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Massdriver

Massdriver

Posted
Posted
On 11/2/2021 at 8:35 AM, CayceG said:

 

 

Okay, fair :p 

 

I guess the weirdness to me is that everything else going on with stonks and tendies just obviously seems like outright gambling. What I'm doing--and mutual funds, stock funds, etc in general--SEEMS like you're putting money in the bank, but the volatility and risk is still there. The idea that the stock market just goes up and up and up is insane to me. 

 

How in God's name is this at all sustainable?

 

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It blows my mind. But I'm gonna ride this bull I guess. 

Are you purchasing the whole U.S. stock market (VTI) or Total World Stock Market (VT)? 

 

I ask because I think there is a good argument that the U.S. stock market is frothy. I've been more comfortable purchasing VT in my tax advantaged accounts and VTI and VXUS in my taxable which exposes me to international equity markets  which I believe are more reasonably valued (up for debate), but at least it's more diversified. 

 

Always keep in mind that an index fund like VTI crashed 80% during the great depression. Japan's stock market still hasn't fully recovered from the crash in the 80s. We aren't at those valuations right now in the U.S., so it's not the same thing, but it's good to keep things in perspective.  Once you toss money into an index fund, you should not plan on having to take it out for at least 10-20 years. 

 

I also have been purchasing value/factor funds from Avantis (AVUV, AVDV, AVES) since I believe they're just a better buy right now and factor funds have greater expected returns going forward, but it adds complexity to a portfolio which may not be desirable for a variety of reasons and of course there are no guarantees.

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CayceG

CayceG

Posted
Posted
1 hour ago, Massdriver said:

Are you purchasing the whole U.S. stock market (VTI) or Total World Stock Market (VT)? 

 

I ask because I think there is a good argument that the U.S. stock market is frothy. I've been more comfortable purchasing VT in my tax advantaged accounts and VTI and VXUS in my taxable which exposes me to international equity markets  which I believe are more reasonably valued (up for debate), but at least it's more diversified. 

 

Always keep in mind that an index fund like VTI crashed 80% during the great depression. Japan's stock market still hasn't fully recovered from the crash in the 80s. We aren't at those valuations right now in the U.S., so it's not the same thing, but it's good to keep things in perspective.  Once you toss money into an index fund, you should not plan on having to take it out for at least 10-20 years. 

 

I also have been purchasing value/factor funds from Avantis (AVUV, AVDV, AVES) since I believe they're just a better buy right now and factor funds have greater expected returns going forward, but it adds complexity to a portfolio which may not be desirable for a variety of reasons and of course there are no guarantees.

VTI. My plan here is to let the few shares I have ride and buy an extra share every month or so. Then once the value of the shares equal the value of what's left on my home loan I cash out and pay off the house. I'm thinking that's in the 10-15 year window. 

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Air_Delivery

Air_Delivery

Posted
Posted

I have VXUS as my world exposure and it has done jack shit in the years I've had it. It has become smaller and smaller part of my portfolio just because everything else has lapped it. I still keep it just for safety I guess but it is an annoying what that money could have done. At least the dividend is kinda fat. 

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Massdriver

Massdriver

Posted
Posted
38 minutes ago, Air_Delivery said:

I have VXUS as my world exposure and it has done jack shit in the years I've had it. It has become smaller and smaller part of my portfolio just because everything else has lapped it. I still keep it just for safety I guess but it is an annoying what that money could have done. At least the dividend is kinda fat. 

US equities have largely increased because of multiple expansion rather than earnings. In other words price has been going up quicker than earnings. US dividends being lower than Int is a symptom of this. 
 

Keep in mind that we are all investing for the long run. International has had a shitty decade. It hasn’t been good in my portfolio either. But US would have returned almost nothing (a bit over 1%) from 2000-2010 while international outperformed. That wasn’t that long ago.  Beware of recency bias and chasing hot performing markets. What happens going forward is anyone’s guess. I prefer more diversification, but pick what you can stick with. 
 

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Air_Delivery

Air_Delivery

Posted
Posted
42 minutes ago, ManUtdRedDevils said:

James Franco GIF
 

@Air_Delivery what do we got next coming up?

Nothing right now lol but I'll post em if I see anything.

I will say that I do think mRNA is going to be massive but Moderna has already made a massive run so I dunno if its priced in as it is. Its dipped pretty good from its peak so it might be worth a look. 

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Brian

Brian

Posted
Posted
4 minutes ago, Air_Delivery said:

Nothing right now lol but I'll post em if I see anything.

I will say that I do think mRNA is going to be massive but Moderna has already made a massive run so I dunno if its priced in as it is. Its dipped pretty good from its peak so it might be worth a look. 

Yea I have an eye on it. I might start a position on it if it gets around $200

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Commissar SFLUFAN

Commissar SFLUFAN

Posted
Posted
24f11b0fc92d9f9865994df4a678f820

Reddit’s Latest Money-Making Obsession Is an Obscure Fed Facility

FINANCE.YAHOO.COM
(Bloomberg) -- Every day in the early afternoon, money-market traders are glued to the Federal Reserve Bank of New York’s website to see the results of the overnight reverse-repurchase agreement facility.Most Read from BloombergWhy Hong Kong Is Building Apartments the Size of Parking SpacesWhere Did All the Public Bathrooms Go?Do Prisons Deserve a Second Chance?COP26 Protests: Inflatable Cows, Megaphones and a RainbowThe...

 

THEY'RE OBSESSING OVER THE OVERNIGHT REVERSE REPO FACILITIES :rofl:


@rc0101

 

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Jason

Jason

Posted
Posted
2 minutes ago, Commissar SFLUFAN said:
24f11b0fc92d9f9865994df4a678f820

Reddit’s Latest Money-Making Obsession Is an Obscure Fed Facility

FINANCE.YAHOO.COM
(Bloomberg) -- Every day in the early afternoon, money-market traders are glued to the Federal Reserve Bank of New York’s website to see the results of the overnight reverse-repurchase agreement facility.Most Read from BloombergWhy Hong Kong Is Building Apartments the Size of Parking SpacesWhere Did All the Public Bathrooms Go?Do Prisons Deserve a Second Chance?COP26 Protests: Inflatable Cows...

 

THEY'RE OBSESSING OVER THE OVERNIGHT REVERSE REPO FACILITIES :rofl:


@rc0101

 

 

reddit_2_brett-jordan_unsplash_bigpic_16

Reddit Karma Points Could Soon Amount to Crypto Tokens: Details Here

GADGETS.NDTV.COM
An engineer who recently joined Reddit tweeted that the platform wants to play a part in decentralising the Internet.

 

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rc0101

rc0101

Posted
Posted
4 minutes ago, Commissar SFLUFAN said:
24f11b0fc92d9f9865994df4a678f820

Reddit’s Latest Money-Making Obsession Is an Obscure Fed Facility

FINANCE.YAHOO.COM
(Bloomberg) -- Every day in the early afternoon, money-market traders are glued to the Federal Reserve Bank of New York’s website to see the results of the overnight reverse-repurchase agreement facility.Most Read from BloombergWhy Hong Kong Is Building Apartments the Size...

 

THEY'RE OBSESSING OVER THE OVERNIGHT REVERSE REPO FACILITIES :rofl:


@rc0101

 

Yeah I’ve seen that! It’s amusing reading the replies and none of them have any idea what the hell it is! 

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Commissar SFLUFAN

Commissar SFLUFAN

Posted
Posted
4 minutes ago, rc0101 said:

Yeah I’ve seen that! It’s amusing reading the replies and none of them have any idea what the hell it is! 

 

 

Quote

“Callingallnerdz” said hedge funds are overleveraged and if/when there’s a market crash, their collateral will fall, resulting in margin calls and requirements to close short positions that will cause shares of GameStop to “finally moon.”

 

Quote

This may be why some RRP watchers are still insisting that an eventual collapse in demand for the Fed’s facility will somehow harm hedge funds and send shares of GameStop soaring once again, even though hedge funds are not counterparties with the central bank.

 

:rofl:

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Commissar SFLUFAN

Commissar SFLUFAN

Posted
Posted
Just now, rc0101 said:

How the hell do they get that they are over leveraged? I think the term “repo” throws them through a loop. 

 

That has to be the case - just like this guy's mom:

 

Quote

That’s similar to the way it’s being viewed by a Reddit user who goes by “oldmanrepo,” a retired repo trader named Tim who tries to stem the tide of misinformation that floods the forum. He’s no stranger to laymen misunderstanding the market: For the first five years of his career in repo, he was pretty sure his mother thought he was stealing cars. 

 

 

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Guest

Guest

Posted
Posted

I have been buying little crypto stakes this quarter and I remembered I have a Coinbase account from a few years back. This was the last transaction I made there in 2018 when I cleared all my positions.

 

37263-AB1-BCCF-4-D5-B-B66-C-4-DA46-FE38-D27
 
Should have had diamond hands

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Zaku3

Zaku3

Posted
Posted
15 minutes ago, Jason said:

I'm close to negative on my brokerage account.

 

Hopefully everything stays in the toilet until Friday when my retirement contribution goes in.

 

 

I was trying to find this thread. I bailed on webull. Just gonna stock to sports betting. On a pretty good run and Idon't care enough about stocks to bother keeping on top of them

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CayceG

CayceG

Posted
Posted

My VTI purchases have NOT done what I wanted them to. HODL and diamond hands, though, right? 

 

Every time I've bought shares, the price has gone down, leading me to believe I could get some on sale. Well... that is then followed by another drop. 

It seems not great. 

 

 

Maybe my saving grace is that I'm in the fund for another 20 years?

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