6 ms·

The problem is people want short term investing strategies too. We don’t want to all be 65 to do something with our money.

grenoire 6y ago
Boomers tell zoomers to just stick to the fundamentals. Zoomers are tired of this crap.
- deleted 6y ago
  [deleted]
- zhdc1 6y ago
  When ex-zoomer boomers tell zoomers to act more like ex-zoomer boomers, and not zoomer boomers, there's probably a good reason for it (at least when it comes to money).
- TameAntelope 6y ago
  Zoomers aren’t old enough to be tired of stuff yet... Kidding, but there’s a real value in letting other people explain their mistakes to you in a way that helps you skip those mistakes, and I see a lot of that here.
  - bilekas 6y ago
    Zoomers are forever tired
- jackhack 6y ago
  the difference is that boomers have lived through more than one market cycle and we know an inevitable "correction/crash" is coming. The wise will take action in advance (e.g. move to cash positions) to lock in gains, then repurchase at what feels like the worst point of doom & gloom. A 50% loss needs a 100% gain to recover... Plus inflation. Factor in opportunity cost and it might be closer to 120%. The first and last lesson in investing is DON'T LOSE MONEY. Sadly, many have to learn firsthand that markets don't grow to the sky forever.
  - icedchai 6y ago
    Also, don't put all your eggs in one basket. It sounds cliche, but diversification is important. When the entire market crashes and you're down 30%, it will come back... in time. When your crazy YOLO stock crashes 90%, it may be done for good.
- loco5niner 6y ago
  Funny, every coach I ever had said "stick to the fundamentals". Probably just experience talking.
rwmurrayVT 6y ago
For some it's a hobby/entertainment. My 401k is up 10% a year or whatever. My personal account is up 400% since March, but with a smaller starting value. It could go to zero and I'd be fine.
castlecrasher2 6y ago
Or in other words, the problem is lack of patience. I certainly have it, which is why I occasionally swing trade options. But the numbers clearly show the long hold strategy as in the article is the smart, reliable play, one that can be done simply by contributing small amounts each month.
- alextheparrot 6y ago
  I think there’s a balance between accruing and exploiting in terms of converting delayed value into realized value [0]. The utility of a dollar goes down as your able to do less with it or have less likelihood of being able to spend it [1]. For example, a family member took a trip right after retirement to Machu Picchu and passed away, not much good his pension and 401k did at that point. The numbers in the bank account work out, but I’m less convinced that it remains as simple when you add the existential variable into the question. [0] Spending money [1] Things like focusing on your kids and inheritance help subvert this a bit.
jkelleyrtp 6y ago
Part of it is that other players in the market have short term investment strategies, yet retail is told to sit on the sidelines and hold for 50 years. Why can't we all try to play with money the same way these people do?
- rufus_foreman 6y ago
  >> Why can't we all try to play with money the same way these people do? You absolutely can. You can also try to play chess against Stockfish after reading a few Reddit forums about chess and practicing in your spare time a few days a week. Adjust your expectations accordingly.
6gvONxR4sf7o 6y ago
Is there a difference between the kind of “short term investing strategies” you’re taking about and “get rich quick schemes?”
- deleted 6y ago
  [deleted]
- runawaybottle 6y ago
  Yes. A 5-10 year investing strategy can make a down payment on a house realistic. That kind of stuff is laughed at by the put your money in a bunker until 65 crowd. I will not buy a house at 65, I’m sorry I won’t. You don’t have a plan for me. So I will look to other strategies.
  - 6gvONxR4sf7o 6y ago
    Could you give an example or link? All I know is taking on more risk if you want the same amount (down payment), just sooner.
    - runawaybottle 6y ago
      /r/thetagang Option wheeling strategies with modest amounts of capital (50-100k) to generate 1-4K a month. Wheeling is considered the most primitive strategy. There are others, along with your standard buying of leaps or general growth minded investments. There seems to be more to this than dumping it all in a 401k until you die.

grenoire 6y ago

Boomers tell zoomers to just stick to the fundamentals. Zoomers are tired of this crap.

deleted 6y ago
[deleted]
zhdc1 6y ago
When ex-zoomer boomers tell zoomers to act more like ex-zoomer boomers, and not zoomer boomers, there's probably a good reason for it (at least when it comes to money).
TameAntelope 6y ago
Zoomers aren’t old enough to be tired of stuff yet... Kidding, but there’s a real value in letting other people explain their mistakes to you in a way that helps you skip those mistakes, and I see a lot of that here.
- bilekas 6y ago
  Zoomers are forever tired
jackhack 6y ago
the difference is that boomers have lived through more than one market cycle and we know an inevitable "correction/crash" is coming. The wise will take action in advance (e.g. move to cash positions) to lock in gains, then repurchase at what feels like the worst point of doom & gloom. A 50% loss needs a 100% gain to recover... Plus inflation. Factor in opportunity cost and it might be closer to 120%. The first and last lesson in investing is DON'T LOSE MONEY. Sadly, many have to learn firsthand that markets don't grow to the sky forever.
- icedchai 6y ago
  Also, don't put all your eggs in one basket. It sounds cliche, but diversification is important. When the entire market crashes and you're down 30%, it will come back... in time. When your crazy YOLO stock crashes 90%, it may be done for good.
loco5niner 6y ago
Funny, every coach I ever had said "stick to the fundamentals". Probably just experience talking.

rwmurrayVT 6y ago

For some it's a hobby/entertainment. My 401k is up 10% a year or whatever. My personal account is up 400% since March, but with a smaller starting value. It could go to zero and I'd be fine.

castlecrasher2 6y ago

Or in other words, the problem is lack of patience. I certainly have it, which is why I occasionally swing trade options. But the numbers clearly show the long hold strategy as in the article is the smart, reliable play, one that can be done simply by contributing small amounts each month.

alextheparrot 6y ago
I think there’s a balance between accruing and exploiting in terms of converting delayed value into realized value [0]. The utility of a dollar goes down as your able to do less with it or have less likelihood of being able to spend it [1]. For example, a family member took a trip right after retirement to Machu Picchu and passed away, not much good his pension and 401k did at that point. The numbers in the bank account work out, but I’m less convinced that it remains as simple when you add the existential variable into the question. [0] Spending money [1] Things like focusing on your kids and inheritance help subvert this a bit.

jkelleyrtp 6y ago

Part of it is that other players in the market have short term investment strategies, yet retail is told to sit on the sidelines and hold for 50 years. Why can't we all try to play with money the same way these people do?

rufus_foreman 6y ago
>> Why can't we all try to play with money the same way these people do? You absolutely can. You can also try to play chess against Stockfish after reading a few Reddit forums about chess and practicing in your spare time a few days a week. Adjust your expectations accordingly.

6gvONxR4sf7o 6y ago

Is there a difference between the kind of “short term investing strategies” you’re taking about and “get rich quick schemes?”

deleted 6y ago
[deleted]
runawaybottle 6y ago
Yes. A 5-10 year investing strategy can make a down payment on a house realistic. That kind of stuff is laughed at by the put your money in a bunker until 65 crowd. I will not buy a house at 65, I’m sorry I won’t. You don’t have a plan for me. So I will look to other strategies.
- 6gvONxR4sf7o 6y ago
  Could you give an example or link? All I know is taking on more risk if you want the same amount (down payment), just sooner.
  - runawaybottle 6y ago
    /r/thetagang Option wheeling strategies with modest amounts of capital (50-100k) to generate 1-4K a month. Wheeling is considered the most primitive strategy. There are others, along with your standard buying of leaps or general growth minded investments. There seems to be more to this than dumping it all in a 401k until you die.