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Strategies & Market Trends : Young and Older Folk Portfolio -- Ignore unavailable to you. Want to Upgrade?

To: chowder who wrote (552)	12/4/2021 11:28:55 PM
From: Chairo Kiisu Ichiro	Respond to of 21941

RE: In 2023 when my son is eligible for retirement from the military, I will have him roll over his TSP ... => I believe that's wise. After I retired I eventually rolled my TSP over to a tIRA ... didn't do so immediately 'cause (a) I didn't think of it and (b) I was distracted by life. As a consequence I waited until I tired of Uncle messing with my TSP account[1] for the n'th time. In my opinion, a rollover isn't a perfect solution ... but it's definitely a good start[2]. Though my former TSP (now DGP-1) is no longer subject to Uncle's immediate first order effects, 'cause he's big enough to move markets when he blinks, all my investments are subject to the resulting secondary and tertiary effects. Won't make any purchase recommendations for your son as I believe you've a much better handle on that aspect than I ever will. Best wishes, Kiisu 1. [ Treasury Secretary Janet Yellen informed Congress this week that her department would cease its investment in three federal retirement programs as part of its extraordinary measures intended to delay running into the debt ceiling.At the end of July, the federal government hit its borrowing limit and Yellen sent a letter to House Speaker Nancy Pelosi informing her that she would suspend investments in the Civil Service Retirement and Disability Fund, the Postal Service Retiree Health Benefits Fund, and the Thrift Savings Plan’s G Fund, which is made up of government securities, to avoid breaching the debt ceiling. ] ht tps://www.govexec.com/pay-benefits/2021/08/treasury-suspends-investments-tsps-g-fund-and-more/184298/ Similar shenanigans have occurred over the decades I've worked for Uncle ... 2021 is merely the most recent such event. 2. 'Cause your son will also receive a federal pension, I believe moving his TSP out of Uncle's immediate grasp is good planning. [ The huge amount of money in the TSP would seem to be a logical target for those in Congress who may think they could put the money to better use than providing for the financial security of federal employees. And, in fact, there have been a number of efforts in Congress to use the TSP assets to further their political interests or the financial interests of their constituents. These efforts have not been successful. Federal employees work in a political organization. Most are more aware of the impact politicians can have on their careers and policies than most people are. By large majorities, the informal surveys conducted by FedSmith have demonstrated a large percentage of federal employees like the TSP as it is and want it to remain clear of political influence. . . . Pressure is growing to change this system from interest groups, politicians, and, perhaps, from the companies that invest the TSP’s funds. An indexing investment system is usually a safer investment approach that eliminates many of the emotional, political, or other forms of bias that may influence how to invest in stocks and bonds. The FRTIB has achieved very good results for its investors in the inevitable ups and downs of investment markets. ] ht tps://www.fedsmith.com/2021/07/08/tsp-politics-climate-change-investments/

To: chowder who wrote (552)	12/5/2021 3:37:44 AM
From: LegitDGIguy	Respond to of 21941

I am 100% with adding to MSFT, LOW, COST, TMO, ADP because they are super high quality and that's the first thing I look for. I'm not sure if you're still adding to companies that raise their dividend by 10% or more, but that alone might be enough to diversify you. I think the fed has started the taper and maybe that's why we're seeing the markets react negatively. The problem is they really can't afford to taper without crashing the markets. In 2018 they raised rates to like 2% and that got us a correction then every analyst under the sun was calling for a few rate hikes in 2019,but then they ended up cutting rates to like 0 instead. The question is do you think the Fed is gonna keep rates low and keep buying the bonds that nobody wants? or will they do the right thing by stopping QE and raising rates up to a point it negates inflation? Either way I think your plan is solid.

To: chowder who wrote (552)	12/5/2021 9:13:08 AM
From: stardusting	Respond to of 21941

I think the hold at all costs concept works better for ETF's. Too many great companies have gone into decline or failed, to stick with individual shares no matter what. Of course, adding an annual review, which you will probably do in some way anyway, would make sense.

To: chowder who wrote (552)	12/6/2021 8:38:05 PM
From: chriscrna	Read Replies (1) \| Respond to of 21941

Which 5 ETF's and what percentage to each?

To: chowder who wrote (552)	12/7/2021 2:44:06 AM
From: Adam B	Read Replies (1) \| Respond to of 21941

Re: Strategy for 2022 I agree with adding to perennially overvalued strong performers when there is nothing else to purchase. I expect crypto will be hurt more than equities as bond yields rise but equities will also be affected. My only critique is if I were focusing on only 5 positions, I wouldn't include 2 retailers. LOW and COST are both great (personally I prefer COST, but LOW does have good growth), but I would pick one of them and replace the other with something in another industry. Without much research, HSY comes to mind as a potential. I think it's a bit overvalued at the moment (and has been for a while), but it has been growing well and has the potential to keep growing as it passes Mars in sweets and expands it's salty snack offerings. HSY's annualized 5 year growth rate is 21.3% vs COST at 16.2%.