I love Real Estate. Acquire as much as I can as often as I can.... commercial, residential, owner-occupied, rental.... but it's all strategic. And timed. I feel way more comfortable and equipped timing the RE market than I do the stock market! (Good luck with that)

I plan to live off RE down the road..... well, and my wife's income. :peepwall:

:D


Nah, Greg likes anything that makes MONEY! :G-Dub:

My thought that comes to mind, "do what you know". You've clearly been very successful in real estate.

Great statement!

In a bull run powering through its 10th year, market timing has become an onerous task. One week stocks are climbing to reflect a stellar pace of earnings growth. The next they’re in the red as yields jump and trade talks with China stall. The cost is less to the wallet than the psyche, after two years of uninterrupted gains.



THIS is such an important part of investing to remember....... you'll get it - the longer you're an investor. That whole "psyche" part -- is the part I've been trying to break down for you all, for the last however many years here.....

What helps the psyche the most??

Remembering that you bought great companies -- with real earnings -- that you like -- that distribute the earnings to you (you are a company owner!) -- with charts that are lower on the left and higher on the right....

Or --- we can go to sleep with?


I paid up huge for "pick a name" -- those SOB's better have a great quarter tomorrow or I'm screwed...

Warren advice
 

Read that book about 15 years ago! Great book... timeless principles.

Never heard of it. I might check it out though.

Good to know the last time you read.

Picture of my idea of success right there. Ha

lol, that's awesome, Dave!

“One of the most shocking things is the low-level financial literacy throughout our culture,” Puritz told the Washington Post. “It’s independent of education. Doctors, MBAs, corporate executives are incredibly competent in everything they do. But when it comes to investing, you run into this cauldron of mostly negative emotions, embarrassment, frustration, guilt. It leads to paralysis.”

Fun Buffett story
 

Good read from a great guy!!
Inside tonite watchin reruns of The Office , season 8, I believe, Buffet interviews for the mgr position....classic. I just wonder who or how that was put together....lol

Well, just rolled my 401k over to an IRA after leaving my previous employer.

Now to figure out what to do with it. Hah. Time to research again. Question, what % would you set aside and "not" invest? So that there is some cash on the sidelines.

Also, I could probably use a bit of help making sure I am diversified. Any help would be appreciated.. Right now, I'm thinking of just adding the same % to my current holding, but concerned I may not be diversified enough...

Current Holdings:
MCD
MO
CVX
ED
GM
HD
KO
KMB
T
ABT
ABBV
PFE
LMT
AFL
BABA
WFC
COST
AMZN
NNN

That list looks FINE Albert!

Do NOT put your IRA/401 funds in the same exact names you hold outside the retirement funds.....


That's not to say you can't pick a couple and double up -- but you really should use the retirement stuff as just an extension of your total.... but continue on the diversity side.

We don't know your age and income and net worth etc ---- and I'm not an advisor --- but since we don't "need" our retirement --- I play more in that account with riskier names --- I don't trade it -- but I hold the NFLX and that kind of stuff in there.... but that's because it's just play money for us --- and others need to think about their total assets -- risk/reward -- age (how long can you go if you need to recover? 10 years?)..... etc.

Thanks Greg!

I did fail to mention those holdings are all in my ROTH. Also, I'm 38, so I still have a few years. ;)

Be more aggressive with 20 or 25% of your portfolio..... Go ahead and take a little risk - you have 30 years before retirement..... and will be retired many years after that.... so look at your investments as "what is this company going to be like 20 years from now?"

That % takes a little more thought --- and little more control of your emotions -- you're looking for growth -- balanced with what you think the company is capable of going forward.

Cool deal. We're the same age Albert. So, yes, what Greg said. I'd get a little more aggressive with part of the portfolio. You can do this by picking the names yourself or put it in a managed account that's more aggressive. Who do you have your Roth with? If one of the big four brokerage houses, they offer more aggressive managed accounts.

The way I diversify is that I only manage a portion of my retirement accounts. I have multiple accounts due to starting my own and having company sponsored accounts. Some I've rolled over but others I just left alone. I let smarter people than me manage those accounts. I choose my stocks in a portion of my Roth and my brokerage account only. My 401ks are professionally managed. I try not to copy the same stocks they use though I know I have some overlap. Don't sweat it too much. You have a good list going. I'm just offering suggestions.

As for savings, I believe the suggestion is to have 6-12 months of income in a readily accessible account. I have mine in an online savings account. It pays better than anything local but it's just a place to park the money should I need it.

I stole this statement from a letter written by the incoming CEO of Chrysler Fiat Ferrari..... about Marchionne - who's health issues have knocked him out of the spot.


I'd changed the word LEADER to FRIEND.... and I hope some of you will live a long life in retirement, and that you continue to come here often and pay it forward for your friends and family.


“The true value of a friend is not measured by what he has gained during his career but rather by what he has given. It is not what you accomplish today, but the legacy you will leave behind.”

A wealthy man once said own your tomorrow, this thread shows you how.
thx for showing the way friend

Yes, thank you

Many times I've raised the issue of "rising FED rates"....


Here's PERHAPS a sign of caution.... and the "cause and affect" of such seemingly simple "things".


Southern California home sales crash, a warning sign to the nation


Sales down almost 12%...... that's a large number if you're a businessman.

to Greg and the other gurus:

What do you all think about low cost Index funds, like VTI and VTSMX?

I was on a Mastermind call last week with top agents with two being in CA. They said the market has cooled off and stayed pretty flat for 5-6 months. The news is looking to trigger emotions. Twelve percent is hardly a crash. This country has been in a robust real estate market for some time now and it has to cool at some point. I do think it's something to pay attention to though! I've now heard the same thing from multiple people. What kills markets? Pessimism, and it spreads like wild fire.

Instead of opening a worthless bank account for my son, I put some of his birthday money into VOO in early 2017. It's up 20.2%.

So I'll put you in the "YESSS!" column haha

It all "depends" ---- and I know that's a big non answer.

Depends on goals - age - what other investments you have.... and it really gets down to -- What you're comfortable with. If you're an investor that buys and forgets.... then index funds work to cover that.

But make sure you actually know what you're buying ---- and remember -- a rising tide floats all boats -- so your index fund will look like a hero in an up market -- but don't expect it to magically save your ass when the market drops -- so will your fund.

I prefer (personally) knowing what I own -- and this is even more important when the market sucks....

I agree with the above, it depends on your goals. I’ve been buying ETFs online, commission free, which is an important distinction if you’re buying small amounts at a time. Like Todd said, instead of putting a couple hundred per week/month/whatever into a savings account, I can buy ETFs a couple shares at a time in my brokerage and there’s no commission to eat into the principal.

sorry, hadnt checked on the thread in a bit, so my reply isnt very timely. At this point, all of my retirement is self managed. 2\3 of it or so is cash that i just rolled out of my previous employers sponsored 401k into my own IRA. its held by sharebuilder/capital one investing, but soon to be all transferred to etrade. which im not too happy about as they appear to be cutting the DRIP option. :( i havent decided yet or done the research for what to invest the ira in.

I'm curious as to what yall think is a decent % of cash to set aside in the Ira/roth for the future purchases if the market goes down, or to invest it all. i do already have a good 9-12 month liquid emergency fun separate from this as well.


what would you all consider "higher risk"?

sorry for poor grammar. typing from a tablet while at my daughters' gymnastics practice. lol

Albert -- holding "CASH" in a retirement account is not a good thing to do..... for a number of reasons -- but it's not "accessible" cash when it's in a retirement account. There would be early withdrawal penalties etc -- and if you ever really need "cash" -- a brokerage will loan you money against your account -- There's many rules and tax items to deal with but you get the drift.

The reason you don't want "cash" in a retirement account is that the account should be considered your more "LONG TERM" account -- it's there to grow before retirement -- and it's there to spin off income etc for long after you retire.

Most of the stock markets gains are on VERY few days.... if you're not invested on those days... you miss the years gains! SO trying to "time the market" with holding cash -- and waiting.... well --- do that with your non retirement accounts if it makes you feel good.

If you don't know where to put the cash - just stick it in the SPY or QQQ or something similar.

Thanks!

so I'm 35, the majority of my IRA is in specific names that I did a ton of research on and I am comfortable with. For the most part I am a buy and hold/forget investor

I recently rolled over a big chunk and it had been sitting for a month or 2 and I didnt want it to just sit, but I dont have enough time to do extensive research, so I figured the index fund would fit my needs at this time

from what I read it seems like alot of people like these index funds, but it kind of goes against everything I've read here

Yea I am not expecting it to be this magic fund that will never go down, just dont want dead money in an interest only position

Sounds like we're in darn near the same boat. Almost same age, and similar situation. All my investments are researched single stocks, except for the large chunk i just rolled into my IRA, and i havent had the time to research anything yet.

I personally like the index fund route after Roth IRA or IRA to Roth Conversion. You beat 96% of the mutual funds out there and it's very low maintenance. Even Buffett states that's what the majority should do. I'd like to pretend I'm going to spend the time watching and researching companies, but it's not reality long term. I think you need to be passionate about it like Greg. There are other things I'd rather be doing with my time.

I'm certainly not saying I'm done buying stocks, I'm just not betting the farm on it either.

AAAAAND just as I bought into VTI Fidelity emails me about FZROX and FZILX

LOL

The zero expense thing? Yeah...I’m sure the expenses on your ETF are nearly nothing, but not quiiiite zero.

True

I didn't read it 100% but it seems like there is no commission to but those ETFs

If so that might be a good position until I can do more research

News
 

Who do you all read/watch for business/trading news

Morningstar?
Motley Fool?(fee based i believe)
CNBC?
Bloomberg?
Seeking Alpha?
Cramer? (Mad Money)

suggestions? experiences with reliability....

My morning routine is to read wsj on my days off at a starbucks -they usually have one or two available - it has been helpful in getting an economic vibe on where things are going and certain companies to pay attention to - has been a great resource for me

I watch CNBC from 6AM to 3 or 4..... it's "on" but it's background noise. If you listened to the talking heads -- you'd sell one minute and be buying the next.... ditto the "papers" and subscription "services".

This is why I have pounded the table to ignore all that noise -- it's trader talk!

Buy what you know -- collect a dividend -- watch it grow over time..... if you own 10 stocks 3 may be winners.... and they'll change places like a good horse race.

Calm down and think longer term.