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Yeah...I mean I’ve made $25K in the stock market already this year for doing absolutely nothing
by tempsy 7y ago
Yeah...I mean I’ve made $25K in the stock market already this year for doing absolutely nothing
- 3fe9a03ccd14ca5 7y agoIt requires self denial, I’m surprised so many people gloss over this. After all, you could have taken that $25k out and spent it on yourself or on a vacation. A lot of people’s nest eggs are much smaller than they could have been because they choose to do something else with their money, either out of necessity of pleasure.
- bhandziuk 7y agoI don't get your point?
- stevewodil 7y agoYou've made (withdrawn/dividends) 25k, or your portfolio is currently up 25k?
- tempsy 7y agoIt’s a mix of everything.
- christiansakai 7y agoMarket goes up and down. As long as that money is not realized, it is still just a number in a computer. When we need the money, it better be there and not actually less than what we put there.
- tempsy 7y agoMarkets have gone up...10 years and running now. Last 13 of 15 weeks have ended green. This is unprecedented. We haven’t had a -1% day in months. Do I think it will go down sometime? Yes of course. And I’ve hedged accordingly. But people who are scared to invest are missing a once in a lifetime opportunity.
- hello_moto 7y agoMaybe we should come up with an actual number: Starting Point: $10k Annual Contrib: $1k (that's $1k per year) Years to Grow: 20 years (that's $20k contribution) Annual Rate: 5% (ETF bloggers says 10%, but let's half that) Total Value: $61,252.23 Money you put in: $30k ($10k + $20k for 20 years) Money you get: $31,252.23 So let's say at the 21st year, the stock crashed. The crash needs to be more than 50% in order for you to lose your capital money. First, I believe you can tell your financial institution if you want to cash out. Second, by the time you retire, usually you don't put your money in high-risk investment but instead if something more "reliable" so the chance you get hit with 50% lost should be at minimum.
- pmoriarty 7y ago"by the time you retire, usually you don't put your money in high-risk investment but instead if something more "reliable" so the chance you get hit with 50% lost should be at minimum." If you retire. You might die before retirement age. Also, by the time you retire you might be too infirm or sick to even enjoy your retirement. Many people also have such a crappy work/life balance that they don't know what to do with themselves when they retire, so they're miserable even when they retire.
- hello_moto 7y agoWould you prefer to retire without investment or retire with investment? I don't understand the negative use-cases from your statements. "if you retire" "if you didn't die" "you maybe too sick" Are you suggesting not to invest at all because "YOLO, we'll die, or sick-and-die anyway".
- pmoriarty 7y agoI guess what I'm saying is that there's something to be said for sometimes living for the present instead of always living for the future. Balance in all things.
- hello_moto 7y ago
- Gibbon1 7y agoFriend of mine made $100k/year from 2015 to 2020 by buying and selling a house. The US's obsession with passive income is insane and is going to utterly fuck us.
- tempsy 7y agoWhy is that a bad thing?
- Ididntdothis 7y agoBecause we can’t keep driving up asset prices and sell houses to each other. Doing something should be rewarded and not just having something.
- tempsy 7y agoThat isn’t how capitalism works
- 7y ago
- foogazi 7y agoThis is a bit disingenuous. If you haven’t sold you have not made anything - it’s just that the market values the asset you hold higher than what you paid for it. If you did sell you made 25k for storing your previous savings in the stock market It is a choice you made about what to do with your money
- sdinsn 7y agoUnrealized gains are still wealth.
- tempsy 7y agoWould you say the same to someone who has been holding Amazon stock for 10 years? Or Apple? Or has a home in SF? Unrealized gains are gains. Of course it can go down but no one should subtract that number from their wealth. Appreciating assets are what make most people wealthy.
- foogazi 7y agoIt can go up or down - OP is taking a risk and being rewarded for it
- skookum 7y agoWhy is it disingenuous? What if the OP sold and immediately bought another asset that had similarly appreciated? What if they sold, changed their mind, and immediately re-bought the same asset? In both these cases the "made" 25K (or somewhat less if we factor in cap gains tax) is in a similarly precarious position to the just-keep-holding case. Is it the case that to have "made money" you need to take that money permanently out of play? Does that in turn mean then when you invest money that money shouldn't count toward your net worth because it might lose value in the future?
- newnewpdro 7y agoUnless you realized those gains this is fiction.