Nope, it's being taken private. There won't be no stock.
Investing Strategies. What is your move?
- Thread starter PimTac
- Start date
Owners will get like $54 per share, which is a nice bump. About 35% over the past month alone.
Yes. Been there. Sometimes acquisitions go awry. Seems odd to me......well best not say
Going through my 401k, I'm 30 years old and set for a Voya target date plan for 2060. What would be the pros/cons for moving from that target date to a Fidelity 500 index fund? From my very inexperienced eye, it looks like the Fidelity 500 index fund has better returns at the cost of slightly more volatility but there's really big names in this one; Microsoft, Apple, Amazon, Telsa....
That has always been true. But I'm not going to say it, it's obvious our country is changing it's philosophy. And it isn't pro-business. Buy waterfront property
Much of our money is in targeted funds based on year of retirement. It changes with the market, minimal fees, doing well all things considered.
I just finished The Intelligent Investor by Benjamin Graham - it's an old book originally written in 1949 and updated periodically. He makes a very strong case for staying the course using historical data. He also delves into the psychology of wanting to tinker and the negative effect that has historically had on returns. It's a good book and he's a great writer.
In a general/simple sense, target funds are managed over time to change (reduce) the risk level by re-balancing assets in the portfolio, in other words shifting from more risky to less risky assets over time to reduce risk while (hopefully) optimizing returns. You're reliant on whoever is managing the fund to appropriately manage the risk level and wind down that risk appropriately over time.
Sounds like from the name the Fidelity 500 index fund is an S&P index (possibly FXAIX?). If so, it is basically aimed at tracking S&P growth, so the risk management is 100% risk in the market.
I'm a big believer that indexing is the right move, managed funds (in general) don't have a track record on beating the market (indexed funds) on a regular basis, and in the case of a target fund, it's important to remember that is not necessarily the goal over time (though IMO with a target date of 2060, it should be the goal today of that funds manager).
Couple of things to think about:
- Check the expense ratio - I'd bet the Fidelity index fund has a lower expense ratio then that Voya fund. Higher expense ration means more of your money is going back to the fund manager basically as a cost of managing the fund.
- We don't know from your post what your current value is in the Voya fund. If you have a significant amount of money invested today and you decide to do a shift, you're inherently shifting the risk profile on a significant sum of money at a point in time. In other words, you potential shift target fund --> index fund and end up with potentially more volatility experienced in the short term because of prevailing market conditions.
Here's a quick summary for some independent reading on target versus index funds:
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Index Funds vs. Target-Date Funds: What's the Difference?
Should 401(k) investors choose index or target-date funds? The decision depends on their long-term investing strategy.
My personal opinion given you're 30 - and I'm assuming retirement age is far off - I'd be all in indexing in the S&P going forward but would want to understand how significant the sum would be going from the target fund to index.
I'm sure it's a good read . In his updated versions does he get into how government decisions impacts and social spending and government debt influences the market? Free money which isn't free money in the short term is favorable to the market. Long-term chickens come home to roost eventually. Middle class does not run the stock market but middle class rules the spending in this country . The middle class needs money that they can spend on other things than bare necessities.In a ISIM economy a select few companies do very well , and what's left is there to languish .
Decent summary
How Elon Musk Won Twitter
The social-media network was expected to reject the Tesla CEO’s offer, but its bankers called the bid fair and said the company could struggle to get there on its own.
www.wsj.com
Yeah, kind of wish I did but I didnt so we are hoping for the best! *LOL*
However stupid this may sound, I am so down on the market that I think something bad is going to happen and since I think that, its mostly like too soon so I am not despondent (at this point*LOL*) that I haven't sold anything yet> Everything just seems so negative that ... I dont know ! *LOL*
Yeah, agree, some salvation for people who invested in Twitter in the last year to year and a half. If they had the guts to hold on for this.
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Decent summary
How Elon Musk Won Twitter
The social-media network was expected to reject the Tesla CEO’s offer, but its bankers called the bid fair and said the company could struggle to get there on its own.
At that all hands meeting it was annnounced that there will be no layoffs but the WSJ left out the rest of the sentence and which is “in the next six months” at which the deal will be finalized.
If the deal would have been declined the share price would have plummeted.
@PimTac @supton @99Saturn Thanks for the advice. There are a bunch of other plans as well but I can't copy+paste them here as the format is weird.
Here's the 2060 Target fund on top and the Fidelity 500 index on the bottom. I'm a bit over $20K currently for 100% for my contributions for the 2060 but wouldn't mind changing. I don't micromanage this at all though and probably check them once every few months.
Here's the 2060 Target fund on top and the Fidelity 500 index on the bottom. I'm a bit over $20K currently for 100% for my contributions for the 2060 but wouldn't mind changing. I don't micromanage this at all though and probably check them once every few months.
@Pew , generally speaking I’m not a fan of target funds but that is a personal thing. A target fund is better than no investment. It looks like the Voya fund is pretty much in the market right now with very little in fixed income. There is a international component there as well.
A good thing about the SP index is that you can track it easily. The expense ratio is much lower too.
If you can make the switch with no cost or penalty then I consider it mostly a sideways move and should be no problem. If you want more variety you can do that on your own with IRAs or personal money.
One big point I’d like to make is that you stay the course. If the markets drop as I suspect they will do, just keep on plugging away. You will be buying shares at lower prices and that accumulation of shares over time will show their worth when the markets recover. At age 30 you have plenty of time.
A good thing about the SP index is that you can track it easily. The expense ratio is much lower too.
If you can make the switch with no cost or penalty then I consider it mostly a sideways move and should be no problem. If you want more variety you can do that on your own with IRAs or personal money.
One big point I’d like to make is that you stay the course. If the markets drop as I suspect they will do, just keep on plugging away. You will be buying shares at lower prices and that accumulation of shares over time will show their worth when the markets recover. At age 30 you have plenty of time.
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