Your thoughts on the US stock market...

recycled sixtie · recycled sixtie's Garage

I am a great believer in stocks for the long term. I have just bought MacDonalds and this is the first time I have been in the US stock market since I sold Templeton mutual funds about 6 years ago. My broker recommended MacD's. I expect much volatility in the recovery in the next while but it seems that the US has the best prospects in the short to medium term. Your thoughts?

Cannonball996 · 01-07-2013, 07:36 AM

I love stocks and trading, but I do not buy and hold, and I rarely hold a position over night. McDonalds is an interesting pick, what is your strategy with that position?

HiBeam · 01-07-2013, 07:41 AM

Quote:

Originally Posted by recycled sixtie

My broker recommended ...

Say more about your relationship w/a broker, please.
Commission, fee for service, ...?

TY

recycled sixtie · recycled sixtie's Garage

My position is to keep stocks for about 6 months to several years. If I can make 10% rate of return in a volatile market, then that is fine by me. I am not advocating or promoting MacD's but just like to get a feel what you all think. 3% dividend is attractive too. A lot more than putting it into a bank a/c. I tend to sell too soon when I own individual stocks. Having mutual funds I like because management gets to decide when the right time to sell is. Can. management fees are high but as long as they make $$$ for me that is fine. I took the Can. Securities Course back in the '60s
but that does not influence my emotions

recycled sixtie · recycled sixtie's Garage

Quote:

Originally Posted by HiBeam

Say more about your relationship w/a broker, please.
Commission, fee for service, ...?

TY

I do not do online trading. I pay a commission to my broker when I buy and sell. So the fees are a lot higher than online trading. Plus cap gains and losses are subject to Can. taxes. I am paying for the advice thru higher fees.

Cannonball996 · 01-07-2013, 08:04 AM

these days you have to have a strategy, know when you are getting in, and know when you are getting out. brokers are not what they used to be, most are just salesmen.

ckelly78z · 01-07-2013, 08:06 AM

I just looked at my 401K and I am at 3.5% gain for the year already. I am a bit more aggressive than maybe I should be at 47 years old, but nothing ventured, nothing gained.

The fund I am in is up 3.5% so far this year, and 20.6% in the last rolling year. The balenced assett allocation that my employer reccomended for my retirement date is up 1.61% this year and only up 14.31% in the last rolling year. I try to see trends and adjust accordingly. I usually change allocations every 4-6 months.

pwd72s · 08:48 AM

Depends on your age, your goals. Long term, yes. Short term? Despite the market euphoria because the GOP caved, the market is a bumpy ride right now. We're in quite a bit of cash, watching and waiting. More interested in preservation than in gains. But, we're old. If a guy in his early 20's were smart enough to ask I'd tell him to start a ROTH IRA, place a sum in a good no load index fund every month, ignore the ups and downs, and watch it build as the decades roll by.

Ahh, but the nature of a guy in his early 20's is to get laid, buy the best toys he can afford, party hearty, and get laid. Very little thinking about what'll happen in 40 years or more at that age.

biosurfer1 · 01-07-2013, 09:17 AM

Quote:

Originally Posted by pwd72s

Ahh, but the nature of a guy in his early 20's is to get laid, buy the best toys he can afford, party hearty, and get laid. Very little thinking about what'll happen in 40 years or more at that age.

not all of us were that way...some followed your advice and now in their early 30's live in a paid off house, looking forward to retiring early

pwd72s · 01-07-2013, 09:23 AM

Quote:

Originally Posted by biosurfer1

not all of us were that way...some followed your advice and now in their early 30's live in a paid off house, looking forward to retiring early

A tip of my hat to you, sir! Keep it up!

Don Ro · 01-07-2013, 01:18 PM

Quote:

Originally Posted by ckelly78z

I just looked at my 401K and I am at 3.5% gain for the year already. I am a bit more aggressive than maybe I should be at 47 years old, but nothing ventured, nothing gained.

The fund I am in is up 3.5% so far this year, and 20.6% in the last rolling year. The balenced assett allocation that my employer reccomended for my retirement date is up 1.61% this year and only up 14.31% in the last rolling year. I try to see trends and adjust accordingly. I usually change allocations every 4-6 months.

Some of you guys kill me.
Any particular reason you don't state which fund brought you 20.6% last year?
Why the secrecy?

scoe911 · scoe911's Garage

MacDonalds? You mean McDonald's. I suggest you try what are known as staple stocks. These include things people need(vs. want) and use in their every day lives. Examples include General Mills, Colgate-Palmolive, and Proctor & Gamble, to name a few. I guess you could technically consider McDonald's a staple(it's a kind of food), just not in my diet.

pwd72s · 01-07-2013, 02:18 PM

Quote:

Originally Posted by Don Ro

Some of you guys kill me.
Any particular reason you don't state which fund brought you 20.6% last year?
Why the secrecy?

Possibly because one year's "hot" fund can be a dog the next year. It's the rare fund manager who can beat the market index consistantly. Less than 5% beat the total market in any given year, let alone do so on a consistant basis. Hell, I had a fund that doubled in value in one year. Today it's a dog!

I will tell you that our very conservative portfolio, 70% bonds, with only 30% equities, yielded 7.9% last year. Considering the current climate, I'm not unhappy.

ckelly78z · 01-07-2013, 03:16 PM

Quote:

Originally Posted by Don Ro

Some of you guys kill me.
Any particular reason you don't state which fund brought you 20.6% last year?
Why the secrecy?

I've got no secrets, and actually encourage you to buy in.....it might raise the value if there is additional demand.

I am working through the Principal Group in the MFS investment management in the "MFS new discovery R2 fund". it's a small equity fund I bought back in October.

gtc · gtc's Garage

Quote:

Originally Posted by Don Ro

Some of you guys kill me.
Any particular reason you don't state which fund brought you 20.6% last year?
Why the secrecy?

The market is so high right now that 20.6% isn't that wild. I just looked, and most of my investments are sitting between 16.5% and 25.5% over the last year. (JAMRX and JSVAX - both Janus by chance).