• Register
  • TOS
  • Privacy
  • @NeoGAF

RustyNails
Member
(09-23-2013, 04:51 PM)
RustyNails's Avatar
When I told my wife that teapartiers are going to shut the the government down over obamacare, she told me to take money out of stocks and mutual funds. Is this a valid concern or should we wait and see? Theres also the threat of defaulting on our debts by not raising the debt ceiling. I am worried. Advice.
AbsolutBro
Member
(09-23-2013, 04:52 PM)
AbsolutBro's Avatar
My advice? Talk to an actual financial planner.
kick51
(09-23-2013, 04:52 PM)
kick51's Avatar
yep, cash it all out
Sectorseven
Member
(09-23-2013, 04:53 PM)
Sectorseven's Avatar
Take money out and put it where? Your mattress?
Plinko
Wildcard berths that can't beat teams without a winning record should have homefield advantage
(09-23-2013, 04:54 PM)
Plinko's Avatar
Shutting down the government shouldn't have a major effect on the stock market, should it? I can't imagine it would, but I'm not a financial planner.
soundahfekz
Member
(09-23-2013, 04:54 PM)
soundahfekz's Avatar

Originally Posted by RustyNails

When I told my wife that teapartiers are going to shut the the government down over obamacare, she told me to take money out of stocks and mutual funds. Is this a valid concern or should we wait and see? Theres also the threat of defaulting on our debts by not raising the debt ceiling. I am worried. Advice.

What are her credentials in the financial industry? If none, seek out a financial advisor. Don't make a decision you may come to regret off fear.
RustyNails
Member
(09-23-2013, 04:55 PM)
RustyNails's Avatar

Originally Posted by Sectorseven

Take money out and put it where? Your mattress?

My checking account? Come on.
SolsticeZero
Member
(09-23-2013, 04:55 PM)
SolsticeZero's Avatar

Originally Posted by Plinko

Shutting down the government shouldn't have a major effect on the stock market, should it? I can't imagine it would, but I'm not a financial planner.

Anything like that causes people to panic, which causes the stocks to fluctuate, which causes more people to panic, etc, etc, etc.

Originally Posted by RustyNails

My checking account? Come on.

Yeah, cause the BANK is the safest place.

/tinfoilhat
Divvy
Canadians burned my passport
(09-23-2013, 04:55 PM)
Divvy's Avatar
Didn't your government go through this crap last year? Is this a yearly occurrence now? Get your shit together!
ConfusingJazz
Member
(09-23-2013, 04:56 PM)
ConfusingJazz's Avatar
Take it out before the shut down, put it all back in during the shut down. Profit off that fear!
soundahfekz
Member
(09-23-2013, 04:57 PM)
soundahfekz's Avatar

Originally Posted by Divvy

Didn't your government go through this crap last year? Is this a yearly occurrence now? Get your shit together!

Republicans brah
Lagspike_exe
Member
(09-23-2013, 04:57 PM)
Lagspike_exe's Avatar

Originally Posted by Divvy

Didn't your government go through this crap last year? Is this a yearly occurrence now? Get your shit together!

Things are a bit more serious this time, since this is GOP's last chance to defund Obamacare before it comes into effect.
Darklord
Member
(09-23-2013, 04:58 PM)
Darklord's Avatar
Put it all into gold and guns.
AbsolutBro
Member
(09-23-2013, 04:58 PM)
AbsolutBro's Avatar

Originally Posted by Plinko

Shutting down the government shouldn't have a major effect on the stock market, should it? I can't imagine it would, but I'm not a financial planner.

Previous times there were budget or debt ceiling battles, the stock market tanked in fear of what other organizations (Moody, S&P, etc.) would do, especially re: the credit rating of the USA. When nothing happened and business went on as normal, the market did its thing and bounced back over time.

So, yes and no. Short term there will be a drop and people who took their money out will pat themselves on the back for saving their money. Long term the market keeps going up. It's sort of what it does.
Mesousa
Member
(09-23-2013, 05:02 PM)
Mesousa's Avatar
They are going to come to a deal in the last day or so like they always do.

Also this really doesnt even matter as far as money goes unless you are <10 years away from retiring.
Sectorseven
Member
(09-23-2013, 05:04 PM)
Sectorseven's Avatar

Originally Posted by RustyNails

My checking account? Come on.

If it reached a point where the government could no longer function I can't imagine how the bank will be a safe place either.

It depends on your time frame. Unless you're a short term trader, I don't know how you'd really benefit from a quick in and out at this point as you're likely in at a far lower buy point and making some nice long term dividend payments and re-investments. Any potential fear is likely already priced in, or at worst being priced in as we speak.


Also, the government can just print more money so I really wouldn't be worried about running out.
massoluk
Member
(09-23-2013, 05:06 PM)
massoluk's Avatar

Originally Posted by Mesousa

Also this really doesnt even matter as far as money goes unless you are <10 years away from retiring.

My view, yeah. It's going to make a big shock in short term, but seems like a hassle to go through unless you're needing all the money now. May be short it? But everyone is going to do that.
Capital_Five
Member
(09-23-2013, 05:06 PM)
Capital_Five's Avatar
No you will cause a panic and the market will collapse and it will be all your fault.
RustyNails
Member
(09-23-2013, 05:08 PM)
RustyNails's Avatar

Originally Posted by Capital_Five

No you will cause a panic and the market will collapse and it will be all your fault.

:(
Parch
Member
(09-23-2013, 05:08 PM)
Parch's Avatar

Originally Posted by soundahfekz

Republicans brah

Continuing to flush the country down the shitter out of spite.
snacknuts
we all knew her
(09-23-2013, 05:09 PM)
snacknuts's Avatar
Leave your money where it is. If the market tanks, start buying.
marrec
Member
(09-23-2013, 05:10 PM)
marrec's Avatar

Originally Posted by RustyNails

When I told my wife that teapartiers are going to shut the the government down over obamacare, she told me to take money out of stocks and mutual funds. Is this a valid concern or should we wait and see? Theres also the threat of defaulting on our debts by not raising the debt ceiling. I am worried. Advice.

Are you talking about a long term investment plan?
nodle
Member
(09-23-2013, 05:10 PM)
nodle's Avatar
Pull it out convert into hard commodities. Safer under your mattress than in a bank anyways.
Last edited by nodle; 09-23-2013 at 05:16 PM.
wenis
Registered for GAF on September 11, 2001.
(09-23-2013, 05:14 PM)
wenis's Avatar

Originally Posted by ConfusingJazz

Take it out before the shut down, put it all back in during the shut down. Profit off that fear!

I was just going to sell gas masks and bags with dollar signs on them on the side of the road. Your idea sounds way easier tho.
fallagin
Member
(09-23-2013, 05:15 PM)
fallagin's Avatar

Originally Posted by soundahfekz

Republicans brah

Oh yeah, but if obama would just repeal obama care and eliminate all social safety nets then we wouldnt be in this situation.
RustyNails
Member
(09-23-2013, 05:16 PM)
RustyNails's Avatar

Originally Posted by marrec

Are you talking about a long term investment plan?

Well my long term plan is 401k (roth and regular). So theres nothing I can do when the govt shuts down, the sky opens and four horsemen of apocalypse show up. But other than IRA I have bunch of monies in mutual funds (not a whole lot) which I am worried about. I guess that classifies as short term. Sorry I am still new to this investing business.
amar212
Member
(09-23-2013, 05:18 PM)
amar212's Avatar
Watch Attack on the Wall Street.

Act accordingly.
kirblar
Member
(09-23-2013, 05:20 PM)
kirblar's Avatar
It won't happen. The leadership remembers 1996. Boehner and his wing will vote with the Dems before letting that happen.
marrec
Member
(09-23-2013, 05:20 PM)
marrec's Avatar

Originally Posted by RustyNails

Well my long term plan is 401k (roth and regular). So theres nothing I can do when the govt shuts down, the sky opens and four horsemen of apocalypse show up. But other than IRA I have bunch of monies in mutual funds (not a whole lot) which I am worried about. I guess that classifies as short term. Sorry I am still new to this investing business.

Unless you plan on taking on a bunch of risks, just leave them where they are. Stock market will probably take a hit from a potential shutdown (The shutdown won't happen, BTW) but in the end the market will go back up above where it is now and it'll be like the dip never happened. The minuscule amount of money you'd make by pulling out your stocks at JUST the right time and getting back in at JUST the right time are not worth the risk of actually loosing a bit of money by fucking it up.

Ride the wave my friend, and if it gets low enough, buy in on some you've been wanting for awhile.
TheOMan
Tagged as I see fit
(09-23-2013, 05:21 PM)
TheOMan's Avatar
1. Sell all stocks
2. Wait for market to tank
3. Buy back in at sale prices in October/November
4. Profit when it bounces back in March

PS. I am not a financial planner. You should probably talk to one.
Emwitus
car flags....
car flags everywhere
(09-23-2013, 05:22 PM)
Emwitus's Avatar
Invest in gold. Invest in gold now. The markets are crushing. Why go to the bank? Stay ahead of the curve. Be one of the ones in the know. GOLD

AbsolutBro
Member
(09-23-2013, 05:22 PM)
AbsolutBro's Avatar

Originally Posted by kirblar

It won't happen. The leadership remembers 1996. Boehner and his wing will vote with the Dems before letting that happen.

The "leadership" (and I use that term extremely loosely) remembers 1996. The problem is the people causing 99% of the trouble aren't the "leadership" and don't care what they have to say as long as they get to slight the "black atheist muslim communist socialist traitor" in the White House.
marrec
Member
(09-23-2013, 05:23 PM)
marrec's Avatar

Originally Posted by AbsolutBro

The "leadership" (and I use that term extremely loosely) remembers 1996. The problem is the people causing 99% of the trouble aren't the "leadership" and don't care what they have to say as long as they get to slight the "black atheist muslim communist socialist traitor" in the White House.

The House has enough to pass whatever bill the Senate sends back their way, everything will be fine.
GhaleonEB
knows his net worth
(09-23-2013, 05:24 PM)
GhaleonEB's Avatar
The effects of any shutdown will be relatively short term. My own approach to investing is to keep a well balanced, diversified portfolio and to tune out noise like this. If you are talking about funds you would otherwise not move, I wouldn't move them. Personally I'm ignoring stuff like this and just adhering to my investment plan, which has a very long term objective. Over time that's proven to be effective, even through the crash of 2008.

If you're more of a day trader and trying to time the market, well good luck.
Nils
Member
(09-23-2013, 05:24 PM)
Nils's Avatar

Originally Posted by Darklord

Put it all into gold and guns.

Golden guns and you're set.
marrec
Member
(09-23-2013, 05:25 PM)
marrec's Avatar

Originally Posted by GhaleonEB

The effects of any shutdown will be relatively short term. My own approach to investing is to keep a well balanced, diversified portfolio and to tune out noise like this. If you are talking about funds you would otherwise not move, I wouldn't move them. Personally I'm ignoring stuff like this and just adhering to my investment plan, which has a very long term objective. Over time that's proven to be effective, even through the crash of 2008.

If you're more of a day trader and trying to time the market, well good luck.

Smart and good looking people agree with this advice.

I took a poll.
AbsolutBro
Member
(09-23-2013, 05:25 PM)
AbsolutBro's Avatar

Originally Posted by marrec

The House has enough to pass whatever bill the Senate sends back their way, everything will be fine.

It'll be interesting to see, that's for sure. I'm a federal employee, so my paycheck riding on these clowns does not exactly evoke happy feelings!
Neo C.
Member
(09-23-2013, 05:26 PM)
Neo C.'s Avatar
Tough decision. I've decided to stay with my portfolio, because I've already taken some money out of it during this year and now have enough to reinvest into the market, so there isn't much room for more actions. And who knows how much it will tank this time, I'm not even sure if I could get the opportunity to invest the money.
Jersey Shore Native
Banned
(09-23-2013, 05:26 PM)

Originally Posted by RustyNails

When I told my wife that teapartiers are going to shut the the government down over obamacare, she told me to take money out of stocks and mutual funds. Is this a valid concern or should we wait and see? Theres also the threat of defaulting on our debts by not raising the debt ceiling. I am worried. Advice.

not a damn thing will happen
kick51
(09-23-2013, 05:26 PM)
kick51's Avatar

Originally Posted by nodle

Pull it out convert into hard commodities. Safer under your mattress than in a bank anyways.


might i suggest Call Of Duty Ghosts Collector's Editions

buy em all and you dictate the market for them
hucast21
Member
(09-23-2013, 05:32 PM)
hucast21's Avatar
If the market tank, start buying. I did that with MCD in 2009 and I'm close to double my money as of today. The saying is buy when fear is in the market, sell when euphoria sets in.

With that said I'm waiting on how the markets will react if there is a government shutdown. I'm close to selling some of my positions because I think the stock market confidence is too high with the recent record high, and it smells like 2008 again.
RustyNails
Member
(09-23-2013, 05:52 PM)
RustyNails's Avatar
Marrec and Ghaleoneb and others, thanks ^^. Yeah I think I will ride it out. Who neef expensive financial advisors when you have neogafs?
verbum
Member
(09-23-2013, 06:00 PM)
verbum's Avatar
How much of a fee do you have to pay to sell the bonds? Will you get a capital gains tax bill if you cash out?
Any gain you might make in selling and then buying back mutual funds may be wiped out by the fees and taxes.
You could sell your index and stock mutual funds and pick up shares in funds that specialize in cash, metals, short term corporate bonds,etc.
GhaleonEB
knows his net worth
(09-23-2013, 06:13 PM)
GhaleonEB's Avatar

Originally Posted by RustyNails

Marrec and Ghaleoneb and others, thanks ^^. Yeah I think I will ride it out. Who neef expensive financial advisors when you have neogafs?

I read a good column on tuning out investment noise this weekend, here.
Sub_Level
Member
(09-23-2013, 06:15 PM)
Sub_Level's Avatar

Originally Posted by Capital_Five

No you will cause a panic and the market will collapse and it will be all your fault.

A decade from now, elementary school textbooks will refer to that event as the "Rusty Nails Snowball Effect".
Cyan
Purple Drazi
(09-23-2013, 06:35 PM)
Cyan's Avatar

Originally Posted by RustyNails

Well my long term plan is 401k (roth and regular). So theres nothing I can do when the govt shuts down, the sky opens and four horsemen of apocalypse show up. But other than IRA I have bunch of monies in mutual funds (not a whole lot) which I am worried about. I guess that classifies as short term. Sorry I am still new to this investing business.

The time frame question is more about what the money is for. 401k is retirement money, which is presumably a very long time frame. Don't worry about these short term events; the effects won't even be noticeable in several decades when you cash out.

The mutual funds could be short term or could be long term. It depends on what you plan to do with that money. Is it a kid's college fund? That's probably longer term. Is it for buying a house or a car? That's much shorter term. That's really what people are getting at--the longer from now you're planning to cash out, the less likely it is that a market dip will have any effect on you.
Conciliator
Member
(09-23-2013, 06:40 PM)
Conciliator's Avatar
They do this every time out now. This is standard procedure. Continue as normal.
meltingparappa
Member
(09-23-2013, 06:56 PM)
meltingparappa's Avatar
As said over and over above, if it's long term never change your stocks due to speculation, panic or speculation of panic. Since you have mutual funds, that's just my guess as to your situation.

But if you're playing the stock market short term then JESUS, you probably already enough of a daredevil to do something impulsive without asking for advice.
Joe Shlabotnik
Member
(09-23-2013, 07:00 PM)
Joe Shlabotnik's Avatar
Unless you're cashing out in a year or three, don't pay any attention to the market.

And if you're cashing out in a year or three, your money should already be in boring-ass shit that doesn't budge.
Jackpot
Member
(09-23-2013, 07:03 PM)
Jackpot's Avatar

Originally Posted by amar212

Watch Attack on the Wall Street.

Act accordingly.

Was that film any good?

edit: oh, shit, it's by Uwe Boll. Abort, abort.
Last edited by Jackpot; 09-23-2013 at 07:08 PM.

Thread Tools