I think our CD's are paying something like 4.5 or 5.5%, for 7 months. I believe in spreading ones money out over many investments; stocks, bonds, CD's, PM's, real-estate, equipment, etc.Just what I thing: CD are insured by the government to unless it fails it's pretty safe. The problem with them is if they don't beat inflation, which averages 3% per year (now it;s way over that). So while you make money on CD's you could be losing buying power.
The stock market. I would NEVER advise someone to invest there short term. Short term there are just to many drops. Long term those drops more or less even out. Last week we experienced one of those drops. We lost (kind of) $50,000 in a week. But we still have the same number of shares so we didn't lose unless we sell. Over the years I have rarely tried to time the market (take money out or put money in guessing what's going to happen. I generally stay fully invested. We started investing about 37 years ago & for every dollar we put in we have made $11. Oh & I don't buy stocks themselves, I buy mutual funds.
Yes they've scared me with all the stock market crash stuff and one investor from Harvard pulled all his money out of banks he said. I'm a novice so don't know too much but I'm shaky about the country as a whole.The stock market has always gone up and down. I personally don't see a real crash coming anytime soon. Corrections yes, which make for good buying opportunities. The Dow is still over 38,000. Even if it dropped another 10,000 points, we're still at historical highs. I don't listen to the doom and gloomers. They've been talking doom ever since JC walked the earth. My strategy is, when the market drops, buy more shares. I buy mostly dividend paying stocks too. I stay away from penny stocks (under $10 a share) and speculative stocks. I primarily invest in large well known companies (large caps) which pay a decent dividend.
We also have some $$ in CD"s at our bank. They're FDIC insured, so I don't worry about them at all.
Like I've said before, I'm more optimistic than most. I've also quit listening to the so-called experts and learned to think for myself.
I'm not trying to give any investment advice here, just sharing my opinion.
We went food shopping yesterday and I was shocked at how the prices jumped. I needed color-safe bleach and it was $15. I needed it but put it back - I can't pay that much. My husband showed me the maple syrup where they reduced the size of the bottle! So you're right - hyperinflation is already here and will probably grow worse.Just what I thing: CD are insured by the government to unless it fails it's pretty safe. The problem with them is if they don't beat inflation, which averages 3% per year (now it;s way over that). So while you make money on CD's you could be losing buying power.
The stock market. I would NEVER advise someone to invest there short term. Short term there are just to many drops. Long term those drops more or less even out. Last week we experienced one of those drops. We lost (kind of) $50,000 in a week. But we still have the same number of shares so we didn't lose unless we sell. Over the years I have rarely tried to time the market (take money out or put money in guessing what's going to happen. I generally stay fully invested. We started investing about 37 years ago & for every dollar we put in we have made $11. Oh & I don't buy stocks themselves, I buy mutual funds.
I think a fail of every government is likely in the works - but I could be wrong.I think that the CDs are as safe as the Government or Insurer behind them are.
The stock market is safe as it is betting on companies or blocks of companies, that being said during a panic those "bets" can lose 30% or even 50% it takes time to recover that kind of movement. So if you have time to ride out the recovery it can be safe.
Note, if the stock market falls during a panic, it can take down the insurers behind some private CDs. That can be a hidden risk.
Two hidden risks of all invest strategies are:
1) Inflation, is your return sufficient to keep your buying power?
2) "Hidden Fees", management and transaction fees can make losers out of what appeared to be a winner. Example: (my ML was making "high" interest on her accounts but the balance was going down every quarter due to "hidden fees")
If the Governments of the world fail, then all bets fail and the only thing that is secure is the clothes on your back.
Just remember, our country has been around for over 200 years. We've gone through many hard times before. The problem that we're experiencing now is that most people have never gone through truly tuff times. Plus we're constantly bombarded with so called experts preaching doom and gloom. I've totally quit listening to any of them. I feel much more secure in life since I've quit listening to people trying to scare me.Yes they've scared me with all the stock market crash stuff and one investor from Harvard pulled all his money out of banks he said. I'm a novice so don't know too much but I'm shaky about the country as a whole.
You are starting to look like you're in panic mode. Stop that!I pulled my money out of stocks and put it in CD's but I don't even know if they're safe.
Yes. Great points to make!The stock market has always gone up and down. I personally don't see a real crash coming anytime soon. Corrections yes, which make for good buying opportunities. The Dow is still over 38,000. Even if it dropped another 10,000 points, we're still at historical highs. I don't listen to the doom and gloomers.
And Presto! Right now we are right back where we were, on 08-02-24 .Yes. Great points to make!
People get so distracted listening to the "Bulls", they forget all about the awesome power of us "Bears" .
If stuff goes down far enough, we will jump in with all 4 feet, and fix things.
In the chart below, you can see the ''great crash' on monday, and today we are within 200 points of being right back where we were :
View attachment 159276
Super42 knows hisSecurity is an illusion. If the country crashes the stocks and the dollar crash along with it. Real estate is good but not liquid so you don’t want all your assets in land. PM’s are good but I only invest as a hedge. I’ve always heard that you should have 10% to 15% of your assets in PM’s, I don’t but that is what the pro’s suggest.
Diversify, cash in banks but not all in one b ank or one type of bank. There are State and federal banks. There are State and federal credit unions, spread it around. I remember when every credit union failed. It took years for the people to get their money. You might even consider a substantial deposit in the First National Mattress Bank.
Pay off all your debts. You have no benefit with paying a mortgage and having large sums in a bank. If the bank goes under and you loose your money you still have to make your payments on your house and car. Even though they failed and owe you money they will still foreclose on you if you can’t keep up payments. Pay your utilities and other monthly bills ahead. If your banks go under you have a cushion.
Buy food. The cost of food is inflating faster than any interest rate that I know of.
And, yes, stocks. I hate stocks, mostly because I don’t know enough about them. I let a professional run my stocks. I might even let Supervisor run my stocks but I would never (again) manage my own stocks. I’m good at a lot of things but stocks are not one of them.
True we've never been through truly hard times and I am not looking forward to what's coming. But if you study the goals of the WEF as Georgia Peach had mentioned, then America will cease to exist. I just don't know what financial moves are wise in the interim. But I do see what you mean about listening to negative things - it does color your outlook.Just remember, our country has been around for over 200 years. We've gone through many hard times before. The problem that we're experiencing now is that most people have never gone through truly tuff times. Plus we're constantly bombarded with so called experts preaching doom and gloom. I've totally quit listening to any of them. I feel much more secure in life since I've quit listening to people trying to scare me.
I've known people who made out very well in the last true depression. They bought homes and land for very little, and hung on to them. Then sold for huge profits.
The problem is, you don't know what's gonna get you first. The vaccines are designed to kill us outright. They are trying to take away our food supply. All financial institutions are going to crash. They are replacing us with illegal migrants. Solar flares are going to wipe out our society. WWIII is upon us.America will cease to exist
You're right about the panic mode. Once you're older you realize what you have needs to last. I had listened to videos where people said the stock market would crash. That obviously never happened so I may get back into it. Then a friend pulled all her money out of the bank as did people in her group. Then we read of these bank closings and I knew about the bail-in legislation so it makes for uncertainty. We know the CBDC's are coming as well. I have laddered my CD's and use different institutions but I don't even trust that the FDIC insurance will be honored. I wondered if real estate or something physical is a better bet. But if you buy land you have to pay taxes on it unless it produces income. So I'm trying to navigate my way through tricky waters with a collapse and hyperinflation imminent.You are starting to look like you're in panic mode. Stop that!
You want stocks, you want CD's, you want real estate, you want bonds, you want mutual funds, you want cash, ... you want it all. It's called diversification. One is not so much better than all the others that you need to cash in everything else and put all your eggs into that one basket that seems better at the moment. And you also want diversification in each category - say stocks - you may want some speculative stuff, you may want some "sure thing" long term stuff - it depends on your age and your goals.
If the financial move you are considering is driven by panic, don't do it! And I hate to say it, but if you just pulled all your money out of stocks and put it into CD's, that was a panic move. This move is not going to be the end of the world for you, but please do a little more due diligence before deciding on your next move. I may have read more into your statement than is warranted - if you're only talking a few thousand dollars of stock, you can move that around as you see fit with little ramification. But if as I assumed (correctly or incorrectly), you are talking about a large stock move all into CD's, that should require quite a bit of thought before implementation. At the very least, ladder your CD's and spread them across different institutions.
I need a good financial advisor.My portfolio is about 1/3 bonds, and 2/3 stocks, I pay guys that like that stuff to watch it and move it around, it keeps me from doing dumb things
While that may be true, what if it takes a couple hundred years, or 50, or 20? Look what you could have missed out on waiting for something that probably will never happen in our lifetime. There have always been people wanting to destroy our country. I personally have more faith in our country than that.True we've never been through truly hard times and I am not looking forward to what's coming. But if you study the goals of the WEF as Georgia Peach had mentioned, then America will cease to exist. I just don't know what financial moves are wise in the interim. But I do see what you mean about listening to negative things - it does color your outlook.
If you're making plans based on a movie by Obama - a movie that was probably designed from the start to financially enrich the Obama family - then you have a very rough road ahead of you. When you see the rabbit hole, avoid it, don't jump down it. Evaluating predictions with your own brain and stepping around that rabbit hole is now known as "normalcy bias", in case you run into that term. But I still recommend that you look at everything and evaluate with your own brain. If someone tells you they know what is going to happen and you need to do X, Y and Z to prepare - they're probably wrong. Including me. Use your own brain to evaluate every word anyone tells you, and everything you read. It's your best resource.I'm wondering what to do in light of what's likely coming as predicted in Obama's movie "Leave the world behind." They predict civil war. But civil war between who I don't know. In the movie several countries attacked America so that's likely really coming.
Great choice! A good FA is worth their weight in gold. A good FA will tailor your portfolio according to your risk tolerance. We meet with our financial managers usually quarterly. I managed the bulk of our money by myself for many years. When we sold the farm 25 years ago, I turned that money over to an financial manager. The money I managed myself returned almost exactly the same as the experts. About 12 years ago I turned over almost everything else to our financial management team. Been very happy ever since.I need a good financial advisor.
That's wise. I do like a financial guy at our banking institution and he's very honest but when I mentioned the things that are coming - that people on here know about - he hadn't heard of it. So I'm looking at making financial decisions in light of the changes - and planned changes - in the country. This is not the America that we grew up in anymore and some of the old rules don't apply. How soon those changes are implemented is anybody's guess. It's almost like a game of musical chairs. About 10 years ago I never would have felt this uncertain.To answer the original question the stock market is as safe or as risky as you want it to be. IMHO CD's are safe. You will get a fixed rate of return for the length of time you select. I too look for high dividends when I look at stocks, and I tend to hold stocks for a long time if the are performing.
All of the advice that has been given here is sound. I have probably done everything that has been suggested. My advice would be to find a good Financial Advisor that you can trust, and you are comfortable dealing with. Ask friends and family who they use. See what kind of returns they have gotten over periods of time. A good financial advisor should do a risk assessment to see what your goals are, and how you feel about investing, where you want to be in 5,10,20 years, how much risk you are willing to take. Even your local bank probably has a service that will help you invest. Let the Financial Advisor do the research and have them show you the history of the stock they are recommending. They do this for a living and have teams of people behind them doing the research. Again, JMHO but you could never do it yourself.
It is a scary world. Try to find an expert you trust to help you navigate your way through it.
Think about what you just said there, from different angles.but when I mentioned the things that are coming - that people on here know about - he hadn't heard of it
We went food shopping yesterday and I could not believe the hike in prices. The packaging is getting smaller too. I'm not good at stocks either.Security is an illusion. If the country crashes the stocks and the dollar crash along with it. Real estate is good but not liquid so you don’t want all your assets in land. PM’s are good but I only invest as a hedge. I’ve always heard that you should have 10% to 15% of your assets in PM’s, I don’t but that is what the pro’s suggest.
Diversify, cash in banks but not all in one b ank or one type of bank. There are State and federal banks. There are State and federal credit unions, spread it around. I remember when every credit union failed. It took years for the people to get their money. You might even consider a substantial deposit in the First National Mattress Bank.
Pay off all your debts. You have no benefit with paying a mortgage and having large sums in a bank. If the bank goes under and you loose your money you still have to make your payments on your house and car. Even though they failed and owe you money they will still foreclose on you if you can’t keep up payments. Pay your utilities and other monthly bills ahead. If your banks go under you have a cushion.
Buy food. The cost of food is inflating faster than any interest rate that I know of.
And, yes, stocks. I hate stocks, mostly because I don’t know enough about them. I let a professional run my stocks. I might even let Supervisor run my stocks but I would never (again) manage my own stocks. I’m good at a lot of things but stocks are not one of them.
I need a good financial advisor.
You are right about all of that. You make a great point.The problem is, you don't know what's gonna get you first. The vaccines are designed to kill us outright. They are trying to take away our food supply. All financial institutions are going to crash. They are replacing us with illegal migrants. Solar flares are going to wipe out our society. WWIII is upon us.
If you get caught up in all this stuff being spread around, you eventually have to admit that nobody, anywhere, is going to make it. Maybe it's best to just turn off the Internet and try to enjoy the few milliseconds we still have left.
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