im out of the stock market and long silver

i dumped everything but 10k right after 911 and yesterday i got rid what little stock i had left and getting it into silver. i just got really tired of the smoke and mirrors held together by bubble gum stock market and if feels great to be out, well not totally im still in for $1500:hail:

 

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How many oz's of silver did you get rid of?

 

The yield on stocks looks mighty attactive relative to other investments (such as bonds). I wouldn't be surprised to see a rally from these levels over the next few months.

 

Yeah! Equities are mad low priced right now. Fear is dumping instead of disciplined buying during the summer slow down. When stocks roar back dump them and buy PMs and lets see if the speculators for PMs are right for the highs later this year... :smile

 

To make money in this market (Last 10 years), you need to move money in and out at least 1 per week. Unless you are lucky enough to own AAPL 10 years ago.

 

the market is actually where i made the bulk of my wealth. believe it or not i made a big chunk working for home depot for a mere 5 years from '92-'97. i bought as much stock as i was allowed through the employee purchase plan and went through 4 splits. when i finally ended up leaving the company i had over 1500 shares at around 70 a pop.

 

9uns - Good luck, bro.

 

Why is the stock market the only thing people are afraid to buy when it is on sale?

I'm still young and in wealth building mode, so i'm about 90% equities. The other 10% is bonds and some PMs. Even if we have another "lost decade" there is still money to be made in the market.

 

Do you know Japanese market which is still down 70% after 20 years.
(from 38,000 in 1990 to 9200 today).

 

Having lived through the Carter years, I know that more dollars doesn't necessarily equate to more wealth. Youngsters have no idea what inflation can do to your wealth as your financial reports LOOK like you're doing well as you lose ground.

They've never seen how $50K can turn to $60K and still lose half it's buying power. Everything including coins, real estate and commodities are likely to do this in the near future. It's a marvelous scam.

It's funny how that 35 cent cheeseburger from 1970 now costs $4 - $5, but if you purchased it with silver coin it still takes 1 silver dime and 1 silver quarter. This of course assumes both parties know the value of the silver coin.

Had you purchased it with clad coins it takes 16 to 20 clad quarters now.

 

Yes, I am aware of that. I never said the market was perfect. But I have never 100% invested in the Nekkei. I have an allocation that works for me, and has been successful.

I'm not saying 9guns is wrong for pulling his money out of the market and investing in tangible assets. All I was saying it that I am not doing this and don't see doing this as the best wealth building tool.

Everyone has their own opinion and strategy. I was just stating what I am currently doing.

 

im done buidling my wealth, im looking to preserve what i have. im retired and want to stay retired.

 

Why I don't invest in the stock market.

The answer may be in your question,people are afraid of the stock market because they don't trust the people involved.This includes CEO'S right down to the traders themselves.This is an institution that makes it's money on the backs of investors willing to give them their money to basicly pay their wages.The traders are first to profit with commisions then everyone else at the top pays themselves with your money.You only profit if the company makes a profit.And when you cash in your charged once again to sell your shares.I learned the hard way after calling my broker to find out why my shares in a certain company were no longer listed.The stock market is like a carnival,most the games are rigged by those who run it.

Just my opinion.

 

great way to describe it, the blind can even get a clear picture of the stock market with that description.

 

People should be very afraid of the stock market unless they have spent a substantial amount of time studying the investment process. Others here have rightly pointed out some of the pitfalls. I assume from your wording that you believe the market is on sale. That probably isn't true. A "lost decade" can have a terrible impact on the compounding of wealth over your lifetime. I'm not trying to talk out out of your program, just trying to make you realize that it isn't the slam-dunk sure thing over the long term that some of the business press and investment books would lead you to believe.

 

Just some word play on your title “I’m out of the stock market and long silver”; I thought it might be fun to track silver, and Long John Silver's (YUM brands) starting in 2000 when you dumped your bubble gum stock, and yesterday had you purchased silver.

SILVER, $1,500 Invested on June 30th, 2000 would be worth ~$5221 today
YUM, $1,500 Invested on June 30th, 2000 would be worth ~$8521 today

SILVER, had you invested $1,500 on June 30th 2010 would be worth ~$1435 today
YUM, had you invested $1,500 on June 30th 2010 would be worth ~1,519 today

Just something for some of the young folks to think about before dumping their 401K for silver and gold. Yes, YUM has a sell rating right now, but I bet you a doughnut that 1,500 dollars in YUM will be worth more than 1,500 in silver 10 years from now.

 

I didn't know HD got to 70 a share? If not how is that a good deal?

 

WOW I did not know that. What made it drop like that and why do you think it's still down that much?

 

So what do you suggest investing in then?

 

Wow! Lots of fear here about the stock market. The way I see it, it's like any other time you put money away for the future, you don't just blindly trust a stranger to manage your wealth or you deserve to lose it all. You do some simple legwork and plan smartly. I've done well with my stocks, even through the worst of the recession, because I made simple choices that anyone could have made, and actually made a lot of money. The same could be done with any commodities, but their potential is always so limited you're just wasting your time. Nobody retires off of their gold and silver holdings.
Guy~