Topic: Investors thread

[climbingaz]

I have $1200 to invest in a fund. I have bought some stocks but....failing as an investor. Give me some fund, bond ideas. (I already have Fidelity Freedom 35) and its doing nada. (except going down.

Fidelity Freedom 2035 doing nada? In 2009 it was up 31.26% and in 2010 it was up 14.46%.  That's nada? 

[FrankenFrankenstuff]

I dont see those numbers. My total gain is -5.34%

[cookindaddy]

Man, Fidelity sure has a lot of funds. I don't see that one so probably they don't sell it in Canada. Do you have their FID# for this Freedom 2035? What's in it? What is the fund strategy?

Mutual funds are like someone's vegetable soup recipe. Soup that I have to pay an MER (management expense ratio) to "enjoy".

I far prefer my own vegetable soup.

[flybox1]

Mutual funds are like someone's vegetable soup recipe. Soup that I have to pay an MER (management expense ratio) to "enjoy".
I far prefer my own vegetable soup.

So do I, but my time is valuable, and id rather pay someone else to cook, flavor, watch and serve me my soup while i wrench on my SOHC4 and spend time with my family.      i've got better things to do than sit in front of MSNBC/CNN and my portfolio.
it really does depend on what is important to you. 

[cookindaddy]

Yes it does (matter what is important to you).
I have never watched CNBC or Kramer and I don't subscribe to any newsletters.
My efforts managing my portfolio take only a few minutes a day and are comparable to keeping up to date on the news.
I think I only made 10 trades the whole of last year.
If you've picked well, you don't have to do much stirring.
At my age the funds I will retire with are pretty darn important and besides it is kind of fun for me.
But it has taken 40 years for me to get to this point and (I think) level of skill.

[Cbowers]

How come no one has mentioned ROTH IRAs?

[climbingaz]

How come no one has mentioned ROTH IRAs?

A ROTH is just a type of account.  What folks on this thread are talking about is what to invest in once the account is set up.

[cookindaddy]

In Canada the equivalent (I'm guessing) investment account is called a Registered Retirement Savings Plan (RRSP).

[flybox1]

In Canada the equivalent (I'm guessing) investment account is called a Registered Retirement Savings Plan (RRSP).

Roth IRA - NON-tax deductible investment, which, when withdrawn at retirement age, all principle and interest is taken tax free...
Traditional IRA - contributions are tax deductible, but principle and interest is taxed (at retirement )

[cookindaddy]

Ah. Recently (couple years ago) Canadians got the ability to have Tax Free Savings Accounts (TFSA), so

RRSP is like IRA
TFSA is like ROTH IRA

Curious about the amount of deductibility on the contributions for an IRA. When RRSPs started (many years ago) the contributions were 100% deductible from your earnings before tax. Now it is much less, like 1/2.

[Kframe]

Physical precious metals.
Silver made an 81% return last year.
DYODD.
-K

[FrankenFrankenstuff]

OK, so I still have $1200 burning a hole in my pocket. The DOW is down 200 points and I want buy buy buy.

[cookindaddy]

So buy!

Seriously, you had some advice here about some possible things to explore and ways to decide.

Ultimately, your decision is up to you.

If one of us here said "buy THIS NOW" you'd blame us if it went sour. That's why you have people like investment advisors who you pay directly or indirectly to point you at things.

Ask a question.

[Greggo]

I like direct stock purchase plans, and dividend reinvestment programs (DSPP's/DRIP's).  I buy the stocks right from the bank issuing them, for a ridiculously low cost, and they reinvest my dividends into more shares.  I'm hoping I can turn my initial (early 2008  ) investments can help get me into a house in the future.  I only wish I'd had more money to invest back then, I'd already be in that house.  

The market is really high compared to a year ago, but if you set up automatic investments in small increments with good, financially solid companies, time will be your friend.

Of course, I'm no financial planner, but this method has worked well for me.

Good luck

[Accolay]

Buffets company Bershire hathaway has returned ...ON AVERAGE................22.9% PER YEAR since inception in the early 1950's.  There is no close second.

This is the book Buffett started with: The Intelligent Investor by Benjamin Graham. I think it's a pretty dense read, but the Omaha Oracle swears by it.

[74cb750]

I paid off all my debt last month (except for the house mortgage).

Last time I invested in stock market via company 401k plan, owner stole it all before declaring bankrupcy.
I know it is not supposed to happen, but after losing almost 100K I will never again invest in the stock market in any way, shape or form.

peace,
michel

[DarcyCB400F]

Michael,
I can't begin to understand the pain of losing $100K to a criminal but...
It wasn't the stock market that stole your $$$.

If you invest anywhere in any guarnateed type of product, they are using your money to invest in the market paying you the 2% you agreed to take (which is generally less than inflation) and keeping the other 8% for themselves.

I (respectfully) suggest you find a reputable firm to manage your investments.

[Kframe]

Today silver is over $35/ounce (troy).
A little over a month ago it was at about $27.
A year ago it was under $20.
-K