the worst thing that will happen to me is I'll earn the 5% annual return from the money market.
My monthly savings rate is so high that all I need is 5% return. My frugality and debt free lifestyle frees up so much cash to save every month. I don't even need to worry about the stock market.
But when stocks go on a clearance sale LOL, I'll be buying.
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Me too, I’ve taken profits after this nice run up and heading for the exit.
Apple announces a really big deal that will back up their commitment to invest almost a half a trillion dollar into the US economy.
Good to see this.
www.cnbc.com
Good to see this.
Apple announces multibillion-dollar deal with Broadcom for U.S.-made chips
Apple announces multibillion-dollar deal with Broadcom for U.S.-made chips
www.cnbc.com
Yes, good to see made in the USA. Another advantage I see is that chips made in the USA will be secure.Apple announces a really big deal that will back up their commitment to invest almost a half a trillion dollar into the US economy.
Good to see this.
Apple announces multibillion-dollar deal with Broadcom for U.S.-made chips
Apple announces multibillion-dollar deal with Broadcom for U.S.-made chips
I don't like buying electronics from foreign companies based in countries that are our potential adversaries.
No telling what kind of spyware could be buried in the hardware/firmware.
Lowe's cuts full-year sales forecast, even as it tops earnings and revenue estimates
Lowe's beat first-quarter earnings expectations but lowered its full-year sales outlook.
www.cnbc.com
Stimulus cash all gone….. Lowe’s and Home Depot hurting.
"Stimulus cash" that went to people in 2020 & 2021 (not money/loans for businesses, etc to keep them afloat) was burned up a long time ago, lol.
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Some folks on TV say there’s still unspent stimulus cash….
I didn’t get a penny of stimulus cash and very unhappy about it.
I remember seeing 400 cars in Home Depot parking lot during the shutdowns and I felt bad for mom & pop owner of ACE Hardware store, they were forced to be closed.
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"Some folks" ... who have an agenda I'd bet, lol. Most likey the only stimulus cash left unspent might be the money people put in their kid's college fund if they were smart.
What is this cash people talk about???
BlackRock bond chief Rieder says U.S. economy in 'much better shape’ than doomsayers say
Rick Rieder, a three-decade market veteran who oversees $2.4 trillion for BlackRock, is optimistic about the investment outlook despite debt ceiling impasse.
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There are gobs of Pandemic money still around, it was handed out to states, schools, and buried in other places and bills.
For example you can still apply for a ERC credit - if you kept your employee - $26K per employee - in 2023 - in addition to PPP money you already got. https://trussfinancialgroup.com/erc...jCoDXyKOnsqUstzxrqNNRboet8o3xewIaAn9vEALw_wcB
A friend of mine who owns his own business told me he made more off the government in the last couple years than he did off anything else. He started this company 20 years ago.
State of South Carolina handed out the school districts billions of fed money. They "suggested" bonuses and raises for teachers - most South Carolina schools stayed in person through most of the pandemic. My wife was only "from home" the first 2 months in 2020 - back to in person August 2020. Of course our district did not. They used the money to hire all their friends to work at the district office -you know the part of the district that does nothing to educate anyone, just make more rules.
Farce.
More info on the amount:
www.gao.gov
For example you can still apply for a ERC credit - if you kept your employee - $26K per employee - in 2023 - in addition to PPP money you already got. https://trussfinancialgroup.com/erc...jCoDXyKOnsqUstzxrqNNRboet8o3xewIaAn9vEALw_wcB
A friend of mine who owns his own business told me he made more off the government in the last couple years than he did off anything else. He started this company 20 years ago.
State of South Carolina handed out the school districts billions of fed money. They "suggested" bonuses and raises for teachers - most South Carolina schools stayed in person through most of the pandemic. My wife was only "from home" the first 2 months in 2020 - back to in person August 2020. Of course our district did not. They used the money to hire all their friends to work at the district office -you know the part of the district that does nothing to educate anyone, just make more rules.
Farce.
More info on the amount:
COVID-19 Relief: Funding and Spending as of Jan. 31, 2023
The federal government has provided about $4.6 trillion to help the nation respond to and recover from the COVID-19 pandemic . As part of our ongoing...
Wow.There are gobs of Pandemic money still around, it was handed out to states, schools, and buried in other places and bills.
For example you can still apply for a ERC credit - if you kept your employee - $26K per employee - in 2023 - in addition to PPP money you already got. https://trussfinancialgroup.com/erc-refund-help-1?utm_term=ertc program&utm_campaign=ERC&utm_source=adwords&utm_medium=ppc&hsa_acc=2562129534&hsa_cam=19157722054&hsa_grp=143615734225&hsa_ad=643130974713&hsa_src=g&hsa_tgt=kwd-1218019084682&hsa_kw=ertc program&hsa_mt=p&hsa_net=adwords&hsa_ver=3&gclid=Cj0KCQjwyLGjBhDKARIsAFRNgW91vnAncA9rm5hVGqiHVPpjCoDXyKOnsqUstzxrqNNRboet8o3xewIaAn9vEALw_wcB
A friend of mine who owns his own business told me he made more off the government in the last couple years than he did off anything else. He started this company 20 years ago.
State of South Carolina handed out the school districts billions of fed money. They "suggested" bonuses and raises for teachers - most South Carolina schools stayed in person through most of the pandemic. My wife was only "from home" the first 2 months in 2020 - back to in person August 2020. Of course our district did not. They used the money to hire all their friends to work at the district office -you know the part of the district that does nothing to educate anyone, just make more rules.
Farce.
More info on the amount:
COVID-19 Relief: Funding and Spending as of Jan. 31, 2023
The federal government has provided about $4.6 trillion to help the nation respond to and recover from the COVID-19 pandemic . As part of our ongoing...
But oh we don't have enough money. Ugg.
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