Retirement balance with the current market?

yyz67

Fractal Fanatic
I'm pretty lax when it comes to looking at and tweaking my 401k. I was already only conservatively exposed with 25% in equities.

With the recent drop in stock markets, current retirement investor advice seems to be rebalance into equities to keep your balance (whatever that is). And if it goes down again, rebalance again. I get the logic of this, which is buy low, assuming the market will recover in several years (or more).

Who agrees or doesn't? What are you doing?
 
let it ride....

Thanks. I have been letting it ride (= doing nothing).

They say "stay the course", which for retirement funds can mean rebalancing asset mix, so if relative % of stocks goes down, buy more equity funds or vice versa.

But I've also not been not too exposed for 2-3 years. I have only 25% equities and the recommendation (for my age) is more like 70%.
 
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Agree - let it ride - unless you are retiring in a year or 2.
My investment person, and every report I have read says to stay the course. This has happened multiple times in history before and always follows the same "V" pattern of recovery. Does it sting now ? yes. Will it recover? yes.
 
Got scared a 1 1/2 years ago and moved to bonds...totally missed the rise when it happened 1 1/2 months later...
 
I’m using this opportunity to buy a little more VOO and some other funds that were hyper-inflated as they slide down. I have plenty of time to ride this out.
 
I pushed my stuff to a fidelity managed fund in 2014. They watch the market and drive the bus per a complex set of algos and a predetermined risk threshold and deal with the BS because I have no head or time for investing. They don’t chase the market but assess and make conservative calls. Been pretty happy with it so far.
 
Didn't have much choices in my 401K plan... so I'm just riding out... all in on S&P500... I'm already maxed out as far as monthly contributions.
 
I agree with those who say "let it ride."

There might be exceptions to that rule. I hope you didn't invest your whole nest-egg in stocks related to travel and crowd-entertainment. A lot of that stuff isn't coming back quickly.

And, because of the price-wars with the Saudis and the Russians, the American energy sector is "taking a bath," as they say. (The only upside is that U.S. citizens will be seeing really low gas prices.)

Amazon and other deliver-to-your-door companies are doing well. Biotech and med-supply will have some short-term opportunities.

And companies that have already diversified their supply-chains AWAY from China will inspire investor confidence, because confidence in China isn't coming back any time soon. Most of the world feels Xi & Co. screwed us pretty hard by suppressing knowledge of the outbreak for 2 months, and that makes us all less-forgiving of all the other totalitarian crap they've been pulling, whether it's Big Brother On Steroids, threatening to cut off medicine supplies to the U.S., bulldozing churches, requiring citizens to study The Wise Sayings of Xi an hour a day (with a test!), or just freakin' harvesting organs from hapless Uighur prisoners. I guess you can do business with Stalin for a little while, in order to defeat Hitler, but nobody really wants to just do business with Hitler, full stop. The time for decoupling has arrived.

Still, I think everybody's waiting for signs that the worst is passed and that the lifting of social distancing regulations might happen in a week or two. That's when people will start jumping back in, hoping to snap up bargains before the prices return to normal.

OF COURSE NONE OF THIS IS INVESTMENT ADVICE. It's worth less than what you paid for it, and nobody should take investment tips from random people posting in Internet Forums. :cool:
 
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I think it hinges a lot on the election in your country, right? Not going into politics, but I believe markets could be greatly influenced (in the long term) depending on who is elected.
 
Never do anything other than buy in a down market. Only rebalance when times are good. Also, get a financial advisor, best decision I ever made. I could have never done what he did with my investments and work a full time job. We meet at least quarter to review my accounts and his fees are tied to how good my investment do. We both make and lose money together.
 
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