Only indirectly related to "health and wellness" except if you think financial health is important.

I'm 57 now and wish I'd paid more attention to this through the years. I'd like to retire in a few years, and that will take more income than Social Security can provide. I've put a little away into IRAs, but didn't pay close enough attention to what was happening and lost over 50% of my savings between 2000 and 2002. Since then, I've been a better manager of my money. What I'd invite sharing about, here, is anything you've found helpful unto growing a nest egg. Johnboy's been a help to me, here, and I'm sort of getting the hang of it.

----

At my age, I've got about 45% in cash/bonds and the rest divided among a number of stocks, mutual funds and ETFs that span the various sectors. Here are a few winners:

ABB - good company; up 70% this year; should keep on growing.

PVX - one of those Canadian Royalty Trusts you might have read about. Good earnings and 11% dividends.

ADVDX - a dividends earning fund; around 11% dividends and holds its own price-wise.

FAIRX - rock-solid mutual fund, even in down times.

AAPL - doubled this year (why didn't I buy more) and will undoubtedly keep growing for awhile longer until the world is saturated with iPods and iPhones.

PRPFX - a good, steady conservative mutual fund that grew even in the 2000-02 bear market.

LSBRX - superb bond fund; up almost 9% this year.

BAYRK - Bayer. On track for 50% this year.

SLF - Sun Life Insurance. Good, strong steady performer.

VFIIX - GNMA bond fund. Around 5%. Low expenses.

OIBBX - world bond mutual fund; class B, but good enough earnings and dividends to justify it.

VTI - total stock market index ETF. Get some of this to do at least as well as the total market.

Found out more about these at http://finance.yahoo.com/ by searching Get Quotes.

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I have a few more that are, in combo, up over 20% this year. Of course, this combo wasn't in place on Jan. 1st, but many of the pieces were there.

Knowing when to hold 'em and fold 'em is another matter!

What works for you?

quote:

Originally posted by Phil:
[qb]
What works for you? [/qb]

Putting my head in the sand and praying that God will provide...

Good topic Phil - it would be easier if there was one-size-fits-all solution. Everyone's situation is different - for example, what you have laid out is pretty good if you are risk-averse and/or at a stage in life where you closer to retiring.

I think the following things are important:

Diversify your holdings to manage risk
Start saving/investing when you are young to take advantage of the time value of money
Invest in things you understand , ala Peter Lynch.
Pay off your credit card balances monthly, and try to avoid spending money on things you can't afford without going into debt - exception would be a mortgage for a house.
If your employer provides a 401k benefit and matches contributions, definitely take advanatge of this.

quote:

Originally posted by Shasha:

quote:

Originally posted by Phil:
What works for you? [/qb]

Putting my head in the sand and praying that God will provide...

If your eyes, ears and mouth, and all your other receptory organs are buried in the sand --- then how will you be able to receive what God provides?

quote:

Originally posted by HeartPrayer:
[qb] If your eyes, ears and mouth, and all your other receptory organs are buried in the sand --- then how will you be able to receive what God provides?

[/qb]

Good point, HP. This is why I need to hang around you smart people.

quote:

Originally posted by Shasha:
Good point, HP. This is why I need to hang around you smart people.

Well, I for one am trying really hard to pull my head out of the sand -- especially on the investments, pensions and nest egg front. I must confess I ever did much understand that...

So I left it to the experts when I had to set up a pension fund. Invested in something called Skagen Fondene (Skagen Funds). More preciesely half in their Vekst (12% up so far this year) and half in Kon-Tiki (up 26.5%).

.

Those Skagen Funds look really good, HP. Are they mutual funds?

The Fed lowered interest rates again, which should keep stocks and equity funds rolling for awhile longer. It looks like the economy is not getting bit too badly by that subprime mortgage mess.

----

The percentage of safe (bond/money funds) vs. equity I've heard for retirement savings is to subtract your age from 100. The result is what you put into safe holdings, the rest into various assets of stock funds (diversify among the sectors). Some funds do this for you, but you can check out the various allocations for each fund at http://finance.yahoo.com/ You can also go to Morning Star and set up a free acount, create a portfolio listing your investments, and use their X-Ray tool to see how the asset groups break out.

This all doesn't take long to do and keep track of. It's also important, if you want to prudently prepare for retirement, or even manage savings. As noted above, I wish I'd started sooner than a few years ago.

Yes, I suppose it is a mutual fund, if by that you mean a managed fund? I�m a bit unsure of terms here. Anyways, the key investment manager is named for each of Skagen�s Funds. Investments are diversified and pooled according to the stated guidelines.

This is my first year of investment, really, and I�m using it as a retirement/pension fund. My house is almost free of debt now, and the kids have more or less moved out. By new years I hope to rent out part of it that we no longer need, using that extra income, which will be tax free, to 1) work a bit less, 2) increase my annual investments, 3) travel and take some time off.

There was a good stretch (15 years or so) when I didn�t do much of anything about pensions -- so I have some serious catching up to do.

HP, it looks like those are mutual funds -- a collection of stocks/bonds managed by someone who supposedly knows what's up.

My guess is that Norway has something akin to Social Security in the U.S. and that it along with your health care system provides a nice foundation for retirees.

There are clear advantages to mutual funds, but it is important to understand what type of fund it is and to have a handle on the expense ratio. As Phil stated, mutual funds, which are pools of money from different investors, can be consisted of stocks, bonds or even cash related vehicles. The fund make up will depend on the objective of the fund, which can range from fairly conservative low risk to fairly high risk areas. (Think high yield/ higher risk � low yield/lower risk. This is important to know and understand. For example, you will not want money in a risky investment fund if you are getting ready to retire and need the investment to fund retirement expenses.
In addition, different funds have different expense structures (the money they charge you for investing your money). Make sure you know how much your fund is charging you and what they charge you for. You should be able to find this in the funds prospectus, which will give you a pretty good breakdown of fees and where the fund is investing its money.

All very good, AMH!

Depending on how much one wants to "get into it," it can help to consider macro-economic issues. For example, China and India are undertaking steps to move to a more modern, higher tech society. They'll be needing building materials, and any companies involved in helping to build the infrastructure in those countries will do well.

Meanwhile, back in the USA, things aren't going so well. We're in the midst of a rather nasty problem in the financial sector, with banks suffering defaults on loans given to risky (subprime) borrowers. The consequences have rippled out to other sectors, and it will take some time to shake out -- maybe another year or so. Larger companies with their own savings are going to do OK, but when people slow down the spending, even they get crunched.

Anyone have any ideas as to good investments to ride out this subprime mess?

Any US company that derives a large chunk of its earnings overseas is worth looking at - blue chip companies like GE and Coca Cola are good examples. So are a number of basic materials companies.

Here's an interesting article:
http://www.bloggingstocks.com/...er-definitely-maybe/

Hi Phi,

Been awhile since I have been on the site, but had the day off today and spending a little time catching up on my favorite sites.

This coming May will be my 30th anniversary of graduating nursing school. Up until I started my current job 6 years ago all I could think about was retirement!! By the Grace of God, two weeks before my husband died suddenly in 2001 I got a nursing job in the primary care dept at a local Veterans Hospital. I absolutely love my job, an although I am age 50 I don't think too much any more about retiring. In addition to loving what I do, what helps is I don't work weekends or holidays, right off the bat nurses and some other specialties get 5 weeks annual vacation from day 1, health insurance vestment is 5 years for you as well as a covered spouse which at retirement you are carried for life just paying the premiums which at present aren't bad. The TSP plan has a very good match which in 6 years I've grown a nice little chunk, and during this time my salary which unfortunately is driven by the nursing shortage has gone up 30K. These $$ perks are great, but the best perk of my job are my patients and the people I work with who are more like family that literally carried me through my grieving process, as well as when I faced a bout a cancer 5 years ago were there for me every step of the way.

This may be a drastic suggestion, but since you are realistically about 5 years give or take from retirement, maybe think about working at a Veterans Hospital for these 5 years which would enable you to get a government pension in addition to your social security. There are so many jobs available across the nation which you can access on the government employment web site especially in the areas of mental health and substance abuse counseling which I learned from one of your books that you have expertise in.

I know I am probably a rare bird, but I am living out the old saying do what you love and the rest will fall into place.

God Bless, and I will hold you up in prayer that the Good Lord guides you in this area of you life.

PS Today is Veterans Day, now isn't that a coincidence

Greetings, Nightengale. If the stock market keeps diving, we might all be working until we're very old.

Actually, working is one of the 4 legs on my retirement stool, the other 3 being Social Security, IRAs, and simple living. I like my work, too, and will do it as long as I'm healthy, only maybe not so much as I've been doing the past few years.

Phil, this is such a helpful thread with many great tips on building a nest egg, which gets harder to do with each passing day. I live a simple life and find savings by having fruit trees and a vegetable garden, blueberries and raspberries to compliment. Being a vegetarianI make lots of curries, since I love hot and spicy foods. Who can afford meat nowadays. I get super great clothing at consignment shops and the Good Will. It's amazing the designer clothes I find there including new books hot of the press, etc. Discontinued my satelite and cable services for my television, and instead enjoy watching videos, no DVD's for me. :. Have a cell phone only for clients and emergencies, and not for chit chatting with friends to use up my minutes. Not even my son has my cell phone number. . I wish I could save on cat food, but my cat is spoiled rotten refusing to eat anything but top choice. I am sure to add more to this list.

Hi Freebird. It sounds like you're deep into a simple lifestyle. I might be contacting you for some tips on growing raspberries, as I've recently planted some and am not sure how to care for them.

Cats are indeed picky animals. Our old tabby died recently; he would only eat a certain kind of canned cat food, and it had to be fresh. Amazing!

One man has no money, he has nothing to lose and nothing to worry about

his heart can finally unclench

Another man has lots of money, he has everything to lose and everything to worry about

his heart will never unclench


Is it better to have a sound heart or a sound bank balance?

One of the above can be removed with the stroke of a pen and interest rates

How much is money really worth then?


Just some thoughts

Daniel x


namaste

Daniel x

Daniel, do you think people with no money have nothing to worry about? It sounds like you haven't had much contact with the poor.

Nothing wrong with saving money; the virtue of prudence is important.

Hi Phil

Your talking to someone without 2 pennies to rub together lol

Yet i stil manage to feed and clothe the homeless when opportunity presents itself

Poor in money = Rich in spirit

Their is a Gulf between you and the kingdom called 'comfort'

I live in a different world to you sir i think

Nest-eggs are for people who are planning on old age and retiring then death

I'm getting younger and haven't succumbed to death as a fact of life

God is god of the living, not the slowly dying

If you think your green, you'll grow, as soon as you think your ripe, you'll rot

I'm planning on giving methuselah a race and have been shown how

I can sometimes be misconstrued as a total ass though, because what i have to say is not sweet on the tongue

Poisons are sweet

Medicine tastes bitter

Don't shoot the messenger! lol

Daniel x

Daniel,

I suppose, then, that you find similar criticism for the farmer who saves some of his grain -- for times of famine, and to use as seed the next year?

Methinks you�re way off course. In fact, I think you are in acute danger of taking an overly long walk on a short pier.

If you read his other posts, HP, you'll see that his post above was but one of a series of self-serving trolls. Didn't last long as I pulled the plug on it.

[QUOTE]Originally posted by Phil:
[QB] Only indirectly related to "health and wellness" except if you think financial health is important.

Hi Phil:
Yes, both my husband and myself feel that financial
health is important. Although we have never gotten much into the stock market so cannot comment in this aspect of financial health.

We decided to make sure that everything was
paid off before my husband retired. We paid off a
30yr mortgage in 11 yrs. It was not easy but we felt it was important to retire debt free. We saved alot of interest money by doing this. Had the cars paid off and had no credit card debt.

If Roth accts. had been available then we would have gone that way. Tax deferred accts. can allow an acct to grow with paying taxes at a later date.

What has been an incredible growing expense is
medical insurance even with Medicare.

Ajoy

Well . . . ahem . . cough cough . . . If anyone has any ideas on growing a nest egg via the stock market these days, I'm all ears.

What's that, you say? BONDS! Umm . . .

Well, here is one way to build a "modest" nest egg.
Although morally reprehensible, it certainly is impressive!

Stock trader nets $7 billion�