I'm sorry to hear this.Originally Posted by Jason
The ... upside, i suppose(?) to all this is that now is good, though risky, time to invest in some stocks and funds. You've a long way to go before retiring so you should make out ok.
I'm sorry to hear this.
The ... upside, i suppose(?) to all this is that now is good, though risky, time to invest in some stocks and funds. You've a long way to go before retiring so you should make out ok.
This actually good advice. Don't fret about your daily balance. Be more concerned with your three month trend.It’ll bounce back eventually, just stop looking at it!
Remember, you haven't lost "actual money" until you cash out and realise less than you put in.
I'm lucky that my average cost of company stock is in the $9Xs while it's current price is in the $28Xs.
It’s less about me being worried about the money right now, and more worried about losing on compound interest. For example, losing 25k over the last month or so turns into having 100k+ less at retirement age. (Roughly speaking according to projection calculators)It’ll bounce back eventually, just stop looking at it!
So for someone on the edge of being “on track” like me, it’s very important to make sure I get more money into my retirement account ASAP so I’m not scrambling later, or unable to retire at an age I’d like.
Yeah, we've got 2 faculty members that I know well who were planning on retiring at the end of the 2020 fall semester - I doubt that's happening now for either of them. Fortunately, neither has actually announced their intentions to the university or even the rest of the department, so they can keep on working until their accounts recover.
-Formerly Stabulator
Don’t count on anything in the future to work out. Expect the worst so you are prepped for a horrible future. However, OTOH, you can also hope for the best because stock market has historically being going up about 10% annually on average. So you can realistically use 10% as your compound interest.
So every year if you 401k returned more than 10%, thank your lucky stars! If less, don’t fret too much because you’ll end up buying more shares that year and that will help your overall fund balance to bounce back more quickly as market recovers.
As long as you don’t sell, nothing is final. Don’t be so happy to see your account balance balloon and likewise don’t get so depressed to see it take a dump. Just let it ride with the market.
At the moment, I’m also a bit concerned with the housing market. We had planned to move to Seattle and to pull out equity to pay the down payment on the house in Seattle and then rent out our existing home... but now everything is up in the air... we’re about to close escrow on our cash out loan... if we don’t end up moving, then perhaps we can dump some of the equity money into the market...
Anyway, it’s times like these that’ll make the rich even richer and the poor even poorer. Manage your wealth wisely...
Anyone see the image of Jim Cramer with the footer talking about the best day for the stock market ever, while the chyron read that 16 million people filed for unemployment?
If ever there was a clearer single image that showed that the economy is NOT the stock market, I can't think of it.
Our stock finally took a dive for about two weeks. It's almost recovered. Again. Next month's YoY numbers will be really interesting.
The markets crashed hard before NY had it's first CoViD fatality. This little bit of a rebound just means there's more hope now among the investors.
Stock market is one of those things that are predictably irrational!
If history could be used to predict bull/bear markets, it will likely crash again.
Historically, bullish markets rarely go up more than a few % daily. Bear markets tend to have bigger swings. We are experiencing huge swings and economy is shutdown with lots of uncertainties... no way this irrational bubble is sustainable unless we came up with a vaccine unexpectedly...
Right. But those "investors" are rich people. Our 401Ks, IRAs and brokerage accounts are peanuts in comparison to the idle rich. We (all) contribute mere billions to Wall St versus the trillions they control on it.
Posting Permissions
Reply With Quote