Investment & Investing

(@hugo7) Reasons to buy now:
Markets tend to go up after presidential election, regardless of who wins. Average is 3.5% by end of the year.

Reasons to hold off:
Two possible buying opportunites - which of course may or may not happen.

1. Some people expect a Truss-style bond market response following a Trump victory.
   
2. Markets likely to fall when Iran next spanks Israel, which could be any day.
   
   

I've not read much talk of a market fall if Harris wins, so wouldn't hold off if that was my expectation.

My s&s ISA is up 15% today which as it was already up 70% for the year is pretty wild

Which one is it?

Bought a load, won £2 which I “reinvested” to win £0.

Wtf are you invested in?

Prob Tesla

US tech…

S&P alone is up 36% over the last year

Reddit is 40% of it and is 110% up

Tesla, Amazon, Applovin, Microstrategy are the other strong performers

But as @duncs says if you’ve been in any S&P etf the last year has been good.

Even if you’re more diversified it’s been good

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Been a Bitcoin hodler since 2019 so it's my second bull run. Learned how to control my emotions and take out realized profits this time around. My best advice for anyone looking to get into cryptocurrency is to never expect the price to move in your favor as soon as you invest. My most profitable gains were in the bear market... Now I'm sitting on a big bag of usdt (tether) waiting for a capitulation or distribution. I wouldn't recommend buying at all time highs unless your stomach can handle a 10-30% loss on any given day. Buy on the way down and sell it on the retrace. Gold is looking quite attractive to get some exposure to. I work as a machine technician manufacturing construction materials for all structures. I can say with confidence my co workers that bought their homes in the last 5 years that haven't carried any equity are sweating bullets right now paying interest on a depreciating asset/yearly government tax and maintenance or up keep. We are union and our last contract hasn't kept up with inflation nor do I see a fair negotiation on the horizon... With less people interested in taking up more debt not to mention can even qualify for a 1st time mortgage, I can only see the supply of the market become greater. I notice building developments slowing down because the returns on their developments are shrinking in front of their own eyes. I can only put blame on the greed of men who have pumped up the prices and over leveraged themselves into a housing bubble they thought would go up forever. Watch for unemployment to rise as the supply of global liquidity starts to shrink. I'm no economics genius but no amount of interest cuts or stimulation plans are gonna save this sinking ship... Own nothing and be happy because you can't take it with you when you die. I am a parent of two 28 year olds (twins) who are both gainfully employed and the best lesson I have been able to pass on is to live within your means and save for rainy days because the sun doesn't shine forever... The fact you're reading this post puts you in a category above most of the people out there drowning in debt. Peace and God speed!

question here regarding risk level; clearly these are mid-high risk and volatile, do you guys actively monitor and divest when the time is right?

asking as I have no time for this so I usually go mid-low risk and let them just grow on their own, less returns obvs

The fact the markets have responded to well to Trump's election makes me want to get off the whole damn thing.

I’m probably too blasé but as I’m in my 40’s without kids then I figure I should just pick a risky portfolio and let it do its thing. In the long term it should do better than the safer ones and I can reassess in 20 years

So your approach, but with a bit more appetite for risk because it’s only my future I’m messing with

so I usually go mid-low risk

I’m trying to think of situations where this is the right answer.maybe if you need the money back tomorrow? In which case why bother?

Low risk ‘traditional’ investments feel so low risk as to be pointless. Returns will be low after fees, assuming you win, but they’ll still tank with the high risk stuff.

Even the high risk stuff is orders of magnitude less risky than, uh, untraditional investments.

Unless you are taking your pension you want

• some cash to tie you over if shit gets real
  
• the bulk in trad. Investments that are high risk for growth
  
• A small amount of punts that will mostly fail but might get to the moon
  
  

Nothing in between

I’m trying to think of situations where this is the right answer.maybe if you need the money back tomorrow? In which case why bother?

As you're nearing retirement typically you'd start to rebalance for capital preservation and/or income over growth.

But yeah at Amey's age unless there was a massive lump sum needed in a couple of years for a house/school fees* you'd just go max growth for now.

(not financial advice)

*even then though there are probably some bonds or other specific products that would be better.

I think it’s horses for courses and there’s some comfort it set it and forget it.

Though if I were wanting conservative and didn’t need the cash in the short term I’d be sticking it in my pension due to tax efficiency

depreciating asset

Just to be clear, you're referring to housing? Normally seen as an appreciating asset, no?
Are you from the US?

There have been a few comments on this, but for my 10p worth.

I invest in a low cost global tracker in my ISA and SIPP (such as Vanguard VWRP). I don't plan on using the money for at least 15 years so I invest in 100% equities.

As far as I'm aware, in terms of the general 'fire style' low cost passive global tracker investing, this is considered high risk.

'High Risk' as it's 100% stocks.
'Medium Risk' might be 60-80% stocks
'Low risk' 40-60% stocks.

However, once you leave the world of low cost global trackers, there is a whole world of higher risk. You could invest 100% in S&P 500 and it would be 'higher risk' than above. I'm guessing, but it sounds like @Tenderloin is having a bit of fun in his ISA and is investing in individual companies. This is even higher risk again.

As @howard said if you are going for the first option - Global Tracker ETF then 'mid-low risk' is not going to get you much return and most people would encourage you to go 80-100% equities at your age.

I’m in my 40’s without kids

boast post!

I’d be sticking it in my pension due to tax efficiency

this is what I am doing as SIPP mid-low risk

Just submitted a transfer request out of an old pension into a new SIPP account. Incoming smash buy of MSTR stock the minute it clears...

PS, get the USDT into Nexo for 16% interest.

MSTR is at $305 pre-market... and I'm still waiting for the SIPP to move 🙃

Oh no!
There will be a dip at some point...

This makes me think of one of those "If it sounds too good to be true then maybe it's too good to be true" things.