Best investment while we travel

[pt49]

Regardless where you stand on investing, one maxim remains solid and stands the test of time...
"Buy when there's blood in the streets."... in the Great Depression the blood on the streets was real, due to stock brokers and once rich dudes leaping from high places and bleeding out on the sidewalk.

[Paul L]

Originally Posted by pt49

Regardless where you stand on investing, one maxim remains solid and stands the test of time...
"Buy when there's blood in the streets."... in the Great Depression the blood on the streets was real, due to stock brokers and once rich dudes leaping from high places and bleeding out on the sidewalk.

It does sound like good advice. But may not be all that practical for a retired or near retired cruiser. Depending on how measure recovery, it too between 12 and 25 years to recover from the 1929 crash, ie break even.

[pt49]

Originally Posted by Paul L

It does sound like good advice. But may not be all that practical for a retired or near retired cruiser. Depending on how measure recovery, it too between 12 and 25 years to recover from the 1929 crash, ie break even.

... a world war was in there for 6 years though.

Post 2008 was the last "blood in the streets" episode, or near to one.

All the signs are pointing to a much bigger bust than 2008 coming down the track.

[Paul L]

Originally Posted by pt49

... a world war was in there for 6 years though.

Post 2008 was the last "blood in the streets" episode, or near to one.

All the signs are pointing to a much bigger bust than 2008 coming down the track.

And without it it may have taken longer to recover.

As someone mentioned above, I've predicted 5 of the last 3 recessions.

[pt49]

Well if it happens in the next 4 years, and Trump is re-elected (very likely), I guess we will get the cleanout we need.
Without the "War Machine" (Trump appears to be anti-war), any recovery will take time... our banks and banking system needs to go rest peacefully with the Dodo.
We need a new system (medium of exchange), and I am backing that it will be a decentralized system that we end up with.
It may not be Bitcoin, but it will be based on the Blockchain technology that Satoshi Nakamoto unleashed on the world in Jan 2009.

From Wikipedia...
"On 3 January 2009, the bitcoin network came into existence with Satoshi Nakamoto mining the genesis block of bitcoin (block number 0), which had a reward of 50 bitcoins. Embedded in the coinbase transaction of this block was the text:

The Times 03/Jan/2009 Chancellor on brink of second bailout for banks.

The text refers to a headline in The Times published on 3 January 2009. This note has been interpreted as both a timestamp of the genesis date and a derisive comment on the instability caused by fractional-reserve banking."

[RELENTLESS 1]

Can't read through the responses, what I have done is invest in Credit Single Tenant Investments where the Tenant is strong and pays all of the expenses of operation. Depending on location and leverage (with $500K down your max deal size is $1M) you should be able to obtain a cash flow before taxes in the 5-8% range. I have been doing this for 30 years and will be glad to chat with you about it.
We are picking up our boat in July, and though we could leave the grid and cruise, we have to much family to stay away full time - so we will go back and forth.
Good luck

[pt49]

It's always interesting revisiting an old conversation after the climate has changed.

We were "speculating" on what may happen at some time in the future because of increasing money supply and rising stock prices etc... little did we realize that a "Black Swan" would come and crash everybody's nice dreams and secure investments.

As of 2 days ago the ONLY asset classes in the positive this year were gold (+7%) and Bitcoin (+1%).

S&P500 ... -19%
Real Estate (DWRTF) ... -31%
Oil (CL1)... -57%
Commodities (CRB) ... -32%
Corporate Bonds ... -15%

If you didn't cash out already it's probably too late, all you can do is watch the decline, buy tins of dried fish and bags of rice and sail away from this disaster.

[Fence Man]

Originally Posted by pt49

It's always interesting revisiting an old conversation after the climate has changed.

We were "speculating" on what may happen at some time in the future because of increasing money supply and rising stock prices etc... little did we realize that a "Black Swan" would come and crash everybody's nice dreams and secure investments.

As of 2 days ago the ONLY asset classes in the positive this year were gold (+7%) and Bitcoin (+1%).

S&P500 ... -19%
Real Estate (DWRTF) ... -31%
Oil (CL1)... -57%
Commodities (CRB) ... -32%
Corporate Bonds ... -15%

If you didn't cash out already it's probably too late, all you can do is watch the decline, buy tins of dried fish and bags of rice and sail away from this disaster.

What you get out of it has a direct link to what you put in. We are having our best weeks ever in the past month, while all the signs say we shouldn't. Ignore 99% of what you read, watch or hear, and adapt and overcome. Too many knuckleheads forget that they didn't invest all of that money in the last 60 days. You'd have to be pretty new to this to have lost any money yet.

[pt49]

Originally Posted by Fence Man

You'd have to be pretty new to this to have lost any money yet.

So pleased to see that your investments, home, business and retirement fund has not depreciated significantly.
It will be worth revisiting here in 6 months.

[slug]

Originally Posted by garrobito

Any investment guru around?
Next month we start to convert all our investment to cash...
I investigate and I feel really comfortable with an annuity.. it's low but safe...
How you invest your hard-earned money for a long travel? We planned go out the next 4 years and after that, mostly I gonna be completely retired.
Suggestions, suggestions... Number to invest is around 500K
Thanks you in advance

You must invest and get that money working

Now is a very good time to convert cash to investment

I’m not smart enough to give advice , but I do observe that the stock market correction has made dividend stocks very attractive

For instance Exxon is now paying close to 10 percent

[daletournier]

Originally Posted by slug

You must invest and get that money working

Now is a very good time to convert cash to investment

I’m not smart enough to give advice , but I do observe that the stock market correction has made dividend stocks very attractive

For instance Exxon is now paying close to 10 percent

15 million apply for unemployment and the stockmarket is rising, dosent this concern you? dosent this suggest that the market is completely uncoupled from the underling businesses?

Personally for me you'd have to be a brave man to be purchasing stocks currently, even after the crash it's easy to argue the markets as a whole still hadn't corrected to fair market value.

Tbere are still plenty of bombs to go off , corporate bonds, shale etc.

The extent of the money printing which is not close to over has changed the investment environment for ever.

And I agree with P49, it will interesting to revisit this space in 6-12 mths.

[daletournier]

Originally Posted by slug

You must invest and get that money working

Now is a very good time to convert cash to investment

I’m not smart enough to give advice , but I do observe that the stock market correction has made dividend stocks very attractive

For instance Exxon is now paying close to 10 percent

Sorry I also meant to add , I'd be looking to invest in anything that does well in a inflationary environment, hard to see how we dont get inflation when 10's of trillions are added to the money supply.

[ol1970]

These are the times you can really make great returns. I’ve never had a greater than 30% exposure to equities, my net worth is mostly due to making deals at times when cash is king and an high income earning ability. Admittedly I don’t grasp why bitcoin or blockchain has people so convinced it will skyrocket in value. To me it seems like a lot of people who aren’t already wealthy trying to buy a lotto ticket and believing in something that has no intrinsic value. I personally know of zero multimillionaires that have significant positions in blockchain. 2% of your net worth as a moonshot, sure I can see that if you like to gamble. Gold is another crazy one to me that people gravitate to, but that’s ingrained in us for thousands of years.

Be diversified, stay the course, be debt free, have 5 years of living expenses in cash, it should work out. If not we have bigger problems to worry about. But then again there would be huge opportunities out there for those with the ability to take advantage of them.

[daletournier]

Originally Posted by ol1970

These are the times you can really make great returns. I’ve never had a greater than 30% exposure to equities, my net worth is mostly due to making deals at times when cash is king and an high income earning ability. Admittedly I don’t grasp why bitcoin or blockchain has people so convinced it will skyrocket in value. To me it seems like a lot of people who aren’t already wealthy trying to buy a lotto ticket and believing in something that has no intrinsic value. I personally know of zero multimillionaires that have significant positions in blockchain. 2% of your net worth as a moonshot, sure I can see that if you like to gamble. Gold is another crazy one to me that people gravitate to, but that’s ingrained in us for thousands of years.

Be diversified, stay the course, be debt free, have 5 years of living expenses in cash, it should work out. If not we have bigger problems to worry about. But then again there would be huge opportunities out there for those with the ability to take advantage of them.

Have a look at how golds performed since 2000, have a look at how Bitcoins performed over the last decade, I'm not sure what's hard to understand here? I have not made my money through either of these vehicles BUT it's clear to see they have done well AND should continue to do well in the current economic environment.

[ol1970]

Originally Posted by daletournier

Have a look at how golds performed since 2000, have a look at how Bitcoins performed over the last decade, I'm not sure what's hard to understand here? I have not made my money through either of these vehicles BUT it's clear to see they have done well AND should continue to do well in the current economic environment.

Look at the inflation adjusted price of gold over the last 40 years. It’s one of the worst possible investments you could have made. There are a lot of suckers out there though who for some reason like crappy historical returns.

Would you’d rather own a metal that looks pretty than a paid for income producing apartment building? If my returns were as measly as gold since 2000 or bitcoin I would have no where near the level of assets and security I have today. Again nobody I know with any level of wealth has a significant position in gold or bitcoin. I do know of about 15 real people though that are never going to be able to retire with dignity that own 3 bitcoins, or have 50% of there money in gold.

Own real income producing assets paid for in cash. That’s a recipe that always works.