@thefdadmin @TravelerMSY @DaveHanson @Sri @TheGMan
As the thread creator I request that you please remove all posts after Low Risk Income Alternatives to CD's (stocks, p2p lending etc) - #76 by famewolf including this one and remove shinobi from continuing to abuse this thread. Asking nicely doesn’t work.
Famewolf, before I’m blocked I just want, once again as I have done prior, to express my hope that things go better for you and that you come out OK.
I try to help people with my posts to this forum. Clearly I have fallen FAR, FAR short of that goal where you are concerned. I am most sorry and, once again, I send my best and wish you well.
That same sentiment goes out as well to jcohen73. Best of luck to you both.
This is an Internet forum and everyone is allowed to share their opinions if appropriate. Deleting back and forth posts that are on topic would be ridiculous. So would banning @shinobi from this thread. @shinobi is and should be considered a valuable contributor on this forum. All should agree to disagree on this particular topic but everyone’s views are interesting and insightful and I don’t think there’s a right or wrong answer in general but rather a right and wrong answer for each individual person based on their circumstances and comfortability with the options. Just my 2 cents.
Not if their opinion and advice is in direct opposition to the topic and they continue after requests that they stop.
Additionally my understanding is thread creator’s have control of their own thread. shinobi has certainly reminded us in the past that the cd thread was his. All of this is off topic hence my request that all of it be deleted.
If people want to post their opinions start an opinion thread.
Let’s stop the dramatization and overreacting and move on. There’s very little moderation here like there was on fatwallet and other sites so let’s all self moderate and move forward.
Please try to post some on topic content as you act as shinobi’s “wing man”.
We are a much smaller group here than the old FWF, and have tended to mod with a light touch. Everyone’s made their point, and I prefer you move on rather than having to bust a bunch of posts.
We’re all friends here, even if we disagree.
If y’all want to have a thread over the merits of going for dividends over total return, I suggest you start it in a new thread so only those who want to participate will have to read it.
I am not here to get in a back and forth with anyone, but I do have one question for famewolf and some others who are ardent defenders of dividend stocks. How can you be so sure any dividend stock will continue to pay their current dividend if the economy collapses? What worries me is that our politicians and many panicky Americans are calling for extended lockdowns and quarantines, despite the fact that at some point no economy, no matter how strong it might be, can survive such drastic measures.
It’s a valid concern but can be mostly mitigated by picking from the list of dividend aristocrats that have historically continued their dividend for 25+ years…in many cases increasing it every year. Even during 2008’s crash they continued to provide a dividend. Those are the stocks to look at but only after you’ve eliminated your own personal debt and ensured you’ve setup an emergency fund.
More relevent content:
The first question to always ask is do I have a sufficient emergency fund?
After that the question is do I invest in cd’s that are currently paying LESS than the cost of inflation or invest in dividend stocks that HISTORICALLY have ALWAYS eventually recovered. Then the question after that is what are the safest options.
Why do companies sell fixed return annuities or “income for life” policies? They know historically the market is going to make MORE than the percentage they are paying out to you.
Honestly I’m leaning toward @jcohen73 's reaction and considering just abandoning this thread entirely…possibly the forum. I mean it’s not like I’m coming here to GET advice. I can get the same cd info on depositaccounts.com even if it’s a few days late and as for the stock discussion, I don’t have to prove it works to anyone. It’s already BEEN proven during the last 30 years which is why I’ve been retired since 36 (and am not concerned I’ll EVER have to go back into the work force). I’m about to turn 50. I started this thread because shinobi complained about us talking about it in his cd thread so now he comes here and does the same thing and continues even after being asked to stop. Not “friendly.”
Wasn’t aware. Haven’t had to use it before now. Appreciate the info.
I have yet to figure out how to block someone’s posts. Can someone please post some instructions or point the inept among us to the place where this can be done? Thanks!
Surely, famewolf, you would agree what one does with his investments at 50 might be different from someone 20 years older. Less risky probably means something very different to these two age groups. I do agree that a younger person should have a greater percentage of their portfolio dedicated to equities. No one investing philosophy is right for everyone. Otherwise, it’s just proselytizing.
Just to let you know, I enjoy your posts, so stick around.
goldendog, age will certainly affect risk tolerance but does in no way justify bad behavior. I could just as easy argue I’m more affected by risk because I have a longer period of time my funds have to last and no relatives to fall back on. I’ll agree no one investing philosophy is right for everyone and yet I wasn’t the one going around telling others they were wrong and the only “obvious solution” was they should be putting their funds into financial instruments that currently pay LESS than the 3% annual cost of living. In some way’s you’d be better of just setting some of your money on fire. A person at 70 if they have planned properly should have eliminated all their debt so their living costs are minimal…no mortgage…no car payments…no credit card debt (my credit cards pay me a $1000 annually due to cashback buying thing I was always going to get just to use them and they all get auto paid in full at the end of the month). Even at 70 after covering living costs and emergency fund I’ll still be investing in the market. When you eliminate all those “big ticket items” the costs remaining are minimal unless you are living some grandiose lifestyle where the bank actually owns your brand new cars and fancy house. There’s a big difference between “looking rich” and being financially secure.
Shinobi would tell you that now is the worst time to get into the market while I’d argue it’s one of the better periods. Many overvalued stocks have had their prices knocked down. Stocks are back to what they cost 3 years ago. Many people have sold emotionally. Many dividends are more attractive with the prices dropped. What was a 3% dividend is now 6+% because of the price per share drops. Will the market go lower? Probably. Many authors recommend the “dollar cost averaging” method of investing x dollar every week, month…whatever time period across time so as the market bounces up and down your costs are averaged. Add in reinvestment of dividends when you don’t need them or use them as income. I doubled the amount of money I invest per week (not a huge amount…from $250 to $500) to the market.
In the end with all that being said, Shinobi is NOT my target audience. I’m looking for the same young person who wants to retire early and wants to know how. The ones willing to live in a crappy house with $150 a month rent THEN so they can live in a nice one later. The guy willing to keep his car till it falls apart and doesn’t need a new car every year. The one who doesn’t “leave money on the table” by ignoring company stock purchase matches…401k percentage matches. Invests as much as they can in a Roth IRA because they understand tax exempt is always better than tax deferred. Maybe they don’t even get married unless they can find a partner who has the SAME goals because it’s almost impossible to achieve if one person is a saver and the other is a spender.
I’ve certainly learned that age alone does not mean someone has grown up. Financially or otherwise. Posts like these taunting people are totally uncalled for: Low Risk Income Alternatives to CD's (stocks, p2p lending etc) - #65 by shinobi Anyway I’m done posting for now. Thanks for the reply.
I thought about using it once, but decided not to … but kept my notes just in case. 
One word of warning to those investing in precious metals. The government in the past has confiscated both gold and silver from individual citizens. An article I was reading explained it this way:
When a grab is made for people’s savings, governments don’t bother to confiscate instruments like stocks and bonds and savings accounts—those can be wiped out by simply devaluing the currency. But when times are really tough, governments have “requested” citizens turn over their gold—the one asset they’ve historically been unable to control, since it’s not someone else’s liability. [ This was done as recently as 1933 in the USA for both gold AND silver ]
Interestingly enough digital currency such as bitcoin is not under the control of the government and it cannot be confiscated. While I don’t currently mess with digital currency it’s something to review when the government starts talking about freezing the stock market for extended periods of time (for example the stock market was frozen for a week when 9/11 occurred) as has been mentioned in some recent articles.
Mostly correct except you now have to click on “Preferences” instead of “Notifications” and then Users. You then have the option to ignore or mute a user. Might just update your instructions so it’s all in one place.
Pretty impressive you we’re able to retire at 36. Was any of it inherited or just from wages and investments? It’s not easy to save enough by that age to call it quits. You were probably only two years into your retirement when you experienced the 2008 economic meltdown. Obviously, the last 11 yrs have been great for almost all stocks, including dividend stocks.
BTW, I agree dividend stocks with a healthy dividend and reliable earnings should be a part of anyone’s portfolio. Here’s the exception: if you have more than enough to last you for the rest of your life and you’re able to live the lifestyle to which your accustomed. In that case, why even take any risk?
I’m thinking of spending a modicum of money on some very beat up stocks (yeah, I’m talking about high risk, not relevant to this forum). Looking at Delta, Disney, BoA and some others. I’ll probably wait a bit since I think we’re going to see more carnage, but you got to think in a year or two these stocks will probably look pretty good.
Very interesting information on 1 man’s way to gaining wealth. Thanks!!
famewolf, you did well & I’m sure you are extremely smart to boot. 