Money

Lost about 20% of 401k and other investments in this dip

Facebook Uthred
Dec 2

Happy that I controlled my greed and didn’t invest. I am sitting on decent amount of cash. Planning to start investing slowly. What do others think?

comments

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  • Uber spot46
    We will enter a recession in the next 30 years so hold on to your money, don’t want to lose more
    Dec 22
    • Netflix Toasterrr
      🤦‍♂️
      Dec 2
    • Workday brKIi0
      Past performance doesn't predict future results.
      Dec 4
  • Financial Engines / Datafrugalguy
    Always stay invested is the best investment strategy. Amount of risk exposure should.be proportional to your risk appetite. Diversification and periodic rebalancing are keys to wealth generation
    Dec 25
    • Google oioioioio
      how do you know when to rebalance?
      Dec 2
    • Financial Engines / Datafrugalguy
      Rebalance every 6 months is a good practice. Rebalance here indicates bring back your asset exposures to Target levels. For example, you are comfortable with 80% equity and 20% bonds and you invest your money today, next few months stocks falls and bonds go up, your relative asset allocation will be different from 80/20. Rebalance to bring back your allocation to 80/20.
      Dec 2
    • Google oioioioio
      thank you frugalguy! that’s a great starting point to continue to learn about this.
      Dec 2
    • Facebook Uthred
      OP
      Thank you! Very useful
      Dec 2
    • Financial Engines / Datafrugalguy
      Look up financial engines, we can help. :) Betterment and wealthfront are other options.
      Dec 2
  • New RzFr15
    Buy BITCOIN
    Dec 20
  • New DuQvV7x
    This is illogical and hard to decipher
    Dec 20
  • Townsquare Media MisterB
    You haven’t lost till you sell. It’s paper loss.

    If you can handle the gains better be handle the losses
    Dec 23
  • Cruise Automation mocca
    And how was it compared to time fully invested? Sp500 is still up 2-3% YTD. Can't just look at shorten time frame and ignore the rest of the gains.

    I keep most of mine in cash unless something I feel strongly about. If looking for research on dollar cost avg vs lump sum, Vanguard dis research on it, you come out slightly ahead on avg doing lump sum.
    Dec 23
    • Financial Engines / Datafrugalguy
      It's hard to consistently time the market. Overall you are better off staying invested for long term.
      Dec 2
    • Cruise Automation mocca
      When people say overall though, they look at sp500, or US market as a whole. That's based on continued US dominance. Counterexample I like to point to is Nikkei 225, which is basically flat for for almost 30 years.
      Dec 2
    • Twitter hodlr
      That’s why u invest in S&P 500
      Not japan
      Dec 2
  • WeWork / EngAOfu71
    Did you switch jobs too? Fb dropped 30% in the last few months.
    Dec 21
    • Facebook Uthred
      OP
      I don’t hold FB. Sell at vest
      Dec 2
  • Amazon / EngIAmJob
    Inflation is 2% compounded. Holding cash is a high risk endeavor given this 2% year over year loss.

    Why do people think that market going down means lost money. You only lose when you sell.

    Are you saying the US has hit its peak? And it will never go up? If so, cash is shit also. Might as well move to a market you believe has upwards potential. If you believe the US market has room for growth, why would you not keep investing as early as possible.

    Tired of market timer's logic.
    Dec 22
    • Intel Roggik
      CPI overinflates inflation (chained CPI is better), and even that is 2% or below usually
      Dec 2
    • Amazon / EngIAmJob
      True depends on the time slice. Currently the inflation rate is 2.5%. Will edit
      Dec 3
  • New tLFu71
    Wait until tomorrow before you cry vix futures 10% market going to have insane day tomorrow. Glad I loaded up on svxy!
    Dec 21
  • New RzFr15
    How much cash
    Dec 23
    • Facebook Uthred
      OP
      About 800k
      Dec 2
    • Netflix Toasterrr
      How long have you been building that cash up? I'll bet you lost more money in opportunity not putting it in the market than you would have in the last few weeks.
      Dec 4
    • Facebook Uthred
      OP
      4 years. Bought a house for all cash before that
      Dec 4
  • Apple / Opscrumbersum
    Don’t invest in beachfront property. Time to start thinking about how climate change will affect businesses.
    Dec 21
    • Oracle / EngJDupont
      Climate change is a hoax. Double down on investments in Maldives
      Dec 3
  • Intel Roggik
    How did you lose 20% while having a decent amount of cash?
    Dec 21
    • Facebook Uthred
      OP
      About 20% of all stock investments, not cash
      Dec 2
  • Glassdoor vvvvvvvw
    Lol
    Dec 20
  • Ness Technologies FkTrump
    Would preserve cash and look for a recession to shop around
    Dec 20

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