Trading, Stocks and Investing

Discussion in 'Money & Finances' started by Avigail David, Jun 9, 2015.

  1. Avigail David

    Avigail David Very Well-Known Member
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    At 50+ age, is it too late to get into trading and investing in the stock market? Or are you a long time investor in stock market shares? So, what are the biggest value profit, money-making movers in the stock market? Do you read, follow up Businessweek magazine everyday and see how your dollar is fairing up?

    Are Data Broadcasting companies, Facebook and Google still the highest and outstanding ranking market capitalists in the US and the world?

    What if your stocks value end up going to zero-- underlying companies would end up bankrupt? What's your plan B with taking advantage of your stocks-- as you identify patterns in some stock trading prices as they move higher , or falling in the downtrend, or sideways in the trade?

    I used to wonder about finance and economy. And finding security in its blanket. Maybe, as I grow older, none of these do really matter? As long as we have food on the table and roof over our heads, we're healthy and drug-free to maintain good health, and our children have grown up.
     
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  2. Carlota Clemens

    Carlota Clemens Well-Known Member
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    I don't think there is an age limit for investing, otherwise ask Warren Buffet, as in example.

    Whatever it all depends on how much you would be willing to potentially lose without affecting your finances.

    Investing, tracing stocks, bonds and even Forex are volatile markets where there is always a risk to lose, and while you can win instead, it's necessary weigh a possible financial slap that may happen.
     
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  3. Sheldon Scott

    Sheldon Scott Veteran Member
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    The stock market is really taking a tumble. I'm not sure what to do right now. CDs still aren't paying anything. Bonds usually do better when stocks are down but that doesn't seem to be the case now. I'm going to talk to my broker tomorrow and try to figure this mess out.

    Anyone here have any ideas?
     
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  4. Sheldon Scott

    Sheldon Scott Veteran Member
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    At pur age the general rule has been to switch from stocks to less risky investments such as CDs and bonds. But, for the last decade or so interest rates have been the lowest in history. CDs are worthless, they don't keep up with inflation. Mutual funds have done poorly also.

    What to do? What I've done is invest in solid companies that pay good dividends. Actually only one company so far. I buy when the stock market takes a tumble such as right after Brexit, and twice since then. I bought more just yesterday. I buy at those times to get the lowest possible price, hoping to make money if the stock prices recover and at the same time receiving income from the dividends, which will be reinvested in more stock.

    I don't know if my strategy is going to pay off, but my broker thinks it will. My money had been sitting in the bank all this time doing nothing but losing buying power.

    Caution: There are many companies that pay much higher dividends than I'm getting, but those are mostly new and unproven companies, very risky. I suggest you stick with solid, well known companies that have a proven record of paying good dividends.
     
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  5. K E Gordon

    K E Gordon Very Well-Known Member
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    I bought my son some Microsoft stock several years ago and that has about quadrupled since he has had it. Now I am slapping myself upside the head, for not buying some for myself. Some people are also putting part of their IRA in gold, as a hedge against inflation, and an investment of sorts. Also, although risky; people who have invested in alternative currencies have done well. Interestingly, I am watching the Big Short on Netflix, about the rogue investors who accurately foresaw the collapse of the housing market, earlier in the decade.
     
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  6. Corie Henson

    Corie Henson Very Well-Known Member
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    I have a phobia with stocks. When the Pager was the most convenient communication for those with no landline, we bought a Beeper brand. But part of the purchase is an offer of 300 shares of its stocks for 20 pesos = 6,000 pesos which is big money in 1994. We were expecting the shares of stocks to be higher in value and it did after a year, from 20 per share, it was 20.50 which is an appreciation. But in the following years, the cellphone emerged which killed the pagers. Oh, oh, the value of stocks tumbled until it was down to less than 1 peso per share. So you can imagine the loss, from 6,000 pesos, our stocks are now valued at 300 pesos. The company was unable to recover.
     
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  7. Frank Sanoica

    Frank Sanoica Veteran Member
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    @Sheldon Scott "Anyone here have any ideas?"

    Many years ago, I bought good quality corporate bonds on "margin". The brokerages were willing to loan up to 70% of the purchase price, the buyer (me) had to put up 30%. By carefully choosing bond issues relating to their dividend structure, remaining life, and popularity, it was actually easy to buy bonds thusly which paid dividends exceeding the interest due on the margin! Thus, one was able to "lever" a large bit of bond value without being heavily invested, and make some "gravy" at the same time.

    No idea if prevailing low interest rates might still allow the scheme to work. No idea if restrictions on margin buying might have been imposed by the Fed. No idea, but not surprised if, folks may find my scheming a bit half-witted! Frank
     
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  8. Ron Simpson

    Ron Simpson New Member
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    Feb 17, 2021 Is anybody familiar with a company called SoFi (sofi.com). They got a good write-up in Jan 11, 2021 Investors Business Daily (p. A12) about investing in ETFs, and I liked what I saw on their web page. They originally got started dealing with student loans in 2011 and have expanded since then. I didnt like feedback I saw about their dealings with student loan clients.

    I have never been able to really trust investment advisors (I know, it's a personal failure) so am looking for some feedback from other seniors. I have almost always "invested" in real estate but as a senior I feel it is now necessary to keep some liquidity. There is virtually no way to earn interest in today's market and I greatly fear coming inflation on my existing retirement cash assets. I see no way to make money in bonds. I I had some "junk silver" but cannot find it so probably stolen and it's too easy to steal if I get medicatly or physically incapacitated. So feel I must bite the bullet and invest in stock market. Yes, Vanguard and Fidelity have good reputations in mutual funds but are not as liquid as I would like.

    I have fully paid-up long term care insurance but am a little concerned about that being a "sole" asset.
     
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  9. Lon Tanner

    Lon Tanner Veteran Member
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    I have been a Boglehead for many years and a participent on their Forum. I am enjoying the results of my past investing endeavors but no longer an active investor.
     
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    Last edited: Feb 17, 2021

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