Investing 102

[96z28ss]

I use a credit card for everything. I don't carry a balance. It's paid off every month. I only use credit cards that give back something.
I used to have a GM card while I worked at Bose. We got the supplier discount plus any incentives plus the GM points I used to get my vehicles at a pretty damn good deal.
Now I use an Alaska Airlines card for everything except for gas. Gas I use a US Airways card, with those two cards I can transfer miles to just about any airline.
I'm flying to the Dominican Republic in January and used my miles only cost me $100.
If your going to use a card get some sort of benefit that you know you'll use.

[GregWeld]

Okay -- SUMMER is OVER on WALL STREET....


Now that the kids are back in school and wall street is back to work -- it will be INTERESTING to see what happens to the market.

[Sieg]

First peak up 111. Looks like Wall Street is glad to see the kids back in school........win win for me too!

[GregWeld]

So... My sister and brother in law came over to our Sun Valley dump after doing a hot rod show in Walla Walla. Cute little town that has re-invented itself as a "wine" and dine area.


She says to me -- "why do I have 10K in cash in my 401 and what should I do with it - is it good to have some cash available?"


The reason for this post is because --- once again --- it shows me how "detached" people seem to be from these kinds of accounts! It's just wrong, wrong, wrong, to be so ambivalent (uncaring) about this most important source of retirement funds!


So we open her account --- and the cash pile is from dividends that have been piling up --- RATHER THAN --- being re-invested! OMG -- She's missed 10K in buying -- and who knows how many quarters of payments that could have been buying more shares which pay more dividends which buy more shares! Just shoot me! This is MY sister! If anyone should know this stuff it's her!

Okay -- so it took a minute or two to find the correct check box (she uses Fidelity) to have all the dividends re-invested from now on.

NEXT UP was the question --- "isn't it good to have some cash available?"



NO NO NO NO NO NO! This is a retirement account -- not a checking account! There is nothing available to someone that isn't the proper retirement age. PERIOD. So then why have cash sitting around not earning anything - dividends or growth or anything. They pay you NOTHING for cash in a 401 type account. UGH!


Okay --- rant over.....

[toy71camaro]

Ouch. thats a hefty little "learning curve" fee.

[toy71camaro]

Have to say, I'm so happy (lucky?) I was shown this thread over here (from Mike/SolarGuy, hope your doin ok buddy).

I was dabbling in the market with my ROTH IRA with a lot of similar values/concepts displayed here, but not with a great deal of understanding. This thread and the help (whether it be questions or answers) from each of you have been a huge plus.

I'm happy to report after a year and a half of my "investing 102" strategy, and about 7 months after finally getting the balls to totally re-do my entire 401k account based on methods learned here, that I'm sitting on a +10% portfolio, PLUS all my dividends. With 30+ years to go, i've got a lot of hills to climb up and down, but, I'm confident I'll make it to retirement a little better off than most my peers due to the help here.

Thanks Guys!

[WSSix]

Good job and congrats, Albert!

[96z28ss]

Best thing to happen to me, from this message board is, this investing thread it really open my eyes, many thanks thanks to Greg Weld, I consider him a good friend.

[GregWeld]

Did I tell you guys that I get 10% commission upon each of your retirement date??


HAHAHAHAHAHA



I'm really glad Trey started this thread.... and I'm seriously happy to impart some of what I've learned over the years..... But no matter who says what --- you need to thank yourselves for DOING AND MAKING CHOICES... and not just doing lip service.

It's funny how we'll research a car part to the ends of the earth -- and then be so haphazard about retirement - which is probably going to last 25 to 30 years AFTER we quit working!

[glassman]

Agreed ^^^^, agreed ^^^, agreed^^, and once again, thank you Mr Weld, cause ya dont have to give a sh.....

I've learned a bunch through this, i've listened to investment talk radio, CNBC and the like, talk radio, and different "financial" planners overr the years and it was all justt over my head, till we can splain it in simple terms.......