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North15
ParticipantThis chart identifies the mental state at the bottom:
ParticipantThis chart identifies the mental state at the bottom:
ParticipantThis chart identifies the mental state at the bottom:
ParticipantThis chart identifies the mental state at the bottom:
ParticipantOne of my definitions of wealthy is the ability to:
Own new vehicles of your choice that if and when a breakdown occurs, abandon the vehicle, walk away and purchase a new replacement the same day.
No repairs, no mechanics, no towing, no reselling……even for a flat tire or whatever.
ParticipantPowayseller,
Thanks for your reply.
I like Bill Fleckenstein’s work. He was a writer at one time on RealMoney.com
All of the investing options you mention will make money in certain time frames. What I am trying to convey overall is that it is a mistake to dismiss investment vehicles that appear to be out of favor as “univestable”. In addition, the “invest all of your assets/risk in this category now” in gold, etc. is not unlike all of the discussion here about what a large number of residential property buyers have done in San Diego since 2004.
In order to narrow down your choices, you need to decide what time frame you are comfortable with for your investments. If you only want investments that historically work over a 5 – 10 year investment period, then it greatly reduces investment options. If you want to take advantage of the tendency for vicious up moves in a bear stock market, be ready to be in and out (long not short) in just a few days.
I suggest both approaches with portions of your investable cash, otherwise known as divesifying. But you need to identify what your time frames are for the investment first.
Be ready to sell the short-term time frame investments when it is not working out or when it has worked to your targeted sell point. Yesterday I invested in an international stock index fund with a target sell point of 3% above my buy in point. Depending on how things work out in the Middle East and Mr. Ben Bernanke (FED) this week, I may grab a quick 3% and be out. Yes, I am buying when everyone else is saying “sell”.
The long-term investments will be like watching paint dry, but they will be safe.
ParticipantPowayseller,
I understand your desire to seek out successful investment vehicles to place your cash investments.
I think you may be limiting your options from your comments about the stock market. Some of the best short term plays are large up moves in a bear stock market.
It will cost an individual great opportunity if they seek an all or nothing investment plan. This is an American culture trait whether it be in investing or just “I have to have that house, I don’t care what the market is doing”!
So, a suggestion. Don’t remove the stock market or other options as they can be great short term profit generators. Don’t put all of your money there, but try out a few things.
ParticipantI work with several individuals that live in the outlying areas of the county (Ramona) and the Temecula Valley. Prices have taken a real and tangible 15% decline in these locations in the 550,000. to 650,000. original price peak range from last year. This is on existing homes. And, even with the decline, there is currently almost no traffic or sales activity at the new price levels. This is identical to the process that began in 1991 in Southern California as far as first areas hit.
ParticipantAs I referred to in the first post, a friend mentioned to me that his first attempt with a realtor to list his Ramona property at 5% below the local market was met with a “no” by the listing agent. The realtor would not accept the listing unless the seller agreed to raise the price. The seller was attempting to be realistic to the current market conditions in terms of timing retirement plans.
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