[ 3 / biz / cgl / ck / diy / fa / ic / jp / lit / sci / vr / vt ] [ index / top / reports ] [ become a patron ] [ status ]
2023-11: Warosu is now out of extended maintenance.

/biz/ - Business & Finance


View post   

File: 389 KB, 442x398, Girls.png [View same] [iqdb] [saucenao] [google]
453630 No.453630 [Reply] [Original]

>He's still keeping his money in S&P 500 index funds when everyone knows a market correction is coming
>Shiller P/E ratio is over 25

Where are you moving your money to, /biz/?

>> No.453633

International and bond funds.

>> No.453636

>>453630
>Implying those women know anything about finance

>> No.454390

Tangible goods, silver, and some into currencies like the Swiss Franc. If deflation occurs I can get more money through the goods, if the economy tanks without currency fluctuation then silver is a good thing to bank on, and if the dollar and the economy drops then I'll move my currency back to dollars for a big profit after moving out of more stable currencies.

>> No.454711

I'm looking to the market and real estate to start tanking at about the same time. .. November? Gonna buy some fixer uppers and rent them to some college fools.

>> No.454716

Private investments

>> No.454721
File: 299 KB, 500x375, 1304376955947.png [View same] [iqdb] [saucenao] [google]
454721

>>453630
>>He's still keeping his money in S&P 500 index funds when everyone knows a market correction is coming
Care to give us an exact date? If everyone knows it's coming?

~$230k invested in the stock market and I ain't even scared.

>> No.454724

100% in cash.

>> No.454725

>>454724
It's sad that I can't be 100% sure that this is a joke since we're on /biz/

>> No.454726

>>454721

>m-muh youtube video tell me about market correction xdxDXDxdXdXDx invest dogecoin!!

>> No.454747

>>453630

slowly starting to short the market

>> No.454749

Can someone explain p/e in biz terms? On investopedia it seems like a high pe is a good thing, but here everyone acts like it a bad thing. Pls explain.

Also, at least in the Australian market there's already been a bit if a correction, a few stocks dropped 10-30% a few months ago and have been flat since, so you're probably preparing for something that isn't going to happen.

>> No.454766 [DELETED] 

in darkcoins

>> No.454768 [DELETED] 

>>454766
let me elaborate, its the best working anonymous coin with the best developer behind the wheel. you can check his credentials here

http://www.linkedin.com/pub/evan-duffield/15/455/986

once the coin is opensource in 2 months then drug markets will use darkcoin in place of bitcoin and price will rise

>> No.454769

>>454766
>>454768
>shilling intensifies

>> No.454773

I don't have the money to invest, but I'm trying to learn so I don't end up broke and working for scraps in a shitty neighborhood. Should I invest in index funds after the correction or is it okay to do so before?

>> No.454774

>>453630
100% into S&P index funds

>> No.454778

>>454749
I'm a retard, but from what I understand a p/e that's too high, like over 18 iirc, leads to a company being significantly overvalued, which in the long run sets us up for a heavy crash. it's like playing jenga, you can keep it stable and tall only to a point before it inevitably falls.

>> No.454957

>>454749
High P/E means everyone is willing to pay up in the hopes that earnings will continue to grow. All the good news is priced in.

If you were buying Zynga (which you couldn't because it hadn't gone public yet) when everyone was saying "Oh fuck I hate that fucking Farmville thing that just started annoying everyone this week" you got in cheap.

If you were buying ZNGA when it went public, you were paying for earnings that would never materialize, and you got fucked.

Different industries have different typical P/E ratios. Nobody thinks the number of houses being built is going to go up by a factor of 10 in the next year. Lots of people are willing to bet that the number of CyberTransmogrifiier6000s in the typical office will jump by 1000% next year. So housing stocks tend to trade at lower P/E ratios than tech stocks.

Sometimes the companies really do grow into their expectations. (Like, everyone who passed on TSLA at $40 about a year and a half ago.) Sometimes they don't. (Like, the PE folks who might have invested in Fisker if it had gone public.)

>> No.454979

>trading anything but options and futures
Beta babbies

>> No.455013

>2014
>trying to time the market

If a correction comes, I'm just gonna throw more cash into equities while all the plebs are freaking out and selling

>> No.455030

>>453630
>He's still keeping his money in S&P 500 index funds when everyone knows a market correction is coming
If everyone knew that would already be weighted in the market price.

In fact, everyone knowing is already weighted in the price.

>> No.455115

>>454778
>>454957
Thanks. Investo explained it as how much investors were willing to pay per dollar that company was going to earn, which made it seem like if you have a high p/e your company must be in high demand, but I suppose once it's in perspective within the industry and compared to the overall company it's more useful.

>> No.455127
File: 99 KB, 400x386, 1407313091419.png [View same] [iqdb] [saucenao] [google]
455127

>>455013
I'm doing this. The market has always rebounded eventually and the only time you should be worried about 'losing' money is if you were expecting to need your investments back in a hurry. In which case why the fuck are you investing?

Buy expensive? Well when it goes higher on the next bull you'll have it made back. Cheap is even better because then you'll make off like a bandit.

>tfw you weren't old enough or rich enough to invest in 2008.

>> No.455128

>>453636
>implying you do
Fuck off.

>> No.455132

>>455127
>455127

>imblying most people were able to overcome their emotions about the surrounding markets impending doom to even go long with large amounts of money in 2008

its ok its easy to look back in hindsight and say i wish i did this or that which is why most of us aren't rich and can only speculate

>> No.455138

>>455132
The only reason you should pull out entirely is if you expect to be buying a bunch of guns and cans of food to survive the end of civilization. If you honestly thought that was the case then you could be justified in selling/not buying at a loss. Unless you were buying on margin and way overexposing yourself, but there's no helping people who like to gamble that hard.

>> No.455469

>>455127
this. OP doesn't into finance or history very well.

Index funds are for the long run.

>> No.455656

>>454725
Why even? Maybe 100% is pretty far but people have been known to do it successfully.

Get liquid and buy up the bargains when everyone else shits themselves.

>> No.455660

>>454749
>Doesn't understand basic finance ratio
>Commentating on the stock market

Average P/E in Australia has been edging upward despite some stocks falling. This in combination with obvious real estate bubble suggest a real correction hasn't happened yet.

In addition, the US is just plain fucked with the amount of money being put into their economy. It's gone into stocks and bonds and it's gonna be bad.

>> No.455662

>>455469
Sure but if you became sure that it was going to happen, why not go short?

Worst that can happen is your cash has lower returns than the index, best thing is the index drops 15-20% or more over a period of time and you buy back.

>> No.455804
File: 10 KB, 255x200, 1405628123718.jpg [View same] [iqdb] [saucenao] [google]
455804

I've moved it to emerging market bonds and european corporate bonds.

I have a question though: Aren't we all screwed, considering how interest rates can't go much lower, and how the stock market keeps going up, even though Ukraine, West Africa, Argentina, Iraq, Syria and Gaza are enough to normally trigger a massive selloff?

Gold isn't really doing great either, and I keep reading about the real estate market being in a bubble too.

What the fuck is going on yo?

>> No.455810

>>455662
> short your stocks
> commission fees through however you trade
> short term capital gains tax on whatever you made
> have to buy in

You already own stock in whatever market index. Why not just continuously invest more money in whenever the correction comes? Are you some kind of faggot that doesn't have a job and steady source of income?

>> No.457119
File: 2.74 MB, 250x141, 1372042022975.gif [View same] [iqdb] [saucenao] [google]
457119

>>453636
laughed way harder than I should have