Is anyone rebalancing into foreign market funds or stocks?

[martybegan]

I took about 25% of my 401K and pushed it into an overseas fund late last year that has been doing well. Is anyone thinking along the same lines, that being foreign stocks and markets will outperform the US markets this year?

At age 42 all i do is keep 5% in bonds, rest is stocks and mostly US stocks, with about 12% in a Euro/Pacific Fund.

Still young enough that a market dip/crash would actually be helpful as I could get more shares for less $$ every pay period.

Not going to change anything till I'm around 50.

And IF you were 50 when the stock market crashed and you lost 50% of your entire lifetime 401k savings, what would you do? What would be the best thing you could do?

Keep working. I work in Engineering, as long as I keep my marbles I can work until they wheel me out feet first.

Even in a big crash you would get a recovery within 5-6 years, at 50 I'd be able to wait for that recovery to move funds to bonds/money markets/dividend funds.

Plus for those years of recovery I would be getting Shares on the cheap.

 

[leftwinger]

It always looks clear and easy "what you should have done" looking back.

At the 2008-09 debacle it was not clear to me that any sort of recovery was ever possible? Houses were worth 1/2? No way to sell? However, the Payment never dropped......on and on.

Trying to time the market is not easy. Feel pretty stupid looking back. Are we now at another "top"? Due for a "correction"? Will deep state collapse Trump? Sigh. Recession? double sigh? Do I have enough years to take any risk? It really is a helpless feeling in these gosh darn target date funds!

Hope I don't own freakin' BitCoin. That really sounds too risky. Wall st. Smoke and mirrors....

Guess I will try to get to "the guy" and beg the SOB to try to make more before the next collapse? Playing catchup is not fun! You can't ever catch those who were all in....all the way?

 

[MarathonMike]

I took about 25% of my 401K and pushed it into an overseas fund late last year that has been doing well. Is anyone thinking along the same lines, that being foreign stocks and markets will outperform the US markets this year?

At age 42 all i do is keep 5% in bonds, rest is stocks and mostly US stocks, with about 12% in a Euro/Pacific Fund.

Still young enough that a market dip/crash would actually be helpful as I could get more shares for less $$ every pay period.

Not going to change anything till I'm around 50.

And IF you were 50 when the stock market crashed and you lost 50% of your entire lifetime 401k savings, what would you do? What would be the best thing you could do?

Assuming that you mean not just paper losses but realized losses of 50% in 2008 then yes that's a tough one. That would put a person near 60 now when you really shouldn't have a high exposure to stocks. I would look at investments outside of 401K, for instance you can make good returns by investing in debt through vehicles like LendingTree. By distributing across several loans that are rated low risk you could reasonably make 8-10% returns. Another way would be distressed real estate if you get it at the right price.

 

[william the wie]

I took about 25% of my 401K and pushed it into an overseas fund late last year that has been doing well. Is anyone thinking along the same lines, that being foreign stocks and markets will outperform the US markets this year?

At age 42 all i do is keep 5% in bonds, rest is stocks and mostly US stocks, with about 12% in a Euro/Pacific Fund.

Still young enough that a market dip/crash would actually be helpful as I could get more shares for less $$ every pay period.

Not going to change anything till I'm around 50.

And IF you were 50 when the stock market crashed and you lost 50% of your entire lifetime 401k savings, what would you do? What would be the best thing you could do?

First call your utilities fairly often they have a stock plan for employees and customers only and you might get into an unadvertised discount plan.

If that leaves you with leftover money use Mike's link to Vita Nelson. Direct Purchase plans are usually the lowest cost entry to investment other than private plans. Hope that helps.

 

[william the wie]

I took about 25% of my 401K and pushed it into an overseas fund late last year that has been doing well. Is anyone thinking along the same lines, that being foreign stocks and markets will outperform the US markets this year?

I took about 25% of my 401K and pushed it into an overseas fund late last year that has been doing well. Is anyone thinking along the same lines, that being foreign stocks and markets will outperform the US markets this year?

At age 42 all i do is keep 5% in bonds, rest is stocks and mostly US stocks, with about 12% in a Euro/Pacific Fund.

Still young enough that a market dip/crash would actually be helpful as I could get more shares for less $$ every pay period.

Not going to change anything till I'm around 50.

And IF you were 50 when the stock market crashed and you lost 50% of your entire lifetime 401k savings, what would you do? What would be the best thing you could do?

Assuming that you mean not just paper losses but realized losses of 50% in 2008 then yes that's a tough one. That would put a person near 60 now when you really shouldn't have a high exposure to stocks. I would look at investments outside of 401K, for instance you can make good returns by investing in debt through vehicles like LendingTree. By distributing across several loans that are rated low risk you could reasonably make 8-10% returns. Another way would be distressed real estate if you get it at the right price.

I took about 25% of my 401K and pushed it into an overseas fund late last year that has been doing well. Is anyone thinking along the same lines, that being foreign stocks and markets will outperform the US markets this year?

At age 42 all i do is keep 5% in bonds, rest is stocks and mostly US stocks, with about 12% in a Euro/Pacific Fund.

Still young enough that a market dip/crash would actually be helpful as I could get more shares for less $$ every pay period.

Not going to change anything till I'm around 50.

And IF you were 50 when the stock market crashed and you lost 50% of your entire lifetime 401k savings, what would you do? What would be the best thing you could do?

Assuming that you mean not just paper losses but realized losses of 50% in 2008 then yes that's a tough one. That would put a person near 60 now when you really shouldn't have a high exposure to stocks. I would look at investments outside of 401K, for instance you can make good returns by investing in debt through vehicles like LendingTree. By distributing across several loans that are rated low risk you could reasonably make 8-10% returns. Another way would be distressed real estate if you get it at the right price.

for those way up the creek and without a paddle I would recommend a dose of pepto and a quick read of "Beating the Dow" by Michael O'Higgins. tested but terrifying. Value Line also has a one stock bet with an AVERAGE return that flirts with triple digits. Get a thorough physical before trying this trick at home.