Investing?

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roclafamilia

roclafamilia

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Aug 3, 2007
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Well, i was talking to some friends about this and was wondering what people at WF think since most people here are pretty/really good with money.

would you invest money into a foreign banks and currencies? the USD right now is pretty low, and it will keep getting lower for the next couple months, so would you invest money now, and hope in 3-4 months the dollar is down more and you cash out and make a profit? or do you think that would be too risky? or what about going the other way and waiting for the USD to get real low and then stocks will be low to and invest in a bunch of stocks and gain money when the economy gets stronger?
 


I think my IQ has just lowered thanks to reading this post.

Niiiiiiiiccccccceeee... Invvvvvesssstttt... Loooowwwww.... Higggggghhhh... Selllllll...

Or maybe am just in a bitchy mood!

EDIT: On second thought this post is dumber than I originally considered.
 
It's a great plan. You should take out a loan to do it as well. Since the dollar is falling you won't owe as much if you pay it off with currency from another country.
 
As an internet marketer it's really hard to justify putting lots of money into any sort of investment that you don't have control over. That being said, there is something tried-and-true about traditional investment options and I suppose if you're not looking to reinvest that's an option.

The other point I want to make is this. Everyone in the stock market - like affiliate marketing - does it all wrong. The stock market has crashed, the dollar has fallen, so it's time to get out, right? Wrong. Why do people buy high and sell low? It's so backwards to me.

Just like now is the PERFECT time to buy your dream home, it's also a great time to throw a bunch of money into the market. The wall street elite really enjoy this scenerio, that's how they make all their money.

Mark my words: pick your favorite stock now, make down the price, and check it in 12 months from now. Guarantee you will make money.
 
aim said:
As an internet marketer it's really hard to justify putting lots of money into any sort of investment that you don't have control over. That being said, there is something tried-and-true about traditional investment options and I suppose if you're not looking to reinvest that's an option.

The other point I want to make is this. Everyone in the stock market - like affiliate marketing - does it all wrong. The stock market has crashed, the dollar has fallen, so it's time to get out, right? Wrong. Why do people buy high and sell low? It's so backwards to me.

Just like now is the PERFECT time to buy your dream home, it's also a great time to throw a bunch of money into the market. The wall street elite really enjoy this scenerio, that's how they make all their money.

Mark my words: pick your favorite stock now, make down the price, and check it in 12 months from now. Guarantee you will make money.
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that's exactly what i'm thinking as well, the stock market in ireland has gone skidding on it's own arse especially. banking stocks are so reasonable now
 
The market has always bounced back.. if you look at a graph (US or World markets) over the last 50 years, there is an upward trend. If you look at small time intervals in details, of course there is going to be peaks and troughts, but - and I hate to sound cliche, but you have to be in it for the long term. You can't look at the market on a daily basis.

pevssp500.JPG
 
If you want to play the falling dollar, then buy gold.

AIM is right to a degree about a 12 month buy and hold.

Financials have been destroyed recently. Buy those in a retirement account and hold em til you're 60.
 
maximus said:
AIM is right to a degree about a 12 month buy and hold.
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I agree with you on gold; it's rather expensive for regular every-day investors however to get into so I say keep your options open.

Getting back to the market though... The rich get richer because they buy low and sell high, that's the secret to the stock market. It seems so simple, but less than 15% of folks get it right.

Now is the best time to get IN to the market.
 
Now's the best time? Come on. Sure there's been a pull back but there's plenty of room to go and the economy ain't lookin so healthy if you haven't noticed.

Check the 5-yr charts of the major indices. They've been solidly bullish for almost the entire 5 years. If the U.S. goes into recession in the next 9 months, don't be surprised if most stocks shed another 15-20%. Doesn't exactly make today the screaming buy some are saying.

Not saying it will happen, but "buy now" is by no means a sure thing.

If you're heavily invested already, don't sweat it too hard (yes buy and hold is worth it if it's long-term money). But if you're looking to start, buying broad market basket mutual funds or ETFs probably isn't the best strategy. The services of a proven stock picker or assets less risky than stocks would make better sense in the near term. It's all about asset preservation in a period of high negative volatility when the chances of digging a big hole are a lot higher.

As for sector plays, financials are still very very risky. The big boys still have a lot of toxic debt and complex derivates hidden off balance sheet. Dangerous stuff, and they all overindulged. I'm not convinced they're done with the multi-billion dollar write-downs. A handful of people will pick the 3 or 4 diamond in the rough bank stocks but by and large most of them actually stink.

IMHO anyway. I'm not a financial adviser.
 
aim said:
I agree with you on gold; it's rather expensive for regular every-day investors however to get into so I say keep your options open.
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They don't have to buy physical gold at $900+ per ounce. They can buy the etf GLD at $90.

BrooklyBlue said:
As for sector plays, financials are still very very risky.
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Agreed... you can never bottom pick financials. That's why I said to buy them in a retirement account that you won't touch for 20-30 years.
 
ROFL!!! Maximus is the only one here who has any sense to what is going on...

folks... you have no idea what is going on in the market.. judging from what your posts say I would stay out of the market since you have no clue.

- Buy Gold (GLD, CEF, or physical bullion)
- Invest in foreign high dividend stocks or energy trusts such as HTE, PGH, FRO, PWE
- Get out of the dollar because it has to go down from here.. its in a long term bare market.
- Measure the "market" in something that has value such as gold. The DOW or S&P can make all time highs but the purchasing power of the "dollar" will not be the same, THUS you are losing money. Maybe you will figure this out when a hamburger at BK is $20.

Homework:

Study these items
- Fiat Currencies (what are they?)
- Gold and its history
- Governments and why they always screw up the economy
- Ron Paul
- Inflation (What is the root cause, not the symptom)
- Federal Reserve/central banks

You can thank me later.
 
*yawn* gold bug anti-central banking nuts have been spewing the same nonsense for 20 years. The timing in commodities in general might make sense and yes the dollar is fucked right now, but gold is just another commodity. Get over it already. aside from the last 5 years, lots of people have lost their shirts in gold.

As for having no clue, no I'm not a professional and there are no certainties in investments either way, but I am studying at the school with the best value investing program in the world -- the same one that graduated Warren Buffett and many more well-known value investors. So eat a dick and take your conspiracy theories to some 9/11 truther or peak oil forum.
 
aim said:
Getting back to the market though... The rich get richer because they buy low and sell high, that's the secret to the stock market. It seems so simple, but less than 15% of folks get it right.
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That's the key to stock market speculating, not stock market investing. You said it right before, get in it for the long term if you want to invest in stocks. Then price fluctuations become irrelevant. You could buy high or low, if you hold it for the long term it's a small difference in overall return.

The vast majority of average Joe investors who are picking their own stocks and buying and selling regularly trying to time the market end up with returns way below the market averages. Hell, the majority of institutional active managers trying to do this end up with below market returns.
 
I love that Savant thinks he is a genius when he calls a BEAR Market -- "bare".

Another bozo with all the answers.

Invest in Internet Marketing - Not only does it continue to grow, but if the economy does take a hit, all the blue chip companies who spend millions on TV ads without any idea if it made them any money, or if anyone is watching and not fast-forwarding through commercials, more and more money will pour into Internet Marketing.

The better you get now, the more you will reap as our industry grows.

GOOD LUCK

PS - I invest in the market, but it is becoming about the same as gambling in Vegas.
 
I don't invest my money into anything that is "unsafe", as the potential reward is just ridiculously small compared to the risk and Internet Marketing. Thus all my money goes back into my business, into a savings account and I'm also looking to buy property and rent it out to individuals.
 
smaxor said:
All my money gets invested in 2 places.

1. Internet Marketing ( risky)
2. 4.5% Savings accounts ( safe )

:D
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Read the book, "The Black Swan" ; the author advocates a similar strategy although with equities. If you look at the holdings of the top performing quantitative hedge funds, they are all just very normal US companies, while the bulk of the profits are coming from very specialized "risky" trades. (the top fund quant fund returned all investor money and hasn't accepted any new investors in about 10 years, thats how good they are.)

My opinion is only invest in what you know and understand. If you really, really understand it, and you aren't lieing to yourself, then go ahead and use lots of leverage. "This looks really cheap" or "the market is supposed to average out to XX% return over time" is no excuse. Just a year or two ago people were saying the price of real estate never drops.
 
BrooklynBlue said:
Now's the best time? Come on. Sure there's been a pull back but there's plenty of room to go and the economy ain't lookin so healthy if you haven't noticed.

Check the 5-yr charts of the major indices. They've been solidly bullish for almost the entire 5 years. If the U.S. goes into recession in the next 9 months, don't be surprised if most stocks shed another 15-20%. Doesn't exactly make today the screaming buy some are saying.

Not saying it will happen, but "buy now" is by no means a sure thing.
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Well if you were just getting into the market don't buy all at once. Do something like buy 1/3 now, 1/3 in 6mo and 1/3 in a year. But I wouldn't wait any longer to start getting in.
 
Since when did WickedFire turn into Motley Fool?
Do you think they seriously ask for affiliate advice on CBS Marketwatch?
Take all advice with a grain of salt
 
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