The FAL Files  

Go Back   The FAL Files > News & Political Discussion > Economics & Investing

Notices

Reply
 
Thread Tools Display Modes
Old October 06, 2018, 15:30   #1
kychas
Registered
 
FALaholic #: 9429
Join Date: Feb 2003
Location: west ky
Posts: 160
I Heavy into bonds in my 401K, what to move to?

I have a lot of bonds, what to move it to.
I still think the dept load is still too much but things are better than two years ago, but I am hearing things could go bad for bonds, what would be a strategy to move into?
kychas is offline   Reply With Quote
Old October 06, 2018, 15:35   #2
meltblown
Registered
Bronze Contributor
 
FALaholic #: 34604
Join Date: Feb 2008
Location: SA Tx
Posts: 13,135
How old? What’s your return, risk you want to take on? Getting in on the top of a bull market will take some consideration
__________________
Pain is inevitable, suffering is optional.

Expect the worst, and you'll never be disappointed.

Before trying to beat the odds, make sure you can survive the odds beating you.
meltblown is online now   Reply With Quote
Old October 07, 2018, 06:36   #3
bubbagump
Stand-Up Philosopher
Silver Contributor
 
bubbagump's Avatar
 
FALaholic #: 21705
Join Date: Nov 2006
Location: Marietta, Georgia
Posts: 9,689
Quote:
Originally Posted by kychas View Post
I have a lot of bonds, what to move it to.
I still think the dept load is still too much but things are better than two years ago, but I am hearing things could go bad for bonds, what would be a strategy to move into?
Melt is right, getting in the middle of a bull market is a tough call. It really depends on what your horizon is, if you are a buy-and-hold for 5+ years I'd be looking at index funds on the S&P, anything less than that I'd be moving to cash and wait for a buying opportunity. We're gonna have one, especially if the midterms go badly.

Bonds are funny. Conventional wisdom is that debt load is bad for bonds and they're probably right about that. The real metric of course is interest rates, most folks (myself included) would have expected them to be higher by now. Frankly I don't see how they can not go up but I ain't a bond guy. My take is you're probably OK hanging on to some short term stuff but I'd be getting out of any long term committments to the bond market too. Personally I've never owned much in the way of bonds and my portfolio is happy for it.
__________________
Urban free range hippies are pushovers. Especially with a D-9 Cat. -L. Haney
If God wanted us to carry Glocks, John Browning would have invented them. -shooter_37
bubbagump is online now   Reply With Quote
Old October 07, 2018, 15:34   #4
Mebsuta
Khemi, Stygia
Contributor
 
Mebsuta's Avatar
 
FALaholic #: 4143
Join Date: Sep 2001
Location: Khemi, Stygia
Posts: 10,262
Mark Cuban and Warren Buffay both say cheap S&P 500 index funds.

If the market goes down, and you stay with it and keep investing, you'll be buying more shares when they are low, which will work in your favor when they go back up.

I'm not telling anybody to do that. That's just what I read.
__________________
Hai
Mebsuta is offline   Reply With Quote
Old October 07, 2018, 16:18   #5
meltblown
Registered
Bronze Contributor
 
FALaholic #: 34604
Join Date: Feb 2008
Location: SA Tx
Posts: 13,135
I could see your side Mebs if he maybe transferred say 25% of his portfolio a year till he got the balance right. I have the opposite of his problem. The problem with bonds now is the rate just keeps up with inflation
__________________
Pain is inevitable, suffering is optional.

Expect the worst, and you'll never be disappointed.

Before trying to beat the odds, make sure you can survive the odds beating you.
meltblown is online now   Reply With Quote
Old October 08, 2018, 18:19   #6
nvcdl
Registered
 
FALaholic #: 1312
Join Date: Oct 2000
Location: Northern Virginia
Posts: 1,439
I'd wait until the stock market goes through a correction before I'd move any money into it.

Last edited by nvcdl; October 08, 2018 at 19:25.
nvcdl is online now   Reply With Quote
Old October 08, 2018, 20:52   #7
Bama Steve
Registered
 
FALaholic #: 1982
Join Date: Jan 2001
Location: Where I am
Posts: 5,405
At the top of a market, or so I am told (yet I don't much listen, because I am old).
Is to get into cash and wait for a crash
Then buy undervalued stocks then sit on your ass
For years and years you wait for a gain
And then once you spot it, do it again.
We 'invest' in the market not for pleasure or pain
But to secure our future but it is all so in vein
for the market is controlled by those we know not
and this Ponzi scheme requires that someone gets shot
Will it be you or will it be, I?
I'd like to retire, before I die
And leave to my brother(s) that which I had saved
And toss my ashes on ground loved instead of a grave.

Bama Steve.

__________________
Being dyslexic has a bright side - it's easy to put things back together
Bama Steve is offline   Reply With Quote
Old October 10, 2018, 01:48   #8
Bama Steve
Registered
 
FALaholic #: 1982
Join Date: Jan 2001
Location: Where I am
Posts: 5,405
Quote:
Originally Posted by Bama Steve View Post
At the top of a market, or so I am told (yet I don't much listen, because I am old).
Is to get into cash and wait for a crash
Then buy undervalued stocks then sit on your ass
For years and years you wait for a gain
And then once you spot it, do it again.
We 'invest' in the market not for pleasure or pain
But to secure our future but it is all so in vein
for the market is controlled by those we know not
and this Ponzi scheme requires that someone gets shot
Will it be you or will it be, I?
I'd like to retire, before I die
And leave to my brother(s) that which I had saved
And toss my ashes on ground loved instead of a grave.

Bama Steve.


I sent that ^^^^^^ to my Fidelity financial advisors who sit on their asses and take our money for a paycheck - and axed them who has time to manage these financial decisions while making the money that they live-upon.

I stated that THEY are the only ones with the time to do so - get on it.

This is your full time job!!


Sheepish-lot.

They either work for us or need to be fired.

__________________
Being dyslexic has a bright side - it's easy to put things back together
Bama Steve is offline   Reply With Quote
Old October 10, 2018, 07:10   #9
bubbagump
Stand-Up Philosopher
Silver Contributor
 
bubbagump's Avatar
 
FALaholic #: 21705
Join Date: Nov 2006
Location: Marietta, Georgia
Posts: 9,689
Quote:
Originally Posted by Bama Steve View Post
I sent that ^^^^^^ to my Fidelity financial advisors who sit on their asses and take our money for a paycheck - and axed them who has time to manage these financial decisions while making the money that they live-upon.

I stated that THEY are the only ones with the time to do so - get on it.

This is your full time job!!


Sheepish-lot.

They either work for us or need to be fired.

Good one Steve. Yeah, that's why I'm a mutual fund kinda guy, who has time indeed? There are some good fund managers but mutual funds are kinda like buying a bike. What you're really buying is the store. Fund ain't performing? Get rid of it, get a management team that is performing because they're out there and nobody has time to waste waiting for old yeller to learn new tricks. Fido has some good ones but most of 'em do. And to that I do not understand why some folks prefer sector funds, all they do is tie the manager's hands by forcing him to buy health care, heavy equipment or financials. Hell if it makes money he can invest in peanut butter futures for all I care. I don't give a rip what path the earnings take to get here as long as they show up.
__________________
Urban free range hippies are pushovers. Especially with a D-9 Cat. -L. Haney
If God wanted us to carry Glocks, John Browning would have invented them. -shooter_37
bubbagump is online now   Reply With Quote
Old October 10, 2018, 22:08   #10
Bama Steve
Registered
 
FALaholic #: 1982
Join Date: Jan 2001
Location: Where I am
Posts: 5,405
Quote:
Originally Posted by bubbagump View Post
Good one Steve. Yeah, that's why I'm a mutual fund kinda guy, who has time indeed? There are some good fund managers but mutual funds are kinda like buying a bike. What you're really buying is the store. Fund ain't performing? Get rid of it, get a management team that is performing because they're out there and nobody has time to waste waiting for old yeller to learn new tricks. Fido has some good ones but most of 'em do. And to that I do not understand why some folks prefer sector funds, all they do is tie the manager's hands by forcing him to buy health care, heavy equipment or financials. Hell if it makes money he can invest in peanut butter futures for all I care. I don't give a rip what path the earnings take to get here as long as they show up.
Yup.

They called me today and set-up a telecon for tomorrow afternoon.

Should be interesting conversation considering the market correction today and the FACT that all my bond investments that they told me to get into were either flat or negative as a result of this correction.

This UP market is BS and inflated by the after-effects of QE several years ago not to mention the pent-up savings as a result of the last administration's policies.
__________________
Being dyslexic has a bright side - it's easy to put things back together
Bama Steve is offline   Reply With Quote
Reply

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On

Forum Jump


All times are GMT -5. The time now is 22:55.


Powered by vBulletin® Version 3.8.7
Copyright ©2000 - 2018, vBulletin Solutions, Inc.
©1998-2018 The FAL Files