Financial Advice
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- nb1
The inverted Yield Curve is making its way to the banks. These are current CD rates at Capital One. You get a lower interest rate if you commit your money for a longer period of time. Fascinating.
So what do we do with this information?
- Seems to me the smart move is buying the 12-month and hoping the trend is wrong. But, that feels really naive.nb
- 12mutopian
- hmm, this is expected.no? capOne caps around 2.4% for 5Yplash
- wtf? usually it's the longer terms that give better yields, no?monospaced
- ^ Yes, when the economy is growing and rates are rising. Rates are now falling, and banks expect them to be even lower in 3 years, so they factor that in.monNom
- This is actually based on the price of bonds and insurance in the marketplace, as opposed to the banks just predicting the future.monNom
- Uh, maybe Google Inverted Yeild Curve before commentingnb
- But yeah.nb
- Possibly lower or even negative interest rates in the future! Or, is this Yield Curve more about uncertainty than predictionnb
- this is so weird ...monospaced
- Buy bonds, and hold on to your butts.sarahfailin
- Why do people do CD's? Outside of 08' my worst year passively investing in etf's has been 6%. I roped in 12% last year doing nothing.section_014
- section_014, generally as a hedge. If youve been investing in ETFs for less than 10 years you might be in for a rude awakening soonnb
- Oh outside of 08. So, how long before 08 were you doing ETFs?nb
- It will be negative for sure. All personally wealth will be stripped from citizens.Hayoth
- Who buy CDs! MP3 BABYYYY!Bennn
- I started in 07 (was too poor before). It was mostly mutual funds. I never sold anything when the market crashed either. Those funds eventually rebounded.section_014
- I'm not gonna sell if it crashes again, either. I'll buy like a mofo when it looks like the bottom.section_014
- Lol hayoth do you actually invest that way? Based on your insane political views?nb
- do people invest in thinking things rebound for no fundamental reason NB? whichdeathboy
- seems more crazy?deathboy
- cannonball19783
I am earning an MBA and in the middle of a finance course. My advice if you are investing is to do your own money management and to not play the stock market unless you know how to correlate a balance sheet and cashflow statement with stuff happening in the real world.
Thank strategically about long term, medium yield, long maturity investments like your 401k, muni bonds, etc.
Eliminate debt and never go into it again.
Develop a tax strategy.
Don't give your money to anyone who doesn't fear you.
- (hand clap of approval)shapesalad
- Dave Ramsey gives a great plan to foloow with these ideals.capn_ron
- Debt is not always a bad thing. Over-leveraged is the danger.formed
- HijoDMaite2
On average we are all about 20 to 25 years away from retirement age.For those that have had a 401k account through employer, have you considered switching to a more aggressive plan? I've been on a "2040" Plan (meaning set to retire at year 2040). If I switch to a "2060" plan it would be a lot more aggressive and then become conservative when I get closer to retirement.
- Jesus that is depressing.
2040 plan. its like 2020 in 2 years.
I feel so fucking oldautoflavour - Did a 401K for almost 17 years, now switching to a Roth IRA which is better for upcoming tuitions (12 years from now)stoplying
- Do you really think the planet will be livable in 2060? Even 2040 seems like a stretch. In 20 years there will be no agriculture left. I wouldn't worry too muchnuggler
- nuggler, ever heard of technology?HijoDMaite
- Jesus that is depressing.
- pinkfloyd0
Put it all in apple. iWatch baby.
- Are you channeling mono?utopian
- It's like you're reading my mindpinkfloyd
- I do love the apple brand, just to be clearpinkfloyd
- LOL u guise.monospaced
- i can feel the lovemoldero
- Put it into Apple after the iWatch fails, the stock drops, and they eventually revolutionize the car industry somehow. That's what I'm planning to do.mg33
- Is the Apple Watch going to fail? If it makes them profit is it a fail, or is fail dependent on internet opinions from QBN?monospaced
- clearly, it's soley based on QBN and the rhetoric we spew. DUH!lvl_13
- Continuity2
So, I'm getting in to this veeeeeery late in the game (I'm 46), but I'm going to start investing. Initially, I have to start small because funds are tight.
What's everyone's take on these robo-adviser thingies? Good thing, or not so much?
- What is a "robo-adviser" thing? Read and learn. Put into an S&P 500 fund until you have at least $10k in it, then look at individual stocks.formed
- Your money, know where and why it's going somewhere. No one else, not even a robot, will care about it like you do.formed
- You can get free financial advice at any of your banking or other financial institutions. Start with a brokerage and talk to them.monospaced
- Mono and formed are right, but to answer your question, to get you toes into investing, ETF’s can be pretty good to start off with.ben_
- You can pick a risk level and get to know the companies in the portfolio if you like, and then watch your shekels multiply or fly away.ben_
- At your age you shouldn’t explore in the dark. You’re so late to this you need a kick start and you need to talk to a financial advisor wherever you keep your $monospaced
- Lay it all on the line, talk to them about goals, and they will make your plan. Even advise you on investing but there’s so much more beyond that you are missinmonospaced
- capn_ron2
- is this legit or posting because of the funny book cover lolstudderine
- I think it is a funny book cover, but I am also following the steps and I am finding that my finances are the best they have ever been.capn_ron
- I have the book if you want to give it a read. I highly recommend it.capn_ron
- yeah, man. i need to be an adult and shit ha!studderine
- Going to see if there's an audio book. Had an interview with Dave's company years back, it was intense.bklyndroobeki
- notype0
- Anyone know about Mutual funds? Better to invest 1K there?notype
- Most will require 2500 to start, I believe (at least the ones I own). Look into ETF's.formed
- Good return formed?notype
- some have good returns faster than others, but most are designed for steady, long-term returnsmonospaced
- LON:FRCL - 150 years of paying out dividends, SP continuously going up. Reinvest dividends. Forget about it for 20 years. Compound interest = win.shapesalad
- dividends ≠ interestmonospaced
- still don't know much about this stuff 5 months laternotype
- Revisiting this. Learned so much over the course of 1 year. Thanks all.notype
- monNom1
That's common. You hardly touch the principle in the early years of paying it off. If you want to know how much it costs a year just for the interest. Just multiply your principle (loan amount), by your interest rate.
For example. 100k would cost you. $100,000 x 0.0375 = $3,750/year or $312.5/mo.
Even if you are paying $500/mo. That's only $188 off of 100k. So it's not going to move much at first, but eventually it gets smaller and more of your payment goes toward the principle.
It's a curve rather than linear so the later years you're paying much more into principle than interest.
- Yeah. The balance ultimately shifts toward the principal but it takes sooooo long. Keep up with the big payments if you can. It does help.monospaced
- https://www.finder.c…Gnash
- ^
http://blog.sbequiti…monNom
- 20021
Hire a pro when markets are down. When markets are up (like right now), ride it up on your own.
- <monospaced
- Yeah, positioning for a downturn is a more difficult strategy (at least for me)formed
- focus on fixed income when things are heading downward.2002
- mekk0
A portfiolio with
- 10 biggest tech firms, like google/apple/ms/amazon
- 10 biggest war firms like raytheon/h&k/halliburton/lockhee...
- 10 biggest media firms like news corp/sky etc.
- 10 biggest food firms like nestle/monsanto etcI have portfolios like these running since 2007 and they've made 200% risings. all of them. Of around 50 firms only 4 or 5 lost money.
- Selling your soul and destroying the world. priceless...yurimon
- http://s3.amazonaws.…yurimon
- how is the oil in your car brought home?mekk
- I'd add in some healthcare and maybe some dividend players. But making your own mutual fund, of sorts, is a good way to diversifyformed
- yurimon, you are one confused kidmonospaced
- We all contribute to the it. not saying I'm special. I'm trying. this is so embedded in society its very hard but possible to change. matter of effort timeyurimon
- Just think about it, baby steps.yurimon
- Mono, do you know what these companies are doing to the environment, lobbying, quality of life on this planet? you want to sacrifice people for some $.yurimon
- do I give a fuck?monospaced
- I mean, I get it, you won't invest because you won't support these companies, so kindly fuck off from the thread.monospaced
- obviously you have problems with care, so I dont take it seriously.yurimon
- obviously you have problems with investing, and nothing to add, so go away pleasemonospaced
- nah. I think real estate rental property is best. You could do what ever you want. Its not investing you are doing by the way.yurimon
- Good for you, and good luck with your rental properties. You own some, I assume? Also, I am investing, by the way.monospaced
- Maybe you are, unconscionably perhaps.yurimon
- Projectile2
I just invested €7k in solar.
The returns on putting solar panels on your roof are about 5x that of any savings ISA interest rate
- on any type of investment into the pv sector check this first:
https://www.nrel.gov…sted - make sure that your investment isn't going into an obsolete tech. (organic and perovskite is the future) perovskite grew an average +10% in the past few months.sted
- on any type of investment into the pv sector check this first:
- shapesalad2
This week starts with markets down due to Coronavirus - anything the affects China, affects a tonne of big fish that feed on the smaller fish that come out of China. Fish meaning parts, goods, small bits and bobs that you can only get from China for your manufacturing, clothing etc etc.
And the week ends on Brexit officially starting.
Hopefully you have your cash ready to snap up some bargain investments.
- but have you read the reports that the Pacific is getting more acidic and that will heavily impact phishing so basically less food worldwide...yeah, that toografician
- so who tf still cares about brexit when in 10 years we can lose the Pacificgrafician
- in the future, only countries that will count will be the ones still exporting food or energygrafician
- shapesalad0
Anyone else in the UK starting to move their money out of £'s?
I'm also starting to sell off UK stocks I hold and buy into Swiss / Euro / Singaporean / Gold based Funds/ETF's. Even the Vietnamese FTSE looks safer than the London FTSE.
Might even try some crypto's once bitcoin drops to around $3000.
- Not that I've got any significant amount of life savings... but feels pretty stupid to keep what little I have in £'sshapesalad
- Just be aware that if you want to liquidate those stocks it may be far more expensive when we're outside the EU as we won't have reciprocal deals in place.Morning_star
- ^ exactly. It's all going to be a mess. Anyway, hopefully the price will be offset by the stability and less then a loss keeping it all in £'sshapesalad
- If you need to buy things in pounds, that's where you should keep savings. Invest in foreign etf sure, but for savings you get double charged on the conversionmonNom
- matski0
If peeps start to move money out of the UK, then obviously the value of the £ will drop and alongside brixit (if/when it happens), then the national interest rate will increase, meaning everyone with a Tracker mortgage or akin will start paying a lot more each month.
However, on the upside, a higher interest rate will mean better rates for savers (like myself), so everyone take ya money out of the UK, and do me a solid.
- Why would your mortgage rate be better for you? If it goes up, it goes up for everyone. Most long term mortgages are going to have rates locked in.formed
- (locked in at current rates). You'll be the one paying the new, higher rates, if I am following you correctly. Sorry.formed
- I don't have a mortgage. I have savings, so increase in interest rates will benefit me.matski
- Put your savings into foreign currency now, then after brexit change back to £ - instantly gaining +30% interest when the £ falls...shapesalad
- Nice idea shapesalad, sadly I cannot withdraw my savings, as they are in a fixed scheme.matski
- ^ Replying to your original question (above post). Buying into gold is always a safe bet.matski
- bklyndroobeki1
- this is my life right now. Went all in with the plan and should be debt free by the end of the year. Makes way more sense to me than anything else.capn_ron
- capn_ron I haven't invested in any of his products. I'm doing OK but which would you recommend? Everything is pretty good, almost done w student loanbklyndroobeki
- Tho no real plan and I need itbklyndroobeki
- The Total Money Makeover is the book where he explains his plan. 7 Baby steps he calls them. I've never felt so in control of my finances.capn_ron
- The biggest takeaway is having a monthly budget. And adjusting it accordingly each month. But the baby steps are super easy to understand. I'm on #2.capn_ron
- Why can't 2 and 3 go hand in hand I wonder...bklyndroobeki
- pinkfloyd0
I heard the market is crashing sometime next year?
- Oh yeah. Got a link to Forbes or something?studderine
- Heard it from a coworker who also said the CEO is making preparations for it next year.pinkfloyd
- Damn. Wish there was more concrete evidence (I just started searching the web).studderine
- lol at this 3 years latersarahfailin
- martinadolfsson0
I'm curious if anyone had experience working with a non-fee financial advisor?
Is it worth the high fees?- I lost a lot of money because my "financial advisor" sold me life insurance as an investment. Why? Commision.studderine
- Sorry to hear thatmartinadolfsson
- Long story short: hire someone who doesn't work for the big mutual fund companies. Fee-based.studderine
- It's an old model - selling policies for percentages. I am not sure how they find enough business, honestly.formed
- kona3
My financial advice to you is this...
You're sitting on a gold mine.
Think about it.
(butt porn)
- utopian0
I have gotten strong returns year after year on my 401k plan through www.fidelity.com even through the Bush recession.