PP and the Election
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PP and the Election
It is interesting to me that gold and treasury bonds have responded the most dramatically to the election results.
Any thoughts?
Any thoughts?
- buddtholomew
- Executive Member
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Re: PP and the Election
yeah, its fucked up.
All the gains this year are disappearing before my eyes.
I've sat through more painful drops in gold and treasuries than I ever would have experienced in a 50/50 stock/bond portfolio.
Completely give up...
All the gains this year are disappearing before my eyes.
I've sat through more painful drops in gold and treasuries than I ever would have experienced in a 50/50 stock/bond portfolio.
Completely give up...
Last edited by buddtholomew on Fri Nov 11, 2016 12:59 pm, edited 1 time in total.
Re: PP and the Election
I just think it's odd that the two "flight to safety" assets are taking losses instead of the stock market, given the uncertainty.
- buddtholomew
- Executive Member
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- Joined: Fri May 21, 2010 4:16 pm
Re: PP and the Election
Just this week a 4% down day in treasuries coupled with a 3% down day in gold. Oh yeah, don't forget the 4% down day we had 1-2 months ago.AdamA wrote:I just think it's odd that the two "flight to safety" assets are taking losses instead of the stock market, given the uncertainty.
Bullshit.
Re: PP and the Election
All of those drops boil down to a 2-3% drop for the portfolio. Are you really that stressed?
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Re: PP and the Election
Don't forget this is Budd you're talking about.AdamA wrote:All of those drops boil down to a 2-3% drop for the portfolio. Are you really that stressed?
- Cortopassi
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Re: PP and the Election
It is strange, though, that the expected flights to safety are not working as expected by any means.
My gains for the year at the peak are now fully cut in half.
BUT, not that I would have found anyplace else to invest.
We still have had a good year:
My gains for the year at the peak are now fully cut in half.
BUT, not that I would have found anyplace else to invest.
We still have had a good year:
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Re: PP and the Election
Every asset has been going up at the same time, obviously they can and will all drop at the same time as well.
This is just a very minor drop, nothing to panic about at all, what will you do when all 3 assets come crashing down? Don't forget stocks even jumped higher, which were already stupidly overvalued.
This is what you sign up for when you want to invest your money though, if a 1 or 2% drop worries you then you should really not be investing.
What do you do when you are down 60%? Jump from a building?
This is just a very minor drop, nothing to panic about at all, what will you do when all 3 assets come crashing down? Don't forget stocks even jumped higher, which were already stupidly overvalued.
This is what you sign up for when you want to invest your money though, if a 1 or 2% drop worries you then you should really not be investing.
What do you do when you are down 60%? Jump from a building?
Re: PP and the Election
I am perfectly happy with the PP's performance.
I'm just curious as to what people think is motivating the trends in the various asset classes post election.
I'm just curious as to what people think is motivating the trends in the various asset classes post election.
- Cortopassi
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Re: PP and the Election
If you look at the chart, it is interesting that except for the beginning of the year and the last few days that stocks, bonds and gold have all been pretty darn well correlated. Which is great when things go up, not so much on the way down.
It is not the absolute level of drop that worries me. It is the rapidity, and the seeming disconnect between what's supposed to happen.
But then again, I go and read Mish, and see that gold got slammed in the early 80's when inflation was terrible. Inflation up and gold up certainly does not always happen.
The PP is still the best place to be simply because no one knows what the heck is going to happen or how assets will react.
It is not the absolute level of drop that worries me. It is the rapidity, and the seeming disconnect between what's supposed to happen.
But then again, I go and read Mish, and see that gold got slammed in the early 80's when inflation was terrible. Inflation up and gold up certainly does not always happen.
The PP is still the best place to be simply because no one knows what the heck is going to happen or how assets will react.
Re: PP and the Election
I'm actually down about 6% from my all time high this year. About 1/3rd of my investment gains since I started the PP in June 2013 has been wiped out. My CAGR for the past 40 month period has dropped from a peak of about 5% to 3.3%. It's a bummer, but I don't know what else to invest in that is safe. It's tempting to put everything into VTI, but I know the stock marketing is going to crash right after I do that.
- MachineGhost
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Re: PP and the Election
Economic growth.AdamA wrote:I'm just curious as to what people think is motivating the trends in the various asset classes post election.
"All generous minds have a horror of what are commonly called 'Facts'. They are the brute beasts of the intellectual domain." -- Thomas Hobbes
Disclaimer: I am not a broker, dealer, investment advisor, physician, theologian or prophet. I should not be considered as legally permitted to render such advice!
Disclaimer: I am not a broker, dealer, investment advisor, physician, theologian or prophet. I should not be considered as legally permitted to render such advice!
Re: PP and the Election
I always seem to have that luck too. I tried to get into the PP in a big way in early 2015, then I got monkey-hammered by gold and LT bonds also, so was the frog that leapt out of the scalding hot water.jason wrote:It's tempting to put everything into VTI, but I know the stock marketing is going to crash right after I do that.
I keep my eyes open for 30-year yields >= 4.5%, gold below $1000, and after the next stock market bear market. All at the same time. One can always dream, right?
Re: PP and the Election
You have a great sense of humor.MachineGhost wrote:Economic growth.AdamA wrote:I'm just curious as to what people think is motivating the trends in the various asset classes post election.