I am constantly giving the actionable advice to never hold stock in your employer beyond what you are required to, for exactly this reason.
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Thanks, that is a good one and I agree with you. I participate in my company’s stock plan because it has a match, but as soon as it vests I roll it over to a personal account and buy indices.
From habit I look at the Dow for a quick proxy of how the market is doing. Hardly anyone is investing in a Dow index. I think you were seeing people using it as a proxy and have made an argument that people should invest in a broader index? Nobody disagrees. How is this argument polluting two threads?
I moved it here as it has nothing to do with the virus.
Perhaps I am too biased by this podcast
Yeah its prolly better to look at S&P 500. But as Keeed mentioned, Dow is close enough for a proxy. For me its habit. But my equity investments are all broadly diversified even if I do happen to check the Dow as a proxy.
Makes sense which is why I said we were not having some knock down drag out fight with wildly diverging opinion but rather a technical discussion where we agreed in principal on 98% of it.
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I’d do it but we’re more or less busto since we have a stack of medical bills from having a kid a year ago. Using leverage and life cycle investing is fascinating but in my instance I don’t have time or means to implement it at this point. The concept of temporal allocation and trying to have a fixed allocation based upon future earnings potential is very interesting in theory.
This is very true as well. I think it’s just interesting to consider both sides of the argument. In the long run investing consistently and sticking with a plan is much more important than these small nuances of taxation. Their impact should be minimal for most people.
I remember '87. Now that was a crash.
Been fully invested the whole time. I don’t think I’ve ever gone over 5% cash. Mostly used dips to re-allocate what’s cheap vs expensive.
Keep emergency cash liquid, future cash all in. Remember, you own the same today as yesterday.
Here we go. Last half hour push for 26K
'87 I was in college. Dad gives me a call around dinner time to let me know everything is ok, my college money is fine. I’m like, what? Turn on the evening news. Got my financial education that year. Lots of lessons about the '70s and how a stock market can be flat for a decade+. I don’t think people today (outside Japan) can understand that.
oof another 1k Dow day and S&P under 3k
And there we have it. Broken 26K, another 4% loss
Jesus. It fell off a cliff in the last 5 minutes. Now down 1150 and 4.25 percent
Now 1200 and 4.5 to end the day. Got damn.
At least my hedge stock - DGX is up.
Mike Pounce will lead the charge to 25000
What odds can I get on 20K by March 31?
Trump’s going to unleash a barrage of tweets blaming the Dems and MSM for the stock market drop.
Let him. I dont think that is going to reverse this course. It may actually make it worse