If I had only paid more attention to my own behavior, I would probably be a much better investor. I noticed on the Amazon website that it lists your annual orders under the ‘purchase history’ feature. My own use of Amazon seems to mirror their stock performance. As I jumped from just 3-5 orders a year to over 100, their stock shot from $12 a … Continue reading Amazon Explosion
It’s hard to find good financial news lately, so today I thought I would take a step back and look at a longer period of time. It’s easy to get get caught up in the day-to-day headlines, but if you are going to reach financial independence and retire early (FIRE), you have to be focused on the big picture. The chart below shows the S&P … Continue reading Taking The Long View
They say, “a stitch in time, saves nine,” but sometimes waiting to do something pays off even bigger. In investing, it’s a bit of luck. My broker had been calling over the last 8 weeks to ask what we wanted to do with a big chunk of cash that came our way through a real estate sale. I’m lucky I didn’t decide what to do … Continue reading Timing Your Stitches In The Stock Market
I’ve written before about cryptocurrencies when they were growing, so I thought it only right that I also comment on them when they are falling. Bitcoin is now trading at less than half of what it was at last November. It’s gone from a peak of $69K/coin down to just $30K. That’s a sad drop for a digital currency that was supposed to help protect … Continue reading Are Cryptos Blowing Away?
The bears are running through the financial media, with the 5% drop in the S&P 500 over the last week. I saw a headline on Friday that one of JP Morgan’s top analysts was predicting a 20% stock market sell-off. Another Wall Street ‘expert’ – John Hussman – believes that we could see a 70% market crash, led by sky-high tech stocks. The issues are … Continue reading Bears Starting To Run?
I complained a lot about the economy in 2021. I didn’t like the trillions in debt-driven government spending and the ensuing inflation. Still, I acknowledged that the markets continued to rise – as the ‘Trump Bump’ became the ‘Biden Bump’. Yesterday, I tallied up how we finished the year with our portfolio. Our retirement savings were up an impressive +15%. Our gains were led by … Continue reading New Year’s Assessment
Prices are going up. Consumer price inflation ballooned to 6.8% in November as massive increases in government debt and supply-chain issues over the last year were reflected. The Fed & Biden believe they can get back to a 2% annual average target, but clearly that’s going to take some doing. Retirement plans are especially susceptible to rising prices as fixed investments, pensions, bonds, and social … Continue reading What’s The Impact Of Inflation On Your Retirement?
President Trump once said, “the stock market does whatever the stock market wants to do.” Still, that didn’t stop him from claiming that his policies resulted in the ~75% growth in the S&P 500, following his election. The ‘Trump Bump’ got a lot of attention, but it’s worth noting that we’ve seen a nice ‘Biden Bump’ in the year following his election, too. The S&P … Continue reading The “Biden Bump”
Someone recently asked online how much cash or other ‘safe/liquid’ investments did people carry into early retirement as a buffer against a market downturn. It’s an important decision to make heading into retirement and it was the final financial preparation we put into place ourselves. About 3 years before I left MegaCorp, we started accumulating a pile of cash equal to 3 years of spending. … Continue reading Benchmarking: Cash / CD Buffer
Our FIRE friend, PhysiciansOnFire.com, hosts a Facebook group called ‘FatFIRE’. It’s a place for folks living comfortably, financially independent & retired early (or aspiring to be) can discuss different personal finance topics. It’s a remarkable group with over 18K subscribers. A few days ago, someone posted an interesting question: “What % of your assets are in cryptocurrencies?” (Excluding real estate). I’ve had a long-running interest … Continue reading How Much Are People Betting On Cryptos?