Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
I agree with you. My point wasn’t that people should be scared. It was simply that whatever your balance says is what you have. You can certainly make it back especially if it’s something broad like SPY.
I digress, but is there a more feeble, overused term on Wall Street than CORRECTION? Almost every large dip is attributed calmly as a correction even if there were 3 this month, 3 last month, etal. These aren't corrections, they are lost value that may never come back and depending on when you need the money, can be devastating. A BS term if I ever heard one... it's when Financial Analysts have no explanation which is most of the time.
It's not even a correction unless it is down 10% - is this even 5%? That happens a couple times a year...no big deal at ALL.
People refer to it as a "paper loss" because it is exceptionally unlikely to be permanent. Note I didn't say 100% but perhaps a 99% confidence level which is as good as certain for most people. We accept that there are interim dips in valuation but if one still holds that asset then you have the long term growth potential. When you realize your losses you have truly "lost" that growth potential...so of course there is a monumental difference between continuing to hold the asset and liquidating it and realizing the losses.
If the market crashes and stays that way for a bit I will actually be better off as I can lower my cost basis during the period that I am accumulating my assets. I only care about the long term trend of the markets 15+ years, not what happens in a single day.
you can choose to look over any time frame you choose . but the fact is whether in cash or in invested assets on any given day that is your investment value as well as your net worth , whether you care or not .
it is just variable , it can go up ,it can go down but it is what it is today . .
yes you have . you are just keeping the money in play hoping to make it back . we already had this discussion above and why logically it makes no sense .
in effect everyone of us is selling each night and buying back in every morning , either in to the same or different investments .
the effect is the same as selling each night and buying the next morning at the same prices . , we just choose to keep the money in play each day .but that value is all it is worth whether you care or not .
never confuse the fact you may not care at any given moment what something is worth because you hope it is worth more in the future . but maybe it will , maybe it won't .
yes you have . you are just keeping the money in play hoping to make it back . we already had this discussion above and why logically it makes no sense .
in effect everyone of us is selling each night and buying back in every morning , either in to the same or different investments .
the effect is the same as selling each night and buying the next morning at the same prices . , we just choose to keep the money in play each day .but that value is all it is worth whether you care or not .
never confuse the fact you may not care at any given moment what something is worth because you hope it is worth more in the future . but maybe it will , maybe it won't .
Well, when I buy for investments or put new money in, I intend to keep it in very long term, as I have already locked up our spending and COL with an annuity, a pension and SS, thus my situation is likely different than that of the average investor on here, maybe they should have categories/sections on here of investors since one size will not fit all of us.
Well, when I buy for investments or put new money in, I intend to keep it in very long term, as I have already locked up our spending and COL with an annuity, a pension and SS, thus my situation is likely different than that of the average investor on here, maybe they should have categories/sections on here of investors since one size will not fit all of us.
None of that changes the fact that the declines in your account are lost monies
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
