6 ms·

I haven't the faintest idea what your comment means and by the time I understand all this finance shit to even put together a comment like you did, I'll have gi

by rublev 10y ago

I haven't the faintest idea what your comment means and by the time I understand all this finance shit to even put together a comment like you did, I'll have given up all my hobbies and free time along with my job. Fuck I hate finance so much. Googling for like a year and I still haven't the faintest clue what to actually do with my money. Just going to keep it all in cash and call it a fucking day.

ianai 10y ago
I just asssume they're no better than listening to "Mad Money" once they throw terms like doves and bulls around. I'd suggest you read actual books on personal finance and investment. For market stuff, 1929 the great crash by Galbraith would probably work as a crash course. Sorry for the pun. Edit- by "no better" I mean if I can get 80-100% of your content from a common source then I'm better sticking with the common source.
- rublev 10y ago
  > I'd suggest you read actual books on personal finance and investment. Oh boy have I ever. And not a word was retained. Total gibberish. No idea how I can code but not understand finance. Honestly, I don't have the time to 'get into' finance beyond reading up a couple hours a week. Just need a simple guide, my only goal is to leave my money somewhere for 20 years and not touch it while it grows so I can make $20k/year off my investments eventually. Not looking to day trade or do any of that. Been looking at Canadian Couch Potato (I'm in Canada) and Mr Money Moustache. I don't have any lofty aspirations. I only want this apartment to be paid off for free every month, at which point I'll have the freedom to wake up every day and do whatever I want.
  - ianai 10y ago
    Check out real estate investment trusts. I think you may get your residual that way.
    - rublev 10y ago
      Will do, thanks. RE: Housing - I've always had a gut feeling that tying your money into an asset like that is a terrible idea because of the infinite number of potential money sucking risks along the way. It seems like something you'd 'get rich' off of on paper, but when you try to sell for that price you'll find nobody is buying. Don't want to end up in that position and again, that's just a gut feeling, didn't really read up on it.
      - jrock08 10y ago
        REITs are traded on the market, (pretty much) just like a stock. So you don't have to worry about liquidity being too much of a problem. One example of a REIT is [1]. However, if you really just want to park money for 20 years, you probably want a target year fund like [2] which will have higher risk now (stocks, REITs, etc), and rebalance to lower risk (Bonds) as it gets closer to 2040. It's literally the definition of set it and forget it. [1] https://personal.vanguard.com/us/funds/snapshot?FundId=0123&FundIntExt=INT https://personal.vanguard.com/us/funds/snapshot?FundId=0123&... [2] https://personal.vanguard.com/us/funds/snapshot?FundId=0696&FundIntExt=INT https://personal.vanguard.com/us/funds/snapshot?FundId=0696&... edit: I should add, I'm not your financial advisor, and I don't have a fiduciary duty. You should consult with a financial advisor (who has a fiduciary duty) before making any decisions about investments. However, target year funds are frequently (one of) the best decisions for many people.
      - ianai 10y ago
        REITs: -are publicly owned on the stock market -have a legal obligation to pay out 90% of their operating profit through dividends -can own/operate myriad forms of real estate assets, but I'd suggest sticking with REITs that actually own real estate and not mortgages. That's like, just my .02 though.
  - protomok 10y ago
    I'm also in Canada and I follow the passive investing Couch Potato approach which I've converted to pseudo code here - https://news.ycombinator.com/item?id=11528787 https://news.ycombinator.com/item?id=11528787. That said if investing doesn't interest you just use a Robo advisor like Wealth Simple (Toronto based). You will pay maybe 0.2% more in fees but your performance will be the same as the couch potato approach, and you'll never need to think about investing.
  - sokoloff 10y ago
    Buy VTSAX (or any other broad-based, low-fee, 100% stock mutual fund) and call it a day. Fees will eat your lunch far more than you think. Even a difference of 20 basis points (0.2% or 0.002) matters, IMO. Don't pay a fee unless you're 100% sure you're getting more than the fee in value. That's why I love Vanguard (no connection, other than satisfied customer). When you get 5 or 7 years away from needing (not just wanting) the money, then start to scale into REIT or fixed-income strategies to reduce your risk exposure. While you're more than 10 years away from needing it, I think you want to be full risk-on for stocks. Then, come back in 20 years and upvote this. :)
emodendroket 10y ago
Just invest in a "target 20XX" index fund if you're that unwilling to learn more, IMO.
Retric 10y ago
Take 1/2 your money and dump it into a lowest cost index fund you can find. Ignore it for 40 years. Do whatever you want with the other half. And really what to do with the other half is what most of investing is about. If you have a lot of money then many people try and beat the market, which generally means they lose it all. Others hedge for bad times, which is a good idea if your wealthy and care about downsides more than upsides. However, if you are like most people you can invest in other things. Save for unemployment, pay off your debt, pay for education, start a company, buy a house, buy solar panels, or buy a Prius etc. Chances are there are non 'investment' options that are better than the stock market after taxes, but it really depends on you and what you want to do.
- rublev 10y ago
  pay off your debt: none pay for education: none start a company: definitely not buy a house: nope buy solar panels: nowhere to put them I literally have nowhere to 'put' my money except instruments. I already have all the instruments I need. Just finished selling off a good 80% of my possessions as well. I've hit my limit for 'desires'. My only goal now is to make that $20k/year off investments. So you say put half in there and sit on it, but I don't actually have anything to do with the other half.
  - Retric 10y ago
    Getting, ~20k/year for a long time takes something like 500+k with more money being safer. I am going to assume you want to do this to retire early. So, my advice is this, stick with the 50% long term investment and ignore this money. It does not exist until your 65+. Second, dump the other half into the same basic investment, but treat this as your early retirement pool. When you can make it to 65 with this money then "retire." The other half plus social security will last your retirement, and this half is your FU money. Edit: To be clear when 1/2 your money is ~280k @ 50 ramping up to ~500k in @40 you can very likely pull out 20k/year till 65. So 1 mill total @ 40 and 560k @ 50. Why do this? Well your expenses will rise faster than inflation. As you age you just need more help and have more health issues. So retiring as soon as you can is risky unless you living on a small chunk of your nest egg. PS: By retire I don't mean living on a beach someone, just no longer forced to work a job for food. Further, social security is actually a significant amount of money if your single and had a good paying job for ~25-30+ years.
unknown_apostle 10y ago
Maybe this is a good book: "A Fool and His Money" by John Rothschild. Containing such gems as "Never buy the June call nor sell the October put simultaneously, unless you know what they are". Comedy gold about the overfinancialization of everything. As early as 1988 no less! Btw if "overfinancialization" is not a word, it should be.
- rublev 10y ago
  Yeah I've read it all. It's way too high level to make use of.
  - deleted 10y ago
    [deleted]
dredmorbius 10y ago
My suggestion: if you care to understand the comment, highlight the parts you don't understand, and maybe venture a guess as to what it actually means. Finance both is and isn't confusing. The language is obfuscatory. Many of the concepts are actually pretty straightforward. There are the occasional kinks.

by rublev 10y ago

ianai 10y ago

I just asssume they're no better than listening to "Mad Money" once they throw terms like doves and bulls around. I'd suggest you read actual books on personal finance and investment. For market stuff, 1929 the great crash by Galbraith would probably work as a crash course. Sorry for the pun. Edit- by "no better" I mean if I can get 80-100% of your content from a common source then I'm better sticking with the common source.

rublev 10y ago
> I'd suggest you read actual books on personal finance and investment. Oh boy have I ever. And not a word was retained. Total gibberish. No idea how I can code but not understand finance. Honestly, I don't have the time to 'get into' finance beyond reading up a couple hours a week. Just need a simple guide, my only goal is to leave my money somewhere for 20 years and not touch it while it grows so I can make $20k/year off my investments eventually. Not looking to day trade or do any of that. Been looking at Canadian Couch Potato (I'm in Canada) and Mr Money Moustache. I don't have any lofty aspirations. I only want this apartment to be paid off for free every month, at which point I'll have the freedom to wake up every day and do whatever I want.
- ianai 10y ago
  Check out real estate investment trusts. I think you may get your residual that way.
  - rublev 10y ago
    Will do, thanks. RE: Housing - I've always had a gut feeling that tying your money into an asset like that is a terrible idea because of the infinite number of potential money sucking risks along the way. It seems like something you'd 'get rich' off of on paper, but when you try to sell for that price you'll find nobody is buying. Don't want to end up in that position and again, that's just a gut feeling, didn't really read up on it.
    - jrock08 10y ago
      REITs are traded on the market, (pretty much) just like a stock. So you don't have to worry about liquidity being too much of a problem. One example of a REIT is [1]. However, if you really just want to park money for 20 years, you probably want a target year fund like [2] which will have higher risk now (stocks, REITs, etc), and rebalance to lower risk (Bonds) as it gets closer to 2040. It's literally the definition of set it and forget it. [1] https://personal.vanguard.com/us/funds/snapshot?FundId=0123&FundIntExt=INT https://personal.vanguard.com/us/funds/snapshot?FundId=0123&... [2] https://personal.vanguard.com/us/funds/snapshot?FundId=0696&FundIntExt=INT https://personal.vanguard.com/us/funds/snapshot?FundId=0696&... edit: I should add, I'm not your financial advisor, and I don't have a fiduciary duty. You should consult with a financial advisor (who has a fiduciary duty) before making any decisions about investments. However, target year funds are frequently (one of) the best decisions for many people.
    - ianai 10y ago
      REITs: -are publicly owned on the stock market -have a legal obligation to pay out 90% of their operating profit through dividends -can own/operate myriad forms of real estate assets, but I'd suggest sticking with REITs that actually own real estate and not mortgages. That's like, just my .02 though.
- protomok 10y ago
  I'm also in Canada and I follow the passive investing Couch Potato approach which I've converted to pseudo code here - https://news.ycombinator.com/item?id=11528787 https://news.ycombinator.com/item?id=11528787. That said if investing doesn't interest you just use a Robo advisor like Wealth Simple (Toronto based). You will pay maybe 0.2% more in fees but your performance will be the same as the couch potato approach, and you'll never need to think about investing.
- sokoloff 10y ago
  Buy VTSAX (or any other broad-based, low-fee, 100% stock mutual fund) and call it a day. Fees will eat your lunch far more than you think. Even a difference of 20 basis points (0.2% or 0.002) matters, IMO. Don't pay a fee unless you're 100% sure you're getting more than the fee in value. That's why I love Vanguard (no connection, other than satisfied customer). When you get 5 or 7 years away from needing (not just wanting) the money, then start to scale into REIT or fixed-income strategies to reduce your risk exposure. While you're more than 10 years away from needing it, I think you want to be full risk-on for stocks. Then, come back in 20 years and upvote this. :)

emodendroket 10y ago

Just invest in a "target 20XX" index fund if you're that unwilling to learn more, IMO.

Retric 10y ago

Take 1/2 your money and dump it into a lowest cost index fund you can find. Ignore it for 40 years. Do whatever you want with the other half. And really what to do with the other half is what most of investing is about. If you have a lot of money then many people try and beat the market, which generally means they lose it all. Others hedge for bad times, which is a good idea if your wealthy and care about downsides more than upsides. However, if you are like most people you can invest in other things. Save for unemployment, pay off your debt, pay for education, start a company, buy a house, buy solar panels, or buy a Prius etc. Chances are there are non 'investment' options that are better than the stock market after taxes, but it really depends on you and what you want to do.

rublev 10y ago
pay off your debt: none pay for education: none start a company: definitely not buy a house: nope buy solar panels: nowhere to put them I literally have nowhere to 'put' my money except instruments. I already have all the instruments I need. Just finished selling off a good 80% of my possessions as well. I've hit my limit for 'desires'. My only goal now is to make that $20k/year off investments. So you say put half in there and sit on it, but I don't actually have anything to do with the other half.
- Retric 10y ago
  Getting, ~20k/year for a long time takes something like 500+k with more money being safer. I am going to assume you want to do this to retire early. So, my advice is this, stick with the 50% long term investment and ignore this money. It does not exist until your 65+. Second, dump the other half into the same basic investment, but treat this as your early retirement pool. When you can make it to 65 with this money then "retire." The other half plus social security will last your retirement, and this half is your FU money. Edit: To be clear when 1/2 your money is ~280k @ 50 ramping up to ~500k in @40 you can very likely pull out 20k/year till 65. So 1 mill total @ 40 and 560k @ 50. Why do this? Well your expenses will rise faster than inflation. As you age you just need more help and have more health issues. So retiring as soon as you can is risky unless you living on a small chunk of your nest egg. PS: By retire I don't mean living on a beach someone, just no longer forced to work a job for food. Further, social security is actually a significant amount of money if your single and had a good paying job for ~25-30+ years.

unknown_apostle 10y ago

Maybe this is a good book: "A Fool and His Money" by John Rothschild. Containing such gems as "Never buy the June call nor sell the October put simultaneously, unless you know what they are". Comedy gold about the overfinancialization of everything. As early as 1988 no less! Btw if "overfinancialization" is not a word, it should be.

rublev 10y ago
Yeah I've read it all. It's way too high level to make use of.
- deleted 10y ago
  [deleted]

dredmorbius 10y ago

My suggestion: if you care to understand the comment, highlight the parts you don't understand, and maybe venture a guess as to what it actually means. Finance both is and isn't confusing. The language is obfuscatory. Many of the concepts are actually pretty straightforward. There are the occasional kinks.