How do you respond to this: Problem with your thoughts Mr Bo Pellinis is let's say everyone says $17 a month in expenses due to NAFTA. But 700,000 lost their entire income and now are permanently on government benefits and generally living unfulfilled lives as the economy increasingly is destroying jobs for most people. Meth addiction and the collapse of rural America is very much linked to free trade. The minor gains for everyone (which add up to a lot of money) are in practice far outweighed by the life-destroying consequences of those 700,000 lost jobs. Economists don't think that way though and just look at numbers and see more dollars in free trade but they don't qualitatively evaluate what those dollars mean. Free trade is only good for shareholders.
700,000 jobs sounds like a lot but the U.S. economy was adding ~200,000 jobs per month as of the story, which was around October 2016. That 700,000 was during the entire life of NAFTA. That doesn't mean it doesn't suck for some of those people but in reality, it's a fairly minor societal issue compared to the economic benefit. EDIT: If we're really worried about those folks we should go after the real blue collar job killer, automation. http://fortune.com/2016/11/08/china-automation-jobs/
Bo Pelinis Rabid With Trump calling for NAFTA to be renegotiated and the TPP be torn up and this would seemingly be bad for everyone can we have a discussion about why the stock market is on a tear. I mean it would be nice for me if this thing would come back down yet every single freaking day it goes up. Im NOT claiming that the stock market knows everything or is the end all say all. In fact I believe the stock market often becomes irrational. But for the sake of discussion, what is your guys take on the relationship between the Trade talk and the market?
I don't think average investors know any real mechanisms for trade and honestly, 15 billion isn't that much to the U.S. economy in the long run. NAFTA's jobs lost and $$$ gained are both pretty insignificant in the grand scheme of things. Now, free trade is very important but that deal, in particular, is minor. I think people see Trump as a guy who will lower taxes, decrease regulations, and possibly repatriate foreign corporate money. Those are all pretty big positive signs for investors and business in general. I honestly am shocked how it's killing it though. I thought his erratic behavior would induce some volatility but it's chugging along regardless.
https://www.nytimes.com/2017/01/25/...ency-is-wiping-out-the-middle-class.html?_r=1 directly on point re how efficiency is wiping out the middle class
And you are consistently the most dense motherfucker on this here message board. Imagine someone paying you for your "legal expertise."
Hi today I put $500 in a betterment account and I earned $.17. By my calculations I can retire in 3034
actually if your $500 continued to grow at 0.03% per day, you'd have a $250,000 in 50 years thanks Ben Franklin
I'm impressed by how aggressive you just were in a conversation in which you were not involved. While I personally wouldn't be as gracious with my responses as the others in this thread, all of society benefits from people becoming more financially literate and I encourage RJF-GUMP to continue learning.
Fair enough. If you pay attention, you'll notice his clutter is not limited to this thread. At that point in time, I had read enough of it.
Gump has rightfully earned scorn by being an asshat for years. Let's remember, he DESERVES a national championship every year since he's a fan. And he likely had sex with acheely too. He should stick to the fishing thread.
my plan currently has this: 10% in the GM Lord Abbett Short Duration Income R2 5% in the GM Pioneer Bond R B 1% in the GM Lord Abbett High Yield R2 2% in the GM AB Global Bond R B 10% in the GM Pioneer Fundamental Growth R B 7% in the GM MFS Blended Research Core Eq Fund R2 B 12% in the GM MFS Value R2 B 5% in the GM Eaton Vance Atlanta Capital SMID-Cap 4% in the GM ClearBridge Mid Cap Fund Class R 8% in the GM Victory Sycamore Established Value R B 4% in the GM Janus Triton R 2% in the (CL) GM Principal SmallCap Fund R2 1% in the GM JPMorgan Government Bond R2 B 22% in the GM Oppenheimer International Growth R 7% in the GM BlackRock Global Allocation R
how much should i put in the black rock s&p index A? 30%? Under change my contribution in ascensus I'm not seeing any VTI funds .
also i thought we were having some informed discussions in here about trade/economics. isn't that one of the functions of this thread? i know i'm behind on my knowledge but i thought there were still some decent academic discussions ongoing. guess i could be wrong.
i went back and re read all the post from a few pages ago. this is what i took away: (1) right now my "moderate to aggressive" allocation is probably pretty similar to a large cap or total index fund in terms of performance it just has much higher management fees. Well one guy seemed to say that in terms of performance. Everyone agreed the management fees were too high. Everyone seemed to say my expected return was super low at 1.9%. The year to date on the moderate aggressive is 4%. If you had high exposure to S&P funds you'd probably be better off. Just looked it up and S&P year to date is up 4%. (2) historically there isnt a huge difference in performance between total market index funds and large cap funds. So higher exposure to either would be good just keep management fees down. (3) probably want to be somewhere in 10-20% bonds at age 31. if you're aggressive minded then 10%
Also 50% blackrock s&p fund along with the 40% small cap growth fund. Throw 10% into emerging markets and stop making it overly complicated but lol at those fund expense rates jesus
they've currently got me in : 29% large cap 17% mid cap 22% international stock 17% diversified bond and a bunch of other smaller categories. the above makes up the bulk of it.
is the fund expense rates the management fee? edit: the expense ratio covers the investment advisory fee, the administrative costs, 12b-1 distribution fees, and other operating expenses.
What type of account is this (retirement?)? If retirement, how old are you? For most MBers that is too much in short-term bond funds unless it is a tactical play on the economy. My first thought is that I would consolidate to higher percentages of fewer holdings by, for instance, choosing 1-2 Small/Mid Cap funds instead of 5. If this is a few million in the account then I can make sense out of diversifying managers but if you're in the accumulation stage I wouldn't spread it across so many funds.
As a reference point, I'm 36 and have an aggressive allocation: 10% Bond (all High Yield) 35% Large Cap Equity (S&P 500 Index) 25% Small/Mid Cap Equity 20% International (5% Emerging Mkts, 15% MSCI EAFE Index) 10% Alternative (Real Estate, Infrastructure, commodity, etc type funds) If I wanted to do a growth rather than aggressive I would probably do this 15% Bond (10% "Core" bond fund, 5% HY) 35% S&P 500 25% SMID Cap 20% International (5% Emerging, 15% MSCI) 5% Real Estate Here is a piece by RBC Wealth Management. Their allocations are different than mine (heavier Int'l, less SMID...more bonds in the growth portfolio) but in the ballpark: https://www.rbcwm-usa.com/resources/file-686907.pdf
yeah i don't try to be super-clever about diversifying across 10,000 funds i just try to diversify across index funds with low fees.
at age 33 i'm in : 32% fixed income, domestic index fund (expense ratio of 0.05%) 30% large cap, domestic index fund (expense ratio of 0.03%) 25% small/mid cap, domestic index fund (expense ratio of 0.04%) 12% international index fund (expense ratio of 0.09%) most people would say I'm too much into bonds, and they'd probably be right, but this was pretty helpful during the 2008 crisis. the large cap index fund is, I think, the S&P 500. it has been my favorite option, and the one I'm most likely to increase my allocation in. I would like to be more invested in international equity funds, but the only option I have is weighted like 25% financials, which is too much IMO, and has consistently underperformed the other two equity funds.
60% funds spread out amongst 4 40% equities that are dow or S&P components, 6, of which 5 have dividends
I have some very elementary questions. I've tried to ask several people I know in the industry, but they've been really overly-aggressive and have done nothing but market me and really turn off when I tell them I don't really want to invest with them quite yet, I just want some advice. After I send the first email inquiring about stuff they send me a form to sign-up with them. It's really annoying. Apologize in advance for the short novella: Spoiler (1) I am leaving my job at the end of this month. I currently have approx. $25K in my 401k with my current firm. What are my options/best bets with this account? Do I get penalized for withdrawing and putting into another account, even if I'm leaving my current job? Should I leave it, and just let it accumulate (basically just let it set and accrue interest), will just have a nice little extra whenever I decide to withdraw? I don't plan on contributing more to this account after I leave my job. (2) I am coming into a large windfall of money due to selling my house, north of $50K but less than $75K (thank fucking goodness for that money being tax-free). However, my situation is rather unique---I'm traveling for all of March and April, and won't have a job until (hopefully) May. Worst case scenario would be June. I have enough saved to support myself during this time without dipping into the funds from selling my house. My plan is to use approx $20-25K as a down payment on a piece of property when I move to Seattle. I'd like to invest the rest in (a) an IRA, and (b) a standard index fund (I am very risk-averse in my investment strategy---primarily index funds). However, I likely won't do that until I settle down in Seattle. So my question is this: what should I do with this windfall of $$ during my time out of the country and moving? I'd rather not just keep it in my checking account. I bank with Charles Schwab, and so they make you open a brokerage account when you sign up for their checking. Should I put this money in a standard index fund into my brokerage account with Schwab, or open a savings account and keep it there? Or, because my time-frame is only 3-4 months, is it so short that it really won't make much of a difference? Much appreciated.
This is close to the allocation I use for a taxable account that has a dual objective of growth and income. 40% Bond 32% LG Cap 16% Sm Cap 12% Int'l We aren't saving the money for any one specific event. Potential uses would be a home remodel that would be years down the road, mortgage reduction/pay-off or retire early. The alternative to investing it would be mortgage reduction and I'm confident I can beat the rate we are paying so I prefer to invest it and keep my options open.
if you touch your 401k money you have to pay income tax on it, AND pay a 10% penalty UNLESS you use it as a downpayment or medical bills etc. see: https://www.irs.gov/retirement-plan.../retirement-topics-tax-on-early-distributions I would roll it over though, its free, no penalties, and depending on who you roll it over to, you can get free trades or a couple of hundred dollars bonus. its not worth losing 30% on that money (aka 8-10k). use the DP from your house now. plus you can set it up separately to throw in a hundo a month and then also assuming your new job has a retirement plan, fund that one as well. if youre going to be moving it around (house money), dump your house savings into a money market for a few months.
i think these are somewhat complex questions, in the sense that certain choices could create tax implications.
So I can rollover my current 401K into a separate IRA with no penalty? And then fund that as I please (subject to the IRA cap, which I think is like $5,500, correct?) As for the windfall $$, I can keep that in my money market account with Schwab (the brokerage account), and it's gain a few cents in the few months I'm gone? I realize it's not going to accumulate much of anything during that short amount of time, but I just want to have easy access to it once I get to Seattle and need to put a down payment/invest the rest. Edit: the primary reason I don't want to have $50K+ in my checking account is for security reasons. I'm traveling to some off-the-beaten path places, and while I realize the chances are low (and Schwab would likely refund it), if my debit card/checking account gets compromised in any way I don't want them to have access to that amount of money.
1. That is enough money that you can leave it at your current employer if you wish to and you won't have fees (beyond the normal fees). Or, you can roll it in to a 401k at your new employer once that is set up and it shouldn't have an incremental fee. Or, you could do a rollover IRA at Schwab, ETrade, etc which would give you the most investment options and there still won't be fees. The one downside of a rollover IRA is that it will make it hard to do a backdoor Roth IRA down the road if you are making more money than allowed to contribute to a Roth. 2. If it were me, I'd probably just put it in a bank and buy a CD for the appropriate time that you won't need it.