Author Topic: New To Investing Thread (Read 84915 times)

chum1 · « **Reply #2175 on:** May 05, 2019, 06:38:55 AM »

Quote from: wetwillie on May 05, 2019, 06:03:53 AM

Quote from: chum1 on May 04, 2019, 08:32:07 AM
Around five years ago, I picked five different types of mutual funds for one of my retirement accounts. It's impossible not to notice that one of them is really, REALLY lagging behind the other four. It's meant to be a long term investment, of course, but should I go ahead and dump it anyway because it seems like such a loser "lately?"

Since 2002 +8%
10 year +8%
5 year -1%
1 year -10%

Is it an international fund?

Yep

DaBigTrain · « **Reply #2176 on:** May 13, 2019, 05:36:41 PM »

New to investing here...is this good?

Bitcoin vs. the S&P 500 this year 🤯 pic.twitter.com/B2e72E4HC9
— CNBC's Fast Money (@CNBCFastMoney) May 13, 2019

chum1 · « **Reply #2177 on:** May 13, 2019, 06:02:26 PM »

Looks like I've picked another winner.

Teva drops 16% after states accuse drugmaker of conspiring to hike generic drug prices https://t.co/UOZV7Y76rT
— CNBC (@CNBC) May 13, 2019

DaBigTrain · « **Reply #2178 on:** May 13, 2019, 06:23:55 PM »

You are v good at this thread

Dlew12 · « **Reply #2179 on:** May 14, 2019, 08:32:38 AM »

spoke to a financial planner this morning. had some decent, basic advice for my position (buying a house in the next year or so). i'm sure he's smarter than i am in this field, but my main issue was whether his benefit outweighed his cost.

says he makes his money by splitting the investment fees with the various companies offering the investments so there's very little out of pocket outside of an annual fee (~$50). so that seems relatively low risk, but I can't help but notice an inherent conflict of interest through that compensation structure (i.e. he's incentivized to choose investment vehicles with higher fees).

probably going to go with him anyway.

Kat Kid · « **Reply #2180 on:** May 14, 2019, 09:32:43 AM »

Quote from: Dlew12 on May 14, 2019, 08:32:38 AM

spoke to a financial planner this morning. had some decent, basic advice for my position (buying a house in the next year or so). i'm sure he's smarter than i am in this field, but my main issue was whether his benefit outweighed his cost.

says he makes his money by splitting the investment fees with the various companies offering the investments so there's very little out of pocket outside of an annual fee (~$50). so that seems relatively low risk, but I can't help but notice an inherent conflict of interest through that compensation structure (i.e. he's incentivized to choose investment vehicles with higher fees).

probably going to go with him anyway.

If you need financial planning, get a fee based adviser with fiduciary duty to you.

steve dave · « **Reply #2181 on:** May 14, 2019, 09:56:27 AM »

Quote from: Dlew12 on May 14, 2019, 08:32:38 AM

spoke to a financial planner this morning. had some decent, basic advice for my position (buying a house in the next year or so). i'm sure he's smarter than i am in this field, but my main issue was whether his benefit outweighed his cost.

says he makes his money by splitting the investment fees with the various companies offering the investments so there's very little out of pocket outside of an annual fee (~$50). so that seems relatively low risk, but I can't help but notice an inherent conflict of interest through that compensation structure (i.e. he's incentivized to choose investment vehicles with higher fees).

probably going to go with him anyway.

Mods, please change dlew to annuitycat

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catastrophe · « **Reply #2182 on:** May 14, 2019, 09:58:15 AM »

Yeah I’d definitely go the fiduciary route if I was gonna have someone handling my money.

What kind of advice did they give? I’ve honestly never understood the upside to financial planners other than retirement planning because that math still seems super complex to me.

ben ji · « **Reply #2183 on:** May 14, 2019, 11:28:14 AM »

Quote from: Dlew12 on May 14, 2019, 08:32:38 AM

spoke to a financial planner this morning. had some decent, basic advice for my position (buying a house in the next year or so). i'm sure he's smarter than i am in this field, but my main issue was whether his benefit outweighed his cost.

says he makes his money by splitting the investment fees with the various companies offering the investments so there's very little out of pocket outside of an annual fee (~$50). so that seems relatively low risk, but I can't help but notice an inherent conflict of interest through that compensation structure (i.e. he's incentivized to choose investment vehicles with higher fees).

probably going to go with him anyway.

Did you ask him what the Investment Fee's are on the funds he would invest you in? I'm guessing they are alot, would also ask about any load fees. Even if his "Fee" works out to only 1% it will turn into Hundreds of thousands of dollars over 30 years. If you have $0 invested right now and contribute $1000 a month over the next 30 years that 1% fee will turn into $195,000 less in your account over 30 years.

If you are not already maxing your tax advantaged space (401k/IRA) then do that first before you open any brokerage account with a financial advisor. If you are unsure on what funds to select in your 401k/IRA just post them here or put them in a SP500 Index fund or a target date retirement fund.

IMO the only time an adviser makes sense is after you have accumulated a lot of money and need advice on tax/estate planning strategies.

steve dave · « **Reply #2184 on:** May 14, 2019, 11:40:02 AM »

99% of advisors won’t beat Vanguard S&P Admiral shares long term after accounting for costs/fees.

Source: I live in Omaha

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Kat Kid · « **Reply #2185 on:** May 14, 2019, 11:47:46 AM »

Quote from: steve dave on May 14, 2019, 11:40:02 AM

99% of advisors won’t beat Vanguard S&P Admiral shares long term after accounting for costs/fees.

Source: I live in Omaha

Sent from my iPhone using Tapatalk

Yeah I absolutely agree with this, but if he is looking for help with financial planning/budgeting that is different.

steve dave · « **Reply #2186 on:** May 14, 2019, 11:48:52 AM »

Quote from: Kat Kid on May 14, 2019, 11:47:46 AM

Quote from: steve dave on May 14, 2019, 11:40:02 AM
99% of advisors won’t beat Vanguard S&P Admiral shares long term after accounting for costs/fees.

Source: I live in Omaha

Sent from my iPhone using Tapatalk

Yeah I absolutely agree with this, but if he is looking for help with financial planning/budgeting that is different.

for sure. in this scenario he should get that advice and then tell him to put all his coin in vanguard admiral shares.

steve dave · « **Reply #2187 on:** May 14, 2019, 11:51:49 AM »

sd bro is a compliance director at a broker-dealer and always tells me horror stories about the crap annuities and garbage investments their people push on chumps for the high fees. most (not all) of these people are not really looking out for your best interest.

IPA4Me · « **Reply #2188 on:** May 14, 2019, 12:14:10 PM »

I've been very fortunate. Good friend is investment advisor and has layered my investments nicely in addition to picking my 401K funds. Performance has beat market regularly for a while. If you're in Louisville area, I'd be happy to share contact information in DM.

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Brock Landers · « **Reply #2189 on:** May 14, 2019, 12:26:59 PM »

That can't possibly be the case sd, annuity purchases go through a rigorous suitability review

Dlew12 · « **Reply #2190 on:** May 14, 2019, 12:37:15 PM »

I'm not going to be giving him free reign to invest in whatever. My portfolio isn't rocket science -- I just want to set up a roth and figure out if there's a better strategy as I save for a house down payment. If my investment strategy doesn't work within his scheme, then we won't work together. I appreciate the advice ITT that my concern re. conflict of interest may be well founded.

catastrophe · « **Reply #2191 on:** May 14, 2019, 01:10:08 PM »

Yes I’ve seen multiple cases of “independent contractors” (who work under very recognizable company names) totally screwing people over. It’s obviously not the norm but that business model definitely seems to attract scumbags.

sys · « **Reply #2192 on:** May 14, 2019, 01:21:11 PM »

Quote from: Kat Kid on May 14, 2019, 11:47:46 AM

help with financial planning/budgeting that is different.

a little free financial planning and budgeting advice - save as much money as you can. when you have enough, stop working and start spending it.

chum1 · « **Reply #2193 on:** May 28, 2019, 06:44:02 AM »

I really need to create an account 100% informed by Trump's corrupt appointees.

Great scoop from ⁦@TMannWSJ⁩ and Brody Mullins: Transportation Secretary Elaine Chao still owns Vulcan Materials shares she had vowed to divest. https://t.co/4YxxONxbVQ
— Carrie Levine (@levinecarrie) May 28, 2019

DaBigTrain · « **Reply #2194 on:** July 07, 2019, 06:12:56 PM »

Beginners luck

25 Years Ago Today, Forrest Gump Debuts.

In the film, his Bubba Gump shrimp money is put into Apple.

Based on the timeline, Gump could've bought 3% of the company for about $100,000.

Today that's worth $28.1 billion, which would make him the 31st richest in the world today. pic.twitter.com/0ljET89eDM
— Darren Rovell (@darrenrovell) July 6, 2019

ben ji · « **Reply #2195 on:** July 07, 2019, 08:07:28 PM »

I enjoyed how everything worked out positively for Forrest in that movie.

catastrophe · « **Reply #2196 on:** July 07, 2019, 09:51:31 PM »

If Zuckerberg could out maneuver that one co-creator of Facebook by diluting his shares, I’m positive that happened to Forrest as well.