Anyone moving stocks to more conservative safe haven areas?

[meltingfeather]

I’m always happy. You just remind me of the young rookie running around telling everyone how great you are. Some people have already accomplished many times over what you hope to accomplish. Best of luck in your soon to be retirement from someone that has been retired for 2 decades come next week without a pension or SS. It’s a nice milestone to hit. It will be nice to have SS kick in when I celebrate my 3rd decade of retirement if I’m still here and it is still viable. [emoji6]


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Must have been nice to have it all figured out by the time he turned 40!
lol

[IkemanTX]

And the market just keeps on dropping!
The DJI is currently down 326 for the day. Another couple or few weeks of this, and I might be ready for jumping back in. If the DJI gets as low as 26,000 I will go all in on a whole market index again.

My wife isn’t comfortable pulling our savings down any further, so no more individual stock purchases to be had… that eats me up with all the unnecessary drops several things have taken in this sell off.


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[SabineHunter]

Yeah, with the Dow keeping on going down, it is such a bad idea to have nothing but cash. I mean I am losing 2/3 of a percent each month. Yeah, right, genius boy.

[Killer]

Where is the bottom?

[IkemanTX]

Where is the bottom?

I would love to know.


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[HTXTundra]

People with big accounts should look into Options, PUT options to be specific. Options are hard to explain, but essentially, you make a bet (buy a contract of 100 shares of a stock) that the stock price will go down, if it goes down (bet goes your way), you make money. Option Puts can used as a hedge against your position. You can also buy a Call Option, a bet that a stock’s will go up. The bad thing about options, is that the contracts have an expiration date, so if you hold for too long, time will start eating away and eventually will expire worthless. The longer the expiration date you buy, the more expensive the option contract is.

[HTXTundra]

Mostly debt vehicles. Notes, bonds, then some in market items where im exposing equity to the market, like REITs and mlps. This way im diversifying my buying power and risk.100$ today being value of x bond with y% return until done versus fluctuating equity value of a security that at present will result in reduced buying power through equity, but still get 7-9% return in income. Which honestly is more of a hedge against equity loss than a true return (unless you hold forever) because youre essentially getting back a portion of capital as income while your equity deflates, basically playing catch up but at least not totally losing buying power, because youre still generating something thats liquid.
On the reits and mlps, i try to find things that would be relatively the same return or slight discount if i did it myself with 80% leverage.
That all said i havent sold all of my stock holdings, because i dont do this full time haha. Still socking away into it at the same regular rate i would, since ive got plenty of time for the market to go up again. I just definitely would not solely continue investing in mostly stock during the bear market.

I used to write trading algorithms for a private firm, in my time there, one thing i learned is bear markets are harsh and blindingly fast compared to slow climbs up. So hopefully the end is sometime after summer or so.


Ill also add, at this point if holding mostly stock, just continue to hold. Even if shoulda woulda coulda is heavy, better to just accept it and hold until we are out of bad weather.

Could you please elaborate on the trading algorithms?

[bow4my2]

Down 10% since November so switched it today. Hope to retire in October-November of this year so can’t lose anymore

Good for you, hopefully a good place to weather the storm. I haven’t lost anything still all mine and my company has put in is still accumulating and I have gained .5%. Extremely nominal but it’s still there.

[meltingfeather]

Yeah, with the Dow keeping on going down, it is such a bad idea to have nothing but cash. I mean I am losing 2/3 of a percent each month. Yeah, right, genius boy.

In the market you don’t lose anything until you sell.
It’s kind of funny that, not only are you are all in on holding cash as a strategy in an 8(+)% inflation environment, but you are **** proud of yourself!
I guess that’s you more generally.
lol
It’s your money.

[rtp]

Yeah, with the Dow keeping on going down, it is such a bad idea to have nothing but cash. I mean I am losing 2/3 of a percent each month. Yeah, right, genius boy.

You sold an asset paying you 5%, to move into an asset losing 8%....... Please let us know what you convert your cash to and when. I like to follow winning strategies.

If you read what I wrote, I said I did bail out of stocks almost entirely and into cash once before so Im not against this stategy. I did it basically over a 6 month period and the only thing that kept me from going all cash was the crash in 2000. I hadnt quite sold everything yet. I think I was around 85% cash at that point. I hit getting out perfectly and hit getting back in nearly 3 years later perfectly. Totally luck and based on pure gut feeling and nothing else. Im not against it, Im just not comfortable doing it in this environment. If inflation continues at this level or worse for the next 3 years, I dont feel like cash is a good place to be for that long. I hope that doesnt happen but I dont trust those that are currently in control of making a bigger mess of this than they already have. So far they have been wrong about everything. The published inflation number is 8%ish. This is after all the games they play with their "formula" to make it better than it really is. I have read real inflation is currently running in the 15% range which I feel is way more in line with what I see going on.

If those in cash jump back in soon and the markets rebound to the levels I think they are heading next, then yall made the right choice.

Three things kept me from going more than the 15% cash position I have now.......I dont think I can get lucky again trying to time the market, I would take a huge tax hit from selling the equities I own, and I dont trust this inflation evironment from becoming double what it is now.

[RiverRat1]

$73 last I checked. Long term hold!

More drama in the crypto market as USDT (tether) a so-called $1 stable coin dropped to $0.65.

COIN was around $42 this morning. Seems to be no bottom for a lot of these stocks.

[rtp]

Nasdaq down 30% since mid November if my math is correct.

[SharpEnd]

Nasdaq down 30% since mid November if my math is correct.

Might still have a ways to go. Likely nowhere near as bad as the dotcom bubble when PEs were at 100, but interesting comparison nonetheless.

[Pedernal]

With inflation numbers on consumers and also factories/producers at this level, what are the expectations for the markets?? Seems to me like the black cloud/storm is still building when you consider fuel prices are not going to get better any time soon?

Seems to me we are in the start of stagflation. How will that effect the economy and separately how will that effect the markets?? Sane for the Real estate market??

[TeamAmerica]

COIN was around $42 this morning. Seems to be no bottom for a lot of these stocks.

No kidding! Don't take advice from me. I haven't bought the dip yet but am getting close to moving some funds back in. My biggest holding outside of s&p 500 index funds is Berkshire. Up 2% in 2022 and up 9% over last year. Don't have to preach too much about their long term returns!

Good catch on the stable coin misspeak. It was Terra (UST) not tether (usdt). Ust seems to have an algorithm peg to dollar instead of backing by real treasurys. They had to dump a bunch of btc to try and prop up luna putting even more price pressure on btc. WSJ just reported today that tether did break the $1 peg briefly. So keep an eye on it!