As I've mentioned in other threads, I had Fidelity running a managed account for me at one point. They were always trading the account and had about 10 mutual funds plus they were charging me a fee. They underperformed in good time and bad times and I finally got rid of them. I have it down to about 3 funds now, an S&P 500, Fidelity Contrafund and Janus 40. Last time I talked to my Fidelity rep, he didn't even try to sell me on their managed portfolio as my unmanaged one did way better. Technically they're all managed, the S&P picks the 500 stocks (wish they hadn't done Tesla) and the other two have their own fund managers with decent track records.
What stocks are good to buy before facemask mandate ends?
- Thread starter daves66nova
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The only reason I've stayed away from those leveraged funds is that they tend to do worse in a downturn and they don't return 2x for the year, just 2x for the day so while the gains are magnified, the losses are also magnified. If you look at the 3-5 year returns, they barely beat out the standard S&P 500, it only outperforms by 1-2% points.Wolf,
Thats why I like to put a little money in 2X and 3X leveraged ETFs. If the S&P 500 is the gold standard.... I want a little extra growth above the gold standard.
Why don’t you want Tesla and PT Barnum part of the 500 index ?
As for Tesla, isn't it obvious? It's heavily weighted in the index and I believe it's down from when it first got added. I don't see to much upside and more downside than upside.
so with all these recommendations, i'm still confused what to buy,lol
Those guys are way over the basic everyday retirement investment people. You should find a diverse, low cost fund and stick with it if you want things simple because: 1) historically everyone cannot beat the market in the long term, and the only thing that matters and you can control is the fee, 2) fee is way lower when you are looking into index fund because the fund do not have to hire as many people or star managers to run it.
Thing is, investment return comes with risk, so the star manager trying to beat the market is trying to beat the risk of the market without paying for the risk, and in the long run it is impossible.
Those of us picking individual stocks tend to just gamble and have enough equity in the more stable fund (I also have most of my 401k in S&P500) and are just using domain knowledge trying to beat the market. It may win it may lose, but we are fine with losing here.
Leverage has a cost that typically is higher than non leverage per dollar. Yes you amplify your win and your loss, and in theory should even out, but with the extra cost it is likely not a win in the long run.
Are you going to put it into a Roth IRA/IRA? If so, buy the mutual fund, don't need to worry about dividends and capital gains every year. Otherwise you could just do an S&P 500 ETF. Expense ratio on the fund is half the rate of the ETF but it's pretty low to begin with.
FXAIX - Fidelity ® 500 Index Fund | Fidelity Investments
Analyze the Fund Fidelity ® 500 Index Fund having Symbol FXAIX for type mutual-funds and perform research on other mutual funds. Learn more about mutual funds at fidelity.com.
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Vanguard Mutual Fund Profile | Vanguard
I don’t know if I’d take stock advice from random strangers on the internet. That’s what financial coaches are for.
Yeah but that's the title of this thread, someone asked random strangers on the internet for stock advice so that's what happened. Of course there are other websites and other forums more suited for this type of financial advice, but I don't see anything too crazy in this thread. Basically boils down to risk tolerance. I'm not sure a financial coach would be doing much better but then that gets into vetting them.
That's my 401k. As far as a more specific breakdown, I'm not sure. I dont know about picking which ones or how to move it around.
Seems like a good starting point until you know your risk tolerance and how much you can afford to gamle.
So would this one be an alright one? Up or down, will this still pay dividends?
VYMI ETF. I have 3k to play with.
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