New To Investing Thread

[sys]

I am looking at SolarCity bonds - Certainly would have to maintain a more liquid nest egg, but I like what they're selling

Negatives:
Won't be able to touch the principle for X years
Risk of investing in solar

Postives:
Elon Musk owns a crap ton and won't let it fail
Great consistent returns

chi cat, i don't think you are being adequately compensated for locking up you money (no comment on credit risks - don't know enough about solar city or these securities).

if you want to invest in renewable energy, i think there are more attractive options.  and besides, you're too young to be locking your money down in low return, low risk investments.  you probably should be more aggressive.

[sys]

 

[Fedor]

 
What is your secret sys?

[sys]

What is your secret sys?

not planning to retire tomorrow?

[Fedor]

What is your secret sys?

not planning to retire tomorrow?

So you are drooling about all the bargains that are out there right now?

[ben ji]

BUY BUY BUY

[The Big Train]

yeah Dow is way down!

[sys]

So you are drooling about all the bargains that are out there right now?

more hopeful that it's finally going to go down meaningfully.  there are definitely things i'm interested in buying at current prices. but i'm not drooling at them yet.

[steve dave]

The market eating crap made me glad I'm diversified in airline/hotel miles. Kinda serious.

[sys]

steve dave, you're younger than i am.  and you have a child, so you're going to have to work forever.  the market eating crap is good for you.  the more crap it eats the better.

[IPA4Me]

Erased some nice gains I've seen over last three years. Good thing I'm not planning to retire for another twenty years. Going to enjoy riding the next wave.

[michigancat]

Did it seriously go down that much? Or just individual stocks?

[michigancat]

And goddammit, my company 401k match went through last week. Oh, well.

[sys]

Did it seriously go down that much? Or just individual stocks?

the dow is down over 10% from its high, the s&p isn't down as much.  it's not so much, really.

[sys]

And goddammit, my company 401k match went through last week. Oh, well.

what does this mean - that your company pays out its match in a lump sum once a year?  that seems pretty weird to me, is that common?

[michigancat]

And goddammit, my company 401k match went through last week. Oh, well.

what does this mean - that your company pays out its match in a lump sum once a year?  that seems pretty weird to me, is that common?

They pay it in lump sums twice a year. I don't think it's common.

[sys]

that seems a little inconvenient.  but, i guess you can prolly choose an option to space out when you invest the sum.

[michigancat]

that seems a little inconvenient.  but, i guess you can prolly choose an option to space out when you invest the sum.

No, it's every August and February and it's all invested in your normal allocation at that time. They an send an email to everyone letting us know when they do it. If there's a way to space it out, I'm not aware of it. Even if there was, I'd still just prefer to get it all in stocks as soon as possible. I couldn't have predicted this dip last week.

[michigancat]

What I'm not sure about is what happens if you leave close to the investment date. I bet they just don't give it to you.

[sys]

i'd guess there's a dollar cost average option in your plan?  not specific to the lump sum matches, but for all incoming funds.  i agree with that it's better to just invest as it is available.

[IPA4Me]

That would suck to have the match purchased in two lumps.

[michigancat]

i'd guess there's a dollar cost average option in your plan?  not specific to the lump sum matches, but for all incoming funds.  i agree with that it's better to just invest as it is available.

No, not for the match. My contributions are invested immediately, it's just the match that is invested in lump sums.

[michigancat]

Apparently it's a growing practice.

http://mobile.nytimes.com/2014/02/15/your-money/beware-of-the-end-of-year-401-k-match.html?referrer=

It mentioned a lot of banks do it at the end of the year, and most of those employees leave at the end of year because of bonuses, anyway. We get our bonuses in April and 401k match in February and August. So best case, you lose two months of match if you leave right after your bonus.

[sys]

is the bonus also non-prorated?  so there's basically no time of the year you can quit without forfeiting a portion of your typical annual compensation?  how are the matches calculated?  - like jan-june with a two month lag for the august match or feb-august with no lag?

pretty dick move by your company.

[AbeFroman]

I hope my company continues to not do this lump match. I can't imagine how woof that would be.