>You can't buy the market so... BUY BUY BUY DO IT NOW DUMP YOUR LIFE SAVINGS INTO VTSAX DO IT JUST DO IT YOU IDIOT
Anyone else completely turned off from taxable accounts? It's one thing to hold index funds in accounts you shouldn't even access for three decades, but I've got a good $50k sitting in savings doing nothing. It's upsetting because the money has no goal and I don't need or want to save for anything but the Boglehead argument do just throw it all into equities and "forget about it for a century" isn't very convincing...
>>1246045
>time the market*
I mean, if you're maxing out your 401(k) and IRAs then open up a brokerage account and write covered calls. Shit is great. Buy your stock low. Write covered calls on it. Collect premiums. If call goes in the money, you still make money off your long position.
>>1246048
that's not quite what I meant
I'm saying that at 23 I'm risk averse to even index funds because the Cult of the Boglehead is kind of just scary
>>1246053
and also that I HAVE to post this on 4chan because if I tried le reddit I'd get downvoted into oblivion
>>1246053
Are you maxing out your 401(k) and IRAs?
You can't just let the money sit in a saving account, man. You're getting screwed by that.
>>1246055
>Are you maxing out your 401(k) and IRAs?
yes, with the explicit understanding that I may never see that money again
on top of that I have a bunch of cash getting dumped into a worthless savings account because my expenses are low
>>1246057
Buy bonds if you're risk averse then.
It'll at least help you match if not slightly edge out inflation.
But really, you need to be taking more chances while you're young. The time to start pulling back is in your 40s.
>>1246053
If you really think that's going to happen why aren't you in gold/silver/BTC?
Crypto hasn't been prevalent during an economic collapse yet. No telling what it could do.
>>1246045
Following boglehead's advice can get you within the same ballpark as the market average, I haven't seen any evidence that they do significantly better than the average investor who diversifies and isn't stupid with their money.
You do need a significant proportion in long term low risk investments like sensible index funds, at least 30%, but it is not a crime to perform stock market research yourself. The advantage is you can pick decent companies in a growing sector and move money out of failing companies, the disadvantage is that index funds can cover a greater share of the market for lower fees and of course if you move money around you may have to pay fees and short term capital gains tax.
You could talk to a financial advisor and make sure that $50K is put away safely, into your 401K or whatever, then any money you make from then on you can use to bet against trump, buy undervalued oil companies or invest in other good opportunities that present themselves. You should have plenty of time to trade paper, study economics and finance, look into the different fallacies and human errors traders often fall prey to so that you know what you are doing.
I'm a whiny bitch: the post
You literally are not cut out for investing with your soft millennial bullshit. There is no safe zone for you here. Just squirrel that money away in a MM account and watch that 0.001% interest roll in.
>>1246059
but then I would have to hold tax-inefficient bonds in the taxable accounts, with the 401k the only choice I have is US stocks
>>1246062
because the exact opposite is just as likely
>>1246086
at this point I most likely do have to meet with an advisor in any case, too bad i trust people in suits way less than anonymous posters online
>>1246093
thanks pops
it's .2% tho
>>1246104
Roll your shitty 401k into a regular IRA and that's that. The only reason for the 401k is employer match and that's dying out.
What is your match and vestment period?
also tastytrade if you actually want to learn
>>1246868
it's the match is 12% of my salary and it's filled with vanguard institutional stock indices, that shit is not going anywhere
there are a few years of vestment left however
>>1246045
>>1246045
Is throwing it all into equities really their position?
Consider that many index investors, at least nominally, profess a mix of stocks and bonds that is right for the investor's perceived risk tolerance.
Yours seems to be low. In that case, what do you have available to dampen the volatility of equities? Bonds/fixed income of some sort. You can do bonds in taxable and have them be tax efficient—muni's for example.
Don't like muni's? What about CD's as a bond substitute. You do not sacrifice quality for yield which is a common mistake. As a matter of fact, CD's are FDIC insured.
Not happy with yield? You can't have it both ways. Do a CD ladder and earn at least a higher rate than .2%
>>1247444
the modern position seems to be that you dont need to hold bonds in your 20's with the implication that if your risk tolerance is low that you should just man up and BUY NOW, like that shitposter up there ^
in any case i use my IRA for international stocks and some bonds
it would take me a whole decade to shuffle this cash in there, and there's no reason to as i can easily max both tax advantaged accounts with my income
>>1247665
Ok well to answer your original question, I'm personally not turned off from taxable accounts. The more money I can invest the better.
I have more cash than I want right now but I have plans for it.
Why do you say it's upsetting? The money doesn't have goals, you do. You are responsible for earmarking the money for something you deem valuable. Or you can blow it on hookers and coke.
Why is the argument to "forget about [the money] for a century" not convincing?
If you want to increase your money over the long-term, it is probably the best way and therefore convincing.
If your goal is not to increase your portfolio's value as much as you can, then that's fine. The argument may not be convincing for you because it is not a way to reach your goal.
