3 ms·
"Mr. Jones’s retirement account took a hit in 2008 and never recovered. Spooked by the S&P 500’s 38.49% decline in 2008, he sold his stocks and invested in a st
by scottLobster 4y ago
"Mr. Jones’s retirement account took a hit in 2008 and never recovered. Spooked by the S&P 500’s 38.49% decline in 2008, he sold his stocks and invested in a stable value fund that earned about 1% a year, said the couple’s son-in-law, Jon Older, a doctor who has managed the portfolio since 2018. Dr. Older moved 35% of the balance into a low-cost stock index fund and the rest into an intermediate Treasury bond index fund."
So he missed out on one of the best stock market rallies in history out of ignorance and fear. Ouch.
- refurb 4y agoThe market is up 3x since then. Bad move.
- ghaff 4y agoI'm guessing quite a few people panicked and pulled out their money after it dropped 40% or whatever--especially if they were close to retirement.
- imwithstoopid 4y ago> So he missed out on one of the best stock market rallies in history not alone though...every VC who poured $30 million into a cashflow-negative startup eight years ago has also missed out on turning it into $100 million with the click of a mouse
- ghaff 4y agoI know someone who became an angel investor after they retired maybe 15 years ago as sort of a combination hobby and investment mechanism. He is by no means starving but he told me that he could have saved himself a whole lot of trouble and money by just putting the investment dollars into a NASDAQ index. (He does still do some angel investing but only in a small number of companies he feels particularly strongly about.)