OT: Investing/Stocks/Bonds/Mutual Funds/Crypto

[M-C-G]

Ok, I am locked in to all the things that were once profitable and now so bad that I have to hold and hope they recoup. If I had to guess I am down 75% on my investments in the last couple of years, simply brutal.

Yikes that's a lot if you're talking 10/20 through 10/22. Dow and SP500 are up during that timeframe. Nasdaq about even. 10/21 through 10/22 has been bad though.

A lot of weed stocks I was expecting to be legalized. Industry is down like 95%. Guessing there is a lesson for me to learn and as a side note I am just referring to my trade account but I think my 401k is probably gross right now too


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[KL78192020]

There’s certainly more pain ahead but 0 is like thinking the sun won’t rise in the morning.



Explain how crypto makes everything more difficult? One use case is for banks and financial institutions to cut down on cross border payment times and increase efficiency… really don’t think they’re interested in making more money faster so they can execute more transactions? Think again. Another use case is for insurance companies to utilize smart contracts. Also business to business uses such as project bids, land development, real estate…

It sounds like you swallowed a 2nd line manager I used to work for. So glad to be retired; I don't miss all these buzz word things in the least.

Confused how these points have been reduced to buzz words? Key brokerages are adding crypto to their platforms which will inevitably increase adoption rate among older generations since they feel safer to dip their toe that way. As the framework for cryptocurrency advances, the adoption rate will grow faster as more sectors acknowledge that it's not only viable but more efficient. Imagine thinking that for example an archaic method such as SWIFT will be the best option for interbank payment 5, 10, 20 years from now? The need for transparent, secure, and accessible financial systems is mounting and becoming more obvious. People acted like the internet was a stupid idea too when you were young.

All that transparency, security means nothing when the value of your currency can drop 60-70% in a year. That doesn't work for most people if you're using it for transactions. The USD is still your best bet, a currency that can't hold its value is useless.

Thought Crypto was supposed to be a hedge against a bad stock market, turns out its worse. The internet and crypto are nothing alike, internet adoption skyrocketed in the 90's. The adoption was quick because it was extremely useful. Crypto has been around for 10 years, and other than people speculating there still isn't any mass adoption. Everyone is dumping their Crypto.

[ReasonablySober]

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[LUKE23]

I am just looking to get into investing, and was planning on setting up a Fidelity account. Is this good or is there better options out there? I do currently have an advisor through Northwestern Mutual that I am happy with, I just wanted to start dabbling on my own. Are there some good resources for beginners? Sites people use for advice? Any advice for a relative beginner appreciated.

[BucksFanSD]

I am just looking to get into investing, and was planning on setting up a Fidelity account. Is this good or is there better options out there? I do currently have an advisor through Northwestern Mutual that I am happy with, I just wanted to start dabbling on my own. Are there some good resources for beginners? Sites people use for advice? Any advice for a relative beginner appreciated.

Diversify, amongst stocks and sectors, to include some s&p 500 stocks. Set a limit for speculative sectors (anything that can lose the majority of the your investment) such as the board's favorites digital currency or stocks like FCEL. For me speculation is a hard limit of no more than 10% total of my portfolio. Sign up for some free professional investment weekly blogs/newletters and consider joining a local or virtual investment club. Any gain is a good gain, and don't try to become rich overnight. And of course, buy low sell high.

Edited to Add: I use Charles Schwab to make my trades on but there are many brokerages out there and these days trades cost $0 fees, so no reason not to diverify into many sectors and stocks. If you want to do one trade and just forget about it then SPY would be my recomendation.

[MickeyDavis]

I am just looking to get into investing, and was planning on setting up a Fidelity account. Is this good or is there better options out there? I do currently have an advisor through Northwestern Mutual that I am happy with, I just wanted to start dabbling on my own. Are there some good resources for beginners? Sites people use for advice? Any advice for a relative beginner appreciated.

I have a Fidelity account and Vanguard. Both are good but I prefer Fidelity's app and website. But that's subjective. I take it you are investing outside of a retirement account? Timeframe is important. Is it money you may need in the next year? 5 years? 10? The longer the timeframe the more risk you can take. Risk tolerance is important. Some people can't stand to lose money, even in the short term. Others treat their investments as gambling money. Both are fine depending what you're comfortable with.

Personally I check all my investments several times a day because I enjoy it. But I make changes infrequently. My girlfriend rarely checks hers. Once a month at most.

[thonnisbeastley]

I am just looking to get into investing, and was planning on setting up a Fidelity account. Is this good or is there better options out there? I do currently have an advisor through Northwestern Mutual that I am happy with, I just wanted to start dabbling on my own. Are there some good resources for beginners? Sites people use for advice? Any advice for a relative beginner appreciated.

-avoid startups/IPOs - wait for 2 quarters of activity incase executives decide to dump immediately for quick profit/buybacks
-invest in something you plan to hold long-term
-sells products or services that you already use/understand
-pays dividends w/ a history of growth
-has consistent +cash flows with no solvency issues
-has positive NPV
-has a track record of adapting to current and future trends
-diversify
-don't sell immediately if the market tanks, it will likely recover to a break-even point and your dividends will likely help offset the lower price of your portfolio

[DingusBojangles]

I am just looking to get into investing, and was planning on setting up a Fidelity account. Is this good or is there better options out there? I do currently have an advisor through Northwestern Mutual that I am happy with, I just wanted to start dabbling on my own. Are there some good resources for beginners? Sites people use for advice? Any advice for a relative beginner appreciated.

https://www.bogleheads.org/wiki/Bogleheads%C2%AE_investment_philosophy

[KidA24]

I am just looking to get into investing, and was planning on setting up a Fidelity account. Is this good or is there better options out there? I do currently have an advisor through Northwestern Mutual that I am happy with, I just wanted to start dabbling on my own. Are there some good resources for beginners? Sites people use for advice? Any advice for a relative beginner appreciated.

Make sure the person you are speaking to is a Fiduciary not just a financial advisor. Financial advisors is a made up title and they are not required to have your best interests in mind.

NM does a lot of sketchy stuff, and they will **** you over to get their commissions (by selling NM things instead of watching out for your best interests).

As for self stuff:

The wiki at Personal Finance at reddit is a good place to start: https://www.reddit.com/r/personalfinance/wiki/index

Basics if you're under 40 and want to use Fidelity. Max your IRA each year. Set it into an index fund and leave it alone.

[jschligs]

Avoid NW Mutual at all costs please. They aren't acting in your best interest and push ****y policies on you. They just are shady all around.

[LUKE23]

Thanks for all the info. I do max my SIMPLE IRA every year and have it in a growth fund. Regarding NWM, my wife's best friends husband (who is one of my better friends) is our advisor, I trust him greatly and our returns have always been good so I feel pretty comfortable there.

Will get my Fidelity account setup shortly.

[brewbucks]

A lot of gems in this thread...I appreciate the information as well!

[Lippo]

It sounds like you swallowed a 2nd line manager I used to work for. So glad to be retired; I don't miss all these buzz word things in the least.

Confused how these points have been reduced to buzz words? Key brokerages are adding crypto to their platforms which will inevitably increase adoption rate among older generations since they feel safer to dip their toe that way. As the framework for cryptocurrency advances, the adoption rate will grow faster as more sectors acknowledge that it's not only viable but more efficient. Imagine thinking that for example an archaic method such as SWIFT will be the best option for interbank payment 5, 10, 20 years from now? The need for transparent, secure, and accessible financial systems is mounting and becoming more obvious. People acted like the internet was a stupid idea too when you were young.

All that transparency, security means nothing when the value of your currency can drop 60-70% in a year. That doesn't work for most people if you're using it for transactions. The USD is still your best bet, a currency that can't hold its value is useless.

Thought Crypto was supposed to be a hedge against a bad stock market, turns out its worse. The internet and crypto are nothing alike, internet adoption skyrocketed in the 90's. The adoption was quick because it was extremely useful. Crypto has been around for 10 years, and other than people speculating there still isn't any mass adoption. Everyone is dumping their Crypto.

Got in Ethereum at $88, haven’t taken any profits, waiting til it hits 10k so can retire…

[midranger]

Avoid NW Mutual at all costs please. They aren't acting in your best interest and push ****y policies on you. They just are shady all around.

Yes. Everyone's cousin or wife's step brother works for NWML in Southern Wisconsin.

However, there is a reason for that. And a reason why they can build a brand new sky scraper on the lake with a penthouse gym.Or buy you tickets to sporting events.

The fees on whole life are astronomical in general, but NWML are the highest, and their sales pitches are polished and aggressive trying to get you the worst/highest commission product possible. Then the 2% Asset Under Management fee they charge to "manage" your brokerage/401k i.e. buy the highest commission funds and frequent buy/sell to keep the commissions coming.

Get a fiduciary fee-only advisor IMO. Forget about the alphabet soup of meaningless certifications after their name, Insurance salesmen aren't financial advisors anymore than used car salesmen are financial advisors.

[KL78192020]

Confused how these points have been reduced to buzz words? Key brokerages are adding crypto to their platforms which will inevitably increase adoption rate among older generations since they feel safer to dip their toe that way. As the framework for cryptocurrency advances, the adoption rate will grow faster as more sectors acknowledge that it's not only viable but more efficient. Imagine thinking that for example an archaic method such as SWIFT will be the best option for interbank payment 5, 10, 20 years from now? The need for transparent, secure, and accessible financial systems is mounting and becoming more obvious. People acted like the internet was a stupid idea too when you were young.

All that transparency, security means nothing when the value of your currency can drop 60-70% in a year. That doesn't work for most people if you're using it for transactions. The USD is still your best bet, a currency that can't hold its value is useless.

Thought Crypto was supposed to be a hedge against a bad stock market, turns out its worse. The internet and crypto are nothing alike, internet adoption skyrocketed in the 90's. The adoption was quick because it was extremely useful. Crypto has been around for 10 years, and other than people speculating there still isn't any mass adoption. Everyone is dumping their Crypto.

Got in Ethereum at $88, haven’t taken any profits, waiting til it hits 10k so can retire…

Why would it go to 10k?

[Ryan5UW]

I am just looking to get into investing, and was planning on setting up a Fidelity account. Is this good or is there better options out there? I do currently have an advisor through Northwestern Mutual that I am happy with, I just wanted to start dabbling on my own. Are there some good resources for beginners? Sites people use for advice? Any advice for a relative beginner appreciated.

Make sure the person you are speaking to is a Fiduciary not just a financial advisor. Financial advisors is a made up title and they are not required to have your best interests in mind.

NM does a lot of sketchy stuff, and they will **** you over to get their commissions (by selling NM things instead of watching out for your best interests).

As for self stuff:

The wiki at Personal Finance at reddit is a good place to start: https://www.reddit.com/r/personalfinance/wiki/index

Basics if you're under 40 and want to use Fidelity. Max your IRA each year. Set it into an index fund and leave it alone.

No more so than mechanic or plumber. Like EVERY service profession out there, you just need to do your due diligence and make a decision on the individual person you're working with, not eliminate an entire group of them based on a "made up" title. I know fiduciaries who are scum bags and I know financial advisors I wouldn't hesitate to have my parents work with.

[paulpressey25]

No more so than mechanic or plumber. Like EVERY service profession out there, you just need to do your due diligence and make a decision on the individual person you're working with, not eliminate an entire group of them based on a "made up" title. I know fiduciaries who are scum bags and I know financial advisors I wouldn't hesitate to have my parents work with.

Yep. There is a fiduciary advisor who you all see advertising on TV/radio quite a bit, and you assume they are acting in your best interest, until you realize you're paying them a 1.0%+ fee annually, regardless of how they perform or if they run trades for you. And of course, if you make an appointment at their office, you get a box of Godiva chocolate or fine wine or the like.

No right or wrong way. But find someone you like and trust.

[TroyD92]

Don't have much experience with NW Mutual but the salaries they pay their engineers are a joke. Would imagine there's lot of underpaid early career people working there.

[paulpressey25]

When I first saw this thread active, I assumed it was a lot of chatter about Crypto taking massive hits today. Bitcoin at $15,900.

Nouriel Roubini is a bit of an alarmist type, but he thinks crypto has a lot further to fall.

[wallus]

Dollar Cost Average into low expense ETFs. I buy every week and it's been going great.