Carpediem44DB
Well-Known Member
- Aug 18, 2015
- 3,230
- Boat Info
- 2000 Carver 506
2006 44 DB Sedan Bridge
- Engines
- Volvo TAMD 74 P
Late last year I had a bad feeling that the economy along with the market will be pulling back significantly so I called my Schwab investment advisor to see what we can do to prepare to best protect the capital at the expense of giving up some earning potential.
He basically said that the way we are invested and allocated in the market and financial products, stocks, bonds ect that we should just ride it out and have faith in the concepts that have worked for the last 100 years. He said also that Schwab does not see a significant crash coming because all of the indicators showed strong growth and that the cyclical crash would likely not come soon since we just recovered from the Covid crash. Now here we are 4 months later and we have lost about 10 percent of our equity. Granted in total we are doing better than the aggregate market but 10 percent is a lot of money to make back up before any future growth.
When I asked about the wisdom of going to cash for a while he just said that trying to time the market is a fools errand. I will be working for at least another five years and so will the wife so we won’t need to retirement money until then so we can weather the storm.
What have you guys done lately? I’m not talking about the guys who day trade but more to the guys like most folks that have their investments managed by fiduciaries in traditional 401k and IRA accounts.
CD
He basically said that the way we are invested and allocated in the market and financial products, stocks, bonds ect that we should just ride it out and have faith in the concepts that have worked for the last 100 years. He said also that Schwab does not see a significant crash coming because all of the indicators showed strong growth and that the cyclical crash would likely not come soon since we just recovered from the Covid crash. Now here we are 4 months later and we have lost about 10 percent of our equity. Granted in total we are doing better than the aggregate market but 10 percent is a lot of money to make back up before any future growth.
When I asked about the wisdom of going to cash for a while he just said that trying to time the market is a fools errand. I will be working for at least another five years and so will the wife so we won’t need to retirement money until then so we can weather the storm.
What have you guys done lately? I’m not talking about the guys who day trade but more to the guys like most folks that have their investments managed by fiduciaries in traditional 401k and IRA accounts.
CD