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I would devour Donald Trump if it means side-stepping the learning process. - Portrait of a Young Man as The Artist — LiveJournal
I would devour Donald Trump if it means side-stepping the learning process.
All this investment research is breaking my brain. (Yes, I'm working too).
Drips and drops and indices and funds and bonds and munis. 8% return minus inflation, padded with I Bonds and stocks....
It makes me want to drop it all in the S&P 500 and forget about it. Though a few (like 2) well chosen stocks would be good too. Blah.

Did you know that you're not planning your finances right? At all? Apparently neither was I, even though I'm debt free and have some money relaxing in a savings account. No no no.... stick that into a check-writable mutual account, not a fund, and get a slightly better return than saving. Meanwhile, drop as much as possible into short term investments - short equals 5 years (that's more than 20% of my life, people) - so you can pull them out when you need them. But don't forget your cushion cash and money when you retire. When are you retiring? As little as 1% change in contributions will result in hundreds of thousands of dollars down the line! In 30 years! HI. I don't know how to think in terms of "thirty years from now!"

Want something in two years? Can't do it with a useful return.
What about a few months? Might as well stuff it in a mattress

I don't make enough money to save for retirement, a house, car repair, the new computer I desire and new lenses for my camera. I'd need like twice my salary to do that in a safe way.
Either my interpretation of the reading is wrong or the normal audience for these investment sites is ten years older than me (and they've all had consistent and reliable increases in salary). These sites laugh at my chump change would-be investment capital.

Mutha fuckin' OY!

Current Mood: distressed discombobulated

7 comments or Leave a comment
lady_fox From: lady_fox Date: November 1st, 2006 08:45 pm (UTC) (Link)
Go for a fund with a higher return. Or stocks with a higher return. Mar is all big on the covered calls. Talk to a financial advisor.

*hug* we'll be fine. :) YOU'LL be fine.
abmann From: abmann Date: November 1st, 2006 08:59 pm (UTC) (Link)
There's nothing short term that offers a "big" return. Most I can see is 5 or 6%, maybe, in short term but they seem to preclude adding money as you go. Nothing that will allow me to drop money in over time performs close to that.

Now, stocks could do that potentially but short term stock investing is not smart as the market is volatile. There's no garauntee that I could find a stock that will do well enough that it wil be ahead whn I'd want the money in two or three years.
lady_fox From: lady_fox Date: November 1st, 2006 09:00 pm (UTC) (Link)
Have you checked morningstar? Look for STOCK mutual funds... they tend to perform better.
abmann From: abmann Date: November 1st, 2006 09:08 pm (UTC) (Link)
Mutual funds perform less well than the market average because of fees and commissions to the fund manager. Index funds may be a better bet but I'm not sure they do a short term thing.
abmann From: abmann Date: November 1st, 2006 09:19 pm (UTC) (Link)
Info on short term savings:
phoenix_snake From: phoenix_snake Date: November 1st, 2006 09:43 pm (UTC) (Link)
The man who taught my class last weekend was smart, got his MA in finance, and knew a buch
about investing and such. I told him that in order to make full use of my degree I need a masters, and
figured getting a masters in making money would be cool.

I asked him waht masters programs taught the sort of stuff we were learning about in class,
and he said a financial education from an institution was mostly math. He said he learned
all of what he knows and taught the class he had learned from trial and error, and getting
helped by people who allready know quite a lot.

So, don't dispair. If everyone knew how to make the best use of their money, do you think
most Americans would be in Debt? If everyone knew how to invest in ways that were right
for them AT ALL, do you think americans would be so freaked out about taxes?

Americans are very financally ignorant, and the establishments that exist to 'help' people
learn about their finances thrive on that ignorance. So don't dispair that it is a bit
hard to find out stuff. I guarntee that most people don't know how to make their money work
for them. See what accounting classes or other financial classes exist in your
neighborhood such learning could never go wrong, and it will help connect you with people
who know how to deal with money. (The teachers, NOT the students :-) )

I wish you luck. I am more than willing and happy to talk with you about this. It will be
fun, and everyone will enjoy it.

nathan_lounge From: nathan_lounge Date: November 2nd, 2006 05:25 pm (UTC) (Link)
Why do you let faceless intraweb sites destroy your selfesteem?

Investing is easy. It's like a slide whistle. The more you pull out, the higher the pitch of your bank account.

There are only two real decisions you need to make: 1) What percentage of growth of personal assets makes you happy? and 2) How long you can commit personal assests over time? After that, just find the relative return-for-time-investment that meets your needs and you're set.

And if you're beating your head about it, sell all your worldly possessions, take all your money, and invest in junk bonds. Lots of them. Hundreds of thousands of them. Then you'll be A#1WINAR.

Wasn't that easy?
7 comments or Leave a comment