Quote:
Originally Posted by graciegirl
I just can't get over people being pleased when stocks tumble.
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I am not pleased that stocks are taking a big hit even though I feared a major correction was in the cards and sold all my stocks earlier this year before the Corona virus scare. As others have stated, the market was very rich as measured by many different statistics and the virus scare was simply the trigger that began the sell off. I currently only own older high quality municipal bonds with tax free coupons between 4 1/2% and 7%, cash, and gold. That being said, my monthly defined benefit payments are backed by a mostly stock portfolio and the pension plans funding status and ability to remain solvent is highly correlated to the equity market. I hate seeing both my pensions plans funding status eroded as well as many people heavily invested in stocks suffering pain. If stocks rebound I will be very happy, and if they continue to sell off hard I will begin to gradually get back into the market at cheaper valuations.
If anyone does not feel that stocks were overvalued a couple weeks ago, read the book “The Aftershock Investor” by David and Robert Wiedemer and Cindy Spitzer.