Trump warns stock market: 'Don't expect a rescue'. That means no bailouts this time round.
(www.axios.com)
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For the dummies like me that do have a 401k and are close to retirement in 2-3 years, what do we do once it really does crash? I have been in the most conservative "model" for years thinking this would happen someday, its like the 30/70 model, I know I have lost a lot of opportunity but now that "opportunity" has basically reset and I am also not freaking out with what's happening, am I wrong thinking I should jump into a higher risk model like the 50/50 or 60/40 right after it tanks ? is "the dead cat bounce" coming or has it already happened ?
If you are in an asset allocation target model (sounds like you are), it will auto rebalance periodically, meaning if stocks drop they will no longer represent 30% of your portfolio, so the fund manager will sell bonds to buy stocks when it rebalances. The rebalancing policy should be available online, in terms of frequency. Remember that interest rates have been dropping which is good for bonds, so rebalancing also trims your winners. It converts market volatility into a source of additional return over the buy and hold investing style. In 2-3 years things will be fine anyway.
The 30/70 is the risk factor, I can select a group of pre selected funds that fit that risk, I can set it to rebalance but I currently do not have it set that way, I can also select individual funds and percentages, it is empower retirement that I have thru my employer
IDK but can you select which stocks? I would bet that Tesla, for instance, will recover but others run by swamp monsters may not
If I were you, Iād look for a silver IRA to liquidate some into.
Check And We Know podcast for links. Also I just heard X22 Dave advertise a Crypto thingy (not my thing, but an option)