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View Full Version : Time to buy stocks?


ToiletDuck
08-16-2007, 11:42 AM
What do some of you think? I was up a little over 17% for the current year. That's on a small group of stocks I've purchased on the side since I've been working here at RAH. No idea what my long term ones are doing. The market is plunging which for younger investors could be a good thing allowing some to get in while the market is down. For those getting ready to retire it could hurt dramatically.

What say you on where we stand? My EWA (iShares Australia) has dropped $4.00 today alone. Any of you selling or holding out to see what happens?


Squawk_5543
08-16-2007, 12:29 PM
Hats off to you being a year 1 f/o and being able to purchase stock. I'm just hoping to get bills paid when I start.

tomgoodman
08-16-2007, 02:33 PM
Most advisors who aren't making a commission on your trades will say "buy regularly, diversify your portfolio, and hold." Trying to time the market or pick the next winner is fun, but risky, especially when you're sure you know which way it's going to go.
They also recommend that you own mostly equities when young, shifting the ratio slowly to mostly fixed-income securities by retirement age. I think the goal of investing should be protection of your capital, with modest real (inflation-adjusted) growth.


Pilot41
08-16-2007, 03:26 PM
Forget individual stocks, buy into a well diversified mutual fund(s), add to said mutual funds on a regular basis (IE - monthly) and hold, have dividends reinvested, regardless of what the market does. It's called dollar cost averaging. Don't even open your statements (file them away though), so as to resist the temptation to screw with them. Over the long haul you do very well.

JMT21
08-16-2007, 04:03 PM
Forget individual stocks, buy into a well diversified mutual fund(s), add to said mutual funds on a regular basis (IE - monthly) and hold, have dividends reinvested, regardless of what the market does. It's called dollar cost averaging. Don't even open your statements (file them away though), so as to resist the temptation to screw with them. Over the long haul you do very well.

I think mutual funds are for suckers. If you don't believe me, tune into CNBC's series "The Millionaire Inside." These self made millionaires will tell you mutual funds are are almost never the best option with your money. If you're after diversification try index funds.

Pilot41
08-16-2007, 04:44 PM
I think mutual funds are for suckers. If you don't believe me, tune into CNBC's series "The Millionaire Inside." These self made millionaires will tell you mutual funds are are almost never the best option with your money. If you're after diversification try index funds.

So are you telling me you're a millionaire? Must be easy. The only ones getting rich on that show are the ones producing it.

Are you saying no one has gotten wealthy from saving and investing wisely over the long haul using mutual funds?

ToiletDuck
08-16-2007, 06:19 PM
I own a couple good stocks like wal-mart and Boeing. However those are out of my price range and I've never purchased another share since the initial buy. However they have been great stocks.

Currently I've only started investing a little amount. I currently own XJT(coming to bite me but no reason to sell. It was cheap when I bought it so no harm no foul). I also have a couple of iShares. They seem to be doing very well. Well they were. My current portfolio dropped 19.4% within the past two weeks. However I've decided to buy more this next week. Things will be tight till the next paycheck but a little suffering now can make life a lot better in the long run.

Vegabond could probably give better stats but I want to say the stock market has averaged 12% a year since the great depression. Keeping that in mind I don't do the whole buy/sell game unless it's on an individual stock that's shouting at me. I treat my portfolio more like a 401k. I just put what I can in when I can and spread it out. I let it build up in a money market account until it's enough to purchase something then I decided on which one/s to put them in. I like the ishares. I use morningstar.com as well to research them some.

I know everyone says to max your 401K first but on first year F/O pay that will never happen. I put 10% into my 401k and the rest into my investment account so I can have cash readily available should the shyt hit the fan.

ToiletDuck
08-16-2007, 06:26 PM
Hats off to you being a year 1 f/o and being able to purchase stock. I'm just hoping to get bills paid when I start.

Don't live beyond your means. Pack a lunch, that $5-$10 a day on food counts up fast in a month. Take the longest days you can. I find I spend more money when I'm at home. At least on the road I get per diem. I had guys in my training class dog me because I wouldn't go eat lunch with them all the time because I didn't want to spend my $400 they gave me per week. They told me, "Dude the reason you have per diem is so you can spend it". They called me a tight-wad and so on. I get about $32.50 in per diem a day and I usually stay under $10.00 a day on expenses while on trips.

Learn to live within your first of the month paycheck. Mine sucks like no other but I've managed. When I get the per diem that $300-$500 is what goes into my investment account. A few months worth and then I make another purchase. Also when on the road you aren't running up the electric bill and aren't watching TV so might as well cancel the TV. If anything just get DSL and watch whatever TV shows you like on their website. I've found getting rid of the TV has made me do other things like start training for another marathon, read more books, and learn things better like investing.

vagabond
08-16-2007, 08:27 PM
Must be getting old, but I am a "buy and hold" kind of girl, I favor the old reliables like Boeing (and yes, I also own FedEx which was way down today), and I believe in Uncle Warren by also owning a few shares of Berkshire Hathaway. I do own shares of my beloved Alaska Airlines, but with the price so low, I'm a little ashamed to admit it now.

There is an investment vehicle for every type of person, personality and temperament. I agree with tom's assessment.

ZapBrannigan
08-17-2007, 06:26 AM
I buy a little Wal-Mart each paycheck. Nice to have a stable blue-chip to pass on to my son someday. (although I admit that I get a .15cent/dollar discount which makes it worthwhile almost regardless of the stock's performance).

Aside from that though, the bulk of my investments are through my LPL fund manager. 1 Roth IRA, 1 IRA, 1 Beneficiary IRA, 1 investment account, 1 529 for the little fella, and my 401K.

ToiletDuck
08-17-2007, 09:03 AM
How many of you use fund managers? How do they charge? Do they just take a % of the money they make you? I've always been solo. Currently I'm sitting on small-mid cap areas but my next buy will be a large cap. Haven't found one I'm wanting to get yet. Will be a couple months before I do. Right now I'm a little to aggressive but until I can spread more out it looks like I'll just have to hold tight lol. I've never even spoken with a fun manager so I'm curious as to what they offer and how they charge.
Duck

JMT21
08-17-2007, 01:30 PM
So are you telling me you're a millionaire? Must be easy. The only ones getting rich on that show are the ones producing it.

Are you saying no one has gotten wealthy from saving and investing wisely over the long haul using mutual funds?

Not yet. The ones on the show are already rich. All I'm saying is that mutual funds are almost never the best option. To each their own.

Must be getting old, but I am a "buy and hold" kind of girl, I favor the old reliables like Boeing (and yes, I also own FedEx which was way down today), and I believe in Uncle Warren by also owning a few shares of Berkshire Hathaway. I do own shares of my beloved Alaska Airlines, but with the price so low, I'm a little ashamed to admit it now.

Your Berkshire Hathaway is the class A stuff right? ;)

Powerball is $210 million for Saturday's drawing.

mcartier713
08-17-2007, 01:49 PM
My daddy made me read "The Smartest Investment Book You'll Ever Read" by Daniel R. Solin... he pretty much talks about how Index Funds are the best. Specificially mentioning Vanguard and Fidelity if I remember correctly.

except, what do I know, the only investment I have is ONE share in Southwest :)

oh yeah, and I'm going to win that powerball too.

hfbpilot
08-17-2007, 04:32 PM
I read a book called "The Wealthy Barber" and it said just the opposite, to use mutual funds. Either way the main thing is to save and live in your means. I should make the club next year depending on the market by using mostly mutual funds. Remember if it was so easy with stocks every stock broker would be a very rich man who did not have to work for you. Also, I do not try to time the market during down times I am just buying the good funds I researched cheaper.

Just my 2 cts. Either way you have to save first!!

Also, the realtor selling the get rich books on TV says he is rich also. Do not believe evey thing you see on TV.

Not yet. The ones on the show are already rich. All I'm saying is that mutual funds are almost never the best option. To each their own.



Your Berkshire Hathaway is the class A stuff right? ;)

Powerball is $210 million for Saturday's drawing.

vagabond
08-17-2007, 06:09 PM
Your Berkshire Hathaway is the class A stuff right? ;)

Powerball is $210 million for Saturday's drawing.

There are some things you just don't ask a woman - her age, her weight and her Berkshire Hathaway shares. ;)

Well, I don't know about the rest of us little guys, but here's what the Associated Press had today.

NEW YORK - The president and chief executive of a division of package delivery company FedEx Corp. sold 9,800 shares of common stock, according to a Securities and Exchange Commission filing.

In a Form 4 filed with the SEC Thursday, David F. Rebholz reported he sold the shares Tuesday for $109 to $109.38 apiece.

LAfrequentflyer
08-18-2007, 01:33 PM
What do some of you think? I was up a little over 17% for the current year. That's on a small group of stocks I've purchased on the side since I've been working here at RAH. No idea what my long term ones are doing. The market is plunging which for younger investors could be a good thing allowing some to get in while the market is down. For those getting ready to retire it could hurt dramatically.

What say you on where we stand? My EWA (iShares Australia) has dropped $4.00 today alone. Any of you selling or holding out to see what happens?

At your age you should be getting in the habit of maxing out your 401K to company match. Then Roth IRA. If you can still afford to invest max out the 401K to the IRS limit.

I wouldn't play with putting money into stocks starting. You'll get better returns with disciplined 401K and Roth IRA investing.

If you can and are making good on the market. Its time for a second / side career.

-LAFF

mcartier713
08-18-2007, 02:02 PM
LAFF, what kind of "second / side career" you talkin bout?

ShamH85
08-18-2007, 02:51 PM
Buy, Buy, Buy, puts occasionally and calls.... I'm long this week on GRS, XJT, USG, BBI, all trading at low PE's and with solid book value.. Vector Vest will make you rich~ That's all i'll say.

LAfrequentflyer
08-20-2007, 04:40 AM
LAFF, what kind of "second / side career" you talkin bout?

Certified financial planner. Its an industry worth looking into.

For the record- I can't have a second job because the AF won't allow it.

PM Skyhigh and pick his brain. He's a smart guy and he won't lead you wrong. His montorship has helped me see aviation is best kept as a hobby and not as a primary occupation.

-LAFF