2024 Investment Thread

Fidelity allows you to move 401k funds into a quasi money market, I forget what they call it, then from there you can invest in individual stocks. I don't think it's full service, like if you wanted to trade options, maybe basic trades only. And you can do it through their Active Trader Pro program, which is a pretty intuitive interface for noobs.
 
Blankpage said:
401K plans kinda blow and need an overhaul. What’s with not being allowed to invest in individual stocks. They’re a bit of a scam with fund managers making a ton off them.
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IDK, worked great for us.

When we retired moved it all into IRA of course and are currently draining it while our tax rates are low pre SS.

Just invest in an S&P index fund.

If I'd followed that advice, vs trying to pick individual stocks, we'd be even better off today.
 
Pretty crazy.

We held seminars to educate our employees; I had assumed all businesses did.

https://www.cnbc.com/2019/03/07/63-...are-confused-about-401k-retirement-plans.html

If you can’t define a 401(k) plan, you’re not alone: Though it’s one of the most common retirement savings vehicles, 63 percent of Americans don’t understand exactly how it works.

That’s according to ValuePenguin, which asked 2,000 Americans if they could define key money terms like compound interest, credit score and 401(k), and then shared the results with CNBC Make It.

When asked if they understood how a 401(k) plan works, only 37 percent of survey respondents answered yes.
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I wish I'd done more of the backdoor IRA stuff with mine, I have a decent chunk in my 401k and had only been backdooring into an IRA once the 401k was maxed for around 4 years before I got laid off. Seems that an IRA might have been the best move since there is no way taxes are gonna be less than they are today in 20 years when I can draw off that thing. Then again, at the rate things are inflating versus my level of savings, retirement in full isn't likely to be an option for unless my income changes dramatically in the next 15 - 20 years.
 
N4teTheGreat said:
I wish I'd done more of the backdoor IRA stuff with mine, I have a decent chunk in my 401k and had only been backdooring into an IRA once the 401k was maxed for around 4 years before I got laid off. Seems that an IRA might have been the best move since there is no way taxes are gonna be less than they are today in 20 years when I can draw off that thing. Then again, at the rate things are inflating versus my level of savings, retirement in full isn't likely to be an option for unless my income changes dramatically in the next 15 - 20 years.
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SCHG S&P index fund up 45 percent last 12 months. 126 percent over the last 5 years.
 
Oh it is growing fine, I just need a much bigger sum now to grow to a reasonable number by then. Particularly since I'm now losing out on a year or so of contributions.
 
GAJ said:
SCHG S&P index fund up 45 percent last 12 months. 126 percent over the last 5 years.
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That looks like a good one if you want to hold funds and not too bad with the management fees.

Im holding only seven stocks in my accounts and they’re each inside this fund. For me Id rather hold individually only the ones I’m interested in instead of through a fund of 50 stocks.
 
Nothing wrong with creating your own fund based on the best performers in Schwab's fund. It's just more manual, something to keep an eye on.
 
As I mentioned, I'd be better off if I'd takin my father in law's advice on just investing in index funds years ago.

Not a "sexy" way to invest of course.

The S&P 500 returned 345% over the last two decades, compounding at 7.7% annually. But with dividends reinvested, the S&P 500 delivered a total return of 546% over the same period, compounding at 9.8% annually. Investors can get direct, inexpensive exposure to the index with a fund like the Vanguard S&P 500 ETF.

The Dow returned 268% over the last two decades, or 6.7% annually. Investors can tap into the index with the SPDR Dow Jones Industrial Average ETF, though that index fund is unlikely to outperform the S&P 500 over long periods simply because the Dow prioritizes quality over growth.

The Nasdaq Composite had the strongest 20-year performance after rising 687%, or 10.9% annually. The Fidelity Nasdaq Composite ETF is one way to invest in the index.
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https://www.msn.com/en-us/money/mar...c?cvid=ba0cbd16c8f84f41aa6286efd753c458&ei=72
 
Anyone getting in on the RDDT IPO? I got an invite thingy when I logged on this afternoon
 
Blankpage said:
Your father in law should have told you to buy AAPL but that’s starting to blow lately.
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We bought $40k's worth about 15 years ago and held it, so, it's done ok. :laughing

At the beginning of the year I sold all my AAPL and put it into SCHG as I had a feeling Apple might start to taper a bit temporarily.

Glad I did, swing between the two is double digits already and it is barely March.

Aapl is down, SCHG is up.

My wife, however, never has sold any aapl, I've done it twice but I think I'm done with it myself. We still have plenty.
 
SWMBO (She Who Must Be Obeyed, courtesy of Rumple of the Bailey) worked for Apple legal for a year or so a few years back. They showered her with an insane amount of options upon hiring, vested over 4 years. I also had her immediately sign up for the ESPP. She couldn't stand the legal and HR environment and quit after a little over a year. She walked away basically with one year's options, which are worth about $500k today.

I used to give her shit that if she had stayed the four years she would have walked out as a multi-millionaire just on the options. It was so stressful for her that I couldn't in good conscience try to keep her there.:x

Liquidating them is going to be an absolute bitch tax-wise. :party
 
900ss said:
Liquidating them is going to be an absolute bitch tax-wise. :party
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File under "nice problem to have."

Not sure how old you are but definitely consider paying tax on it should you both stop working before Social Security age.

That is when we took the opportunity to do some Roth conversions the first go around.
 
Apple falling out of favour has always been a thing, its had cycles of being flat for a year or two before significant moves upwards.

Back around 2015 it had a PE of 10 and analysts saying it’s best day of growth were behind it. I remember thinking at the time that it would be a good buy simply for the multiple expansion potential but I didn’t add any. Still sitting on what I bought back in 2009.
That potential isn’t there this time. They still sell a lot of phones but there isn’t much new in the pipeline.
 
Apple's market is sitting right in front of them: Automobile internal systems and user interface. It's amazing they haven't moved this way, but given Tim Cook's still "the guy", it's not a surprise.
 
Latest net worth numbers.

Hopefully most folks are above the median, or even better, above the average.


Here’s the latest data, released in October 2023.

Under 35: $39,000 (median); $183,500 (average)

35-44: $135,600 (median); $549,600 (average)

34-54: $247,200 (median); $975,800 (average)

55-64: $364,500 (median); $1,566,900 (average)

65-74: $409,000 (median); $1,794,600 (average)

75+: $335,600 (median); $1,624,100 (average)
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https://www.msn.com/en-us/money/sav...6?cvid=84da01eb76a841c7a06daa295a733df4&ei=79

Mind you as old farts like me hit our "use by dates" millennials will benefit immensely assuming their parents are meeting the averages above.

However, over the next twenty years, Millennials are poised to inherit some $90 trillion of assets and become the richest generation in history – but only the ones who already come from affluent families, potentially deepening wealth inequality further.

Between now and 2044 in the US, the Silent Generation and Baby Boomers are expected to hand over the reins of their significant wealth to Millennials, according to The Wealth Report, a periodic report from global property consultant Knight Frank.

But whether you’re a Millennial on the receiving end of that wealth transfer is largely a lottery of birth.
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https://www.cnn.com/2024/03/01/econ...rrently grasping,an affordable cost of living.
 
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