4 ms·

I won't touch leverage with a 10 foot pole. With that being said, 9% is a lot depending on how much you have in the account.

iso1631 5y ago
It's annoying, but it doesn't matter too much unless you're retiring soon. I suspect it will drop another 20% though, back to mid 2020 levels. Fed will start to intervene if it goes beyond that, too many votes. Its like house prices in the UK, the government won't allow them to drop.
- fullstop 5y ago
  I am paying my daughter's college tuition from a 529 plan, so this affects me even though I am not retiring soon.
  - ajross 5y ago
    Tough love: if you are currently making needed payments out of an account invested primarily in volatile assets, you have invested it incorrectly. More likely you left the 529 money in stocks because it's a tax shelter, not because you were actually setting that money aside for tuition. It's the same point above: this is what markets do. Investment strategies are risk management strategies. You can't just dump money into whatever is going up right now and then complain when it goes down.
    - fullstop 5y ago
      > Tough love: if you are currently making needed payments out of an account invested primarily in volatile assets, you have invested it incorrectly. More likely you left the 529 money in stocks because it's a tax shelter, not because you were actually setting that money aside for tuition. Not exactly, so I'm not down 9% in my 529. I set target dates and my financial institution has shifted them to more stable assets based on that. I just checked and it's only 19% stocks. As an aside, using a 529 for a tax shelter wouldn't work very well because of the penalties incurred if it is not used for education. 100% of the funds I have saved here are for tuition purposes -- I started doing this years before we had children.
jeffwass 5y ago
> I won't touch leverage with a 10 foot pole. But with a long enough pole and a firm-enough place to stand, you could move the world! <ducks>
- fullstop 5y ago
  Archimedes investment strategies?
KptMarchewa 5y ago
9% is a blip on the radar after years of record growth.

iso1631 5y ago

It's annoying, but it doesn't matter too much unless you're retiring soon. I suspect it will drop another 20% though, back to mid 2020 levels. Fed will start to intervene if it goes beyond that, too many votes. Its like house prices in the UK, the government won't allow them to drop.

fullstop 5y ago
I am paying my daughter's college tuition from a 529 plan, so this affects me even though I am not retiring soon.
- ajross 5y ago
  Tough love: if you are currently making needed payments out of an account invested primarily in volatile assets, you have invested it incorrectly. More likely you left the 529 money in stocks because it's a tax shelter, not because you were actually setting that money aside for tuition. It's the same point above: this is what markets do. Investment strategies are risk management strategies. You can't just dump money into whatever is going up right now and then complain when it goes down.
  - fullstop 5y ago
    > Tough love: if you are currently making needed payments out of an account invested primarily in volatile assets, you have invested it incorrectly. More likely you left the 529 money in stocks because it's a tax shelter, not because you were actually setting that money aside for tuition. Not exactly, so I'm not down 9% in my 529. I set target dates and my financial institution has shifted them to more stable assets based on that. I just checked and it's only 19% stocks. As an aside, using a 529 for a tax shelter wouldn't work very well because of the penalties incurred if it is not used for education. 100% of the funds I have saved here are for tuition purposes -- I started doing this years before we had children.

jeffwass 5y ago

> I won't touch leverage with a 10 foot pole. But with a long enough pole and a firm-enough place to stand, you could move the world! <ducks>

fullstop 5y ago
Archimedes investment strategies?

KptMarchewa 5y ago

9% is a blip on the radar after years of record growth.