Talk of The Villages Florida - Harvesting LTCG(s) in 2021

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- - Harvesting LTCG(s) in 2021 (https://www.talkofthevillages.com/forums/investment-talk-158/harvesting-ltcg-s-2021-a-326423/)

Quote:

Originally Posted by DAVES (Post 2056336)

I think this post and so many others is that WE are all uncomfortable. Imagine 2/2/22
the ten year treasury is paying 1.8% and the CPI consumer price index is 7% the return on S&P 500 was down 7%. What to do? Where to hide? Unlike EXPERTS who must claim to know, I can be HONEST-BEATS ME. My investment expertise comes from a comic inside a nickel roll of Bazooka bubble gum. Yup, even then I realized if you INVESTED in the nickel roll rather than the regular penny portions, you were buying at the volume price and got an extra LUMP at N/C. Like your decoder ring, I kept you waiting too long.

That wisdom was buy low and sell high. The hard part is knowing when is the low and when is the high. There are many books on that. Sometimes they are right and sometimes they are wrong. Only good news is everyone is not right all the time.
To make money you just need to be right more often then you are wrong.

Good post.

When I figure out how to time the market will attempt to do just that.

In the meantime think the best bet is keep an emergency fund of good size and stay the course with investments. As I have probably said before and who remembers at my age new investments are more conservative funds of Value and Dividend Yield funds with good long term track records.

Well, the closing on the commercial real estate property dragged out from late December to the last day of March. Upon reflection I am grateful as the stock market has dropped considerably. Although I put my toe in the water with one minor purchase I am just watching it now to see where it will go. Frankly, being about 50% in cash today feels pretty darn good!

Quote:

Originally Posted by manaboutown (Post 2095424)

Sometimes luck is better than skill, good for you.

Unless your are already stuck in mutual funds it’s only ETFs. More tax efficient. Can buy dividend aristocrats if looking for yield

Quote:

Originally Posted by Babubhat (Post 2095434)

Unless your are already stuck in mutual funds it’s only ETFs. More tax efficient. Can buy dividend aristocrats if looking for yield

I don't understand why you would say that ETFs are more tax efficient than mutual funds. My stock investments are in the Vanguard S&P 500 Index mutual fund. Very tax efficient. It seems to me that the S&P 500 Index ETF would be less tax efficient. The ETF would attract investors who would buy and sell more often requiring the ETF manager to sell the stocks more frequently generating a lot more taxable events than in a mutual fund, and thereby creating more capital gain distributions. Mutual fund investors are more of the buy and hold type of investor. Isn't that correct?