Welcome to DU! The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards. Join the community: Create a free account Support DU (and get rid of ads!): Become a Star Member Latest Breaking News Editorials & Other Articles General Discussion The DU Lounge All Forums Issue Forums Culture Forums Alliance Forums Region Forums Support Forums Help & Search

cliffside

(872 posts)
5. Thanks for the article, my opinion is that both the uncertainty of this admin and also the inflow of retirement funds ..
Mon Mar 24, 2025, 08:40 PM
Mar 24

into weighted funds can be/are a problem. I sold our entire retirement account end of quarter in March 2000, then lost sleep for almost 3 years until it was reinvested. During that time Peter Lynch was on CNBC advising people to hang in there for the long haul. That might be great for young people but not someone getting to retire and those who need to take a minimum distribution from their IRA. Fortunately we were still years away from retirement but had decent gains during the tech bubble.

A financial advisor is like anyone else one might hire, learn something about it and then question. Thanks again

"... Not only do such funds charge lower fees, but they also outperformed the actively managed funds in recent years. Little wonder, then, that they are widely popular, with roughly half of the money in the equity markets — some $13 trillion, according to Morningstar — invested in index funds or other types of passively invested funds that target certain types or groups of stocks...

... That all sounds good, except for one other thing. The same new players, like Citadel, that have taken over some of the specialist trading functions on Wall Street also make money by fomenting volatility in the markets, trading in and out of stocks daily and generating more momentum behind a handful of winners. And the faster winners accelerate, the more money index funds automatically plow into them. This cycle helps explain how seven technology stocks — the so-called Magnificent Seven, which includes Apple, Meta, Nvidia and Tesla — now make up nearly a third of the value of the entire S&P 500..."





Recommendations

0 members have recommended this reply (displayed in chronological order):

Latest Discussions»Editorials & Other Articles»Your Retirement Portfolio...»Reply #5