Random Thoughts 14: I can see clearly now 2020 edition

[VeloClone]

At work someone had put together a simplified board for the final score of the Super Bowl. Ten people put in money and drew a number from 0-9. Winners were based on the last digit of the combined score at the end of the first half and end of game. I drew 4 so I was bummed that the final TD cost me $100. I was feeling pretty good when it was 24-20 and I knew all they needed to do was pick up a first down or two and run out the clock with less than 2 minutes to play. They weren't supposed to score another TD.

 

[BCClone]

the interest rate had dropped decently from last winter so that was the thought.

What rate do you want realistically? Your iras are probably in mutual funds. You may be thinking of money markets which suck as bad as CDs now. If you don’t want the upfront fees, want a higher typical rate of return, and you don’t think you will need it for a couple years; get c shares of a balanced mutual fund.

 

[SCyclone]

What kind of sick torture is this?
View attachment 70024

Must be an old Jackass episode.

 

[SCyclone]

Pretty sure I am never coming back from Mexico. Figure the worldwide international flight ban will be put into full force about the time I am supposed to fly back. Rooms will probably be cheap though, all of the incoming flights will be cancelled to. And I'll have internet access to download books and transfer money to my new Mexican bank.

Maybe you could get a job as a mule for El Chapo's bunch.

 

[cowgirl836]

What rate do you want realistically? Your iras are probably in mutual funds. You may be thinking of money markets which suck as bad as CDs now. If you don’t want the upfront fees, want a higher typical rate of return, and you don’t think you will need it for a couple years; get c shares of a balanced mutual fund.

I don't want it to lose money, basically. I need to talk more with DH and see if he feels like being riskier but I'm ok with it just staying ahead of inflation.
I was probably thinking of money markets which I remember last year being basically the same or worse as a CD. Our IRA money is all in index type funds so I thought a mutual fund seemed similar just......different somehow? But I wasn't sure on the how part. Just a difference in how it works for taxes? I guess if it can go into the same stuff that we have IRA money in that's probably fine too.

 

[BCClone]

I don't want it to lose money, basically. I need to talk more with DH and see if he feels like being riskier but I'm ok with it just staying ahead of inflation.
I was probably thinking of money markets which I remember last year being basically the same or worse as a CD. Our IRA money is all in index type funds so I thought a mutual fund seemed similar just......different somehow? But I wasn't sure on the how part. Just a difference in how it works for taxes? I guess if it can go into the same stuff that we have IRA money in that's probably fine too.

You can do a index fund for a mutual fund, that is the only way to stay ahead of inflation. You would need to find something paying 3% and that would be tough. I know of some banks pushing a little over 2% for 15 month CDs. At least I think, I’m in the high risk stuff and swing for fences so I only see when I’m looking to put estate stuff temporarily.

 

[ImJustKCClone]

Is Twins schtick getting old to anyone else?

That ship sailed for me a while back. I'm just not a big fan of doing nothing but trolling, and doing it just for the sake of pissing people off. It's juvenile.

 

[NWICY]

don't really want to start a whole thread for this but we have a CD that comes up in a few days. We don't the need the $$ right now so what is the best thing to do with it to sit kinda safely somewhere? Is that what a mutual fund is? IDK what that is really or how it differs from our IRAs. We could just roll it over into another CD as well but was trying to see what the options are.

CD's will be your safest, but also will have possibly lower returns than a mutual fund. Mutual funds work good to get a whole slice of the stock market Vanguard is a good low cost mutual fund. I'm sure there are other good options also. The doggone stock market has been on a good run so you would think there would be a correction coming. I guess it sort of depends on what your risk tolerance is, you guys are young enough in the long run a correction won't hurt you much. Well that's my 2 cents worth.

 

[BCClone]

Local D caucus was at the HS, could not go due to a HS basketball game. Walked by after the game, not really well attended. Better than a second term type one, but I figured there would be about 2X what I saw.

 

[cowgirl836]

CD's will be your safest, but also will have possibly lower returns than a mutual fund. Mutual funds work good to get a whole slice of the stock market Vanguard is a good low cost mutual fund. I'm sure there are other good options also. The doggone stock market has been on a good run so you would think there would be a correction coming. I guess it sort of depends on what your risk tolerance is, you guys are young enough in the long run a correction won't hurt you much. Well that's my 2 cents worth.

IRAs are all in vanguard. Correction is what we kinda waited on last year and did the CD. So what do you want, if we do CD again, boom market. Put it in stock, crash.

 

[JM4CY]

CD's will be your safest, but also will have possibly lower returns than a mutual fund. Mutual funds work good to get a whole slice of the stock market Vanguard is a good low cost mutual fund. I'm sure there are other good options also. The doggone stock market has been on a good run so you would think there would be a correction coming. I guess it sort of depends on what your risk tolerance is, you guys are young enough in the long run a correction won't hurt you much. Well that's my 2 cents worth.

Been listening to a podcast about the Enron meltdown. Man that’s some interesting stuff. I don’t understand all of it by any stretch but wow that was a shady group of individuals to say the least.

 

[BCClone]

IRAs are all in vanguard. Correction is what we kinda waited on last year and did the CD. So what do you want, if we do CD again, boom market. Put it in stock, crash.

Don’t wait on a correction, you can’t time a market. If you are concerned, spread it out over 3, 6, 12 months or whatever and do that route. One option is to ladder the CDs so you always have 1/4 or so coming up every hear to have some liquidity and you are going with 4 year CDs then to get better rates.

 

[NWICY]

IRAs are all in vanguard. Correction is what we kinda waited on last year and did the CD. So what do you want, if we do CD again, boom market. Put it in stock, crash.

Give me a heads up before you move it or not. I need to come out ahead for a change.

 

[cowgirl836]

Don’t wait on a correction, you can’t time a market. If you are concerned, spread it out over 3, 6, 12 months or whatever and do that route. One option is to ladder the CDs so you always have 1/4 or so coming up every hear to have some liquidity and you are going with 4 year CDs then to get better rates.

I want to say this time last year is when it was being really shaky and the CD was 2.7% so decided to park it for a year. I don't tend to play markets but wondered if there was an option for chickens that was higher than CD but lower than stock....index fund probably the best spot.

 

[BCClone]

I want to say this time last year is when it was being really shaky and the CD was 2.7% so decided to park it for a year. I don't tend to play markets but wondered if there was an option for chickens that was higher than CD but lower than stock....index fund probably the best spot.

Not too many options to have a safe, high liquidity, and at or above inflation fund.

About 12-15years ago a guy on the radio was pushing everybody to I-bonds (inflation bonds that pay the rate of inflation). Then 2007/2008 crash happened and inflation hovered at 1% or so for awhile and he never talked of them again as people couldn’t live off a 1% investment when they were pulling 3-4% for a bit.

 

[BCClone]

I want to say this time last year is when it was being really shaky and the CD was 2.7% so decided to park it for a year. I don't tend to play markets but wondered if there was an option for chickens that was higher than CD but lower than stock....index fund probably the best spot.

You could pay a chunk against your house and then rebuild a stockpile or make a small second if stuff hits the fan.

 

[cowgirl836]

You could pay a chunk against your house and then rebuild a stockpile or make a small second if stuff hits the fan.

I had thought about doing that too, not a bad idea. Home buying we did time well so our interest rate is pretty nice so not a huge gain on that end. Outside of time, of course.

 

[SCyclone]

Been listening to a podcast about the Enron meltdown. Man that’s some interesting stuff. I don’t understand all of it by any stretch but wow that was a shady group of individuals to say the least.

Check this doc out if you want the whole story:
https://www.imdb.com/title/tt1016268/?ref_=fn_al_tt_1

 

[BCClone]

News on this morning, Iowa getting talked about a lot. Not in a good way though.

 

[cycloneG]

I want to say this time last year is when it was being really shaky and the CD was 2.7% so decided to park it for a year. I don't tend to play markets but wondered if there was an option for chickens that was higher than CD but lower than stock....index fund probably the best spot.

If this isn't in a tax sheltered account, you may want to look at some of Vanguard's tax-exempt funds.