Investment Thread

[phade]

If I missed the new one here, merge them or close this. Last one was pretty good.

Anyone take advantage of the bank dip? I bought into a few regional bank positions this week. Already floating 15-20% jump from the panic selling. Once the banks were backed, it should effectively halt runs and liquidity issues in the short term. I bought KEY and CFG. I also bought one share of First Republic because I didn’t have the guts lol. Damn. I’m at $22 a share on that one and it’s sitting mid 40s right now. Argh. 

Probably the clearest and best action I’ve seen in a while. Been quiet on good buys lately. I’m probably going to get out at some point today and take the gains and run with the CPI report coming.

Edited March 14, 2023 by phade

[Belo]

I'm still on the papist investing plan after losing thousands to Biz's PENN recommendations.

Nothing but canned goods and ammo over here!

[2BuckBizCT]

I still buy VOO & QQQ on the 15th and 30th of each month. Then more with tax refund and xmas bonus.

[nywaw]

Since I can't track the market daily, certainly won't ever get in/out fast enough, and certainly wouldn't outperform the S&P 500, I put my money in low ER S&P 500 based mutual funds (VFIAX, FXAIX, VIIIX) similar to @2BuckBizCT's VOO (ETF version).

I toy around with a little crypto but nothing meaningful.

[Robhuntandfish]

With the interest rates still rising, inflation too high and banks failing, a coffee can looks pretty good right now although each dollar is worth less no matter where you stick it so might as well try to gain something on it. I think this is why the market is still doing well as the value of the dollar plummets might as well invest it somewhere to try to offset that some.

Not liking the continued rise on interest rates while the banks are still running on past low interest rates for their income while the fed rate to them is so high.  Banks being underwater is never a good sign.  The concern isnt there was a run on the banks for cash, it's how many are there underwater now?  

Yup they are then backed by the feds who just print more money to cover it which continues to fuel inflation and yet never reduce spending. Bad combination. 

 

[nywaw]

Inflation is brutal and these bank failures equally so.  However market wise, IMO based on my target retirement age, the lower it goes the better because it means more shares I can buy over time.  Eventually it will bounce back (it always does) and your portfolio will have more shares than it otherwise would have without the market going down.  So that is the positive side to it.  For older generations and likely my plan down the road would be to shift to something less volatile (at least in part) to insulate from market dumps.  Might not make as much, but the goal at that stage in life is to be able to live life and afford the bills, not take financial risks and try to build wealth.

[phade]

11 minutes ago, Robhuntandfish said:

With the interest rates still rising, inflation too high and banks failing, a coffee can looks pretty good right now although each dollar is worth less no matter where you stick it so might as well try to gain something on it. I think this is why the market is still doing well as the value of the dollar plummets might as well invest it somewhere to try to offset that some.

Not liking the continued rise on interest rates while the banks are still running on past low interest rates for their income while the fed rate to them is so high.  Banks being underwater is never a good sign.  The concern isnt there was a run on the banks for cash, it's how many are there underwater now?  

Yup they are then backed by the feds who just print more money to cover it which continues to fuel inflation and yet never reduce spending. Bad combination. 

 

The interest rate increase sucks. It’s really put a damper on my property search. I can cash buy but having cash on hand at times is good for investing long term and obviously soaking up what interest you can draw to reduce the inflation impact for the time being. My loan officer is licking at the chops. I shot him an email last week and his reply in capital letters was WE STILL LOVE YOU! 

Tell me that doesn’t give the impression of a wolf licking his chops at the $ opp. If only I could find the right parcel.

The bank thing is pretty interesting because it seems like once or twice a year there is a no brained short term gain under the buy the rumor sell the news category. There was a run on SVB and First Republic. The Fed backing - despite saying no bailout - essentially halted the realistic need for a run which was happening from companies and not individuals. Companies were pulling money from regionals and moving it to the big dogs. Once the Fed said, we got you…don’t worry, that was effectively done. The market kept selling off hours. I got in early Monday AM and all the banks recovered from those lows as people realized as the day went on. I don’t know if there is a full recovery but I’m not sticking around to find out. Peace. I’ll take my 20ish percent and buy an XL Dunkin today to celebrate lol.

[2BuckBizCT]

5 hours ago, Robhuntandfish said:

With the interest rates still rising, inflation too high and banks failing, a coffee can looks pretty good right now although each dollar is worth less no matter where you stick it so might as well try to gain something on it. I think this is why the market is still doing well as the value of the dollar plummets might as well invest it somewhere to try to offset that some.

Not liking the continued rise on interest rates while the banks are still running on past low interest rates for their income while the fed rate to them is so high.  Banks being underwater is never a good sign.  The concern isnt there was a run on the banks for cash, it's how many are there underwater now?  

Yup they are then backed by the feds who just print more money to cover it which continues to fuel inflation and yet never reduce spending. Bad combination. 

 

coffee can would be the worst possible thing you can do. you fall farther behind. If you can't risk losing or don't want to losing you can just do a CD and get 5%. that's guaranteed and better than 0%.  

[Robhuntandfish]

20 minutes ago, 2BuckBizCT said:

coffee can would be the worst possible thing you can do. you fall farther behind. If you can't risk losing or don't want to losing you can just do a CD and get 5%. that's guaranteed and better than 0%.  

Can't do a CD with a 401k.  But yes I agree.  I've got it in a fairly low risk group.  Too close to retirement and with the uncertainty it helps me sleep at night 

[2BuckBizCT]

4 minutes ago, Robhuntandfish said:

Can't do a CD with a 401k.  But yes I agree.  I've got it in a fairly low risk group.  Too close to retirement and with the uncertainty it helps me sleep at night 

Oh yea a 401K you only have whatever options they offer you. 

[9jNYstarkOH]

Bank collapse quote? 

[Nomad]

7 hours ago, Belo said:

I'm still on the papist investing plan after losing thousands to Biz's PENN recommendations.

Nothing but canned goods and ammo over here!

I’m fine with hard assets , bought generators , thousands of rounds of ammo , canners, vacuum sealers, lots and lots of food. Been buying American gold Eagles, mostly one oz coins but some fractional too . Constitution silver as well .
 

My main investments still are bonds, equities, I bills , and of course our farm land . Sitting here on Lido beach Sarasota for about two months then taking a week cruise in the Caribbean . Idk I feel I did ok .

Longterm time horizon, index funds, don’t try to time the market , oh and my nephew who owns  a hedge fund,private equity co. and triples investors money in three years helped a bit lol . Subject to the 2 /20% rule which is fine . I’m on my second round . He pretty much works with a core group of billionaire investors, but some times uncle Lar can get in .

flew our daughter and son in law down, kayaking the mangroves today ,

Fat, dumb and happy wins again ! 

[Nomad]

8 hours ago, 2BuckBizCT said:

I still buy VOO & QQQ on the 15th and 30th of each month. Then more with tax refund and xmas bonus.

Tax refund ? Haven’t had one years upon years ,cpa will issue payment to gov. 3/31 .

[Nomad]

My high school friend and advisor on some of our money and our daughters , on the bank thing .

 

https://13wham.com/news/local/financial-expert-addresses-local-concerns-over-historic-bank-failures

[2BuckBizCT]

2 hours ago, Nomad said:

Tax refund ? Haven’t had one years upon years ,cpa will issue payment to gov. 3/31 .

I know it's a free loan to the govt. and I need to adjust. I've always claimed 0 and then had a kid and didn't adjust it to see what would happen, and then moved from NY to CT (but still work in NY) and wasn't sure how that would work out so again didn't adjust and carried 2 houses for a few months. I got back $26K and $17K the last 2 years. I need to get it closer to $0.

Edited March 14, 2023 by 2BuckBizCT