[TamreuddyRada]

I am wondering who all is investing these days - starting, continuing, or stopping. Do you see this as a time to get out of the market, move to cash, or do you see it as a buying opportunity?

I have my own opinion but I was just wondering about my fellow service members.

[lkastonidwedsrer]

I am not a service member but....

I advised my son (18) to start just because he's young enough to ride the wave and stands a good chance of doing well from it.

For myself... I am just watching the portfolio do a downslide.

[Mmccqrtb]

I am not a service member but....

I advised my son (18) to start just because he's young enough to ride the wave and stands a good chance of doing well from it.

For myself... I am just watching the portfolio do a downslide.

Ditto to Ax.

I too am a civilian. My money market accounts aren't exactly growing like they should, but to say the 401K is taking a hit is an understatement.

Depending on your age, economists are saying that any one in the early 40's should be able to continue investing and recover by retirement. But, everything is a BIG "IF" based on actions from the Oval Office.

If there is no stock market to invest in and we have a national bank setting the standard for everything, what will that do from an investment perspective? Also, if the wealth being taken from the rich to give to the poor (in a NON-Robin Hoodesque manner), will the poor be educated enough to invest?

Investing is all about risk any way. Many are shifting from stocks to bonds, especially government bonds.

I'd welcome any advice that someone would be willing to throw out. Aside from the obvious, "Stick your head between your legs and kiss your money good-bye."

[Klissineopar]

I see it as a total disaster and we are only seeing the tip of the “iceberg” at the moment. Personally, I would be placing my portfolios in energy commodities and commodity-related investments if I had no other choices, (superannuation) but that is my opinion. It is always a good strategy to diversify your investments and would advise to speak to a financial advisor.

Having said that I am not one for taking rediculous risks with my money and am of the opinion that the only “safe bet” is bullion or silver, in the form of minted coins in the event of a total economic collapse. The American Eagle coins both silver and gold are the most popular in the world because these coins are guaranteed to contain the stated amount of actual gold weight in troy ounces in gold and in silver, is guaranteed to contain one troy ounce of 99.9% pure silver. They are also attractive due to the fact that if we see a depression then it is also possible that gold confiscation will be enacted again. These coins – were later excluded, by law, from confiscation and continue to be excluded today. In addition, Congress specifically excluded the American Eagle gold coins from confiscation prior to their release in 1986.

Whilst the stock markets (and others) can go down to zero, these investments will not. This crisis is, IMO with us for at least the next decade, the monetary system is an absolute farce and is in need of a major overhaul. Until this happens there will be no financial stability.

I am not interested in debating my position on this as no one really knows what will happen. Its that messed up. I am simply giving my opinion and that may be totally wrong.

[choollaBard]

I guess as a military member with a stable income, I view it entirely differently. I am loving it. BUY BUY BUY. As long as it recovers before I retire, I could care less how low it goes. It just means I can buy more stock with the $ I am investing. Sorry it may sound greedy but that is my personal opinion.

[UKkoXJvF]

Bought a house and a new car. Building a computer next week.

Dont stop buying, just buy smart.

[OnerePeepsy]

See the problem is that people tend to make investing sound more complicated than it actually is. I probably wouldn't take a chance in stocks and bonds, as the economy is simply a tragic roller coaster inherently designed to keep people in debt.

That said, there are actually some very simple things a person can do to minimize their own personal debt and keep money in the bank. The first two are the most difficult; as most of us lack the discipline and dedication for either:

1.) Work a government job, if applicable. This concept is inspired by the fact that a.) war will never end and b.) the gov't doesn't give a crap how far in the hole we are as a country--they just keep spending. Ergo, you'll always be entitled to some kind of a raise.

2.) DO NOT live outside of your means. Of course we all know this one is a particularly difficult one to follow. I can't count how many people I've met who own brand new cars with 23 inch rims that are worth more than what I pay a month for insurance on two vehicles. Meanwhile, you walk inside their house and the fridge is empty. And God forbid they have kids.

3.) Open up a PayPal account and start putting money to the side each paycheck. Simple, yet effective. Best part of the whole thing is you don't have to worry about some big bank charging you erroneously while you watch your balance decrease for no apparent reason.

4.) Buy a house. That's the easy part. Tough part is keeping it up and selling it at just the right time in better condition than you received it. But think of it this way: you can apply those property tax returns partially towards repairs and maintenance for your house rather than spending it frivilously on the economy.

and 5.) Buy a foreign vehicle. Sounds harsh? Consider this: you'll spend less money in the long run on maintenance for these vehicles, provided you take care of the basics.

[in4wikiu]

Actually Aces, I would say LEASE a vehicle because you normally spend less money in the long run and everything is under warranty

[DavidQD]

I see it as a total disaster and we are only seeing the tip of the “iceberg” at the moment. Personally, I would be placing my portfolios in energy commodities and commodity-related investments if I had no other choices, (superannuation) but that is my opinion. It is always a good strategy to diversify your investments and would advise to speak to a financial advisor.

Having said that I am not one for taking rediculous risks with my money and am of the opinion that the only “safe bet” is bullion or silver, in the form of minted coins in the event of a total economic collapse. The American Eagle coins both silver and gold are the most popular in the world because these coins are guaranteed to contain the stated amount of actual gold weight in troy ounces in gold and in silver, is guaranteed to contain one troy ounce of 99.9% pure silver. They are also attractive due to the fact that if we see a depression then it is also possible that gold confiscation will be enacted again. These coins – were later excluded, by law, from confiscation and continue to be excluded today. In addition, Congress specifically excluded the American Eagle gold coins from confiscation prior to their release in 1986.

Whilst the stock markets (and others) can go down to zero, these investments will not. This crisis is, IMO with us for at least the next decade, the monetary system is an absolute farce and is in need of a major overhaul. Until this happens there will be no financial stability.

I am not interested in debating my position on this as no one really knows what will happen. Its that messed up. I am simply giving my opinion and that may be totally wrong.

I would say that suggesting buying gold and silver is very poor advice - especially if that's to be a large portion of your porfolio. Gold has a very poor track record for performance historically. And right now, gold is at a very high price. You know the old addage "buy low, sell high" - well this would be definitely buying high right now.

Yes, an individual stock can go to zero. But when you purchase mutual funds, you let the professional fund managers do the research, buying and selling of those individual stocks for you. The liklihood of a mutual fund going to zero is virutually nil seeing as how many, many companies would have to fail at once for that to happen.

Our economy is in a temporary downturn. Will it be this way for the next decade? Highly doubtful. Will the recovery be slow and steady or fast and bumpy? Who know - but we will recover.

[Louthcoombutt]

Actually Aces, I would say LEASE a vehicle because you normally spend less money in the long run and everything is under warranty

According to Consumer Reports, leasing a vehicle is almost always the most expensive way to buy a vehicle.

http://www.consumerreports.org/cro/c...leasing_ov.htm

"Leasing is rarely a better financial arrangement than buying. The financial advantage of buying increases the longer you keep the vehicle after the loan is paid off."

It seldom makes sense to buy brand new and take all that depreciation when you can buy just barely used & still have the factory warranty. I personally have found it most advantageous to buy a 5-6 year old vehicle & pay cash for it. No payments, few maintenance issues when you buy a good vehicle, and it still looks pretty new.

[leahjhburton]

And right now, gold is at a very high price. You know the old addage "buy low, sell high" - well this would be definitely buying high right now.

Case in point: Cash4Gold.com = biggest "selling" scam of our time.

[cymnPrayerm]

In the time of the initial downfall, during my deployment last year, i lost nearly 20k of the 80k i had invested. But i just switched over to bonds and hopefully it will come back up soon. I also keep getting the savings bonds i have since i joined (92), which comprises of a 100, a 200 and recently added a 500 dollar savings bond. This is ontop of a7 yr anunity which comes to 'maturity' when i hit my 20 yr retirement in 2012.

[MadMark]

This is by far the best time for young people to start investing because you the market will turn eventually and you will have bought stock in companies for a rock bottom price and eventually the prices will go back up.

[Chooriwrocaey]

Economy Fixed

This was an article from the St. Petersburg TimesNewspaper on Sunday. The Business Section asked readers for ideas on "How would you fix the economy?
I thought this was the BEST idea. I think this guy nailed it!

Dear Mr.President,

Patriotic retirement:

There's about 40 million people over 50 in the work force; pay them $1 million apiece severance with stipulations:

1) They leave their jobs. Forty million job openings - Unemployment fixed.

2) They buy NEW American cars. Forty million cars ordered - Auto Industry fixed.

3) They either buy a house or pay off their mortgage - Housing Crisis fixed.

[Foriaelalse]

Economy Fixed

This was an article from the St. Petersburg TimesNewspaper on Sunday. The Business Section asked readers for ideas on "How would you fix the economy?
I thought this was the BEST idea. I think this guy nailed it!

Dear Mr.President,

Patriotic retirement:

There's about 40 million people over 50 in the work force; pay them $1 million apiece severance with stipulations:

1) They leave their jobs. Forty million job openings - Unemployment fixed.

2) They buy NEW American cars. Forty million cars ordered - Auto Industry fixed.

3) They either buy a house or pay off their mortgage - Housing Crisis fixed.

Laughable at best. Question: where does the $1 million per person come from...again...exactly?

[Peptobismol]

Laughable at best. Question: where does the $1 million per person come from...again...exactly?

Same place that $450 BILLION came from. Riddle me this Batman. What would be cheaper...invest $50 Million in individuals or $450 BILLION in Banks that apparently have no idea how to handle money? Which would have been more effective? Banks get the $, blow some of it, send some overseas. Individuals purchase things and the money goes back into the economy....

[RgtrsKfR]

Same place that $450 BILLION came from. Riddle me this Batman. What would be cheaper...invest $50 Million in individuals or $450 BILLION in Banks that apparently have no idea how to handle money? Which would have been more effective? Banks get the $, blow some of it, send some overseas. Individuals purchase things and the money goes back into the economy....

That's assuming we only spend $50 million. And then there are the banks which we can't just let fail. As much as you or I dislike it, despite their mismanagement of money--they really can't be allowed to fail. If they fail, we fail.

[Fvmfrctt]

This is by far the best time for young people to start investing because you the market will turn eventually and you will have bought stock in companies for a rock bottom price and eventually the prices will go back up.

Very wise statement, Joker. Totally agree with you. If you are "young enough", keep the investments in wise stock. Buy low while the getting is good right now. The Dow is on the upswing.

But, ya can't ignore it. Keep an eye on it without getting obsessive. But, if the Dow continues with it's current progression those who have lost should regain in time, if not bring in a substantial return. Just have to be mindful of investments.

Same place that $450 BILLION came from. Riddle me this Batman. What would be cheaper...invest $50 Million in individuals or $450 BILLION in Banks that apparently have no idea how to handle money? Which would have been more effective? Banks get the $, blow some of it, send some overseas. Individuals purchase things and the money goes back into the economy....

Contrary to popular belief, the banks KNEW what they were doing. Look at Bank of America, Bernie Madoff...

The down fall of America's economy is pure unadulterated greed at it's finest. They KNEW the manjority of these people getting loans could not afford the house for the income estimated. They KNEW many incomes were overstated or inflated to get loan approval. They had insiders all over the place telling them what they were doing was wrong. Talk about shredding paper at it's finest.

Bernie? Well, Bernie said it himself, he just DIDN"T think he was going to get caught.

The PEOPLE should also be held accountable. Why should the government BAIL someone out for getting themselves into too much debt? Where is the responsibility in that? Heck, if the government gives it and banks take it and the GOVERNMENT doesn't regulate the use of the money, that's Congress who being stupid.

The banks apparently had plenty of lawyers sitting down reading 1100+ pages of the contract when dropped off at 7p for agreement the next morning. Guess Congress got a dose of their own medicine for once.

Ok, back to being a responsible American, by living within my means, paying my mortgage and credit card payments on time. WHAT am i thinking???? (Yes, this is sarcasm at it's finest.)

[Avaboormavoro]

So, spend 40 trillion to open a job market and car industry. Nice idea.

Who would be considered for the $1 mil? Do they have to work at some place for like 20 years and get this as retirment? Or is this for any person working at McD's or burger king? Can you say socialist? What about all the CEOs that are above 50? I am already paying for these baby boomers to retire on social security, why do I want more debt to fall on me for their in ability to save? Do away with social security, millions in revenue. Do away with welfare for the people that dont work, millions in revenue.

[AlexBrith]

So, spend 40 trillion to open a job market and car industry. Nice idea.

Who would be considered for the $1 mil? Do they have to work at some place for like 20 years and get this as retirment? Or is this for any person working at McD's or burger king? Can you say socialist? What about all the CEOs that are above 50? I am already paying for these baby boomers to retire on social security, why do I want more debt to fall on me for their in ability to save? Do away with social security, millions in revenue. Do away with welfare for the people that dont work, millions in revenue.

Million not Trillion or even Billion. I am not saying it is the best idea ever but I certianly don't think giving $510 BILLION to banks and mortgage companies was a good idea either. There is no reason no to let them fail. It was their unsound business practices that led to their problems yet the taxpayers should bail them out? Can you say SOCIALISM? I am not saying that giving away 40 million wouldn't be socalist in nature. What I am saying is IMHO, it would be more economically benificial than giving $510 BILLION to institutions that have PROVEN they are unable or unwilling to manage the money they had.