The Stock Market, Investments, and Investing Thread
#5
(06-02-2019, 09:12 PM)coffeedrinker Wrote: I have only been investing for 3 years but for me, passive investing has had the best reward to effort ratio.

This is exactly why I no longer actively trade. I'd rather chill with WSJ Weekend than actually think about it every day. I'm not convinced that if I did outperform, that it'd be by enough to justify the stress.

I do have some buy-and-hold "future technology" investments in my taxable accounts that I grab when I see a deal, and the exit strategy for those is probably for Lockheed to buy them out and turn them into space-based superweapons or something equally ridiculous. For that kind of speculation, I like things that have obvious "dual use" applications, both guns and butter, like EKSO. If I lose, I have a nice tax write-off against my personal income, and if I win and take a capital gains hit in some future year, I'll wipe my tears with the money.

Other than that, I have all my tax-sheltered long-term money in a low-fee four fund portfolio: bonds, total U.S., total developed international, and total emerging international. My only major market timing hypothesis is that U.S. returns vs. ROW returns are very cyclical, and that we've had a long cycle of high U.S. returns, so a heavier international allocation is a reasonable choice. I do occassionally make large defensive adjustments when there's a very sudden and very obvious risk, I went from 20% to 60% bonds in September 2018 and turned out to be right. I could have just as easily been wrong and missed out on some gains, but I was glad I did it and moved back to my regular AA immediately after the New Year once everybody's 2018 tax-positioning would be off the books.

Otherwise, the single most important thing is to keep stacking cash. Time in the market always beats timing the market.
Reply


Messages In This Thread
RE: The Stock Market, Investments, and Investing Thread - by Jetset - 06-03-2019, 01:19 PM

Forum Jump:


Users browsing this thread: 1 Guest(s)