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Best place?

Discussion in 'Economics and Financials' started by USArmyFinFan, Sep 25, 2008.

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  1. USArmyFinFan

    USArmyFinFan Maximum Effort

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    Sucks wife and I are just getting to where we can save again so, with the current crisis going on, where is the best place to invest atm? CD's, IRA's, stocks etc.
     
  2. joeydolfan

    joeydolfan Season Ticket Holder Club Member

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    To be honest with you brother the only thing I have done with clients money over the last 6 months is FDIC insured CDs. Of course I have a lot of older clients that are either retired or only a few years off from retiring.

    If you have a long term outlook on the market as far as keeping the money in, definitely a good idea to get an IRA started. Look at some of the high quality mutual funds or index funds instead of individual stocks. You would end up staying broadly diversified without taking the risk of the one stock you own collapsing.
     
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  3. Ludacris

    Ludacris Season Ticket Holder Club Member

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    Is Marino one of your retired clients? :lol:
     
  4. joeydolfan

    joeydolfan Season Ticket Holder Club Member

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    Oh how I wish he was. The only way I even got that picture is from by ex wife's uncle, Michael Marino (no relation) has been Dan's attorney for years. Notice I said my ex wife, that pretty much blew any chance I had on that one. :lol:
     
  5. padre31

    padre31 Premium Member Luxury Box

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    Well USarmy, it depends on what you think you will need, do you want to have access to cash quickly to buy a home etc? Are you willing to invest for the longer term with a tax deferment because you don't need the money quickly?

    If you don't think you'll need cash quickly, there are some good Bond funds that give a nice return tax defered and they are as safe as you can find in today's world.

    I would think Joey would know some good municipal bond funds that also have enough of a risk/return component to make them more attractive then just a 3% return, which is only treading water against inflation.
     
  6. joeydolfan

    joeydolfan Season Ticket Holder Club Member

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    Actually Padre one I have on my radar right now is a tax efficient ETF. Right now it has a yield of 14.173% at its current price as of close yesterday of $5.08.

    I am doing some more research on their holdings and double checking each one of the banks they hold in the ETF and their ratings just to see if they have anything in severe distress right now. Out of their top 10 holding though, ABN Amro is the only bank name anyone would recognize.
     
  7. padre31

    padre31 Premium Member Luxury Box

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    The old saw Joey, the risk/reward curve, and who knows what US Army's risk tolerance is?

    Besides, I'd hate to suggest a bum investment to USArmy then have to worry about a rustling in the bushes when I come home at night...:lol::lol:
     
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  8. joeydolfan

    joeydolfan Season Ticket Holder Club Member

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    You are right about that one padre, notice I did not give the symbol of the investment. Also due to regulations by the SEC we are not allowed to give any type of direct, specific financial advise without full knowledge of someones risk tolerance levels and their expectations of their investment.
     
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  9. USArmyFinFan

    USArmyFinFan Maximum Effort

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    I am looking long term, 10-15 years (if thats long term) Money is just starting to free up for us and I want to start putting it away a little at a time and build it up.
     
  10. texasPHINSfan

    texasPHINSfan New Member

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    muni bonds are a great investment vehicle right now. you just have to watch the creditworthiness on some of these though... ratings are always changing.

    in this environment, i do munis, CDs, some bonds, and a bunch of mutual funds. there are some long/short funds and conservative funds i really like that i still use, including some that have actually appreciated in value during these times. :up:
     
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  11. mnfinfan

    mnfinfan Active Premium Member Luxury Box

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    We have been using a couple different Ultra Short Muni Funds right now instead of money market accounts for Non Qualified accounts. So far the last year and half they have been really steady and been averaging between 3.1 to 4.25 with a Federal Tax free return, (not state tax free as they are a fund and their make-up is from all over the US).

    Thing is US Navy, you need to talk to a planner/ advisor, I am not sure how old you are, what your risk tolerance is like, your suitability and what your plans are for retirement, (i.e. age of, income level needed, tax bracket now and projected), how much assets and liabilities you hold, are there anything else you need to fund, like an elderly parent, kids, family etc. Until we know that, we cannot really tell you what is your best mix.

    A good diversified portfolio, with some form of cash, some fixed income,bonds, REITs (depending on risk) and some stock(generally in the form of mutual funds) to be the engine, balanced correctly is your best option.

    As Texas said, there are funds out there with a positive return this year, most of our clients may not have major gains this year but their losses have been fairly low because we planned accordingly and the risk was spread out appropriately.

    Find yourself a good advisor and PM me if you want me to help you do that, I am not licensed in your area so I personally cannot but am happy to help a good man.
     
  12. Boik14

    Boik14 Season Ticket Holder Club Member

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    Etrade has a solid 3+ % yield on money markets. Thats what Ive been doing for quite a while. I dabble in stocks on my days off and just try and make a quick $100-200 bucks a shot and get out; some days it works, some days it doesnt. Long term investing right now is 5 minutes because of the volatility. Even if its only a 2-4% return I dont care at this point . My theme has become "get what you can and get out"
     
  13. FiN.in.RI

    FiN.in.RI Paul pierced through..

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    You must get killed on commission and taxes.
     
  14. adamprez2003

    adamprez2003 Senior Member

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    rochester has a good family of muni bond funds at least in New York where I'm from . they tend to outperform the rest, year to year. Personally I would hold on to cash at the moment and hope that the Dow collapses. If it breaks 10,000 the next support from a technical analysis position would be around 8000. Stay with cash and wait for confidence to return to the markets. Dont try to time the exact bottom. If it collpases and goes to 8000 you'll have a ton of opportunities to double your money within a year from that point. Be a shark and look for blood in the water. Or maybe be a Phin and look for bleeding sardines
     
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  15. padre31

    padre31 Premium Member Luxury Box

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    Exactly, the only thing that should be kept in mind is right now, if there is a run on a brokerage, we could see more casualties, I'd hate for a brokerage to go bellyup when they are holding my money and going into receivership...

    As a mere amateur, I've got some money put away and I am looking for the largest Cash Cows in the market, like Wally World or the company that Jack W used to run but is being mismanged at the moment...
     
  16. adamprez2003

    adamprez2003 Senior Member

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    true. if you get a collapse everything gets thrown out with the bathwater, the good with the bad. Then you just sift through the garbage and find those companies that have strong balance sheets and are experiencing better than average growth within their market group
     
  17. Darkoak

    Darkoak Gone for good.

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    Commodities, and stuff people can't live without, meds, food, energy.
     
  18. FiN.in.RI

    FiN.in.RI Paul pierced through..

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    A part of me wants to pull out my positive gains now after hours and wait for a new bottom. I swore i would ride it out though.
     
  19. FiN.in.RI

    FiN.in.RI Paul pierced through..

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    Energy is getting killed as global demand weakens. Oil services sector does look appealing right now I think though. Tough market.
     
  20. Darkoak

    Darkoak Gone for good.

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    Ride it out, as long as you aren't heavy in financial stocks.
     
  21. Darkoak

    Darkoak Gone for good.

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    Winter is on the way and China and India's demand for oil isn't going away. Great time to buy oil stocks right now.
     
  22. CrunchTime

    CrunchTime Administrator Retired Administrator

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    As far as banking goes I recommend Bank of America.They did not get invoved heavily in home mortgages and are on a very solid financial footing.
     
  23. FiN.in.RI

    FiN.in.RI Paul pierced through..

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    I bought BAC at 26.xx. I wonder if it will retest its low of 18.xx.
     
  24. adamprez2003

    adamprez2003 Senior Member

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    Think about selling calls as a source of income and slight insurance of more of a sell off. Or you could buy puts as a hedge

    Personally I think you're in decent shape since that 18 price seems way off
     
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  25. jdang307

    jdang307 Season Ticket Holder Club Member

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    I just opened an a/c there. :yes:
     
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  26. texasPHINSfan

    texasPHINSfan New Member

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    i would wait brother.... it's not losses until you sell (currently you have unrealized losses), and the market WILL rebound. the question is just if you have the time to wait (don't need the $$ right now), and that you aren't in any financials (which are too crazy right now to stay in or get in to).

    i have a lot of clients that watch the Dow and freak out when it drops and they want to sell everything. i have to calm them and remind them that you don't buy high and sell low.... other way around. I reassure them that this is just a big hiccup in the grand scheme of things. Your retirement/investments are long-term for your retirement, you have plenty of time. ride it out. The market right now is still hovering around the level it was in 2000 when the internet boom was occurring. the market isn't going to completely implode and you're not going to lose everything (as long as your're not 100% in Bear or Lehman ;) )

    generally it is not a good idea to sell or get out of something on very bad days. :up:

    i wouldn't invest in BoA right now... while it is stronger compared to other banks, it is still affected by the industry in the market. Many more banks will collapse in the coming months (smaller, thrift banks most likely), that will affect the financials further.

    So while it is a stronger company, feel free to bank there... but i'd stay away from that stock until this overall ship has righted itself. :up:
     
  27. CrunchTime

    CrunchTime Administrator Retired Administrator

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    I didnt mean investing in BA stock bro.

    I meant that its a bank that is not likely to keel over on its own.

    Of course since banks loan to each other if the banking system goes down all of the banks will go down too.

    But that its unlikely to happen because no one benefits from such a catastrophe .
     
  28. FiN.in.RI

    FiN.in.RI Paul pierced through..

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    I have no unrealized losses. I bought in at 26 a share(@ a 10% div). I was going to take profits and buy back at a lower price, I didn't though. I just sat on my laurels. The biggest hit in my portfolio right now is in the Tech and Energy sectors, i would never sell those at a loss. I have too much time to see it rebound.
     
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  29. texasPHINSfan

    texasPHINSfan New Member

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    :up: :knucks:
     

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