In order to avoid thread jacking, what should those of us be doing at this time who are in their mid 20s? I’m slowly dollar cost averaging into an index fund. Is there anything else that we should be doing to seize the day?
ditchdigger2CFA Wrote: ------------------------------------------------------- > In order to avoid thread jacking, what should > those of us be doing at this time who are in their > mid 20s? > > I’m slowly dollar cost averaging into an index > fund. Is there anything else that we should be > doing to seize the day? that’s what I’ve been doing. Can’t catch the bottom, ignore MTM losses, buy on day’s Dow is down 200+ points on new lows, and never use leverage.
If compliance was not so strict I would consider taking a short term short position, but due to all the hassle of buying and selling single stocks it is just not worth it. I buy twice a month as a fixed rule and then use discretion like buying on days the Dow tanks. Also I’m laddering CD’s.
ditchdigger2CFA Wrote: ------------------------------------------------------- > If compliance was not so strict I would consider > taking a short term short position, but due to all > the hassle of buying and selling single stocks it > is just not worth it. > Use a discount broker, it’s pretty simple really.
At 22, unless you’re already wealthy, the best investments are your own human capital. If you are wealthy already, then you might make other investments too. Dollar averaging down into an index fund might not be bad, though in this market I might just hold cash until it looks like you have passed the bottom. The worry about cash is 1) possible inflation or even hyperinflation, and 2) the temptation to spend it on frivolous stuff because it’s there.
jpliszka Wrote: ------------------------------------------------------- > ditchdigger2CFA Wrote: > -------------------------------------------------- > ----- > > If compliance was not so strict I would > consider > > taking a short term short position, but due to > all > > the hassle of buying and selling single stocks > it > > is just not worth it. > > > > > Use a discount broker, it’s pretty simple really. Stocks and ETF’s need preapproval for both the purchase and sale from our compliance department. Not only is it a hassle, but also one must hold the security for 60 days which could likely erode the short term gains I was striving for. Likewise a denied request to sell could crush me too. Mutual funds only need monthly disclosure.
GAH! I think I’m just gonna roll over and die. Seriously this is depressing.
Understand and know how to utilize inverse ETF’s to immunize your portoflio.
Glad I’m still really young and stupid. This will be a good lesson at least…painful but good.
Also DCA in a few index funds. Took a few months off in the summer as it looked real grim but started up again this month. It looks as if I am again early…as the above stated…though to time. As for my stock portfolio, it is mostly in high dividend blue chips…paying me 5+% while i wait for an upturn. Might buy a bit more on teh way down as the yield increases…
equity_analyst Wrote: ------------------------------------------------------- > Understand and know how to utilize inverse ETF’s > to immunize your portoflio. My Roth is littered with Vanguard ETF products. My taxable account has a value and bond ETF. However since I get hit with a commission and preclearance for ETF purchses, I only do larger buy ins. I’m far from wealthy, but I still live like a college kid and save as much as possible.
Liquidate your current holdings and convert all of your cash to the Zimbabwe Dollar.