Why are people obsessed with getting a pension

cefh17

tillyfilly wrote: »

I think I understand what you are saying now,don't pension funds work in DCA anyway?

Dollar-cost averaging is a simple technique that entails investing a fixed amount of money in the same fund or stock at regular intervals over a long period of time. If you have a 401(k) retirement plan, you're already using this
https://www.investopedia.com/investing/dollar-cost-averaging-pays/

Yeah but did you not say you changed from equities to bonds?

tillyfilly

cefh17 wrote: »

Yeah but did you not say you changed from equities to bonds?

yes my pension fund has both options to switch in and out of

Dempsey

tillyfilly wrote: »

you must have stayed invested in the riskiest assets

Moving your funds at every turn isnt going to be good in the long term

tillyfilly

Dempsey wrote: »

Moving your funds at every turn isnt going to be good in the long term

I can't see the issue so long as I judge the dips and peaks accurately

AlmightyCushion

tillyfilly wrote: »

I can't see the issue so long as I judge the dips and peaks accurately

That is the tricky part and it is very, very tricky. The vast majority lose more than they make doing trying that.

Dodge

tillyfilly wrote: »

I can't see the issue so long as I judge the dips and peaks accurately

If you can judge the dips and peaks accurately, then you should be doing it for a living and not just playing with your pension

It’s really not just a guessing game

tillyfilly

Dodge wrote: »

If you can judge the dips and peaks accurately, then you should be doing it for a living and not just playing with your pension

It’s really not just a guessing game

surely its better to switch out before a crash! makes perfect sense to make a few switches a year, why else would the option be available?

AndrewJRenko

tillyfilly wrote: »

surely its better to switch out before a crash! makes perfect sense to make a few switches a year, why else would the option be available?

Here's an idea - why don't you post here each day that you're sure a crash is coming? We'll look back over a year and see how accurate you've been.


Professional fund managers with tech tools costing millions at their fingertips and all day to work on these things can't predict crashes with any reliability. Why do you think that you can?

Crock Rock

Did anyone else's fund take a dip lately?

tillyfilly

AndrewJRenko wrote: »

Here's an idea - why don't you post here each day that you're sure a crash is coming? We'll look back over a year and see how accurate you've been.


Professional fund managers with tech tools costing millions at their fingertips and all day to work on these things can't predict crashes with any reliability. Why do you think that you can?

Very nice!
But fund managers and economists predict crashes all the time, Im not saying i am doing this on my own, Im reading what these people are saying and deciding then

https://www.cnsnews.com/blog/ilona-schumicky/economist-who-predicted-2008-economic-crisis-warns-2020-recession-risk

https://www.businesstoday.in/top-story/these-people-predicted-the-2008-recession-and-were-laughed-at/story/283071.html

AndrewJRenko

tillyfilly wrote: »

Very nice!
But fund managers and economists predict crashes all the time, Im not saying i am doing this on my own, Im reading what these people are saying and deciding then

https://www.cnsnews.com/blog/ilona-schumicky/economist-who-predicted-2008-economic-crisis-warns-2020-recession-risk

https://www.businesstoday.in/top-story/these-people-predicted-the-2008-recession-and-were-laughed-at/story/283071.html

I didn't say they can't predict them. I said they can't predict them with any reliability. If you predict a crash every week, you're going be right one week. That doesn't mean that you have reliable predictions.

tillyfilly

AndrewJRenko wrote: »

I didn't say they can't predict them. I said they can't predict them with any reliability. If you predict a crash every week, you're going be right one week. That doesn't mean that you have reliable predictions.

i make a few switches a year only, due to the nature of pension funds it take 2/3 days for the transaction to go through anyway so it needs to be a calculated switch rather than a spur of the moment switch

howamidifferent

I look on it as a better buying opportunity for my dc pension fund. Every dip helps buy cheaper lots.

Heres Johnny

tillyfilly wrote: »

Very nice!
But fund managers and economists predict crashes all the time, Im not saying i am doing this on my own, Im reading what these people are saying and deciding then

https://www.cnsnews.com/blog/ilona-schumicky/economist-who-predicted-2008-economic-crisis-warns-2020-recession-risk

https://www.businesstoday.in/top-story/these-people-predicted-the-2008-recession-and-were-laughed-at/story/283071.html

For every economist predicting a dip another will be predicting a rise. I'm a CIMA qualified accountant, LIA qualified financial advisor and have a masters in actuarial maths and the only thing I have learnt from all these is that dollar cost averaging is the way to go rather than trying to time a markets peaks and troughs.
You have to be on the ball, have the news before others do before information is already priced into the market

tillyfilly

Heres Johnny wrote: »

For every economist predicting a dip another will be predicting a rise. I'm a CIMA qualified accountant, LIA qualified financial advisor and have a masters in actuarial maths and the only thing I have learnt from all these is that dollar cost averaging is the way to go rather than trying to time a markets peaks and troughs.
You have to be on the ball, have the news before others do before information is already priced into the market

Is it not Euro cost averaging in Europe?

madmaggie

I'd rather put my money on a horse. It worked out great for Bertie.

Jim2007

tillyfilly wrote: »

Is it not Euro cost averaging in Europe?

It is just the name given to a particular investing strategy, does not imply a particular currency.

KyussB

Anyone not converting all of their investments into cash and bonds right now, is an idiot, frankly. The shit is going to be hitting the fan harder and harder, through the course of this outbreak.

You don't need to be a trader for a living to see that - you just need to not be a fucking idiot, to see the massive economic damage the coronavirus outbreak will cause.

Cynically speaking, there won't be even the pretense of a pensions crisis left, if the coronavirus spreads throughout the population.

The J Stands for Jay

KyussB wrote: »

Anyone not converting all of their investments into cash and bonds right now, is an idiot, frankly. The shit is going to be hitting the fan harder and harder, through the course of this outbreak.

You don't need to be a trader for a living to see that - you just need to not be a fucking idiot, to see the massive economic damage the coronavirus outbreak will cause.

Cynically speaking, there won't be even the pretense of a pensions crisis left, if the coronavirus spreads throughout the population.

Anyone converting their temporary paper losses into permanent ones now is an idiot. Nice buy high, sell low strategy you've got going on there.

cefh17

KyussB wrote: »

Anyone not converting all of their investments into cash and bonds right now, is an idiot, frankly. The shit is going to be hitting the fan harder and harder, through the course of this outbreak.

hah, the irony

Bass Reeves

KyussB wrote: »

Anyone not converting all of their investments into cash and bonds right now, is an idiot, frankly. The shit is going to be hitting the fan harder and harder, through the course of this outbreak.

You don't need to be a trader for a living to see that - you just need to not be a fucking idiot, to see the massive economic damage the coronavirus outbreak will cause.

Cynically speaking, there won't be even the pretense of a pensions crisis left, if the coronavirus spreads throughout the population.

Too late now better to sit it out at this stage.

KyussB

If you want to bet your money on coronavirus being contained, work away. Lets see how you fare in a week or two.

The J Stands for Jay

KyussB wrote: »

If you want to bet your money on coronavirus being contained, work away. Lets see how you fare in a week or two.

Not as interesting as seeing how I'll be faring in 2025.

sunnyday1234

KyussB wrote: »

Anyone not converting all of their investments into cash and bonds right now, is an idiot, frankly. The shit is going to be hitting the fan harder and harder, through the course of this outbreak.

You don't need to be a trader for a living to see that - you just need to not be a fucking idiot, to see the massive economic damage the coronavirus outbreak will cause.

Cynically speaking, there won't be even the pretense of a pensions crisis left, if the coronavirus spreads throughout the population.

lol

KyussB

McGaggs wrote: »

Not as interesting as seeing how I'll be faring in 2025.

Said as if ducking out a blindingly obvious period of economc danger has no effect on that.

The J Stands for Jay

KyussB wrote: »

Said as if ducking out a blindingly obvious period of economc danger has no effect on that.

Ducking out on the rebound is where the real danger of underperformance lies.

KyussB

That's betting on coronavirus being contained.

PHG

KyussB wrote: »

Anyone not converting all of their investments into cash and bonds right now, is an idiot, frankly. The shit is going to be hitting the fan harder and harder, through the course of this outbreak.

You don't need to be a trader for a living to see that - you just need to not be a fucking idiot, to see the massive economic damage the coronavirus outbreak will cause.

Cynically speaking, there won't be even the pretense of a pensions crisis left, if the coronavirus spreads throughout the population.

I believe you are missing the whole point of a pension, it is the long game. You buy some highs and you also buy the lows (where you main gains come from). Nobody can predict the top or bottom.

There are cases for individual investments but as pensions tend to track an index, you are likely to be quite wrong.

Stupid scaremongering if you ask me. The whole world is saying move to cash and that tends to be the best time to buy.

cefh17

PHG wrote: »

I believe you are missing the whole point of a pension, it is the long game. You buy some highs and you also buy the lows (where you main gains come from). Nobody can predict the top or bottom.

There are cases for individual investments but as pensions tend to track an index, you are likely to be quite wrong.

Stupid scaremongering if you ask me. The whole world is saying move to cash and that tends to be the best time to buy.

Be scared when others are greedy and all that..

Jim2007

PHG wrote: »

I believe you are missing the whole point of a pension, it is the long game. You buy some highs and you also buy the lows (where you main gains come from). Nobody can predict the top or bottom.

There are cases for individual investments but as pensions tend to track an index, you are likely to be quite wrong.

Stupid scaremongering if you ask me. The whole world is saying move to cash and that tends to be the best time to buy.

Hmm, you were going great....


It is not scaremongering, under the typical conditions it does make sense to do a tactical allocation towards cash type instruments and the old reliable stocks. And most pension fund managers as opposed to fund managers will tend to do this as the 7-8 year cycle.