So here we are, a year and a half into the second decade of the new millennium. So far it's looking a lot like the first. The TSX is up 13.39% since January 1, 2010...that all happened last year as it's actually down .93% this year-to-date. If you're a die hard and plan to hang in no matter what I suggest you read TPCI post of July 16, 2010; A Little More About The Last (Next) Ten Years. Sorry, I simply don't see any reason for this decade to be any better than the last. The world changed somewhere around September 11, 2001 and I don't see it changing back. The eighties and nineties were good to us boomers. We paid off the damn mortgage, the kids moved out and we finally managed to put a bit away for our anticipated golden years. Not exactly freedom fifty-five but at least we saved something.
Then came the new millennium... 911. Huge volatility for commodities and stocks. A couple of market meltdowns. The worldwide banking crisis. Bankrupt automakers. Whole countries teetering on verge of bankruptcy. The boomerang kids came back as they struggled to sort things out in the strange new world. Our aging parents moved on to assisted living or nursing homes where they spend their days complaining about the food. We postponed planned retirements and many of us who had retired went back to work.
I don't think we've seen it all yet. Watch for the US to default within the next few years. In the end, it'll be okay because China will come along and bail them out. Yikes! In response, US schools will add Mandarin to the curriculum. What tail's gonna be waggin' what dog then?
For my part, I triggered my exit strategy last fall when I switched out of the Canadian Resource Fund. With the recent transfer of my largest holding to the Canadian Bond Fund I'm pretty much just a spectator now. Oh, I still have my trading account to play with, although that hasn't been a whole lot of fun recently. Oh ya, I still have that crazy basket of seg funds but by-and-large I'm out of the market. Speaking of which, that 5% guarantee on the seg funds is looking better and better. On the trading account side, the things I like; BMO, RBC, TD and Suncor are still doing okay albeit they've dropped off substantially in the past while. The others...I don't want to talk about.
So, what's your plan? Did you bail during one of the meltdowns? Are you hanging in for the time being? Are you hanging in no matter what because finance guy keeps reminding you about the long term returns of the market? A little reminder may be in order; Who Should(n't) Be In Funds? Most importantly, do you have a plan at all?
Then came the new millennium... 911. Huge volatility for commodities and stocks. A couple of market meltdowns. The worldwide banking crisis. Bankrupt automakers. Whole countries teetering on verge of bankruptcy. The boomerang kids came back as they struggled to sort things out in the strange new world. Our aging parents moved on to assisted living or nursing homes where they spend their days complaining about the food. We postponed planned retirements and many of us who had retired went back to work.
I don't think we've seen it all yet. Watch for the US to default within the next few years. In the end, it'll be okay because China will come along and bail them out. Yikes! In response, US schools will add Mandarin to the curriculum. What tail's gonna be waggin' what dog then?
For my part, I triggered my exit strategy last fall when I switched out of the Canadian Resource Fund. With the recent transfer of my largest holding to the Canadian Bond Fund I'm pretty much just a spectator now. Oh, I still have my trading account to play with, although that hasn't been a whole lot of fun recently. Oh ya, I still have that crazy basket of seg funds but by-and-large I'm out of the market. Speaking of which, that 5% guarantee on the seg funds is looking better and better. On the trading account side, the things I like; BMO, RBC, TD and Suncor are still doing okay albeit they've dropped off substantially in the past while. The others...I don't want to talk about.
So, what's your plan? Did you bail during one of the meltdowns? Are you hanging in for the time being? Are you hanging in no matter what because finance guy keeps reminding you about the long term returns of the market? A little reminder may be in order; Who Should(n't) Be In Funds? Most importantly, do you have a plan at all?
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