4 ms·

We are long overdue for a correction. Put your money into bonds and buy into the fire sales in inevitable upcoming crash.

CuriouslyC 9y ago
Personally I would prefer a diversified portfolio of stocks whose value haven't displayed correlation with previous market corrections.
gfodor 9y ago
Bonds may not be a safe haven
- aswanson 9y ago
  Cash?
  - DaiPlusPlus 9y ago
    Bitcoin?
    - CuriouslyC 9y ago
      It's also bubbling up nicely, and one good crash deserves another.
  - richardknop 9y ago
    Real estate.
brndnmtthws 9y ago
This is the wrong thing to do. Don't try to time the market. Here's some reading for anyone that wants to understand the basics and learn how to avoid investing emotionally: https://www.bogleheads.org/wiki/Bogleheads%C2%AE_investment_philosophy https://www.bogleheads.org/wiki/Bogleheads%C2%AE_investment_... Pay close attention to the "Diversify", and "Never try to time the market" sections.
- Spooky23 9y ago
  Bogleheads are always thinking in a tight set of assumptions that may not be meaningful to you. There's also an assumption that you aren't capable of meaningful analysis. If I'm following boglehead dogma, I have at least my age in fixed income and cash. When you see a market crash or correction, it's wise to stick your head up and look around. In 2009 was it smarter to buy good companies driven down in price due to the financial panic? I would argue yes. When you can buy a quality equity at a firesale price, it's a better investment than BND.
  - brndnmtthws 9y ago
    If you stick to your target allocation and rebalance as needed, you'd be doing just that.
nemo44x 9y ago
Bonds are like the biggest bubble! With interest rates being so low they have almost nowhere to go but up in interest meaning today's bonds will lose incrediable amounts of value. If you're going to buy bonds the should be rather short term and at today's interest rates and low inflation you could also hold cash. For that reason I'm mainly in stocks with a some bonds and cash.
- gfodor 9y ago
  "They have almost nowhere to go but up" has been being said by people for many years now when it comes to interest rates. It's a leading statement that somehow implies that rates are destined to go up because they are so low. This isn't true. They have a few places they could go. They could go up. They could go down (ZIRP is a thing.) Or they could do what they've been stubbornly doing for a long time now, wobble around basically within the same range.
- richardknop 9y ago
  Interest rates can technically go down even from close to zero levels, i.e. negative interest rates is a thing.

CuriouslyC 9y ago

Personally I would prefer a diversified portfolio of stocks whose value haven't displayed correlation with previous market corrections.

gfodor 9y ago

Bonds may not be a safe haven

aswanson 9y ago
Cash?
- DaiPlusPlus 9y ago
  Bitcoin?
  - CuriouslyC 9y ago
    It's also bubbling up nicely, and one good crash deserves another.
- richardknop 9y ago
  Real estate.

brndnmtthws 9y ago

This is the wrong thing to do. Don't try to time the market. Here's some reading for anyone that wants to understand the basics and learn how to avoid investing emotionally: https://www.bogleheads.org/wiki/Bogleheads%C2%AE_investment_philosophy https://www.bogleheads.org/wiki/Bogleheads%C2%AE_investment_... Pay close attention to the "Diversify", and "Never try to time the market" sections.

Spooky23 9y ago
Bogleheads are always thinking in a tight set of assumptions that may not be meaningful to you. There's also an assumption that you aren't capable of meaningful analysis. If I'm following boglehead dogma, I have at least my age in fixed income and cash. When you see a market crash or correction, it's wise to stick your head up and look around. In 2009 was it smarter to buy good companies driven down in price due to the financial panic? I would argue yes. When you can buy a quality equity at a firesale price, it's a better investment than BND.
- brndnmtthws 9y ago
  If you stick to your target allocation and rebalance as needed, you'd be doing just that.

nemo44x 9y ago

Bonds are like the biggest bubble! With interest rates being so low they have almost nowhere to go but up in interest meaning today's bonds will lose incrediable amounts of value. If you're going to buy bonds the should be rather short term and at today's interest rates and low inflation you could also hold cash. For that reason I'm mainly in stocks with a some bonds and cash.

gfodor 9y ago
"They have almost nowhere to go but up" has been being said by people for many years now when it comes to interest rates. It's a leading statement that somehow implies that rates are destined to go up because they are so low. This isn't true. They have a few places they could go. They could go up. They could go down (ZIRP is a thing.) Or they could do what they've been stubbornly doing for a long time now, wobble around basically within the same range.
richardknop 9y ago
Interest rates can technically go down even from close to zero levels, i.e. negative interest rates is a thing.