I'm assuming I should just leave my 401K alone and continue to contribute?

I'm assuming I should just leave my 401K alone and continue to contribute?

I'd say this is one of those times where if you're a stockholder you should assess what you're holding, it's pretty obvious at this point which banks/investment firms got themselves in over their heads and which didn't. In the short term, there's going to be some continuing losses, and I'd still expect your average real estate value to drop another 10-20% before things stabilize, but if you're not looking at retiring in the next 5 years this is a great buying opportunity.

I'm assuming I should just leave my 401K alone and continue to contribute?

I'd actually up your contributions.

 

I suppose you MAY want to consider looking at your allocations. I personally think that foreign-investing funds may be a good place to increase a bit, depending on your situation. But overall, this really is a good buying opportunity.

 

There is light at the end of the tunnel though. In fact, for long term investors (paper or real estate for that matter), this is a buying opportunity.

 

I've always heard that more millionaires are made from bear markets than from bulls. Think of it as a huge 50% off clearance sale. Just do your homework and make sure you're buying a product that isn't junk and will fall apart after a few weeks of use.

 

Personally, I just reduced my 401(k) contribution slightly, but that's because my options in it are not very good. I'll be taking the difference and sticking it in an IRA.

Edited September 29, 200817 yr by StrangeSox

I'd actually up your contributions.

 

I suppose you MAY want to consider looking at your allocations. I personally think that foreign-investing funds may be a good place to increase a bit, depending on your situation. But overall, this really is a good buying opportunity.

 

Should I be looking at German markets?

I suppose you MAY want to consider looking at your allocations. I personally think that foreign-investing funds may be a good place to increase a bit, depending on your situation. But overall, this really is a good buying opportunity.

Be careful though...there are going to be a few foreign funds that really, really get pounded in the next couple months. Some European banks are being driven out the same way as American ones are so if there's not a bailout of them they're going to hurt, and on the other hand if there ever is a bailout passed these countries holding so many dollars in Asia are just going to be devastated.

Should I be looking at German markets?

Some parts of the German banking industry got involved with the same stupidity the U.S. banks got themselves in.

Well...I ain't gettin into Russia, that's for sure.

Well...I ain't gettin into Russia, that's for sure.

 

You can keep a close eye on the Russian markets from Alaska, or so I hear...

Well...I ain't gettin into Russia, that's for sure.

Well...the potentially positive way of looking at that situation is that their markets have been highly depressed after money was pulled out due to the Georgian conflict. So that might actually be a reasonable buying opportunity now...their markets have moved lower, but they still have the same oil wealth they had before the Georgian operation. (Edit: If you assume they won't be invading anyone else in the near future, that is)

The problem right now is that no one really has cash on hand to be buying at what normally would be considered low points. Therefore when it hits what the institutionals consider the lowest point and no one buys, its starts to drop lower because there is really some fear at who is going to buy all of this mess.

 

Eventually if it goes low enough people will buy, its just no one really knows where the "low enough" point is.

 

And the fact that foreign markets are some what hesitant to invest in the US right now isnt helping things.

Edited September 29, 200817 yr by Soxbadger

I'd actually up your contributions.

 

I suppose you MAY want to consider looking at your allocations. I personally think that foreign-investing funds may be a good place to increase a bit, depending on your situation. But overall, this really is a good buying opportunity.

 

long term foreign investments are pretty good. but i would imagine some overseas stocks are getting hit hard too because of the American banking blowout

 

http://www.bloomberg.com/apps/news?pid=206...refer=worldwide

i wouldn't take any investments out, selling low is a killer. unless you think the entire financial system will be destroyed and your investments will never get their value back to where they are right now

Edited September 29, 200817 yr by mr_genius

The only stocks I own are oil stocks, so... yeah.

 

I have high-risk mutual funds and those things have been getting sodomized for about a year now. But I'm leaving them alone, they won't stay like this.

long term foreign investments are pretty good. but i would imagine some overseas stocks are getting hit hard too because of the American banking blowout

 

http://www.bloomberg.com/apps/news?pid=206...refer=worldwide

Its those long term, multination-diversified funds I was referring to. I wouldn't go putting a significant 401k bet on one country.

 

Where is RSO? He should be able to fix this mess.

 

Oh my god everything is going to hell.

Where is RSO? He should be able to fix this mess.

 

According to McCain, he's been sitting on the sidelines, while McCain has been not phoning it in by phoning it in.

 

 

Where is RSO? He should be able to fix this mess.

 

Indeed. He should suspend his campaign and then do some interviews and speeches in order to fix this mess.

Wow. I never new Andrea Mitchell is married to Greenspan.

Looks like the Dow may turn its worst full day point loss ever. (Still not even top 15 in percentage loss)

Looks like the Dow may turn its worst full day point loss ever. (Still not even top 15 in percentage loss)

And Bernie Williams has the most home runs in postseason history.

RSO!

 

McCain is a doofus.

 

(On this one, he is.)

Where is RSO? He should be able to fix this mess.

Well, FWIW, the Dems were able to turn out more than 50% of their membership to vote for this debacle, while the Republicans weren't able to do so. So if anyone is going to be fixing the mess...it's the guy who can deliver votes on that side

 

What will probably happen now is the leadership will go back to work, go talk to some of the people in safe seats who voted against it, and try to trade a few carrots or find a couple of people in safe districts that they can turn.

so, how much damage does everyone think the markets will take if the government came out and said "no bailout. sorry guys. we're done debating it. "

 

?